Eutelsat Communications Shares Bounce 3% but Remain Down 8% for the Week
The satellite operator regains some ground on Friday, during a broadly bullish session on the Paris stock market. The stock recovers some of its weekly losses, while the SBF 120 marks one of its strongest recent rebounds. However, the value is still far from its late May highs.
A 3.58% Rebound Only Partially Offsets the Weekly Decline
Eutelsat Communications shares gained 3.58% to €3.04 by midday in a strong Paris market, with the CAC 40 up by 1.8% and the SBF 120 up by 1.75%. The session takes place in a climate of geopolitical relaxation in the Middle East, following signs of easing tensions between Washington and Tehran, which reduced the risk premium on European assets. However, today's rebound only compensates for a fraction of the weekly decline, which still stands at -8.55% over seven days. Over three months, the stock is still up more than 45%, and has increased by 57.55% over a year, reflecting the spectacular trajectory that began in the spring around low-orbit connectivity.
The price continues to trade below its 20-day moving average (€3.44), with a gap of nearly 12%, indicating that the consolidation started at the end of May is not yet fully absorbed. The RSI at 44 indicates a neutral dynamic, with no clear signs of exhaustion or reversal. The MM50 at €2.96 and the MM200 at €2.70, however, remain below the price, maintaining the underlying bullish trend. The technical support at €2.72 remains the area to watch in case of an extended decline.
LEO Commercial Dynamics Continue to Fuel the Case Beyond Consolidation
On the industrial front, the operator continues to secure contracts for its LEO services, leveraging the OneWeb constellation. Recent weeks have seen agreements signed with Voimatel in Finland and Tototheo Global for the maritime sector, extending the deployment strategy initiated at the start of the year. During the revenue announcement for the first nine months of the 2025/2026 fiscal year (May 12, 2026), the group highlighted a 50% year-over-year increase in LEO activity, offsetting a negative currency effect of 42 million euros and nearly stable operational revenue.
The prospects of SpaceX's IPO had fueled a wave of profit-taking on the stock in recent sessions. Today's rebound suggests stabilization around the MM50, with the stock maintaining well above this benchmark. The €3.44 level, corresponding to the 20-day average, is the next tension zone to monitor to assess the strength of the recovery.
