Eramet share plunges to six-year low, at the bottom of the SBF 120

A six-year low of €34.30 that erases the 2020 level

The Eramet share falls 2.49% to €34.44, after touching €34.30 during the session. This level represents its lowest point in six years: it breaks through the €35.32 level reached in 2020, the year marked by the Covid-19 pandemic. The stock has lost nearly 21% over the week and over one month, and 42.5% over one year.

The RSI at 26.6 signals an oversold configuration, while the price remains 19% below its 20-day moving average. Eramet occupies the bottom of the SBF 120, which declines 0.69%, while the CAC 40 loses 0.66%.

A €500 million capital increase expected in the fourth quarter

In a press release published on October 12 in the evening, the group confirmed its intention to launch, in the fourth quarter, the capital increase with preferential subscription rights of €500 million announced in February. Eramet presents it as essential to restore its financial situation, with the support of its reference shareholders. Since this announcement, the stock has declined sharply: it was worth more than €43 on October 13. Analysts are closely monitoring analyst opinions and consensus on the stock, whose support level of €35.32 has just been breached. No specific date has been given for the launch of the operation.