Airbus Shares Fall by 2.36% to €175.64, Weighed Down by Brent Crude Above $103
Airbus shares drop 2.36% to €175.64 at mid-session, in a CAC 40 that is down 0.97% at 8,034 points. The manufacturer is among the three largest declines of the index, behind LVMH and Renault. The luxury and aerospace sectors are penalized as Brent crude surpasses $103.
Middle East Tensions and Brent Surge Impact Aerospace
The energy context has significantly tightened. Brent crude is up 2.24% at $103.56, due to the diplomatic deadlock between Tehran and Washington. Iran demands an end to the regional conflict, lifting of the blockade on its ports, and the release of frozen assets. Donald Trump has rejected these demands. The Strait of Hormuz remains a point of vulnerability in the global oil market. This increase in aviation fuel prices mechanically weighs on customer airlines and, consequently, on aircraft manufacturers. Airbus had already experienced this pattern at the end of April, with the stock having lost nearly 5% in a week amid a surge in oil prices. Ranked 38th out of 40 in the CAC 40 intraday ranking, the manufacturer is among the three largest declines of the index, alongside Renault (-2.83%) and LVMH (-3.59%). In China, producer prices rose 2.8% year-on-year in April, the highest increase since July 2022, fueling fears of imported inflation.
Stock Revisits its MM20 as Industrial Calendar Intensifies
Today's decline brings the price back to €175.64, just above the MM20 at €173.51 (a difference of 1.23%) and the MM50 at €172.00. The MM200 remains distant at €190.13, which is 7.62% above the current price, reflecting the medium-term break initiated in March. The RSI at 56 is neutral. Bollinger bands place the stock at mid-band (59%), without particular technical tension. On the news flow side, AirAsia signed an order for 150 A220-300s on May 7, propelling this program beyond 1,000 firm orders. In terms of valuation, the consensus of 17 analysts monitored by yfinance values the stock at 24.3 times current year earnings, compared to an average of 18.4 times for the Industrials sector, with an expected EPS growth of 19.2% from one year to the next. Upcoming events: the Oddo BHF Sustainability Forum on May 19, followed by the Airbus Defense Summit on May 20.
