Intercos shares could be on the verge of accelerating higher
In a session characterized by strong uncertainty, the main index of Piazza Affari closed substantially unchanged, there were 3 shares that rose with sharply increasing volumes. Let’s talk about Intercos, Iveco Group and Leonardo. If the last two titles are now regulars on the upper floors of the Ftse Mib, the first showed a remarkable vitality that projected it very high in a colorless session.
Valuation according to market multiples and analyst recommendations
Evaluating the Intercos share through market multiples is not trivial. The indications that come from the different indicatorsindeed, they are contradictory.
Eg, the price/earnings ratio of the share is equal to 44.3x to be compared with the average 21.5x of the reference sector. So we are talking about one overestimation by more than 50%. If, on the other hand, one goes on to consider the price to turnover ratio or the Price to Book ratio, we discover that the prices are undervalued by at least 20%. In particular, the price-to-turnover ratio, even if lower than the average of the reference sector, is high in absolute terms being equal to approximately 2.
For the fair value calculated with the discounted cash flow method, on the other hand, the overvaluation rises to around 70%.
According to analysts’ recommendations, the average target price expresses an undervaluation of around 16%.
3 shares that rise with sharply increasing volumes: the indications of the graphic analysis on the Intercos share
The title Intercos (MIL:ICOS) closed the January 25 session at €13.09, up 3.07% on the previous session.
Very uncertain averages on the Intercos stock that could turn up or down in a short time
From the lows of November, Intercos shares have recovered around 40%. However, they have not yet passed the fvery high resistance area at €13.5. Only in this case could an upward acceleration materialize.
In this sense, today could be an important turning point. The rise of more than 3%, in fact, it was accompanied by an increase in volumes of over 400%.
Before concluding, we want to highlight an aspect of the stock that could involve risks for investors. In fact, the average daily value traded on Intercos is around €250,000. A really low level if you consider that the capitalization is around one billion euros. All of this translates into a high volatility for the stock which is more volatile than 75% of the shares in Piazza Affari.
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