DAX Welcomes Scout24, GEA; Says Goodbye to Porsche AG, Sartorius
The DAX, Germany's leading stock market index, is set to see significant changes with the arrival of two new companies and the departure of two established ones. These shifts, effective September 22, reflect the dynamic nature of the index and the broader stock market today.
Scout24, operator of a real estate platform, and GEA, a plant manufacturer, are joining the DAX. Their inclusion brings fresh faces to the index and signals the growing importance of technology and industry in the German stock market.
Leaving the DAX are Porsche AG and Sartorius. Porsche, once a symbol of German automotive prowess, is dropping to the MDAX due to profitability struggles since its 2022 IPO. Despite a successful initial public offering, Porsche's shares have not performed as expected, leading to cost-cutting measures. Sartorius, a pharmaceutical and laboratory supplier, is also leaving the DAX for the MDAX. Although it benefited from the corona pandemic initially, its shares have halved in value over the past three years.
Changes in the DAX and MDAX occur quarterly, based on the market value of freely traded shares. This ensures the index remains representative of the German economy. Notably, a descent from the DAX is not necessarily final, as demonstrated by Commerzbank and Lufthansa, which have previously left and later returned to the index.
The upcoming changes in the DAX reflect the evolving landscape of the German stock market. While the departure of Porsche AG and Sartorius signals challenges in their respective sectors, the arrival of Scout24 and GEA indicates growth and innovation in other areas. As always, the DAX will continue to evolve, reflecting the dynamic nature of the market.
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