● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● Overall, and from a short-term perspective, the company presents an interesting fundamental situation.
Strengths
● The company's attractive earnings multiples are brought to light by a P/E ratio at 9.28 for the current year.
● The company is one of the most undervalued, with an "enterprise value to sales" ratio at 0.62 for the 2021 fiscal year.
● The company has a low valuation given the cash flows generated by its activity.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● For the last 4 months, the company has been enjoying highly positive EPS revisions, which were frequently and significantly raised.
● 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.
● 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.
Weaknesses
● The company's profitability before interest, taxes, depreciation and amortization characterizes fragile margins.
● The average consensus view of analysts covering the stock has deteriorated over the past four months.