The Restaurant Group PLC : Bullish trend

12/07/2012 | 03:16am Opinion : Bullish above 391 GBp Target price : 430.1 GBp Potential: 10.76% Stop loss: 379.27 GBp

LONDON STOCK EXCHANGE Restaurants

The Restaurant Group could breakout the GBp 391 resistance in the short term.

From a fundamental viewpoint, despite a high valuation, analysts polled by Thomson Reuters have regularly revised upward the earning per share estimates. Consequently, profitability is improving, showing a relatively good financial health of the company.

Since several months, the stock has initiated a sharp bullish trend mainly due to strong fundamentals. The move could be continued, supported by the 20-day moving average, and return to its highest price levels.

Investors could take a buy position once prices will be above the resistance. A stop loss will be placed under GBp 379.3.

Copyright (c) 2013 4-Traders.com

Disclaimer : 4-Traders.com is not registered as a securities broker-dealer or investment adviser with any jurisdiction and is not providing any personalized financial, investment or tax advice. 4-Traders cannot assess or guarantee the suitability of any particular investment to any personal situation. Accordingly, you bear complete responsibility for your own investment, financial, and tax research and decisions and should seek the advice of a qualified professional prior to making any decisions based on 4-Traders' website information. This article is provided solely for informational purposes, and does not constitute an offer or solicitation to buy or sell any securities. All opinions expressed and information and data provided therein are subject to change without notice.