Market Update
Europe Movers: Heidelberg Materials, Intercontinental Hotels, Mondi, Next, Siemens Energy
Inga Muller
08 May, 2025
Frankfurt
Siemens Energy AG dropped 2.7% to €70.98 after the German energy technology company reported second-quarter 2025 results.
Revenue increased 20.7% to €10.0 billion from €8.3 billion, net income jumped to €501 million from €108 million, and earnings per share rose to 50 cents from 8 cents a year ago.
Free cash flow pre-tax edged up sharply higher to €1.39 billion from €483 million in the prior year.
The company estimated full-year revenue growth in the range of 13% to 15%, compared to $34.46 billion in 2024, and net income of up to €1 billion, compared to €1.18 billion a year earlier.
The guidance excludes special items subsequent to the demerger of the energy business from Siemens Ltd., India.
Siemens Gamesa will divest 90% of its wind business in India and Sri Lanka to TPG Inc., retaining a 10% stake in the transferred business.
Free cash flow pre-tax in 2025 is updated to around €4 billion, compared to €1.86 billion in the previous year.
Heidelberg Materials AG traded flat at €177.00 after the German building materials company reported increased revenue in the first quarter of 2025.
Sales increased 5.1% to €4.71 billion from €4.48 billion, driven by comparable organic sales increase of 1.7% from a year ago.
The company said its earnings from current operations inched up 0.2% to €235 million from €232 million a year earlier, driven by a nearly 60% increase in the Africa, Mediterranean, and Western Asia regions, while elsewhere operations declined.
Next plc advanced 1.5% to 12,458 pence after the UK-based clothing retailer issued a first-quarter trading update.
Sales were up 11.4% from a year ago, sharply ahead of the company's estimate of 6.5%.
The company estimated full-year group profit before tax to grow by £14 million to £1.08 billion from the prior year.
The company is not increasing its sales guidance for the second quarter or the rest of the year because some of the first-quarter sales have been pulled forward from the second quarter.
Intercontinental Hotels Group plc gained 0.07% to 8,614 pence after the UK-based hotel chain operator released a first-quarter trading update.
Global revenue per available room increased 3.3%, with growth in the Americas of 3.5%, EMEAA up 5%, and Greater China down 3.5%.
The company opened 14,600 rooms across 86 hotels in the quarter, well over double the same period last year.
First-quarter global rooms revenue on a comparable basis for the group by 5%, driven by a 3% rise in the business segment and a 2% increase in leisure segment.
Mondi plc advanced 0.04% to 1,110.48 pence after the UK-based packaging and paper company posted a first-quarter trading update.
Underlying EBITDA for the quarter was €290 million, compared to €214 million a year ago, and the result includes a forestry fair value gain of €2 million, compared to a forestry fair value loss of €27 million subsequent to the December quarter.
“While the direct impact of announced tariffs on our operations is limited, we remain mindful of the potential second-order impacts that could affect trade flows, consumer confidence, and supply chains,” the company said in a release to investors.
Europe Movers: Heidelberg Materials, Intercontinental Hotels, Mondi, Next, Siemens Energy
Inga Muller
08 May, 2025
Frankfurt
Siemens Energy AG dropped 2.7% to €70.98 after the German energy technology company reported second-quarter 2025 results.
Revenue increased 20.7% to €10.0 billion from €8.3 billion, net income jumped to €501 million from €108 million, and earnings per share rose to 50 cents from 8 cents a year ago.
Free cash flow pre-tax edged up sharply higher to €1.39 billion from €483 million in the prior year.
The company estimated full-year revenue growth in the range of 13% to 15%, compared to $34.46 billion in 2024, and net income of up to €1 billion, compared to €1.18 billion a year earlier.
The guidance excludes special items subsequent to the demerger of the energy business from Siemens Ltd., India.
Siemens Gamesa will divest 90% of its wind business in India and Sri Lanka to TPG Inc., retaining a 10% stake in the transferred business.
Free cash flow pre-tax in 2025 is updated to around €4 billion, compared to €1.86 billion in the previous year.
Heidelberg Materials AG traded flat at €177.00 after the German building materials company reported increased revenue in the first quarter of 2025.
Sales increased 5.1% to €4.71 billion from €4.48 billion, driven by comparable organic sales increase of 1.7% from a year ago.
The company said its earnings from current operations inched up 0.2% to €235 million from €232 million a year earlier, driven by a nearly 60% increase in the Africa, Mediterranean, and Western Asia regions, while elsewhere operations declined.
Next plc advanced 1.5% to 12,458 pence after the UK-based clothing retailer issued a first-quarter trading update.
Sales were up 11.4% from a year ago, sharply ahead of the company's estimate of 6.5%.
The company estimated full-year group profit before tax to grow by £14 million to £1.08 billion from the prior year.
The company is not increasing its sales guidance for the second quarter or the rest of the year because some of the first-quarter sales have been pulled forward from the second quarter.
Intercontinental Hotels Group plc gained 0.07% to 8,614 pence after the UK-based hotel chain operator released a first-quarter trading update.
Global revenue per available room increased 3.3%, with growth in the Americas of 3.5%, EMEAA up 5%, and Greater China down 3.5%.
The company opened 14,600 rooms across 86 hotels in the quarter, well over double the same period last year.
First-quarter global rooms revenue on a comparable basis for the group by 5%, driven by a 3% rise in the business segment and a 2% increase in leisure segment.
Mondi plc advanced 0.04% to 1,110.48 pence after the UK-based packaging and paper company posted a first-quarter trading update.
Underlying EBITDA for the quarter was €290 million, compared to €214 million a year ago, and the result includes a forestry fair value gain of €2 million, compared to a forestry fair value loss of €27 million subsequent to the December quarter.
“While the direct impact of announced tariffs on our operations is limited, we remain mindful of the potential second-order impacts that could affect trade flows, consumer confidence, and supply chains,” the company said in a release to investors.
India Update
08 May, 2025
Select
Stock market indexes in Mumbai lacked direction amid rising tensions between India and Pakistan.
The Sensex and Nifty indexes edged up a fraction as investors reviewed the latest batch of earnings .
The rupee edged higher against the U.S. dollar and traded at a six-month low of 84.60 as foreign investors stepped up their purchases of Indian stocks.
The U.S. Federal Reserve held its target rate range between 4.25% and 4.50%, as widely anticipated, and Fed Chair Jerome Powell ruled out preemptive rate cuts to ward off the impact of tariffs.
Investors are still holding out for at least two interest rate cuts later in the year, but the sharp escalation in tariffs could delay cuts.
Stock Indexes and Bond Yields
The Sensex index advanced by 0.04% to 80,785.63, and the Nifty index decreased by 0.05% to 24,402.55.
On the Mumbai stock exchange, 30 stocks traded at their 52-week highs, and 40 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds inched lower to 6.34%, and the Indian rupee traded around a record increase of 84.78 against the U.S. dollar.
The gold price decreased by 0.8% to ₹96,301 per ten grams, and silver fell by 0.03% to ₹95,709 per kilo.
Crude oil gained 0.5% to ₹4981 per barrel, and natural gas increased by 1.2% to ₹308.40 per thermal unit.
India Stock Movers
Coal India advanced 0.5% to ₹385.20 after the mining company reported consolidated profit increased 12% from a year ago.
Nazara Technologies increased 1.9% to ₹1,092.40, and the company received NCLT's approval to acquire Smaaash Entertainment.
Dabur India declined 2.8% to ₹468.50 after the consumer product company reported muted fiscal fourth-quarter earnings.
Kfiin Technologies Ltd. decreased 1.4% to ₹1,096.0 on a report that the private equity group General Atlantic is looking to sell its entire 6% stake.
Japan Indexes Gyrate Amid U.S. Trade Negotiation Uncertainty
Akira Ito
08 May, 2025
Tokyo
Japan's benchmark indexes advanced and reversed losses in the previous session.
The Nikkei 225 Stock Average gained 0.4%, and the broader Topix index edged up 0.1%, led by a rise in semiconductor equipment stocks.
The gain in Tokyo stock reflected the advance in U.S. indexes in overnight trading after the U.S. Federal Reserve held steady its target rate range between 4.25% and 4.50%.
Fed Chair Jerome Powell ruled out a preemptive rate cut ahead of the visible impact of the Trump administration's tariffs.
The Bank of Japan's latest meeting minutes showed that policymakers prefer to raise rates in the months ahead if Japan's economic growth and inflation meet the central bank's targets.
Japan's trade negotiators held out for an agreement as early as next month, but both sides remain far apart on tariff levels and non-tariff trade barriers.
The Japanese yen traded at 143.95 against the U.S. dollar after the Bank of Japan released its minutes of the latest policy meeting.
Japan Indexes and Stocks
The Nikkei 225 Stock Average increased 0.4% to 36,932.95, and the broader TOPIX edged up 0.1% to 2,699.53.
Tokyo Electron advanced 2.5% to ¥22,455.0, Advantest Corp. gained 4% to ¥6,601.0, and Disco Corp. increased 5.7% to ¥30,410.0.
Seven & I Holdings Co. Ltd. increased 0.8% to ¥2,210.50, and Mercari Inc. increased 2.4% to ¥2,363.0. Takashimaya Co. Ltd. edged 0.6% to ¥1,100.0, Isetan Mitsukoshi Holdings Ltd. advanced 1.3%, and Fast Retailing Co. Ltd. edged up 0.1% to ¥47,400.0.
Japan Indexes Gyrate Amid U.S. Trade Negotiation Uncertainty
Akira Ito
08 May, 2025
Tokyo
Japan's benchmark indexes advanced and reversed losses in the previous session.
The Nikkei 225 Stock Average gained 0.4%, and the broader Topix index edged up 0.1%, led by a rise in semiconductor equipment stocks.
The gain in Tokyo stock reflected the advance in U.S. indexes in overnight trading after the U.S. Federal Reserve held steady its target rate range between 4.25% and 4.50%.
Fed Chair Jerome Powell ruled out a preemptive rate cut ahead of the visible impact of the Trump administration's tariffs.
The Bank of Japan's latest meeting minutes showed that policymakers prefer to raise rates in the months ahead if Japan's economic growth and inflation meet the central bank's targets.
Japan's trade negotiators held out for an agreement as early as next month, but both sides remain far apart on tariff levels and non-tariff trade barriers.
The Japanese yen traded at 143.95 against the U.S. dollar after the Bank of Japan released its minutes of the latest policy meeting.
Japan Indexes and Stocks
The Nikkei 225 Stock Average increased 0.4% to 36,932.95, and the broader TOPIX edged up 0.1% to 2,699.53.
Tokyo Electron advanced 2.5% to ¥22,455.0, Advantest Corp. gained 4% to ¥6,601.0, and Disco Corp. increased 5.7% to ¥30,410.0.
Seven & I Holdings Co. Ltd. increased 0.8% to ¥2,210.50, and Mercari Inc. increased 2.4% to ¥2,363.0. Takashimaya Co. Ltd. edged 0.6% to ¥1,100.0, Isetan Mitsukoshi Holdings Ltd. advanced 1.3%, and Fast Retailing Co. Ltd. edged up 0.1% to ¥47,400.0.
U.S. Movers: Carvana, Costco, DoorDash, Uber, Walt Disney
Scott Peters
08 May, 2025
New York City
Costco Wholesale Corp. gained 0.2% to $1,007.15 after the wholesale retailer reported sales results for the 35 weeks ending in May.
Net sales increased 8.2% to $180.05 billion from $166.44 billion a year ago, as comparable store sales edged up 5.9% for the first 35 weeks.
Total comparable store sales climbed 4.4% in April, of which U.S. sales were up 5.2%, sales in Canada jumped 1.5%, and sales in the other international segment rose 3.2%.
E-commerce sales increased 12.6% in April and 16.3% for the 35-week period.
Carvana Co. surged 3.02% to $266.99 after the online used car retailer reported first-quarter 2025 results.
Revenue edged up to $4.23 billion from $3.06 billion, and net income jumped to $373 million from $49 million a year ago.
Adjusted EBITDA came in at $488 million, compared to $235 million a year earlier.
During the quarter, Carvana sold 133,898 retail units, an increase of 46% from 91,878 retail units in the prior year.
Uber Technologies Inc. eased 1.9% to $84.18 after the ride-hailing and delivery services provider reported first-quarter 2025 results.
Revenue jumped to $11.53 billion from $10.13 billion, net income swung to a profit of $1.78 billion from a loss of $654 million, and diluted earnings per share swung to a profit of 83 cents from a loss of 32 cents a year ago.
Gross bookings grew 14% to $42.8 billion from the prior year, or 18% on a constant currency basis, and trips during the quarter grew 18% to 3.0 billion.
The company estimated second-quarter gross bookings to be between $45.75 billion and $47.25 billion, an increase of 16% to 20% from a year earlier, and adjusted EBITDA to be between $2.02 billion and $2.12 billion, an increase of 29% to 35% from a year ago.
The Walt Disney Co. advanced 10.4% to $101.66 after the media and resort company reported second-quarter 2025 results.
Revenue edged up to $23.62 billion from $22.08 billion, net income swung to a profit of $3.27 billion from a loss of $20 million, and diluted earnings per share swung to a profit of $1.81 from a loss of 1 cent a year ago.
The company estimated full-year adjusted earnings per share to be $5.75, an increase of 16% from the prior year, including an equity loss of approximately $300 million from the company’s joint venture in India.
DoorDash Inc. eased 3.9% to $182.72 after the food delivery company reported first-quarter 2025 results.
Revenue climbed to $3.03 billion from $2.51 billion, net income swung to a profit of $193 million from a loss of $23 million, and diluted earnings per share swung to a profit of 44 cents from a loss of 6 cents a year ago.
Total orders in the quarter amounted to 732 million, compared to 620 million in the prior year.
The company has proposed to acquire UK-based Deliveroo in a deal valuing the British rival at about £2.9 billion or $3.85 billion.
DoorDash aims to expand its presence overseas after previously snapping up Finland’s food delivery app Wolt in 2022 for €7 billion or $7.9 billion.
U.S. Movers: Carvana, Costco, DoorDash, Uber, Walt Disney
Scott Peters
08 May, 2025
New York City
Costco Wholesale Corp. gained 0.2% to $1,007.15 after the wholesale retailer reported sales results for the 35 weeks ending in May.
Net sales increased 8.2% to $180.05 billion from $166.44 billion a year ago, as comparable store sales edged up 5.9% for the first 35 weeks.
Total comparable store sales climbed 4.4% in April, of which U.S. sales were up 5.2%, sales in Canada jumped 1.5%, and sales in the other international segment rose 3.2%.
E-commerce sales increased 12.6% in April and 16.3% for the 35-week period.
Carvana Co. surged 3.02% to $266.99 after the online used car retailer reported first-quarter 2025 results.
Revenue edged up to $4.23 billion from $3.06 billion, and net income jumped to $373 million from $49 million a year ago.
Adjusted EBITDA came in at $488 million, compared to $235 million a year earlier.
During the quarter, Carvana sold 133,898 retail units, an increase of 46% from 91,878 retail units in the prior year.
Uber Technologies Inc. eased 1.9% to $84.18 after the ride-hailing and delivery services provider reported first-quarter 2025 results.
Revenue jumped to $11.53 billion from $10.13 billion, net income swung to a profit of $1.78 billion from a loss of $654 million, and diluted earnings per share swung to a profit of 83 cents from a loss of 32 cents a year ago.
Gross bookings grew 14% to $42.8 billion from the prior year, or 18% on a constant currency basis, and trips during the quarter grew 18% to 3.0 billion.
The company estimated second-quarter gross bookings to be between $45.75 billion and $47.25 billion, an increase of 16% to 20% from a year earlier, and adjusted EBITDA to be between $2.02 billion and $2.12 billion, an increase of 29% to 35% from a year ago.
The Walt Disney Co. advanced 10.4% to $101.66 after the media and resort company reported second-quarter 2025 results.
Revenue edged up to $23.62 billion from $22.08 billion, net income swung to a profit of $3.27 billion from a loss of $20 million, and diluted earnings per share swung to a profit of $1.81 from a loss of 1 cent a year ago.
The company estimated full-year adjusted earnings per share to be $5.75, an increase of 16% from the prior year, including an equity loss of approximately $300 million from the company’s joint venture in India.
DoorDash Inc. eased 3.9% to $182.72 after the food delivery company reported first-quarter 2025 results.
Revenue climbed to $3.03 billion from $2.51 billion, net income swung to a profit of $193 million from a loss of $23 million, and diluted earnings per share swung to a profit of 44 cents from a loss of 6 cents a year ago.
Total orders in the quarter amounted to 732 million, compared to 620 million in the prior year.
The company has proposed to acquire UK-based Deliveroo in a deal valuing the British rival at about £2.9 billion or $3.85 billion.
DoorDash aims to expand its presence overseas after previously snapping up Finland’s food delivery app Wolt in 2022 for €7 billion or $7.9 billion.
China Indexes Extend 6-Day Rally, Auntea Jenny Soared On Hong Kong Debut
Li Chen
08 May, 2025
Hong Kong
China and Hong Kong indexes advanced for the sixth consecutive session after Beijing announced more measures to support investor and consumer confidence.
The Hang Seng index increased more than 1%, and the mainland-focused CSI 300 index edged up 0.6% as investors welcomed regulatory measures to stabilize financial markets.
The Hong Kong Monetary Authority left its rate unrevised at 4.75%, reflecting the U.S. Federal Reserve's move to hold its target rate range between 4.25% and 4.50%.
The U.S. Federal Reserve provided few insights into the future rate path direction and added that it will review the potential impact of the U.S. tariffs on inflation and the broader economy.
Investors remained optimistic as benchmark indexes in China and Hong Kong wiped out most of the losses since the chaotic introduction of U.S. tariffs, with the heaviest burden on China.
The Hang Seng index is down only 2.4% from April 2 after falling by as much as 10% before recovering over the next five weeks.
The Hong Kong index is still down 5% from the peak on March 19 but up 14% in the year so far as of close on Thursday.
On Wednesday, after a five-day rally, investors booked profit, and mainland China investors sold stocks and exchange-traded funds worth HK $7.87 billion through the Stock Connect program.
China Indexes and Stocks
The Hang Seng index gained 1.1% to 22,939.28, and the mainland-focused CSI 300 index edged higher by 0.6% to 3,831.63.
Advanced chip stocks were in focus after the Trump administration said it plans to replace the President Biden-era restrictions on artificial chip exports targeting China.
Semiconductor Manufacturing International Corp. declined 1.5% to HK $45.40.
Electric vehicle makers led gainers in Hong Kong and Shanghai trading.
BYD jumped 0.2% to HK $385.20, Geely Automobile Holdings gained 4.5% to HK $17.54, and Li Auto advanced 5.5% to HK $107.90.
Auntea Jenny soared more than 60% on the first day of trading on the Hong Kong Stock Exchange after the bubble team company priced its initial public offering.
Auntea Jenny traded at HK $172.80 after rising as high as HK $183.30 at the opening on the Hong Kong Stock Exchange.
The company sold 2.4 million shares and raised HK$272.8 million after the bubble tea company priced its offering at HK$113.12 per share.
The franchise chain operates 9,176 stores in 300 cities across China and generated annual revenue in 2024 of 3.3 billion yuan, with an average gross order per store of 27 yuan and a net income of 328.9 million yuan.
China Indexes Extend 6-Day Rally, Auntea Jenny Soared On Hong Kong Debut
Li Chen
08 May, 2025
Hong Kong
China and Hong Kong indexes advanced for the sixth consecutive session after Beijing announced more measures to support investor and consumer confidence.
The Hang Seng index increased more than 1%, and the mainland-focused CSI 300 index edged up 0.6% as investors welcomed regulatory measures to stabilize financial markets.
The Hong Kong Monetary Authority left its rate unrevised at 4.75%, reflecting the U.S. Federal Reserve's move to hold its target rate range between 4.25% and 4.50%.
The U.S. Federal Reserve provided few insights into the future rate path direction and added that it will review the potential impact of the U.S. tariffs on inflation and the broader economy.
Investors remained optimistic as benchmark indexes in China and Hong Kong wiped out most of the losses since the chaotic introduction of U.S. tariffs, with the heaviest burden on China.
The Hang Seng index is down only 2.4% from April 2 after falling by as much as 10% before recovering over the next five weeks.
The Hong Kong index is still down 5% from the peak on March 19 but up 14% in the year so far as of close on Thursday.
On Wednesday, after a five-day rally, investors booked profit, and mainland China investors sold stocks and exchange-traded funds worth HK $7.87 billion through the Stock Connect program.
China Indexes and Stocks
The Hang Seng index gained 1.1% to 22,939.28, and the mainland-focused CSI 300 index edged higher by 0.6% to 3,831.63.
Advanced chip stocks were in focus after the Trump administration said it plans to replace the President Biden-era restrictions on artificial chip exports targeting China.
Semiconductor Manufacturing International Corp. declined 1.5% to HK $45.40.
Electric vehicle makers led gainers in Hong Kong and Shanghai trading.
BYD jumped 0.2% to HK $385.20, Geely Automobile Holdings gained 4.5% to HK $17.54, and Li Auto advanced 5.5% to HK $107.90.
Auntea Jenny soared more than 60% on the first day of trading on the Hong Kong Stock Exchange after the bubble team company priced its initial public offering.
Auntea Jenny traded at HK $172.80 after rising as high as HK $183.30 at the opening on the Hong Kong Stock Exchange.
The company sold 2.4 million shares and raised HK$272.8 million after the bubble tea company priced its offering at HK$113.12 per share.
The franchise chain operates 9,176 stores in 300 cities across China and generated annual revenue in 2024 of 3.3 billion yuan, with an average gross order per store of 27 yuan and a net income of 328.9 million yuan.
Wall Street Indexes Trade Sideways Ahead of Fed Rate Decisions and Comments
Barry Adams
07 May, 2025
New York City
Wall Street indexes advanced on Wednesday as investors reviewed the latest updates on corporate earnings and awaited the rate decisions later in the day.
The S&P 500 index advanced as much as 0.4%, and the Nasdaq Composite gained 0.5%, and investors reacted to earnings updates from Disney, Uber Technologies, Super Micro Computer, AMD, and Wynn Resorts.
The Federal Reserve is widely anticipated to hold steady the fed funds rate range between 4.25% and 4.5%, where the rates have been since December.
Investors are still holding out for at least two rate cuts later in the year and awaiting comments from Fed Chair Jerome Powell to understand the future rate path.
Market sentiment got a boost after the Trump administration officials were set to meet their counterparts in Geneva, Switzerland, later in the week.
Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are likely to attempt to de-escalate trade tensions with China after the U.S. president launched a tariff war targeting China's imports.
Investor optimism may be misplaced, and China seems to be in no hurry to negotiate a deal with the U.S., as China is looking to ramp up its imports of corn, soybeans, and beef from South America.
China's reliance on direct U.S. exports has declined from as high as 25% in 2016 to less than 15% in 2025, according to trade statistics available from the U.S. Bureau of Economic Analysis.
However, there are few alternatives to sourcing large-scale, low-value products manufactured in China.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.4% to 5,627.97, the Nasdaq Composite edged up 0.3% to 17,745.54, and the Russell 2000 index advanced 0.5% to 1,993.81.
The yield on 2-year Treasury notes edged higher to 3.81%, 10-year Treasury notes increased to 4.31%, and 30-year Treasury bonds declined to 4.79%.
WTI crude oil decreased $0.01 to $59.08 a barrel, and natural gas prices edged higher by $0.15 to $3.61 a thermal unit.
Gold decreased by $11.61 to $3,390.97 an ounce, and silver edged down by $0.34 to $32.81.
The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.20 to 99.43, and it traded at the lowest level since April 2022.
U.S. Stock Movers
Super Micro Computer Inc. decreased 3.6% to $31.71, and the server company reported weaker-than-expected adjusted earnings of 31 cents per share. Moreover, the company's current quarter revenue outlook fell short of investor expectations.
Advanced Micro Devices decreased 0.9% to $98.56, and the advanced chip maker reported adjusted earnings per share of 96 cents, ahead of market expectations.
In addition, the company estimated a loss of $700 million in sales in the current quarter and about $1.5 billion in the current fiscal year because of export restrictions to China.
The Walt Disney Company soared 9.8% to $101.09 after the media and resort company reported better-than-expected fiscal second-quarter earnings per share of $1.45. Additionally, the company raised its fiscal earnings estimate to $5.75 per share.
The resort company said it struck a deal with Miral to build a theme park and resort on Yas Island, Abu Dhabi, UAE.
Disney will not invest its capital in the project, but it will benefit from royalties.
Uber Technologies dropped 1.5% to $84.57, and the ride-hailing platform operator reported lower-than-expected revenue in the first quarter.
Revenue in the first quarter increased 14% to $11.6 billion from $10.13 billion, net income swung to $1.78 billion from a loss of $654 million, and diluted earnings per share were 83 cents compared to a loss of 32 cents a year ago.
Wall Street Indexes Trade Sideways Ahead of Fed Rate Decisions and Comments
Barry Adams
07 May, 2025
New York City
Wall Street indexes advanced on Wednesday as investors reviewed the latest updates on corporate earnings and awaited the rate decisions later in the day.
The S&P 500 index advanced as much as 0.4%, and the Nasdaq Composite gained 0.5%, and investors reacted to earnings updates from Disney, Uber Technologies, Super Micro Computer, AMD, and Wynn Resorts.
The Federal Reserve is widely anticipated to hold steady the fed funds rate range between 4.25% and 4.5%, where the rates have been since December.
Investors are still holding out for at least two rate cuts later in the year and awaiting comments from Fed Chair Jerome Powell to understand the future rate path.
Market sentiment got a boost after the Trump administration officials were set to meet their counterparts in Geneva, Switzerland, later in the week.
Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are likely to attempt to de-escalate trade tensions with China after the U.S. president launched a tariff war targeting China's imports.
Investor optimism may be misplaced, and China seems to be in no hurry to negotiate a deal with the U.S., as China is looking to ramp up its imports of corn, soybeans, and beef from South America.
China's reliance on direct U.S. exports has declined from as high as 25% in 2016 to less than 15% in 2025, according to trade statistics available from the U.S. Bureau of Economic Analysis.
However, there are few alternatives to sourcing large-scale, low-value products manufactured in China.
Commodities, Currencies, Indexes, Yields
The S&P 500 index increased 0.4% to 5,627.97, the Nasdaq Composite edged up 0.3% to 17,745.54, and the Russell 2000 index advanced 0.5% to 1,993.81.
The yield on 2-year Treasury notes edged higher to 3.81%, 10-year Treasury notes increased to 4.31%, and 30-year Treasury bonds declined to 4.79%.
WTI crude oil decreased $0.01 to $59.08 a barrel, and natural gas prices edged higher by $0.15 to $3.61 a thermal unit.
Gold decreased by $11.61 to $3,390.97 an ounce, and silver edged down by $0.34 to $32.81.
The dollar index, which weighs the US currency against a basket of foreign currencies, increased by 0.20 to 99.43, and it traded at the lowest level since April 2022.
U.S. Stock Movers
Super Micro Computer Inc. decreased 3.6% to $31.71, and the server company reported weaker-than-expected adjusted earnings of 31 cents per share. Moreover, the company's current quarter revenue outlook fell short of investor expectations.
Advanced Micro Devices decreased 0.9% to $98.56, and the advanced chip maker reported adjusted earnings per share of 96 cents, ahead of market expectations.
In addition, the company estimated a loss of $700 million in sales in the current quarter and about $1.5 billion in the current fiscal year because of export restrictions to China.
The Walt Disney Company soared 9.8% to $101.09 after the media and resort company reported better-than-expected fiscal second-quarter earnings per share of $1.45. Additionally, the company raised its fiscal earnings estimate to $5.75 per share.
The resort company said it struck a deal with Miral to build a theme park and resort on Yas Island, Abu Dhabi, UAE.
Disney will not invest its capital in the project, but it will benefit from royalties.
Uber Technologies dropped 1.5% to $84.57, and the ride-hailing platform operator reported lower-than-expected revenue in the first quarter.
Revenue in the first quarter increased 14% to $11.6 billion from $10.13 billion, net income swung to $1.78 billion from a loss of $654 million, and diluted earnings per share were 83 cents compared to a loss of 32 cents a year ago.
Eurozone Retail Sales Growth Slowed and German Factory Orders Advanced In March
Bridgette Randall
07 May, 2025
London
European markets traded down on Wednesday, and investors reviewed the fresh batch of earnings.
Benchmark indexes in Frankfurt, Paris, Milan, and London declined, and investors awaited rate decisions from the U.S. Federal Reserve and the Bank of England.
On the economic front, German factory orders advanced in March, and retail sales in the eurozone edged up.
Germany's new orders in the manufacturing sector increased by 3.6% in March from the previous month, adjusted for seasonal and calendar effects. Excluding large orders, new orders were 3.2% higher than in the previous month.
Eurozone retail sales in March decreased from the previous month and increased at an annual pace from a year ago, according to Eurostat.
Retail sales declined by 0.1% from the previous month and rose at a slower pace of 1.5% from a year ago.
On an annual basis, food, beverage, and tobacco sales increased by 0.6%; non-food store sales, excluding fuel, rose 2.3%, and gas stations' fuel sales rose 2.3%.
Europe Indexes and Yields
The DAX index decreased by 0.02% to 23,245.47, the CAC-40 index edged lower 0.5% to 7,659.82, and the FTSE 100 index declined 0.3% to 8,573.71.
The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.26%, the UK gilts moved down to 4.50%, and Italian bonds edged lower to 3.62%.
The euro decreased to $1.14; the British pound was lower at $1.33; and the U.S. dollar was higher and traded at 82.40 Swiss cents.
Brent crude increased $0.79 to $62.94 a barrel, and the Dutch TTF natural gas was lower by €0.25 to €34.67 per MWh.
Europe Stock Movers
Fresenius Medical Care AG jumped 3.5% to €50.30, and the German dialysis service provider reported mixed quarterly results.
BMW AG added 1.8% to €76.22 despite the luxury carmaker reporting a 23% fall in earnings in the first quarter.
Siemens Healthineers AG decreased 0.4% to €47.19 after the German medical company lowered the bottom end of its annual earnings outlook.
Novo Nordisk AS edged up 2.6% to DKK 455.50 after the pharmaceutical company reported better-than-expected net income and lowered its full-year sales growth outlook.
Zalando SE declined 1.8% to €30.59, despite the German online fashion retailer reporting strong first-quarter results and a sharp increase in gross merchandise volume.
Eurozone Retail Sales Growth Slowed and German Factory Orders Advanced In Mar
Bridgette Randall
07 May, 2025
London
European markets traded down on Wednesday, and investors reviewed the fresh batch of earnings.
Benchmark indexes in Frankfurt, Paris, Milan, and London declined, and investors awaited rate decisions from the U.S. Federal Reserve and the Bank of England.
On the economic front, German factory orders advanced in March, and retail sales in the eurozone edged up.
Germany's new orders in the manufacturing sector increased by 3.6% in March from the previous month, adjusted for seasonal and calendar effects. Excluding large orders, new orders were 3.2% higher than in the previous month.
Eurozone retail sales in March decreased from the previous month and increased at an annual pace from a year ago, according to Eurostat.
Retail sales declined by 0.1% from the previous month and rose at a slower pace of 1.5% from a year ago.
On an annual basis, food, beverage, and tobacco sales increased by 0.6%; non-food store sales, excluding fuel, rose 2.3%, and gas stations' fuel sales rose 2.3%.
Europe Indexes and Yields
The DAX index decreased by 0.02% to 23,245.47, the CAC-40 index edged lower 0.5% to 7,659.82, and the FTSE 100 index declined 0.3% to 8,573.71.
The yield on 10-year German bonds inched higher to 2.53%, French bonds increased to 3.26%, the UK gilts moved down to 4.50%, and Italian bonds edged lower to 3.62%.
The euro decreased to $1.14; the British pound was lower at $1.33; and the U.S. dollar was higher and traded at 82.40 Swiss cents.
Brent crude increased $0.79 to $62.94 a barrel, and the Dutch TTF natural gas was lower by €0.25 to €34.67 per MWh.
Europe Stock Movers
Fresenius Medical Care AG jumped 3.5% to €50.30, and the German dialysis service provider reported mixed quarterly results.
BMW AG added 1.8% to €76.22 despite the luxury carmaker reporting a 23% fall in earnings in the first quarter.
Siemens Healthineers AG decreased 0.4% to €47.19 after the German medical company lowered its bottom end of its annual earnings outlook.
Novo Nordisk AS edged up 2.6% to DKK 455.50 after the pharmaceutical company reported better-than-expected net income and lowered its full-year sales growth outlook.
Zalando SE declined 1.8% to €30.59, despite the German online fashion retailer reporting strong first-quarter results and a sharp increase in gross merchandise volume.
U.S. Movers: AMD, Arista Networks, Electronic Arts, Gartner, Marriott
Scott Peters
07 May, 2025
New York City
Advanced Micro Devices Inc. gained 1.7% to $100.32 after the high performance and adaptive computing company reported first-quarter 2025 results.
Revenue jumped to $7.44 billion from $5.47 billion, net income edged up to $709 million from $123 million, and diluted earnings per share rose to 44 cents from 7 cents a year ago.
Data center segment revenue was up 57% in the quarter, client sales were up 68%, gaming sales were down 30%, and embedded segment sales were down 3% from the prior year.
The company guided second-quarter revenue to be approximately $7.4 billion, plus or minus $300 million, compared to $5.8 billion in 2024, and non-GAAP gross margin is estimated to be 43%, compared to 53% in the prior year.
Arista Networks Inc. dropped 3.8% to $87.32 after the computer networking company reported first-quarter 2025 results.
Revenue edged up to $2.00 billion from $1.57 billion, net income jumped to $813.8 million from $637.7 million, and diluted earnings per share rose to 64 cents from 50 cents a year ago.
The company authorized an additional program to repurchase up to $1.5 billion.
Arista estimated second-quarter revenue to be approximately $2.1 billion, compared to $1.69 billion in the prior year; non-GAAP gross margin to be 63%, compared to 65.4%; and non-GAAP operating margin to be 46%, compared to 46.5% a year earlier.
Electronic Arts Inc. advanced 5.2% to $162.55 after the video game company reported fourth-quarter 2025 results.
Revenue jumped to $1.89 billion from $1.78 billion, net income climbed to $254 million from $182 million, and diluted earnings per share rose to 98 cents from 67 cents a year ago.
The company proposed a quarterly cash dividend of 19 cents per share, payable on June 18 to shareholders on record as of May 28.
Electronic Arts guided fiscal 2026 revenue to be between $7.10 billion and $7.50 billion, compared to $7.46 billion in fiscal 2025; net income to be between $795 million and $974 million, compared to $1.12 billion; and diluted earnings per share to be between $3.09 and $3.79, compared to $4.25 a year ago.
For the first quarter of fiscal 2026, the company estimated revenue to be between $1.55 billion and $1.65 billion, compared to $1.66 billion in 2025; net income to be between $125 million and $169 million, compared to $280 million; and diluted earnings per share to be between 49 cents and 66 cents, compared to $1.04 in the prior year.
Marriott International surged 2.6% to $253.83 after the hotel chain operator reported first-quarter 2025 results.
Net fee revenue jumped 5% to $1.28 billion from $1.19 billion, net income edged up 18% to $665 million from $564 million, and diluted earnings per share rose 24% to $2.39 from $1.93 a year ago.
The company added 12,200 net rooms during the quarter, an increase of 4.6% from a year earlier.
At the end of the quarter, Marriott’s worldwide development pipeline totaled 3,800 properties and over 587,000 rooms, an increase of 7.4% from the prior year.
The company repurchased 2.8 million shares for $0.8 billion in the quarter, and year to date through April 29, the company has returned over $1.2 billion to shareholders through dividends and share repurchases.
Marriott guided second-quarter revenue to be between $1.38 billion and $1.39 billion, compared to $1.34 billion in 2024, and adjusted diluted earnings per share to be between $2.57 and $2.62, compared to $2.50 a year earlier.
The hotel company estimated revenue per available room in the second quarter to grow between 1.5% and 2.5% from the prior year.
For the full year 2025, the company expects revenue to be between $5.36 billion and $5.47 billion, compared to $5.17 billion in 2024, and adjusted diluted earnings per share to be between $9.82 and $10.19, compared to $9.33 a year ago.
Marriott expects net rooms to grow nearly 5%, with worldwide revenue per available room increasing between 1.5% and 3.5% in 2025.
Gartner Inc. advanced 2.4% to $437.11 after the research and advisory company reported first-quarter 2025 results.
Revenue jumped to $1.53 billion from $1.47 billion, net income inched up to $210.9 million from $210.5 million, and diluted earnings per share rose to $2.71 from $2.67 a year ago.
The company said operating cash flow increased 66% to $314 million and free cash flow edged up 73.3% to $288 million, as contract value climbed 7%.
The company guided for the medium term its research segment to grow between 12% and 16%, conferences up 5% to 10%, and consulting up 3% to 8%, while total revenue is estimated to increase by at least 10%.
The full-year revenue outlook in the research segment was narrowed to $5.33 billion as of May 6 from $5.36 billion as of February 4, bringing down the total revenue estimate to $6.53 billion from $6.55 billion, respectively.
The company estimated full-year adjusted earnings per share to be $11.70, revised upwardly from $11.45 earlier this year.
In comparison, in 2024 revenue was $6.3 billion, and adjusted earnings per share were $14.09.
U.S. Movers: AMD, Arista Networks, Electronic Arts, Gartner, Marriott
Scott Peters
07 May, 2025
New York City
Advanced Micro Devices Inc. gained 1.7% to $100.32 after the high performance and adaptive computing company reported first-quarter 2025 results.
Revenue jumped to $7.44 billion from $5.47 billion, net income edged up to $709 million from $123 million, and diluted earnings per share rose to 44 cents from 7 cents a year ago.
Data center segment revenue was up 57% in the quarter, client sales were up 68%, gaming sales were down 30%, and embedded segment sales were down 3% from the prior year.
The company guided second-quarter revenue to be approximately $7.4 billion, plus or minus $300 million, compared to $5.8 billion in 2024, and non-GAAP gross margin is estimated to be 43%, compared to 53% in the prior year.
Arista Networks Inc. dropped 3.8% to $87.32 after the computer networking company reported first-quarter 2025 results.
Revenue edged up to $2.00 billion from $1.57 billion, net income jumped to $813.8 million from $637.7 million, and diluted earnings per share rose to 64 cents from 50 cents a year ago.
The company authorized an additional program to repurchase up to $1.5 billion.
Arista estimated second-quarter revenue to be approximately $2.1 billion, compared to $1.69 billion in the prior year; non-GAAP gross margin to be 63%, compared to 65.4%; and non-GAAP operating margin to be 46%, compared to 46.5% a year earlier.
Electronic Arts Inc. advanced 5.2% to $162.55 after the video game company reported fourth-quarter 2025 results.
Revenue jumped to $1.89 billion from $1.78 billion, net income climbed to $254 million from $182 million, and diluted earnings per share rose to 98 cents from 67 cents a year ago.
The company proposed a quarterly cash dividend of 19 cents per share, payable on June 18 to shareholders on record as of May 28.
Electronic Arts guided fiscal 2026 revenue to be between $7.10 billion and $7.50 billion, compared to $7.46 billion in fiscal 2025; net income to be between $795 million and $974 million, compared to $1.12 billion; and diluted earnings per share to be between $3.09 and $3.79, compared to $4.25 a year ago.
For the first quarter of fiscal 2026, the company estimated revenue to be between $1.55 billion and $1.65 billion, compared to $1.66 billion in 2025; net income to be between $125 million and $169 million, compared to $280 million; and diluted earnings per share to be between 49 cents and 66 cents, compared to $1.04 in the prior year.
Marriott International surged 2.6% to $253.83 after the hotel chain operator reported first-quarter 2025 results.
Net fee revenue jumped 5% to $1.28 billion from $1.19 billion, net income edged up 18% to $665 million from $564 million, and diluted earnings per share rose 24% to $2.39 from $1.93 a year ago.
The company added 12,200 net rooms during the quarter, an increase of 4.6% from a year earlier.
At the end of the quarter, Marriott’s worldwide development pipeline totaled 3,800 properties and over 587,000 rooms, an increase of 7.4% from the prior year.
The company repurchased 2.8 million shares for $0.8 billion in the quarter, and year to date through April 29, the company has returned over $1.2 billion to shareholders through dividends and share repurchases.
Marriott guided second-quarter revenue to be between $1.38 billion and $1.39 billion, compared to $1.34 billion in 2024, and adjusted diluted earnings per share to be between $2.57 and $2.62, compared to $2.50 a year earlier.
The hotel company estimated revenue per available room in the second quarter to grow between 1.5% and 2.5% from the prior year.
For the full year 2025, the company expects revenue to be between $5.36 billion and $5.47 billion, compared to $5.17 billion in 2024, and adjusted diluted earnings per share to be between $9.82 and $10.19, compared to $9.33 a year ago.
Marriott expects net rooms to grow nearly 5%, with worldwide revenue per available room increasing between 1.5% and 3.5% in 2025.
Gartner Inc. advanced 2.4% to $437.11 after the research and advisory company reported first-quarter 2025 results.
Revenue jumped to $1.53 billion from $1.47 billion, net income inched up to $210.9 million from $210.5 million, and diluted earnings per share rose to $2.71 from $2.67 a year ago.
The company said operating cash flow increased 66% to $314 million and free cash flow edged up 73.3% to $288 million, as contract value climbed 7%.
The company guided for the medium term its research segment to grow between 12% and 16%, conferences up 5% to 10%, and consulting up 3% to 8%, while total revenue is estimated to increase by at least 10%.
The full-year revenue outlook in the research segment was narrowed to $5.33 billion as of May 6 from $5.36 billion as of February 4, bringing down the total revenue estimate to $6.53 billion from $6.55 billion, respectively.
The company estimated full-year adjusted earnings per share to be $11.70, revised upwardly from $11.45 earlier this year.
In comparison, in 2024 revenue was $6.3 billion, and adjusted earnings per share were $14.09.