PARIS/FRANKFURT (dpa-AFX) - Shares in cyclically sensitive technology companies suffered particularly badly on Thursday amid the current political uncertainties. The war between Israel and Iran is currently unsettling investors on the stock markets. They therefore adopted a more defensive stance and avoided high-risk sectors such as the technology industry.
The European sector index Stoxx Europe 600 Technology lost an above-average 1.2 percent by late morning, heading for its third consecutive day of losses. The industry barometer has now wiped out all the gains it had made so far this month.
In Paris, Soitec investors had to cope with a 3.4 percent loss. In Germany, Infineon lost a good one percent. SAP shares fell 1.6 percent, returning to their end-April level. Among the weakest stocks in the German small-cap index SDax, PVA Tepla fell 1.7 percent.
Shares in Nemetschek, a software provider specializing in the construction industry, slumped by more than three percent to 117.30 euros. This put them well behind in both the Stoxx Europe 600 Technology and the MDax index of medium-sized German stocks.
US bank JPMorgan also commented on Nemetschek on Thursday. During an online conference with the head of the software company, analyst Joseph George maintained his target price for the shares at 95 euros. This currently implies a downside potential of almost a fifth.
Nemetschek is well positioned in structurally attractive markets and has a leading product portfolio, George wrote. However, market expectations are already high. Growth is expected to accelerate on the company's own strength, even though the end markets are currently developing unevenly. The expert also pointed to higher financing costs due to newly issued bonds. /la/tih/stk
