Dipping into Profits: Armin Papperger Makes a KilleR 160K Euro Gain from Stock Market Crash
- Written by Daniel Huefner
- ~ 2 Mins Read
- Excessive Earnings: Rheinmetall CEO Pockets 160,000 Euro from Stock Market Collapse
Amidst the chaos of Monday's stock market crash, Armin Papperger, CEO of the defense conglomerate Rheinmetall, saw an opportunity to pull off a savvy move. His strategic purchasing of new Rheinmetall shares, as revealed in the company's insider trading notice, proves he wasn't afraid to dive in and capitalize on the market's temporary dips.
According to the published notice, Papperger scooped up about 669 Rheinmetall shares in two transactions on Monday, at a total cost of around 710,000 euros. One transaction amounted to roughly 308,000 euros at a per-share price of 1065 euros, while the other investment was 402,000 euros at 1058 euros per share.
Papperger Reaps a 160K Euro Harvest in 24 Hours
By Tuesday morning, the share price had skyrocketed to around 1300 euros. This quick surge meant Papperger pocketed approximately 160,000 euros in mere hours - a noteworthy rise of around 22.5 percent within 24 hours. The CEO surely knew how to ride the market's volatility on his terms.
On Monday, a wave of selling swept across international stock exchanges due to the aggressive US trade policy, resulting in huge losses for the German leading index DAX, which initially plummeted over ten percent. However, defense stocks, including Rheinmetall, were hit particularly hard initially, dropping almost 25 percent to under 1000 euros at one point.
Reddit-Fueled Recovery
Despite the early sell-off, the market didn't stay down for long. By Monday afternoon, the Rheinmetall share price had rebounded significantly and flipped to positive territory. It seemed many investors were keen to snap up shares during the price drop, regarding it as a golden opportunity. On the polarizing online platform Reddit - a popular hub for stock speculators - Rheinmetall shareholders rallied one another to buy more shares.
Armin Papperger's transactions didn't go unnoticed on Reddit: Several posts singled out the company's official notice, with titles like, "Pappi bought Rheini!!". Comments applauded the CEO for his strategic timing: "Bro knows how to 'buy the dip'," proclaimed one user, illustrating the widespread belief that Papperger had bought shrewdly when the Rheinmetall share price had tumbled significantly.
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- Rheinmetall
- Stock market crash
- Stock price
- Defense conglomerate
- Defense
Insights on Rheinmetall
Though details are not widely available, here's a glimpse into Rheinmetall's financial picture:
- Revenue: By 2024, Rheinmetall reported a staggering annual revenue of €9.75 billion, representing a remarkable 35.88% growth[2].
- Market Performance: Rheinmetall's shares have demonstrated significant swings, recording impressive gains over time but also undergoing recent slumps, consistent with broader market trends affecting the defense industry[2][4].
- Dividend: Rheinmetall offers an annual dividend of €8.10 per share, yielding 0.60%. The dividend payout ratio is a manageable 34.59%[3].
- Armin Papperger's strategic purchases of Rheinmetall shares, as outlined in the company's insider trading notice, suggest a community policy that encourages high-level executives to take advantage of temporary market dips, such as during the crash mentioned.
- The speculators on Reddit, particularly those discussing Rheinmetall shares, seemed to appreciate and admire Papperger's moves, often referring to him as 'Pappi' and commenting on his shrewd 'buying the dip' strategy.
- In light of Armin Papperger's gains from the stock market crash and after reviewing the company's recent financial reports, interested individuals might consider vocational training in stock market investments to emulate such successful strategies, enhancing their own financial standing in the future.
