The Ibex 35 Shines as the World’s Best-Performing Index in 2025 — And It Could Still Rise Another 5%

The Ibex 35 has become the undisputed global star of 2025, achieving an extraordinary 41.2% gain in the first eleven months of the year. This performance far surpasses major international indices: the Nasdaq leads the U.S. markets with just a 21% increase, and the Euro Stoxx 50 is up 15%. Neither Asian nor South American markets can keep pace with Spain’s stock benchmark.

Why Is the Ibex 35 So Strong? Two Key Drivers

1. Spain’s economy is outpacing Europe

The country’s growth is significantly higher than the eurozone average. The OECD recently raised Spain’s GDP forecast to 2.9% for 2025 and 2.2% for 2026, reinforcing investor confidence.

2. The banking sector is delivering a historic year

Spanish banks — the segment with the greatest weight in the index — have soared 96% in 2025, becoming the primary force behind the Ibex’s exceptional performance.

Both factors are expected to remain supportive in 2026. With eurozone interest rates at 2% and many analysts anticipating future increases, the environment remains favorable for the banking sector and, by extension, for the Ibex 35.

Despite Record Highs, the Ibex 35 Still Has 5% Upside Potential

Even after breaking levels not seen since 2007, analysts estimate that the Ibex 35 could still rise around 5% from its current position.

This potential stands out in a market where:

• Treasury bills no longer exceed 2%,
• And the best fixed-term deposits barely reach 3%.

The Ibex remains one of the most attractive investment alternatives in Europe.

The Index Is on Track to Close One of Its Best Years Ever

With just one month left in the year, the Ibex 35 is on the verge of completing its second-best year in history. While beating the legendary 54.2% from 1993 seems unlikely, surpassing the 41.9% from 1996 is entirely possible — and has already been achieved temporarily in recent weeks.

Best Years of the Ibex 35

High-Potential Stocks Could Boost the Final Stretch

For the Ibex to maintain momentum, support from the banking sector will be essential, but so will the contribution of companies with strong upside potential.

Five stocks could rise more than 30% according to analyst estimates:

• Cellnex
• Grifols
• Rovi
• Puig
• Colonial (REIT)

Meanwhile, the year’s top performers must remain strong:

• Indra, Solaria, and Banco Santander, each up more than 100%
• Unicaja, close to doubling its value (+98%)
• BBVA, rising 96% after completing its attempted takeover of Sabadell

Only Six Ibex Stocks Are Negative in 2025

On the downside, only six companies show losses this year. The most notable is Telefónica, heavily penalized after announcing its dividend cut for next year, reducing payouts from €0.30 to €0.15 per share.

A short-term recovery will be crucial for the Ibex 35 to close 2025 with maximum strength.