● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● The company presents an interesting fundamental situation from a short-term investment perspective.
● The company has a good ESG score relative to its sector, according to Refinitiv.
Strengths
● The earnings growth currently anticipated by analysts for the coming years is particularly strong.
● The company's EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.
● Its low valuation, with P/E ratio at 8.57 and 7.75 for the ongoing fiscal year and 2023 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The company has a low valuation given the cash flows generated by its activity.
● The company is one of the best yield companies with high dividend expectations.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● Over the past four months, analysts' average price target has been revised upwards significantly.
Weaknesses
● As estimated by analysts, this group is among those businesses with the lowest growth prospects.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● The group usually releases earnings worse than estimated.