The upward trend seems to be running out of steam. A downturn could prevail on ensuing sessions.

Regarding financial statements, the company fails to translate higher sales volumes into an empowered EBITDA. Debts are estimated at EUR 1371 million for the current year, so an increase of 4% over prior period. In consequence, leverage is expected to come up to 3.31x, reducing this way the ability of Stada to face financial liabilities. According to revisions poll made to Thomson-Reuters' analysts, shareholders could expect only €2.6 per share while 12 months ago they suggested earnings of about €3 per share.

Technically, the security could lose its bullish energy as it approaches the EUR 34 resistance. In fact, the stock is still moving in an upward trend in the short run but it could know a halt anytime soon. In this context, the downward movement could improve and it should expect a return to EUR 30.7. Technical indicators draw a stock moving toward an overbought territory that could confirm the bearish scenario, as well as declining moving average both in daily and weekly data.

In sum, most active investors could take a short position near EUR 34 in order to profit from the downturn. However, it would be wise to set a stop loss above this resistance as getting over this level would invalidate the scenario previously foresaw.