Is this an opportunity to take a position ahead of the results?
N Brown issues a Q1 Trading Update on Thurs, 20 Jun
- Last time N Brown reported: FY Results, 2 May.
- The shares rose as much as 23.5% on the day for a daily range of 18.9p or 17.6%.
- Shares -6.8% from 2019 highs; +71.8% from 2019 lows; +51.2% year-to-date.
- Currently 142.5p (at time of writing).
- Could we see another big move on Thursday?
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading N Brown – An Example
Let’s say you think that N Brown results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of N Brown using CFDs, at the current price of 142.5p. To do this, you need £2,000.
For the purpose of this example, let’s assume N Brown 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 position, and place a stop-loss 3% below the current price. N Brown 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.