Care Property Invest: Fibo suggests to buy at 24.80€
Private placement of 1.736.346 shares at a price of 25.55€ made today to acquire "Résidence des Ardennes" (Attert, Belgium) makes the share price tumble more than 3.35% once trading is opened at 14:30h (closed since 9:00). Fibonacci retracement suggests buying at 24.80€. However, volatility in markets due to lockdowns may drag the price towards 18.80€ again but with these good fundamentals it's hard to imagine:
P/E = 22.34 (industry 20.95)
EBITDA 5YA = 105.2%
LT Debt to Equity ratio = 55.53%
Total Debt to Equity ratio = 93.27%
Payout ratio = 71.68%
So, good entry point at 24.80€. But today a triangle also closed and normally when triangles close, means spike up or down. Let's keep eyes focused on China and its covid19 evolution as well in order not to be caught by surprise as last March when everything was falling since the end of January 2020.
Man is the only animal that trips twice over the same stone, however maybe market psycology is already discounting that. Who knows.
P/E = 22.34 (industry 20.95)
EBITDA 5YA = 105.2%
LT Debt to Equity ratio = 55.53%
Total Debt to Equity ratio = 93.27%
Payout ratio = 71.68%
So, good entry point at 24.80€. But today a triangle also closed and normally when triangles close, means spike up or down. Let's keep eyes focused on China and its covid19 evolution as well in order not to be caught by surprise as last March when everything was falling since the end of January 2020.
Man is the only animal that trips twice over the same stone, however maybe market psycology is already discounting that. Who knows.
Comment:
Very high sell volume from 21 to 28 January may suggest upcoming volatility for Care Property Invest and triangle's outcome to be a burst down to 18.75€ level. Selling volume in that period was equivalent to the one in March 2020. Maybe 18.75€ is too pessimistic, but 22.45 (at fib retracement of 0.618) might be more realistic.
