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

• Kepler Chevreux upgraded Vodafone to Buy, with a 160p target.
• Consensus: 17 Buys, 4 Holds, 6 Sell; Average target: 193p (Source: AlphaTerminal).
• Current share price 139p (at time of writing).
• Will the shares turn back, or will the upgrade push the shares back towards 160p?
• Shares -42.8% from 2018 highs; +1.0% from 2018 lows; -9.1% year-to date
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Vodafone – An Example

Let’s say you think that Vodafone shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Vodafone using a CFD, at the current price of 139p. To do this, you need £2,000.

For the purpose of this example, let’s assume the Vodafone share price rises to 160p (+15.1%). Your profit would be £1510 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. Vodafone shares continue their downtrend, they 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.