Software rises as AI worries hit semiconductors

2 hours ago

(AWP Alliance News) - The following stocks are the leading risers and fallers in Europe's major stock indices on Monday.

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CAC 40 winners

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Capgemini SE, up 4.1% at EUR107.08, sells US Government Solutions arm, software stocks rise on AI worries

Publicis Groupe SA, up 2.7% at EUR99.33

Dassault Systemes SE, up 2.6% at EUR20.75

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CAC 40 losers

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Legrand SA, down 4.9% at EUR135.10

STMicroelectronics NV, down 4.7% at EUR42.39, semiconductors face industry-wide retreat

Schneider Electric SE, down 4.6% at EUR277.68

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DAX 40 winners

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Bayer AG, up 2.7% at EUR49.24

Deutsche Boerse AG, up 2.6% at EUR283.40

SAP SE, up 2.0% at EUR181.34, calls from AI industry leaders for a slowdown in AI development prompt investors to turn towards established software companies

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DAX 40 losers

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Infineon Technologies AG, down 7.2% at EUR54.17, sentiment across the semiconductor sector sours after leaders at AI firms call for a slowdown in the development of advanced frontier AI models

Siemens Energy AG, down 5.1% at EUR136.39

RWE AG, down 2.3% at EUR58.26

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FTSE 100 winners

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Sage Group PLC, up 4.1% at 997.00p, tracks software stocks higher

Relx PLC, up 3.8% at 2,568.00p

Smith & Nephew PLC, up 3.7% at 1,045.50p

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FTSE 100 losers

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Halma PLC, down 5.6% at 3,432.00p

Antofagasta PLC, down 4.4% at 3,622.00p

Polar Capital Technology Trust PLC, down 3.5% at 630.50p

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MIB 40 winners

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Prysmian Spa, down 5.4% at EUR119.88

STMicroelectronics NV, down 4.9% at EUR42.32

FinecoBank Spa, down 1.2% at EUR22.98

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MIB 40 losers

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Campari NV, up 4.3% at EUR5.98, broker UBS raises rating to 'buy', sets price target at EUR7.00

Eni Spa, up 0.9% at EUR24.18

Poste Italiane Spa, up 0.9% at EUR26.25

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SMI 20 winners

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Roche Holding AG, up 3.4% at CHF364.50, phase three Tam-Peli trial meets primary endpoint

Novartis AG, up 2.3% at CHF114.58

Givaudan SA, up 1.8% at CHF3,227.50

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SMI 20 losers

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ABB Ltd, down 3.8% at CHF75.67

Logitech International SA, down 1.6% at CHF82.64

Sika AG, down 1.2% at CHF182.73

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European stock movers in focus:

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Capgemini SE, up 4.1% at EUR107.08, 12-month range EUR85.62-EUR153.05. The IT services firm joins a broader rebound in software stocks, which outperform hardware and semiconductor shares as investors rotate towards established software companies. The move follows calls over the weekend from prominent AI industry leaders, including Anthropic Chief Executive Dario Amodei, OpenAI CEO Sam Altman and Elon Musk, to pace the development of advanced AI models amid safety concerns. Sentiment towards software is also supported by Oracle Corp's results on Thursday, when the US group reported a 30% annual rise in first-quarter revenue and more than doubled cloud infrastructure revenue. Separately, Capgemini agrees to sell its US Government Solutions business to Fairfax, Virginia-based ITC Federal for an undisclosed sum. ITC plans to use the acquisition to form a new ITC Digital Solutions business.

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Infineon Technologies AG, down 7.2% at EUR54.17, 12-month range EUR31.27-EUR88.83. The semiconductor maker tracks an industry-wide retreat in chip stocks as sentiment towards the sector sours. The decline follows calls from leaders at major AI firms for a temporary slowdown in the development of advanced AI models, prompting investors to reassess expectations for demand for the computing infrastructure and semiconductors needed to support powerful AI systems.

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Roche Holding AG, up 3.4% at CHF364.50, 12-month range CHF291.00-CHF375.80. The pharmaceutical firm says a phase three trial of Tam-Peli meets its primary endpoint of overall survival in Chinese patients with relapsed small-cell lung cancer. The treatment, being developed with MediLink Therapeutics Co Ltd, reduces the risk of death by 54% compared with topotecan and also meets secondary endpoints for progression-free survival and response rates. Roche says Tam-Peli reduces the risk of disease progression by 71% and achieves an objective response rate of 59%, compared with 9.7% for topotecan. Chief Medical Officer Levi Garraway says the results support plans to "initiate global phase III trials quickly". Roche holds development, manufacturing and commercialisation rights for Tam-Peli worldwide outside China.

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Rheinmetall AG, up 1.6% at EUR1,006.60, 12-month range EUR900.20-EUR2,008.00. The defence manufacturer wins a contract worth a low three-digit million-euro amount to supply artillery ammunition to an unnamed international customer. The order covers a low five-figure number of 155-millimetre artillery shells. Rheinmetall says production has already begun, with deliveries scheduled to be completed by 2027.

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Novo Nordisk AS, up 1.3% at DKK280.00, 12-month range DKK224.25-DKK409.95. The pharmaceutical firm unveils a rebrand and updated corporate culture as it seeks to sharpen its competitive edge and deliver greater shareholder value. Novo Nordisk will use the shorter "Novo" name in its day-to-day operations, while Novo Nordisk AS remains its legal global company name, as part of a rebrand centred on 'Lasting Health Starts Now'. It also introduces 'The Novo Way', a set of four principles focused on customer needs, competitiveness, clarity, and care and integrity. Novo says the changes are intended to raise performance, simplify ways of working and increase the speed of decision-making in an increasingly competitive healthcare market. The company will provide a detailed overview of its updated corporate strategy at its Capital Markets Day in London on September 21.

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By Eva Castanedo, Alliance News senior economics reporter

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