Intertek Group, listed on the London Stock Exchange, could breakout the GBp 3451 resistance in the short term and get out of a weekly trading range.
Regarding the fundamentals, company's sales have been regularly revised upward by the Thomson Reuters analysts consensus and so are EPS estimates.
Graphically, the security is up 10% since the 1st January. It seems able to continue this uptrend supported by 20 and 50-day moving averages and will soon test again the GBp 3450 short-term resistance. We anticipate a crossing of this level, given the upward orientation of the stock in the medium and long term. Above GBp 3450, a buy signal will be given.
Exceeding the technical line at GBp 3450 would point to ambitious upward targets. In this case, market participants could buy this stock with an initial target of GBp 3700. If investors reduce long-side exposure for profit-taking, a bearish trend would happen below GBp 3400 and so this strategy would be invalidated.
Intertek Group plc is one of the world's leading groups specializing in analysis, control and certification of products and systems. Net sales break down by activity as follows:
- control and certification services for consumer goods (63.4%): textiles, footwear, toys, stationery, household appliances, consumer electronics, information and communication technology products, and products from the automotive, aerospace, lighting, construction, renewable energy and healthcare industries. Also, the group is developing an activity to monitor the certification of international standards;
- development of quality assurance solutions for the industry and infrastructures (25.9%): for the supply chain in the building and construction, renewable energies, oil and gas, petrochemicals, minerals and other industries;
- cargo inspection, analytical evaluation, calibration and technical services to the oil and biofuels industries (21.9%);
- monitoring and assessment of petroleum and agricultural products (19.9%). Besides, Intertek Group plc offers inspection services to government system and regulators to support commercial activities, contributing to the movement of goods across borders.
At the end of 2023, the group operated more than 1,000 inspection offices and laboratories in the world.
Net sales are distributed geographically as follows: the United Kingdom (6.5%), the United States (30.7%), China and Hong Kong (17.8%), Australia (5.3) and other (39.7%).