Ipsen : A long term support level to be taken advantage of
Entry price | Target | Stop-loss | Potential |
---|
€65.9 |
€73.25 |
€61.7 |
+11.15% |
---|
Shares in Ipsen are currently testing the support level at 64.05 EUR on the weekly chart. Investors should regard the recent downward movement as an opportunity to go long the stock.
Strengths● The current area is a good opportunity for investors interested in buying the stock in a mid or long-term perspective. Indeed, the share is moving closer to its lower bound at EUR 64.05 EUR in weekly data.
● Share prices are approaching a strong support area in daily data, which offers good timing for investors.
● The group's high margin levels account for strong profits.
● Its low valuation, with P/E ratio at 9.72 and 9.36 for the ongoing fiscal year and 2021 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
Weaknesses● Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.
● The company's sales previsions for the coming years have been revised downwards, which foreshadows another slowdown in business.
● For the last few months, analysts have been revising downwards their earnings forecast.
● The underlying tendency is negative on the weekly chart below the resistance at 91.15 EUR
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.