ArcelorMittal Shares Hit New 5-Year High, Up 112% in One Year
The Luxembourg-based steelmaker reaches a new five-year high during the session, extending its rally from recent weeks. The stock is performing well in a positively oriented Paris market, while significantly distancing itself from its moving averages. This momentum follows several recent financial and strategic operations.
A Five-Year Record Extending a Spectacular One-Year Rally
ArcelorMittal shares gained 0.65% to €58.46 in mid-afternoon trading, after hitting €59.06 during the session, a five-year high (previous record was €58.82 yesterday). The stock now shows a 14.05% increase over the week and 112.1% over the year, in a CAC 40 that is up 0.86%. This movement follows financial operations conducted this month, including the sale of 10% of Vallourec's capital at €24 per share on May 19, which generated about $667 million in gross proceeds. A week earlier, the group also raised one billion dollars through a bond issue at 5.375%, enhancing its financial flexibility. Operationally, the first quarter accounts published on April 30 showed a net profit of $575 million and an EBITDA per ton up $15 from last year, at $131.
Stock Significantly Deviates from Its Moving Averages, RSI at 64
At €58.46, the price is above its three moving averages, with a gap of 10.80% over the MM20 (€52.76) and 13.21% over the MM50 (€51.64). The gap to the MM200, at €38.59, exceeds 51%, reflecting the magnitude of the rally over twelve months. The RSI at 64 indicates a marked bullish momentum without entering a characterized overbought zone. The stock has just crossed the resistance threshold identified at €58.24, paving the way for exploration of areas not seen since 2021. The sector context remains mixed: Brent crude is down more than 5% in the session, at $94.52 a barrel, which could reduce some of the energy costs for the steel industry. The next milestone for investors will focus on confirming the maintenance of this new level above €58.
