From a fundamental viewpoint, the company is strong. It has a reasonable valuation with an EV/Sales ratio of 0.82x. The Thomson Reuters consensus revised regularly upward EPS estimates of the company for the current year. The great business predictability emphasize the quality of this investment in the mid-term.
Technically, the security is in an uptrend on all time scales and it is supported by moving averages. This trend should allow the stock to overcome the EUR 16.35 resistance and then to reach the EUR 17.
In consequence, investors can take a long position in Freenet above the EUR 16.35 resistance. The first objective will be set at EUR 17, then we can expected to reach the EUR 18.5 historical area. A stop loss will be fixed under the EUR 16.35 resistance.
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