Alphabet Inc. : There is still some upside potential
Entry price | Target | Stop-loss | Potential |
---|
US$1,362.74 |
US$1,490 |
US$1,260 |
+9.34% |
---|
Shares in Alphabet Inc. show a positive technical chart pattern over the medium term. The timing to jump back on the rising trend seems good.
Summary● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
Strengths● Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 46% by 2022.
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Analysts covering this company mostly recommend stock overweighting or purchase.
Weaknesses● With an enterprise value anticipated at 4.58 times the sales for the current fiscal year, the company turns out to be overvalued.
● The firm trades with high earnings multiples: 31.54 times its 2020 earnings per share.
● The sales outlook for the group was lowered in the last twelve months. This change in forecast points out a decline in activity as well as pessimistic analyses of the company.
● For the last four months, EPS estimates made by Standard & Poor's analysts have been revised downwards.
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