Solaria and Acciona Energía: Liquidity sustains them on IBEX35
The renewable energy companies Solaria (Ticker AT: SLR.ES) and Acciona Energía (Ticker AT:ANA.ES) are facing a complicated year in the stock market, with significant losses in their capitalization. Despite these falls, both are managing to remain in the Ibex 35 thanks to their outstanding liquidity, which prevents their exclusion.
The committee that defines the composition of the index will meet on December 12 and, although Solaria and Acciona do not meet the minimum capitalization criterion, the lack of candidates with sufficient trading volume and their strength in liquidity favor their permanence. Solaria, for example, has been one of the 28 most traded shares in the last six months, while Acciona Energía ranks 23rd in the liquidity ranking with a daily average of 9.2 million euros traded.
Solaria has hit lows not seen since 2020, currently being the smallest company in the index with a stock market value representing only 0.24% of the Ibex as a whole, below the 0.30% threshold. However, as in previous cases such as Meliá, its exclusion is not mandatory as long as it maintains its liquidity. Acciona Energía, meanwhile, has the lowest free float on the Ibex, as Acciona controls 88.33% of its shares. Despite this, liquidity has been its lifeline, far outperforming other less traded firms.
As for new entries, Vidrala (Ticker AT:VID.ES) could be a future candidate, although it will not be on this occasion due to a recent drop in its liquidity.
Technical Aspect
If we look at the technical aspect Solaria has been losing its maximum price since January 2021 at 31.06 Euros to the current 9.010. A -73.15% in 3 years of trading. It can be seen a quite marked Shoulder - Head - Shoulder figure. The RSI indicates high oversold at 37.57. At the moment there is a bearish crossover between the 50 and 100 averages. And the delta zone of upward pressure does not seem to be generating much effect. The control point (POC) is located around 5.150. Therefore, this fall could take place in a not very long period. On the other hand, Acciona, has been supporting its price in the 101-105 euros area and currently seems to be bouncing the price towards the last bullish area of 211 euros. Its current control point is located around 69 euros. The RSI is currently slightly oversold at $44.13, so if the company's financial situation improves, the natural evolution of the company will be to look for a test of its last resistance.
Both companies will remain under scrutiny, but their ability to adapt will be key to keep their place in the main Spanish stock market index.
Ion Jauregui - ActivTrades Analyst
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The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
The committee that defines the composition of the index will meet on December 12 and, although Solaria and Acciona do not meet the minimum capitalization criterion, the lack of candidates with sufficient trading volume and their strength in liquidity favor their permanence. Solaria, for example, has been one of the 28 most traded shares in the last six months, while Acciona Energía ranks 23rd in the liquidity ranking with a daily average of 9.2 million euros traded.
Solaria has hit lows not seen since 2020, currently being the smallest company in the index with a stock market value representing only 0.24% of the Ibex as a whole, below the 0.30% threshold. However, as in previous cases such as Meliá, its exclusion is not mandatory as long as it maintains its liquidity. Acciona Energía, meanwhile, has the lowest free float on the Ibex, as Acciona controls 88.33% of its shares. Despite this, liquidity has been its lifeline, far outperforming other less traded firms.
As for new entries, Vidrala (Ticker AT:VID.ES) could be a future candidate, although it will not be on this occasion due to a recent drop in its liquidity.
Technical Aspect
If we look at the technical aspect Solaria has been losing its maximum price since January 2021 at 31.06 Euros to the current 9.010. A -73.15% in 3 years of trading. It can be seen a quite marked Shoulder - Head - Shoulder figure. The RSI indicates high oversold at 37.57. At the moment there is a bearish crossover between the 50 and 100 averages. And the delta zone of upward pressure does not seem to be generating much effect. The control point (POC) is located around 5.150. Therefore, this fall could take place in a not very long period. On the other hand, Acciona, has been supporting its price in the 101-105 euros area and currently seems to be bouncing the price towards the last bullish area of 211 euros. Its current control point is located around 69 euros. The RSI is currently slightly oversold at $44.13, so if the company's financial situation improves, the natural evolution of the company will be to look for a test of its last resistance.
Both companies will remain under scrutiny, but their ability to adapt will be key to keep their place in the main Spanish stock market index.
Ion Jauregui - ActivTrades Analyst
*******************************************************************************************
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
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