Summary

● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.

● Overall, and from a short-term perspective, the company presents an interesting fundamental situation.

● The company has a good ESG score relative to its sector, according to Refinitiv.


Strengths

● Before interest, taxes, depreciation and amortization, the company's margins are particularly high.

● The group's activity appears highly profitable thanks to its outperforming net margins.

● Thanks to a sound financial situation, the firm has significant leeway for investment.

● With a P/E ratio at 9.34 for the current year and 9.82 for next year, earnings multiples are highly attractive compared with competitors.

● Over the last twelve months, the sales forecast has been frequently revised upwards.

● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.

● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.

● For several months, analysts have been revising their EPS estimates roughly upwards.

● Analysts covering this company mostly recommend stock overweighting or purchase.

● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.

● The group usually releases upbeat results with huge surprise rates.


Weaknesses

● The valuation of the company is particularly high given the cash flows generated by its activity.

● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.

● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.

● The price targets of various analysts who make up the consensus differ significantly. This reflects different assessments and/or a difficulty in valuing the company.