WhiteWave Foods Co : Bullish above USD 30
Entry price | Target | Stop-loss | Potential |
---|
$29.76 |
$33 |
$29.17 |
+10.89% |
---|
The fundamentals of the recently listed (October 2012) manufacturer of organic products are strong. Its Surperformance ratings underline its sales growth and its potential. Thus, sales are expected to burst in the comings years, reaching USD 4 billion by 2016, +56% compared to the last fiscal year. Moreover, both operating and net margins should rise reaching respectively 10% and 6.5% over the same period. Furthermore, analysts from Thomson Reuters have largely revised upward both revenue and EPS estimations over the year.
From a technical viewpoint, the stock prices have rebounded after a slight consolidation phase. They are approaching the USD 30 resistance level that stopped their bullish progression in early May. The breakout of this level, as indicated by well oriented moving averages on all time scales, will be the signal that the bullish trend is renewed.
Therefore, a long position could be taken above USD 30. The target will then be USD 33 near the ascending oblique. A stop loss will be placed under the entry points in case of a failure of the bullish overflow.
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