The German DAX Index has slumped into a correction after falling by over 10% from its highest point this year amid the ongoing Iran war that has pushed energy prices higher in the past five weeks.
It was trading at €22,730, up modestly from the year-to-date low of €21,875. This article looks at some of the top DAX stocks to watch in April this year.
Deutsche Bank (DBK)
Deutsche Bank, like the German DAX, has dropped sharply in the past few weeks, moving from a high of €34.26 in January to the current €25.22. This decline has been driven by the ongoing stock sell-off amid the ongoing Iran war.
Deutsche Bank will be in the spotlight in April as the management publishes the first quarter results on April 29. These numbers will probably show that its business continued doing well in the first quarter, helped by the growth in dealmaking and trading activity.
The most recent results showed that Deutsche Bank made a profit before tax of €9.7 billion, with its net profit doubling to €7.1 billion. As a result, the management announced a new €2.9 billion plan for this year. It will pay a dividend worth €1.9 billion and repurchase shares worth €1 billion.
BASF
BASF, the biggest chemical company in the world, has done well in the past few months and is now hovering near its all-time high.
The company’s business has benefited from the management’s decision to move most of its manufacturing from Germany to China. By doing that, the company has been able to save a lot of money as European energy prices have surged in the past few months.
The upcoming results, which are scheduled on April 30th, will provide more color on its business, including the recent opening of a major site in China.
The most recent numbers revealed BASF’s business experienced a jump in volume across all segments, a sign that demand continued rising. However, this volume increase was offset by a price retreat and currency issues. Its net income rose by €321 million euros to €1.6 billion.
Mercedes-Benz Group
Mercedes-Benz Group stock price has slumped in the past few weeks, moving from €62.35 in January to €52.15 today. The company will be in focus in April as it publishes its numbers on April 29.
These results will provide more information about the management’s turnaround efforts as the automotive industry goes through a rough patch, with competition from Chinese brands rise and as the impact of Donald Trump’s tariffs continues.
The most recent annual results showed that its revenue dropped to €122 billion from €145 billion a year earlier. Its net profit dropped to €5.3 billion from €10.4 billion a year earlier.
Other automobile companies that will publish their numbers in April are Volkswagen and Porsche.
Meanwhile, other top DAX Index constituents that will release their results are popular brands like Adidas, MTU Aero, SAP, and Deutsche Boerse.
Traders will also focus on Rheinmetall, the giant defense contractor, which is expected to see robust demand amid the ongoing Iran war. Still, despite this, its stock has dropped by over 27% from its highest point last year.
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