Danone shares break above €66.06 and post an overbought RSI at 74

The stock moves back above its three moving averages and breaks through a 30-session high

During the session, Danone gains 2% to €67.34, a rise of 9.3% over seven days and 13.9% over one month. The price has broken through the high of the last 30 sessions (€66.06), a level that now becomes its support.

The stock is above its three moving averages, 8.4% above the MM20 to just 1.2% above the MM200 (€66.54), which it has just reclaimed.

The RSI at 74 signals an overbought configuration after this upward sequence. Over three months, the stock remains close to break-even (-0.7%), but still loses 12.2% over one year.

HSBC raises its target to €71 while maintaining a hold rating

In a CAC 40 up 2.2%, Danone gains as much as the index, far from the strongest gains of the session (Kering, BNP Paribas, Renault). On the analyst side, HSBC raised its price target from €69 to €71 on November 3, while keeping its hold rating. This target is about 5.4% above the current price.

On the sales front, Danone published on October 28 quarterly revenue up 4% on a like-for-like basis and confirmed its annual range of +3% to +5%. The resistance identified at €74.40 is the next key technical level.