Danieli Stocks Are Testing Investors’ Nerves
After a bullish phase that lasted about two months, since the end of November the Danieli stock has been trapped in a very narrow trading range. There are, therefore, all the conditions to talk about Ftse Mib shares that are putting investors’ nerves to the test. What are the levels beyond which the title could give rise to a management phase?
Gianpietro Benedetti CEO Danieli – projectiondiborsa.it
Even good news doesn’t move the prices
Without going too far in time, in the last two weeks there have been two important positive news which involved the Danieli stock.
The company has received funding from the European Investment Bank (EIB) to achieve climate neutrality by 2050. A very important goal if you consider that the global steel industry alone is responsible for 10% of CO2 emissions globally.
Danieli has signed a 150 million euro contract to supply a steel mill in the United States.
Despite this news the market reaction was practically non-existent with quotations that continued to remain paralysed.
Note that in the last year in its sector of reference only the Interpump share has done worse than Danieli. Furthermore, the latter did worse than the Ftse Mib index.
Fundamental analysis tells us that the stock is very well placed
Among the strengths of the title there is certainly its underestimation. Whatever the indicator used, in fact, the Danieli stock appears to be undervalued not only compared to its competitors, but also in absolute terms. For exampleboth the price to turnover ratio and the Price to Book ratio show an undervaluation of more than 70%. This is confirmed by price-to-earnings ratio which expresses an undervaluation of more than 80%.
They are more cautious the analyststheir average target price, in fact, expresses a over 30% undervaluation with a dispersion that is about 10%. This level of undervaluation is in line with the fair value, calculated using the discounted cash flow method, which expresses an undervaluation of around 18%.
As far as the financial situation is concerned, then, the liquidity index is higher than 1 and the ratio between debt and capitalization is equal to 25%.
Shares of the Ftse Mib that are putting investors’ nerves to the test: the indications of the graphic analysis
The title Danieli (MIL:DAN) closed the January 3 session at €21.35, down 0.47% on the previous session.
The ongoing trend on the Danieli stock is indecipherable – projectionsdiborsa.it
The current trend is indecipherable, given the constant reversals in the face. For several weeks, however, the quotations are caged within the range of 20.60 euros – 21.85 euros. Only a daily close outside one of these levels could give directionality to the quotes.
