Vusion shares break through their 136.90 € resistance and rebound 3%
The electronic shelf-label manufacturer extends its rebound during the session, in a stable Paris market. The move follows an analyst opinion issued the previous day and gives some breathing room to a stock that has been heavily pressured over one year.
A resistance breakout that places the price above its three moving averages
Vusion shares gain 3.21% to 141.30 €, placing the stock 3rd in the SBF 120 index, among the biggest gainers of the day, while the index falls 0.07%.
During the session, the stock broke upward through its 136.90 € resistance, the highest level of the past thirty sessions, which now serves as support. This breakout extends a 13.68% gain over one week, following a pullback in the stock on October 28 and a return above 135 € the following day.
The price is 11.78% above the MM20, 12.82% above the MM50 and 13.25% above the MM200. The RSI at 69 accompanies this surge. The next resistance is located at 147 €. Still, the stock is down 41.51% over one year.
Citi rates the stock Buy with a 250 € target price and a share buyback in the background
On November 2, Citi issued a Buy rating on the stock, with a price target of 250 €, or nearly 77% above the current price.
The company also finalized on October 29 the acquisition of In-Store Media, which adds an in-store advertising space sales business. Vusion had also published on October 20 third-quarter revenue up 25%, with 462 M€ in order intake.
On the market side, reported net short positions have fallen to 2.15% of the share capital, spread across three funds, compared with 4.46% thirty days earlier. This 2.31-point decline shows a marked reduction in bearish bets, although it alone does not explain the move of the day.
On the market front, the CAC 40 falls 0.06% while the 10-year French OAT yields 4.93% as of November 3.
