ENGIE ● In a short-term perspective, the company has interesting fundamentals.
Strengths
● Predictions on business development from analysts polled by Standard & Poor's are tight. This results from either a good visibility into core activities or accurate earnings releases.
● As regards fundamentals, the enterprise value to sales ratio is at 0.95 for the current period. Therefore, the company is undervalued.
● With a P/E ratio at 13.23 for the current year and 10.35 for next year, earnings multiples are highly attractive compared with competitors.
● This company will be of major interest to investors in search of a high dividend stock.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
Weaknesses
● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● The stock is close to a major daily resistance at EUR 12.02, which should be gotten rid of so as to gain new appreciation potential.
● The group shows a rather high level of debt in proportion to its EBITDA.
● Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.
● The sales outlook for the group was lowered in the last twelve months. This change in forecast points out a decline in activity as well as pessimistic analyses of the company.
● For the last twelve months, sales expectations have been significantly downgraded, which means that less important sales volumes are expected for the current fiscal year over the previous period.
● For the last few months, analysts have been revising downwards their earnings forecast.
● For the past year, analysts have significantly revised downwards their profit estimates.
● Below the resistance at 12.09 EUR, the stock shows a negative configuration when looking looking at the weekly chart.
