Market Update
U.S. Movers: CoStar, PayPal, S&P Global, Starbucks, Visa
Scott Peters
30 Apr, 2025
New York City
Visa Inc. gained 0.6% to $343.50 after the digital payment company reported second-quarter 2025 results.
Net revenue climbed to $9.59 billion from $8.77 billion, net income dropped to $4.58 billion from $4.66 billion, and diluted earnings per share rose to $2.32 from $2.29 a year ago.
Total cross-border volume surged 13% in the quarter, as payments volume increased 8% and the number of processed transactions jumped 9%.
The total number of cards jumped 7%, of which credit cards were up 5% and debit cards up 8%.
The company returned $5.6 billion in dividends and share repurchases and authorized a new $30.0 billion multi-year share repurchase program.
Visa guided third-quarter revenue to grow at a low double-digit percent, compared to $8.9 billion in 2024, and diluted earnings per share to increase at high teens, compared to $2.40 a year earlier.
The company estimated operating expenses to increase by a low double-digit percent in the third quarter, compared to $3.0 billion a year ago.
For the full year, the company said revenue is expected to grow at a low double-digit percent, compared to $35.9 billion in 2024, and diluted earnings per share to increase by low teens, compared to GAAP diluted earnings per share of $9.73 a year earlier.
Operating expense for the full year is expected to grow at a high single-digit to low double-digit percent, compared to $12.33 billion a year ago.
S&P Global Inc. traded flat at $491.76 after the financial information and analytics company reported first-quarter 2025 results.
Revenue edged up 8% to $3.78 billion from $3.49 billion, net income jumped 10% to $1.09 billion from $991 million, and diluted earnings per share climbed 12% to $3.54 from $3.16 a year ago.
Separately, the company announced its plan to separate its Mobility division into a standalone public company in a deal to be completed within 12 to 18 months.
The data analytics company guided fiscal 2025 revenue to grow between 4% and 6%, compared to $14.21 billion in 2024, and diluted earnings per share to increase between $14.60 and $15.10, compared to $12.35 a year earlier.
The operating profit margin is expected to be between 42.5% and 43.5%, compared to 39.3% in 2024.
Starbucks Corp. dropped 6.5% to $79.33 after the coffee chain retailer reported second-quarter 2025 results.
Revenue jumped 2.3% to $8.76 billion from $8.56 billion, net earnings slumped 50.3% to $384.2 million from $772.4 million, and diluted earnings per share fell 50% to 34 cents from 68 cents a year ago.
Sales in North America increased 1.5%, while international sales jumped 6.2% in the quarter.
Global comparable sales declined 1%, driven by a 2% decline in comparable transactions, partially offset by a 1% increase in average ticket.
North America comparable store sales dropped 1%, while international comparable store sales increased 2%, and comparable sales in China were flat.
The company opened 213 net new stores in the second quarter, ending the period with 40,789 stores, of which 53% are company-operated and 47% are licensed.
The U.S. and China comprised 61% of the company’s global portfolio, with 17,122 and 7,758 stores in the U.S. and China, respectively.
CoStar Group Inc. eased 0.6% to $82.24 after the technology provider to the property markets reported first-quarter 2025 results.
Revenue jumped to $732 million from $656 million, net income swung to a loss of $14.8 million from a profit of $6.7 million, and diluted earnings per share swung to a loss of 4 cents from a profit of 2 cents a year ago.
The company guided fiscal 2025 revenue to be between $3.11 billion and $3.15 billion, compared to $2.74 billion in 2024.
Second-quarter revenue is expected to range between $770 million and $775 million, compared to $678 million a year earlier.
PayPal Holdings Inc. eased 0.3% to $66.15 after the online payment platform operator reported first-quarter 2025 results.
Revenue jumped to $7.79 billion from $7.70 billion, net income surged to $1.29 billion from $888 million, and diluted earnings per share rose to $1.29 from 83 cents a year ago.
“This is our fifth consecutive quarter of profitable growth with progress across branded checkout, PSP, omnichannel, and Venmo,” the company said in a release to investors.
U.S. Movers: CoStar, PayPal, S&P Global, Starbucks, Visa
Scott Peters
30 Apr, 2025
New York City
Visa Inc. gained 0.6% to $343.50 after the digital payment company reported second-quarter 2025 results.
Net revenue climbed to $9.59 billion from $8.77 billion, net income dropped to $4.58 billion from $4.66 billion, and diluted earnings per share rose to $2.32 from $2.29 a year ago.
Total cross-border volume surged 13% in the quarter, as payments volume increased 8% and the number of processed transactions jumped 9%.
The total number of cards jumped 7%, of which credit cards were up 5% and debit cards up 8%.
The company returned $5.6 billion in dividends and share repurchases and authorized a new $30.0 billion multi-year share repurchase program.
Visa guided third-quarter revenue to grow at a low double-digit percent, compared to $8.9 billion in 2024, and diluted earnings per share to increase at high teens, compared to $2.40 a year earlier.
The company estimated operating expenses to increase by a low double-digit percent in the third quarter, compared to $3.0 billion a year ago.
For the full year, the company said revenue is expected to grow at a low double-digit percent, compared to $35.9 billion in 2024, and diluted earnings per share to increase by low teens, compared to GAAP diluted earnings per share of $9.73 a year earlier.
Operating expense for the full year is expected to grow at a high single-digit to low double-digit percent, compared to $12.33 billion a year ago.
S&P Global Inc. traded flat at $491.76 after the financial information and analytics company reported first-quarter 2025 results.
Revenue edged up 8% to $3.78 billion from $3.49 billion, net income jumped 10% to $1.09 billion from $991 million, and diluted earnings per share climbed 12% to $3.54 from $3.16 a year ago.
Separately, the company announced its plan to separate its Mobility division into a standalone public company in a deal to be completed within 12 to 18 months.
The data analytics company guided fiscal 2025 revenue to grow between 4% and 6%, compared to $14.21 billion in 2024, and diluted earnings per share to increase between $14.60 and $15.10, compared to $12.35 a year earlier.
The operating profit margin is expected to be between 42.5% and 43.5%, compared to 39.3% in 2024.
Starbucks Corp. dropped 6.5% to $79.33 after the coffee chain retailer reported second-quarter 2025 results.
Revenue jumped 2.3% to $8.76 billion from $8.56 billion, net earnings slumped 50.3% to $384.2 million from $772.4 million, and diluted earnings per share fell 50% to 34 cents from 68 cents a year ago.
Sales in North America increased 1.5%, while international sales jumped 6.2% in the quarter.
Global comparable sales declined 1%, driven by a 2% decline in comparable transactions, partially offset by a 1% increase in average ticket.
North America comparable store sales dropped 1%, while international comparable store sales increased 2%, and comparable sales in China were flat.
The company opened 213 net new stores in the second quarter, ending the period with 40,789 stores, of which 53% are company-operated and 47% are licensed.
The U.S. and China comprised 61% of the company’s global portfolio, with 17,122 and 7,758 stores in the U.S. and China, respectively.
CoStar Group Inc. eased 0.6% to $82.24 after the technology provider to the property markets reported first-quarter 2025 results.
Revenue jumped to $732 million from $656 million, net income swung to a loss of $14.8 million from a profit of $6.7 million, and diluted earnings per share swung to a loss of 4 cents from a profit of 2 cents a year ago.
The company guided fiscal 2025 revenue to be between $3.11 billion and $3.15 billion, compared to $2.74 billion in 2024.
Second-quarter revenue is expected to range between $770 million and $775 million, compared to $678 million a year earlier.
PayPal Holdings Inc. eased 0.3% to $66.15 after the online payment platform operator reported first-quarter 2025 results.
Revenue jumped to $7.79 billion from $7.70 billion, net income surged to $1.29 billion from $888 million, and diluted earnings per share rose to $1.29 from 83 cents a year ago.
“This is our fifth consecutive quarter of profitable growth with progress across branded checkout, PSP, omnichannel, and Venmo,” the company said in a release to investors.
Europe Movers: Adyen, Atlas Copco, DHL, Kone, UBS
Inga Muller
30 Apr, 2025
Frankfurt
UBS Group AG traded flat at CHF 24.97 after the Swiss bank and wealth management company's first quarter results surpassed market expectations, driven by sharp gains in its investment banking unit.
Revenue slipped to $12.56 billion from $12.74 billion, net profit edged down to $1.69 billion from $1.75 billion, and diluted earnings per share inched down to 51 cents from 52 cents a year ago.
Net interest income was $1.63 billion, a decline of 16% from a year ago and 11% from the previous quarter, and the Swiss banking company a further fall in the current quarter.
“In the second quarter we expect net interest income (NII) in Global Wealth Management to decline sequentially by a low single-digit percentage, and we see a similar decline in Personal & Corporate Banking’s NII in Swiss francs.
In US dollar terms, Personal & Corporate Banking’s NII is expected to increase sequentially by a mid-single-digit percentage, based on current foreign exchange rates,” said the company in its update to investors.
Kone Oyj gained 0.5% to €50.80 after the elevator and escalator manufacturer reported first-quarter 2025 results.
Sales increased to €2.67 billion from €2.57 billion, net income climbed to €212.6 million from €203.0 million, and diluted earnings per share rose to 41 cents from 39 cents a year ago.
The company registered a 6.4% increase in orders received, to €2.38 billion, compared to €2.23 billion a year earlier.
Cash flow from operations, before financing items and taxes, increased to €486.7 million from €398.2 million a year ago.
Kone guided fiscal 2025 sales to grow between 1% and 6%, compared to €11.1 billion in 2024, and adjusted EBIT margin to be between 11.8% and 12.4%, compared to 11.7% a year earlier.
The company’s shares and other non-current assets include a 19.9% holding in Toshiba Elevator and Building Systems Corp., which is not a publicly quoted company.
Adyen NV traded flat at €1,448.4 after the Dutch payment company reported first-quarter 2025 results.
Net revenue jumped 22% to €534.7 million from €438.0 million a year ago, driven by strong demand from existing customers, particularly in Europe and North America.
“Unified Commerce continues to show strong momentum with net revenue up 31% year-over-year, fueled by an increasingly diversified customer base across different verticals,” the company said in a release to investors.
During the quarter, processed volume was €314.8 billion, an increase of 6% from the prior year.
Digital net revenue reached €320.4 million, an increase of 13% from a year ago, driven by solid momentum in content and subscription.
Atlas Copco AB dropped 4.2% to 147.60 krona after the Swedish industrial tools and equipment provider reported first-quarter 2025 results.
Revenue declined to SEK 42.73 billion from SEK 42.87 billion, profit slumped to SEK 6.60 billion from SEK 7.17 billion, and diluted earnings per share fell to SEK 1.35 from SEK 1.47 a year ago.
Orders received increased 2% to SEK 46.604 billion from SEK 45.656 billion a year ago, and operating cash flow amounted to SEK 6.575 billion compared to SEK 6.660 billion a year earlier.
DHL Group advanced 3.2% to €38.21 after the German parcel delivery company reported first-quarter 2025 results.
Revenue edged up 2.8% to €20.81 billion from €20.25 billion, net profit climbed 6.2% to €786 million from €740 million, and diluted earnings per share rose 8.1% to 67 cents from 62 cents a year ago.
The company guided fiscal 2025 EBIT to be at least €6 billion, compared to €5.9 billion in 2024, and free cash flow, excluding mergers and acquisitions, to be unchanged at approximately €3 billion.
Europe Movers: Adyen, Atlas Copco, Kone, UBS
Inga Muller
30 Apr, 2025
Frankfurt
UBS Group AG traded flat at CHF 24.97 after the Swiss bank and wealth management company's first quarter results surpassed market expectations, driven by sharp gains in its investment banking unit.
Revenue slipped to $12.56 billion from $12.74 billion, net profit edged down to $1.69 billion from $1.75 billion, and diluted earnings per share inched down to 51 cents from 52 cents a year ago.
Net interest income was $1.63 billion, a decline of 16% from a year ago and 11% from the previous quarter, and the Swiss banking company a further fall in the current quarter.
“In the second quarter we expect net interest income (NII) in Global Wealth Management to decline sequentially by a low single-digit percentage, and we see a similar decline in Personal & Corporate Banking’s NII in Swiss francs.
In US dollar terms, Personal & Corporate Banking’s NII is expected to increase sequentially by a mid-single-digit percentage, based on current foreign exchange rates,” said the company in its update to investors.
Kone Oyj gained 0.5% to €50.80 after the elevator and escalator manufacturer reported first-quarter 2025 results.
Sales increased to €2.67 billion from €2.57 billion, net income climbed to €212.6 million from €203.0 million, and diluted earnings per share rose to 41 cents from 39 cents a year ago.
The company registered a 6.4% increase in orders received, to €2.38 billion, compared to €2.23 billion a year earlier.
Cash flow from operations, before financing items and taxes, increased to €486.7 million from €398.2 million a year ago.
Kone guided fiscal 2025 sales to grow between 1% and 6%, compared to €11.1 billion in 2024, and adjusted EBIT margin to be between 11.8% and 12.4%, compared to 11.7% a year earlier.
The company’s shares and other non-current assets include a 19.9% holding in Toshiba Elevator and Building Systems Corp., which is not a publicly quoted company.
Adyen NV traded flat at €1,448.4 after the Dutch payment company reported first-quarter 2025 results.
Net revenue jumped 22% to €534.7 million from €438.0 million a year ago, driven by strong demand from existing customers, particularly in Europe and North America.
“Unified Commerce continues to show strong momentum with net revenue up 31% year-over-year, fueled by an increasingly diversified customer base across different verticals,” the company said in a release to investors.
During the quarter, processed volume was €314.8 billion, an increase of 6% from the prior year.
Digital net revenue reached €320.4 million, an increase of 13% from a year ago, driven by solid momentum in content and subscription.
Atlas Copco AB dropped 4.2% to 147.60 krona after the Swedish industrial tools and equipment provider reported first-quarter 2025 results.
Revenue declined to SEK 42.73 billion from SEK 42.87 billion, profit slumped to SEK 6.60 billion from SEK 7.17 billion, and diluted earnings per share fell to SEK 1.35 from SEK 1.47 a year ago.
Orders received increased 2% to SEK 46.604 billion from SEK 45.656 billion a year ago, and operating cash flow amounted to SEK 6.575 billion compared to SEK 6.660 billion a year earlier.
Japan's Retail Sales Expand for 36th Month In March, Industrial Output Struggled to Advance
Akira Ito
30 Apr, 2025
Tokyo
Japan's indexes edged higher after investors returned from a one-day holiday and reviewed the latest economic data.
The Nikkei 225 Stock Average increased 0.3%, and the Topix index edged up 0.5%, and investors turned cautious after retail sales and industrial output data fell short of expectations.
Japan's retail sales rose 3.1% annually from a year ago in March, marking the 36th consecutive month of expansion.
February's retail sales were downwardly revised to a 1.3% increase.
Retail sales have been on the upward trajectory for the last three years, supported by the rising wages after stagnating for more than two decades.
On a monthly basis, retail sales decreased 1.2% from the previous month in March, reported the Ministry of Economy, Trade & Industry.
Sales of apparel and personal goods soared 7.6%, automobile sales advanced 1.5%, machinery equipment sales increased 6.7%, and food & beverage sales rose 1.9%, but department store sales fell 1.25%.
Japan's industrial output in March declined 1.1% from the previous month and fell 0.3% from a year ago, said the ministry in a separate report.
Industrial production reversed from the 2.3% monthly increase in the previous month after motor vehicle production declined 5.9% from the 0.2% increase, and electric machinery and electronics equipment production fell by 4.4% from the rise of 1.1% in the previous month.
Industrial output declined for the second month this year after tariff threats impacted overall demand.
Investors looked ahead to the Bank of Japan's rate decisions on Thursday, and the central bank is widely anticipated to hold rates but trim its annual economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged up 0.3% to 35,943.18, and the broader Topix advanced 0.5% to 2,662.59.
Toyota Industries Corp. advanced 3.3% to ¥16,760.0, IHI Corp. edged down a fraction to ¥11,150.0, and Kawasaki Heavy Industries decreased 0.5% to ¥8,469.0.
Mitsubishi UFJ Financial Group advanced 1.8% to ¥1,803.50, Sumitomo Mitsui Financial Group increased 1.3% to ¥3,400.0, and Mizuho Financial Group added 0.9% to ¥3,580.0.
Japan's Retail Sales Expand for 36th Month In March, Industrial Output Struggled to Advance
Akira Ito
30 Apr, 2025
Tokyo
Japan's indexes edged higher after investors returned from a one-day holiday and reviewed the latest economic data.
The Nikkei 225 Stock Average increased 0.3%, and the Topix index edged up 0.5%, and investors turned cautious after retail sales and industrial output data fell short of expectations.
Japan's retail sales rose 3.1% annually from a year ago in March, marking the 36th consecutive month of expansion.
February's retail sales were downwardly revised to a 1.3% increase.
Retail sales have been on the upward trajectory for the last three years, supported by the rising wages after stagnating for more than two decades.
On a monthly basis, retail sales decreased 1.2% from the previous month in March, reported the Ministry of Economy, Trade & Industry.
Sales of apparel and personal goods soared 7.6%, automobile sales advanced 1.5%, machinery equipment sales increased 6.7%, and food & beverage sales rose 1.9%, but department store sales fell 1.25%.
Japan's industrial output in March declined 1.1% from the previous month and fell 0.3% from a year ago, said the ministry in a separate report.
Industrial production reversed from the 2.3% monthly increase in the previous month after motor vehicle production declined 5.9% from the 0.2% increase, and electric machinery and electronics equipment production fell by 4.4% from the rise of 1.1% in the previous month.
Industrial output declined for the second month this year after tariff threats impacted overall demand.
Investors looked ahead to the Bank of Japan's rate decisions on Thursday, and the central bank is widely anticipated to hold rates but trim its annual economic growth outlook.
Japan Indexes and Stocks
The Nikkei 225 Stock Average edged up 0.3% to 35,943.18, and the broader Topix advanced 0.5% to 2,662.59.
Toyota Industries Corp. advanced 3.3% to ¥16,760.0, IHI Corp. edged down a fraction to ¥11,150.0, and Kawasaki Heavy Industries decreased 0.5% to ¥8,469.0.
Mitsubishi UFJ Financial Group advanced 1.8% to ¥1,803.50, Sumitomo Mitsui Financial Group increased 1.3% to ¥3,400.0, and Mizuho Financial Group added 0.9% to ¥3,580.0.
China Factory Activity Indexes Ease In April, Banks and Real Estate Developers In Focus
Li Chen
30 Apr, 2025
Hong Kong
Stock market indexes in China and Hong Kong traded in a tight range ahead of Labor Day weekend.
The Hang Seng index edged up 0.2%, and the CSI 300 index increased 0.1% as investors reacted to the latest batch of earnings from banks and insurance companies.
Investors are cautious amid rising uncertainties and a lack of near-term catalysts, as earnings season picked up pace and banks were in focus.
In addition, China's economy is facing internal headwinds from the protracted property market malaise and faltering consumer confidence, compounded by external headwinds from the rising trade tensions with the U.S.
AIA reported a strong increase in new insurance business growth, but China Merchants Bank and Bank of China reported weaker-than-expected quarterly results.
China Vanke traded down after the struggling residential property developer reported a large loss in the first quarter, despite support from the government.
Factory Activities Eased In March After Tariffs Pulled Orders Forward
Market sentiment was dented amid two manufacturing surveys confirming ongoing contraction in activities.
The composite purchasing managers' index in March eased to 50.2 in April from 51.4 in March, according to the latest report from the National Bureau of Statistics.
The index tracking factory activities fell to a 16-month low of 49.0, down from 50.5 in March.
Any reading below 50 indicates contraction in activities, and the decline in April was driven by a high base in the previous month because importers front-loaded orders ahead of the U.S. tariffs.
The Caixin PMI survey, which has a larger sample of small and export-sensitive businesses, also confirmed an ongoing slowdown in factory activities.
The factory activities index eased to a three-month low of 50.4 in April from 51.2 in the previous month, according to the report published by S&P Global.
China Indexes and Stocks
The Hang Seng index edged up 0.2% to 22,051.20, and the mainland-focused CSI 300 index advanced 0.1% to 3,777.83.
AIA Group Ltd. rose 5.5% to HK $57.80, China Merchants Bank fell 4.2% to HK $42.40, and Bank of China decreased 3.2% to HK $4.26.
Bank of China said operating revenue in the March quarter increased 2.4% to 164.9 billion yuan, profit fell 2.2% to 58.6 billion yuan, and basic and diluted earnings per share dropped to 0.18 yuan from 0.32 yuan a year ago.
China Vanke dropped 2.4% to HK $5.31, and the residential real estate developer reported a decline in revenue in the March quarter.
Revenue fell to 37.99 billion from 61.6 billion, net loss soared to 6.2 billion yuan compared to 362 million, and basic loss per share from continuing operations expanded to 0.5268 yuan from 0.0305 a year ago.
China Factory Activity Indexes Ease In April, Banks and Real Estate Developers In Focus
Li Chen
30 Apr, 2025
Hong Kong
Stock market indexes in China and Hong Kong traded in a tight range ahead of Labor Day weekend.
The Hang Seng index edged up 0.2%, and the CSI 300 index increased 0.1% as investors reacted to the latest batch of earnings from banks and insurance companies.
Investors are cautious amid rising uncertainties and a lack of near-term catalysts, as earnings season picked up pace and banks were in focus.
In addition, China's economy is facing internal headwinds from the protracted property market malaise and faltering consumer confidence, compounded by external headwinds from the rising trade tensions with the U.S.
AIA reported a strong increase in new insurance business growth, but China Merchants Bank and Bank of China reported weaker-than-expected quarterly results.
China Vanke traded down after the struggling residential property developer reported a large loss in the first quarter, despite support from the government.
Factory Activities Eased In March After Tariffs Pulled Orders Forward
Market sentiment was dented amid two manufacturing surveys confirming ongoing contraction in activities.
The composite purchasing managers' index in March eased to 50.2 in April from 51.4 in March, according to the latest report from the National Bureau of Statistics.
The index tracking factory activities fell to a 16-month low of 49.0, down from 50.5 in March.
Any reading below 50 indicates contraction in activities, and the decline in April was driven by a high base in the previous month because importers front-loaded orders ahead of the U.S. tariffs.
The Caixin PMI survey, which has a larger sample of small and export-sensitive businesses, also confirmed an ongoing slowdown in factory activities.
The factory activities index eased to a three-month low of 50.4 in April from 51.2 in the previous month, according to the report published by S&P Global.
China Indexes and Stocks
The Hang Seng index edged up 0.2% to 22,051.20, and the mainland-focused CSI 300 index advanced 0.1% to 3,777.83.
AIA Group Ltd. rose 5.5% to HK $57.80, China Merchants Bank fell 4.2% to HK $42.40, and Bank of China decreased 3.2% to HK $4.26.
Bank of China said operating revenue in the March quarter increased 2.4% to 164.9 billion yuan, profit fell 2.2% to 58.6 billion yuan, and basic and diluted earnings per share dropped to 0.18 yuan from 0.32 yuan a year ago.
China Vanke dropped 2.4% to HK $5.31, and the residential real estate developer reported a decline in revenue in the March quarter.
Revenue fell to 37.99 billion from 61.6 billion, net loss soared to 6.2 billion yuan compared to 362 million, and basic loss per share from continuing operations expanded to 0.5268 yuan from 0.0305 a year ago.
Economic Disruption Rooted In Trump Tariffs Begin to Show Up In Corporate Outlook
Barry Adams
29 Apr, 2025
New York City
Stock market indexes in New York struggled to advance after rising for five consecutive sessions.
The S&P 500 index decreased 0.3%, and the Nasdaq Composite declined 0.4% as investors awaited earnings from leading tech companies this week.
About 200 companies are scheduled to release quarterly results this week, including Apple Inc., Amazon, Microsoft, and Meta Platforms.
Stocks of leading tech companies could face headwinds despite reporting results that may surpass market expectations amid uncertainties induced by the Trump administration's trade policy.
The key trade partners of the U.S., including Canada, Mexico, Japan, and the European Union, are likely to target tech companies in retaliation for the Trump administration's high import taxes.
On the economic front, investors are awaiting the release of nonfarm payrolls on Friday, and the monthly report could provide early clues about how the labor market is adjusting to the sharp increase in import taxes.
Job Openings Edged Lower In March
The job openings report released today showed a decline in openings, but quits and layoffs held steady, indicating little impact from the surge in tariffs on imported goods so far.
The job openings in the U.S. fell by 288,000 to 7.192 million in March and dropped to the lowest in six months, according to the U.S. Bureau of Labor Statistics.
Meanwhile, hires held at 5.4 million, and total separations changed little at 5.1 million, according to the monthly update.
Within separations, quits were unchanged at 3.3 million, and layoffs and discharges edged down to 1.6 million.
Record High U.S. Goods Trade Deficit In March
The U.S. trade deficit soared to $161 billion in March from $92.8 billion a year ago, as importers and retailers front-loaded goods ahead of the aggressive import tax proposed by the Trump administration.
The trade deficit soared by $14.1 billion from $147.8 billion in February, according to the monthly report released by the U.S. Census Bureau on Tuesday.
Exports increased by 1.2%or $2.2 billion to $180.8 billion, and imports advanced by 5% or $16.3 billion to $342.7 billion from the previous month, respectively.
Exports jumped 6.8% and imports soared 30.8% in March from a year ago, respectively.
Commodities, Currencies, Indexes, Yields
The S&P 500 index decreased 0.1% to 5,522.48, the Nasdaq Composite edged down 0.2% to 17,328.62, and the Russell 2000 index was down 0.3% to 1,960.01.
The yield on 2-year Treasury notes edged lower to 3.70%, 10-year Treasury notes increased to 4.22%, and 30-year Treasury bonds advanced to 4.69%.
WTI crude oil decreased $1.05 to $61.00 a barrel, and natural gas prices edged higher by $0.03 to $3.38 a thermal unit.
Gold decreased by $21.81 to 3,315.75 an ounce, and silver edged up by $0.30 to $33.40.
The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.08 to 99.09, and it traded at the lowest level since April 2022.
U.S. Stock Movers
F5 Networks added 0.7% to $263.35, and the cloud-based application security company reported better-than-expected revenue and earnings in the fiscal second quarter.
General Motors decreased 2% to $46.23, and the vehicle maker reported better-than-expected earnings and revenues in the first quarter.
The automotive company is reviewing its annual earnings outlook because of the uncertainties linked to the constantly changing trade policy of the Trump administration, and the company is suspending its stock buyback.
Leggett & Platt soared 14.5% to $8.35, and the diversified manufacturer of engineered components reaffirmed its annual outlook.
The company stressed that the Trump administration's tariff could benefit but cautioned that weakening consumer confidence and the resurgent inflation could hurt demand.
Woodward, Inc. jumped 3.2% to $187.41, and the aerospace parts maker reported strong results for the fiscal second quarter.
Economic Disruption Rooted In Trump Tariffs Begin to Show Up In Corporate Outlook
Barry Adams
29 Apr, 2025
New York City
Stock market indexes in New York struggled to advance after rising for five consecutive sessions.
The S&P 500 index decreased 0.3%, and the Nasdaq Composite declined 0.4% as investors awaited earnings from leading tech companies this week.
About 200 companies are scheduled to release quarterly results this week, including Apple Inc., Amazon, Microsoft, and Meta Platforms.
Stocks of leading tech companies could face headwinds despite reporting results that may surpass market expectations amid uncertainties induced by the Trump administration's trade policy.
The key trade partners of the U.S., including Canada, Mexico, Japan, and the European Union, are likely to target tech companies in retaliation for the Trump administration's high import taxes.
On the economic front, investors are awaiting the release of the JOLT report on Tuesday and nonfarm payrolls on Friday, and they could provide early clues about how the labor market is adjusting to the sharp increase in import taxes.
U.S. Stock Movers
F5 Networks added 0.7% to $263.35, and the cloud-based application security company reported better-than-expected revenue and earnings in the fiscal second quarter.
General Motors decreased 2% to $46.23, and the vehicle maker reported better-than-expected earnings and revenues in the first quarter.
The automotive company is reviewing its annual earnings outlook because of the uncertainties linked to the constantly changing trade policy of the Trump administration, and the company is suspending its stock buyback.
Leggett & Platt soared 14.5% to $8.35, and the diversified manufacturer of engineered components reaffirmed its annual outlook.
The company stressed that the Trump administration's tariff could benefit but cautioned that weakening consumer confidence and the resurgent inflation could hurt demand.
Woodward, Inc. jumped 3.2% to $187.41, and the aerospace parts maker reported strong results for the fiscal second quarter.
U.S. Movers: Cadence Design, Domino’s Pizza, Grupo Aeroportuario del Centro Norte
Scott Peters
29 Apr, 2025
New York City
Cadence Design Systems Inc. eased 0.6% to $284.00 after the software company reported first-quarter 2025 results.
Revenue edged up to $1.24 billion from $1.01 billion, net income surged to $273.58 million from $247.64 million, and diluted earnings per share jumped to $1.01 from 92 cents a year ago.
The company guided fiscal 2025 revenue to be between $5.15 billion and $5.23 billion, compared to $4.64 billion in 2024, and GAAP diluted net income per share between $4.21 and $4.31, compared to $3.85 a year earlier.
The company estimated GAAP operating margin to be between 30.25% and 31.25%, compared to 29.1% in 2024, and non-GAAP diluted earnings per share between $6.73 and $6.83, compared to $5.97 a year ago.
Domino's Pizza eased 0.1% to $490.00 after the pizza restaurant operator announced first-quarter 2025 results.
Revenue increased 2.5% to $1.11 billion from $1.08 billion, net income surged 18.9% to $149.7 million from $125.8 million, and diluted earnings per share rose 20.9% to $4.33 from $3.58 a year ago.
Same-store sales of U.S. company-owned stores slipped 2.9% in the quarter, U.S. franchise store sales declined 0.4%, U.S. store sales dropped 0.5%, and international store sales rose 3.7%, excluding the foreign currency impact.
The company proposed a quarterly dividend of $1.74 per share, payable on June 30 to shareholders on record as of June 13.
During the quarter, the pizza chain operator repurchased and retired 115,280 shares for a total of $50.0 million, and as of March 23, it had $764.3 million remaining under repurchase authorization.
Grupo Aeroportuario del Centro Norte, S.A.B. de C.V., traded flat at $88.92 after the Mexican airport operator reported first-quarter 2025 results.
Revenue slipped 5% to 3.57 billion pesos from 3.75 billion pesos, net income jumped 19.7% to 1.29 billion pesos from 1.08 billion pesos, and earnings per share rose 19.3% to 3.33 pesos from 2.79 pesos a year ago.
Passenger traffic increased by 9.1% during the quarter to 6.427 million passengers from 5.889 million passengers a year earlier.
U.S. Movers: Cadence Design, Domino’s Pizza, Grupo Aeroportuario del Centro Norte
Scott Peters
29 Apr, 2025
New York City
Cadence Design Systems Inc. eased 0.6% to $284.00 after the software company reported first-quarter 2025 results.
Revenue edged up to $1.24 billion from $1.01 billion, net income surged to $273.58 million from $247.64 million, and diluted earnings per share jumped to $1.01 from 92 cents a year ago.
The company guided fiscal 2025 revenue to be between $5.15 billion and $5.23 billion, compared to $4.64 billion in 2024, and GAAP diluted net income per share between $4.21 and $4.31, compared to $3.85 a year earlier.
The company estimated GAAP operating margin to be between 30.25% and 31.25%, compared to 29.1% in 2024, and non-GAAP diluted earnings per share between $6.73 and $6.83, compared to $5.97 a year ago.
Domino's Pizza eased 0.1% to $490.00 after the pizza restaurant operator announced first-quarter 2025 results.
Revenue increased 2.5% to $1.11 billion from $1.08 billion, net income surged 18.9% to $149.7 million from $125.8 million, and diluted earnings per share rose 20.9% to $4.33 from $3.58 a year ago.
Same-store sales of U.S. company-owned stores slipped 2.9% in the quarter, U.S. franchise store sales declined 0.4%, U.S. store sales dropped 0.5%, and international store sales rose 3.7%, excluding the foreign currency impact.
The company proposed a quarterly dividend of $1.74 per share, payable on June 30 to shareholders on record as of June 13.
During the quarter, the pizza chain operator repurchased and retired 115,280 shares for a total of $50.0 million, and as of March 23, it had $764.3 million remaining under repurchase authorization.
Grupo Aeroportuario del Centro Norte, S.A.B. de C.V., traded flat at $88.92 after the Mexican airport operator reported first-quarter 2025 results.
Revenue slipped 5% to 3.57 billion pesos from 3.75 billion pesos, net income jumped 19.7% to 1.29 billion pesos from 1.08 billion pesos, and earnings per share rose 19.3% to 3.33 pesos from 2.79 pesos a year ago.
Passenger traffic increased by 9.1% during the quarter to 6.427 million passengers from 5.889 million passengers a year earlier.
Europe Movers: Adidas, BP, Deutsche Börse, HSBC, Lufthansa, Novartis, Porsche, Schneider Electric, Volvo
Inga Muller
29 Apr, 2025
Frankfurt
Schneider Electric dropped 0.3% to €217.10 after the French industrial technology company reported first-quarter 2025 results.
Revenue increased 8.4% to €9.32 billion from €8.61 billion a year ago, driven by growth in North America and Asia Pacific.
North America revenue was up 15.2%, while in Asia Pacific sales jumped 9.3%, led by strong performance in India.
During the quarter, the company completed the acquisition of Motivair Corp., a provider of liquid cooling and advanced thermal management solutions for high-performance computing systems.
Furthermore, Schneider established a joint venture with StarCharge, a provider of electric vehicle charging infrastructure and microgrid solutions.
Schneider estimated fiscal 2025 revenue to grow between 7% and 10% on an organic basis, compared to €38 billion in 2024, and adjusted EBITA growth to be between 10% and 15%, compared to €7.03 billion a year earlier.
Deutsche Börse AG dropped 1.8% to €277.70 after the company reported first-quarter 2025 results.
Sales revenue surged to €1.64 billion from €1.45 billion, net income jumped to €524.9 million from €497.6 million, and basic earnings per share rose to €2.86 from €2.70 a year ago.
Earnings per share before purchase price allocations edged up to €3.05 from €2.89 a year earlier.
Novartis AG gained 0.9% to CHF 93.40 after the Swiss pharmaceutical company reported first-quarter 2025 results.
Net sales surged to $13.23 billion from $11.83 billion, net income jumped to $3.61 billion from $2.69 billion, and earnings per share rose to $1.83 from $1.31 a year ago.
The company guided fiscal 2025 net sales to grow by a high single-digit percent, compared to $50.32 billion in 2024, and core operating income to increase by a low double-digit percent, compared to $19.5 billion a year earlier.
During the quarter, Novartis repurchased a total of 24.8 million shares for $2.6 billion, and an additional 1.5 million shares were repurchased from employees for a total of $0.2 billion.
HSBC Holdings plc gained 0.2% to 835.30 pence after the UK-based financial services company reported first-quarter 2025 results.
Revenue declined to $17.6 billion from $20.4 billion, profit edged down to $6.93 billion from $10.18 billion, and diluted earnings per share fell to 39 cents from 54 cents a year ago.
The company guided for each of 2025 to 2027, banking net interest income to be around $42 billion, depending on the market environment.
BP Plc. dropped 0.3% to 363.25 pence after the energy company reported first-quarter 2025 results.
Revenue declined to $47.88 billion from $49.96 billion, profit slumped to $687 million from $2.26 billion, and diluted earnings per share fell to $4.27 from $13.25 a year ago.
The company guided second-quarter upstream production to be broadly flat compared to the previous quarter sequentially.
Furthermore, BP estimated full-year divestment and other proceeds to be around $3 billion to $4 billion, weighted towards the second half.
Adidas AG gained 0.2% to €217.40 after the German sporting goods maker reported better-than-expected results in the first quarter of 2025.
Net sales surged 12.7% to €6.15 billion from €5.46 billion, net income jumped 151.3% to €428 million from €170 million, and diluted earnings per share edged up to €2.40 from 95 cents a year ago.
Sales in North America increased 5.5% from a year earlier, while in all other regions they were up by a double-digit percent.
The company guided full-year sales to grow at a high-single-digit rate, compared to €23.68 billion in 2024, and operating profit to increase to between €1.7 billion and €1.8 billion, compared to €1.3 billion in 2024.
Adidas has completed the sale of the remaining Yeezy inventory, and the company’s outlook does not include any Yeezy revenues.
Yeezy brought in around €650 million in revenues and profits of around €200 million in 2024.
Deutsche Lufthansa AG gained 0.8% to €6.54 after the German airline operator reported first-quarter 2025 results.
Revenue edged up 10% to €8.13 billion from €7.39 billion, net loss expanded to €885 million from a loss of €734 million, and diluted loss per share widened to 74 cents from a loss of 61 cents a year ago.
The company estimated fiscal 2025 capital expenditures to be between €2.7 billion and €3.3 billion, adjusted free cash flow to be stable versus 2024, and dividends to represent 20% to 40% of net income.
Volvo Group eased 0.7% to 264.90 krona after the Swedish vehicle manufacturer reported first-quarter 2025 results.
Net sales declined 7% to SEK 121.79 billion from SEK 131.18 billion, net income slumped to SEK 9.89 billion from SEK 14.08 billion, and diluted earnings per share fell to SEK 4.86 from SEK 6.92 a year ago.
Sales in Europe and Africa and Oceania were significantly lower during the quarter, down 13% and 15%, respectively.
During the quarter, net order intake increased 24% to 17,176 machines, as order intake for the Volvo brand climbed by 19%, with improvements in all markets except South America.
Deliveries in the quarter were 7% higher than in 2024 and amounted to 15,508 machines, as increased volumes in China offset lower demand in Europe and North America.
Porsche Automobil Holding SE dropped 1.3% to €36.30 after the German luxury car manufacturer reported first-quarter 2025 results.
Revenue declined to €8.86 billion from €9.01 billion, profit after tax slumped to €517 million from €927 million, and diluted earnings per share fell to 56 cents from €1.01 a year ago.
At the end of the quarter, deliveries had fallen by 7.9% to 71,470 vehicles from 77,640 a year earlier.
Europe Movers: Adidas, BP, Deutsche Börse, HSBC, Lufthansa, Novartis, Porsche, Schneider Electric, Volvo
Inga Muller
29 Apr, 2025
Frankfurt
Schneider Electric dropped 0.3% to €217.10 after the French industrial technology company reported first-quarter 2025 results.
Revenue increased 8.4% to €9.32 billion from €8.61 billion a year ago, driven by growth in North America and Asia Pacific.
North America revenue was up 15.2%, while in Asia Pacific sales jumped 9.3%, led by strong performance in India.
During the quarter, the company completed the acquisition of Motivair Corp., a provider of liquid cooling and advanced thermal management solutions for high-performance computing systems.
Furthermore, Schneider established a joint venture with StarCharge, a provider of electric vehicle charging infrastructure and microgrid solutions.
Schneider estimated fiscal 2025 revenue to grow between 7% and 10% on an organic basis, compared to €38 billion in 2024, and adjusted EBITA growth to be between 10% and 15%, compared to €7.03 billion a year earlier.
Deutsche Börse dropped 1.8% to €277.70 after the company reported first-quarter 2025 results.
Sales revenue surged to €1.64 billion from €1.45 billion, net income jumped to €524.9 million from €497.6 million, and basic earnings per share rose to €2.86 from €2.70 a year ago.
Earnings per share before purchase price allocations edged up to €3.05 from €2.89 a year earlier.
Novartis gained 0.9% to CHF 93.40 after the Swiss pharmaceutical company reported first-quarter 2025 results.
Net sales surged to $13.23 billion from $11.83 billion, net income jumped to $3.61 billion from $2.69 billion, and earnings per share rose to $1.83 from $1.31 a year ago.
The company guided fiscal 2025 net sales to grow by a high single-digit percent, compared to $50.32 billion in 2024, and core operating income to increase by a low double-digit percent, compared to $19.5 billion a year earlier.
During the quarter, Novartis repurchased a total of 24.8 million shares for $2.6 billion, and an additional 1.5 million shares were repurchased from employees for a total of $0.2 billion.
HSBC gained 0.2% to 835.30 pence after the UK-based financial services company reported first-quarter 2025 results.
Revenue declined to $17.6 billion from $20.4 billion, profit edged down to $6.93 billion from $10.18 billion, and diluted earnings per share fell to 39 cents from 54 cents a year ago.
The company guided for each of 2025 to 2027, banking net interest income to be around $42 billion, depending on the market environment.
BP Plc. dropped 0.3% to 363.25 pence after the energy company reported first-quarter 2025 results.
Revenue declined to $47.88 billion from $49.96 billion, profit slumped to $687 million from $2.26 billion, and diluted earnings per share fell to $4.27 from $13.25 a year ago.
The company guided second-quarter upstream production to be broadly flat compared to the previous quarter sequentially.
Furthermore, BP estimated full-year divestment and other proceeds to be around $3 billion to $4 billion, weighted towards the second half.
Adidas AG gained 0.2% to €217.40 after the German sporting goods maker reported better-than-expected results in the first quarter of 2025.
Net sales surged 12.7% to €6.15 billion from €5.46 billion, net income jumped 151.3% to €428 million from €170 million, and diluted earnings per share edged up to €2.40 from 95 cents a year ago.
Sales in North America increased 5.5% from a year earlier, while in all other regions they were up by a double-digit percent.
The company guided full-year sales to grow at a high-single-digit rate, compared to €23.68 billion in 2024, and operating profit to increase to between €1.7 billion and €1.8 billion, compared to €1.3 billion in 2024.
Adidas has completed the sale of the remaining Yeezy inventory, and the company’s outlook does not include any Yeezy revenues.
Yeezy brought in around €650 million in revenues and profits of around €200 million in 2024.
Deutsche Lufthansa AG gained 0.8% to €6.54 after the German airline operator reported first-quarter 2025 results.
Revenue edged up 10% to €8.13 billion from €7.39 billion, net loss expanded to €885 million from a loss of €734 million, and diluted loss per share widened to 74 cents from a loss of 61 cents a year ago.
The company estimated fiscal 2025 capital expenditures to be between €2.7 billion and €3.3 billion, adjusted free cash flow to be stable versus 2024, and dividends to represent 20% to 40% of net income.
Volvo Group eased 0.7% to 264.90 krona after the Swedish vehicle manufacturer reported first-quarter 2025 results.
Net sales declined 7% to SEK 121.79 billion from SEK 131.18 billion, net income slumped to SEK 9.89 billion from SEK 14.08 billion, and diluted earnings per share fell to SEK 4.86 from SEK 6.92 a year ago.
Sales in Europe and Africa and Oceania were significantly lower during the quarter, down 13% and 15%, respectively.
During the quarter, net order intake increased 24% to 17,176 machines, as order intake for the Volvo brand climbed by 19%, with improvements in all markets except South America.
Deliveries in the quarter were 7% higher than in 2024 and amounted to 15,508 machines, as increased volumes in China offset lower demand in Europe and North America.
Porsche Automobil Holding SE dropped 1.3% to €36.30 after the German luxury car manufacturer reported first-quarter 2025 results.
Revenue declined to €8.86 billion from €9.01 billion, profit after tax slumped to €517 million from €927 million, and diluted earnings per share fell to 56 cents from €1.01 a year ago.
At the end of the quarter, deliveries had fallen by 7.9% to 71,470 vehicles from 77,640 a year earlier.
European Markets Extend Gains Powered by Bank and Luxury Stock Rally
Bridgette Randall
29 Apr, 2025
London
European markets advanced in Tuesday's trading as investors awaited the release of economic data and a slew of corporate earnings.
Benchmark indexes in Frankfurt, Paris, Milan, and London advanced, and investors reviewed earnings from Porsche, Schneider Electric, and Deutsche Börse.
Incoming German Chancellor Friedrich Merz announced cabinet positions from his conservative CDU Party, including foreign minister and economy minister.
Investor sentiment improved over the last two weeks because of positive earnings from leading corporations and hopes of improving trade relations with the U.S.
Consumer sentiment in Germany continues its recovery in April that began in the previous month.
Both income expectations and the willingness to buy show noticeable increases, while economic expectations improve only slightly.
Germany’s GfK Consumer Climate Indicator improved to -20.6 for May 2025 from a revised -24.3 in April, the best reading since August 2024, extending a recovery that began in April.
Germany's consumer sentiment has remained weak amid deteriorating economic conditions and weak export growth.
“Whether the decline in the propensity to save will continue in the coming months remains to be seen, and it certainly depends on how trade conflict between the U.S. and the rest of the world develops,” added Rolf Burkl, consumer expert at NIM.
Europe Indexes and Yields
The DAX index increased by 0.6% to 22,417.15, the CAC-40 index edged higher 0.1% to 7,584.75, and the FTSE 100 index declined by 0.02% to 8,415.35.
The yield on 10-year German bonds inched lower to 2.50%, French bonds decreased to 3.21%, the UK gilts moved down to 4.51%, and Italian bonds edged lower to 3.61%.
The euro decreased to $1.14; the British pound was lower at $1.34; and the U.S. dollar was higher and traded at 82.41 Swiss cents.
Brent crude decreased $0.80 to $65.08 a barrel, and the Dutch TTF natural gas was lower by €0.24 to €31.53 per MWh.
Europe Indexes and Stocks
Merck KGaA rose 1.3% to €122.70, and the German pharmaceutical company agreed to acquire SpringWorks Therapeutics for $3.9 billion to expand its cancer business.
Banking and luxury stocks advanced in Paris trading for the second consecutive day.
LVMH increased 0.2% to €502.0, Kering SA edged up 0.3% to €178.50, and L'Oreal SA advanced 0.2% to €379.20.
Credit Agricole SA edged up 0.2% to €17.13, and BNP Paribas SA increased 0.2% to €74.10.
Deliveroo PLC extended a two-day gain to 19%, to 170.40 pence, after the delivery service provider received a takeover offer from the U.S.-based DoorDash.
Deutsche Bank AG increased 0.3% to €22.42, and the German bank reported a 39% increase in earnings in the first quarter.
HSBC Holdings advanced 1.4% to 843.68 pence, and the UK- and China-based bank reported better-than-expected results in the first quarter and the company launched a $3 billion stock buyback program.