Viridien Shares Plunge 16% After Quarterly Release
Viridien's stock fell by 16.43% to €122.60 at midday, while the CAC 40 gained 3.06% during the session. The geoscientific technology specialist for the oil industry is facing the dual impact of its first-quarter release and the drop in Brent crude, which fell from $110 to $100.44 amid prospects of a US-Iran deal. The previous session had closed at €146.70.
Oil Drags the Stock Against Market Trends
Brent crude lost nearly 8.6% this Wednesday, influenced by reports from Axios and Reuters that Washington and Tehran are nearing a memorandum of understanding to end the conflict in the Gulf. The market is removing some of the geopolitical premium that had been built into prices for several weeks. The suspension by Donald Trump of the military operation in the Strait of Hormuz has reinforced this trend.
Viridien's activity (formerly CGG) directly depends on the exploration budgets of oil companies, which in turn are correlated to crude oil prices. This session illustrates this link: the stock dropped 16.43% while the SBF 120 gained 2.98%. Over the week, the stock has fallen by 16.31%, erasing part of the rally that had taken it to €154.40 on April 23, a peak not seen since 2020. Over one year, the performance remains nevertheless at 144.2%.
In parallel, Viridien published results that disappointed the market. The company reported revenue of $214 million, down 29% from the same period last year.
The Stock Reaches Back to Its Support at €121.70
The session's retreat brings the price just above the identified support at €121.70, less than 1% difference. The stock is now trading at the lower end of the Bollinger bands, whose lower boundary is at €116.09. The 50-day moving average, at €130.60, has moved back above the price, while the 200-day moving average at €96.81 remains well below, indicating the underlying bullish trend is preserved despite the correction.
The RSI at 59 remains in the neutral zone, indicating that the day's drop has not yet placed the stock in an oversold condition. The annual guidance, confirmed during the third quarter 2025 release, targets a net cash flow of $100M for the fiscal year, with continued debt reduction despite the volatility of oil prices. The next financial calendar event is the general meeting on June 3, 2026.
