Does this Upgrade present an opportunity for you?
Is it irrelevant, or will the Upgrade make the Reckitt Benckiser share price more attractive?
- Day by Day upgrades to Buy, with a target price of 7700p.
- Consensus: 13 Buys, 8 Holds, 5 Sell; Avg target: 6865p (Source: Bloomberg).
- Current share price 6414p (at time of writing).
- Will the shares turn back, or will the upgrade push them towards 6700p highs (+4.4%)?
- Shares -4.3% from 2019 highs; +15.5% from 2019 lows; +6.8% year-to date.
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Reckitt Benckiser – An Example
Let’s say you think that Reckitt Benckiser shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Reckitt Benckiser using a CFD, at the current price of 6414p. To do this, you need £2,000.
For the purpose of this example, let’s assume the Reckitt Benckiser share price rises to 6700p highs (+4.4%). Your profit would be £4400 from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. Reckitt Benckiser shares fall 2% and hit your stop-loss. Your loss would be £200.
This is provided for information purposes only. It should not be taken as a recommendation.