Nov. 21 (Bloomberg) -- German stocks rose for a third day as a rally in SAP AG outweighed a deadlock among euro-area finance ministers on releasing further aid for Greece.
SAP jumped to a 12-year high after Salesforce.com Inc. forecast fourth-quarter sales and profit in line with analyst estimates. Daimler AG and Continental AG paced gains among carmakers. Siemens AG slipped 1.3 percent after Deutsche Bank AG asked investors to sell the shares.
The DAX added 0.2 percent to 7,184.71 at the close in Frankfurt. The gauge has rallied 20 percent from its low on June 5 as European Central Bank policy makers agreed on an unlimited bond-purchase program and the Federal Reserve announced a third round of quantitative easing. The broader HDAX Index also rose 0.2 percent today.
Euro-area finance ministers failed to reach a decision on a debt-reduction package for Greece at a meeting in Brussels that ended early today after more than 11 hours of talks. The next installment of aid to Greece remains frozen until at least the next meeting on Nov. 26.
SAP gained 2 percent to 58.82 euros, the highest since September 2000, after Salesforce said late yesterday that sales for the quarter ending in January will be $825 million to $830 million. That compares with the $829.9 million average estimate of analysts in a Bloomberg survey. Profit excluding some items will be 38 to 40 cents a share, matching analysts’ projection for 40 cents.
A gauge of European carmakers climbed for a third day.
Daimler added 0.7 percent to 36.58 euros after Bankhaus Metzler asked investors to buy the shares. Continental AG increased 1.7 percent to 80.03 euros.
Sky Deutschland AG jumped 8.6 percent to 3.90 euros, its highest price since September 2009. German authorities approved an accounting method that will allow Sky to preserve part of its 2.3 billion euros ($2.9 billion) in tax losses in case the shareholding pattern changed.
The ruling makes it more likely that News Corp. will increase its stake to more than 50 percent or make a bid for the entire company, Polo Tang, an analyst at UBS AG, said today in a note to investors.
Siemens slid 1.3 percent to 77.60 euros. Deutsche Bank downgraded the stock to sell from hold.
“We are skeptical that the 12 percent fiscal year 2014 margin target is achievable on a sustainable basis,” Deutsche Bank analysts Peter Reilly and Martin Wilkie wrote in a report dated yesterday. “Siemens is in effect targeting a three-point increase in gross margins at a time when growth prospects are low, price erosion is running at 2-3 percent per annum and gross margins at peers are already under pressure.”
K+S AG lost 3.1 percent to 32.11 euros after JPMorgan Chase & Co. lowered its rating on Europe’s largest potash maker to underweight, the equivalent of sell, from neutral.
ThyssenKrupp AG, Germany’s biggest steelmaker, declined 1.2 percent to 16.39 euros.
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