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Ubisoft Entertainment Leads SBF 120 with a 2.5% Rebound

The French video game publisher marks the highest rise in the broader Paris index mid-morning, as the market lacks clear direction. The stock continues a fundamental movement characterized by a gradual decrease in short interest, amidst a busy content release schedule.


Ubisoft Entertainment Leads SBF 120 with a 2.5% Rebound

The Stock Takes the Lead in the SBF 120 and Moves Above its 50-Day Moving Average

Ubisoft Entertainment's stock is up 2.89% at €5.02, marking the most significant performance of the SBF 120 mid-morning while the broader index is down 0.06%. The rebound extends the momentum of recent sessions, bringing the performance to over 23% in three months, despite a still steep decline of 46% over one year. The price has moved above the 50-day moving average (€4.94), while remaining 2.2% below the MM20 at €5.13. The RSI at 46 remains neutral, indicating a recovery movement without excess.

The next graphical zone to cross to confirm the bullish sequence is identified resistance at €5.63. On the product news front, the publisher deployed yesterday the last major update of Assassin's Creed Shadows, featuring a conclusive story and a new challenge mode called Domains. The announcement complements the collaboration between Brawlhalla and the Shrek franchise, unveiled on June 15 for a launch on July 29.

Cumulative Short Interest Declines to 13.27% of Capital but Remains High

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According to reviewed statements, ten funds cumulatively hold 13.27% of the capital sold short on the stock, down from 14.72% a month ago (a decline of 1.45 points). The movement indicates a beginning of covering short positions, without challenging a level of distrust that remains well above the SBF 120 standards. This signal should be seen as a fundamental data point, not as a direct driver of the session: a high short can amplify rebounds due to mechanical buyback effects, but also weigh down as soon as bad news occurs.

From a fundamental perspective, during the annual results announcement for 2025/2026 (on May 20, 2026), the group mentioned a 'significantly stronger and more diversified' content pipeline for the fiscal years 2027-28 and 2028-29, after a revenue decline of 21.8% and a reduction in net debt from €885 million to €187.3 million. The technical trajectory of the stock remains dependent on reclaiming the MM20 at €5.13, the first step before the resistance at €5.63.



Sector Médias / publicité / divertissement · Jeux vidéo · Loisirs / sport · Divertissement / contenus Divertissement électronique


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Context

Period
  • Period: 1T2026/2027
Key reported figures
  • Revenue: 268.2M€
Guidance from the release
  • « Nous avons enregistré au premier trimestre un net bookings légèrement supérieur à notre objectif. »
  • Le chiffre d'affaires IFRS 15 du premier trimestre 2026-27 recule de 13,7 % à 268,2 M€ et le net bookings de 9,2 % à 255,8 M€, légèrement au-dessus de l'objectif d'environ 250,0 M€, la baisse reflétant une base de comparaison élevée liée à Assassin's Creed Shadows. Le net bookings back-catalogue s'établit à 221,0 M€ (-15,1 %) et le net bookings digital à 206,2 M€ (-17,6 %), tandis que le PRI est quasi stable à 151,3 M€. Invincible: Guarding the Globe signe un trimestre record. Le début du T2 est marqué par le lancement réussi d'Assassin's Creed Black Flag Resynced (3,5 millions d'exemplaires en sell-in, note de 84). La transformation se poursuit avec la fermeture de studios et la nomination de Christoph Hartmann à la tête de la Creative House 2.
Risks mentioned
  • Net bookings attendu en baisse d'un pourcentage à un chiffre élevé sur l'exercice 2026-27
  • Marge opérationnelle non-IFRS attendue négative sur l'exercice 2026-27
  • Consommation de free cash-flow pouvant atteindre 500 M€ sur l'exercice
  • Échéances de dette à refinancer : revue en cours des options de financement
Opportunities identified
  • Assassin's Creed Black Flag Resynced dépasse les attentes annuelles en 14 jours (3,5 M d'unités)
  • Sortie de Rayman Legends Retold le 1er octobre 2026 et de Just Dance Decades of Hits le 13 octobre
  • Performance record d'Invincible: Guarding the Globe sur le segment Mobile
  • Pipeline de contenus nettement plus solide en 2027-28 et 2028-29 (Assassin's Creed, Far Cry, Ghost Recon)
  • Retour attendu à un EBIT non-IFRS positif et à une génération de free cash-flow dès 2027-28

The information presented in this article is provided for informational purposes only and does not constitute an investment recommendation, an incentive to buy or sell a financial asset, or investment advice. Readers are invited to conduct their own research before making any decision.

Investments in the stock market involve risks, including the risk of capital loss. Past performance of an asset or market is no guarantee of future results. Any investment decision should be made taking into account your personal financial situation, objectives and risk tolerance.

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