Dassault Aviation Shares Slip Below €300, Testing a Major Technical Threshold

Technical Indicators Highlight Potential Overselling

Dassault Aviation's share price is now at €299.80, below the lower Bollinger band set at €303.12. This move constitutes a potential overselling technical signal, indicating that the stock is significantly deviating from its recent trend. The RSI, at 37, supports this interpretation as it approaches the overselling zone, traditionally located below the threshold of 30.
Moreover, the stock is trading well below its 20-day (€323.99) and 50-day (€332.93) moving averages, while remaining close to the 200-day average (€296.25), which could act as a technical floor in the short term. This movement occurs in a context of generalized weakness of the CAC 40, which is down 1.07% during the session. Airbus also falls by 2.78%, illustrating selling pressure on the aerospace and defense sector this Friday morning.

Positive Analyst Outlook Amid Market Challenges

Two days before this session's decline, Jefferies bank reaffirmed its 'buy' recommendation on Dassault Aviation, raising its price target from €400 to €420. At the current price of €299.80, this target implies a revaluation potential of over 40%, an unusually wide gap that reflects the analyst's confidence in the fundamental trajectory of the group.
The financial calendar's next milestones are the general meeting of shareholders scheduled for May 13, followed by the publication of the first semester results on July 22. These events could provide more visibility on the order book and operational dynamics of the aircraft manufacturer, in a context of increased geopolitical tensions in the Middle East that currently weigh on all European markets. Over one year, the stock shows a limited decline of 0.46%, but the loss reaches 10.29% over three months, indicating a recent acceleration of the correction.