EssilorLuxottica Shares Attempt a Rebound After Multi-Year Low in May
The Franco-Italian optical giant modestly progresses in mid-afternoon trading, within a well-oriented CAC 40. The stock is trying to stabilize a rebound that began at the end of May, after a particularly heavy downward trend in the spring. The momentum remains fragile, framed by long moving averages that still cap the price.
A Technical Rebound Still Far from Erasing Spring's Drop
EssilorLuxottica gains 0.46% at €175.95 during the session, within a CAC 40 that is up by 0.43%. The stock thus extends its recovery that started at the end of May, after hitting a multi-year low of €162.50 on May 12, as recalled in the session of May 12. The gain for the week remains limited to 1.56%, and the overall picture remains degraded: -21.87% over three months, -28.1% over a year. The price moves back above the MM20 at €173.30 (+1.53%), a first signal of short-term stabilization. However, the MM50 remains perched at €187.06, nearly 6% above the price, and the MM200 at €251.53 materializes the extent of the medium-term disengagement, with the price evolving more than 30% below this benchmark. The RSI at 44 reflects a neutral configuration, without excessive selling or marked buying dynamics.
A Macroeconomic Context Full of Uncertainties for Consumer Stocks
Today's movement is part of a market climate animated by the rise of Brent above $93, amid tensions in the Middle East. This surge in the barrel rekindles fears of imported inflation, likely to delay the anticipated easing of rates and weigh on discretionary consumer stocks in the long term. However, European indices absorb these tensions well, with the DAX gaining 0.44% and the SBF 120 up 0.37%. On the fundamentals side, EssilorLuxottica's last publication highlighted a third consecutive quarter of double-digit growth in the Q1 accounts revealed in April, without preventing the heavy correction that followed. The technical support is at €165.45, the last bulwark near the May low. The next concrete step for the stockholders will be the course's ability to approach the MM50 at €187.06, the first lock before a return towards the resistance at €215.70.
