Newsquawk Daily European Equity Opening News - 23rd October 2024

ASIA

APAC stocks were ultimately mixed with the upside capped following the inconclusive performance on Wall St amid a lack of fresh macro drivers, recent upside in yields and ongoing geopolitical tensions. ASX 200 traded rangebound with strength in consumer stocks offsetting the underperformance in tech and energy. Nikkei 225 was the laggard as it failed to benefit from a weaker currency and a surge in Tokyo Metro shares on its debut. Hang Seng and Shanghai Comp advanced with risk appetite supported as participants digested earnings releases and after the PBoC upped its liquidity effort, while a Chinese policy think tank called for the issuance of CNY 2tln in special treasury bonds to establish a stock market stabilisation fund.

EUROPEAN CLOSES

CLOSES: DAX: -0.13% at 19,436, FTSE 100: -0.14% at 8,307, CAC 40: -0.01% at 7,535, Euro Stoxx 50: -0.03% at 4,940, AEX: -0.11% at 897, IBEX 35: -0.07% at 11,833, FTSE MIB: -0.64% at 34,734, SMI: -0.76% at 12,169, PSI: -1.12% at 6,555.

SECTORS: IT 1.12%, Energy 0.56%, Consumer Disc 0.30%, Materials -0.05%, Financials -0.19%, Industrials -0.33%, Consumer Stpl -0.37%, Healthcare -0.58%, Telecoms -1.06%, Utilities -1.48%

FTSE 100

OTHER UK COMPANIES

BROKER MOVES

DAX

Volkswagen (VOW3 GY) - Senior executive deported from China, according to FT. (FT)

Deutsche Bank (DBK GY) - Q3 (EUR) PBT 2.26bln (exp. 2.1bln), Revenue 7.5bln (exp. 7.3bln), FICC sales & trading rev. 2.1bln (exp. 2.0bln). Q3: CET1 13.8% (exp. 13.6%); authorisation sought for further share repurchases. Credit loss provision 494mln. Q3 Revenue breakdown: Corporate Bank 1.8bln (prev. 1.89bln). Investment Bank 2.5bln (prev. 2.27bln). Private Bank 2.32bln (prev. 2.34bln). Corporate/Other 157mln (prev. 35mln). FY Guidance: Confident in Revenue guide of "around" 30bln (exp. 29.44bln). (Newswires)

OTHER GERMAN COMPANIES

Deutsche Boerse (DB1 GY) - Q3 2024 (EUR): Revenue 1.4bln (exp. 1.4bln); FY24 EBITDA view 3.3-3.4bln. Fully on track with the implementation of the Horizon 2026 strategy. (Newswires)

Evotec (EVT GY) - Received USD 50mln payment from Bristol Myers Squibb (BMY); expands partnership. (Newswires) Shares +2.3% in pre-market trade

BROKER MOVES

Adidas (ADS GY) downgraded to Hold from Buy at HSBC

Porsche AG (P911 GY) upgraded to Buy from Neutral at Citi

CAC

Air Liquide (AI FP) - Q3 (EUR): Revenue 6.76bln (exp. 6.8bln). Confident in ability to further increase op. margin and deliver recurring net profit growth in 2024. (Newswires)

L'Oreal (OR FP) - Q3 24 (EUR): Group net sales 10.28bln (exp. 10.52bln). LFL Organic sales growth 3.4% (exp. 6.0%). CEO says China Q3 performance was worse than expected and hopes China stimulus to help consumer confidence. Worse than expected turbulence in North Asia during Q3, markets turned more negative in both luxury and travel retail. Expect global beauty market in 2025 to grow at pre-COVID levels. Sees growth in 2025 of 4-5% in global beauty markets. Do not see any slowdown in fragrance demand and being driven by consumer demand for affordable luxury. (Newswires)

Thales (HO FP) - Q3 (EUR): Revenue 4.58bln (exp. 4.55bln, prev. 4.14bln Y/Y). Order intake 4.78bln (exp. 4.22bln). Affirms guidance. (Newswires)

Vivendi (VIV FP) - 9-month (EUR): Revenue 4.75bln (exp. 4.80bln). (Newswires)

OTHER FRENCH COMPANIES

Covivo (COV FP) - 9-month (EUR): Rental Income 509mln, +4.9% Y/Y. Revenue 508.8mln (prev. 484.8mln Y/Y). Affirms guidance. (Newswires)

Klepierre (LI FP) - 9m (EUR): Revenue 1.16bln (prev. 1.04bln Y/Y). Raises FY24 EBITDA +6% Y/Y (prev. guided +5%). (Newswires)

Ipsen (IPN FP) - Q3 (EUR): Revenue 836.6mln (exp. 828mln, prev. 772.4mln Y/Y). 2024 guidance: Total sales growth greater than 8% (prev. guided +7%) (Newswires)

Verallia (VRLA FP) - 9m (EUR): Revenue 870.6mln (prev. 931.8mln Y/Y). (Newswires)

BROKER MOVES

PAN EUROPE

Autos - Former President Trump said he would make car interest payments fully tax deductible if they are domestically built. (Newswires)

Akzo Nobel (AKZA NA) - Q3 (EUR): Adj. EBITDA 394mln (exp. 405mln, prev. 414mln Y/Y), Revenue 2.67bln (exp. 2.54bln, prev. 2.74bln Y/Y). Cuts FY24 Adj. EBITDA to approx. 1.58bln (prev. guided 1.5-1.65bln). (Newswires)

BROKER MOVES

SMI

Roche (ROG SW) - Q3 (CHF): Sales 15.14bln (exp. 14.93bln). FY Outlook confirmed; expects group sales to increase in the mid-single digit range and to further increase its dividend. January-September Sales: Group 44.98bln (prev. 44.05bln). Pharma. 34.25bln (prev. 33.37bln). US 18.16bln (prev. 17.43bln). Europe 6.6bln (prev. 6.25bln). Japan 2.08bln (prev. 2.93bln). International 7.39bln (prev. 6.75bln). (Newswires)

OTHER SWISS COMPANIES

Kuehne+Nagel (KNIN SW) - Q3 (CHF): Net 339mln (exp. 327mln, prev. 321mln Y/Y), EBIT 455mln (exp. 454mmln), Revenue 6.49bln (exp. 6bln). (Newswires)

BROKER MOVES

SCANDINAVIA

DSV (DS DC) – Q3 (DKK): 44.1bln (exp. 39.5bln), adj. Net 3bln (exp. 2.97bln). FY Outlook: adj. EBIT 16-17bln (exp. 16.6bln). (Newswires)

Handelsbanken (SHBA SS) - Q3 (SEK): NII 11.76bln (exp. 11.49bln). Anticipated dividend was SEK 3.95/shr, equivalent to 109% of profit for quarter. (Newswires)

Swedbank (SWEDA SS) - Q3 (SEK): Net commission income 4.28bln (exp. 4.17bln), NII 12.2bln (exp. 11.76bln). Will reach long-term target of a RoE of at least 15% by 2025. (Newswires)

Storebrand (STB NO) - Q3 (NOK): Adj. Net 1.29bln (exp. 974mln), Pretax 1.43bln (exp. 1.14bln). (Newswires)

SSAB (SSABA SS) - Q3 (SEK): EPS 1.05 (prev. 3.40 Y/Y), Revenue 24.3bln (prev. 29bln Y/Y). (Newswires)

Volvo Car (VOLCARB SS) - Q3 Revenue (SEK) 93bln (exp. 89.65bln), Adj. EBIT 5.7bln (exp. 4.78bln); sees FY Retail Sales +7-8% (prev. guided +12-15%); expects the car industry to remain under pressure and macro headwinds are intensifying. (Newswires)

BROKER MOVES

Sandvik (SAND SS) downgraded to Sell from Neutral at UBS

US

CLOSES: SPX -0.05% at 5,851, NDX +0.11% at 20,384, DJIA -0.02% at 42,925, RUT -0.37% at 2,232

SECTORS: Industrials -1.19%, Materials -0.86%, Utilities -0.40%, Consumer Discretionary -0.27%, Health -0.16%, Financials -0.12%, Technology +0.15%, Real Estate +0.16%, Energy +0.20%, Communication Services +0.35%, Consumer Staples +0.92%.

Arm (ARM) - Is to end its architectural chip licence agreement with Qualcomm (QCOM), according to Bloomberg. (Bloomberg)

Starbucks (SBUX) - Prelim Q4 2024 (USD): Adj. EPS 0.80 (exp. 1.03), net revenue 9.1bln (exp. 9.3bln). (Newswires)

Texas Instruments Inc (TXN) - Q3 2024 (USD): EPS 1.47 (exp. 1.38), Revenue 4.15bln (exp. 4.12bln). (Newswires)

McDonald's (MCD) - CDC says the Co. is linked to a severe E.coli outbreak and 10 people have been hospitalised, while one older person has died. (Newswires)

23 Oct 2024 - 06:57- Research Sheet- Source: Newsquawk