November 16, 2023
Top 10 Stock Wacker Neuson Strong Buy Recommendation

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For each investment strategy, we provide you with more detailed analysis and our recommendation. You see the ranks of the top 10 stocks ranked by that particular investment strategy (360° View, Sentiment, Value, Growth, Safety and Combined Financial Performance).

360° View: Obermatt 360° View Wacker Neuson Strong Buy

360 METRICS	November 16, 2023
VALUE
VALUE	93
GROWTH
GROWTH	45
SAFETY
SAFETY	71
SENTIMENT
SENTIMENT	62
360° VIEW
360° VIEW	84

ANALYSIS: With an Obermatt 360° View of 84 (better than 84% compared with alternatives) for 2023, overall professional sentiment and financial characteristics for the stock Wacker Neuson are very positive. The 360° View is based on consolidating four consolidated indicators, with half of the indicators below and half above average for Wacker Neuson. The consolidated Value Rank has an attractive rank of 93, which means that the share price of Wacker Neuson is on the lower side compared with typical size in indicators such as revenues, profits, and invested capital. This means the stock price is lower than for 93% of alternative stocks in the same industry. The company is also safely financed with a Safety rank of 71. In addition, professional market sentiment is above average compared with other stock investment alternatives with a Sentiment Rank of 62. But the consolidated Growth Rank has a low rank of 45, which means that the company is below average in terms of growth and momentum when looking at financial metrics such as revenue, profit, and invested capital growth as well as stock returns. 55 of its competitors have better growth. ...read more

RECOMMENDATION: With a consolidated 360° View of 84, Wacker Neuson is better positioned than 84% of all alternative stock investment opportunities based on the Obermatt Method. Three out of four consolidated Obermatt Ranks show above-average performance. The stock has as good value (Value Rank of 93), secure financing practices (Safety Rank of 71), and positive market sentiment in the professional investor community (Sentiment Rank of 62). It is a solid stock investment where the risk of paying too much for the shares is limited, and disappointments are less likely to occur. The company’s growth expectations are below the industry average (Growth Rank of 45), but that could also be temporary since professional investors remain optimistic despite the low growth numbers. The low price as reflected in the good Value Rank could indicate that the company's future is challenging. The below-par growth performance may be the reason for this. Companies that grow less are typically cheaper than fast-growing competitors. We recommend evaluating whether the future of Wacker Neuson is as difficult as the stock’s low price suggests, despite the positive professional investor sentiment. Since the professional community is optimistic, you might have less to worry about, and the stock may just go through a more challenging phase now, indicating good timing. ...read more

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Sentiment Strategy: Professional Market Sentiment for Wacker Neuson positive

SENTIMENT METRICS	November 16, 2023
ANALYST OPINION
ANALYST OPINION	37
OPINIONS CHANGE
OPINIONS CHANGE	60
PRO HOLDINGS
PRO HOLDINGS	79
MARKET PULSE
MARKET PULSE	54
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	62

ANALYSIS: With an Obermatt Sentiment Rank of 62 (better than 62% compared with alternatives), overall professional sentiment and engagement for the stock Wacker Neuson is above average. The Sentiment Rank is based on consolidating four sentiment indicators, with all but one indicator above average for Wacker Neuson. Analyst Opinions are at a rank of 37 (worse than 63% of alternative investments), which means that currently, stock research analysts tend to warn against investing in the stock of the company. But they are changing their opinions! Analyst Opinions Change has a rank of 60, which indicates a shift in stock research experts opinions for the better. In other words, they are getting more optimistic about stock investments in Wacker Neuson. Even better, the Professional Investors rank is 79, meaning that professional investors hold more stock in this company than in 79% of alternative investment opportunities. Pros tend to favor investing in this company. Furthermore, Market Pulse has a rank of 54, which means that the current professional news and professional social networks are upbeat when discussing this company (more positive news than for 54% of competitors). ...read more

RECOMMENDATION: With a consolidated Sentiment Rank of 62 (more positive than 62% compared with investment alternatives), Wacker Neuson has a reputation among professional investors that is above-average compared with that of its competitors. While analysts are still critical of the company, some are changing their minds. In addition, the professional news channels are optimistic, and many institutional investors have already bought stock in the company. These are encouraging signals, despite the still lower level of analyst recommendations. They may be due to a problematic past, and about to change. The positive sentiment signals are stronger than the negative. ...read more

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Value Strategy: Wacker Neuson Stock Price Value at the top

VALUE METRICS	November 16, 2023
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	72
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	85
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	87
DIVIDEND YIELD
DIVIDEND YIELD	97
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	93

ANALYSIS: With an Obermatt Value Rank of 93 (better than 93% compared with alternatives) for 2023, Wacker Neuson shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for Wacker Neuson. Price-to-Sales is 72 which means that the stock price compared with what market professionals expect for future sales is lower than for 72% of comparable companies, indicating a good value for Wacker Neuson's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 85% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 87. Compared with other companies in the same industry, dividend yields of Wacker Neuson are expected to be higher than for 97% of all competitors (a Dividend Yield rank of 97). ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 93, is a buy recommendation based on Wacker Neuson's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in Wacker Neuson based on its detailed value metrics.

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Growth Strategy: Wacker Neuson Growth Momentum low

GROWTH METRICS	November 16, 2023
REVENUE GROWTH
REVENUE GROWTH	21
PROFIT GROWTH
PROFIT GROWTH	78
CAPITAL GROWTH
CAPITAL GROWTH	29
STOCK RETURNS
STOCK RETURNS	69
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	45

ANALYSIS: With an Obermatt Growth Rank of 45 (better than 45% compared with alternatives), Wacker Neuson shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Wacker Neuson. Profit Growth has a rank of 78, which means that currently professionals expect the company to grow its profits more than 78% of its competitors. This is a good sign for shareholders, which is confirmed by an above-average Stock Returns rank of 69 (above 69% of alternative investments). But Sales Growth has a below the median rank of 21, which means that, currently, professionals expect the company to grow less than 79% of its competitors, and Capital Growth also has a lower rank of 29. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 45, is a hold recommendation for growth and momentum investors. Because revenues and invested capital are the more solid growth indicators, the positive development on the profit side is less relevant. It may have been caused by cost-cutting, which may be a negative growth indicator. Finally, the above-average stock returns recently are a thing of the past and not a good indicator of future returns. Investors should be confident that the cost-cutting initiative leading to higher profits is to benefit the company's future. If not, there is little growth momentum, and investment is only advisable if the Value Ranks suggest a good investment timing for Wacker Neuson. ...read more

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Safety Strategy: Wacker Neuson Debt Financing Safety above-average

SAFETY METRICS	November 16, 2023
LEVERAGE
LEVERAGE	72
REFINANCING
REFINANCING	67
LIQUIDITY
LIQUIDITY	49
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	71

ANALYSIS: With an Obermatt Safety Rank of 71 (better than 71% compared with alternatives), the company Wacker Neuson has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of Wacker Neuson is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators where two out of three are above average for Wacker Neuson.Leverage is at 72, meaning the company has a below-average debt-to-equity ratio. It has less debt than 72% of its competitors.Refinancing is at a rank of 67, meaning that the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 67% of its competitors. Liquidity is at 49, meaning that the company generates less profit to service its debt than 51% of its competitors. This indicates that the company is on the riskier side regarding debt service. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 71 (better than 71% compared with alternatives), Wacker Neuson has a financing structure that is safer than that of its competitors. Low leverage and low refinancing risk mean a safer financing situation. However, low liquidity means that current company cash flows are low in relation to the level of debt. This is a sign of caution in case it is expected for profits to remain low. ...read more

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Combined financial peformance: Wacker Neuson Top Financial Performance

COMBINED PERFORMANCE	November 16, 2023
VALUE
VALUE	93
GROWTH
GROWTH	45
SAFETY
SAFETY	49
COMBINED
COMBINED	89

ANALYSIS: With an Obermatt Combined Rank of 89 (better than 89% compared with investment alternatives), Wacker Neuson (Heavy Machinery, Germany) shares have much better financial characteristics than comparable stocks. Shares of Wacker Neuson are a good value (attractively priced) with a consolidated Value Rank of 93 (better than 93% of alternatives), are safely financed (Safety Rank of 71, which means low debt burdens), but show below-average growth (Growth Rank of 45). ...read more

RECOMMENDATION: A Combined Rank of 89, is a strong buy recommendation based on Wacker Neuson's financial characteristics. As the company Wacker Neuson's key financial metrics exhibit good value (Obermatt Value Rank of 93) but low growth (Obermatt Growth Rank of 45) while being safely financed (Obermatt Safety Rank of 71), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 93% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. ...read more

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