ALSTOM ● 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
● Growth is a substantial asset for the company, as anticipated by dedicated analysts. Within the next three years, growth is estimated to reach 36% by 2023.
● The company is in a robust financial situation considering its net cash and margin position.
● The group usually releases upbeat results with huge surprise rates.
● As regards fundamentals, the enterprise value to sales ratio is at 1.19 for the current period. Therefore, the company is undervalued.
● Sales forecast by analysts have been recently revised upwards.
● Analysts remain confident with respect to the group's activity and, more often than not, have revised upwards their earnings per share estimates.
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 currently in contact with a medium-term resistance that must be gotten rid of so as to resume the upward trend.
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
● The company is not the most generous with respect to shareholders' compensation.
● For the last twelve months, the trend in sales revisions has been clearly going down, which emphasizes downgraded expectations from the analysts.
● For the past seven days, analysts have been lowering their EPS expectations for the company.
● For the past year, analysts have significantly revised downwards their profit estimates.
