Europe Movers: ASML, Ryanair, Siemens, STMicroelectronics

Inga Muller
27 Jan, 2025
Frankfurt

Sharp losses in artificial intelligence-linked stocks dragged down broader averages across markets in Europe. Investors are gearing up for a busy earnings season this week. 

The DAX index moved lower by 1.4% to 21,102.92; the CAC-40 index fell 1.1% to 7,849.02; and the FTSE 100 index eased by 0.2% to 8,487.62. 

The yield on 10-year German bonds inched lower to 2.49%, French bonds declined to 3.26%, the UK gilts fell to 4.64%, and Italian bonds edged lower to 3.62%.

Artificial intelligence-related stocks fell sharply after the China-based DeepSeek's models were deemed to be better and cheaper than the ones available from the U.S.-based technology companies. 

ASML Holding dropped 9% to €632.80, STMicroelectronics declined 2.2% to €23.79, and Siemens AG decreased 4.6% to €198.70. 

Ryanair Holdings Plc gained 0.6% to €19.81 after the Irish airline carrier posted a 9% increase in passenger traffic at marginally higher fares supported by the stronger Christmas and New Year bookings.

Revenue in the third quarter ending in December increased 10% to €2.96 billion from €2.70 billion; profit rose to €148.6 million from €14.8 million, and earnings per diluted share edged up to €0.14 from €0.013 from a year ago.

Operating costs rose 8% to €2.93 billion as fuel hedge savings offset higher staff and other costs related to Boeing delivery delays.

For the nine-month period ending in December, operating revenue rose 3% to €11.65 billion from €11.27 billion; profit attributable to shareholders decreased 12% to €1.9 billion from €2.2 billion a year earlier, and earnings per diluted share declined to €1.74 from €1.92 a year earlier.

The discount airline said it completed over 50% of its €800 million stock repurchase as of December 31, and the company announced an interim cash dividend of 22.3 euro cents to shareholders payable on February 26.

Ryanair said it plans to repay a maturing €850 million debt in September 2025 from internal cash accruals.

The low-cost airline estimated annual earnings per share to range between 1.55 and 1.61, and passenger traffic is expected to cross 200 million in the fiscal year.