ArcelorMittal Shares Climb Nearly 4% Following Vallourec Share Disposal
The Luxembourg-based steelmaker is among the top gainers on the CAC 40 this Wednesday midday. The stock is up 3.94% at €53.28, in a Paris index that has risen by 0.78%.
Citi Raises Target to €67 After Vallourec Stake Sale
This Wednesday, Citi raised its price target on ArcelorMittal from €66 to €67, while maintaining its buy recommendation. At €53.28, the implied potential is approximately 25.7% relative to the current price. Additionally, the company announced on Tuesday the disposal of 23.9 million Vallourec shares at €24 each, through an accelerated placement to institutional investors. The transaction generated a gross revenue of about $667 million for the group. The financing schedule remains active. On May 13, ArcelorMittal also completed a billion-dollar bond issue at 5.375%, intended for general corporate purposes.
The Stock Returns to Its Peaks, Up 93% Over a Year and Above All Its Moving Averages
Today's rise brings the annual performance to 93.39%. The stock is nearing its peak of €55.46 reached on May 14, before a correction of 4.11% on May 15. At €53.28, the price is 6.60% above the 20-day moving average (MM20) of €49.98 and 4.68% above the 50-day moving average (MM50) of €50.90. The gap to the 200-day moving average (MM200) of €37.88 is 40.65%, illustrating the medium-term upward trend. The resistance monitored by traders is at €55.00, a level already briefly surpassed on May 14 (price at €55.46). The RSI at 51 remains neutral, leaving room before an overbought configuration. However, the macro context may weigh on the steel sector: Chinese industrial production only grew by 4.1% in April year-on-year, compared to 5.7% in March, and the UN has lowered its global growth forecast for 2026 to 2.5%. The next key date for shareholders is the quarterly release on July 30, 2026.
