Newsquawk Daily European Equity Opening News - 12th March 2025

ASIA

APAC stocks traded mixed following the choppy performance stateside where the focus was centred on tariff rhetoric and Ukraine ceasefire talks, while the US's 25% tariffs on steel and aluminium took effect overnight. ASX 200 underperformed with firm losses in consumer discretionary, industrials and financials, while risk sentiment was also pressured after Australia failed in its efforts to get an exemption from looming tariffs. Nikkei 225 remained afloat but with price action choppy after mixed PPI and BSI Manufacturing data. Hang Seng and Shanghai Comp were ultimately mixed with the mood indecisive in both the mainland and Hong Kong amid light fresh catalysts although China’s securities regulator recently pledged to consolidate the momentum of market stabilisation.

Panasonic (6752 JT) - Co. agreed to an average monthly wage increase of JPY 13,000 vs union demands for JPY 17,000 increase. (Newswires)

TSMC (TSMC) - Co. has pitched NVIDIA (NVDA), AMD (AMD) and Broadcom (AVGO) about taking stakes in a joint venture that would operate Intel (INTC) foundries, while TSMC would own no more than 50% of the joint venture, according to sources cited by Reuters. (Newswires)

EUROPEAN CLOSES

CLOSES: DAX: -1.34% at 22,317, FTSE 100: -1.23% at 8,494, CAC 40: -1.31% at 7,942, Euro Stoxx 50: -1.52% at 5,305, AEX: -1.42% at 890, IBEX 35: -1.69% at 12,861, FTSE MIB: -1.38% at 37,698, SMI: -2.25% at 12,696, PSI: -0.01% at 6,739.

SECTORS: Utilities 0.10%, Industrials -0.89%, Energy -1.15%, IT -1.54%, Financials -1.61%, Consumer Disc -1.74%, Telecoms -1.79%, Materials -2.11%, Consumer Stpl -2.47%, Healthcare -3.46%

FTSE 100

OTHER UK COMPANIES

BROKER MOVES

Harbour Energy (HBR LN) downgraded to Hold from Buy at Berenberg

IAG (IAG LN) downgraded to Underweight from Overweight at Barclays

Spirax (SPX LN) upgraded to Buy from Hold at Kepler

DAX

Brenntag (BNR GY) – FY (EUR): Sales 16.2bln (exp. 16.2bln), Op. EBITA 1.08bln (exp. 1.1bln). To propose a dividend of EUR 2.1/shr. 2025 Outlook: Expects Op. EBITA 1.1-1.3bln. (Newswires)

Rheinmetall (RHM GY) - FY (EUR): Sales 9.7bln (exp. 10.0bln), +26%, Net Income 808mln (exp. 957mln); defence sales +50%. Forecast sales and earnings growth to continue in 2025. FY25 Guidance: Operating Margin around 15.5% (exp. 16.1%). Sales and earnings growth to continue; sales expected to grow 25-30%. (Newswires)

Porsche AG (P911 GY) - FY (EUR): Revenue 40.08bln (exp. 39.35bln), Op Profit 5.64bln (exp. 5.55bln), -22.6% Y/Y, Op. RoS 14.1% (prev. 18% Y/Y), proposes dividend of same amount as last year; affirms FY25 guidance. Reducing the workforce by another 2k jobs through expiration of fixed-term employment contracts. (Newswires)

OTHER GERMAN COMPANIES

Delivery Hero (DHER GY) – Co. says Uber (UBER) ends its acquisition agreement of Delivery Hero’s Taiwan FoodPanda business; Uber must pay a termination fee, which is estimated to be around USD 250mln. (Newswires) Shares +2.3% in pre-market trade

Puma (PUM GY) - 2025 outlook (EUR): EBIT 445-525mln (prev. 622mln Y/Y); expects to incur one-time costs of up to EUR 75mln in 2025. Sees Q1 Adj. EBIT 70mln (exp. 213mln). Expects Q1 EBIT to be significantly below prior year's level. Sees Q1 sales growth in low single digits Y/Y due to soft US and China markets. Weakness due to ongoing geopolitical weakness and economic challenges in 2025. (Newswires) Shares -8.3% in pre-market trade

Wacker Chemie (WCH GY) – FY24 (EUR): Revenue 5.72bln (exp. 6.14bln), Outlook 2025: Sales in range of 6.1-6.4bln (exp. 6.54bln). (Newswires)

BROKER MOVES

DHL (DHL GY) initiated with Buy at Jefferies

Deutsche Lufthansa (LHA GY) downgraded to Underweight from Overweight at Barclays

CAC

Vinci (DG FP) – Share buyback programme of up to 10% of its share capital; max purchase price set at EUR 150/shr and max amount of purchases authorised at EUR 5bln. (Newswires)

OTHER FRENCH COMPANIES

Dassault Systemes (DSY FP) – Proposes dividend of EUR 0.26/shr for 2024. (Newswires)

Unibail-Rodamco-Westfield (URW FP) - Co. sells Bonaire to Castellana in deal valued at EUR 305mln. (Newswires)

Wendel (MF FP) / Bureau Veritas (BVI FP) - Wendel announces entry into a prepaid 3-year forward sale of Bureau Veritas shares representing 6.7% of share capital, with an option to retain partial share price upside. Wendel to retain 26.5% share capital and 41.2% voting rights in Bureau Veritas. (Newswires)

BROKER MOVES

PAN EUROPE

Banco BPM (BAMI IM) – Unit Vita received all legal authorisation for tender offer on Anima (ANIM IM). (Newswires)

Banca Popolare di Sondrio (BPSO IM), BPER Banca (BPE IM) - Banca Popolare di Sondrio plans to return EUR 1.5bln to shareholders by 2027, as part of its strategy to defend against a takeover bid from BPER Banca. The bank aims to increase its annual payout ratio to 85%, doubling its previous three-year plan, with a target of EUR 1.8bln in net profit over the 2025-2027 period. 

Metals Names / Tariff update - US President Trump's 25% tariffs on steel and aluminium took effect with no exemptions. EU Commission launched countermeasures on US imports with measures to come into force by April. (Newswires)

Saipem (SPM IM) – FY24 (EUR): Revenue 14.54bln, EBITDA 1.32bln. Proposes dividend of EUR 0.17.shr. (Newswires)

Inditex (ITX SM) - Q4 (EUR): Revenue 11.2bln (exp. 11.2bln). EBIT 1.88bln (exp. 1.81bln). Net 1.42bln (exp. 1.45bln). Proposes to raise dividend 9% to EUR 1.68/shr. Sees -1% currency impact on sales in 2025; expects stable gross margin. (Newswires)

Roche (ROG SW)/Zealand Pharma (ZEAL DC) - Roche entered into an exclusive collaboration & licensing agreement with Zealand Pharma to co-develop and co-commercialise petrelintide as a potential foundational therapy for people with overweight and obesity. (Roche) Of note for Novo Nordisk (NOVOB DC).

BROKER MOVES

Argenx (ARGX BB) upgraded to Hold from Sell at Deutsche Bank

Brunello Cucinelli (BC IM) initiated with Overweight at Morgan Stanley

Leonardo (LDO IM) downgraded to Hold from Buy at Kepler

SMI

Partners (PGHN SW) – Expects its AuM growth to outpace broader private market industry, increasing threefold over the current cycle to more than USD 450bln by 2033. (Newswires)

OTHER SWISS COMPANIES

Avolta (AVOL SW) – FY24 (CHF) Revenue 13.7bln (exp. 14.29bln, prev. 12.8bln Y/Y). Notes of a strong start in 2025; affirms medium term guidance. (Newswires)

Tecan (TECN SW) – FY (CHF): EPS 8.08 (exp. 6.84). Outlook 2025: Sales low single-digit decline to low single-digit growth. Reiterates mid-term outlook. (Newswires)

BROKER MOVES

Barry Callebaut (BARN SW) upgraded to Buy from Hold at Kepler

Sandoz (SDZ SW) upgraded to Buy from Hold at Deutsche Bank

Kuehne & Nagel (KNIN SW) initiated with Hold at Jefferies

SCANDINAVIA

Clas Ohlson (CLASB SS) – Q3 (SEK): Sales 3.85bln (exp. 3.79bln), Net Income 426mln (exp. 372mln). (Newswires)

BROKER MOVES

DSV (DSV DC) initiated with Buy at Jefferies

US

CLOSES: SPX -0.76% at 5,572, NDX -0.28% at 19,377, DJI -1.14% at 41,433, RUT +0.22%.

SECTORS: Industrials -1.54%, Consumer Staples -1.18%, Health -1.12%, Real Estate -1.04%, Energy -0.96%, Utilities -0.91%, Financials -0.86%, Materials -0.81%, Communication Services -0.71%, Technology -0.38%, Consumer Discretionary -0.26%.

Goldman Sachs SPX Target - Goldman Sachs (GS) reduced its 2025 year-end S&P 500 target to 6,200 (prev. saw 6,500), citing a lower fair-value forward P/E multiple (20.6x vs. 21.5x). The firm also cut its EPS forecasts to USD 262 (from USD 268) for 2024, and USD 280 (from USD 288) for 2025. (Newswires)

TSMC (TSM), Nvidia (NVDA), Qualcomm (QCOM), AMD (AMD), Broadcom (AVGO), Intel (INTC) - TSMC has proposed a joint venture involving its foundry operations with Nvidia, AMD, Broadcom, and Qualcomm. Under the plan, TSMC would run Intel's foundry division but maintain a stake of no more than 50%. The talks are in the early stages, and any agreement would require approval from the US government, Reuters reports. (Reuters)

12 Mar 2025 - 06:56- EquitiesExclusive- Source: Newsquawk