Atos Shares Break Below €33.82 Support, Among Worst Declines in SBF 120
Atos shares continue their decline mid-morning and are among the sharpest drops in the SBF 120. The session shifts the technical debate below a closely watched threshold, while the broader index remains stable. Additionally, the group has recently strengthened its positions in AI cybersecurity.
The Share Breaks Below its €33.82 Support and Diverges from All Moving Averages
Atos shares are down 2.94% at €33.68 mid-morning, after breaking the €33.82 support during the session. This movement places the share among the largest declines in the SBF 120, while the broader index edges up 0.26%. The breach of this threshold comes after an already challenging session the previous day, where the share had threatened the same level. The technical setup is deteriorating across all timeframes. The price is now below the 20-day moving average (€38.43), the 50-day moving average (€36.97), and the 200-day moving average (€44.59), with a gap of over 24% from the latter. The RSI at 41 remains in the neutral zone despite the drop, which leaves room before a seller exhaustion signal. The monthly decline now reaches 12%, erasing a substantial part of the May rally.
Intense Commercial Activity in AI Cybersecurity Fails to Halt Decline
The company has made multiple announcements in recent days in the field of cybersecurity and artificial intelligence. On Wednesday, Atos announced joining Project QuiltWorks, the coalition launched by CrowdStrike to secure the AI frontier, extending an eight-year collaboration between the two groups. On the same day, the company renewed its commitment to the 'I Choose French Tech' program. Earlier in the week, its subsidiary Eviden partnered with Hexadrone to equip the Tundra 2 drone with electromagnetic intelligence capabilities. These announcements have not sufficed to halt the technical deterioration. Based on the expected earnings per share, the stock is trading at approximately 8.7 times the profits expected for the current fiscal year, and 4.7 times those of the next fiscal year according to the consensus of surveyed analysts. With the break below €33.82, the technical debate now shifts towards the spring lows, with no visible intermediate support before this level.
