Trading Idea with Lanxess Stock
On April 14, an exciting trading idea for the stock of Lanxess (ISIN: DE0005470405) was presented, which could be of interest to private investors. This idea includes an entry point for the stock as well as the use of a leveraged product that currently offers a profit opportunity of 37 percent.
Current Market Development
Price Development: The chart of Lanxess shows an upward trend since April 11, and the chart indicators suggest further price gains.
Performance: Over the last six months, the stock has gained about 7%, although it has decreased by about 17.66% in the current year.
Analyst Estimates and Price Targets
Average Price Target: Analysts have set an average price target of around 28.00 euros, which corresponds to an increase of about 17.15% compared to the current price.
Recommendations: Deutsche Bank Research rates the stock with a “Buy” rating and a price target of 27 euros.
Leveraged Products and Strategies
Leveraged Products: These allow investors to hold larger positions with less capital, potentially achieving higher profits. The current leveraged product offers a profit opportunity of 37%.
Risks: However, the use of leveraged products also increases the risk of loss, as losses can be multiplied in the same way as gains.
Company Development
Sale of Urethane Systems: The successful completion of the sale of this business segment could positively influence the stock’s valuation, which also supports Deutsche Bank Research’s decision for a “Buy” rating.
In summary, the trading idea with Lanxess offers both opportunities and risks. Investors should carefully assess the current market situation, analyst estimates, and the specific conditions of leveraged products before making a decision.