Summary

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

● In a short-term perspective, the company has interesting fundamentals.


Strengths

● The share is getting closer to its long-term support in weekly data, at CNY 16.46, which offers good timing for buyers.

● Growth progress expectations are rather promising. Indeed, sales are expected to rise sharply in the coming years.

● The stock, which is currently worth 2019 to 0.39 times its sales, is clearly overvalued in comparison with peers.

● With a P/E ratio at 12.07 for the current year and 11.12 for next year, earnings multiples are highly attractive compared with competitors.

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

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

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


Weaknesses

● Low profitability weakens the company.

● The group usually releases earnings worse than estimated.