Strategy published on : 01/10/2019 | 09:20
long tradeTarget price hit
Entry price : 137.5€
Target : 143.3€
Stop-loss : 134.5€
Potential : 4.22%
The recent downturn has taken Pernod Ricard shares close to a medium term support level around 137.45 EUR. The timing for a long trade in the stock appears good.
Investors have an opportunity to buy the stock and target the € 143.3.
● The share is getting closer to its long-term support in weekly data, at EUR 138, which offers good timing for buyers.
● The close medium term support offers good timing for purchasing the stock.
● The group's activity appears highly profitable thanks to its outperforming net margins.
● Considering the small differences between the analysts' various estimates, the group's business visibility is good.
● The tendency within the weekly time frame is positive above the technical support level at 138 EUR
● The company is in debt and has limited leeway for investment
● The company's earnings releases usually do not meet expectations.
● Based on current prices, the company has particularly high valuation levels.
● The company benefits from high valuations in earnings multiples.