(SECU-B) Securitas - Ratings and Ratios

Securitas AB is a global security services provider operating in multiple regions, including North America, Europe, Latin America, Africa, the Middle East, Asia, and Australia, with a diverse portfolio of services that include risk intelligence, safety and security, operation management, advisory, and technology security services. The companys comprehensive service offerings enable it to cater to a wide range of clients across various industries.

With a presence in numerous markets, Securitas AB has established itself as a significant player in the security services industry, leveraging its expertise to provide tailored solutions to its clients. The companys three main segments - Securitas North America, Securitas Europe, and Securitas Ibero-America - allow it to effectively manage its operations and respond to regional market dynamics.

From a technical analysis perspective, the stocks recent price movement indicates a relatively stable trend, with the last price of 141.75 being slightly below the 20-day Simple Moving Average (SMA) of 143.86. However, the 50-day SMA of 141.93 is very close to the current price, suggesting a potential support level. The 200-day SMA of 134.49 is significantly lower, indicating a longer-term uptrend. With an Average True Range (ATR) of 3.18, representing a 2.24% daily price movement, the stock is experiencing moderate volatility.

Using the available technical and fundamental data, a forecast for Securitas AB can be constructed. Given the companys solid financials, as indicated by a Return on Equity (RoE) of 13.51%, and a relatively attractive forward Price-to-Earnings (P/E) ratio of 11.85, the stock appears to be undervalued. Additionally, the stocks price is currently near its 52-week low of 100.77 and has a 52-week high of 156.09, suggesting potential for growth. If the stock continues its current trend and breaks above the 20-day SMA, it may target the 52-week high. Conversely, a decline below the 50-day SMA could signal a potential correction.

Based on the analysis, a potential forecast for Securitas AB is a price target of 155-160 SEK in the next 6-12 months, driven by the companys strong financial performance, diversified service offerings, and a relatively attractive valuation. However, this forecast is contingent upon the stocks ability to break above the 20-day SMA and sustain its upward momentum.