Why should you buy stock in Farfetch Limited (FTCH)?

Farfetch Limited (NYSE: FTCH) is 175.36% higher on its value in year-to-date trading and has touched a low of $5.99 and a high of $31.88 in the current 52-week trading range. The FTCH stock was last observed hovering at around $27.69 in the last trading session, with the day’s gains setting it 0.81% off its average median price target of $32.00 for the next 12 months. It is also 28.75% off the consensus price target high of $40.00 offered by 16 analysts, but current levels are -196.88% lower than the price target low of $9.60 for the same period.

Currently trading at $28.50, the stock is 2.36% and 21.71% above its SMA20 and SMA50 respectively. However, with a daily trading volume of 5.4 million and changing 2.93% at the moment leaves the stock 97.50% off its SMA200. FTCH registered 218.08% gain for a year compared to 6-month gain of 147.18%. The firm has a 50-day simple moving average (SMA 50) of $10.95% and a 200-day simple moving average (SMA200) of $35.39M.

The stock witnessed a 8.65% loss in the last 1 month and extending the period to 3 months gives it a 89.12%, and is 2.19% up over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 4.27% over the week and 5.31% over the month.

Farfetch Limited (FTCH) has around 4532 employees, a market worth around $9.76B and $1.33B in sales. Profit margin for the company is -53.10%. Distance from 52-week low is 375.79% and -10.60% from its 52-week high. The company has generated returns on investments over the last 12 months (-30.20%).

Farfetch Limited (FTCH) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for Farfetch Limited (FTCH) is a “Overweight”. 16 analysts offering their recommendations for the stock have an average rating of 2.20, where 1 rate it as a Hold and 0 think it is a “Overweight”. 12 of the analysts rate the stock as a “Buy”. 1 analysts have rated the stock as a Sell or Underperform.

Farfetch Limited is expected to release its quarterly report on 11/05/2020 and quarterly earnings per share for the current quarter are estimated at -$0.4 with sales reaching $366.44M over the same period.The EPS is expected to shrink by -132.90% this year, but quarterly earnings will post 49.90% year-over-year. Quarterly sales are estimated to grow 43.40% in year-over-year returns.

Farfetch Limited (FTCH) Top Institutional Holders

180 institutions hold shares in Farfetch Limited (FTCH), with 63.47M shares held by insiders accounting for 18.60% while institutional investors hold 110.71% of the company’s shares. The shares outstanding are 341.22M, and float is at 224.64M with Short Float at 16.57%. Institutions hold 90.11% of the Float.

The top institutional shareholder in the company is Morgan Stanley with over 43.07 million shares valued at $743.86 million. The investor’s holdings represent 14.50% of the FTCH Shares outstanding. As of Jun 29, 2020, the second largest holder is Index Venture Associates V Ltd with 22.69 million shares valued at $391.82 million to account for 7.64% of the shares outstanding. The other top investors are Vitruvian Partners, LLP which holds 19.05 million shares representing 6.41% and valued at over $328.95 million, while Invesco Ltd. holds 5.25% of the shares totaling 15.61 million with a market value of $269.53 million.