Newsquawk Daily European Equity Opening News - 7th August 2025

ASIA

APAC stocks traded mixed as reciprocal tariffs took effect overnight and following the latest tariff threat from US President Trump who plans to impose 'approximately 100%' tariffs on chips and semiconductors unless manufacturers build in the US. ASX 200 pulled back from record highs despite the surprise growth of imports from Australia's largest trading partner. Nikkei 225 pared initial losses and briefly reclaimed 41,000 amid a busy slate of earnings and as markets shrugged off comments from a US official that the US will not exempt Japan from stacking 15% tariffs on top of existing levies. Hang Seng and Shanghai Comp ultimately kept afloat after the latest Chinese trade data which showed stronger-than-expected exports and surprise growth in the nation's imports.

Toyota (7203 JT) - Q1 (JPY): Net 841bln (prev. 1.33tln Y/Y). Revenue 12.25tln (prev. 11.8tln). Sees FY Operating Income at 3.20tln (prev. saw 3.80tln)

Samsung Electronics (005930 KS) - Co. to produce the digital image sensors for Apple (AAPL), via FT; sources cited say Samsung will create a three-layer stacked image sensor for the iPhone 18

US-Japan Trade - US is to add 15% tariff on all Japanese imports in which US will not apply exceptions to Japan for products that already have tariffs exceeding 15%, according to a White House official cited by Asahi. (Asahi)

EUROPEAN CLOSES

CLOSES: Euro Stoxx 50 +0.22% at 5,261, Dax 40 +0.25% at 23,905, FTSE 100 +0.24% at 9,164, CAC 40 +0.18% at 7,635, FTSE MIB +0.65% at 41,010, IBEX 35 +0.82% at 14,526, PSI +0.40% at 7,741, SMI -0.86% at 11,745, AEX -0.35% at 884

SECTORS: Energy 1.42%, Financials 1.14%, Utilities 0.33%, Telecoms 0.09%, Industrials -0.02%, Consumer Disc -0.09%, Consumer Stpl -0.16%, Materials -0.17%, IT -0.32%, Healthcare -2.79%

FTSE 100

FTSE 100 Ex-dividend - Ashtead (AHT LN), AstraZeneca (AZN LN), Barclays (BARC LN), BT (BT/A LN), Informa (INF LN), NatWest (NWG LN), Reckitt (RKT LN), RELX (REL LN), Rolls-Royce (RR/ LN), SEGRO (SGRO LN), Standard Chartered (STAN LN), St James' Place (STJ LN). (DividendData)

Rio Tinto (RIO LN) - Co. approves USD 180mln Norman Creek project, securing long-term future for Amrun bauxite operations on Queensland's Cape York Peninsula, with the first production from Norman Creek targeted for 2027. (Newswires)

OTHER UK COMPANIES

BROKER MOVES

BP (BP/ LN) upgraded to Buy from Hold at Berenberg

DAX

Allianz (ALV GY) - Q2 (EUR): Op. Profit 4.41bln (exp. 4.28bln). Affirms guidance. Completed EUR 1bln ongoing buyback in H1'25. (Newswires) Weightings: 1.17% in the Stoxx 600, 7.97% in the DAX 40 & 18.53% in the Europe 600 Insurance sector.

Deutsche Telekom (DTE GY) - Q2 2025 (EUR) Revenue 28.7bln (exp. 28.7bln), Adj. EBITDAaL 11bln (prev. 10.82bln Y/Y). Guidance: FY Adj. EBITDAAL >45bln (prev. guided 45.5bln), sees FCF >20bln (prev. guided approx. 20bln). (Newswires) Weightings: 0.98% in the Stoxx 600, 6.66% in the DAX 40 and 27.15% in the Europe 600 Telecommunications sector

Henkel (HEN3 GY) - H1 (EUR): Sales 10.4bln (exp. 5.26bln, prev. 10.8bln Y/Y), EBIT 1.54bln (exp. 1.57bn, prev. 1.47bln Y/Y). Outlook: Adj. RoS 14.5-15.5% (prev. guided 14-15%). Cuts rev. outlook citing challenging macro environment; sees rev. organic growth 1-2% Y/Y (prev. guided +1.5-3.5% Y/Y). (Newswires)

Merck (MRK GY) - Q2 (EUR): Net Revenue 5.25bln (prev. 5.35bln Y/Y). Cuts FY25 Revenue 20.5-21.7bln (prev. guided 20.9-22.4bln), Narrows EBITDA range 5.9-6.4bln (prev. guided 6.8-6.4bln). (Newswires)

Rheinmetall (RHM GY) - H1 2025 (EUR): Revenue 4.7bln (exp. 4.89bln), EPS 3.79 (exp. 3.75); confirms guidance. "Due to the political situation following the elections in spring 2025, the awarding of contracts in Germany will not begin until well into the second half of the year". (Newswires) Weightings: 0.7% in the Stoxx 600; 4.7% in the DAX 40; 4.60% in STOXX 600 Industrials sector. Shares -2% in pre-market trade

Siemens (SIE GY) - Q3 2025 (EUR): Revenue 19.4bln (exp. 19.32bln), Net Income 2.05bln (exp. 1.97bln, prev. 2.13bln Y/Y), Industrial Profit 2.82bln (co. consensus 2.82bln), Comparable Revenue Growth +5% (exp. +3.85%); affirms guidance. Currency translation effects reduced order growth by 4 percentage points and revenue growth by 3 percentage points. CEO: Order growth was driven by large orders at Mobility. Digitalisation and sustainability continue to be growth drivers. Siemens CEO says the company delivered robust results despite a volatile global market. (Newswires) Weightings: Largest in the STOXX 600 Industrial Sector with a 9.27% weighting; 2.92% in the Euro Stoxx 50; 9.55% in the DAX 40; 1.40% in the STOXX 600.

OTHER GERMAN COMPANIES

1&1 (1U1 GY) - H1 (EUR): EBITDA 283.9mln, +13.1% Y/Y. Confirms 2025 guidance. (Newswires)

Carl Zeiss (AFX GY) - 9M (EUR): Revenue 1.6bln, Order Intake +23.3 Y/Y. Says EBITA and EBITA Margin are exp. to be stable or slightly higher in 2024/25 FY. Says 15% EU-US tariff will have a negative impact on earnings. (Newswires)

GEA (G1A GY) - Q2 (EUR): Revenue 1.31bln, -0.9% Y/Y. Raises 2025 guidance: EBITDA Margin before restructuring expenses of 16.2-16.4%. (Newswires)

Freenet (FNTN GY) - H1 (EUR): FCF 159mln (prev. 151.2mln Y/Y). Confirms guidance. (Newswires)

Leg Immobilien (LEG GY) - H1 (EUR): Adj. EBITDA 360mln (exp. 350mln). Outlook: AFFO Guidance Adj. to upper half of prev. target range of EUR 215-225mln. (Newswires)

BROKER MOVES

Fraport (FRA GY) upgraded to Hold from Underperform at Jefferies

CAC

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

Geopols / Energy Names - US President Trump tells European leaders he intends to meet with Russia's President Putin and Ukraine's President Zelensky; intends to meet in person with Putin as soon as next week, NYT reports. (NYT)

KBC (KBC BB) - Q2 (EUR): Net Income 1.02bln (exp. 925mln). (Newswires)

Semiconductor Names - US President Trump says we're going to be putting a very large tariff on chips and semiconductors, adds we're going to be putting a tariff of approximately 100% on chips and semiconductors but if you're building in US, there will be no charge. (Newswires)

BROKER MOVES

BBVA (BBVA SM) upgraded to Overweight from Equal Weight at Barclays

SMI

Zurich Insurance (ZURN SW) - H1 (USD): Net Income 3.07bln (prev. 2.20bln Y/Y), Business Op. Profit 4.23bln (prev. 4bln Y/Y), P&C Combined Ratio 92.4% (prev. 91.9% Y/Y). (Newswires)

OTHER SWISS COMPANIES

Galencia (GALE SW) - H1 (CHF): EBIT 109mln (exp. 109mln), Revenue 1.99bln (exp. 1.99bln). (Newswires)

Sandoz (SDZ SW) - H1 (USD): Revenue 5.24bln (prev. 5.05bln Y/Y). Affirms guidance. (Newswires)

BROKER MOVES

SCANDINAVIA

Sampo (STERV FH) upgraded to Equal Weight from Underweight at Barclays

BROKER MOVES

US

CLOSES: SPX +0.73% at, 6,345 NDX +1.29% at 23,315, DJI +0.19% at 44,194, RUT -0.20% at 2,221

SECTORS: Health -1.52%, Energy -0.91%, Utilities -0.90%, Real Estate -0.81%, Materials -0.79%, Industrials +0.06%, Financials +0.48%, Communication Services +0.72%, Technology +1.34%, Consumer Staples +1.74%, Consumer Discretionary +2.50%.

Airbnb (ABNB) - Shares fell 6.5% in extended trading after it warned on slowing growth later this year. Q2 EPS 1.03 (exp. 0.92), Q2 revenue USD 3.10bln (exp. 3.03bln); Q2 Gross booking value USD 23.5bln (exp. 22.71bln). Announces a USD 6bln share buyback. CEO says to move more aggressively into hotels. Sees Q3 rev. between USD 4.02bln-4.10bln (exp. 4.05bln). It forecast Q3 nights and seats booked growth to remain near Q2’s 7.4% (exp. 7%), citing strong summer demand, however, it warned overall growth may slow later in 2025 due to tough comps.

Apple (AAPL) - Apple pledges an additional USD 100 billion investment in the US, raising its total commitment to USD 600 billion over four years, focusing on supply chain and advanced manufacturing expansion. Reuters said the move may help avoid potential iPhone tariffs. Final assembly of iPhones will remain overseas for now. CNBC notes that the investment includes including USD 2.5bln for iPhone glass maker Corning (GLW); other partners include Coherent (COHR), GlobalWafers, Applied Materials (AMAT), Texas Instruments (TXI), Samsung (SSNLF), GlobalFoundries (GFS), Amkor (AMKR) and Broadcom (AVGO). Apple said the effort will support 19bln chips annually from US supply. Apple shares rose 2.5% in extended trading following the announcement.

DraftKings (DKNG) - Q2 adj. EPS 0.38 (exp. 0.41), Q2 revenue USD 1.513bln (exp. 1.43bln). CEO highlighted record revenue, net income, and adj. EBITDA with 37% Y/Y revenue growth. Reaffirms FY25 revenue between USD 6.2-6.4bln (exp. 6.31bln), and adj. EBITDA between USD 800-900mln.

Occidental Petroleum (OXY) - Q2 adj. EPS 0.39 (exp. 0.29), Q2 total revenue and other income USD 6.46bln (exp. 6.28bln). Total average global product was 1.4k BOEPD. Announced further progress on asset sales and debt reduction; long-term debt reduction was 23.34bln at June-end. Is reducing the mid-point of its 2025 capital guidance by USD 100mln and international operating costs by USD 50mln; expects 580mln debt reduction from midland basin divestiture. FY25 oil & gas Permian production in MBOED of 768-784; sees Q3 oil & gas Permian production between 1.415-1.455k MBOED. FY capex 7.1-7.3bln.

07 Aug 2025 - 06:57- Research Sheet- Source: Newsquawk