ACS resumes the price prior to Covid-19 with losses of 16.5%

ACS has just closed two more than important contracts in #Australia. #Specifically, its subsidiary #Cimic has achieved two operations totaling 488 million euros with the #Aussie telecommunications company #Telstra and the #Anglo #American’s #Metallurgical #Coal.

#While advancing its divestment policy. #On the one hand, it has sold its last toll road in #Portugal, #Baixo #Alentejo, to #Vauban for a figure that could be around 100 million euros. #On the other, also in #Australia, closes the operation announced in #October with the sale of 50% of the #Thiess mining company to the #British #Elliot for an amount that will mean a gross income of 1,150 million euros.

#If we look at the value from the inside, we see that in its price graph it returns to levels lost since #February, only registered momentarily at the end of #November, consolidating the 27.30 euros per share. #This means that it remains positive in #December with an advance of%. #In fact, since the vaccine rally, the value has recovered consistency in the market and capitalization that is already around 8,500 million euros. #While, about to close 2020 remains negative, with losses since #January 1 of 16.5%.

“The price registers a relative maximum at 28.19 euros, a level very close to the bottom downward guideline, a reference that technical reached with a reduction in contracting activity. #In this context, consolidation symptoms accumulate that allow the start to normalize accumulated overbought readings in oscillators, a process that for now does not alter the growing structure of the fund.

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

#If we pay attention to what our premium technical indicators provide us, we see that ACS reaches, in bullish mode and improvement by one point, a note of 8 out of a total score of 10. #On the favorable side, the upward trend in the medium and long term stands out, the total slow and fast positive moment and the long-term increasing volume. #On the other hand, the volume in the medium term is decreasing and the range of amplitude, in the medium and long term, remains increasing.
“In a valuation by ratios and based on the average market results forecast for the end of 2020, the market undervalues ​​the company. #With growth margin by multiples, PER 9.78vv, compared to a historical average ratio for the group of 10.89v and a half for the 24v #Ibex 35. #Discount for P / sales and very moderate EV / EBITDA multiple, <4v ”, says #María #Mira.
#And it also highlights that “based on the forecast for 2021 results, with an expected EPS of € 2.57 / share, the PEG ratio remains very controlled, showing the potential of the value in the medium / long term. #Also coupled with a very remarkable yield on dividend-Yield (#Yield> 8.5%). #Based on our fundamental valuation we are positive with the value in the medium / long term ”.

“Among the risks to value, the fundamental analyst at #Ei points out the risk due to stiff competition from large #Asian construction groups (mainly #Chinese) that are strengthening in #Latin #America and hindering ACS’s growth in that region. #Also noteworthy is the currency risk, which has eaten € 717 million in revenue up to #September, 75 million from EBITDA and € 20 million in net income ”.

#And the expert adds another “of course, the main point of uncertainty and risk is in the evolution of the COVID-19 pandemic, which is still far from being controlled. #Abertis is the business most impacted and contributes 25% of sales to the group ”.
#While on the positive side, #María #Mira highlights “a solid balance sheet, with a controlled debt and a dividend that for the moment is not in danger.”

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