Rheinmetall ADR Stock News

Russia invaded Ukraine almost four years ago. The conflict has made European nations realize they need to ramp up their defense spending.

The Rheinmetall share price has lost momentum in the past few months and has formed a risky pattern, pointing to an eventual pullback in the near term. RHM stock was trading at €1,543, down by 23% from its highest point this year.

German defence company Rheinmetall has partnered with satellite maker ICEYE to fulfil a 1.7-billion-euro ($2 billion) order from the German army for the space sector, it said in a statement on Thursday.

The arms and automotives maker said Wednesday that it was choosing between two bidders after launching talks with potential buyers in April.

German defense manufacturer Rheinmetall said on Wednesday it has initiated the sale of its civil business activities and will classify them as discontinued operations with immediate effect.

Hensoldt will supply the air defence division of Rheinmetall with radar for ground-based air defence applications, the German companies said on Friday.

Rheinmetall AG Chief Executive Officer Armin Papperger is making a fresh pitch to buy part of rival KNDS NV and create a European land defence company that would consolidate the continent's fragmented market, Bloomberg reported on Wednesday, citing sources with knowledge of the matter.

Rheinmetall is upgraded to a strong buy, driven by robust defense demand and ambitious 2030 growth plans. Rheinmetall is expanding beyond land systems into air, naval, and digital domains, targeting €50 billion in revenue and 20% margins by 2030. Despite recent stock pullback, Rheinmetall offers 49% near-term upside and up to 290% long-term growth if execution meets targets.