This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.
Trade Parameters
Technical Observations – For
Technical Observations – Against
Technicals imply potential for bearish reversal to continue as far as April 2017 lows after today’s breakdown at 1000p. Financials caught up in global risk off with value of their investments falling. Higher bond yields means competition for investor funds seeking more security.
Consensus is very bullish but this may be misplaced (“If everyone’s a buyer, who’s left to bid the stock higher?”) in light of the global market downturn (Trade wars, Trump, Russia) potentially having legs. This may see some tempering of broker bullishness, downgrading the stock and revising down target prices, especially with the consensus being a whopping 26% above where the shares trade and 94% of brokers suggesting upside.
Next Event: Ex-div (27.45p), 5 Apr; Q1 New Business Announcement, 24 Apr
Latest Broker 12-Month Consensus: 80% Buy, 20% Hold, 0% Sell (full breakdown on request)
Source: DowJones Newswires, Reuters News, Bloomberg or Company Press releases
This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.
Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance. Prepared by Michael van Dulken, Head of Research