Valeo Shares Continue to Rise: Up Another +3% and Resistance Overcome

Valeo Breaks Its €13.57 Resistance and Accelerates During the Session

Valeo's stock gains 2.69% at €13.54 midday, while the SBF 120 index is up by 0.59%. During the session, the stock briefly surpassed its resistance at €13.57, reaching €13.58, as the SBF 120 index progresses by 0.59%. The movement extends a marked rebound: +26.96% over the month, following a rise of more than 46% over the year. The RSI at 64 indicates the strength of the movement without entering an overbought zone, while the price is now 9.4% above its 20-day moving average and nearly 19% above its 200-day moving average. The technical momentum coincides with the launch, on May 27, of a €600 million bond issue maturing in 2033, announced to refinance part of the debt.

A Cumulative Short of 11.35% of the Capital Gradually Deflating

According to reviewed statements, seven funds cumulatively hold 11.35% of the capital sold short, down from 13.67% a month ago (-2.32 points). The bearish bet remains high in absolute terms, but the pressure has significantly eased over thirty days. This relaxation may reflect cover purchases by institutional investors who are reducing their bearish exposure, without necessarily indicating that all bets against the stock have been unwound. At this stage, the level continues to fuel potential volatility in the stock in both directions. In industrial news, Valeo unveiled a new Ineez bidirectional charging station incorporating V2G technology in Paris this Tuesday, highlighting its position in electrification. According to the consensus of surveyed analysts, the stock is trading at about 8.3 times the expected earnings for the current fiscal year. The confirmed crossing of €13.57 paves the way for a continuation of the movement, this level now serving as the first technical support.