The Greggs share price is in the spotlight today ahead of the company’s earnings report. The share price closed at 2,210p, which is 100% above the lowest level in October last year.
What happened: Greggs is due for shakeup this week as the company is expected to report its first ever loss because of the coronavirus pandemic. According to Sky News, the board has asked Ian Durant to remain being the chairman of the firm for more years. He will remain at the top as the company seeks a new CEO.
Greggs has thrived in the high street for years at a time when many competitors have thrown in the towell. For example, Thorntons, the chocolate company announced that it will close 61 of its stores and cut about 600 jobs. Like most UK companies, analysts believe that Greggs will release its first annual loss this week.
Greggs share price outlook
The daily chart shows that the Greggs share price has rebounded after dropping to a multi-year low last year. The stock has doubled from its lowest level last year even as its industry came under pressure.
The chart also shows that the shares have formed an ascending channel that is shown in blue. The current price is slightly above the lower side of the channel. Also, the upward trend is being supported by the 25-day and 15-day moving averages.
Therefore, in my view, the Greggs share price will likely continue rising as bulls target the upper side of the channel at above 2,300p. However, a drop below 2,098 will invalidate this trend. This price is at the lower side of the channel.
Greggs stock price chart