J Sainsbury plc : A solid bullish trend
Entry price | Target | Stop-loss | Potential |
---|
GBX 400.5 |
GBX 430 |
GBX 388.78 |
+7.37% |
---|
J Sainsbury should breakout the GBp 400.8 resistance in the short term.
From a fundamental viewpoint, the group is in a good financial situation. The ratio Entreprise value/sales of 0.41x for 2013 show a low valuation level, evidence of an investment opportunity.
Graphically, the security is up 20% since the 1st January. It seems able to continue this uptrend supported by moving averages and to cross the GBp 400.8 mid-term resistance. The crossing of this level, will give an upward orientation of the stock in the medium and long term.
Taking into account all these elements, investors could buy the stock at the current price. The target price is set around the GBp 430, corresponding to the bullish trend line. A stop loss will be fixed below the GBp 392.8 short term support, threshold that would invalidate the strategy.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.