● 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
● Growth progress expectations are rather promising. Indeed, sales are expected to rise sharply in the coming years.
● The company is in a robust financial situation considering its net cash and margin position.
● Its low valuation, with P/E ratio at 5.95 and 4.92 for the ongoing fiscal year and 2024 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The stock, which is currently worth 2023 to 0.1 times its sales, is clearly overvalued in comparison with peers.
● The company's share price in relation to its net book value makes it look relatively cheap.
● The company is one of the best yield companies with high dividend expectations.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
Weaknesses
● The company's profitability before interest, taxes, depreciation and amortization characterizes fragile margins.
● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
● Over the past twelve months, analysts' consensus has been significantly revised downwards.