>>> Renault - Good Timing Mr Macron...will cost 250mil to French State...

>>> Renault - Good Timing Mr Macron...will cost 250mil to French State...

French State bought 5% stake in Renault in April around the 90's levels....on the 30/7 he said to Le Monde, he was planing to sell this stake {NSN NSAYLO6JIJUX<Go>}, placement didn't come yet....stock is trading 25% lower...stock started to trade after this interview...better to sell first and talk after...

5% is worth 1bil...easy calculation....

>>> Delphi, Faurecia, Valeo Exposed to Diesel Car Market (BBG)

Following are analyst comments relating to automotive suppliers and their exposure to diesel car market.

Goldman Sachs
  • Est. Faurecia VW sales make up 25% of total; diesel products 8% of total
  • Continental VW sales 15% of total; diesel 3%
  • Valeo est. VW sales 20% of total; diesel 3%
  • More stringent testing engine emissions testing may be boost to Continental and Valeo (both buy rated)
BARCLAYS
  • Near-term supplier sector has been hit by VW fallout
  • Longer-term, powertrain suppliers including Continental, Valeo and Johnson Controls (all outperform rated) may benefit
  • A faster shift away from diesel would hit Faurecia, Tenneco (both equal weight)
  • Suppliers’ sales exposure to VW: Faurecia 25%; Borg Warner 17%, Magna 11%, Harman International 11%, Gentex 10%, Delphi 10%, Tenneco 8%, GKN 7%
HSBC
  • Expect stricter emissions testing in wake of VW case
  • Some suppliers may benefit as automakers will have to buy more emissions reduction tools
  • Tools such as selective catalytic reduction (SCR) may become mandatory
  • NOTE: Delphi and Robert Bosch are among suppliers of SCR