Halfords Group plc : Keen interest
By Etienne Veber
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 439.7 | GBX 470 | GBX 419 | +6.89% |
From a fundamental viewpoint, the company shows positive information with an estimated PER of 14.5x for the current year. Furthermore, the EV/Sales ratio is 0.98x and it confirms the low valuation. Revenues and operating margin growth rates add relevance to this investment.
Technically, the security is going back to a significant support area both in daily and weekly data(GBp 427/430). This area should stop the recent downward movement. Indeed, already tested many times, this weekly support has helped the stock to stay in a neutral trend in the long term.
As a result, active investors can take a long position in Halfords Group close to the GBp 430 support area. The target price is GBp 465/470. If there is a breakdown of the GBp 427.2 support, investors should close their positions.