Vipshop Holdings Limited : No turn-around in sight
Entry price | Target | Stop-loss | Potential |
---|
US$14.21 |
US$16.7 |
US$13.2 |
+17.52% |
---|
The underlying tendency is to the upside for shares in Vipshop Holdings Limited 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 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 usually releases upbeat results with huge surprise rates.
● The company is one of the most undervalued, with an "enterprise value to sales" ratio at 0.03 for the 2019 fiscal year.
● Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.
● The tendency within the weekly time frame is positive above the technical support level at 9.75 USD
Weaknesses● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● The stock is close to a major daily resistance at USD 15.26, which should be gotten rid of so as to gain new appreciation potential.
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