Rheinmetall heads for record drop as Germany may choose TKMS for frigate deal

TKMS AG & Co KgaA

24/06/2026 09:08

Adds details on YTD moves
** Rheinmetall RHMG.DE shares down over 15%, the most on record since 1996, after reports Berlin may cancel a key frigate contract with the group in favour of rival TKMS TKMS.DE
** Spiegel reported Germany plans to scrap plans with Rheinmetall to build six F126 frigates and instead buy eight MEKO A-200 frigates from TKMS 
** JPMorgan calls the potential loss a "major setback" for Rheinmetall, putting its order intake targets at risk
** "If the German govt does not replace the F126 with another contract... then it seems very unlikely than RHM can make its FY26 order intake," it says, adding other assumptions underpinning the group's outlook may prove incorrect
** TKMS shares jump about 9%, bringing YTD gains to around 20%
** Rheinmetall stock is down more than 35% YTD 

 (Reporting by Emanuele Berro; editing by Danilo Masoni)
 ((emanuele.berro@thomsonreuters.com))