EUTELSAT COMMUNIC. Stock: A Surge of 18.13% Over the Past Week
EUTELSAT COMMUNIC. stock closed on Friday at €2.2350, marking a sustained weekly increase of 18.13%. This rise is in stark contrast to the modest performances of the CAC 40 (+0.19%) and the SBF 120 (+0.13%) over the same period. Over the past year, the stock has shown a performance increase of 37%.
Dynamic Weekly Performance
EUTELSAT COMMUNIC. stock experienced a dynamic week, with a weekly change of 18.13%, closing at €2.2350. This increase occurred in a context of heightened volatility, with monthly volatility standing at 19.79%. Trading was particularly intense starting Monday, January 12, when the stock jumped by 14.82%, closing at €2.200 on a volume of over 8 million shares. The following day, January 13, the rise continued by 4.55%, with a closing price of €2.300 and a volume of 6.377 million shares, making EUTELSAT the top performer in the SRD at mid-session. On January 14, a correction of 2.61% brought the price down to €2.240, accompanied by a high volume of 3.626 million shares. On January 15, the stock gained 0.67% to €2.255 on 2.072 million shares, before slightly declining by 0.89% on January 16 to €2.235 with 3.286 million shares traded. Over the past year, the performance reached 37%, reflecting a recovery after more challenging periods, such as the previous three months marked by a decline of 39.95%. For comparison, the CAC 40 only advanced by 0.19% over the week, while the SBF 120 gained 0.13%. The beta of -0.38 highlights a decorrelation from the market, with movements unique to the stock. This week of significant capital rotation highlights a marked interest in the stock, in an evolving satellite telecommunications sector.
Significant Announcements and Developments
The week was highlighted by the announcement on January 12 of a major contract awarded by Eutelsat to Airbus Defence and Space for the construction of an additional 340 low Earth orbit (LEO) satellites for the OneWeb constellation. These satellites, to be produced on a new line in Toulouse, are scheduled for delivery starting in late 2026, bringing the total ordered to 440 units, including a previous order of 100 satellites in December 2024. This decision aims to ensure the operational continuity of the OneWeb constellation. On the same day, Eutelsat was selected to connect an historic Indian sailing vessel, a mission that underscores its satellite connectivity capabilities. Additionally, January 13 marked the beginning of the quiet period ahead of the publication of the first half 2025-26 results, scheduled for February 13. These developments occur as the market observes a 'V-shaped' recovery for the stock. Analyst consensus sets a 3-month price target at €2.50, representing a potential of 16%.
Technical Perspective
From a technical standpoint, the stock is trading below its 50-day moving average set at €2.33, but remains distant from the 200-day moving average at €3.12. The MACD line is established at 0.08, while the RSI reaches 81, indicating an overbought zone. Bollinger Bands are positioned at €2.34 on the upper side and €1.43 on the lower side, with the price nearing the upper boundary. The immediate resistance threshold is at €2.30, while the key support is found at €1.64. These indicators reflect a recent bullish momentum within a volatile framework.
