Rexel Stock: Sharp Decline of Nearly 5% Despite Annual Results Meeting Targets

Financial Performance and Strategic Expansion

The decline on the day follows the announcement on Wednesday, February 11, of the group's 2025 annual accounts. Rexel reported a 2.5% increase in revenue for the past year, along with an EBITA margin increased to 6.0%, meeting or exceeding all its annual targets despite a challenging macroeconomic context. Concurrently, the distributor is expanding its logistical footprint in France: its operational area at the ARGAN site in Roissy-en-Brie has increased from 18,000 to 27,000 square meters, strengthening its presence in the outer suburbs of Paris. Despite these favorable fundamental factors, the stock underwent an adjustment after a performance of nearly 18% over the last three months and 38.8% over the year. The price encountered a technical resistance at 37.76 euros, close to the previous closing price of 37.67 euros, before sharply declining during the session.

Goldman Sachs Raises Price Target

The day before the decline, Goldman Sachs raised its price target on Rexel from 38 to 40 euros, while maintaining its buy recommendation. This new target represents an appreciation potential of about 11.5% compared to the current price of 35.88 euros. The American bank thus praises the operational trajectory of the group, whose profitability remains resilient in a contrasting sector environment. Technically, the RSI — an indicator measuring the intensity of recent movements — stands at 72, above the threshold of 70 generally associated with an overbought situation. This signal suggests that the stock had accumulated a rapid progression in recent weeks, making a corrective episode consistent with the observed dynamics. The 50-day moving average, established at 34.34 euros, now serves as a technical reference point to watch: the price remains significantly above this level, preserving the medium-term upward trend that has been underway for several months.