Get started

SIPP

Buy Auto Trader - Correction over?BUY – AUTO TRADER (AUTO) Auto Trader Group plc is a digital automotive marketplace. The Company is engaged in the business of buying and selling new and used vehicles. The Company also operates similar business in Ireland through its Website carzone.ie. Fundamentals Auto Trader is forecast to post a rise in earnings of 12% in the current year. This follows three years of consecutive double-digit net profit growth, which suggests its business may be relatively resilient within what is a highly cyclical automotive sector. The company is in a dominant position within its industry with virtually no competition. Best Broker Target Price: 640p (Liberum Capital 09/07/2019) Worst Broker Target Price: 414p (JP Morgan Cazenove 17/07/2019) Technical Analysis Auto Trader has traded in a corrective channel since reaching all time highs in June this year. The corrective move appears to have stalled around the 38.2% Fibonacci support level which is from the October 2018 lows to the June 2019 all time highs. A bullish outside candle has been posted on the daily chart, which is positive for short term sentiment. The break of the corrective channel indicates the move lower has come to an end the long term trend can now reassert itself. Recommendation: Buy Buy between 515-540p Stop: 505p Targets: 600p
LSE:AUTOLong
by Investamate
Vodafone - Extending higher from a bottom patternBUY – VODAFONE (VOD) Vodafone Group Plc is a telecommunications company. The Company's business is organized into two geographic regions: Europe, and Africa, Middle East and Asia Pacific. Fundamentals Vodafone’s share price has drifted sideways to lower for the past few years, but all of a sudden, the price has risen almost 25% in 3 months. This follows the first cut of the dividend since 1990 back in May 2019. The most recent update was a positive one with the company stating they are confident in delivering their revised earnings target. They also planned to raise around €20million from the sale of 60,000 mobile masts through a potential IPO of firm TowerCo. This would create Europe’s largest power company. Best Broker Target Price: 250p (Deutsche Bank 09/08/2019) Worst Broker Target Price: 140p (Berenberg Bank 19/06/2019) Technical Analysis The share price gapped up through the long-term downtrend channel on the May results. This then led to the completion of a large bottom pattern on the break above resistance at 147.8p. The projected upside move from the bottom pattern comes in at 171.44p. Beyond that there is scope for significantly more upside according to the 250p price target from Deutsche Bank that was published on the 9th August 2019. Recommendation: Buy Buy between 150-157p Stop: 143.5p Target: 175p
LSE:VODLong
by Investamate