The corona crisis has left a clear mark on the German stock exchange floor. The top stocks of 2020 include many papers from corporations that have benefited directly from the pandemic. Conversely, the losers surprisingly also include companies that theoretically should have been among the winners of the crisis.
# 1 Delivery Hero: +71.6 percent
In times of closed restaurants, many people have their food delivered to their home. Accordingly, 2020 has been a complete success for the Dax newcomer Delivery Hero. After the Corona crash in March, it took only six weeks for the food delivery service to reach its record high from February. Many analysts, however, find the share heavily overvalued. The company has only been in the leading German index since August 2020.
# 2 Infineon: +50.9 percent
The ongoing rally in technology stocks has pushed Germany’s largest semiconductor manufacturer to a 20-year high. Above all, the growing trend in Europe for alternative drives with electric and hybrid motors had a positive effect on business in the past year. Infineon’s new technology with chips made of silicon carbide is particularly in demand in this area.
# 3 Merck: +30.5 percent
Pharmaceutical companies are among the pandemic winners. Thanks to Corona, you can look forward to growing expenses for the health system. Merck plays an important role in the industry, including as a supplier of electronic materials for computer chips and displays. Since taking over the US semiconductor supplier Versum around a year ago, the pharmaceutical and life science group has also had a stronger position in specialty chemicals.
# 4 Deutsche Bank: +24.3 percent
One would not necessarily expect a bank to be among the winners of the crisis year 2020. The worst recession of the post-war period should at least drive up loan defaults significantly. Germany’s largest financial institution has come through the crisis surprisingly well so far. Investors apparently see the ongoing restructuring of the group on the right track. In the next two years, CEO Christian Sewing wants to tighten the current austerity course.
# 5 RWE: +22.6 percent
In a difficult market environment, the defensive utility industry traditionally does well. So does RWE. In the future, it could pay off for shareholders that the energy supplier wants to focus more on green electricity – a clear growth area.
# 1 Bayer: -32.5 percent
The share price of the Leverkusen-based pharmaceutical and agricultural giant suffered heavily in 2020. The billions in glyphosate lawsuits in the US are likely to be largely responsible for this. Bayer acquired seed and herbicide competitor Monsanto in 2019. The company is accused of hiding possible cancer risks through the weed killer glyphosate.
# 2 Fresenius: -25.1 percent
The sales of the medical technology manufacturer and hospital operator suffered from the pandemic – this was also reflected in the share price. The reason: Treatments postponed due to Corona burdened the clinic business and the drug division. Overall, the group has come through the Corona crisis reasonably well, according to analysts.
# 3 MTU Aero Engines: -19.5 percent
The MTU Aero Engines share has been in a moderate upward trend since mid-March. Nevertheless, it is only logical that the engine manufacturer occupies one of the last places in the Dax on an annual basis: The airline business is still on the ground, restrictions on travel and concerns about the future of global tourism prevent a strong recovery.
# 4 Volkswagen: -15.8 percent
At the Wolfsburg-based car manufacturer, revenues collapsed in the pandemic, supply chains got holes – and then the federal government did not even decide to subsidize gasoline and diesel vehicles that traditional car manufacturers had hoped for. No wonder that Volkswagen shares are one of the weakest in the Dax this year.
# 5 SAP: -14.3 percent
The Walldorf-based software group has experienced an astonishing development from crisis profiteer to loser in the current year. In the summer, the share price reached a new all-time high of more than 140 euros. In October, the Dax heavyweight published disappointing business figures that cost the share more than 20 percent of its value in just one day.
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