Stocks that rise despite the downturn in the markets

Buying and selling shares or other financial instruments in agitated phases such as those that have been happening in recent months is not a trivial exercise. Is it worth buying stocks when inflation rises? If so, which ones to prefer?

Even the loss of a safe haven asset like gold only complicates the global scenario.

The ideal would be to find stocks that rise despite falling markets. From a careful analysis of the stocks listed on Piazza Affari, we discover that Fiera Milano is one of those stocks set to rise despite everything.

The ongoing rally could be supported by the strong undervaluation

According to the valuation based on market multiples, the Fiera Milano stock is currently very undervalued. By applying market multiples, in fact, Fiera Milano shares are always undervalued regardless of the indicator used. In particular, the ratio between price and earnings, equal to 3.1x, expresses an undervaluation of more than 80%. Underestimation also confirmed by the ratio between price and turnover, which is equal to 0.9, and by the Price to Book ratio.

Conversely, the fair value, calculated using the discounted cash flow method, expresses an overvaluation of approximately 30%.

According to what is reported in the trade journals, the average recommendation of analysts is to maintain with an average target price that expresses an undervaluation of around 13%. Furthermore, the dispersion between the various recommendations is very limited, being less than 5%.

Stocks that rise despite the decline of the markets: the warning levels according to the graphical analysis

The stock title Milan fair (MIL: FR) closed the session on 16 September at € 3.20, unchanged from the previous session.

At present, the current trend is bullish and the prices have exceeded the most probable target in the 3.17 euro area (I price target). The resistance of this level to bearish pressures strengthens it more and more and could favor the achievement of the II price target in the 3.34 euro area. The maximum bullish extension, on the other hand, could be placed in the 3.51 euro area.

Only a daily close below € 3.17 could favor a resumption of the downside that could gain strength from a daily close below € 3.065.

Milan fair

Recommended reading

Inflation brings down gold prices which could accelerate to the downside

The results of the forecasts in this article are based on statistical calculations explained in the ebooks published by ProiezionidiBorsa and processed on the basis of the available price history. (We also remind you to carefully read the warnings regarding this article and the author’s responsibilities, which can be consulted HERE”)

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