SANOFI Shares Rise by 2.85% Over the Week, Up 2.52% at Friday's Close
The French laboratory concludes a positive session on Friday with the release of a strong quarterly report. Operating results exceed expectations, as do revenue and net profit from operations. The group reaffirms all its annual targets, thus reinforcing the outlook for the year.
Market Performance and Financial Highlights
Sanofi closed at 88.79 euros, up 2.52% from the previous close of 86.61 euros. This advance is part of a positive short-term trend: over seven days, the stock has risen by 2.85%, and it has gained 4.89% over the past three months. However, on an annual horizon, the stock is still down by 9.96%, significantly lagging behind the CAC 40, which has appreciated by 9.71% over the same period. Capital turnover remains moderate, limited to 0.25%. These movements follow the third-quarter results. The pharmaceutical giant reported an operating result of 4.45 billion euros, up 8.5% at constant exchange rates, surpassing the consensus estimate of 4.15 billion. Quarterly revenue reached 12.43 billion euros, also exceeding the anticipated 12.23 billion and up by 7% at constant rates. The net profit from operations stood at 3.55 billion euros, an increase of 9.8% in adjusted data, exceeding expectations of 3.29 billion. The group fully confirms its targets for the full fiscal year 2025. For the year, it anticipates revenue growth at a 'high single-digit' percentage (around 9%) at constant exchange rates. Net earnings per share are also expected to see significant growth, with an increase projected in the low double-digit percentage range, between 10% and 14%, at constant exchange rates and excluding share buybacks.
Quarterly Performance and Strategic Execution
The quarter's performance reflects solid execution of the group's strategy. Immunology, pharmaceutical launches, and the Lantus product are the main growth drivers. In the United States, sales increased by 11.1%, supporting a momentum that partially offsets weaknesses observed elsewhere. However, a dark spot remains: vaccine sales declined by 7.8% for the quarter, with a particularly sharp drop of 16.8% in flu and COVID-19 vaccines. This downturn reflects a reduction in vaccine stocks due to less intense vaccination campaigns compared to 2024. Technically, the stock is trading in a tight corridor. The price is slightly below its 50-day moving average (83.30 euros) and well below its 200-day average (90.97 euros), reflecting a still deteriorated medium-term dynamic. The Relative Strength Index stands at 49, signaling a balance between buyers and sellers without a clear direction. Bollinger Bands are set between 78.95 and 89.74 euros, marking a consolidation zone. Monthly volatility is established at 9.06%, remaining contained. The MACD shows a line at 1.56 and a signal at 1.43, generating a positive histogram of 0.13, indicating a nascent bullish dynamic. The stochastic generates a sell signal. On support and resistance levels, the stock holds the support point at 77.52 euros, while resistance focuses around 86.80 euros, a major threshold to cross to confirm acceleration.
