Just five months after surpassing ASML, German software giant SAP has overtaken Novo Nordisk to become Europe’s most valuable listed company.

SAP’s shares rose 1.6% on Monday, bringing its market cap to €313bn. That was just enough to nudge Danish weight loss drugmaker Novo off the top spot. 

SAP’s stock has risen more than 40% in the past year, amid booming demand for its AI-driven enterprise resource planning software (ERP). The cloud-based software centralises business data, allowing multiple departments to access and share information in one place.

In contrast, Novo is having a tougher time on the stock market. Novo’s flagship product is Ozempic, a weight loss drug championed by celebrities and the ultra-wealthy, including Elon Musk. However, trials of the firm’s newest weight loss therapy, CagriSema, haven’t generated the same excitement. The drug was shown to be less effective than anticipated, causing shares to drop 50% from their 2024 high. 

Novo isn’t the only company feeling the impact of SAP’s stock rally. In October, the software firm rode overtook ASML to become Europe’s most valuable tech company. 

ASML, based in Eindhoven, the Netherlands, makes chip-making equipment for most of the world’s largest semiconductor companies. As the only firm that manufactures the EUV lithography machines required to produce the world’s most advanced computer chips, the Dutch business has become an investor darling. 

However, ASML’s shares plummeted dramatically in in October, wiping €50bn off its market cap in one fell swoop. 

The plunge came after the Dutch firm said it did not receive the expected number of orders for its lithography machines and expects fewer net sales for 2025 than previously estimated. 

That news also sparked a global sell-off on chip stocks, as investors worried that demand may be faltering. However, analysts were quick to point out that weak orders at ASML were more a sign that chipmakers had been stockpiling chips than a longer-term problem. 

Since then, ASML’s stock has soared, plunged, and risen again. In January, shares jumped as much as 12% — the largest increase in nearly five years — following a surge in order bookings. The company currently ranks as Europe’s fourth most valuable, with Paris-based LVMH in third place behind SAP and Novo. 

The shifting fortunes of Europe’s biggest companies reflect the volatility of today’s global markets. In recent months, stock prices have been rattled by fluctuating interest rates, geopolitical tensions, and new technological developments.

Many of Europe’s biggest tech companies will be at TNW Conference, which takes place on June 19-20 in Amsterdam. Tickets for the event are now on sale. To get 30% off, use the code TNWXMEDIA2025 at the check-out.