Valeo shares rebound 2.5% despite Jefferies' lowered price target

A 2.61% rebound that leaves the stock well below its moving averages

The Valeo share gains 2.61% to €11.41 intraday, while the CAC 40 rises 0.32%.

The stock still trades 4.32% below its MM20, 15.14% below its MM50 and 11.25% below its MM200, which highlights the distance still to be covered after a 15.61% decline over one month.

The support at €10.92 remains less than 5% below the current price, while the RSI at 39 rules out any oversold configuration. The stock has therefore stabilised without yet reclaiming any technical level.

In the short-selling market, the eight funds on record hold a combined 11.68% of the capital, nearly unchanged over thirty days (+0.08 point). This high level indicates that a significant share of institutional investors remains positioned against the stock, or is hedging an exposure, without any notable acceleration in recent weeks.

Jefferies cuts its target to €13.80 but maintains its buy rating

Yesterday, Jefferies lowered its price target from €17.85 to €13.80, while keeping its buy rating. This new target implies a potential upside of around 21% relative to the current price.

The rating revision follows the third-quarter results published on October 22, when Valeo's first-tier revenue fell 3.8%, in a global automotive market down 1.6%.

At the time of that publication, Valeo confirmed its revenue guidance of €20 to €21 billion for 2026 and pointed to a return to growth in 2027. According to the consensus of the analysts on record, the stock trades at 7.6 times current-year earnings and 6 times next-year earnings.