Newsquawk Daily European Equity Opening News - 19th July 2024

19th July 2024

ASIA

APAC stocks mostly followed suit to the losses on Wall St where sentiment was dampened and the Trump trade was seen in play as President Biden's re-election chances dwindled further after top Democrats suggested he could be persuaded to drop out as soon as this weekend. ASX 200 fell below the 8,000 level with mining stocks leading the broad downturn seen across sectors. Nikkei 225 briefly retreated beneath 40,000 but then pared most of the initial losses to reclaim the key psychological level. Hang Seng and Shanghai Comp. conformed to the downbeat mood with the former pressured by weakness in the real estate industry, while losses in the mainland were stemmed after the PBoC liquidity efforts amounted to a net CNY 1.17tln for its largest weekly cash injection since January, while a CPC official noted the economic recovery is not strong enough and they need to implement macro policies more effectively.

EUROPEAN CLOSES

CLOSES: DAX: -0.40% at 18,363, FTSE 100: +0.21% at 8,205, CAC 40: +0.21% at 7,587, Euro Stoxx 50: -0.41% at 4,871, AEX: flat at 916, IBEX 35: +0.38% at 11,148, FTSE MIB: +0.43% at 34,529, SMI: -0.70% at 12,244, PSI: +0.34% at 6,789.

SECTORS: Energy 1.24%, Telecoms 1.09%, Consumer Stpl 0.92%, Utilities 0.75%, Financials 0.21%, Consumer Disc 0.11%, Materials -0.17%, Industrials -1.01%, Healthcare -1.11%, IT -2.39%

FTSE 100

British American Tobacco (BATS LN) - Vuse Alto received US FDA marketing authorisation. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

DAX

OTHER GERMAN COMPANIES

BROKER MOVES

CAC

OTHER FRENCH COMPANIES

Air France-KLM (AF FP) - KLM and Air France announced the successful renegotiation of their Sustainability Linked Revolving Credit Facility, resulting in an increase to EUR 1.4 billion and an extension of its maturity to July 2028. (Air France)

Casino (CO FP) - Casino Guichard Perrachon has been the subject of a preliminary investigation by the Parquet National Financier (PNF), at the end of which an exchange phase with the PNF has been initiated. (Casino)

Remy Cointreau (RCO FP) - Sets the amount of dividend at EUR 2; will go ex-dividend on July 2024, and be paid from October 1, 2024. (Newswires)

Sartorius Stedim Biotech (DIM FP) - H1 (EUR): Sales 1.68bln, -2.2% Y/Y. Cuts FY24 guidance. Sales forecast -12%, expects underlying EBITDA margin of 27-29%. (Newswires)

Sopra Steria (SOP FP) - H1'24 (EUR): Revenue estimated at 2.94bln, +3.8% Y/Y. Op. margin on business activity 9.7%, +0.9% Y/Y. (Newswires)

Ubisoft (UBI FP) Q1 25 (EUR): Net bookings EUR 290mln (exp. 342mln); IFRS 15 sales 323.5mln (prev. 288.9mln); Sees Q2 net bookings of around EUR 500mln. To release Star Wars Outlaws on August 30th, 2024. To release Assassin's Creed Shadows on November 15th, 2024. (Newswires)

BROKER MOVES

PAN EUROPE

ArcelorMittal (MT NA) - Says 55-day blockade ended at its Mexico site. (Newswires)

dsm-firmenich (DSFIR NA) - To sell MEG-3 fish oil business to KD Pharma Group. As part of the transaction, dsm-firmenich will obtain a minority stake of 29% in KD Pharma's parent company O³ Holding GmbH. (dsm-firmenich)

Mining names - Mining stocks in APAC trade underperformed given broader weakness in the underlying metals complex.

BROKER MOVES

Eni (ENI IM) downgraded to Hold from Buy at Stifel

SMI

OTHER SWISS COMPANIES

Schindler Holding (SCHP SW) - H1 (CHF): Revenue 5.59bln, +1.4% Y/Y. FY24 guidance confirmed. (Newswires)

BROKER MOVES

SCANDINAVIA

Tomra Systems (TOM NO) - Q2 (EUR): Revenue 333mln (prev. 333mln Y/Y), Adj. Adj. EBITA margin 13% (prev. 11.2% Y/Y). (Newswires)

BROKER MOVES

Gjensidige Forsikring (GJF NO) downgraded to Underperform from Hold at Jefferies

US

CLOSES: SPX -0.78% at 5,544, NDX -0.48% at 19,705, DJI -1.29% at 40,665, RUT -1.82% at 2,198.

SECTORS: Health -2.29%, Consumer Discretionary -1.28%, Financials -1.28%, Materials -1.02%, Real Estate -0.81%, Industrials -0.73%, Consumer Staples -0.48%, Communication Services -0.29%, Technology -0.23%, Utilities -0.06%, Energy +0.33%.

Apple (AAPL) - Although there have been rumours of increased orders for iPhone 16 (AAPL) orders from time to time after WWDC, recent earnings calls from two key Apple suppliers (TSMC and Largan) have hinted that iPhone 16 orders may not have increased, via Ming-Chi Kuo. (Newswires)

Broadcom (AVGO) - OpenAI has talked to Broadcom (AVGO) about developing a new AI chip, according to The Information; Sam Altman has had talks with TSMC (TSM). (Newswires)

Netflix Inc (NFLX) - Q2 2024 (USD): EPS 4.88 (exp. 4.74), Revenue 9.56bln (exp. 9.53bln). KEY METRICS: Streaming paid net change +8.05mln (exp. +4.87mln).US & Canada streaming paid net change +1.45mln (exp. +1.19mln). EMEA streaming paid net change +2.24mln (exp. +1.56mln). LatAm streaming paid net change +1.53mln (exp. +955,125). APAC streaming paid net change +2.83mln (exp. +1.25mln). Streaming paid memberships 277.65mln (exp. 273.78mln). Operating margin 27.2% (exp. 26.5%).Operating income 2.60bln (exp. 2.54bln). FCF 1.21bln (exp. 1.61bln). Q3 GUIDANCE: Revenue 9.73bln (exp. 9.83bln). EPS 5.10 (exp. 4.74). Operating margin 28.1% (exp. 25.7%). Sees Q3 paid net additions lower Y/Y (Q3 '23 was 8.76mln). FY24 GUIDANCE: Operating margin 26% (prev. 25%, exp. 25%). FCF 6bln (exp. 6.59bln). Raises revenue growth to 14-15% (prev. 13-15%). Targets 26% full-year operating margin and CFO says ads will become a meaningful contributor to revenue by 2026, while co-CEO Peters says Co. has 80+ games in development. Shares -0.1% after-hours

PPG Industries Inc (PPG) - Q2 2024 (USD): Adj. EPS 2.50 (exp. 2.48), Revenue 4.79bln (exp. 4.92bln). Shares -2.9% after-hours

19 Jul 2024 - 06:57- MetalsRumour- Source: Newsquawk