● 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
● Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 96% by 2023.
● The stock, which is currently worth 2021 to 0.21 times its sales, is clearly overvalued in comparison with peers.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● Sales forecast by analysts have been recently revised upwards.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● For the past twelve months, EPS forecast has been revised upwards.
● The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.
Weaknesses
● The company's earnings growth outlook lacks momentum and is a weakness.
● The company's profitability before interest, taxes, depreciation and amortization characterizes fragile margins.
● Low profitability weakens the company.
● The company is not the most generous with respect to shareholders' compensation.
● Most analysts recommend that the stock should be sold or reduced.
● The three month average target prices set by analysts do not offer high potential in comparison with the current prices.
● Over the past twelve months, analysts' consensus has been significantly revised downwards.
● 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.