Rémy Cointreau Shares Drop 3% at Opening, Under Pressure from Short Sellers
The cognac group's stock opens sharply in the red at the Paris Stock Exchange, in a generally declining Parisian market. This movement comes after several sessions of consolidation below the major resistance level of €45.42, while short sellers remain heavily positioned in the capital. The underlying bullish momentum, inherited from spring, is being tested.
Stock Drops 3% at Opening and Reaches its Moving Averages
Rémy Cointreau's stock loses 3.06% to €43.14 at the opening, marking one of the steepest declines in the SBF 120. The decline is part of a Parisian market under pressure, with the CAC 40 losing nearly 0.9% and the VIX jumping over 20% to 20.29. This movement occurs after a failure at the €45.42 resistance tested last week, which had already led to a decline.
Despite today's drop, the price remains above its three moving averages: MM20 at €42.16 (gap +2.32%), MM50 at €41.10, and MM200 at €41.38. The RSI at 61 remains neutral, reflecting a simple recalibration after a rally of more than 22% over three months. The next support to watch remains the MM20 at €42.16, whose breach downward could pave the way towards the €37.50 support.
Short Sellers Still Positioned Amidst Deteriorating Spirits Market Conditions
According to reviewed statements, the cumulative net short positions reach 5.38% of the capital, distributed among five funds, slightly down by 0.20 points over thirty days. This level, above 5%, reflects the enduring presence of institutional investors positioned against the stock, without indicating capitulation or an acceleration of the bearish bet. This parameter deserves monitoring without overinterpretation in an always challenging sector context.
The backdrop remains heavy for French spirits exporters: FEVS reported a decline of 10.9% in the value of cognac exports in the 2024 report, and 6.5% for all spirits. The group had also announced in early June an organic operating margin decline of 2.6 points to 17.7% for 2025-26 and a dividend cut in half, before the RC Forward plan supported the stock. The next technical step plays out at the contact of the MM20 at €42.16.
