● 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 share is getting closer to its long-term support in weekly data, at BRL 41.06, which offers good timing for buyers.
● The group's activity appears highly profitable thanks to its outperforming net margins.
● Historically, the company has been releasing figures that are above expectations.
● With a P/E ratio at 11.25 for the current year and 6.85 for next year, earnings multiples are highly attractive compared with competitors.
● This company will be of major interest to investors in search of a high dividend stock.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For the last week, the earnings per share forecast has been revised upwards. According to recent estimates, analysts give a positive overview of the stock
● For the last 4 months, the company has been enjoying highly positive EPS revisions, which were frequently and significantly raised.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
Weaknesses
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● Most analysts agree on a negative opinion with regard to the stock. Indeed, the average consensus issues recommendations to underperform or sell.
● Below the resistance at 52.62 BRL, the stock shows a negative configuration when looking looking at the weekly chart.