NETEASE, INC. ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
Strengths
● The close medium term support offers good timing for purchasing the stock.
● The prospective high growth for the next fiscal years is among the main assets of the company
● The group's activity appears highly profitable thanks to its outperforming net margins.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 74.88 USD
Weaknesses
● With an enterprise value anticipated at -0.11 times the sales for the current fiscal year, the company turns out to be overvalued.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
