LVMH ● 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 returns high margins, thereby supporting business profitability.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● 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.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 493.95 EUR
Weaknesses
● Stock prices approach a strong long-term resistance in weekly data at EUR 631.4.
● The stock is close to a major daily resistance at EUR 635.7, which should be gotten rid of so as to gain new appreciation potential.
● With an enterprise value anticipated at 5.67 times the sales for the current fiscal year, the company turns out to be overvalued.
● With an expected P/E ratio at 36.71 and 31.72 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.
