● 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 company is in a robust financial situation considering its net cash and margin position.
● As regards fundamentals, the enterprise value to sales ratio is at 1.14 for the current period. Therefore, the company is undervalued.
● 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.
● For the past twelve months, EPS forecast has been revised upwards.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The stock is in a well-established, long-term rising trend above the technical support level at 3.97 AUD
Weaknesses
● With relatively low growth outlooks, the group is not among those with the highest revenue growth potential.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.