BT
Does this Upgrade present an opportunity for you?
Is it irrelevant, or will the Upgrade make the BT share price more attractive?
- Credit Suisse upgrades to Outperform, with a target of 280p.
- Consensus summary: 15 Buys, 8 Holds, 1 Sell; Average target: 271p (Source: Bloomberg).
- Current share price 193p (at time of writing).
- Shares -20.4% from 2019 highs; +1.3% from 2019 lows; -18.9% year-to date
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
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Trading BT – An Example
Let’s say you think that BT shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of BT using a CFD, at the current price of 193p. To do this, you need £2,000.
For the purpose of this example, let’s assume the BT share price rises to 230p (+19.1%). Your profit would be £1910 from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. BT shares fall 5% and hit your stop-loss. Your loss would be £500
This is provided for information purposes only. It should not be taken as a recommendation.