● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
Strengths
● The share is getting closer to its long-term support in weekly data, at JPY 670, which offers good timing for buyers.
● Graphically speaking, the timing seems perfect for purchasing the stock close to the JPY 655 support.
● The company is in a robust financial situation considering its net cash and margin position.
● As regards fundamentals, the enterprise value to sales ratio is at 0.94 for the current period. Therefore, the company is undervalued.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The tendency within the weekly time frame is positive above the technical support level at 670 JPY
Weaknesses
● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.