The end of July marks the end of the first month of trading in the second half of 2021. Both European and American equities posted gains last month, with the EURO STOXX 50 and S&P 500 increasing by 0.62% and 2.27%, respectively.
In this article, we discuss the companies that made an appearance on the map for the first time and share July’s biggest winner and loser.
Newcomers on the map
While we see some companies on the map month after month, four companies made their map debut:
Swedish steel company SSAB was the most traded stock among our Swedish clients. The company saw a 17.38% increase in its stock price last month. Its price performance goes hand in hand with steel prices, which have boomed this year. According to Bloomberg, steel’s strong performance this year can be attributed to industrial demand increasing after it was down due to the pandemic. At the end of July, SSAB released its earnings for the second quarter of 2021, reporting the highest quarterly operating profit ever.
Ambu, the most traded stock by our Danish clients, is a single-use endoscopy, anesthesia and patient monitoring and diagnostics solutions company based in Denmark. At the time of writing, Ambu has not released its second-quarter earnings of 2021, but it did publish preliminary results in July. The company reported that elective procedures have had a slower recovery than anticipated as a result of Covid-19 and therefore lowered its guidance for revenue growth. Stock prices ended July down by 3.77%.
After AMC, Alibaba was the most popular stock on the map, being traded the most in Spain, Finland, Italy, Portugal and the Czech Republic. In July, prices for the Chinese e-commerce giant dropped by 13.93%.
In general, July was a tough month for Chinese companies listed in the US due to regulatory crackdowns in China, targeting the tech, education and property management industries. Bloomberg reported that in July, the Nasdaq Golden Dragon China Index, an index that tracks 98 of the biggest Chinese companies listed in the US, had its biggest one-month drop since October 2008, plunging 22%.
The last newcomer on the map, but certainly not least, is our own company. flatexDEGIRO was the most traded stock in Germany and Poland. Stock prices decreased by 10.13% in July.
As you know, DEGIRO is part of flatexDEGIRO Group, one of the 160 largest listed companies in Germany. We are proud to say we are Europe’s leading online broker.
Being a client of DEGIRO gives you the opportunity to not only invest via our platform, but also to invest in our platform, thus becoming a shareholder too. We therefore offer trading flatexDEGIRO stock free of transaction costs! flatexDEGIRO AG trades on both Xetra and Börse Frankfurt in EUR. Please be aware that connectivity fees and FX fees may apply.
Biggest price movements
The companies that saw the biggest price movements during July were Solutions 30 and AMC. On the positive end was Solutions 30, which ended the month up by 21.27%. AMC was on the losing end, with prices dropping by 34.69% in July.
Solutions 30 is a French-listed, Luxembourg-based small-cap company that specialises in IT repair services for individuals and businesses. At the end of July, Solutions 30 released its second-quarter earnings of 2021. The company reported strong growth, with revenues increasing by 22.9% from the same period in 2020.
As you probably know, AMC, the world’s largest movie theater chain, has made headlines this year, becoming one of the so-called meme stocks. Similar to other meme-stocks, such as GameStop, AMC’s stock price does not reflect the company’s fundamentals. Instead, it is fueled by social media attention, making it very volatile.
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The information in this article is not written for advisory purposes, nor does it intend to recommend any investments. Please be aware that facts may have changed since the article was originally written. Investing involves risks. You can lose (a part of) your deposit. We advise you to only invest in financial products that match your knowledge and experience.
Sources: Bloomberg, Reuters, Yahoo! Finance, SSAB, Ambu, Solutions 30