Vallourec Shares Drop Nearly 2% Continuing a Dark Month with a 15% Decline
The seamless tube specialist dips during the session, against the trend of a rising CAC 40. The stock is moving away from its short-term moving averages as the company has just detailed its shareholder return policy for the current fiscal year.
A Decline that Widens the Gap with Short-Term Moving Averages
Vallourec shares have fallen 1.9% to €20.64, in a SBF 120 that is up by 0.67%. The stock thus slips into the lower half of the broader index and erases some of the previous day's rebound. Over the month, the loss reaches 15.2%, while the annual performance remains positive at over 24%.
The price is significantly below its MM20 (€23.73, a gap of -13%) and its MM50 (€24.32, a gap of -15.1%), a configuration that extends the technical deterioration observed since mid-June. The MM200 at €19.10 still provides a cushion of about 8% under the current price. The RSI at 36 indicates a weakening momentum, without tipping into oversold territory.
Shareholder Return Confirmed and Selling Pressure Significantly Reduced
The company specified on Wednesday its intention to return approximately €650 million to its shareholders in 2026, combining the completion of the share buyback program and the full exercise of subscription warrants. This amount matches the guidance already communicated during the Q1 2026 release (May 13, 2026). CIC Market Solutions has meanwhile maintained its buy rating, with a target of €28, representing a theoretical potential close to 36% relative to the current price. On the bearish side, the pressure has significantly eased.
According to the statements consulted, the cumulative net short position has come down to 0.95% of the capital, from 8.76% a month earlier, a decline of nearly 7.8 points. This marked reduction reflects a massive unwinding of bearish bets, yet it has not translated into a recovery of the stock price at this stage. The next key event marked on the calendar remains the semi-annual publication expected in the summer, while the stock maintains its position above its MM200 despite the day's decline.
