TKMS Offers Exposure to European Naval Rearmanent -- Market Talk

0836 GMT - TKMS offers exposure to Europe's naval rearmament and undersea warfare modernization, Stifel says in a note initiating the stock at buy. The German naval defense company is capable of more than doubling its secured revenue base, with more than 25 billion euros of backlog and a mature pipeline, according to analyst Thomas Mordelle. "Submarine design authority, pressure-hull manufacturing, acoustic engineering and naval combat-system integration are among NATO's scarcest capabilities," Mordelle says. Naval demand is rising faster than available capacity and TKMS is positioned to benefit as it moves beyond platform manufacturing into becoming a sovereign maritime systems integrator, Stifel says. Stifel sets a target of 105 euros. TKMS shares trade 2.3% higher at 87.30 euros. (sarah.sloat@wsj.com)

(END) Dow Jones Newswires

September 18, 2026 04:37 ET (08:37 GMT)