Poundland Group PLC : A technical rebound is expected
By Florian Girard
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 318 | GBX 0 | GBX 306 | -100% |
Financial forecasts are encouraging, sales and EBITDA should display 2 digits growth rate. There is a +13% potential to reach the consensus average target price.
Technically, the share is near a significant long term support that should stop the drop started a few weeks ago. This threshold and the close lower trend line could allow a technical rebound. Moreover, technical indicators show a significant oversold condition which strengthens this bullish scenario.
Consequently, investors may open a long position at current prices and target the GBp 341 resistance. A stop loss should be set at GBp 306.