Rheinmetall’s Air Show Offensive: From Ghost Bat Drones to Space Sensors, but the Stock Has Yet to Take Off

Rheinmetall is rolling out an array of futuristic systems at two of Europe’s biggest defence trade shows this week, yet the stock remains stuck in a rut, trading nearly 40% below its 52-week high. The Düsseldorf-based group opens the ILA Berlin air show tomorrow with an autonomous combat drone co-developed with Boeing and satellite-based reconnaissance hardware, then heads to the Eurosatory exhibition in Paris to unveil a robotic mine-clearance vehicle. The message to investors is clear: this is no longer just a tank maker.

The operational foundation, however, looks anything but shaky. Only days ago, Rheinmetall confirmed a bumper order from Romania worth roughly €5.7 billion, covering 298 Lynx armoured vehicles, Skyranger air-defence systems and naval vessels. That deal, together with a record order backlog of €73 billion, keeps production lines busy through the end of the decade. But the real strategic shift is happening in the background: the company is selling its civilian Power Systems unit to industrial group AEQUITA for around €350 million, with the deal expected to close in the fourth quarter of 2026. That move, which requires an accounting write-down of €200 million this year, completes Rheinmetall’s transformation into a pure defence player.

On the ILA show floor, the emphasis on next-generation technology is hard to miss. The MQ-28 Ghost Bat — a collaborative project with Boeing — will be displayed alongside loitering munitions such as the FV?014, a drone that can circle a target area for up to 70 minutes. The company’s ICEYE subsidiary is pushing radar satellites that deliver real-time, weather-independent battlefield data. At Eurosatory, the spotlight falls on the MV?8 Komodo, an unmanned mine-clearance system developed with Croatian firm DOK?ING, in which Rheinmetall holds a 51% stake. The aim is to reduce exposure to traditional vehicle sales while raising the share of digital and space-based systems.

Should investors sell immediately? Or is it worth buying Rheinmetall?

Yet the market has not rewarded the makeover. Rheinmetall’s shares ended Monday at €1,204 and have shed roughly a quarter of their value since the start of the year. The stock hit a low of around €1,100 in May and has since recovered about 10%, but it remains well below the 52-week peak of €1,995 set in late September. The relative strength index stands at 42–44, indicating neutral territory with no clear directional bias. The 50-day moving average still sits roughly 10% above the current price, a reminder that the downtrend is intact.

The two trade shows could provide the next catalyst. If Rheinmetall secures new orders for its drones or satellites from government delegations walking the aisles in Berlin and Paris, the stock may finally catch a bid. Conversely, a slip below €1,200 would put the year’s low back in play. For now, the company’s narrative is one of rapid technological evolution and a clean break from the automotive past — but the share price still needs convincing.

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