Nexans share rebounds above its 200-day moving average and gains nearly 4%

JP Morgan upgrades to overweight and raises target to €183, representing potential upside of nearly 32%

The American bank revised its opinion on Nexans on Wednesday, August 5th, moving from neutral to overweight while simultaneously raising its price target from €160 to €183. Relative to the current price of €138.10, this represents upside potential of nearly 32%. Barclays for its part maintained its overweight rating on Monday, August 3rd, while lowering its target from €191 to €179, still representing potential upside of over 29% from current levels.

These two analyst opinions converge on a constructive view of the stock, even though Barclays has slightly reduced its price ambition. In this context, the share is posting a gain of 3.91% during the session, at €138.10, after closing at €132.90 the previous day.

The rebound places Nexans back above its two key moving averages, against a backdrop of marked quarterly decline

Today's gain restores a more favorable technical configuration to the share. Nexans has rebounded above its 20-day moving average at €132.41 (gap of +4.30%) and its 200-day moving average at €133.45 (gap of +3.48%), which signals a break from the downward momentum of recent weeks. The 50-day moving average at €143.06 remains above the current price, constituting a near-term obstacle before resistance at €148.70. The RSI at 45 is neutral, signaling neither overbought nor oversold conditions.

The share maintains a weekly performance of +11.28%, in the wake of half-year results published on July 29th, but remains down 12.59% over three months, reflecting a difficult period in the heart of summer. The next level to watch is the 50-day moving average at €143.06.