Michelin among the strongest CAC 40 gainers: stock rebounds 1.5%

A rebound against the grain of a declining Paris index

The Michelin stock is up 1.51% to €33.52 in early afternoon trading, while the CAC 40 is down 0.54% and the SBF 120 down 0.46%. This gain places it among the strongest performers in the index, in a session where Schneider Electric is weighing on the market. The stock remains down 4.66% over the past month, after breaking its support level at €34.01 on September 9. This breach had triggered a downward phase that today's session is easing without erasing it. Brent at $102.62 per barrel remains a backdrop factor for a tire manufacturer whose raw material and fuel costs are sensitive to oil prices.

A 20-day moving average to reconquer and support at €33.05 nearby

In terms of technical levels, the price is aligned with its 20-day moving average, located at €33.59, which it touches without exceeding, while the 50-day MA at €34.20 remains 1.99% above. The 200-day MA at €32.29 provides a cushion of 3.81% below the price, and support at €33.05 is located very close by. The RSI at 40 reflects still modest momentum.

On the fundamentals side, the group published half-year results on July 27 with operating margin up to 11.4%, and cites among its watchpoints an unfavorable currency effect of 3.1% on revenue. It also repurchased €885 million in shares over twelve months, representing 3.8% of its market capitalization. The level of €33.59, that of the 20-day MA, is the benchmark to watch in the coming sessions.