● 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
● Analysts expect a sharply increasing business volume for the group, with high growth rates in the coming years.
● The company's profit outlook over the next few years is a strong asset.
● The company's share price in relation to its net book value makes it look relatively cheap.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.
● The opinion of analysts covering the stock has improved over the past four months.
● The group usually releases upbeat results with huge surprise rates.
Weaknesses
● Low profitability weakens the company.
● One of the major weak points of the company is its financial situation.
● With an expected P/E ratio at 80.37 and 15.58 respectively for both the current and next fiscal years, the company operates with high earnings multiples.
● The company is not the most generous with respect to shareholders' compensation.
● 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 analysts who cover the stock differ significantly. This implies difficulties in evaluating the company and its business.