Viridien Shares Plunge 6%, the Worst Performer in SBF 120 Dragged Down by Brent
The geoscience specialist undergoes another significant drop in mid-morning trading, positioning itself at the bottom of the Parisian index. The stock suffers due to its high exposure to the oil cycle, in a European market impacted by the decline of Brent since the end of June.
A Slide that Extends a Disastrous Month for the Stock
Viridien shares fell by 6.03% to €78.75, marking the steepest decline in the SBF 120 while the index itself only fell by 0.25%. The stock has broken through its support level at €89.40, a threshold previously breached at the end of June during a major sell-off session, and now shows a decline of nearly 35% over one month and 41.6% over three months. The oil context does not favor the stock: Brent has lost 10.2% in nine sessions, falling to $73.34 per barrel, creating an unfavorable environment for seismic service orders. According to reports, four funds hold a net short position of 3.12% of the capital. Although selling pressure has eased over the past month (-0.63 point from 3.75% at the end of May), indicating some coverage, the level remains high and reflects a continuing distrust by institutional investors in the stock. This point should be monitored without overinterpretation: it does not alone explain the day's movement.
Degraded Technical Setup and Indicators in Extended Oversold Zone
The stock price is significantly below its three moving averages: the MM20 at €105.34 is 25.2% away, the MM50 at €119 is 33.8% away. This gap reflects the magnitude of the break from the trend of recent weeks. The RSI at 24 confirms a marked oversold condition, which has been prolonged since mid-June without triggering a sustainable rebound, indicating that selling pressure remains dominant. The next technical reference zone is around the June lows, which have now been breached downward. In the medium term, the trend continues to be dictated by the evolution of Brent and by the revisions of target prices by analysts, which have been frequent in recent weeks for the stock.
