Marks & Spencer Group plc : Continuation V-bottom pattern
By Arnaud Le Berre
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 473.7 | GBX 0 | GBX 449.5 | -100% |
From a fundamental viewpoint, the company seems undervalued relatively to its peers with an EV/Sales ratio of 0.99x. Also, the company is currently paid 14.3x its earnings per share for 2014 and 12.5x for 2015.
Thus, the technical and fundamental configuration argue in favor of a return towards the GBp 489 resistance and, then, a bullish continuation in direction of the increasing trend line around GBp 510. A stop loss will be placed under the pivot point.