German stock alert

GFR

Afternoon Alert: Hochtief up 2.0% in 2 days 25 May 2018 13:16 CEST

NEWS BITES - EUROPE

Hochtief AG (ETR:HOT) extended its gains on Friday, rising an additional EUR2.90 (or 1.9%) to trade at EUR155.10. Trading volume was 2.1 times average so far today. The shares have risen EUR3.10 (or 2.0%) over the past two trading days vs. the DAX Index which has risen 0.04% in the same period.

Current indications of bullish signals that support the trend in the unusual trading:

+ The positive 1.65 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The price lifted 2.2% in the last week and climbed 5.9% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Dividend yield of 2.2% [0.6%]

+ Return on Capital Employed 18.7% [5.4%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.7. Compared with the rest of the market the stock is undervalued.

+ As per the Du Pont analysis, Return on Equity is high at 23.5%.

+ Return on Capital Employed is positive and has seen consecutive rises in recent years.

Note

Hochtief today is at a discount of 8.5% to the 12-month high of EUR169.47 on 19 Jun, 2017. It is at a premium of 22.8% to the 12-month low of EUR126.35 on 09 Feb, 2018.

The stock has outperformed 64% of the Xetra market over the past 6 months.

Bearish Signals:

Net profit margin has averaged 2.1% in the last 3 years. This suggests the company is less profitable with a low margin of safety.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Price to Book of 16.7 [3.6]

Hochtief AG (DE:HOT; ETR:HOT; GR:HOT)

ISIN: DE0006070006

PermID: 4295869084

Source: www.BuySellSignals.com