Newsquawk Daily European Equity Opening News - 16th August 2024

16th August 2024

ASIA

APAC stocks followed suit to the rally on Wall St after a US data deluge soothed recent economic concerns. ASX 200 gained as the commodity-related sectors spearheaded the advances seen across all industries. Nikkei 225 outperformed and surged firmly above the 37,000 level following recent currency weakness. Hang Seng and Shanghai Comp. were positive with JD.com, MTR, Li Ning and Alibaba among the biggest gainers in Hong Kong post-earnings, while the mainland index continued to lag amid lingering economic concerns.

EUROPEAN CLOSES

CLOSES: DAX: +1.66% at 18,182, FTSE 100: +0.80% at 8,347, CAC 40: +1.23% at 7,423, Euro Stoxx 50: +1.69% at 4,806, AEX: +1.75% at 906, IBEX 35: +1.23% at 10,886, FTSE MIB: +1.00% at 32,328, SMI: +0.80% at 12,169, PSI: +0.23% at 6,627.

SECTORS: IT 3.02%, Financials 1.62%, Consumer Disc 1.35%, Industrials 1.11%, Energy 1.01%, Healthcare 1.01%, Materials 0.73%, Consumer Stpl 0.43%, Telecoms 0.12%, Utilities -0.14%

FTSE 100

AstraZeneca (AZN LN) - Approves neoadjuvant durvalumab for resectable non-small cell lung cancer. (AstraZeneca)

GSK (GSK LN) - Florida State Court's ruling finds in favour of GSK and other defendants, excluding plaintiff's experts' general and specific causation testimony that ranitidine was a significant risk factor for Wilson's prostate cancer. GSK will now seek dismissal of the upcoming Wilson case in Florida, whereby plaintiffs alleged a causal link between ranitidine and prostate cancer. (GSK)

OTHER UK COMPANIES

BROKER MOVES

Entain (ENT LN) upgraded to Neutral from Sell at Goldman Sachs

DAX

Bayer (BAYN GY) - Co. has won a legal victory in its fight to limit liability claims that its Roundup weed killer causes cancer; the US appeals court said federal law shields the Co. from a lawsuit in Pennsylvania. Bayer has stated that the decision conflicts with other rulings; an observation the Reuters article states could potentially increase the odds of the Supreme Court stepping in to resolve the discrepancy and potentially reduce liabilities for the Co. (Reuters)

OTHER GERMAN COMPANIES

BROKER MOVES

ThyssenKrupp Nucera (NCH2 GY) downgraded to Hold from Buy at Berenberg

CAC

Engie (ENGI FP) - Financial close for Goorambat East solar firm in Victoria. Full construction of farm exp. to commence over the coming months. (Newswires)

Saint Gobain (SGO FP) - To acquire Ovniver for USD 815mln; expects USD 14mln in synergies. (Newswires)

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

BROKER MOVES

Campari (CPR IM) upgraded to Buy from Hold at HSBC

SMI

OTHER SWISS COMPANIES

BROKER MOVES

SCANDINAVIA

Bavarian Nordic (BAVA DC) - Submits data to EMA to extend Mpox/Smallpox vaccine approval to adolescents. Following review of the data by EMA, the Marketing Authorisation for IMVANEX could be extended to include use of the vaccine for adolescents during the fourth quarter of 2024. (Bavarian Nordic)

EQT (EQT SS) - Has agreed to acquire South Korean waste treatment platform KJ environment and affiliates for EV of USD 733mln. (Newswires)

Novo Nordisk (NOVOB DC) - Novo Nordisk Pharmatech investing DKK 1.5bln in a new factory in Koge. Building plant in order to meet significantly higher demand from Novo Nordisk for the production of medicines to fight chronic diseases. (Newswires)

NKT (NKT DC) - Q2 (EUR): adj. EBITDA 86mln (exp. 82mln). FY Rev. EUR 2.33-2.43bln. (Newswires)

BROKER MOVES

US

CLOSES: SPX +1.61% at 5,543, NDX +2.46% at 19,490, DJIA +1.39% at 40,563, RUT +2.45% at 2,135

SECTORS: Real Estate -0.34%, Utilities flat, Health +0.60%, Energy +0.86%, Communication Services +0.87%, Financials +0.92%, Consumer Staples +0.99%, Industrials +1.32%, Materials +1.50%, Technology +2.54%, Consumer Discretionary +3.38%.

Applied Materials (AMAT) - Shares slipped 3.1% in afterhours trading. It reported Q3 adj. EPS 2.12 (exp. 2.02), Q3 revenue USD 6.78bln (exp. 6.67bln). Q3 adj. gross margin 47.4%, adj. operating margin 28.8%; Q3 adj. FCF USD 2.088bln. Q3 Semiconductor Systems revenues of USD 4.92bln (exp. 4.83bln), Q3 Applied Global Services revenues of USD 1.58bln (exp. 1.57bln), Q3 Display and Adjacent Markets revenues of USD 251mln (exp. 244.2mln). Exec said DRAM system shipments remain strong, even as DRAM sales in China decline; has seen demand for HBM accelerating in 2024. Sees Q4 adj. EPS between 2.00-2.36 (exp. 2.15), and sees Q4 revenue between USD 6.53-7.33bln (exp. 6.91bln).

16 Aug 2024 - 06:54- Research Sheet- Source: Newsquawk