The Renishaw company's stock, specializing in the fields of metrology, spectroscopy and precision machining, suffered heavy clearances during the last months and comes back on contact with an important level of December at GBp 1871.
However, concerning fundamentals, the company remains credited with good Surperformance ratings. Indeed, the financial situation of the company remains strong with sales up +29% to half a billion pounds. Net income per share is up +30% at GBp 168. The consensus of analysts following this stock remains confident with an average price target at GBp 2,400.
Technically, this share shows a negative configuration in the short term and under the resistance of GBp 2048 as evidenced by the downward trend of the 20-day moving average (currently located at GBp 1945.8). Nevertheless, the stock now appears in oversold condition and close to an important technical support in daily data at GBp 1871. In addition, the share increased nearly 2% over the last sessions.
To take advantage of a possible technical rebound on the share Renishaw, it seems appropriate to open a long position in the current price area. The goal will fixed at GBp 2048 with a potential gain of 8%. We will not insist under GBp 1871 and will set a stop loss below that level.
Renishaw plc is a United Kingdom-based supplier of measuring systems and production systems. The principal activities of the Company are the design, manufacture, sale, distribution and service of manufacturing technologies products and services, and analytical instruments and medical devices. The Company operates through two segments: manufacturing technologies, and analytical instruments and medical devices. The manufacturing technologies segment consists of four areas: industrial metrology, additive manufacturing, position measurement and the new industrial automation line. The analytical instruments and medical devices segment consist of spectroscopy and neurological, where it supplies its customers with technologies to improve materials analysis and neurological therapies. Its products include CMM probes, software, and retrofits; equator gauging system; interferometric laser encoders; probing and tool measurement systems for machine tools, and others.
RENISHAW PLC 
