E.D.F. : Major technical obstacle ahead that will put the market into pause mode
Entry price | Target | Stop-loss | Potential |
---|
€12.8 |
€10.6 |
€13.55 |
+17.16% |
---|
The share price of Electricité de France is touching a resistance on the weekly chart at around 13.55 EUR. After the price rise that was seen over the past weeks, the stock's upside potential now appears limited while there is some risque that a correction may occur.
Strengths● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
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 currently in contact with a medium-term resistance that must be gotten rid of so as to resume the upward trend.
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● The company does not generate enough profits, which is an alarming weak point.
● The group shows a rather high level of debt in proportion to its EBITDA.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● For the last few months, analysts have been revising downwards their earnings forecast.
● For the past year, analysts have significantly revised downwards their profit estimates.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.