Sanofi confirms 2020 outlook – Short term recovery is ongoing

Sanofi, a pharmaceutical group, announced that 1Q business net income rose 15.9% on year to 2.04 billion euros and business operating income increased 15.8% to 2.66 billion euros on net sales of 8.97 billion euros, up 6.9%

Article Default

Sanofi, a pharmaceutical group, announced that 1Q business net income rose 15.9% on year to 2.04 billion euros and business operating income increased 15.8% to 2.66 billion euros on net sales of 8.97 billion euros, up 6.9% (+6.6% at constant exchange rates). The company said it continues to expect business EPS to grow around 5% at constant exchange rates (+15.6% in 1Q).

Global healthcare stocks have recently outperformed the STOXX 600 in Europe. From a technical point of view, Sanofi remains in a short term bullish trend, supported by a rising trend line. The daily Relative Strength Index (RSI, 14) is bullish and not overbought. The stock price is trading above its 50DMA which started to flatten out. This may indicate an imminent consolidation move for the stock as prices are approaching from Feb 19th high at 95E.

Immediate support is set 86.6E near the 100DMA but the key short term support threshold is set at 80.7E. A break above 95E would open the way to a further rise towards 99 (upper Bollinger boundary on a weekly chart).

Source: GAIN Capital, TradingView

Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.