Shares in DNO ASA do not show any sign of a slowdown in the ascending dynamic. Investors could bet on a continuation of the underlying trend. Investors have an opportunity to buy the stock and target the NOK 17.2.
Summary
The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
The company presents an interesting fundamental situation from a short-term investment perspective.
According to Refinitiv, the company's ESG score for its industry is poor.
Strengths
Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
Thanks to a sound financial situation, the firm has significant leeway for investment.
Its low valuation, with P/E ratio at 3.45 and 4.81 for the ongoing fiscal year and 2023 respectively, makes the stock pretty attractive with regard to earnings multiples.
The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
The company appears to be poorly valued given its net asset value.
The company is one of the best yield companies with high dividend expectations.
Over the last twelve months, the sales forecast has been frequently revised upwards.
For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
For the last few months, EPS revisions have remained quite promising. Analysts now anticipate higher profitability levels than before.
Weaknesses
The overall consensus opinion of analysts has deteriorated sharply over the past four months.
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 price targets of various analysts who make up the consensus differ significantly. This reflects different assessments and/or a difficulty in valuing the company.
Ratings chart
Subsector Other Oil & Gas Exploration and Production
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