Juventus share price has fallen this morning by as much as 8.5% (€1.27 per share) in the first few minutes of trading, following the news that the company will try to raise up to €300 million via a capital hike. Despite the dramatic start, the price consolidated around €1.30/1.31. The figures of last year are showing a loss close to €40 million. In the last 4 weeks the market capitalisation has fallen from €1.60 to €1.30 billion.
Nonetheless, the price remains well above the levels seen before Cristiano Ronaldo’s arrival, when the stock was traded at €0.60 per share, for a market cap of €600 million. Some in the market had been expecting this piece of news and the price is somewhat supported by the fact that shareholder Exor, the holding of the Agnelli family, will participate to capital increase for its quota. This is reassuring small investors, while Juventus’ market cap remains 50% lower than that of Manchester United and well below that of Arsenal Holding PLC. From a technical point of view, the short and medium trend is bearish, with a long-term static support at €1.20, near the minimum of 2019. Meanwhile, the long-term trend still appears positive, with the share prices that was traded at €0.25 in middle 2016, and €0.60 in summer 2018.
