Workspace Group is experiencing a downward trend that could push it toward GBp 577, corresponding to a mid-term support.

The company is fragile. Financially, the group is in a difficult situation with a high leverage estimated at 4.55 for the current year. Forecasts downgraded by analysts regarding earnings per share reflect the lack of visibility in the short term.

From a technical viewpoint, prices are in a downward trend. Moving averages are trending down and put pressure on the stock, which confirms this downward momentum. This trend may continue toward the GBp 577 support.

Investors could take a short position in Workspace Group near the GBp 689 to target the GBp 577 area. They will also place a stop-loss above the GBp 689.5 resistance area, level that would invalidate our bearish strategy.