Will Superdry continue falling, or will it rise again back to 573p yesterday’s close?

• Superdry shares have fallen over 26% today to trade 422p (at time of writing).
• Shares almost -80% from 2018 highs; now trading at 2018 lows; -80% year-to-date.
• Company’s shares hit by a profits warning after unseasonably warm weather
• Company reported pre-tax profit -49% YoY
• ource: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading Superdry – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 573p. You decide to buy exposure to £10,000 worth of Superdry using a CFD, at the current price of 422p. To do this, you need £2,000.

Let’s assume Superdry recovers back to 573p (+35.7%). Your profit would be £3570, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 9% from the current price. Superdry  falls 9% and hits your stop-loss. Your loss would be £900.

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