FRANKFURT (dpa-AFX) - German defense stocks, which have been performing well, have run out of steam for the time being. The shares of Rheinmetall, which closed at the bottom of the Dax, fell by 3.0 percent to 323.90 euros on Tuesday, although the investment bank Oddo BHF had raised its price target from 323 to 350 euros while maintaining its "outperform" rating. Hensoldt' s share price fell by 2.5 percent to 26.95 euros, placing it at the bottom of the MDax. The fact that NATO's procurement agency concluded framework agreements with companies from Germany and France for the supply of artillery ammunition for around 1.1 billion euros did not brighten the mood in the sector for the time being.

However, both shares can already look back on a strong share price performance. Rheinmetall - the top performer in the leading German index in 2023 - is also rushing from one record high to the next in the new year and is already ahead of the pack again with a gain of almost 14%. The situation is similar for Hensoldt shares. They only rose slightly more than the MDax of medium-sized German companies last year. However, despite the recent consolidation, the increase in value for 2024 is just under 11%, which also puts it at the top of the index.

Anyone who bought shares in Rheinmetall and Hensoldt immediately after the Russian attack on Ukraine at the end of February 2022 can be pleased anyway. This applies in particular to Rheinmetall, where the share price almost quadrupled. Hensoldt's share price has still more than doubled after a more significant increase in the meantime./gl/edh/stk