The company Plexus has an important growth potential and is supported by technical levels.
The company characterizes by great growth and strong profitability. Upward revisions have been made on EPS and earnings in a two-year horizon giving argument for an upward movement of the stock. Moreover, valuation levels are still low with an "EV/Sales" ratio at 0.55x.
Recently, the evolution of the equity brought prices close to the short-term support at USD 37.8 which acts as a protection wall from the downtrend. This area and a bullish trendline are expected to annihilate bearish possibilities. Technical indicators allow aiming at USD 41.9, and later the medium-term resistance at USD 44.6.
Therefore, a buyer position could be taken over the short-term support at USD 39.1. The main target will be set at USD 44.6 with a mean objective at USD 41.92. The stop-loss could be triggered once the support broke.
Plexus Corp. is specialized in providing design and development, supply chain solutions, new product introduction, manufacturing, and sustaining services. The Company offers solutions to industrial, healthcare/life sciences and aerospace/defense market sectors by comprehensive solutions throughout the products lifecycle. Its segments include Americas (AMER), Asia-Pacific (APAC) and Europe, Middle East, and Africa (EMEA) regions. Its design and development services include user-centered design (UCD), mechanical engineering, electrical engineering, quality, and compliance engineering, project management, and software engineering. Its supply chain services include design for supply chain, supply chain risk management, actionable analytics, innovative sourcing, and others. Its new product introduction includes test engineering, rapid prototyping, and transition management. Its sustaining services include aftermarket services, product lifecycle extension, and distribution management.