Norbolsa | Iberdrola (IBE) has reached an agreement with energy company Premier Energy Group to sell its renewable business in Romania for €88 million (80 MW of wind power), thus advancing in its plan to divest non-strategic assets. The company thus takes another step towards focusing on key countries, such as Spain, the United Kingdom, Brazil and the United States.
Jefferies | Banco Santander | BUY | SAN SM ! €4.75 ! PT: € 5.10 | % to PT: +7% A 1% miss versus cons at bottom-line level albeit some variations by geos. But decent print at PBT level (+1% beat). Revenue dynamics trending well, with Spain particularly strong. Brazil NII and asset quality trends also supportive, alongside good performance in fees in the US. Across the Group, OpEx and…
The Spanish press that remains critical of the government is unanimous: “a farce”, “a grotesque”, “a joke”… But no one is fooled. When Pedro Sánchez refuses to explain his wife’s business dealings and says that these five days mark “a turning point”, speaks of “cleanliness, of “democratic regeneration” and that “we will show the world how democracy is defended”, he means that he is tired of seeking an agreement with…
Jefferies | BBVA reported a solid 1Q24 print, with a 10% PAT beat versus consensus, driven by strong revenues, partly offset by costs. The quarter confirmed solid dynamics across most geographies, with beats coming from both Spain and Mexico. The FY24 outlook for revenues is improving on the back of better NII dynamics in Spain, and NAP for the group now guided to grow double-digit versus FY23 (consensus at 7%…
Link Securities | As released by the European Central Bank (ECB) last Friday, the M3 monetary aggregate grew in March in the Eurozone at an annual rate of 0.9% (0.4% in February), higher than the 0.6% rate expected by FactSet consensus analysts. M3 is considered a good indicator of future economic expansion. In addition, and in March, bank lending to households in the Eurozone rose 0.2% year-on-year compared to a…
Unemployment rose by 117,000 people between January and March, which is 4.1% more than in the previous quarter, while employment fell by 139,700 jobs (0.6%), registering in both cases its worst data in a first quarter since 2020, with the arrival of Covid, the INE (National Employment Institute) reported on Friday. After rising by 117,000 people in the first three months of the year, the unemployment rate stood at 12.29%…
Intermoney| As expected, imports subtracted from GDP, which was expected given the trade deficit. The trade drag took 0.86 p.p. off the growth rate. Paradoxically, strong imports reflect solid consumer demand, but they also detract from overall GDP growth. That is the trade-off. Net exports only grew by +0.9% quarter-on-quarter, which shows that a strong dollar seems to put some pressure on exports. Also note that inventories built up at…
Unusual: Pedro Sánchez continues… The PSOE denies the evidence and backs Pedro Sánchez, who, surrounded by corruption, speaks of “harassment” and lashes out against the right, the ultra-right, the judges, the press… On the same day that a judge opened proceedings to find out whether the president’s wife had committed a criminal offence (an opening of proceedings that, in another unprecedented decision, has been appealed by the Public Prosecutor’s Office,…
Bankinter : Cellnex (CLNX) 1Q2024 results slightly beat expectations. Revenues are up 7% to €946M (versus €947M estimated); Adjusted EBITDA is up 7% to €778M (versus €777M estimated) and Recurrent cash flow is up14% to €384M (versus €375M estimated). Maintains guidance for 2024: Revenues of €3,850-3,950m, EBITDA of €3,150-3250m and cash flow of €1,650-1750m. Assessment by Bankinter’s research team: Slightly better-than-estimated results in cash flow, although guidance remains unchanged for…
Bert Flossbach (Flossbach von Storch) | The AI boom has also had an impact on the equity markets, and not just on the supposedly immediate winners. The valuation of US equities, which make up a good two-thirds of the MSCI World Index, has recently risen further and, with a price-to-earnings ratio (P/E ratio) of 23.4, has reached an above-average level, even in an historical context. It is now common knowledge…