Air France-KLM Shares Drop 2.5%, Marking the Lowest Performance in the SBF 120

Sharp Halt After a Quarterly Rally of Over 55%

Air France-KLM shares drop 2.83% to €13.59 in mid-morning trading, becoming the worst performer in the SBF 120, which is down 0.37%. This session contrasts with recent dynamics: the stock is still up +9% over the week and +55.3% over three months, following a surge of nearly 3% in the last session. The company is supported by a solid underlying momentum: its successful issuance of a €500 million senior bond last week, and the signing in June of a €1 billion credit line with twelve international banks, demonstrate significantly relaxed access to financing markets.

RSI at 79 and Price Over 24% Above the 200-Day Moving Average

Today's decline occurs in an overbought setup. An RSI of 79 indicates the tension accumulated by the stock after its steep ascent, while the price remains more than 24% above its 200-day moving average (€10.94) and nearly 25% above its 50-day moving average (€10.87). The gap from the long moving averages, combined with the RSI level, mechanically explains the stock's sensitivity to profit-taking. The resistance identified at €13.98, corresponding to the last closing, was tested during the session, with the stock closing below this level. In terms of valuation, the consensus of analyst opinions places the stock around 4.2 times the earnings expected for the current fiscal year, and 2.8 times those of the following year. The medium-term trajectory remains largely positive, with performance exceeding 49% over one year, but the stock will need to digest the extent of its rally before attempting a new breakthrough of the €14 zone.