Crédit Agricole shares rebound 7.5% over one week
The green bank is rising sharply at midday, in a well-oriented CAC 40. The stock extends a rebound begun last week, despite a new unfavourable analyst rating published this morning.
A rebound of nearly 8% over the week, held back below the long-term moving averages
The stock is trading at €16.11, up 2.03% on the session, while the CAC 40 gains 1.07%. It ranks 11th in the index, with no notable superlative. Over one week, the gain reaches 7.83%, in contrast with a 14.86% decline over three months (performance adjusted for the detachment).
The price is now above its 20-day moving average (€15.38, a gap of +4.75%), but remains below its 50-day moving average at €16.47 and its 200-day moving average at €16.88.
The stock has been trading ex-dividend since 13 October, following the detachment of an interim dividend of €0.57, and this detachment does not explain anything about the session's move. The rebound therefore first depends on recovering the 50-day moving average, a little over 2% above the current price.
KBW lowers its target price to €16 and moves to an underperform rating
KBW has cut its price target from €18 to €16, with its rating now set at underperform. The target is almost at the level of the current price, which leaves no upside at this stage.
As a result, analyst opinions are divided on the stock, while the group posted a profit of €1,991 million in the third quarter, ahead of expectations. More recently, the bank proposed to Banco BPM a merger with a 20% premium for shareholders. It also announced the early redemption of £500 million of bonds on 9 December. The level to watch remains the 50-day moving average, at €16.47.
