for me i wouldn't say that i'm surprised because i know the majority favor teams who play in their home land all the time, they even thought Qatar could do something in the World cup, but in reality and throughout the last few decades i've seen very few countries manage to win tournaments in their homeland to the point i decided to never favor a team like Germany this time i Euro, and i agree with you that France and England have a way better chance to win it than Germany.
I have a feeling that Germany is a dying team. And I agree with your argument that France and England have a better chance to win the tournament when compared to Germany. The Germans have performed pathetically during Euro 2021 and FIFA 2022. They are unable to find fresh talent and are heavily dependent on players who are in their 30s, such as Manuel Neuer, Thomas Müller and İlkay Gündoğan. They have some younger players like Lukas Nmecha, Karim Adeyemi and Youssoufa Moukoko. But these players are yet to prove their mettle at the international stage.
Indeed, one of the big problems for the German national team is the regeneration of young players, but if you look at the names in the Bundesliga or in other European competitive leagues, there are actually so many good names to fill out the German squad. But again the role of the coach determines who will be called upon to defend the German national team. When talking about Neuer, it should be time for him to retire, even though on the bench there are still good names like Ter Stegen, but I don't know why coach Hansi Flick chose Neuer over Ter Stegen.