Hensoldt, the German defense electronics specialist, has surged past a critical threshold, with its stock price now challenging historic peaks. A dramatic breakout above €100 has positioned the equity within striking distance of its all-time high, fueled by geopolitical instability and a record order backlog. Market participants are assessing whether this momentum can carry the sensor technology firm to its previous record of €108.90.
Geopolitical Tensions and Record Orders Fuel Rally
The current environment appears highly favorable for Hensoldt. Ongoing geopolitical conflicts and recent policy indications from Washington suggesting increased support for Ukraine have reinforced expectations for sustained high defense spending. The company, a leader in sensors, radar, and optronics, is a direct beneficiary of this trend.
Key metrics underscore the company’s powerful performance:
– An unprecedented order backlog of €7 billion recorded in the first half of the year
– A staggering share price appreciation exceeding 260% over the past twelve months
– The current trading level sits 45% above its 200-day moving average
Technical Breakout Signals Strength
The decisive move occurred on Wednesday when Hensoldt’s shares staged an impressive advance of more than 8%. This surge not only propelled the price above the psychologically significant €100 mark but also decisively cleared a stubborn resistance zone that had previously existed between €99.35 and €100.90. Market technicians view this as a classic bullish signal.
Should investors sell immediately? Or is it worth buying Hensoldt?
A slight pullback of nearly 1% on Thursday did little to dampen the positive sentiment. Financial experts largely interpreted the dip as a routine consolidation and an opportunity for some investors to realize profits following the sharp upward move.
Upcoming Quarterly Report in Focus
Attention now turns to November 7th, when Hensoldt is scheduled to release its third-quarter financial results. Investors are anticipating that these figures will provide further evidence of the company’s robust operational trajectory. With a €7 billion order book providing substantial visibility, the foundation for continued growth appears solid.
From a chart perspective, the outlook is promising following the recent breakout. With the all-time high of €108.90 now less than €5 away, the next piece of positive news could provide the final impetus needed to reach new record levels. The debate seems to have shifted from if Hensoldt will achieve new highs to when it will happen.
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