● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● From a short-term investment perspective, the company presents a deteriorated 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 62% by 2023.
● Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
● 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.
● The equity is one of the most attractive in the market with regard to earnings multiple-based valuation.
● The company's share price in relation to its net book value makes it look relatively cheap.
● Over the last 4 months, analysts have significantly revised upwards the company's estimated sales.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● Consensus analysts have strongly revised their opinion of the company over the past 12 months.
Weaknesses
● The company's currently anticipated earnings per share (EPS) growth for the next few years is a notable weakness.
● For the past year, analysts have significantly revised downwards their profit estimates.
● For the last four months, EPS estimates made by Standard & Poor's analysts have been revised downwards.
● Over the past four months, analysts' average price target has been revised downwards significantly.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The price targets of various analysts who make up the consensus differ significantly. This reflects different assessments and/or a difficulty in valuing the company.