MGIC Investment Corporation : The trend should regain control
| Entry price | Target | Stop-loss | Potential |
|---|
|
US$26.34 |
US$28 |
US$24.9 |
+6.3% |
|---|
MGIC Investment Corporation shares show a positive technical situation which suggests a continuation of the upward dynamic over the medium term.
Summary● Overall, and from a short-term perspective, the company presents an interesting fundamental situation.
● Margins returned by the company are among the highest on the stock exchange list. Its core activity clears big profits.
● The equity is one of the most attractive in the market with regard to earnings multiple-based valuation.
● For the last few months, EPS revisions have remained quite promising. Analysts now anticipate higher profitability levels than before.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
● The divergence of price targets given by the various analysts who make up the consensus is relatively low, suggesting a consensus method of evaluating the company and its prospects.
● The group usually releases upbeat results with huge surprise rates.
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● The company's earnings growth outlook lacks momentum and is a weakness.
● Over the past twelve months, analysts' opinions have been revised negatively.
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