● 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 group's high margin levels account for strong profits.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Analysts remain confident with respect to the group's activity and, more often than not, have revised upwards their earnings per share estimates.
● Predictions on business development from analysts polled by Standard & Poor's are tight. This results from either a good visibility into core activities or accurate earnings releases.
● The group usually releases upbeat results with huge surprise rates.
Weaknesses
● The company benefits from high valuations in earnings multiples.
● With an enterprise value anticipated at 4.43 times the sales for the current fiscal year, the company turns out to be overvalued.
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● The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.