Antofagasta
Does this Upgrade present an opportunity for you?
Is it irrelevant, or will the Upgrade make the Antofagasta share price more attractive?
- The chart shows the Antofagasta share price since mid-June.
- Peel Hunt upgrades Antofagasta to Buy, setting the target to 1000p.
- Consensus summary: 13 Buys, 8 Holds, 4 Sell; Average target: 910.2p (Source: Bloomberg).
- Current share price 786p (at time of writing).
- 24 Oct: RBC Capital Markets says Antofagasta is still the best way to get into the copper market.
- 7 Nov: Bernstein says Antofagasta has a solid balance sheet.
- Shares -35% from 2018 highs; +6.8% from 2018 lows; -21.7% year-to date
- Source: Bloomberg, FT, Reuters, DJ Newswires
Trading Antofagasta – An Example
Let’s say you think that Antofagasta shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Antofagasta using a CFD, at the current price of 786p. To do this, you need £2,000.
For the purpose of this example, let’s assume the Antofagasta share price rises to 902p September high (+14.7%). Your profit would be £1470 from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. Antofagasta shares continue their downtrend, they fall 7% and hit your stop-loss. Your loss would be £700.
This is provided for information purposes only. It should not be taken as a recommendation.