● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
● The company presents an interesting fundamental situation from a short-term investment perspective.
● The company has a good ESG score relative to its sector, according to Refinitiv.
Strengths
● Its core activity has a significant growth potential and sales are expected to surge, according to Standard & Poor's' forecast. Indeed, those may increase by 48% by 2025.
● Its low valuation, with P/E ratio at 8.27 and 6.75 for the ongoing fiscal year and 2024 respectively, makes the stock pretty attractive with regard to earnings multiples.
● The company shows low valuation levels, with an enterprise value at 0.22 times its sales.
● The company's share price in relation to its net book value makes it look relatively cheap.
● For the last few months, EPS revisions have remained quite promising. Analysts now anticipate higher profitability levels than before.
● The opinion of analysts covering the stock has improved over the past four months.
● Over the past twelve months, analysts' opinions have been strongly revised upwards.
● Historically, the company has been releasing figures that are above expectations.
Weaknesses
● The company's profitability before interest, taxes, depreciation and amortization characterizes fragile margins.
● Over the past four months, analysts' average price target has been revised downwards significantly.