- DAX in mixed mood at the end of the week
- Mercedes-Benz results in the background
General market situation:
Friday's session on European stock markets brings mixed investor sentiment. Germany's DAX is currently gaining 0.12%. Britain's FTSE 100 is losing 0.05% at the same time. France's CAC40, meanwhile, is losing 0.1%. Investors' attention today turns to corporate news (Mercedez-Benz results), Tesla's stock, which saw historic gains yesterday, and macro data from the US.
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Open account Try demo Download mobile app Download mobile appVolatility currently observed in the broad European market. Source: xStation
The German benchmark DE40 is trading nearly 0.25% higher during Friday's session. The key support/resistance points of the broad uptrend appear to remain the 19,000-point zone, the 50-day EMA (blue curve on the chart) and the historical peak tested last week, which now serves as the main control zone for the supply and demand sides. Source: xStation
News:
The shares of automotive giant Mercedes-Benz (MBG.DE) are losing more than 1.5% in today's session after the company's preliminary third-quarter results failed to meet analysts' expectations. The company's chief financial officer communicated that the Q3 results did not meet the company's ambitions.
Mercedes-Benz Group AG plans to intensify cost cutting after fierce competition and weaker demand in China hit the luxury carmaker's profits. Source: Bloomberg Financial LP
THIRD QUARTER RESULTS
- Adjusted return on car sales 4.7% vs. 12.4% y/y, estimated 8.13%
- Automobiles adjusted Ebit 1.21 billion euros, -64% y/y, estimated 2.21 billion euros
- Vans adjusted Ebit 628 million euros, -15% y/y, estimated 692.6 million euros
- Mobility adjusted Ebit 285 million euros, -21% y/y, estimated 294.5 million euros
- Adjusted return on sales of commercial vehicles 13.5% vs. 15% y/y, estimated 14.4%
- Sales €34.53 billion, -6.7% y/y, estimated €36.25 billion
- Car sales €25.60 billion, -5.6% y/y, estimated €26.87 billion
- Light vehicle sales €4.66 billion, -5.7% y/y, estimated €4.85 billion
- Mobile vehicle sales 6.01 billion euros, -4.7% y/y, estimated 6.47 billion euros
- Ebit 2.52 billion euros, -48% y/y, estimated 2.56 billion euros
- Ebit cars €1.20 billion, -64% y/y, estimated €2.12 billion
- Vans Ebit 618 million euros, -14% y/y, estimated 694.8 million euros
- Mobility Ebit 285 million euros, -21% y/y, estimated 327.4 million euros
- Net profit €1.72 billion, -54% y/y, estimated €2.5 billion
- Industrial free cash flow €2.39 billion, +1.8% y/y
NatWest (NWG.UK) reported third-quarter pre-tax operating profit that topped analysts' average estimates. The company's shares are currently gaining nearly 3.5%.
Q3 RESULTS
- Pre-tax operating profit GBP 1.67 billion, estimated GBP 1.48 billion
- Net profit GBP 1.17 billion, estimated GBP 998.9 million
- Return on equity +18.3%, estimated +15.1%
- Customer deposits GBP 431.1 billion, estimated GBP 434.74 billion
- Common equity tier 1 capital ratio 13.9%, estimated 13.8%
- Adjusted cost-to-income ratio 47.6%, estimated 52.5%
- Total income £3.74 billion, estimated £3.59 billion
- Total retail banking income £1.46 billion, estimated £1.4 billion
- Total private banking income GBP 253 million, estimated GBP 227.3 million
- Total commercial and institutional income GBP 2.07 billion, estimate GBP 1.93 billion
- Net interest income £2.90 billion, estimate £2.8 billion
- Retail banking net interest income GBP 1.35 billion, estimated GBP 1.3 billion
- Private banking net interest income GBP 170 million, estimated GBP 154.6 million
- Commercial and institutional banking net interest income GBP 1.39 billion, estimate GBP 1.33 billion
ANNUAL FORECAST
Sees return on equity above +15%, previously estimated +14%, analysts expect +15%
Other news coming out of individual DAX index companies. Source: Bloomberg Financial LP
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