A trading opportunity for you?
Will Hikma Pharma continue falling, or will it recover to 1755p last week’s highs?
- Hikma Pharma shares -10% in one week
- 13 Mar: Profits missed market consensus.
- Already bounced +2.4% from Wednesday’s lows.
- Now trades 1579p (at time of writing).
- Shares -11.7% from 2019 highs; +5.8% from 2019 lows; -8.2% year-to-date.
- Can the stock recover to recent highs?
- Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal
Trading Hikma Pharma – An Example
Let’s say you feel that the stock is a bargain and you think could bounce back towards 110p. You decide to buy exposure to £10,000 worth of Hikma Pharma using a CFD, at the current price of 1579p. To do this, you need £2,000.
Let’s assume Hikma Pharma recovers back to 1755p last week’s highs (+11.1%). Your profit would be £1110, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. Hikma Pharma falls 5% and hits your stop-loss. Your loss would be £500.
This is provided for information purposes only. It should not be taken as a recommendation.