Newsquawk Daily European Equity Opening News - 27th August 2025

ASIA

APAC stocks were mostly in the green but with trade rangebound amid recent Fed independence concerns and as participants braced for NVIDIA's earnings. ASX 200 was kept afloat amid outperformance in the mining and materials industries, although gains are capped by heavy losses in consumer staples and tech, with supermarket operator Woolworths suffering a double-digit percentage drop after it reported a 19% decline in profits. Nikkei 225 traded indecisively, swinging between gains and losses before eventually recovering on currency weakness. Hang Seng and Shanghai Comp lacked firm conviction as the focus turns to earnings releases with the big banks set to report tomorrow, while participants are also awaiting the resumption of US-China talks later in the week.

India Trade - US tariffs on most imports from India doubled to 50%, as scheduled. (Newswires)

EUROPEAN CLOSES

CLOSES: Euro Stoxx 50 +0.19% at 5,342, Dax 40 +0.00% at 24,193, FTSE 100 -0.06% at 9,096, CAC 40 +0.44% at 7,743, FTSE MIB +0.56% at 41,624, IBEX 35 +0.91% at 14,825, PSI +0.23% at 7,780, SMI +0.15% at 11,867, AEX -0.13% at 891

SECTORS: IT -0.06%, Telecoms -0.36%, Energy -0.37%, Industrials -0.51%, Utilities -0.59%, Materials -0.60%, Healthcare -0.71%, Consumer Disc -0.76%, Consumer Stpl -0.89%, Financials -1.56%

FTSE 100

Prudential (PRU LN / 2378 HK) - HY (USD) Adj. Op. PBT 1.6bln (prev. 1.54bln Y/Y), New Business Profit 1.26bln (prev. 1.12bln Y/Y). Announced USD 500mln share buyback in 2026 and USD 600mln in 2027. Guides more than 10% growth in ordinary dividend per share for each of 2025-2027. (Newswires)

Vodafone (VOD LN) - Patinex AG disclosed 3% stake in Vodafone as of Aug 21. (Newswires)

OTHER UK COMPANIES

Debenhams (DEBS LN) - The Guardian writes that the Co. may sell Pretty Little Thing and close its distribution centre in Burnley, which could lead to losses of 1,251 jobs. (Newswires)

BROKER MOVES

DAX

Porsche AG (P911 GY) / Volkswagen (VOW3 GY) - Porsche AG CEO is looking to step down from his position at the Co., to focus on his head role at Volkswagen, according to WiWo citing sources. The report adds that the search for a replacement in underway. (WiWo)

OTHER GERMAN COMPANIES

Aroundtown (AT1 GY) - H1 (EUR): EBITDA 500.6mln (prev. 502mln Y/Y), Net Rental Income 591mln (prev. 593.2mln Y/Y). Confirms targets. (Newswires) Shares +2% in pre-market trade

BROKER MOVES

Commerzbank (CBK GY) downgraded to Sell from Neutral at Goldman Sachs; says Co. is trading at a premium in comparison to the sector. Shares -1.8% in pre-market trade

Deutsche Bank (DBK GY) downgraded to Neutral from Buy at Goldman Sachs; sees profitability to continue improving but suggests current valuation is "fair". Shares -2.7% in pre-market trade.

CAC

OTHER FRENCH COMPANIES

BROKER MOVES

Veolia Environment (VIE FP) downgraded to Equal Weight from Overweight at Morgan Stanley; sees roughly 10% upside in shares, but scope of EPS upgrade is limited.

PAN EUROPE

ArcelorMittal (MT NA) - ArcelorMittal warned its Brazil expansion could be constrained by rising cheap steel imports and US tariffs. The company has a BRL 25bln investment plan through 2026, with potential for an additional BRL 10-12bln, including a new lamination facility in Espirito Santo, but projects may be delayed if imports continue to surge.

Aluminium - EU is preparing emergency measures to support the ailing aluminium industry amid recycling plants in the bloc shutting down capacity due to US producers paying more for European scrap metal, according to FT. (FT)

European Automakers - European carmakers warned the EU’s planned mid-2030s ban on combustion engines is unrealistic, citing China’s EV supply chain dominance and new US trade barriers, Bloomberg reports. Industry lobby groups urged European Commission President von der Leyen to reconsider climate rules to avoid weakening the regional auto sector and supplier network.

Stellantis (STLAM IM/STLAP FP) - Co. paid USD 190.6mln in US fuel penalties in 2025, according to a government report. (Newswires)

BROKER MOVES

UniCredit (UCG IM) resumed with Buy at Citi

SMI

Givaudan (GIVN SW) - Announces CEO and succession plans. Gilles Andrier to retire in March 2026, to be replaced by Christian Stammkoetter. Chairman Calvin Grierder to step from the Board at 2026. Unveils 2030 strategy: Targeting average like-for-like sales growth of 4-6% and an average free cash flow of over 12%. (Newswires)

OTHER SWISS COMPANIES

Kuehne+Nagel (KNIN SW) - Co. expands partnership with MTU Maintenance Lease Services. (Newswires)

BROKER MOVES

SCANDINAVIA

Novo Nordisk (NOVOB DC) - Novo Holdings announces the sale of KabaFusion. (Newswires)

BROKER MOVES

Nokian Tyres (NOKIAN FH) downgraded to Reduce from Accumulate at Inderes

US

CLOSES: SPX +0.40% at 6,465, NDX +0.43% at 23,525, DJI +0.30% at 45,418, RUT +0.81% at 2,358.

SECTORS: Industrials +1.03%, Financials +0.76%, Health +0.55%, Technology +0.53%, Consumer Discretionary +0.42%, Materials +0.41%, Utilities +0.22%, Energy -0.20%, Communication Services -0.27%, Real Estate -0.32%, Consumer Staples -0.46%.

PVH Corp. (PVH) - PVH shares rose 5.2% in extended trading after it beat in Q2, helped by celebrity tie-ups and entertainment deals, and raised its outlook. Q2 adj. EPS 2.52 (exp. 2.00), Q2 revenue USD 2.17bln (exp. 2.12bln). CEO highlighted growth at Calvin Klein and Tommy Hilfiger with stronger margins. Sees Q3 adj. EPS between 2.35-2.50 (exp. 2.94), with flat to slight revenue growth. Backs FY25 adj. EPS view between 10.75-11.00 (exp. 10.84), and FY revenue seen growing slightly to low-single digits (prev. saw flat to slightly higher).

Starlink, T-Mobile (TMUS), Echostar (SATS), AT&T (T) - Starlink and T-Mobile have expressed interest in acquiring spectrum from EchoStar, parent of DISH Network, as the company faces pressure to sell underused airwaves, Semafor reports. T-Mobile previously considered a three-way deal with AT&T to split most of EchoStar’s spectrum and exchange some of their own holdings.

UnitedHealth (UNH) - The DoJ has expanded its criminal probe into UnitedHealth to include pharmacy benefit manager Optum Rx and physician reimbursement practices, beyond Medicare fraud inquiries, Bloomberg reports. UnitedHealth said it has full confidence in its practices.

27 Aug 2025 - 06:59- Research Sheet- Source: Newsquawk