Novacyt Shares Fall 7%, Still Impacted by Restructuring Announcement
The molecular diagnostics specialist continues its downturn during the session, following a major internal reorganization. The punishment continues even though the stock had been recovering from several weeks of gains.
The stock continues its decline after the announced workforce reduction procedure
Novacyt shares lost 7.01% to €0.491, after closing the previous day at €0.528. This movement extends the punishment inflicted on Monday, following the opening of a consultation that could lead to a reduction of up to 40% of the group's workforce. The management presents this plan as a rationalization of operational costs, following the launch of new products and the integration of Southern Cross Diagnostics.
Over a week, the decline reaches 25.76%, largely erasing the mid-May rebound following the launch of the Yourgene Insight DPYD genetic test. The fundamental outlook remains mixed: the stock still shows a gain of 21.74% over three months, but has lost 14.49% over a year. During the preliminary results announcement for 2025 on January 21, 2026, the company projected a revenue of 19.8 million pounds and a negative EBITDA of 8.5 million, presenting itself as debt-free and with what it described as comfortable cash reserves.
Below the 20-day moving average at €0.58 but still above the longer moving averages
This week's decline has pushed the price below its 20-day moving average (€0.58), with a negative gap of nearly 15%. The longer moving averages absorb the shock better: at €0.4950, the stock remains 7.61% above the MM50 (€0.46) and 10% above the MM200 (€0.45), traces of the rally that began in the spring. The RSI at 49 indicates neither overbought nor oversold conditions, suggesting a brutal consolidation rather than a capitulation movement.
The identified support threshold at €0.32 remains distant, while resistance at €0.90 corresponds to levels before the downturn. In the very short term, the €0.46 zone (MM50) marks the next chartist reference if the selling pressure continues. The calendar does not offer any imminent financial events to cushion the bearish sequence opened by the workforce announcement.
