Paris stock exchange: Microsoft shines, the costume of Europe
Let’s start with the infinitely large part of our costed tour of the day. The dynamics of the quarterly results of listed companies continue to fuel the rebound in indices, with, it must be said, particularly solid accounts, in particular from the heads of sectorial gondola. As such, Microsoft and Alphabet demonstrated last night to be able to navigate between shortages, energy costs or the coronavirus without flinching or almost. To the point that we’ll probably have to redefine what a defensive stock market company really is.
Because on closer inspection, a company like Microsoft offers an almost incomparable level of guarantees, while being stamped “technological”, that is to say a little the best of both worlds. In addition and almost miraculously, it often escapes the label of damaging monopoly including Google, Amazon and Facebook, while Windows and its new frontiers like Office 365 or Azzure are ubiquitous in business and at home. This study is undoubtedly due to the seniority of the company and to an exploitation of user data less linked to advertising than the other members of the GAFAM club. Microsoft is also a hallucinating financial strike force, which allows the company to stay in its place, either by rejecting its offer or by discouraging competition. Over the last quarter, the net profit by American standards reached 20.5 billion dollars, which corresponds to 223 million dollars per day between the beginning of July and the end of September. Vertiginous.
Let’s completely change the register but stay on the ciphers. The Carbon Project Disclosure organization this morning published a study carried out on about a third of investment funds in the world, which shows that 0.5% of assets under management in a panel of 16,500 funds managing $ 27,000 billion are aligned with the objectives of the Paris Agreement on global warming. A drop of water therefore, which once again raises the question of greenwashing and the great farce of the majority of financial products presented as “green”. “We must close the gap between dream and reality“, underlined the boss of the organization. Companies must also play the game beyond their publications in recycled glossy paper: only 10% are currently in working order to try to achieve the objective of a warming limited to 1.5 ° C compared to the pre-industrial era.
Numbers, there will be many more today from large listed companies, including Coca-Cola, McDonald’s, GlaxoSmithKline, The Boeing Company or Schneider and Iberdrola in Europe. On the “macro” level, it is orders for durable goods in the United States that are of interest to investors today. They make it possible to measure the duration of the country’s industrial production, since they relate to long-lived products. Tomorrow, the European Central Bank will be the center of attention.
European leading indicators are slightly bearish at the opening, after the gains of the day before. In Asia, index responses also prevail, except in Sydney where a slight increase persists. Chinese markets are clearly still recovering and are unable to embrace the dynamics of American results. It must be said that Beijing is not making much effort to reverse the gloomy trend that has gripped the world’s second-largest economy in recent weeks.
The economic highlights of the day
Durable goods orders in the United States in September (2:30 p.m. is the high point of the day at the economic level.
The euro is making a timid foray just above $ 1.16. Gold is down to $ 1,788 an ounce, while oil remains stable at recent levels at $ 86 Brent and $ 84.10 WTI. The T-Bond is showing a return of 1.62% over 10 years, while its German counterpart is at -012%. Bitcoin is fluctuating in the $ 60,000- $ 61,000 area this morning.
The main changes in recommendations
- Azelis: Goldman Sachs starts neutral tracking targeting EUR 30.
- BioMérieux: Jefferies remains to be retained with a price target raised from 105 to 113 EUR.
- Finnair: Inderes switches from lightening to sell by targeting 0.60 EUR.
- FirstGroup: HSBC switches from keep to buy, aiming for 100 GBp.
- Idorsia: JP Morgan reduces its target price from CHF 29 to CHF 21.
- Logitech: Goldman Sachs reduces its price target from 118 to 102 CHF.
- M6 Métropole Télévision: Societe Generale switches from keeping to buying, targeting EUR 20.30.
- Schindler: Research Partners reduces its target price from CHF 290 to CHF 270.
- Schneider Electric: Ebitda 2021 target confirmed despite supply chain tensions.
- Securitas: HSBC switches from keep to buy targeting 173 SEK.
- Symrise: AlphaValue remains to be accumulated with a target price reduced from 132.25 to 128 EUR.
- Ubisoft: Morgan Stanley remains overweight with a target reduced from 80 to 70 EUR.
In France
Results publications:
- Bic: quarterly sensitive to expectations.
- Bureau Veritas: 2021 outlook confirmed after Q3
- M6 Métropole Télévision: advertising activity has returned to its 2019 level.
- Seb: the turnover target has been raised.
- Sodexo: growth will pick up again for the group, which is resuming the payment of a dividend.
Important (and less important) announcements
- Stellantis is investing 152 M € in Rennes in a new electric SUV.
- Airbus, Air Liquide and ispace Europe are launching EURO2MOON, a European non-profit platform to prepare for the use of lunar resources.
- Worldline wants to separate from its payment terminals. The group is targeting 9 to 11% growth in 2022/2024.
- Electricité de France and AME finalize the financing of the largest solar park in Chile.
- Ipsos offers himself Karian and Box.
- Ipsen adopts a climate roadmap.
- Valneva provides an update on its current cases in an update to its registration document.
- Groupe Gorgé distributes most of its Prodways shares to its shareholders.
- Getlink issues bonds to complete its 2025 “green” placement.
- Hydrogen fueling solutions available from AEI.
- Enertime submits an ORC project to ADEME.
- Sensorion exceeds the recruitment target for SENS-401 for sudden sensorineural hearing loss, results available in January 2022.
- Waga Energy was successful in its IPO in Paris, at 23.54 EUR per share.
- Nexity, Scor, SMCP, Elis, SQLI, Compagnie Plastic Omnium, Mare Nostrum, Ucar, Adocia, Olympique Lyonnais, Omer-Decugis, SergeFerrari, Adomos, have published their accounts.
In the world
Results publications:
- Alphabet: the quarterly turnover is better than expected and the results reach a record, but the reception is not exceptional (-0.9% outside the session).
- ASM International: Quarterly sales are slightly above expectations, while strong growth is expected at the end of the year.
- BASF: the chemist raises his research after a good quarter.
- Deutsche Bank: as for other banking players, quarterly is better than expected.
- Microsoft: Quarterly results are better than expected. The title gains 2% at the close.
- Robinhood: the stock loses 8.5% post-session after the publication of Q3 results.
- Texas Instruments: the quarterly disappointing, the title loses 3.6% outside the session.
- Twitter: the action resumes 4% outside the session after well-received results.
- Visa: the quarterly are rather good, but the reception is warm, with a title which loses 2.7% outside the meeting.
Important announcements (and others)
- EQT is said to have its sights set on Temenos, according to Bloomberg.
- EDP Renovaveis is negotiating the acquisition of Sunseap, Reuters informed.
- Eni is studying a possible IPO of its subsidiary Var Energi.
- Pfizer and BioNTech obtain approval from an FDA panel for the COVID-19 vaccine in children from 5 years of age.
- Bossard is raising its medium-term objectives.
- Main results publications : Thermo Fisher, Coca-Cola, McDonald’s, Bristol-Myers Squibb, GlaxoSmithKline, The Boeing Company, Equinor, Schneider, Iberdrola, BASF …
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