Rheinmetall stock plunge after revenue forecast cut, Digi Mart USA News (Düsseldorf): Rheinmetall shares lost more than 17% at times on Thursday, and trading was briefly suspended because the decline was so steep. The sell-off came even though the Düsseldorf-based company’s business is growing strongly.
The company cut its 2026 sales forecast for the second time. It now expects revenue of about 13.2 billion euros, down from the previously expected range of 13.7 to 14.2 billion euros.
The reduction is mainly due to delayed defense orders.
The most affected project is the Bundeswehr program Arminius, which involves Boxer wheeled armored vehicles and an expected initial order worth 12.4 billion euros. Rheinmetall now expects that order to arrive only in 2027.
Artillery ammunition purchases will also be accepted later than planned, shifting some expected sales into the coming year.
Chief Executive Armin Papperger, 63, remains optimistic. “Our growth course is solid and sustainable,” he said, adding that demand for defense goods remains high.
Rheinmetall had already lowered its sales forecast in August, when the halted F126 frigate program was the trigger.
Third-quarter results were strong. Revenue rose 32% to 3.15 billion euros, and operating profit climbed 62% to 553 million euros.
For the first nine months, operating profit reached a record 1.339 billion euros.
The problem, according to the report, is that the market had expected more. Rheinmetall is considered one of the major beneficiaries of rising defense spending in Europe, and expectations for new multibillion-euro orders are high.
Because key contracts are now expected later, the stock has come under heavy pressure despite record growth.
