The share price of Infineon fell again on Monday, dropping temporarily by 1.97% to 33.60 euros. Despite these losses, the price remains significantly above the 52-week low of 23.17 euros marked last year. The highest point in 2025 was 39.43 euros in February.
Causes for the Price Drop
A significant factor behind the price drop could be the uncertainty caused by the US administration under Donald Trump. Trump has threatened to double steel tariffs, leading to a new escalation of trade conflicts. These measures can burden global trade and thus also impact the automotive and semiconductor industries.
Currently, there are no negative news from Infineon itself that could explain the price drop. Recently, the company introduced radiation-resistant gallium nitride (GaN) transistors. The strong numbers from NVIDIA last week did not negatively impact the Infineon stock, but rather acted as a price driver. However, the overall market environment, particularly the uncertainty stemming from political decisions, has had a negative influence.
Analyst Opinions
UBS has maintained its buy recommendation for Infineon with a price target of 41 euros. Analyst Francois-Xavier Bouvignies sees potential for a rebound in the automotive sector despite current economic risks. Warburg Research has also set a positive price target of 40 euros for Infineon.
Forecasts
Long-term forecasts for the Infineon stock are optimistic, with expected highs of over 50 euros in 2026. However, these forecasts are based on the assumption of stable economic development and could be influenced by political uncertainties.
Conclusion
The price drop at Infineon is primarily due to external factors such as the uncertainty arising from US trade policy. Despite the current losses, the long-term outlook for Infineon remains positive, especially regarding the growing potential in the automotive sector. Analysts continue to see upward potential for the stock, as underscored by the positive price targets.