AEX remains steady
It was another busy week with plenty of corporate earnings results and geopolitical developments. The prospect of peace gave the markets a boost, particularly in Europe. However, these gains were largely eroded towards the end of the week due to rising tensions.
At the time of writing on Friday morning, the AEX index stands at around 1,012 points, unchanged from last week’s close. UMG (10.5%) tops this week’s list of stocks with the biggest gains in the AEX index, followed by ArcelorMittal (7.1%) and ASML (5.9%). The stocks with the largest declines are RELX (-8.3%), Wolters Kluwer (-7.7%) and Ahold Delhaize (-7.3%).
There were also plenty of earnings reports on the agenda this week. Philips, for instance, got the year off to a flying start with turnover in line with investors’ expectations and slightly higher profitability, aided by good cost management. Order intake remains strong and the outlook for 2026 was confirmed.
DSM-Firmenich reported solid results, with good volume growth in a challenging market. Volumes were partly boosted by, among other things, accelerated orders in the fragrance segment due to fears of supply chain disruptions. Revenue was lower than last year – largely due to currency headwinds – but was slightly higher than expected. The company is sticking to its previously issued guidance for the year.
Wolters Kluwer also reported results in line with last year. The figures showed relatively strong and predictable growth. Nevertheless, the share price took a heavy hit from investors. They remain concerned about artificial intelligence (AI) driven competition, despite the strong performance of the Health and Legal divisions. The outlook was also maintained. The company warned that the current pace of profit growth may not be sustainable for the whole year, partly due to higher investments in the second half of the year.
Ahold Delhaize reported a solid quarter with volume growth and strong underlying profits. Free cash flow was somewhat disappointing, due to above-average negative seasonal effects. The company also announced a number of personnel changes, the most significant of which was the departure of the current CEO, Frans Muller, in April 2027. Muller was praised for successfully steering the company through the integration process of Ahold and Delhaize. Investors therefore appeared to regret his departure.
Adyen saw its revenue rise by 16% to EUR 621 million. Processed payment volumes increased by 21% to EUR 382 billion. The figures held no major surprises, as the company had already issued a preliminary announcement on 23 April. Adyen sees significant opportunities in AI-driven shopping and is investing in new services, such as the acquisition of Talon.One, which was also announced on 23 April.
Shell saw its first-quarter profits rise sharply, mainly due to higher oil and gas prices resulting from the war in the Middle East. Profits totalled USD 6.9 billion, well above expectations. Investors will continue to focus on the development of energy prices. The group may continue to benefit from higher oil prices, but also sees risks from damage to facilities and volatility in the energy market. Shell increased its dividend by 5%, but reduced the scale of its share buyback programme.