(PAT) Patentus - Ratings and Ratios

Patentus S.A. is a Poland-based manufacturer specializing in mining machinery and equipment. Established in 1992 and headquartered in Pszczyna, the company provides a wide range of products, including gear wheels, belt conveyors, coal crushers, and both heavy and light scraper conveyors. Additionally, it offers gearbox repairs and spare parts for conveyors. Beyond manufacturing, Patentus S.A. delivers an extensive array of industrial services, such as bending, boring, slotting, cutting, grinding, heat treatment, metallographic and metrological measurements, milling, painting, gear shaper cutters sharpening, hob cutters sharpening, turning, welding, and carousel turning. The company serves the mining and heavy machinery sectors, leveraging its expertise to maintain a strong position in the Polish market. Web URL: https://www.patentus.pl.

The company operates in the Construction Machinery & Heavy Transportation Equipment sector, listed on the Warsaw Stock Exchange under the ticker symbol PAT. Its market capitalization stands at 94.40M PLN, with a price-to-earnings ratio of 1.88 and a price-to-book ratio of 0.58. The trailing price-to-sales ratio is 0.45, and the return on equity is 29.92. The stocks recent price is 4.15 PLN, with a 20-day average volume of 28,503 shares. The short-term moving averages (SMA 20 and SMA 50) are 3.19 and 3.20, respectively, while the long-term SMA 200 is 3.64. The Average True Range (ATR) is 0.16, indicating relatively low volatility.

3-Month Forecast:

From a technical perspective, the stock has recently broken above its SMA 50 and SMA 20, signaling potential short-term strength. However, the low ATR of 0.16 suggests limited volatility, which could translate to a narrow trading range. If the price maintains its current trajectory, it may test the SMA 200 level of 3.64, though this would require a downward correction from its current price of 4.15.

Fundamentally, the companys low P/E ratio of 1.88 and high RoE of 29.92 indicate undervaluation and strong profitability. However, the absence of a forward P/E figure introduces uncertainty about future earnings expectations. The P/B ratio of 0.58 suggests that the stock is trading below its book value, which could attract value investors.

Overall, the stock is expected to remain range-bound with a slight upward bias, driven by its current momentum and attractive valuations. However, investors should monitor potential risks tied to the mining sectors cyclicality and the companys reliance on domestic markets.