GTT Stock Rebounds Nearly 3% Boosted by a Flurry of LNG Contracts
The designer of LNG carrier tanks is recovering in early afternoon trading, after several weeks of consolidation. The stock is benefiting from a positive trading session in Paris, testing technical benchmarks that have acted as a ceiling since mid-May.
A Rebound Bringing the Stock Back to its 20 and 50 Day Moving Averages
GTT's stock is up 2.63% at €202.80 in early afternoon trading, while the SBF 120 is up 0.84% and the CAC 40 up 0.91%. Today's rise brings the stock into immediate contact with its 20-day moving average (MM20) at €203.21 and its 50-day moving average (MM50) at €202.63, two nearly identical averages that mark the recent equilibrium zone. The RSI at 42 remains neutral, indicating that this rebound does not reflect an overexcitement following the declines observed in recent sessions. The 200-day moving average (MM200), at €178.62, maintains a comfortable 13.5% gap below the current price, keeping the underlying bullish trend intact. The next resistance, identified at €212, has not been breached since the end of April. The session takes place in a supportive Parisian market, while the American indices finished earlier in the day in decline (Dow Jones -1.21%, S&P 500 -0.74%, Nasdaq -0.89%). The VIX, at 15.77, reflects contained volatility.
A Dense Order Book and a Schedule Punctuated by the General Assembly
Over the past six weeks, GTT has accumulated LNG orders: an order for five LNG carriers from Chinese Hudong-Zhonghua in early May, a 170,000 m³ FSRU for Samsung Heavy Industries as part of a contract with Malaysian shipowner MISC, and more recently four next-generation LNG carriers for BW LNG via South Korean shipyard HD Korea Shipbuilding. This flow of orders extends the record quarter reported in April and supports the medium-term visibility for the designer of LNG carrier tanks. Over one year, the stock still shows a gain of 20.07%, despite a 2% decline over the past month. The next key date for the company is its general assembly on June 16. The sustainable crossing of the 20 and 50-day moving averages, now grouped around €203, will be the most significant technical benchmark to gauge the continuation of the movement.
