Financial Wire

Swiss Stocks Slips Back into Red; Comet Rises

-- The Swiss Market Index returned to the negative territory on Wednesday, closing 0.38% lower, amid news of a possible resumption of peace talks between the US and Iran.

"Markets have grown more confident that the Middle East crisis is moving toward a resolution, with the US and Iran arranging a second round of talks, and Tehran seemingly willing to halt shipments to avoid testing the US naval blockade," analysts at ING said. "Given how unsuccessful the first round of negotiations was last weekend, these dollar levels seem to embed a fair amount of premature optimism."

At home, Switzerland's Federal Council launched a consultation on revisions to certain regulations in the energy sector, including the Electricity Supply Ordinance and Nuclear Energy Liability Ordinance. The consultation is set to run until July 15.

On the corporate front, Deutsche Bank Research lifted its price target for Comet (COTN.SW) to 370 francs from 300 francs, with a buy rating on the stock, noting the Swiss technology company's robust order intake in the first quarter and "very strong" momentum in its X-ray division. The stock added 1.98% at closing.

"In our view, this marks the start of the semi upcycle at Comet in PCT, with order strength to continue into Q2 (DBe: +9% qoq) & H2-26 (as indicated at VAT) driven by an inventory restocking cycle at OEMs," the research firm said. "Whilst Comet likely has outsized market share (vs at Western OEMs) with its main US-based peers (AEIS, MKS, etc) remaining restricted - recent MATCH Act noise (which aims to harmonize export controls across allies of the USA) should be monitored closely in this regard as a potential downside risk. We remain very constructive however - with FX headwinds reducing significantly from Q2-26, whilst Comet should also provide positive updates on Synertia & the CA20 in H2-26, where we believe momentum has been building over the past 6 months."

Helvetia Baloise (HBAN.SW) also saw its shares rise 0.93% as it reported a year-over-year increase in 2025 insurance revenue, while IFRS net income jumped 14.4% to 574.7 million francs. The Swiss insurance group also set new financial targets for 2028, including a 10% to 12% annual growth in underlying EPS.

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