The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.
Overall, and from a short-term perspective, the company presents an interesting fundamental situation.
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 57% by 2026.
The company's earnings per share (EPS) are expected to grow significantly over the next few years according to the consensus of analysts covering the stock.
With regards to fundamentals, the enterprise value to sales ratio is at 0.73 for the current period. Therefore, the company is undervalued.
Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
Analysts covering this company mostly recommend stock overweighting or purchase.
The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
The opinion of analysts covering the stock has improved over the past four months.
The group usually releases upbeat results with huge surprise rates.
Weaknesses
As a percentage of sales and without taking into account depreciation and amortization, the company has relatively low margins.
In relation to the value of its tangible assets, the company's valuation appears relatively high.
The firm pays small or no dividend to shareholders. For that reason, it is not a yield company.
For the last 12 months, analysts have been regularly downgrading their EPS expectations. Analysts predict worse results for the company against their predictions a year ago.
The average price target of analysts who are interested in the stock has been significantly revised downwards over the last four months.
Over the past twelve months, analysts' consensus has been significantly revised downwards.