blog

Latest from the Quantamize Blog

European stocks post modest gains with trade optimism ahead of US-China trade talks tomorrow

Jan 29, 2019

Get Unbiased Quantitative Investment Research from Advanced AI Machine Learning Technology and Maximize your ReturnsGet Unbiased Quantitative Investment Research from Advanced AI Machine Learning Technology and Maximize your Returns
Get Unbiased Quantitative Investment Research from Advanced AI Machine Learning Technology and Maximize your ReturnsGet Unbiased Quantitative Investment Research from Advanced AI Machine Learning Technology and Maximize your Returns
 

*Data in Price Return and Updated Real-Time (with a delay), Source: StockDio

European Markets

  • European stocks post modest gains at the close, with trade optimism animating investors ahead of US-China talks that begin tomorrow
  • The Euro Stoxx 600 closed up +0.8%, the FTSE 100 advanced +1.29%, the DAX rose +0.08%, and the CAC 40 finished up +0.81%
  • The UK Parliament is set to vote on the revised BREXIT proposal from UK Prime Minister Theresa May this evening 
  • PM May again called on the EU to come to the table and renegotiate Brexit
  • US prosecutors have formally filed criminal charges against Huawei Technologies, raising fears about the potential for a breakdown in talks between US and China trade officials 
  • Vice Premier Liu He of China will hold talks with US Treasury Secretary Steve Mnuchin and US Trade Rep Robert Lighthizer on Wednesday and Thursday in Washington, DC
  • Investor sentiment for European stocks finished trading positive with the advance/decline ratio for the Euro Stoxx 600 currently at 2.7x
  • Utilities (+1.6%), Personal & Household Goods (+1.6%), and Oil & Gas (+1.52%) stocks were the top performers in the Euro Stoxx 600 today
  • Automobiles & Parts (-0.5%), Technology (-0.47%), and Telecommunications (+0.01%) stocks were the worst performers in the Euro Stoxx 600 today
  • 88 stocks in the Euro Stoxx 600 hit 4-week highs while 21 stocks closed at 4-week lows
  • 21 stocks in the Euro Stoxx 600 finished the trading session overbought while 4 stocks closed oversold according to the 16-day RSI Measure
  • VSTOXX, the European stocks equivalent of the VIX, closed  down 0.12 points today to 16.04 after closing at 16.16 yesterday

Stocks Trending in the News

Click name for Q-Factor score and financial data

  • 3M (MMM) reported fourth quarter adjusted EPS of USD$2.31 while consensus was for USD$2.28.  3M fourth quarter revenue came at USD$7.9 billion, missing consensus of USD$7.86 billion.  3M gave guidance for 2019 EPS of USD$10.45-10.90, down from USD$10.60-11.05.  3M is rated “Attractive” in our US Large-Cap Global Top Stock Ideas “Neutral” in our US Industrials Global Top Stock Ideas.
  • Biogen (BIIB) reported fourth quarter EPS of USD$6.33 while consensus was for USD$6.69.  Biogen fourth quarter revenue came at USD$3.53 billion, missing consensus of USD$3.39 billion.  Biogen gave guidance for 2019 EPS of USD$28-29.  Biogen is rated “Neutral” in our US Large-Cap Global Top Stock Ideas.
  • Corning Inc. (GLW) announced core EPS of USD$0.59/share while consensus was for USD$0.57/share. Corning generated revenue of USD$3.08bn, beating analysts' consensus of USD$3.01bn. Corning is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Information Technology Global Top Stock Ideas.
  • Harris Corp. (HRS) reported fourth quarter EPS of USD$1.88 while consensus was for USD$1.90.  Harris Corp. fourth quarter revenue came at USD$1.666 billion, in line with consensus of USD$1.64 billion.  Harris Corp. is rated “Top Buy” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Industrials.
  • L3 Technologies (LLL) reported fourth quarter EPS of USD$3.10 beating consensus of USD$2.69.  L3 Technologies fourth quarter revenue came at USD$2.77 billion, above consensus of USD$2.66 billion.  L3 Technologies is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Industrials.
  • Nucor (NUE) reported fourth quarter EPS of USD$2.07 beating consensus of USD$1.94.  Nucor fourth quarter revenue came at USD$6.3 billion, in line with consensus of USD$6.3 billion.  Nucor is rated “Top Buy” in our US Large-Cap Global Top Stock Ideas.
  • Pfizer Inc. (PFE) reported fourth quarter EPS of USD$0.64 while consensus was for USD$0.63.  Pfizer fourth quarter revenue came at USD$14.0bn, missing consensus of USD$13.9 billion.  Pfizer gave guidance for 2019 EPS of between USD$2.82/share and USD$2.92/share while analysts’ consensus called for USD$3.04/share.  Pfizer is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology.
  • PulteGroup (PHM) reported fourth quarter EPS of USD$1.11 while consensus was for USD$1.10.  PulteGroup fourth quarter revenue came at USD$2.99 billion, missing consensus of USD$2.91 billion.    PulteGroup is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Consumer Discretionary Global Top Stock Ideas.
  • Rockwell Automation (ROK) reported FY1Q2019 EPS of USD$2.21  while consensus was for USD$2.01  Rockwell Automation fourth quarter revenue came at USD$1.64bn, in-line with consensus of USD$1.64bn.  Rockwell Automation sees FY2019 EPS of between USD$8.85/share and USD$9.25/share, the midpoint of which beats consensus of USD$8.96/share.  Rockwell Automation is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Industrials Global Top Stock Ideas.
  • SAP SE (DB: SAP) shares fell after the company reported a 23% y/y increase in new cloud bookings for its most recent quarter, which represented slowed y/y growth. SAP SE is planning to reassign jobs in order to tackle intense competition from sector members Salesforce.com Inc. (CRM) and Oracle Corp. (ORCL). In 2018, SAP spent more than USD$10bn on acquisitions to keep up with competition. SAP SE is rated “Unattractive” in our European Large-Cap Global Top Stock Ideas. Salesforce.com is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Neutral” in our US Information Technology Global Top Stock Ideas. Oracle Corp. is rated “Attractive” in our US Large-Cap Global Top Stock Ideas and “Top Buy” in our US Information Technology Global Top Stock Ideas.  
  • Scor SE (ENXTPA: SCR) shares fell after insurance group Covea said in an email statement that a merger with the former is no longer part of its strategy. According to the email statement, Scor refused to enter any discussion over a merger. Scor is rated “Neutral” in our European SMID-Cap Global Top Stock Ideas.  
  • Siemens AG (DB: SIE) shares plummeted after CEO Joe Kaeser took to Twitter to blast Europe’s top antitrust official, Margrethe Vestager, because she is likely to reject a prospective merger with France’s Alstom SA (ENXTPA: ALO). One of Kaeser’s tweets reads, “It must be bitter if you are technically right, but do everything wrong for Europe.” Siemens is rated “Neutral” in our European Large-Cap Global Top Stock Ideas. Alstom is rated “Top Buy” in our European Large-Cap Global Top Stock Ideas. 
  • Verizon (VZ) reported fourth quarter EPS of USD$1.12 while consensus was for USD$1.08.  Verizon fourth quarter revenue came at USD$34.28 billion, missing consensus of USD$34.44 billion.  Verizon gave guidance for 2019 EPS of ~USD$4.73.  Verizon is rated “Attractive” in our US Large-Cap Global Top Stock Ideas.
  • Xerox (XRX) reported fourth quarter EPS of USD$1.14  while consensus was for USD$1.04.  Xerox fourth quarter revenue came at USD$2.53 billion, matching consensus of USD$2.56 billion.  Xerox gave guidance for 2019 EPS of USD$3.70-3.80.  Xerox is rated “Neutral” in our US Large-Cap Global Top Stock Ideas and “Attractive” in our US Information Technology.

What is Going on with European Currencies?

  • EUR€ is currently little changed against the USD$ at 1.1426
  • GBP£ is currently down -0.16% against the USD$ to 1.3142
  • CHF is currently down -0.308% against the USD$ to 1.0049

Highlights from the European Bond Market

  • Generic Euro 10-Year Bonds are higher with yields down -0.5 basis points to 0.2%
  • German 10-Year Bunds are higher with yields down -0.5 basis points to 0.2%
  • French 10-Year Government Bonds are lower with yields up 0.3 basis points to 0.611%
  • UK 10-Year GILTs are lower with yields up 0.4 basis points to 1.269%
  • Italian 10-Year Government Bonds are higher with yields down -3.2 basis points to 2.633%
  • Spanish 10-Year Government Bonds are lower with yields up 1.8 basis points to 1.238%

 

Our Comprehensive Analytics and Powerful Quantitative Products Analyze and Synthesize Trade Ideas for you.Our Comprehensive Analytics and Powerful Quantitative Products Analyze and Synthesize Trade Ideas for you.
Our Comprehensive Analytics and Powerful Quantitative Products Analyze and Synthesize Trade Ideas for you.Our Comprehensive Analytics and Powerful Quantitative Products Analyze and Synthesize Trade Ideas for you.

Euro Stoxx 50 Movers

In local currency.
On Mobile/Tablet scroll to the right.

Outperformers Sector Price 1D % Chg Volume
Safran SA Industrials 114 2.52%                  863,660
Koninklijke Philips NV Financials 33.1 2.34%               5,161,991
L'Oreal SA Health Care 206 2.34%                  539,972
Vivendi SA Consumer Discretionary 22.1 2.22%               3,197,905
Linde PLC Real Estate 141 1.85%                  656,823
 
Underperformers Sector Price 1D % Chg Volume
SAP SE Industrials 89.8 -2.76%               4,616,496
Volkswagen AG Consumer Staples 148 -1.42%               1,086,275
ASML Holding NV Health Care 152 -1.03%               1,304,032
CRH PLC Telecommunication Services 25.3 -0.98%                  872,331
Fresenius SE & Co KGaA Telecommunication Services 44.3 -0.92%               1,295,229