Debenhams is trading in a downtrend which should continue in the coming sessions.

The company shows relatively strong fundamentals. Surperformance ratings highlight its strengths in terms of valuation and potential. However, the company has a low profitability and analysts have largely revised downward their EPS estimates and the consensus on the stock is mixed.

After several weeks of horizontal fluctuations, the stock is back on its downward trend. Moving averages configuration is deteriorating and suggests a continuation of this movement towards GBp 56 (weekly support).

Considering technical and fundamental elements, it seems to be an appropriate timing to take immediately a short position in Debenhams. The target price will be the GBp 56. A stop loss order will be placed above GBp 64.4.