Introduction
The Mexican stock market concluded 2025 with a remarkable performance, rising by 29.80%, and elevating the Indice de Precios y Cotizaciones (IPC) to 64,269 units. This outcome starkly contrasts with the previous year’s downturn, where the market experienced a -13.72% decline, marking its worst performance since 2018.
Factors Leading to the Negative 2024 Performance
The poor performance in 2024 was driven by a combination of macroeconomic and political factors that created an environment of heightened uncertainty. Among these, the judicial reform announced by President López Obrador in February and subsequently approved by Congress during the second half of 2024, played a significant role in market volatility.
A Silver Lining: Valuations and Investor Interest
Despite the negative 2024, the market’s valuations became extremely attractive. At the beginning of 2025, Mexican market companies were trading at a substantial discount compared to their global peers. This enticed investors who had previously left the Mexican market in search of protection from high volatility and political uncertainty following Andrés Manuel López Obrador’s administration.
Monetary Policy and Sector-Specific Growth
In 2025, the Mexican central bank, Banco de México, adopted a flexible monetary policy with aggressive rate cuts. This benefited financial companies like Gentera, whose interest margins expanded due to lower funding costs.
Additionally, lower yields in the short-term fixed income market enhanced the allure of investing in the equity market, which offered higher returns based on valuations.
Top Performers in 2025
Industrias Peñoles (PE&OLES*) was the standout performer in 2025, with a cumulative return of 255.36%. This performance was fueled by the bullish cycle in precious metals, specifically gold and silver, amidst global geopolitical uncertainty that increased demand for safe-haven assets.
Gentera (GENTERA*) closed 2025 with an 89.14% return, solidifying its position as the second-best performer on the IPC. The upward trajectory was supported by strong 2024 results, with net income expanding by 79.5%. The microfinance bank benefited from Banco de México’s rate reduction, which improved its net interest margin to 40.4% from 39.6% in Q4 2023.
Cemex (CEMEX CPO) reported a 77.05% return in 2025, surprising a market anticipating volatility in the construction and cement sector. The performance reflected Cemex’s operational resilience demonstrated in 2024, when the company achieved a record net income of $939 million, five times higher than in 2023. The EBITDA margin remained stable at 19%, driven by aggressive cost optimization strategies, favorable fuel and energy price benefits, and expanding margins across all operational regions.
Underperformers in 2025
Genoma Lab (LAB B) experienced a 28.73% decline by year-end, attributed to short-term factors during the annual close. A weak winter season in 2025 devalued the company, as this period typically accounts for 40% of its annual sales.
Becle (CUERVO*) reflected a 12.16% drop, mirroring concerns over consumption caution observed in both Mexico and the United States—critical markets for the company. The spirits sector faced macroeconomic volatility and shifts in consumption patterns.
Gruma (GRUMA B) saw a 5.02% decline, stemming from the preliminary decision by Mexico’s Federal Economic Competition Commission (COFECE) in October 2024. COFECE ordered Gruma to sell five strategic plants in Mexico, citing market dominance (50-90% share) in eight regions analyzed and price premiums of approximately 10% over competitors nationwide. The regulatory uncertainty surrounding the feasibility of these operations, implementation timelines, and potential regional margin impacts generated significant price volatility.
Key Questions and Answers
- What was the Mexican stock market’s performance in 2025? The Mexican stock market concluded 2025 with a remarkable performance, rising by 29.80%.
- What factors led to the negative 2024 performance? The poor performance in 2024 was driven by macroeconomic and political factors, including the judicial reform announced by President López Obrador.
- How did the 2024 market downturn affect valuations and investor interest? Despite the negative 2024, Mexican market valuations became extremely attractive, enticing investors who had previously left the market.
- Which companies were top performers in 2025? Industrias Peñoles, Gentera, and Cemex were the top performers in 2025.
- Which companies underperformed in 2025? Genoma Lab, Becle, and Gruma experienced declines in 2025.
