Tracking International Workplace Group's chart breakout
This office space provider has had a difficult few years, but it's just proved there's life in the shares. Independent analyst Alistair Strang explains what his chart software tells us about price potential.
4th March 2025 07:27
by Alistair Strang from Trends and Targets
Despite Mr Musk leading the initiative to getting everyone back into the office, there’s another reality which isn’t being given sufficient credence, and it relates to how banks treat assets. It used to be the case where banks would treat ownership of office blocks and towers as solid, safe assets, the safest gauge by which they’d judge the net worth of clients. Times have changed dramatically since 2020 and now office blocks, and to a lesser degree retail rental property, are no longer being treated as money in the bank.
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International Workplace Group (LSE:IWG), known for providing serviced offices under several trading names, Â perhaps are hanging the reason for their existence on a shaky hook but their share price has recently, quite exuberantly, broken through the downtrend since 2020, showing some early signs for price recovery.
We’re fairly comfortable with an initial scenario which suggests movement next above 202p should bring recovery to an initial 209p. This would make a lot of visual sense, challenging the highs of 2024.
Our longer-term secondary (or later that day!) calculates at 216p but our inclination is not to trust any rise until such time the share price actually closes above 209p.
An event such as this opens the door to significant Big Picture performance, calculating as placing the share price in a region where ongoing traffic to a future 286p works out as very possible.
If everything intends to go wrong, this share price needs to close below 166p to justify panic.
Source: Trends and Targets. Past performance is not a guide to future performance.
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang or Interactive Investor will be responsible for any losses that may be incurred as a result of following a trading idea.Â
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