Is it irrelevant, or will the Upgrade make the Hikma share price more attractive?

• AlphaValue upgrades to Add, with a target of 1814p.
• Consensus summary: 3 Buys, 8 Holds, 2 Sell; Average target: 1840p (Source: AlphaTerminal).
• Current share price 1660p (at time of writing).
• Shares -6.4% from 2019 highs; +12.2% from 2019 lows; -3% year-to date
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Hikma – An Example

Let’s say you think that Hikma shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Hikma using a CFD, at the current price of 1660p. To do this, you need £2,000.

For the purpose of this example, let’s assume the Hikma share price rises to 1927p Dec highs (+16%). Your profit would be £1600 from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. Hikma shares fall 5% and hit your stop-loss. Your loss would be £500.

This is provided for information purposes only. It should not be taken as a recommendation.