- ASMI (AVS TH) +1.6%
- Watch European Semiconductor Stocks After NVIDIA’s Strong Update
- ASML (ASME TH) +1.4%
- BE Semiconductor (BSI TH) +1.3%
- Aixtron (AIXA TH) +1.3%
- Unilever (UNVB TH) +0.9%
- Gerresheimer (GXI TH) +0.9%
- Gerresheimer to Buy Blitz Luxco Sarl for €800m Enterprise Value
- Infineon (IFX TH) +0.8%
- Rio Tinto (RIO1 TH) -1%
- Lloyds (LLD TH) -1.2%
- CTS Eventim (EVD TH) -1.9%
- CTS Eventim 1Q Revenue EU408.7M Vs. EU366.2M Y/y
- Carl Zeiss Meditec (AFX TH) -3.8%
- Goldman cuts stock to sell - APA
- National Grid (NNGF TH) -8.7%
- *NATIONAL GRID PLANS TO RAISE ABOUT £7B VIA A RIGHTS SHARE ISSUE
DAX:
- Infineon (IFX TH) +0.8%
- Nvidia Rises After Results and Outlook; Reveals Stock Split (1)
MDAX:
- Jungheinrich (JUN3 TH) +2.8%
- Jungheinrich Raised to Buy at HSBC; PT 44 euros
- Aixtron (AIXA TH) +2.2%
- SMA Solar (S92 TH) +1.7%
- Siltronic (WAF TH) +1.2%
- Hensoldt (HAG TH) -0.8%
- CTS Eventim (EVD TH) -0.9%
- CTS Eventim 1Q Revenue EU408.7M Vs. EU366.2M Y/y
- Krones (KRN TH) -1.4%
- Krones Cut to Hold at HSBC; PT 142 euros
- Carl Zeiss Meditec (AFX TH) -3.8%
- Goldman cuts stock to sell from neutral - APA
SDAX:
- Deutsche Beteiligungs AG (DBAN TH) +2.2%
- AUTO1 (AG1 TH) +1.2%
- Thyssenkrupp Nucera AG & Co KGaa (NCH2 TH) +1%
- Eckert & Ziegler (EUZ TH) -1%
>>> Up
* Hasbro Raised to Overweight at JPMorgan; PT $74
* International Paper Raised to Buy at Jefferies; PT $57
* Jungheinrich Raised to Buy at HSBC; PT 44 euros
* Mips Raised to Buy at ABG; PT 550 kronor
* Novartis PT Raised to 77 Swiss francs at Berenberg
* Nvidia Raised to Buy at Punto Casa de Bolsa; PT $1,115
* Unilever Raised to Overweight at JPMorgan; PT 5,100 pence
* Wetteri Oyj Raised to Reduce at OP Corporate Bank
>>> Down
* Dometic Cut to Sell at Nordea; PT 70 kronor
* Wetteri Oyj Raised to Reduce at OP Corporate Bank
>>> Down
* Dometic Cut to Sell at Nordea; PT 70 kronor
* Euronav Cut to Hold at KBC Securities; PT 15 euros
* Nestle Cut to Neutral at JPMorgan; PT 105 Swiss francs
* Studentbostader i Norden Cut to Sell at Arctic Securities
* Under Armour Cut to Market Perform at Oppenheimer
* Wienerberger Cut to Hold at Erste Group; PT 35.50 euros
>>> Initiation
>>> Initiation
* BNP Paribas ADRs Rated New Buy at Berenberg; PT $44.50
* Star7 S.P.A Rated New Buy at Intermonte; PT 10.10 euros
>>> Call
* Munters Gets Another Downgrade, Jefferies Sees Limited Catalysts
* Star7 S.P.A Rated New Buy at Intermonte; PT 10.10 euros
>>> Call
* Munters Gets Another Downgrade, Jefferies Sees Limited Catalysts
US equity futures rallied and Asian stocks gained after upbeat earnings from Nvidia Corp. reinforced optimism over the global artificial-intelligence boom. The giant chipmaker said second-quarter revenue will be about $28 billion, beating analysts’ estimates. The company also announced a 10-for-1 stock split and boosted its quarterly dividend by 150% to 10 cents a share. Nvidia’s results sent its shares as much as 7% higher in after-hours trading. Asian stocks were broadly higher, driven by gains in semiconductor manufacturers in South Korea, Taiwan and Japan. A Bloomberg gauge for chipmakers jumped as much as 1.9%, taking its lead from Nvidia’s results. Nvidia’s earnings “gives more room for upside for Asian semiconductor stocks,” said Rajat Agarwal, Asia strategist at Societe Generale SA in Bengaluru. “It elongates the growth story and allays any concerns of slowdown for Asian chipmakers.” Japan’s stock benchmarks led gains in Asia, while those in Taiwan and Korea also rose. Indexes dropped in Australia, China and Hong Kong. Korean equities were also boosted after central bank Governor Rhee Chang Yong said the potential for an interest-rate hike is limited at the moment. He spoke after the Bank of Korea left its key interest rate unchanged. Chinese stocks were the biggest drag on the region with technology names leading the decline. A gauge of tech shares listed in Hong Kong dropped amid a brewing price war between Alibaba Group Holding Ltd. and Tencent Holdings Ltd. over cloud services. Treasuries were little changed in the Asian session. Policy-sensitive two-year yields had climbed four basis points Wednesday after Federal Reserve minutes showed officials remained in no rush to cut rates. “Many” Fed officials expressed uncertainty over the degree to which policy is restraining the economy — but the minutes also noted policy “was seen as restrictive.” The dollar weakened against all its Group-of-10 peers, eroding some of the gains it made on Wednesday. The yen was little changed after falling to the lowest level since April in early Asian trading. The People’s Bank of China cut its yuan fixing to the weakest level since January. New Zealand’s dollar strengthened after Reserve Bank Governor Adrian Orr said the central bank doesn’t want to risk a blowout in inflation expectations. US tech earnings have been among the strongest in the first-quarter reporting season, with revisions in the sector outpacing the rest of the market. However, earnings results also suggest a broadening market, according to Solita Marcelli at UBS Global Wealth Management. South Korea unveiled a $19 billion package of incentives to bolster its chip sector, a boon to Samsung Electronics Co. and SK Hynix Inc. as they race to stay ahead in an increasingly competitive industry. Gold fell for a second day after dropping 1.7% Wednesday following the Fed minutes. West Texas Intermediate also slipped, on track for its fourth daily decline. Copper prices fell on signs of weakening demand. US After Hours NVDA +7.5% higher on earnings, 10-for-1 stock split and dividend increase; DD +4% on plans to separate into three cos; RAMP +15.6%, ZUO +8%, SNOW +3.5% higher on earnings; VFC -11% lower on earnings.
Nikkei +1.11% Hang Seng -1.69% CSI -1.14% Shanghai -1.24% Shenzen -1.64%
Eur$ 1.0824 CNH 7.2558 CNY 7.2442 JPY 156.73 GBP 1.2773 CHF 0.9148 RUB 90.3623 TRY 32.1902 WTI$ 76.94 -0.83% Gold 2,361 -0.71% BTC 69,391 -0.03% ETH 3,766 +0.46%
S&P +0.57% Nasdaq +0.89% EuroStoxx +0.26% FTSE -0.01% Dax +0.11% SMI
Macro :
- Second Human Bird Flu Infection in US Reported in Michigan
- Goldman’s CEO Solomon Says He Sees ‘Zero’ Rate Cuts This Year
- JPMorgan’s Dimon Says US Economy Could See ‘Hard Landing’: CNBC
Keep an eye on :
Keep an eye on :
- ACKB BB : Ackermans 1Q Net Cash EU471.9M Vs. Cash EU516.9M Y/y
- ADMR LN : Franklin’s Admiral Acquisition Buying Acuren for $1.85 Billion
- ADDTB SS : Addtech Committee Proposes Malin Nordesjo Elected as Chairman
- AGS BB : Ageas to Buy Stake in Taiping Pension for 1.075b Yuan (Monday)
- AMBEA SS : Ambea Holders Offer 7.6m Shares via DNB Markets, SEB
- ASML NA : Handelsblad: ASML invests 80 million euros in chip research at TU Eindhoven
- BORR NO : Borr Drilling 1Q Adjusted Ebitda Misses Estimates
- EVD GY : CTS Eventim 1Q Revenue EU408.7M Vs. EU366.2M Y/y
- CYTK US : Cytokinetics Offering of 9.8m Shares Prices at $51/Share
- DBHN GY : Deutsche Bahn Said to Gather Bids for €15 Billion Logistics Arm
- DOCM SW : DocMorris Exercises Early Redemption Option on Convertible Bonds
- EMBRACB SS : Embracer 4Q Adjusted Ebit Meets Estimates
- ENI IM : Eni Is Studying 20% Stake Sale in Biorefining Unit Enilive
- EAPI FP : Euroapi Gets €130M to €150M Animal Health Supply Contract
- GALE SW : Galenica 4 Month Sales Rise 4.8% to CHF1.26B
- GXI GY : Gerresheimer to Buy Blitz Luxco Sarl for €800m Enterprise Value
- GIMB BB : Gimv FY Net Income EU217.1M Vs. Loss EU59.5M Y/y
- GREEN BB : Greenyard FY Adjusted Ebitda From Continuing Ops Beats Estimates
- HL/ LN : Consortium Confirms Possible Offer for Hargreaves Lansdown
- IBAB BB : Ion Beam Applications: Group Backlog Remains at a High of €1.4B
- IP US : International Paper ‘Not Actively Engaged With Suzano’: Truist
- BAER SW : Julius Baer Sees Client Flows Recover After Benko Scandal
- LOGN Sw : Logitech, Garmin Sales to Buck Weak Spending on Tech Hardware
- MMB FP : Lagardère Signs MoU for Paris Match Sale at €120M Ent. Value
- MRK US : Merck KGaA to Acquire Mirus Bio for $600M
- META US : Meta's Licensing of Data Sources Reveals Search Ambition: React
- META US : Meta's Licensing of Data Sources Reveals Search Ambition: React
- SAB SM : BBVA CEO Repeats He Won’t Improve Sabadell Bid: Expansion
- SBO AV : Schoeller-Bleckmann 1Q Net Income EU15.0M
- GLE FP : SocGen CEO Says EU Banking M&A Is ‘Extraordinarily Unlikely’
- SOI FP : Soitec, Tokai Carbon to Partner on Smartsic Wafers
- TEL NO : Telenor Names Benedicte Schilbred Fasmer CEO to Replace Brekke
- TSLA US : Tesla Tells Suppliers to Make Parts Outside China, Taiwan:Nikkei
- WBD IM : Salini Offers €225M Bonds Exchangeable Into Webuild Shares
- WBD IM : Webuild Delta Placing Up to 33m Shares: Terms
- WETTERI FH :
- WIZZ LN : Wizz Air Sees 2025 Net Income EU500M to EU600M, Est. EU515M
- XXL NO : XXL Plans Subsequent Offering of Up To 85.7m Shrs at NOK0.70/Shr
After Hours Summary: NVDA +7.5% higher on earnings, 10-for-1 stock split and dividend increase; DD +4% on plans to separate into three cos; RAMP +15.6%, ZUO +8%, SNOW +3.5% higher on earnings; VFC -11% lower on earnings
After Hours Gainers:
Companies trading higher in after hours in reaction to earnings/guidance: RAMP +15.6%, ZUO +8%, NVDA +7.5% (also announces 10-for-1 stock split and dividend increase), ENS +4.5%, SNOW +3.5%, CAAP +0.2%
Companies trading higher in after hours in reaction to news: SMCI +4.5% (in sympathy with NVDA earnings), DD +4% (to separate into three separate publicly traded cos, including separations of its Electronics and Water businesses; also reaffirms Q2 and FY24 guidance; also names new CEO), NWS +3.8% (News Corp and OpenAI announce deal to bring News Corp news content to OpenAI), TSM +2.9% (in sympathy with NVDA earnings), PGNY +2.5% (authorizes new $100 mln share repurchase program), AMD +2.4% (in sympathy with NVDA earnings), HIMS +2% (Director bought 110000 shares), AVGO +1.9% (in sympathy with NVDA earnings), RPRX +1.6% (CYTK and RPRX announce expanded strategic funding collaboration), AMAT +1.2% (in sympathy with NVDA earnings), SOC +0.9% (CEO bought 100000 shares; COO bought 200000 shares), RDN +0.8% (increase share repurchase authorization to $900 mln), WNEB +0.6% (authorizes new 1 mln share repurchase program), RJF +0.1% (names new CFO, and other senior leadership appointments; also reports April operating data)
After Hours Losers:
Companies trading lower in after hours in reaction to earnings/guidance: VFC -11% (also names new CFO), PLUS -6.4%, SNPS -1.6%, ELF -0.3%, UVV -0.1% (also increases dividend)
Companies trading lower in after hours in reaction to news: CYTK -13.6% (CYTK and RPRX announce expanded strategic funding collaboration; also announces $500 mln stock offering), PLUS -6.4% (authorizes new 1.25 mln share repurchase program), GFS -6% (files $950 mln offering by selling shareholders; concurrent $200 mln repurchase), BE -5.7% ($250 mln green covertible notes offering), GVA -1.8% (wins $89 mln subcontract at airport), AMRX -1.4% (starts supplying OTC Naloxone HCI Nasal Spray to US retail pharmacies and California), WBD -0.3% (DIS and WBD strike deal to share College Football Playoff games, according to WSJ), IMMR -0.1% (renews patent license with Samsung), DIS -0.1% (DIS and WBD strike deal to share College Football Playoff games, according to WSJ)
NVIDIA conference call update: Demand for H200 and Blackwell is well-ahead of supply and expect demand may exceed supply into next year (949.50 -4.36)
- Large cloud providers continue to drive growth as they deploy and ramp NVIDIA AI infrastructure at-scale, representing the mid-40s as a percentage of Data Center revenue.
- Expect Automotive to be largest enterprise vertical within Data Center this year, driving a multi-billion revenue opportunity across on-prem and cloud consumption.
- Consumer internet companies are also a strong growth vertical.
- From a geographic perspective, Data Center revenue continues to diversify as countries around the world invest in sovereign AI. Believe sovereign AI revenue can approach the high single-digit billions this year.
- Nations are building up domestic computing capacity through various models, procuring an operating sovereign AI cloud in collaboration with state-owned telecommunication providers or utilities or sponsoring local cloud partners to provide a shared AI computing platform .
- Ramped new products designed specifically for China that do not require a support control license. Data Center revenue in China is down significantly from the level prior to the imposition of the new export control restrictions in October. Expect the market in China to remain very competitive going forward.
- Blackwell is in full production. Demand for H200 and Blackwell is well-ahead of supply and expect demand may exceed supply well into next year.
- GeForce RTX GPU market reception is strong and end demand and channel inventory remain healthy across the product range.
- Believe generative AI and Omniverse industrial digitization will drive the next wave of Professional Visualization growth.
Closing Stock Market Summary
The market exhibited mixed action again. The major indices traded in tight ranges through the morning trade before selling picked up in the afternoon. The Nasdaq Composite registered a 0.2% decline, the S&P 500 logged a 0.3% loss, and the Dow Jones Industrial Average closed 0.5% lower.
This morning's muted price action had a similar feel to other sessions this week. That is to say, a wait-and-see mindset in front of NVIDIA's (NVDA 949.50, -4.36, -0.5%) earnings after Wednesday's close kept the broader market in check.
Selling picked up, however, in response to the Minutes for the April 30-May 1 FOMC meeting. The minutes did not contain anything too surprising and largely echoed Fed commentary since the meeting. The minutes drew attention to asset valuations, which likely fueled some profit taking activity.
Downside moves were relatively modest in many stocks. Target (TGT 143.27, -12.51, -8.0%) was an exception, sliding 8.0% after disappointing earnings and outlook.
Analog Devices (ADI 240.16, +23.52, +10.9%) and First Solar (FSLR 251.75, +39.64, +18.7%) were winning standouts today. The former reported earnings and the latter traded up on a Bloomberg report that China's solar industry body wants an end to the price war.
Only three S&P 500 sectors closed with gains while three sectors declined more than 1.0%.
The 10-yr note yield settled two basis points higher at 4.43% and the 2-yr note yield rose five basis points to 4.88%. This price action was in response to the minutes, but also a hotter-than-expected April CPI report from the U.K., a weaker-than-expected Existing Home Sales report for April.
- Nasdaq Composite: +11.9% YTD
- S&P 500:+11.3% YTD
- S&P Midcap 400: +7.5% YTD
- Dow Jones Industrial Average: +5.3% YTD
- Russell 2000: +2.7% YTD
Reviewing today's economic data:
- Weekly MBA Mortgage Applications Index 1.9%; Prior 0.5%
- April Existing Home Sales 4.14 mln (consensus 4.20 mln); Prior was revised to 4.22 mln from 4.19 mln
- The key takeaway from the report is that sales activity was much stronger in the upper-end of the market (homes priced $1 million or more), with inventory up 34% year-over-year and sales up 40% year-over-year, underscoring the idea that there is pent-up demand that can be unleashed when more inventory for lower-priced homes becomes available.
- Weekly EIA Crude Oil Inventories +1.83M; prior -2.51M
Thursday's economic calendar features:
- 8:30 ET: Weekly Initial Claims (consensus 219,000; prior 222,000) and Continuing Claims (prior 1.794 mln)
- 9:45 ET: Flash May S&P Global U.S. Manufacturing PMI (prior 50.0) and flash May S&P Global U.S. Services PMI (prior 51.3)
- 10:00 ET: April New Home Sales (consensus 680,000; prior 693,000)
- 10:30 ET: Weekly natural gas inventories (prior +70 bcf)