Mercedes-Benz Group AG : A technical turn-around configuration
Entry price | Target | Stop-loss | Potential |
---|
€59.42 |
€64 |
€57 |
+7.71% |
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The technical chart pattern of Daimler shares shows signs of a reversal that argue in favor of a return to a positive outlook over the medium term.
Summary● 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.
Strengths● The company is in a robust financial situation considering its net cash and margin position.
● The company is one of the most undervalued, with an "enterprise value to sales" ratio at 0.28 for the 2018 fiscal year.
● Its low valuation, with P/E ratio at 6.55 and 6.29 for the ongoing fiscal year and 2019 respectively, makes the stock pretty attractive with regard to earnings multiples.
● This company will be of major interest to investors in search of a high dividend stock.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
Weaknesses● As estimated by analysts, this group is among those businesses with the lowest growth prospects.
● The underlying tendency is negative on the weekly chart below the resistance at 64.87 EUR
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