Dassault Systèmes: Stock Should Stay Rangebound In The Near-Term

May Investing Ideas profile picture
May Investing Ideas
313 Followers
(8min)

Summary

  • I give a hold rating for Dassault Systèmes due to visible headwinds in its largest revenue segment, industrial-related, impacting growth outlook.
  • Industrial-related revenue faces near-term headwinds from declining manufacturing output and supply chain pressures, affecting demand for DASTY's products.
  • Despite some momentum in the life science segment, the overall growth outlook remains pressured, justifying DASTY's valuation discount relative to peers.

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Investment overview

I give a hold rating for Dassault Systèmes (OTCPK:DASTY) as there are visible headwinds to its largest revenue segment (industrial-related). This is likely to continue, resulting in a poorer growth outlook relative to peers, and

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May Investing Ideas profile picture
313 Followers
I am an individual investor that is now fully focus on managing my own capital that I have saved up over the years. My investing background spreads across a wide spectrum as I believe there are merits to each approach, for instance: Fundamental investing [Bottoms-up etc.], Technical investing [historical charts analysis], and to some extend momentum investing [share price reaction post earnings etc.]. Over the years, I have used the positive aspects of each approach to hone my investing process. The reason to write on SeekingAlpha is to use this platform as a tracker for my investing ideas performance, and also to connect with like-minded investors that have the same investing interest.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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