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

• Berenberg starts coverage at Buy, with a target of 100p.
• Consensus: 10 Buys, 1 Holds, 0 Sell; Avg target: 101p (Source: Bloomberg).
• Current share price 62p (at time of writing).
• Will the shares turn back, or will the upgrade push them towards 67.6p or even 100p?
• Shares -2.9% from 2019 highs; +47.7% from 2019 lows; +40.3% year-to date.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Hurricane – An Example

Let’s say you think that Hurricane shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Hurricane using a CFD, at the current price of 62p. To do this, you need £2,000.

For the purpose of this example, let’s assume the Hurricane share price rises to 67.6p (+9%). Your profit would be £900 from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 3% from the current price. Hurricane shares fall 3% and hit your stop-loss. Your loss would be £300.

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