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.
Strengths
Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 53% by 2026.
Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
Thanks to a sound financial situation, the firm has significant leeway for investment.
With regards to fundamentals, the enterprise value to sales ratio is at 0.7 for the current period. Therefore, the company is undervalued.
The company appears to be poorly valued given its net asset value.
For the last few months, EPS revisions have remained quite promising. Analysts now anticipate higher profitability levels than before.
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
Low profitability weakens the company.
For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.