● 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.
● According to Refinitiv, the company's ESG score for its industry is good.
Strengths
● The company is in a robust financial situation considering its net cash and margin position.
● The company is one of the most undervalued, with an "enterprise value to sales" ratio at 0.48 for the 2022 fiscal year.
● Given the positive cash flows generated by its business, the company's valuation level is an asset.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● 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 difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.
● Analyst opinion has improved significantly over the past four months.
● Consensus analysts have strongly revised their opinion of the company over the past 12 months.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
Weaknesses
● The company's currently anticipated earnings per share (EPS) growth for the next few years is a notable weakness.
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
● The price targets of analysts who cover the stock differ significantly. This implies difficulties in evaluating the company and its business.