“The Week”: FED vs. government

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  François Bloch
  Experte

Switzerland

The values of the Eastern Swiss technology stock are back to their former strength VAT (ticker symbol: VACN SW): +27.46 % in the last three months. According to my models, EBITDA could increase from CHF 400.4 million to CHF 473.1 million between 2022 and 2027, which would make the contrary stock market trend much easier to understand. The important thing here is that you reinvest the dividend in new shares.
Trading strategy: Buy

I am totally excited about the dermatology specialist Galderma (ticker symbol: GALD SW): +15.61 % in the last 90 days. According to the model, operating profit (EBIT) could rise from USD 738 million to USD 1.816 billion between 2024 and 2027, based on the current value of USD 48.93 billion.
Trading strategy: Buy

Finally, it seems that the pressure has been released on Straumann Holding’s (ticker symbol: STMN SW) shares. According to my models, the operating result (EBIT) could increase from CHF 602.6 million to CHF 794.1 million in the period between 2022 and 2027, which would offer new hope for investors.
Trading strategy: Buy

I am really enthusiastic about the share price performance of the pharmaceutical supplier Galenica (ticker symbol: GALE SW). If my models were correct, earnings per share could increase from CHF 3.32 to CHF 4.181 between 2022 and 2027. The dividend could improve from CHF 2.2 to CHF 2.62 over the same period.
Trading strategy: Buy

Swissquote’s shares (ticker symbol: SQN SW) are turning into a top-tier stock market rocket: up 1’771.37% over the past ten years. The operating result (EBIT) could jump from CHF 193.2 million to CHF 450.7 million between 2022 and 2027, which would be very promising for the CHF 7.13 billion share. The dividend per share could rise from CHF 2.2 to CHF 7.532 in the same period.
Trading strategy: Buy

Europe

Excitement is now building as to whether the Zug-based commodity stock Glencore (ticker symbol: GLEN LN) will ultimately complete the takeover by Rio Tinto successfully. Here you could create sentiment with covered calls with a term of six months. I would set the strike at-market.
Trading strategy: Buy (covered calls)

Fascinating are the shares of the German Siemens Energy AG (ticker symbol: ENR GY), which hardly anyone has had on their radar so far. The operating result (EBIT) could improve from EUR -2.776 billion to EUR 8.250 billion between 2023 and 2028. If this result actually materializes, the share price could gain even more momentum than in the past. The expected record EBIT margin of 13.01 % in 2027 would be extremely spectacular.
Trading strategy: Buy

The Italian insurance company Unipol Assicurazioni (ticker symbol: UNI IM), which, with a market capitalization of EUR 14.63 billion, tends to fly under the radar of the really big players. The operating result (EBIT) could rise from EUR 1.265 billion to EUR 1.954 billion between 2022 and 2027, which is impressive. The expected record EBIT margin of 10.9% in 2027 would also be outstanding.
Trading strategy: Buy

The price development of the securities of the Belgian UCB (ticker symbol: UCB BB) over the last 36 months. The operating result (EBIT) could jump from EUR 675 million to EUR 3.028 billion between 2022 and 2027. The development of the dividend payout would be extreme: from EUR 1.33 to EUR 1.616. Shareholders could really feel on the safe side here.
Trading strategy: Buy

The values of the Austrian Erste Group Bank (ticker symbol: EBS AT): The operating result (EBIT) could increase from EUR 3.996 billion to EUR 8.629 billion between 2022 and 2027. Here, the dividend should be reinvested in new securities on an annual basis. The expected dividend yield of 4.12% in 2027 would be remarkable.
Trading strategy: Buy

I like the values of the French seat manufacturer Safran (ticker symbol: SAF FP): the future prospects are more than excellent. The operating result (EBIT) could grow from EUR 2.408 billion to EUR 6.751 billion between 2022 and 2027, meaning that the price/earnings ratio could fall below the 30-point mark again for the first time. The EUR 132 billion stock could be part of any smart investment portfolio.
Trading strategy: Buy

Fascinating is the Italian cable manufacturer Prysmian (ticker symbol: PRY IM), as there is no end in sight to its strong share price performance. The book value per share could rise from EUR 13.37 to EUR 29.7 between 2022 and 2027. The expected dividend yield could reach a new record of 1.32% in 2027.
Trading strategy: Buy

The Austrian Strabag (ticker symbol: STR AT) offers enormous potential for the future. The operating result (EBIT) could rise from EUR 706.4 million to EUR 1.108 billion between 2022 and 2027. The expected record return on equity of 12.8% in 2027 would also be particularly attractive.
Trading strategy: Buy

The French Dassault Aviation (ticker symbol: AM FP) continues to show its best side on the stock market. The operating result (EBIT) could rise from EUR 572.3 million to EUR 1.003 billion between 2022 and 2027, which would make the stock even more attractive.
Trading strategy: Buy

The Italian insurance company continues to offer enormous potential Generali (ticker symbol: G IM), primarily due to the attractive dividend distributions, which should be reinvested annually. The operating result (EBIT) could increase from EUR 6.509 billion to EUR 9.069 billion between 2022 and 2027. The expected dividend yield in 2027 is likely to be 5.42%.
Trading strategy: Buy

USA/CAN

For growth-oriented investors, the card of Shopify Inc. (ticker symbol: SHOP US): The tech stock’s operating profit (EBIT) could improve from USD 782 million to a staggering USD 3.384 billion between 2023 and 2027. Book value per share could rise from USD 7.047 to USD 14.45 in the same period.
Trading strategy: Buy

The technology value is extremely exciting Lam Research (ticker symbol: LRCX US): The company is showing real power – in the truest sense of the word! The operating result (EBIT) could grow from USD 5.355 billion to USD 9.271 billion between 2023 and 2028. The only thing investors might not be enthusiastic about is the dividend payout.
Trading strategy: Buy

In the current market environment, the shares of the construction equipment rental company United Rentals (ticker symbol: URI US) are performing excellently and reaching new highs. Earnings per share could rise from USD 99.89 in 2021 to USD 170.2 in 2027. The expected return on equity could be 32.72% in 2026.
Trading strategy: Buy

I am fascinated by the share price potential of the US cancer specialist Exact Sciences (ticker symbol: EXAS US): Over the last twelve months, the share price has risen by +80.73%. If everything goes according to plan, the operating result (EBIT) could increase from USD -580 million to USD 243.6 million between 2022 and 2027.
Trading strategy: Buy

Yours sincerely,
François Bloch

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Investment idea of the week

It is important to us to provide you with a concrete investment idea. This week, François Bloch has opted for an implementation with Galenica, Straumann and VAT Group pronounced.

A barrier reverse convertible with ISIN CH1473750946 on the three shares offers an attractive coupon of 12.20%, with a barrier at 60% and a term of 12 months as a stabilizer in any portfolio.

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Disclaimer
payoff Media AG and François Bloch receive neither payments nor commissions from the products mentioned.