● Overall, the company has poor fundamentals for a medium to long-term investment strategy.
Strengths
● The earnings growth currently anticipated by analysts for the coming years is particularly strong.
● The company has a low valuation given the cash flows generated by its activity.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● Over the past twelve months, analysts' opinions have been strongly revised upwards.
Weaknesses
● With relatively low growth outlooks, the group is not among those with the highest revenue growth potential.
● The company sustains low margins.
● The company is in debt and has limited leeway for investment
● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 39.7 times its estimated earnings per share for the ongoing year.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
● For the last four months, the sales outlook for the coming years has been revised downwards. No recovery of the group's activities is yet foreseen.
● For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.
● For the last few months, analysts have been revising downwards their earnings forecast.
● The price targets of analysts who cover the stock differ significantly. This implies difficulties in evaluating the company and its business.
● Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.