Narrative Update • May 23
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German (DAX) Tech Sector Analysis
UpdatedMay 26, 2026
DataAggregated Company Financials
Companies118
- 7D7.7%
- 3M12.6%
- 1Y-17.0%
- YTD0.2%
The Tech industry is up 7.7% in the last week, with Infineon Technologies up 16%. However, the industry is down 17% over the past year. As for the next few years, earnings are expected to grow by 21% per annum.
Sector Valuation and Performance
Has the German Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 26 May 2026 | €334.1b | €81.2b | €9.3b | 24.7x | 35.8x | 4.1x |
| Thu, 23 Apr 2026 | €288.3b | €80.1b | €9.0b | 26.4x | 31.9x | 3.6x |
| Sat, 21 Mar 2026 | €270.2b | €80.4b | €8.9b | 25x | 30.5x | 3.4x |
| Mon, 16 Feb 2026 | €298.9b | €80.6b | €9.4b | 27.2x | 31.8x | 3.7x |
| Wed, 14 Jan 2026 | €353.1b | €80.1b | €9.1b | 26.7x | 38.8x | 4.4x |
| Fri, 12 Dec 2025 | €339.1b | €80.4b | €9.1b | 25.5x | 37.2x | 4.2x |
| Sun, 09 Nov 2025 | €339.3b | €80.4b | €9.3b | 23.5x | 36.6x | 4.2x |
| Tue, 07 Oct 2025 | €364.2b | €80.4b | €8.5b | 29.1x | 43x | 4.5x |
| Thu, 04 Sep 2025 | €358.7b | €80.5b | €8.5b | 29.1x | 42.3x | 4.5x |
| Sat, 02 Aug 2025 | €381.1b | €80.5b | €8.7b | 28.7x | 43.8x | 4.7x |
| Mon, 30 Jun 2025 | €399.5b | €80.7b | €7.9b | 27.1x | 50.8x | 5x |
| Wed, 28 May 2025 | €405.7b | €80.8b | €7.8b | 26.3x | 52.3x | 5x |
| Fri, 25 Apr 2025 | €368.0b | €81.0b | €8.1b | 20x | 45.5x | 4.5x |
| Sun, 23 Mar 2025 | €383.8b | €79.5b | €5.5b | 19.3x | 69.8x | 4.8x |
| Tue, 18 Feb 2025 | €423.4b | €79.5b | €5.5b | 17.9x | 76.4x | 5.3x |
| Thu, 16 Jan 2025 | €382.3b | €78.7b | €5.5b | 18.5x | 69.1x | 4.9x |
| Sat, 14 Dec 2024 | €366.7b | €78.9b | €5.5b | 19.5x | 66.4x | 4.6x |
| Mon, 11 Nov 2024 | €338.7b | €79.4b | €6.0b | 17.6x | 56.6x | 4.3x |
| Wed, 09 Oct 2024 | €322.1b | €78.4b | €5.8b | 18.7x | 55.3x | 4.1x |
| Fri, 06 Sep 2024 | €305.9b | €78.1b | €5.8b | 19.4x | 52.4x | 3.9x |
| Sun, 04 Aug 2024 | €302.9b | €79.7b | €6.3b | 19.3x | 48x | 3.8x |
| Tue, 02 Jul 2024 | €305.9b | €78.1b | €6.5b | 19.5x | 47.2x | 3.9x |
| Thu, 30 May 2024 | €300.4b | €78.6b | €6.3b | 18.7x | 47.4x | 3.8x |
| Sat, 27 Apr 2024 | €294.9b | €79.4b | €6.9b | 17.9x | 42.7x | 3.7x |
| Mon, 25 Mar 2024 | €302.7b | €78.5b | €8.1b | 18.6x | 37.4x | 3.9x |
| Wed, 21 Feb 2024 | €285.1b | €78.1b | €8.3b | 18.2x | 34.2x | 3.7x |
| Fri, 19 Jan 2024 | €269.8b | €80.7b | €6.7b | 19.7x | 40.5x | 3.3x |
| Sun, 17 Dec 2023 | €269.5b | €80.3b | €6.7b | 19.4x | 40.3x | 3.4x |
| Tue, 14 Nov 2023 | €247.5b | €80.1b | €6.7b | 19.1x | 37x | 3.1x |
| Thu, 12 Oct 2023 | €238.4b | €79.4b | €6.3b | 19.4x | 38.1x | 3x |
| Sat, 09 Sep 2023 | €247.5b | €79.4b | €6.3b | 20.4x | 39.5x | 3.1x |
| Mon, 07 Aug 2023 | €240.0b | €78.7b | €6.2b | 20.7x | 38.5x | 3x |
| Wed, 05 Jul 2023 | €246.7b | €77.4b | €6.0b | 21.7x | 41.1x | 3.2x |
| Fri, 02 Jun 2023 | €243.2b | €77.7b | €6.3b | 20.4x | 38.4x | 3.1x |
Price to Earnings Ratio
38.4x
Current Industry PE
- Investors are pessimistic on the German Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 35.8x which is lower than its 3-year average PE of 45.5x.
- The industry is trading close to its 3-year average PS ratio of 4.0x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have grown 14% per year over the last three years, while revenues have remained mostly flat.
- This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the German Tech sector?
| DE Market | 3.86% | |
| Tech | 7.74% | |
| Electronic Equipment and Components | 16.16% | |
| Semiconductors | 14.20% | |
| Software | 4.64% | |
| IT | 0.62% | |
| Communications | -0.78% | |
| Tech Hardware | -2.59% | |
Industry PE
- Investors are most optimistic about the Electronic Equipment and Components industry which is trading above its 3-year average PE ratio of 15.2x.
- Analysts are expecting annual earnings growth of 35.8%, which is higher than its past year's earnings decline of 10.1% per year.
Forecasted Growth
- Analysts are most optimistic on the Tech Hardware industry, expecting annual earnings growth of 78% over the next 5 years.
- In contrast, the Communications industry is expected to see its earnings grow by 2.8% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| IFX Infineon Technologies | €76.73 | 15.7% +€13.5b | 125.3% | PE92.8x | |
| SAP SAP | €154.48 | 4.5% +€7.7b | -41.1% | PE24.7x | |
| NEM Nemetschek | €64.80 | 8.2% +€565.9m | -45.5% | PE32.2x | |
| AIXA AIXTRON | €54.00 | 7.2% +€410.5m | 336.0% | PE104.6x | |
| ELG Elmos Semiconductor | €189.00 | 6.7% +€202.4m | 174.7% | PE29.8x |
