The underlying tendency is to the upside for shares in EL.En. S.p.A. and the timing is opportune to get back into the stock. A comeback of the upward dynamic can be anticipated.
Summary
● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
Strengths
● The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
● The company is in a robust financial situation considering its net cash and margin position.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● Analysts remain confident with respect to the group's activity and, more often than not, have revised upwards their earnings per share estimates.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.
● Over the past twelve months, analysts' opinions have been strongly revised upwards.
Weaknesses
● The company appears highly valued given the size of its balance sheet.
● The valuation of the company is particularly high given the cash flows generated by its activity.
● The company is not the most generous with respect to shareholders' compensation.
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El En SpA is an Italy-based company primarily engaged in the production of laser systems. It controls a group of companies active in the manufacture, research, development, distribution and sale of laser equipment.The Company's range of products includes laser systems for dermatology, surgery, cosmetics, physiotherapy, dentistry and gynaecology, laser systems for cutting, marking and welding of metals, wood, plastic and glass; decoration of leather and fabrics, conservative restoration of works of art. The Company also offers accessories, after-sale services and consulting in the related areas.