Summary

● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.


Strengths

● Analysts expect a sharply increasing business volume for the group, with high growth rates in the coming years.

● The group's high margin levels account for strong profits.

● Thanks to a sound financial situation, the firm has significant leeway for investment.

● Considering the small differences between the analysts' various estimates, the group's business visibility is good.

● The group usually releases upbeat results with huge surprise rates.

● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.

● Over the last twelve months, the sales forecast has been frequently revised upwards.

● Analysts covering this company mostly recommend stock overweighting or purchase.

● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 53.1 HKD


Weaknesses

● Technically, the stock approaches a strong medium-term resistance at HKD 73.45.

● The company's "enterprise value to sales" ratio is among the highest in the world.

● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 76.32 times its estimated earnings per share for the ongoing year.

● The company is not the most generous with respect to shareholders' compensation.

● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.