Is it irrelevant, or will the Upgrade make the Marks & Spencer share price more attractive?

• Citgroup upgrades to Buy with a target price of 330p.
• Consensus: 3 Buys, 6 Holds, 14 Sell; Avg target: 271p (Source: Bloomberg).
• Current share price 272p (at time of writing).
• Will the shares turn back, or will they rally back to Feb 305p highs?
• Shares -10.8% from 2019 highs; +12.2% from 2019 lows; +10.5% year-to date.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Marks & Spencer – An Example

Let’s say you think that Marks & Spencer shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Marks & Spencer using a CFD, at the current price of 272p. To do this, you need £2,000.

For the purpose of this example, let’s assume the Marks & Spencer share price rises to Feb 305p highs (+12.5%). Your profit would be £1250 from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 4% from the current price. Marks & Spencer shares fall 4% and hit your stop-loss. Your loss would be £400.

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