Abivax Shares Plunge Nearly 6%
The French biotech faces another tough session at close, erasing the rebound sketched the previous day. The stock is among the biggest losers in the broader Paris index, as bearish bets continue to accumulate on the stock. This movement contrasts with a Parisian market in the green.
A marked relapse distancing the stock from its key moving averages
Abivax fell by 5.78% to €80.70, down from €85.65 the previous day, ranking among the largest declines in the SBF 120, just behind Soitec. The session erases the rebound observed yesterday, documented in our previous quotation, bringing the monthly loss to nearly 24%. The price is now 9.64% below the MM20 (€89.31) and nearly 17% below the MM50 (€97.06), indicating that the short-term momentum remains clearly downward. The RSI at 44 remains neutral, with no sign of seller exhaustion, while the support identified at €63.10 still offers some margin before a major technical test. Despite this setback, the year-over-year performance remains spectacular, at over 1450%, a legacy of the rally that followed the positive phase 3 results published in early June on obefazimod for ulcerative colitis.
Bearish pressure from shorts and a sector context under geopolitical tension
The selling pressure resonates with the positioning of hedge funds. According to reviewed statements, six funds now cumulatively hold a net short position of 6.66% of the capital, up 3.72 points in a month (from 2.94% thirty days ago). This rapid doubling reflects a significant increase in pressure on the stock, indicating that some institutional investors are positioning against the stock or seeking to cover exposure, without a clear thesis being deducible. The market context does not help speculative stocks either: the more restrictive turn of major central banks, mentioned in an analysis of June 21, and the ongoing tensions around the Strait of Hormuz fuel a more volatile environment, unfavorable to unprofitable growth profiles. Operationally, the company had confirmed on June 1 that both doses of obefazimod had met the primary endpoint of the pivotal trial. The next technical support to watch is at €63.10, still far from the current price.
