● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● According to Refinitiv, the company's ESG score for its industry is good.
Strengths
● Growth progress expectations are rather promising. Indeed, sales are expected to rise sharply in the coming years.
● Before interest, taxes, depreciation and amortization, the company's margins are particularly high.
● The group's activity appears highly profitable thanks to its outperforming net margins.
● Thanks to a sound financial situation, the firm has significant leeway for investment.
● Sales forecast by analysts have been recently revised upwards.
● For the last 4 months, the company has been enjoying highly positive EPS revisions, which were frequently and significantly raised.
● The opinion of analysts covering the stock has improved over the past four months.
● Historically, the company has been releasing figures that are above expectations.
Weaknesses
● With a 2023 P/E ratio at 29.57 times the estimated earnings, the company operates at rather significant levels of earnings multiples.
● The company's "enterprise value to sales" ratio is among the highest in the world.
● The company appears highly valued given the size of its balance sheet.
● The company is highly valued given the cash flows generated by its activity.
● The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.