This is the golden hen of the Athens Stock Exchange

It is written by Apostolos Menthos

OPAP stock is making a comeback after nearly 26 sessions pulled out of the market spotlight, resulting in a quite healthy -8.7% pullback from July 20 high of €16.50, to short-term lows of €15.06. Therefore, as can be seen from the daily price chart, in just two sessions it rose +5.0% with completed transaction volumes exceeding 800 thousand blocks with priority given to the continuation of the current move and above €16.

In fact, for the first time since July 27th, we have received such a strong signal from the oscillators to enable buyers. The demand for continuation, which is capable of significantly changing the image of OPAP stock, is the violent circumvention of the falling resistance “Q” axis at 16.08 euros, which is a graphic pattern that it captured with its rejection in the past 3. Thus, the appearance of the stock’s passage is very timely from The charts of €16.08 with active volume are very likely to push the price wildly above the €16.50 level, clearing room for buyers to even zone the 2023 highs between €16.86 and €17.

But be careful because the long-term stabilizing sideways movement that occurred since mid-April has accumulated strong internal pressures, which is statistically common for triggering a strong bullish breakout move to new highs. In this case we expect to make a 12 year high above €16.97 which was the high of March 2011. Then the stock opens for price levels which we will analyze in the next long term chart analysis with the help of the Vector Algorithm and the combination of the Deep Fibonacci Velocity Resistance Fan and Gann Square.

The analysis is done on the 2-month chart to avoid the noise caused by the stock’s short-term movements. Vectors was positioned at the huge low of May 2012 at €3.5 (we also witnessed it with his possible arrival at that time .. Alexis) and at the recent low at €5.40 at the mercy of the global panic over the rapid spread of the pandemic crisis (we also felt it in the depths of our lungs).

Applying it and adjusting it to the upward movement that started since the beginning of 2022 gives a central axis for the movement that appears as a serious target candidate price for the stock at 25.12 euros until the second half of 2026. That is, we are talking about an increase of +58% from the current price levels without including the large profits that The group will present it until 2026.

In the meantime, the price target with an “arrival” closer to summer 2024 is set by the significant bullish breach of the giant triangle “T” formation in March 2021. Here, the theoretical position of the height of the triangle in the area of ​​the breach gives as a technical target 20.26 EUR or +27% of current trading prices.

Both listed targets have the fundamentals to deliver upward momentum in revenue and earnings providing strong momentum going forward. The announcement of OPAP’s first-half results on September 4 will turn on the boot lights for the stock.

And the latest Eurobank stock analysis of the group, in addition to the target price of €18, also contains some interesting points that highlight the upward continuation of the stock. Points such as the new increase in net profit, the new increase in the dividend to €1.55 or a yield of +10% (!), the expected free cash flow and of course the mention that the P/E will drop in 2025 to 10,8. A golden hen that downloads a globally competitive percentage of EBITDA earnings straight to coffers.

For information, we must mention that the highest historical level recorded by OPAP share in the Board of Directors of the Hellenic Stock Exchange was in January 2006 at 33.70 euros.

* Apostolos Manthos is responsible for technical analysis and investment strategy