why the m6 action could plunge below the 10 euro mark

For almost three years, the action of the parent company of M6 has been on a downward slope and it has seen its valuation almost halved compared to the year 2021 when the title was trading close to €20 per share.

Technically, the stock is today placed on technical support which is located around 11.30 euros and which conditions, if it were broken downwards, the opening of a new significant bearish front. In such a scenario, which still seems quite likely given the very degraded technical situation, we can envisage a return without any difficulty to the next significant support located at 9.90 euros. All indicators remain bearish and the moving averages are really poorly oriented.

On the more fundamental aspect, the figures for the third quarter go in the same direction with a drop of almost 18% in its Ebitda and a turnover which fell by 5.8% year on year. other. The economic and political context is quite heavy and unsurprisingly leads to a delicate advertising market. This low visibility does not help attract investors to the issue. We remain negative on the stock for the moment.

M6 Forces

• Strong media presence : M6 enjoys a large audience in France thanks to its popular television channels and digital platforms, ensuring constant visibility for advertisers and investors.
• Diversification of activities : The company is active in multiple media segments, including content production, digital advertising and streaming services, which reduces the risks associated with reliance on a single sector.
• Technological innovation : M6 regularly invests in new technologies and digital platforms, which allows it to remain competitive in the face of rapid developments in the media market.

Weaknesses of M6

• Concurrence intense : The media sector is highly competitive with the presence of large international players and new streaming platforms, which may limit M6's growth and market share.
• Dependence on the French market : A large portion of M6's revenue comes from France, which exposes the company to economic fluctuations and regulatory changes specific to that market.
• Pressures on advertising revenues : With audience fragmentation and the rise of online advertising, traditional advertising revenue can be affected, impacting business profitability.

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