Kuoni released its first consolidated results after the purchase in May 2011 of the British GTA, a travel wholesaler for tour operators. The business of this new subsidiary specializes in B to B completes the "Destinations" branch, which now represents 54% of group turnover.

Cash has deteriorated: indeed, a 306 million Swiss francs debt appeared against net cash of 332 million last year, following the acquisition of GTA for a total of 670 million. However, net income rose 37% to 32 million Swiss francs. Analysts are therefore very confident about the company: 6 are at "buy", 6 at "Accumulate" and 4 at "Keep" on the 17 whose are following Kuoni.

Technically, the stock consolidates following a 15% increase in March. Moving averages are well oriented and 20-days' one would come and give a new impetus to the upward trend which would then test the 340 CHF level for the second time. The breakout of this level could aim to new upside targets.

The current consolidation phase could form a continuation pattern (flag) as soon as the 340 CHF will be exceeded. The support given by the short-term moving average is expected to achieve this scenario with a focus on 380 CHF (weekly resistance).
Investors can take a buying position on the security Kuoni with a protective stop will fixed below the 20-days moving average.