Rheinmetall Closes Croatian Robotics Deal and Lands €5.7B Romanian Order as Berlin Adds Legislative Backing

Rheinmetall secures €5.7B Romanian air defense contract and 51% stake in DOK-ING robotics, boosting stock 15% from June low. Year-to-date losses remain 32%.

Rheinmetall has pulled off a double play this week, locking down a majority stake in a Croatian robotics specialist and officially securing a €5.7 billion Romanian air defense contract on the same day. The stock has responded with its strongest rally in weeks, climbing past the €1,080 mark as investors weigh concrete order books against a still-fragile technical picture.

The Düsseldorf-based defense group completed its previously announced takeover of DOK-ING, a Zagreb-based developer of unmanned military vehicles, effective July 1. Rheinmetall now holds 51 percent of the company, which has been renamed Rheinmetall Unmanned Vehicles d.o.o. Founder Vjekoslav Majeti? retains the remaining 49 percent. The acquisition provides Rheinmetall with the hybrid "Komodo" platform, capable of carrying over 8.5 tonnes of payload, and a new center of excellence in Zagreb for autonomous mine clearance, reconnaissance, and logistics modules. The armed "Wingman" system is also slated for development on the same chassis.

Parallel to the takeover, Romania has formally tasked Rheinmetall with delivering a suite of air defense systems worth roughly €5.7 billion. The order centers on 24 Skyranger 35 units mounted on the tracked KF41 Lynx infantry fighting vehicle, supplemented by seven Skynex systems and two Millennium naval guns. The deal underscores Rheinmetall's growing role in fortifying NATO's eastern flank, particularly as the threat from drones and cruise missiles continues to drive demand for short-range air defense.

Recovery From the June Trough

The shares have now gained 15.26 percent over the past week, closing at €1,089.00 on Thursday, up 3.16 percent on the day. That marks a sharp reversal from the 52-week low of €902.50 hit on June 25. The bounce has been fueled by a combination of positive catalysts: the Romanian order, the DOK-ING closing, and the collapse of rival KNDS's planned IPO due to volatile markets, which relieved competitive pressure for investor capital. Insider purchases worth over €3.1 million in the previous week, executed around the €950 level, added further confidence.

Despite the rally, the stock remains deep in the red year-to-date, down 32.00 percent from the start of 2026. The 200-day moving average still sits far overhead at €1,542.95, nearly 30 percent above the current price, while the 50-day average is 12.82 percent away. The relative strength index has climbed to 45.6, a neutral reading that leaves room for further upside without signalling overbought conditions. However, volatility remains elevated at 68.62 percent, warning that sharp swings are likely to persist.

Berlin Adds Political Tailwinds

A separate boost arrived on Wednesday, when the German cabinet approved a draft law to accelerate the modernization of military infrastructure. The legislation, also effective July 1, aims to shorten planning and approval processes for defense-related construction projects, citing NATO obligations and the planned increase in troop numbers. Defense Minister Boris Pistorius additionally signaled Berlin's interest in producing more US-developed weapons systems domestically, though no specific Rheinmetall involvement was named.

That political momentum dovetails with a smaller but steady order flow. On June 30, Rheinmetall announced a Ukrainian contract for 155 mm artillery shells in the low five-digit range, valued in the high double-digit millions of euros. The ammunition is being manufactured at Rheinmetall Expal Munitions in Spain, with completion expected in the first quarter of 2027. The company continues to expand capacity to reach an annual production target of roughly 1.5 million 155 mm shells by 2030.

The Numbers Test Arrives in August

For now, investors are buying a story of expanding orders, a new robotics capability, and a supportive policy backdrop. But the real test comes on August 6, when Rheinmetall publishes its second-quarter report. With the stock still trading 34 percent below its 52-week high of €1,995, the market will want to see whether the operational momentum from Zagreb and Bucharest is translating into the kind of earnings upgrades that can sustain a lasting recovery.