Scout24 SE, GEA Group Aktiengesellschaft, Evotec to leave MDAX

Scout24 SE, GEA Group Aktiengesellschaft, Evotec to leave MDAX

According to JPMorgan, significant changes are anticipated in the DAX and MDAX indices, with Scout24 SE and GEA Group Aktiengesellschaft set to leave the MDAX and join the DAX. The changes are expected to take effect on September 22, following the review by Deutsche Börse subsidiary ISS Stoxx [1].

JPMorgan analyst Pankaj Gupta predicts that real estate platform operator Scout24 and engineering group GEA will replace sports car manufacturer Porsche AG and pharmaceutical and laboratory supplier Sartorius in the DAX. Additionally, telecom company 1&1 is expected to replace biosimilar developer Formycon in the TecDAX [1].

The upcoming index changes are particularly important for funds that physically replicate indices, as they will need to adjust their holdings and weightings accordingly. This can potentially impact share prices, as investors may need to rebalance their portfolios to align with the new index composition [1].

Meanwhile, Evotec is also expected to leave the MDAX. The company has been a prominent player in the MDAX, but its recent performance and market dynamics may have contributed to its exit. Evotec, known for its work in drug discovery and development, has faced challenges in recent years, including the impact of the COVID-19 pandemic on clinical trials and the broader pharmaceutical market [2].

These changes reflect the dynamic nature of the German stock market and the ongoing evolution of the indices that track it. Investors should closely monitor these developments and adjust their strategies accordingly to stay aligned with the new index compositions.

References:
[1] https://www.marketscreener.com/news/jpmorgan-anticipates-gea-and-scout24-to-join-dax-soon-ce7d59dada81f226
[2] https://pharmaphorum.com/news/merck-drug-rare-tumour-hits-phase-3-target