José A. Santos (Patrivalor) | The stock valuation of the 60 Spanish companies amounted 609.718 billion euros at the end of November 2019, which represents an increase of + 8% compared to the end of 2018.
The weighted average target price is € 13.9, 9.6% less, while the weighted average market price is € 13.5 (it has increased by + 27.2% regarding the end of the year). Therefore, the weighted average discount between the price and the target price is 2.8%. The weighted Average Price / Benefit ratio is 18.8 times profits (it has increased by + 37.4% compared to the end of the year); the inverse of this ratio gives a profitability for profit of 5.3% (supposes a decrease of 27.2% with respect to last year).
The average recommendation is 2.7 points, slightly more selling than at the end of 2018 (between 1 and 2 points is considered to be “clear purchase” and between 3.5 and 5 is “clear sale”).
There are currently 22 stocks recommended in purchase (between 1 and 2 points), at the end of 2018 there were 28: Inditex, Cellnex Telecom, Almirall, Melia Hotels, Faes, Ezentis, Deoleo, Repsol, ArcelorMittal, Zardoya, Acerinox, Cie Automotive, Indra, Técnicas Reunidas, Ence, Ferrovial, Merlin Properties, FCC, Iberdrola, BBVA, CaixaBank and Corporación Alba.
There are 18 stocks recommended for sale (between 3.5 and 5 points)- at the end of 2018 there were 11. They are: Amadeus, Prosegur, Ebro Foods, Mediaset, Prisa, DIA, Pharmamar, Siemens Gamesa, Elecnor, Abengoa, Tubos Reunidos, OHL, Endesa, Naturgy, Enagas, Fluidra, Mapfre and Grupo Catalana Occidente.
