Danone stock weighed down by RSI at 28, at one-year low

A persistent decline that widens the gap with the three moving averages

Danone is down 1.08% in trading at €58.86, compared to a CAC 40 stable at +0.18%. The monthly decline reaches 8.6%, the quarterly 18.39%, which illustrates the selling pressure that has been in place since summer. The stock is now trading well below its three moving averages: the 20-day MA at €61.94 shows a gap of nearly 5%, the 50-day MA at €65.49 of more than 10%, and the 200-day MA at €68.53 of 14%.

The break of €60.84 in mid-September had already signaled an acceleration of the decline, and the stock has since failed to find sustained support. The RSI at 28 is in a marked oversold zone, which reflects the gradual exhaustion of selling pressure without signaling an immediate reversal.

The €1.5 billion bond issue and interim results as fundamental elements

On the fundamental side, Danone had confirmed its annual targets on July 29, 2026 upon publication of its first-half 2026 results, with comparable growth expected between +3% and +5%. However, this publication highlighted a free cash flow down 27.3% to €852 million and net debt rising to €9.0 billion compared to €8.4 billion at the end of December 2025. More recently, the group completed on September 21 a bond issue in three tranches for a total amount of €1.5 billion, intended to extend the maturity of its debt and strengthen its financial flexibility.

These operations take place in a context where the rise in energy costs, against a backdrop of tensions around the Strait of Hormuz, is weighing on global consumption. Technical resistance is located at €66.32, representing a gap of more than 12% compared to the current price, while the former support level at €59.50 is now acting as a ceiling to recapture.