Cup with Handle

A positive chart pattern named such because it resembles the outline of a coffee cup with a handle. The pattern can last from seven weeks to as long as a year, but most are three to six months.


* Not real-time data. All data shown was captured at
1:30PM EDT on
10/23/2020.

Farfetch (FTCH) is the IBD Stock Of The Day, as the London-based online fashion clearinghouse hovers near a buy point. Farfetch stock also is edging closer to a record high.




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Launched in 2008, Farfetch provides a global e-commerce platform for the luxury fashion industry, connecting consumers and retailers.

The company says it offers items “from more than 50 countries and nearly 1,300 of the world’s best brands, boutiques and department stores, delivering a truly unique shopping experience on a single platform.”

Farfetch stock has formed a cup-with-handle pattern with a buy point of 28.91. The buy zone extends to 30.35.

Farfetch stock jumped 5.9% to close at 29.98 on the stock market today.

Farfetch Stock: IPO Held In 2018

Additional businesses owned by the company include Farfetch Platform Solutions, which services enterprise clients with e-commerce and technology capabilities.

Another business unit is Browns and Stadium Goods, which provides high-end sneakers and streetwear. It also operates New Guards Group, an Italian contemporary luxury fashion production and distribution holding company.

Farfetch held its initial public offering in September 2018 that raised $884 million. Farfetch stock popped 42% on its first day of trading. The company’s IPO prospectus said its mission “is to be the global technology platform for luxury fashion, connecting creators, curators and consumers.”

The company reported second-quarter earnings on Aug. 13. Revenue jumped 74% from the year-ago period to $365 million, beating estimates of $316 million. It showed an adjusted loss of 20 cents, wider than an expected loss of 15 cents.

Farfetch will report third-quarter results on Nov. 11. Wall Street expects an adjusted loss of 30 cents per share on revenue of $367 million, up 44%, according to FactSet.

IBD Checkup On Farfetch

The IBD Stock Checkup Tool shows that Farfetch has an IBD Composite Rating of 79 out of a best-possible 99. The rating means Farfetch stock currently outperforms 79% of all stocks in terms of the most important fundamental and technical stock-picking criteria

The stock also has a Relative Strength Rating of 97. The rating tracks market leadership by showing how a stock’s price movement over the last 52 weeks measures up against that of other stocks.

In addition, the relative strength line has been on an upward trend but is below its record high set in August. An upward-sloping relative strength line means the stock is outperforming the S&P 500. A downward-sloping line means the stock is lagging the S&P 500.

Before making any investment decisions, be sure to check current market conditions and use IBD Stock Checkup to see if your stock gets passing ratings for the most important fundamental and technical criteria.

Farfetch stock has nearly doubled this year.

To find the other best stocks to buy or watch, check out IBD Stock Lists and other IBD research.

Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.

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The post Farfetch, IBD Stock Of The Day, Takes Fashion Walk On Road To Success appeared first on Investor’s Business Daily.

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