Cineworld Group PLC : The uptrend should resume
By Florian Girard
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 474.5 | GBX 0 | GBX 464.8 | -100% |
The company’s fundamentals are still strong. Sales and operating income are expected to keep a 2 digits growth. Analysts from Thomson Reuters consensus have revised upward their EPS estimates. The current price shows a +11% potential to reach the average price target.
Technically, the security has showed a bullish configuration for several months. Prices have been supported by increasing moving averages. In weekly data, 20-week moving average helps the stock to keep its uptrend. The current accumulation phase, started about a month ago, could lead to a breakout of the GBp 489.70 resistance.
Consequently, investors may firstly target a rebound toward the short term resistance, and if a breakout happens, set the GBp500 threshold as a goal. A stop loss should be set at GBp 464.8.