Stellantis Shares Hit a 5-Year Low, Plunging Over 20% in a Month
The Italian-American automaker continues its slide in mid-morning trading, marking a new multi-year low in an otherwise stable Parisian market. The stock is among the biggest losers on the CAC 40, unable to halt the downward spiral that has been ongoing for several sessions.
A Five-Year Low at €5.15 Confirms Technical Breakdown Below All Moving Averages
Stellantis shares fell by 2.01% to €5.17, after touching €5.15 during the session, its lowest level in five years. The stock thus broke through the support of €5.57 breached yesterday, approaching the threshold of €5.27 and intensifying an already substantial decline, at nearly -14% over the week and -20.6% over the month. The technical setup remains significantly deteriorated: the price is 15.85% below the 20-day moving average (€6.14) and nearly 33% below the 200-day moving average (€7.71), while the RSI at 29 indicates a persistent selling momentum, with no signs of reversal. The break of the €5.57 support the day before paved the way for this new leg of decline, with the stock not finding any intermediate support between the two thresholds.
Consensus Buy Rating Maintained Despite Stock Halving in One Year
The downturn intensifies as CIC Market Solutions reaffirmed yesterday a buy rating with a target of €9.00, representing a theoretical potential of close to 74% on the current price. The gap between the broker's target and the trading price illustrates the skepticism surrounding the stock, which has lost 35.5% over the year. According to the consensus of surveyed analysts, the stock is trading at approximately 6.2 times the earnings for the current fiscal year and 3.4 times those of the next fiscal year, multiples that reflect a cautious market scenario regarding the group's earning capacity. In the near term, the stock remains below all its moving averages, with a significant graphical resistance at €7.02 far removed from current levels.
