Ferguson issues a Q1 Interim Management Statement on Tues, 4 Dec

• The chart shows the price movement last time Ferguson reported: FY Results, 2 Oct.
• The shares opened -326p (-5%), rebounded to -248p (-3.8%, high of the day) and traded as low as -456p (-7%)
• Shares closed -446p (-6.8%), for a daily trading range of 208p or 3.2%.
• 3 Oct: Analysts at Numis say Ferguson should maintain its momentum in the coming year though unchanged 2018-19 estimates.
• 2 Oct: The building materials supplier reported a 15% rise in profit, but struggles in UK business (£72m restructuring charges) overshadowed continued growth in its core US market.
• Shares -27% from 2018 highs, +2.7% from 2018 lows, -8% year-to-date.
• Recent share price range: Nov lows 4688p; Nov highs 5397p. Currently 4900p (at time of writing).
• Ferguson issues a Q1 Interim Management Statement on Tues, 4 Dec. Will we see another big move?

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Trading Ferguson – An Example

Let’s say you think that Ferguson results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Ferguson using CFDs, at the current price of 4900p. To do this, you need £2,000.

For the purpose of this example, let’s assume Ferguson reports strong results and the shares rise 10%. Your profit would be £1000, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss 3% below the current price. Ferguson results miss, it falls 3% and hits your stop-loss. Your loss would be £300.

This is provided for information purposes only. It should not be taken as a recommendation.