Michelin share price beats 200-day moving average

While other tyremakers have been experiencing falling stock prices, Compagnie Générale des Établissements Michelin recently passed above its two hundred day moving average. On Monday 17 June, the stock surpassed its two hundred day moving average of €33.99 ($36.55) and traded as high as €38.04 ($40.90).

The business’s 50 day moving average price is €36.50 and its 200-day moving average price is €33.99.

However, despite strong share price growth, some analysts have compared Michelin’s stock performance – and particularly the company’s profitability – unfavourably with regards to competitors Pirelli and Continental. Nevertheless, writing in an investors note at the end of May, Jefferies analysts had to concede that Michelin’s car tyre sales are some way ahead of those same competitors with Michelin reportedly selling circa 200 million car tyres a year, Continental around 150 million annually, and Pirelli circa 70 million a year.