UK stock alert

UK

Afternoon Alert: HSBC Holdings increases 0.8%, leads market higher 18 October 2017 13:22 BST

NEWS BITES - EUROPE

HSBC Holdings PLC (L:HSBA) has increased 0.8% to trade at GBX749.20 vs. the FTSE 100 Index which strengthened 25.3 points (or 0.3%) to 7,541.5. Representing a weighting of about 6.6% of the index, the stock accounted for 14.9% of today's gain. Trading volume was 74% of average so far today.

Current indications of bullish signals that support the trend in the unusual trading:

+ The positive 5.74 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ In the last three months the stock has hit a new 52-week high thrice.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Dividend yield of 6.4% [0.9%]

Other Bullish Signals include:

+ Net profit margin has averaged 23% in the last 3 years. This is considered superior and suggests a high margin of safety.

Note

Bearish Signals:

The price decreased 0.2% in the last week.

Earnings per share growth rate has been negative in recent years.

Overbought/Bearish:

The 1.8% discount to 12-month high of GBX763.21 against the 49.3% premium to 12-month low of GBX501.90 suggests the climb might be peaking.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Return on Assets 0.1% [0.4%]

Return on Equity 2.5% [4.6%]

Price to Book of 1.4 [1.0]

HSBC Holdings PLC (L:HSBA; LON:HSBA; LN:HSBA)

ISIN: GB0005405286

PermID: 8589934275

Source: www.BuySellSignals.com