Michelin Shares Drop 1.96% After Deutsche Bank Lowers Price Target
The stock of the Clermont-based manufacturer declines in mid-morning trading, in a downward trending Paris market. The CAC 40 is down 1.25% during the session, and the SBF 120 loses 1.11%. An analyst note published this Thursday contributes to the movement.
Deutsche Bank Adjusts Target, Shares Tumble
Michelin shares drop 1.96% to €30.54, down from €31.15 at the previous close. Deutsche Bank has lowered its price target this Thursday from €35.00 to €34.00, while maintaining a 'buy' recommendation. The new target represents a theoretical potential of approximately 11.3% relative to the current price. The move comes in the wake of the first quarter 2026 sales release. Mid-April, Barclays and Morgan Stanley had already disagreed on the valuation of the Clermont-based group. Over seven days, the stock has lost 4.14%.
The sector context remains challenging. Brent crude is trading at $124.64, its highest since March 2022, amid a prolonged blockade of the Strait of Hormuz. This surge in hydrocarbons is impacting production and transportation costs across the automotive sector broadly.
Price Struggles with Its 50-Day Moving Average
The decline brings the stock below its 50-day moving average, which is at €31.27. However, the price remains above the 200-day moving average at €30.31, which keeps the medium-term orientation at a barely positive level. The RSI at 60 remains in a neutral zone, without any extreme signals. The Bollinger Bands frame the stock between €28.23 and €32.94, with the price positioned in the middle of the channel.
The identified support at €28.45 remains more than 6% away from the current price. In the short term, focus shifts to the general meeting scheduled for May 22, 2026, followed by the half-year results expected on July 27, 2026.
