Michelin Shares Climb 2.75%, Targeting €33.74 Again
The Clermont-based manufacturer erases the previous day's profit-taking and resumes its upward trend. The stock is among the leaders in the CAC 40 at the close, as the Paris index returns to positive territory.
A Significant Rebound Places the Stock Above Its Three Moving Averages
Michelin shares gained 2.75% to close at €33.57, up from €32.67 the previous day. This increase positions the stock among the top performers in the CAC 40, in a session where the Paris index rose by 0.54%. The stock is now significantly above its three moving averages, with a gap of 3.68% from the MM20 (€32.38) and 10.54% from the MM200 (€30.37). The RSI at 54 remains neutral, allowing room before reaching a technical tension zone. The resistance at €33.74, which the stock approached the previous day, is once again in sight. The performance remains strong over longer horizons, with a gain of 6.54% over a month and 17.05% over the quarter, despite a slight weekly decline.
Analysts Maintain Buy Rating with Targets Above Current Price
The consensus among analysts remains positive. CIC Market Solutions reaffirmed its buy rating today with a target of €35, representing an approximate 4.3% upside from today's price. Kepler Cheuvreux reiterated its buy opinion on June 22 with a target of €40, implying a potential upside of nearly 19%. The company had presented its specialty tire segment during its Media Day on June 9 and 10, which accounts for 17% of revenue and is distinguished by higher than average profitability. The plan to adjust staffing levels in France, with up to 1,500 job cuts over three years on a voluntary basis, was revealed at the end of May. Crossing €33.74 will be the next technical milestone to watch.
