The rebound of Jupiter Fund Management may continue in the coming trading sessions.

The British wealth manager keeps solid fundamentals. Its profitability is proven by its increasing turnover estimated at GBP 2.3 million in 2014, as well as its margins evaluated at 4.87% in 2015 against 3.50% this year. The company also shows interesting valuation levels with a P/E ratio expected to decrease from 26.5x to 17.4x, while EPS should increase significantly from 13.0 to 22.4 pence. Furthermore, the analysts’ average target price is GBp 415, which represents a good gain potential.

Graphically, the security is trading in a bearish trend in the long term. However, in the short-term, the stock has rebounded on the GBp 318 support area toward its mid-term resistance. This rebound is likely to continue. Indeed, moving averages in both short and middle terms are in an uptrend now and that argue for a continuation of the stock appreciation.

Investors could take advantage of the strong fundamentals and the technical rebound to buy the stock. The entry point could be fixed on the current prices to target the GBp 382.80 resistance. However, a stop loss should be placed under the GBp 347.70 level.