Is it irrelevant, or will the Upgrade make the St James’s Place share price more attractive?

• Redburn initiates coverage at Buy but with no target price.
• Consensus: 14 Buys, 7 Holds, 0 Sell; Avg target: 1246p (Source: Bloomberg).
• Current share price 1151p (at time of writing).
• Will the shares turn back, or will the upgrade push them towards 1279p highs?
• Shares -0.2% from 2019 highs; +25% from 2019 lows; +21.8% year-to date.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading St James’s Place – An Example

Let’s say you think that  St James’s Place shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of  St James’s Place using a CFD, at the current price of 1151p. To do this, you need £2,000.

For the purpose of this example, let’s assume the St James’s Place share price rises to 1279p (+11%). Your profit would be £1100 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. St James’s Place 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.