Stock Report
Developments in the stock markets
The stock markets experienced a very weak start to 2009. Owing to the overall poor economic situation, drastically lowered forecasts for company earnings and the continuing global financial and economic crisis, share indices dropped by over 20 % at the beginning of the year, reaching annual lows at the beginning of March. For a time the DAX sank below the 3,700 points mark. Hopes that the downward trend would end or even that the global economy would stabilize led to a recovery of the share indices during the second quarter. What was initially considered to be an unsustainable correction gained increasing fundamental support in the course of the year. Government economic packages, cuts in interest rates and bond purchases by central banks were aimed at helping to stabilize the financial systems and strengthen the economy. As a result of the improvement in economic data and outlook and the stabilization of the economy at a low level, share prices continued to recover on the stock markets through to the end of the calendar year, with indices seeing annual highs.
In Germany, both the DAX and the SDAX experienced a significant recovery until the end of the year. After a high of 6,012 points on December 29, 2009, the DAX finished the year at 5,957 points, which represented a price gain of around 24 % compared to the previous year. The small-cap index SDAX, spurred on by the upwards trend of the stock markets at the end of the year, experienced a share price gain of more than 26 % in the course of the year. The SDAX closed at 3,549 points on December 31, 2009.
Logwin share
The Logwin share started 2009 at the previous year’s closing price of 1.55 euros. In first three months of the year, the share price clearly suffered as a result of the continuing shifts in the stock markets, following the negative trend on the stock exchange. The Logwin share participated in the general recovery in share prices that started in the middle of March until the end of April but after temporary phases of recovery was not able to maintain the price experienced at the end of the previous year. From the beginning of May the share price of Logwin AG developed contrary to the continued positive trend on the stock markets and remained significantly below the development in prices seen on the share indices. The price loss over the rest of the year was correspondingly heavy. On December 31, 2009, the Logwin share closed at 0.98 euros in Xetra trading, losing around 37 % of its value compared with the closing price of the previous year.
As a result of the fall in the share price, market capitalization decreased in the course of the reporting period 2009 and amounted to approximately 110 million euros at the end of the year, following almost 173 million euros at the closing date of the previous year.
The Logwin share is listed in the Prime Standard of the Frankfurt Stock Exchange and in addition to the minimum requirements of the regulated market meets high international disclosure and transparency requirements. A total of 3.6 million Logwin AG shares were traded on all German stock exchanges in the reporting period. This represents an average volume per trading day of around 14,000 shares.