Shares of the German arms company Rheinmetall have increased tenfold since the start of the war in Ukraine.
This was reported by Deutsche Welle, Ukrinform reports.
“Since the start of Russia's war against Ukraine, the share price of Rheinmetall, the largest defense concern in Germany, has increased tenfold. If on February 23, 2022, one share of the company cost 96.8 euros, then at midday on February 26 this year, it was already trading on the Xetra stock exchange at 968 euros,” the report says.
Rheinmetall makes tanks, military trucks, artillery, anti-aircraft guns and ammunition – weapons that are desperately needed in the war in Ukraine. The company supplies weapons to Ukraine, which is under attack from Russia, and is also benefiting from growing demand from NATO countries that feel threatened by Russia and are investing more in defense as a result.
Rheinmetall's product range also includes combat gear for infantry with digital components. The company's headquarters are in Düsseldorf, and its largest production facility is in Unterlüss in Lower Saxony.
The rapid growth of the business is evidenced by the full order books. Thus, the backlog (including not only existing orders, but also expected deliveries under long-term contracts and potential agreements) amounted to 24.5 billion euros at the end of 2021. In autumn 2024, this figure had already reached almost 52 billion euros, and the upward trend continues.
Rheinmetall will present its financial report for 2024 in mid-March. Shares in other defense companies such as Hensoldt and Renk are also in high demand on the stock exchange.
As reported, Rheinmetall is creating joint ventures in Ukraine.