Newsquawk Daily European Equity Opening News - 6th March 2024

6th March 2024

ASIA

APAC stocks were mostly choppy with early pressure following the tech-led declines stateside where Apple shares entered into a technical correction following a slump in China iPhone sales. ASX 200 traded rangebound as financials offset the losses in tech, while GDP data was somewhat inconclusive. Nikkei 225 gapped beneath the 40,000 level at the open before recovering the majority of losses. Hang Seng and Shanghai Comp. shrugged off early caution with outperformance in Hong Kong driven by tech and healthcare, while price action in the mainland was more reserved amid US-China frictions and some growth-related pessimism.

Japanese Stocks - BoJ is likely to maintain its forecast that the economy will continue to recover and is expected to revise down the assessment on consumption and output at the March meeting, according to Reuters sources. (Newswires)

Toyota (7203 JT) - Co. does not make a wage offer following a third scheduled meeting with the union on spring wage negotiations, but will make an offer at the next meeting with the union on March 13th. (Newswires)

EUROPEAN CLOSES

CLOSES: DAX: -0.03% at 17,693.45, FTSE 100: +0.08% at 7,646.16, CAC 40: -0.30% at 7,932.82, Euro Stoxx 50: -0.43% at 4,891.75, IBEX 35: +0.47% at 10,117.10, FTSE MIB: +0.71% at 33,146.16, SMI: -0.11% at 11,465.60.

SECTORS: Utilities 1.87%, Telecoms 0.48%, Financials 0.32%, Energy 0.02%, Consumer Stpl -0.11%, Healthcare -0.45%, Industrials -0.47%, Consumer Disc -0.55%, Materials -0.64%, IT -1.52%

FTSE 100

GSK (GSK LN) - VRBPAC votes unanimously to recommend inclusion of B/Phuket/3073/2013 like virus as 2nd influenza B strain in vaccine. Unanimous vote to recommend a trivalent 2024-2025 formulation for cell and recombinant-based influenza vaccines in the US. To recommend a trivalent formulation for egg-based influenza virus vaccines in the US. US demand and coverage rates for the influenza vaccine have steadily declined over the last 3 years. Notes several challenges to be mindful of and plans to transition for QIV. FDA reviews WHO recommendations for 2024-2025 Northern Hemisphere influenza seasons and recommendations for 2024 Southern Hemisphere influenza seasons. (Newswires)

Smiths (SMIN LN) - Unit Smiths Medical ASD Inc. recalls the medfusion model 3500 syringe pump due to issues associated with earlier software versions recalled product. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

Antofagasta (ANTO LN) downgraded to Underweight from Equal Weigh at Barclays

Spirent Communications (SPT LN) downgraded to Hold from Speculative Buy at Canaccord Genuity

Tui (TUI LN) upgraded to Overweight from Equal Weight at Morgan Stanley

DAX

Bayer (BAYN GY) - A jury in Philadelphia ruled in favour of Bayer in the Kline Roundup product liability trial, according to Reuters. The case involved a man who alleged he developed lymphoma from using the Co's Roundup weedkiller. (Reuters)

Deutsche Post (DHL GY) - FY23 (EUR): Net 3.68bln (exp. 3.82bln, prev. 5.36bln Y/Y), EBIT 6.35bln (exp. 6.39bln-6.40bln), Revenue 81.8bln (exp. 82.7bln, exp. 82bln). Does not see a broad economic upturn in H1'24. Sees further declining volumes in some markets and extends share buyback. The current EUR 3bln 2022-2024 share buyback program increased to EUR 4bln and extends to 2025. Guides initial FY24 EBIT 6-6.6bln (exp. 6.6bln). Co. said the industry has been facing the longest period of volume decline since at least the GFC in 2008-09; adds that there is no meaningful re-acceleration in B2B volumes yet, via post-earnings slides (Newswires)

Evotec (EVT GY) - Co. and Claris Ventures streamline access to accelerate programmes from Claris's portfolio companies into the clinic. (Newswires)

RWE (RWE GY) - 18k employees are to get 8.8% pay increases from March 1st, via DPA. (DPA)

OTHER GERMAN COMPANIES

Symrise (SY1 GY) - FY (EUR): Revenue 4.7bln (exp. 4.7bln), Net 340mln (exp. 359mln). (Newswires)

BROKER MOVES

CAC

OTHER FRENCH COMPANIES

Scor (SCR FP) - FY (EUR): Net 812mln (exp. 825mln), dividend 1.80/shr (exp. 1.77/shr). Q4: Net 162mln (exp. 125mln), GWP 4.93bln (prev. 4.91bln). (Newswires)

BROKER MOVES

Legrand (LR FP) upgraded to Buy from Hold at Berenberg

PAN EUROPE

D'Ieteren (DIE BB) - FY23 (EUR): Adj. Net 971mln (prev. 758mln Y/Y), Revenue 7.98bln (exp. 7.84bln). Guides initial FY24 adj. pretax growth to mid to high single digits Y/Y. (Newswires)

Elia (ELI BB) - FY23 (EUR): Adj. Net 411mln (exp. 406mln), Revenue 3.95bln (exp. 4.16bln). Affirms FY24 guidance. (Newswires)

BROKER MOVES

SMI

UBS (USBG SW) - CEO said European regulators and governments have prevented banks from expanding within the region, highlighting the different approach in the US. (FT)

OTHER SWISS COMPANIES

SoftwareOne (SWON SW) - Board announces that an EGM will be held on 18th April, agenda will be published on 19th March. (Newswires)

BROKER MOVES

SCANDINAVIA

Bavarian Nordic (BAVA DC) – FY23 (DKK): EBITDA 2.62bln (prev. guided 2.62bln), Revenue 7.06blnn (prev. guided 7.06bln). Affirms FY24 guidance. (Newswires)

Clas Ohlson (CLASB SS) - Q3 (SEK): Net 321mln (exp. 12mln, prev. 158mln Y/Y), Op. 422mln (prev. 215mln Y/Y), Revenue 3.41bln (exp. 2.079bln, prev. 2.95bln Y/Y). (Newswires)

Norsk Hydro (NHY NO) - Names Trond Olaf Christopherson as CFO. (Newswires)

BROKER MOVES

Neste (NESTE FH) initiated with Buy at Stifel Nicolaus

US

CLOSES: SPX -1.02% at 5,078, NDX -1.80% at 17,897, DJIA -1.04% at 38,585, RUT -0.99% at 2,053.

SECTORS: Technology -2.19%, Consumer Discretionary -1.31%, Real Estate -1.24%, Industrials -0.83%, Health -0.8%, Communication Services -0.77%, Materials -0.53%, Utilities -0.26%, Financials +0.13%, Consumer Staples +0.34%, Energy +0.75%.

Citi (C) - CEO says expects Q1 results to be slightly better than expected; expects investment banking revenue to grow by a low-teens percentage in Q1 - RBC conference. January was active in FICC and equities had a good run. Sticking to FY expense guidance. Expects market revenue to decline 8-12% in Q1 2024 Y/Y after a strong Q1 in 2023. (Newswires)

CrowdStrike Inc (CRWD) - Q4 2024 (USD): Adj. EPS 0.95 (exp. 0.82), Revenue 845mln (exp. 839mln). Q1 revenue view 902.2-905.8mln (exp. 898mln). Q1 adj. EPS view 0.89-0.90 (exp. 0.83). FY25 adj. EPS view 3.92-3.99bln (exp. 3.93bln). FY25 adj. EPS view 3.77-3.97 (exp. 3.75). (Newswires) Shares rose 23.8% after-market.

06 Mar 2024 - 06:49- EquitiesResearch Sheet- Source: Newsquawk