KERING ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● For a short-term investment strategy, the company has poor fundamentals.
Strengths
● Graphically speaking, the timing seems perfect for purchasing the stock close to the EUR 440.4 support.
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● The company is in a robust financial situation considering its net cash and margin position.
● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.
● Over the last twelve months, the sales forecast has been frequently revised 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 stock is in a well-established, long-term rising trend above the technical support level at 440.9 EUR
Weaknesses
● With an enterprise value anticipated at 3.84 times the sales for the current fiscal year, the company turns out to be overvalued.
● With a 2019 P/E ratio at 23.04 times the estimated earnings, the company operates at rather significant levels of earnings multiples.
● For the past seven days, analysts have been lowering their EPS expectations for the company.
● For the last few months, analysts have been revising downwards their earnings forecast.
