STHREE PLC ● The current area is a good opportunity for investors interested in buying the stock in a mid or long-term perspective. Indeed, the share is moving closer to its lower bound at GBp 205.5 GBp in weekly data.
● Share prices are approaching a strong support area in daily data, which offers good timing for investors.
● Historically, the company has been releasing figures that are above expectations.
● The company is one of the most undervalued, with an "enterprise value to sales" ratio at 0.23 for the 2020 fiscal year.
● The company's attractive earnings multiples are brought to light by a P/E ratio at 11.06 for the current year.
● This company will be of major interest to investors in search of a high dividend stock.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
Weaknesses
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● The company sustains low margins.
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
● The company's sales previsions for the coming years have been revised downwards, which foreshadows another slowdown in business.
● For the last twelve months, the trend in sales revisions has been clearly going down, which emphasizes downgraded expectations from the analysts.
● For the last four months, earnings estimated by analysts have been revised downwards with respect to the next two years.
● For the past year, analysts have significantly revised downwards their profit estimates.
● The underlying tendency is negative on the weekly chart below the resistance at 281 GBp
