Safran Stock Tests Technical Support Following a 10% Rise Over the Week
Safran fell by 1.64% this Wednesday, trading at 312.20 euros in a declining Parisian market. This decrease occurs even as the stock still shows a gain of over 10% in the past seven days, following recent price target updates by two banks.
Current Trading Conditions
This morning, Safran's stock is trading at 312.20 euros, slightly down from the previous close of 317.40 euros. This decline is part of a broader market downturn: the CAC 40 is down by 0.63% during the session, while the SBF 120 has fallen by 0.53%. In the aerospace sector, Airbus also dropped by 0.51%. Technically, the price is just above its 50-day moving average of 311.89 euros, which acts as a short-term support level. Moreover, the stock is trading in the upper range of its Bollinger Bands, at 80% of the spread between the lower bound (265.97 euros) and the upper bound (323.87 euros), indicating a potential overbought zone after the significant rebound over the last week. However, the RSI at 59 remains in neutral territory, not confirming any excessive tension at this stage.
Analyst Recommendations
Analyst recommendations have been updated in recent days. BNP Paribas Exane has initiated coverage with a 'neutral' rating and a target price of 330 euros, representing an upside potential of about 5.7% from the current price. Meanwhile, Barclays has lowered its target from 340 to 330 euros while maintaining an 'overweight' rating, reflecting confidence in the medium term despite a slight adjustment in expectations. These revisions come a week before the announcement of the first quarter 2026 results, scheduled for April 23. The general assembly is also planned for May 21. The stock's annual performance remains impressive, with a gain of 48.1% over twelve months. However, over the last three months, the stock has shown a slight decline of 2.5%, indicating that the upward momentum has experienced phases of hesitation. The upcoming quarterly deadline is now the next catalyst for the aerospace equipment manufacturer's stock.
