DIRECT ENERGIE ● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
Strengths
● Graphically speaking, the timing seems perfect for purchasing the stock close to the EUR 31.53 support.
● Its core activity has a significant growth potential and sales are expected to surge, according to Thomson Reuters' forecast. Indeed, those may increase by 31% by 2019.
● The company shows low valuation levels, with an enterprise value at 0.68 times its sales.
● With a P/E ratio at 13.1 for the current year and 10.83 for next year, earnings multiples are highly attractive compared with competitors.
● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.
● Over the past year, analysts have regularly revised upwards their sales forecast for the company.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 28.68 EUR
Weaknesses
● Sales estimates for the next fiscal years vary from one analyst to another. This clearly highlights a lack of visibility into the company's future activity.
