Tuesday, July 5

Acerinox: consolidates the 10 euros despite the reduction of Jefferies

Acerinox had just seen the slower recovery, as well as the bottlenecks in the supply chain and the increase in raw materials, take their toll on its possible future path, which continues to be very favorable for its stock market so far anus. And in the same way, has gained positions after the optimism unleashed by taking away the iron from what he hoped would be more negative effects for the activity before the arrival of omicron.

Even on the negative side, New York’s Jefferies lowers the target price of its securities from the previous 15.5 euros to the current 14. Despite the significant reduction, the truth is that the potential for an upward trend that it awards reaches 36%. Let us also remember that Acerinox shares have not come close to that level of 14 euros for no less than April 2015, more than six and a half years.

In its stock chart, we see how the value bias has completely changed with the first good news on omicron’s account, although since the generalized debacle of November 26 continues to lose around 3.5% in the market. Recovers 3.38% only in the first two sessions of the week, it cuts the 7% falls in the twenty preceding sessions and returns to a 19% annual gain for the stock.

Acerinox annual share price

The technical indicators of Investment Strategies show us that Acerinox presents a note, in consolidation mode and reduced by half a point, of 6.5 total score compared to 10 possible points for value. Among the negative highlights the downtrend in the medium term, the quick total moment that is negative and also the range of increasing amplitude in the medium term.

On the other side we see how the trend is bullish in the long term, the overall slow moment is positive for Acerinox. Also the volume of business that, in its two aspects, both in the medium and long term, is showing increasing for the value. To this is added at the same time that the long-term volatility, measured in its amplitude range, is decreasing.

Acerinox “despite the accumulation of bearish excesses in oscillators, the price maintains a corrective process that glimpses a next bearish cross between its medium and long-term moving averages, thus consolidating a bearish objective at the height of the medium-term support zone projected from 9.505 / 9.37 euros per share “, highlights the technical analyst of Investment Strategies José Antonio González.

Acerinox on daily chart with average amplitude range in percentage, MACD oscillator and trading volume

Acerinox technical analysis of the value

Fundamental Analyst of Investment Strategies María Mira, states that “the ratios on estimation of results for 2021 are moderated, with a PER of 5.62 (5.94v under forecast for 2022) from a ratio 2020> 57v. The PEG ratio, which relates the PER with the estimated EPS growth (> 1,000%), is placed at very moderate levels (0.01v) and thus reflects the strong upward potential of the value ”.

In addition, the fundamental expert of ei points out that she finds “very positive a high yield on dividend (4.5%), with payment in cash and reinforced by the repurchase of own shares. Based on our fundamental valuation the recommendation is positive with a medium / long-term horizon ”.

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