- Kingfisher’s stock price is trading at 226.1 GBX.
- The KGF chart is currently reflecting bearish sentiment over the price.
Kingfisher plc (LSE: KGF) is a British multinational retailing company that was founded in 1982. The company deals in the sale of services and home improvement products through a network of retail stores.
Kingfisher Plc (KGF) Stock: Financial Analysis
Kingfisher’s revenue in 2020 was around 12.34B GBP which showed a growth of 7.21% compared to its previous year. In 2021, the company generated a revenue of 13.18 Billion GBP which showed a growth of 6.81% compared to the revenue from 2020. However, in 2022, the firm only generated a revenue of 13.06 Billion GBP, which reflected a decline of 0.94% compared to the revenue from 2021. The trailing twelve-month revenue for 2023 is currently running at 13.06 Billion GBP.
The company’s net income in 2020 was around 592 Million GBP and compared to its previous year, it showed a growth of 7300%. In 2021, the company increased its net income to 843.00 Million GBP. However, in 2022, the company only generated a net income of 471 Million GBP, which showed a decline of 44.13% compared to the net income from 2021. The trailing twelve-month net income for 2023 is running at 473 Million GBP at the time of writing.
The company has consistently paid dividends over the last three years with an average dividend payout ratio of 77.48%.
The company’s financials showed slow and steady growth but it had a decline in 2022 due to external factors. The company is still profitable and has managed to increase its dividend payout ratio every year.
Kingfisher Plc (KGF) Stock: Technical Analysis
In December 2022, the KGF stock price formed support at 224.8 GBX and commenced a bullish rally to 293.3 GBX. After reaching this level, the price showed a slight pullback from there and the buyers pushed the price to 293.3 GBX again. After facing rejection from 293.3 GBX, the price started to fall.
The price started to fall in a parallel channel and fell to the 224.8 GBX support level. The price was sustaining above 224.8 GBX but in July 2023, the price tried to break below the 224.8 GBX support. After breaking below the support level, the price faced immediate rejection and reclaimed the 224.8 GBX support level.
Subsequently, the price commenced a bullish rally to 253.2 GBX and faced rejection at this level and fell back to its 224.8 GBX support.
Currently, the price is trading above the 224.8 GBX support level. If the price breaks below the 224.8 GBX support, then it may fall to its next support at 202 GBX. In order for the price to initiate a bullish rally, it must successfully break through the resistance levels at 253.2 GBX. Once this breakout occurs, there is potential for the price to ascend to 273.8 GBX, marking a significant bullish move in its trajectory.
Technical Indicators’ Prediction About the Current Trend
The price of KGF is trading below the 50 and 200 EMAs, which indicates the bearish sentiment over the price.
The relative strength index (RSI) is at 39.71. The RSI line is in bearish territory. This indicates that the sellers have taken full control over the price.
Conclusioni
Kingfisher price is currently witnessing bearish sentiments. The price is trading just above the 224.8 GBX support. If it breaks below this support level, then the price may fall to the 202 GBX support level. To kickstart a bullish rally, the price needs to break free from the confines of the parallel channel and surpass the resistance barrier at 253.2 GBX. Only then will it have the potential to ascend towards the next resistance level at 273.8 GBX. It’s worth noting that as of the current assessment, the mentioned indicators are all displaying a bearish sentiment towards the price.
Technical levels
Resistance levels: 253.2 GBX and 273.8 GBX.
Support levels: 244.8 GBX and 202 GBX.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.