Air France-KLM stock loses its 20-day and 50-day moving averages
Four days after publishing its quarterly results and announcing its offer for TAP Air Portugal, Air France-KLM stock declines sharply on the Paris exchange. The pullback brings the stock below its two short-term moving averages, in a context of sharp Brent crude decline.
A marked decline that places the stock below its 20-day and 50-day moving averages
Air France-KLM loses 2.53% to €12.13 during the session, ranking among the largest declines of the SBF 120 while the broader index remains nearly stable. The stock thus falls below its 20-day MA at €12.42 (gap of -2.33%) and its 50-day MA at €12.32 (gap of -1.54%), two thresholds it had crossed upward at the end of July in the wake of quarterly results. Only the 200-day MA at €11.05 remains significantly below the price, offering a cushion of nearly 10%.
The RSI at 52 remains neutral, with no particular signal of selling exhaustion at this stage. The decline is part of a tense monthly sequence: the stock is down nearly 9.5% over one month, although it maintains a gain of more than 33% over three months. The support level at €11.24, already tested at the end of July, now constitutes the reference point to monitor in case of extension of the bearish movement.
Brent in free fall complicates the cost-revenue equation for the carrier
Brent crude falls 7.26% during the session to $83.58 per barrel, extending a correction of nearly 13.6% that began on July 24. For Air France-KLM, this movement is double-edged: a sustained drop in oil alleviates the fuel bill, which had weighed heavily in the second quarter — Q2 2026 results had highlighted an €804 million increase in the fuel bill, impacting adjusted operating income down 34% to €484 million. But immediately, the market appears to be reacting more to the global macroeconomic uncertainties accompanying this crude decline than to its potential positive effect on future margins. Furthermore, the binding offer filed on July 30 for up to 49.9% of TAP Air Portugal remains awaiting further developments in the Portuguese privatization process.
Based on expected earnings per share, the stock is trading at approximately 3.5 times current fiscal year earnings according to analyst consensus, a low valuation that reflects uncertainties still weighing on the group's profitability. ADP declines 1.43% during the session, while Airbus rises slightly (+0.94%), a sign that Air France-KLM's move is more pronounced than that of its direct peers on the Paris exchange. The support level at €11.24 remains the key technical reference point in case of continued decline.
