Danone stock declines 6.5% over one month and threatens its support level at €63.58

Deutsche Bank lowers its target to €61 and reiterates its sell rating on Danone

This Wednesday, Deutsche Bank lowered its price target on Danone from €63 to €61, while maintaining a sell opinion. With a price trading around €63.65 in the session, this revised target represents an additional downside potential of approximately 4% compared to current levels. This analyst view comes as the stock has accumulated a decline of 6.7% over the past month and nearly 15% over one year, reflecting persistent structural pressure on the file. The completion of the acquisition of Huel, integrated into accounts since September 1st, was not enough to reverse the downward dynamic, with the previous day's rebound having already been erased by today's session.

A stock below all its moving averages, in contact with the €63.58 support level

Technically, the situation of Danone remains deteriorated. The price at €63.65 is trading below its three moving averages: the MA20 at €65.51 (gap of -2.84%), the MA50 at €68.77 and the MA200 at €69.62, which are respectively 7.45% and 8.58% above the current price. These gaps reflect a medium-term dynamic clearly oriented downwards for several weeks.

The stock is now brushing against its support threshold at €63.58, just under 0.1% from the current price, a level that had already attracted attention during the early September decline. The RSI at 42, while not in clear oversold territory, confirms the current selling pressure, especially as the broader index context remains unfavorable: the CAC 40 is down 1.82% in the session, weighed down notably by industrial and technology stocks.