Is it irrelevant, or will the Upgrade make the Moneysupermarket.com share price less attractive?

• UBS upgraded to Buy, with a target of 415p.
• Consensus summary: 7 Buys, 6 Holds, 1 Sell; Average target: 374.2p (Source: Bloomberg).
• Current share price 370p (at time of writing).
• Will the downgrade push the shares back towards target of 415p?
• Shares -24% from 2019 highs; +23% from 2019 lows; +20% year-to date
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Moneysupermarket.com – An Example

Let’s say you think that Moneysupermarket.com shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Moneysupermarket.com  using a CFD, at the current price of 370p. To do this, you need £2,000.

For the purpose of this example, let’s assume the Moneysupermarket.com price rises to the broker’s target of 415p (11.8%). Your profit would be £1180 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. Funding Circle  shares go higher, they rise 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.