Earnings Mastery
  • Politics
  • Business
  • Investing
  • World
No Result
View All Result
  • Politics
  • Business
  • Investing
  • World
No Result
View All Result
Earnings Mastery
No Result
View All Result
Home Investing

This DAX index stock is up 95% in 2025: can the RHM rally continue?

March 6, 2025
in Investing
This DAX index stock is up 95% in 2025: can the RHM rally continue?
0
SHARES
2
VIEWS
Share on FacebookShare on Twitter

The DAX index has continued to fire on all cylinders this year as it surged to its all-time high this week. It jumped to a high of €23,100, bringing the last twelve-month gains to 32% and the year-to-date high performance to 16%. This means that the index has beaten its American peers like the Nasdaq 100 and S&P 500.

Rheinmetall’s stock leads the DAX index in 2024

Most DAX index constituent companies are doing well this year, with only six constituents being in the red.  

Rheinmetall, a leading German industrial giant, has become the best-performing company in the index. Its stock is up by 95% this year and by 180% in the last 12 months. It has jumped by over 2,450% in the last decade, making it the top gainer in the DAX index over the years. 

The strong Rheinmetall share price surge has transformed it into a €53 billion juggernaut and the 12th biggest company in Germany. 

For starters, Rheinmetall is one of the biggest companies in the defense industry. It builds products that are used by militaries in Europe, North America, and other countries. 

Rheinmetall operates its business in five key divisions: vehicle systems Europe, Vehicle Systems International, Weapon and ammunition, electronic solutions, and power systems. 

Its top products are ammunition, tactical vehicles, logistic vehicles, propulsion systems, protection systems, and power generators. 

Rheinmetall stock price has surged as investors reacted to the ongoing trends in geopolitics under Donald Trump. Trump has called on European countries to shoulder the burden by increasing their defense spending. 

Read more: These DAX index companies are firing on all cylinders

Most European leaders have also expressed concerns that the United States is unreliable and that they should boost their spending.

Just this week, Germany shocked the market by announcing that it would loosen its fiscal chains and transform the defense spending. Its goal is to spend over €500 billion in the next few years to modernize its defense sector. 

Emmanuel Macron has also called on Europe to raise its national army to bolster its defense against Russia. 

All these factors have played in Rheinmetall’s favor as the company is expected to receive more orders in the coming months.

Read more: Rheinmetall stock jumps as Europe boosts defense spending

Growth momentum is continuing

The most recent financial results showed that Rheinmetall’s business was doing well as demand rose. Sales rose by 40% to €2.45 billion, while the operating margin jumped to 12.3%. A 40% annual growth for a company like RHM is a good thing since these metrics are often common among new tech names. 

The company’s business continues to receive huge orders, which has pushed its order backlog to over €50 billion.

Rheinmettal expects that its annual revenue for 2024 was €10 billion, a big increase from the €7.2 billion it made a year earlier. Its margins are also expected to keep growing, helped by its strong scale. The operating margin will be about 15%, higher than the 12.8% it made a year earlier. 

Rheinmetall share price analysis

RHM stock chart by TradingView

The weekly chart shows that the Rheinmetall stock price has been in a strong surge in the past few years. It has continued to cross major resistance levels in this period. For example, it recently rose above the key resistance level at €1,000. 

The stock has remained above all moving averages, a sign that the momentum is gaining steam. The Average Directional Index (ADX), a popular indicator that measures the strength of a trend, has risen to 44. 

However, the stock has become highly overbought, with the Relative Strength Index (RSI) and the Stochastic RSI moving to the extreme overbought level. Therefore, the stock will likely pull back, and possibly retest the support at €1,000. 

The post This DAX index stock is up 95% in 2025: can the RHM rally continue? appeared first on Invezz

Previous Post

Asia markets rally as Japan bond yields surge, Alibaba jumps on AI push

Next Post

CAC 40 index forecast: here’s why it may surge to €8,500

Next Post
CAC 40 index forecast: here’s why it may surge to €8,500

CAC 40 index forecast: here’s why it may surge to €8,500

    Become a VIP member by signing up for our newsletter. Enjoy exclusive content, early access to sales, and special offers just for you! As a VIP, you'll receive personalized updates, loyalty rewards, and invitations to private events. Elevate your experience and join our exclusive community today!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    SPYI ETF: Is this 12% yielding JEPI rival a good fund to buy?

    June 5, 2025
    Citigroup to cut 3,500 technology jobs in China as part of global revamp

    Citigroup to cut 3,500 technology jobs in China as part of global revamp

    June 5, 2025
    EU watchdog accuses Shein of ‘dark’ practices to ‘nag’ and ‘shame’ consumers into buying more

    EU watchdog accuses Shein of ‘dark’ practices to ‘nag’ and ‘shame’ consumers into buying more

    June 5, 2025
    European markets open: Stoxx 600 gains ahead of anticipated ECB rate cut

    European markets open: Stoxx 600 gains ahead of anticipated ECB rate cut

    June 5, 2025
    Laopu Gold’s HK$1,000 share price tests rally as valuation, access concerns mount

    Laopu Gold’s HK$1,000 share price tests rally as valuation, access concerns mount

    June 5, 2025
    India’s energy transition accelerates as coal declines and renewables surge

    India’s energy transition accelerates as coal declines and renewables surge

    June 5, 2025

    Disclaimer: EarningsMastery.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Popular

    Warren Buffett stepping down: analysts assess what it means for Berkshire stock and investors

    Warren Buffett stepping down: analysts assess what it means for Berkshire stock and investors

    May 6, 2025

    Latest

    SPYI ETF: Is this 12% yielding JEPI rival a good fund to buy?

    June 5, 2025
    Citigroup to cut 3,500 technology jobs in China as part of global revamp

    Citigroup to cut 3,500 technology jobs in China as part of global revamp

    June 5, 2025
    EU watchdog accuses Shein of ‘dark’ practices to ‘nag’ and ‘shame’ consumers into buying more

    EU watchdog accuses Shein of ‘dark’ practices to ‘nag’ and ‘shame’ consumers into buying more

    June 5, 2025
    • About us
    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 earningsmastery.com | All Rights Reserved

    No Result
    View All Result
    • Politics
    • Business
    • Investing
    • World

    Copyright © 2025 earningsmastery.com | All Rights Reserved