Vivendi Shares Drop 2.5% and Fall Below 50-Day Moving Average, Support at €2.07 in Sight
Vivendi's stock significantly declines in early afternoon trading in Paris, in a slightly bearish Parisian market. This movement erases the recovery attempt that started earlier in the week and brings the price below several short-term technical benchmarks.
The Stock Drops Below its 50-Day Moving Average and Moves Away from the €2.20 Threshold
Vivendi's stock loses 2.46% to €2.14 during the session, down from €2.20 the previous day. The decline brings the price below the 50-day moving average (MM50) of €2.18, which it had crossed upwards a few days ago, and widens the gap with the 20-day moving average (MM20) at €2.25 (-4.71%). The 200-day moving average (MM200) remains much higher at €2.44, indicating a lag of over 12% which reflects the long-term downtrend established since last year (-26% over twelve months). The RSI at 50 remains neutral and does not signal exhaustion, while the identified support at €2.07 is the next benchmark in case the movement extends. The SBF 120 index only loses 0.17% at the same time, highlighting the underperformance of the day. The previous session had allowed the stock to move back above its MM50 following a rebound of 1.5%, a gain now erased. Over three months, the performance remains positive (+9.67%), but the stock struggles to confirm a sustainable recovery dynamic.
The Bolloré-CIAM Legal Dispute Continues to Shape the Background of the Case
The legal case opposing activist fund CIAM to Vincent Bolloré remains the backdrop of the case. In late May, the presentation in the Paris Court of Appeal of an internal email from the Bolloré Group dated 2017, titled 'De facto control of the Bolloré Group over Vivendi', reignited speculations about a possible forced takeover benefiting shareholders of the late 2024 split. More recently, the group also announced its intention to appeal to the CJEU after the EU Court's rejection on June 3 of its appeal against a European Commission information request in the investigation into the acquisition of Lagardère. These two contentious aspects maintain erratic volatility of the stock, with no clear visibility on their outcome. The €2.07 support remains the technical level to monitor to assess the solidity of the May floor.
