Eutelsat Communications Shares Stall Below €3.70, Key Resistance in Sight
Eutelsat Communications shares are digesting their previous day's surge. The stock is pulling back at midday, marking the sharpest decline in the SBF 120, while the broader index makes modest gains during the session. The retreat follows a failed attempt to sustainably break through technical resistance.
The Stock Stalls After Touching €3.98 Intraday and Falls Below Resistance
Eutelsat Communications shares are down 3.64% at €3.69 mid-session, after closing at €3.83 the previous day. The stock is at the bottom of the SBF 120, while the index is up 0.54%. This movement follows the previous day's 17% surge, which broke through the €3.02 barrier. During the session, the stock briefly exceeded its €3.77 resistance, reaching a high of €3.98, before significantly falling below it again. An RSI of 78 indicates a clear overbought situation, consistent with a 22.42% gain over the week. The price is 27.36% above the MM20 (€2.90) and 38.33% above the MM200 (€2.67), a gap that makes today's profit-taking mechanically plausible. The consolidation dampens the momentum without reversing the trend: over three months, the performance remains at 69.82%, and today's decline does not challenge the technical breakthrough achieved yesterday.
Shift Towards LEO Connectivity and Stable Seller Positioning of Funds
Fundamentally, the file remains supported by the commercial trajectory of the low-earth orbit satellite segment. During the announcement of the 9M 2025/2026 revenue on May 12, 2026, the group reported a 50% increase in LEO revenue year-over-year, while noting a negative currency impact of €42 million for the period. The revenue from operational activities remained almost stable. Regarding positioning, two funds together hold 2.17% of the capital sold short according to the reviewed declarations, a level that is almost stable over a month (-0.09 point). This fraction remains limited and does not indicate a marked movement of distrust: it simply signals that a minority of institutional investors maintain a bearish bet, without recent acceleration. The stock has gained nearly 38% over the year and has seen several target upgrades since April, including those from BNP Paribas Exane and Morgan Stanley. At these levels, the €3.77 zone (briefly breached in session) will be the most immediate technical threshold to watch in the coming sessions.
