Shares in SUPERVALU INC. are currently testing the support level at 20.58 USD on the weekly chart. Investors should regard the recent downward movement as an opportunity to go long the stock. Investors have an opportunity to buy the stock and target the $ 21.4.
The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
The company has solid fundamentals for a short-term investment strategy.
The company shows low valuation levels, with an enterprise value at 0.15 times its sales.
Its low valuation, with P/E ratio at 8.27 and 7.46 for the ongoing fiscal year and 2019 respectively, makes the stock pretty attractive with regard to earnings multiples.
Sales forecast by analysts have been recently revised upwards.
Over the past year, analysts have regularly revised upwards their sales forecast for the company.
The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
The company sustains low margins.
The underlying tendency is negative on the weekly chart below the resistance at 21.75 USD