Strategy published on : 09/13/2017 | 17:32
long tradeStop-loss triggered
Entry price : 153.81$
Target : 180$
Stop-loss : 140$
Potential : 17.03%
Sanderson Farms, Inc. shares show a positive technical situation which suggests a continuation of the upward dynamic over the medium term.
Investors have an opportunity to buy the stock and target the $ 180.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
● The company is in a robust financial situation considering its net cash and margin position.
● The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
● Its low valuation, with P/E ratio at 12.09 and 12.72 for the ongoing fiscal year and 2018 respectively, makes the stock pretty attractive with regard to earnings multiples.
● Over the last 4 months, analysts have significantly revised upwards the company's estimated sales.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 115.47 USD
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.