Sodexo : Expect the comeback of a strong trend
| Entry price | Target | Stop-loss | Potential |
|---|
|
€105.75 |
€112.5 |
€102 |
+6.38% |
|---|
Sodexo shares stand out with an interesting technical chart pattern displaying horizontal consolidation. One would assume that the current accumulation phase will cede eventually to an acceleration to the upside.
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.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
● The company has attractive valuation levels with a low EV/sales ratio compared with its peers.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 95.46 EUR
● The company does not generate enough profits, which is an alarming weak point.
● Most analysts agree on a negative opinion with regard to the stock. Indeed, the average consensus issues recommendations to underperform or sell.
● The three month average target prices set by analysts do not offer high potential in comparison with the current prices.
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SODEXO 
