VOLKSWAGEN AG ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● The company has solid fundamentals for a short-term investment strategy.
Strengths
● The share is getting closer to its long-term support in weekly data, at EUR 136.08, which offers good timing for buyers.
● The company is in a robust financial situation considering its net cash and margin position.
● The company shows low valuation levels, with an enterprise value at 0.19 times its sales.
● Its low valuation, with P/E ratio at 5.23 and 4.84 for the ongoing fiscal year and 2020 respectively, makes the stock pretty attractive with regard to earnings multiples.
● 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.
Weaknesses
● With relatively low growth outlooks, the group is not among those with the highest revenue growth potential.
