Nexans Stock: Shares Plunge Over 8% Despite Record Organic Growth in 2025

Financial Results and Market Reaction

Nexans revealed this Thursday its accounts for the fiscal year 2025, on the scheduled date of its financial calendar. The global cable manufacturer reported an organic activity growth of 8.3%, a rate significantly above its medium-term ambitions. Concurrently, the adjusted EBITDA margin reached 11.9% of standard revenue, demonstrating the group's ability to enhance its operational profitability. However, the market harshly penalized the stock, which lost 8.57% compared to the previous day's close at 136.50 euros. Several hypotheses could explain this reaction: high expectations already priced into the stock after a nearly 30% increase over the year, or perhaps forecasts considered insufficient by traders for 2026. Over three months, Nexans still maintains a gain of nearly 5%, indicating a generally positive trajectory since late last fall.

Technical Analysis and Support Levels

Today's drop brings Nexans' share price to 124.80 euros, very close to its support threshold at 123.00 euros. This technical level is a key area: a dip below could intensify selling pressure, while a rebound at this level would confirm the strength of this floor. The lower Bollinger Band, positioned at 124.00 euros, almost coincides with the current price, indicating that the stock is now in a short-term oversold zone. Moreover, the price has sharply fallen below its 50-day moving average, set at 129.03 euros, after having topped it in recent weeks. This downward crossover signifies a reversal in short-term momentum. However, the 200-day moving average remains at 121.45 euros, below the current price, which keeps the longer-term upward trend intact. The monthly volatility, at 6.23%, reflects significant fluctuations over the recent period. The upcoming sessions will be crucial to determine if the 123 euros support can hold this sharp correction linked to the annual results publication.