SES Shares Drop Over 2% and Approach a Key Support Level at €6.63
The Luxembourg-based satellite operator falls in mid-morning trading, moving against a slightly positive CAC 40. The stock continues a correction phase that began last week, while still maintaining a significant advantage over its quarterly horizon.
A Decline that Widens the Gap with Short-Term Moving Averages and Weighs on the Weekly Performance
SES drops 2.44% to €7.19, marking one of the steepest declines in the SBF 120 while the broader index gains 0.18% during the session. This movement brings the weekly decline to 6.68%, erasing most of the monthly gain now reduced to 0.49%. Over three months, however, the stock still holds an 11.65% lead. The slide further distances the price from its short-term moving averages, which were already lost last week. The 20-day moving average at €7.51 is now 4.26% above the current price, and the 50-day moving average at €7.96 widens the gap to 9.67%. The 200-day moving average at €6.64 remains significantly below the current price (+8.28% gap), which preserves the underlying trend. The RSI at 45 indicates weakened momentum without entering the oversold zone, while the MACD histogram, barely back in positive territory (+0.0160), signals a bearish dynamic losing some of its intensity.
A Tense Oil Context that Dampens the Mood for Satellite Stocks
The session unfolds against a backdrop of renewed escalation between the United States and Iran, with Brent crude moving back above $90 a barrel and reduced traffic in the Strait of Hormuz. This environment continues to weigh on European satellite and defense-related stocks, including SES. The stock had already undergone a severe correction in June in a similar context, before rebounding nearly 30% in early July following a five-year framework contract secured by SES Space & Defense with the US Space Force. The ongoing correction now brings the stock back to the support level at €6.63, the holding of which conditions the preservation of the medium-term upward trend visible on the 200-day moving average. The next concrete milestone for the stock will be the semi-annual report, expected later this summer.
