Enel S.p.A. : A new test of the support level
Entry price | Target | Stop-loss | Potential |
---|
€5.18 |
€5.7 |
€4.92 |
+10.04% |
---|
The Enel share is coming back to a technical support zone comprising the lower bound of the trading range. This provides a good timing to go long on the stock.
Summary● In a short-term perspective, the company has interesting fundamentals.
Strengths● There is high visibility into the group's activities for the coming years. Outlooks on future revenues from analysts covering the equity remain similar. Such hardly dispersed estimates support highly predictable sales for the current and upcoming fiscal years.
● The company's attractive earnings multiples are brought to light by a P/E ratio at 14.52 for the current year.
● The company is one of the best yield companies with high dividend expectations.
● Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.
● The difference between current prices and the average target price is rather important and implies a significant appreciation potential for the stock.
● The stock is in a well-established, long-term rising trend above the technical support level at 4.69 EUR
Weaknesses● With relatively low growth outlooks, the group is not among those with the highest revenue growth potential.
● The group shows a rather high level of debt in proportion to its EBITDA.
● The company's earnings releases usually do not meet expectations.
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