Paddy Power Betfair reports results on Friday, 2 November

• The chart shows the price movement last time Paddy Power Betfair reported: H1 Results, 8 August.
• Shares opened -240p (-3%) and went as low as -620p (-7.6%, low of the day).
• The shares closed -580p (-7.1%) for a daily range of 530p or 6.5%.
• Despite reporting a small rise in profits thanks to the World Cup, the bookmaker cuts its 2018 earnings guidance, sending shares lower.
• Shares -13.2% from 2018 highs; +12.6% from 2018 lows; -0.8% year-to-date.
• Recent share price range: Oct lows 6000p; Oct highs 6802p. Currently 6740p (at time of writing).
• Paddy Power Betfair publishes a Q3 Trading Update on Friday, 2 Nov.
• Will we see another big move?
• Source: Bloomberg, FT, Reuters, DJ Newswires

Click to enlarge

Trading Paddy Power Betfair – An Example

Let’s say you think that Paddy Power Betfair results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Paddy Power Betfair using CFDs, at the current price of 6740p. To do this, you need £2,000.

For the purpose of this example, let’s assume Paddy Power Betfair reports strong results and the shares rise 10%. Your profit would be £1,000, from your initial investment of £2,000.

Conversely, let’s assume you open the position, and place a stop-loss 5% below the current price. Paddy Power Betfair results miss, it falls 5% and hits your stop-loss. Your loss would be £500.

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