Mota-Engil Shares Surge 13.74% Over the Week
The Portuguese stock closed on Friday at €5.68, marking a significant weekly rise of 13.74%, contrary to the French indices which fell by 1.75% for the SBF 120 and 1.72% for the CAC 40. This increase unfolded throughout the week, with a peak on Thursday at €5.76, thus testing the technical resistance threshold identified at this level.
Strong Start to the Week
The upward momentum began on Monday when the stock jumped 5.49% to €5.48 with a robust trading volume of 4.65 million shares, nearly double the previous day. This surge followed the announcement on October 6 of the signing of two new contracts in Brazil totaling approximately 735 million euros. The main contract, worth 4.4 billion reais, was concluded with Petrobras through a consortium in which Mota-Engil's Brazilian subsidiary holds a 33% stake. Spanning an estimated 50 months, it involves the design, construction, and assembly of facilities related to the Duque de Caxias refinery in Rio de Janeiro. These announcements have helped to bolster the group's order book in the Brazilian oil and gas sector. The stock continued to rise in the following days, with gains of 3.01% on Wednesday and 2.04% on Thursday, before a slight decline of 1.39% on Friday. Trading volumes remained high throughout the week, ranging between 3 and 4.5 million shares per session. This sustained activity reflects a renewed interest from investors in the stock, in a context where the French markets were moving in the opposite direction. The stock temporarily reached its resistance threshold on Thursday at €5.76, a level beyond which a continued rise could be considered if it is sustainably breached.
Technical Outlook
Technically, the stock is now well above its 50-day (€5.17) and 200-day (€4.99) moving averages, indicating a confirmed bullish trend in the short and medium term. The Chaikin Money Flow, at 0.17, shows a positive buying flow, suggesting that volumes are supporting the price increase. This indicator measures buying or selling pressure by weighting the volume by the course position in its daily range, and its positive value here reflects a progressive accumulation by investors. The Bollinger Bands, which frame fluctuations between €4.78 and €5.70, show that the stock is close to the upper boundary, at €5.68. This proximity indicates a short-term volatility expansion, which remains contained at 9.16% over a month. The MACD, with a main line at 0.12 and a positive histogram at 0.07, confirms the ongoing bullish momentum. These technical signals converge to describe a recent acceleration phase, without indicating any immediate overheating.
