Bankinter | The main challenge of the group is the restructuring of Nordex. The market interprets this acquisition as a defensive movement to protect its investment in the turbine producer. A waiting period is now open to see if you are able to recover profitability with this injection of Acciona funds. This greater uncertainty could slow down the evolution of the stock.
Igor de Maack (Natixis) | Years of negative rates may well be coming to an end, with a reversal of investor sentiment for bonds over the last few weeks. In fact, the French 10-year rate is now verging on 0%. However, these years will leave their mark in terms of the extravagance of the monetary policies implemented for the purposes of “Saving Private Capitalism”, lost on the battlefield of excessive debt and driven into the trenches of complex finance.
BOfAML | Growth has started to improve and macro uncertainty is fading, but much of the good news is already priced into markets. We remain positive on European equities, but only see a further 5% upside to 425 on the Stoxx 600 by March.
DWS | Quarterly earnings are down year-on-year and 2020 forecasts are being cut further. It’s hope that is driving markets for now.
Christian Gattiker (Julius Baer) | With all the macroeconomic numbers, political news flow and earnings season reporting that has been going on, investors have had their hands full finding time to assess the situation. At the same time, there has been a quite substantial price reaction. So, the easing of the news intensity has brought a pause to investor activity.
Unigestion | October began in the shadow of highly negative expectations but ended on a positive note, as key dangers were avoided. Will this trend continue, which assets will end up flying to the moon, and how can we position ourselves for the final 40 trading days of the year?
Santander bank secured a net profit of 3.732 Bn€ in the first nine months of the year, 35% less than a year before, after making provisions of 2.448 Bn€, mainly because of the adjustment to the goodwill in the UK due to Brexit.
Bankinter | Repsol has published weak results for 3Q19. Principal figures compared with the consensus (Bloomberg): Ebitda 1.597 Bn€ (-21%); adjusted NAP 522 M€ (-11%) vs 529 M€ estimated (Bloomberg); Net Profit 333 M€ (-47%).
Bankinter | Caixabank results for the first nine months of 2019 surprised positively. Results have improved at operational level and beaten expectations, although the lower part of the profit and loss account is resisting because of the cost of restructuring the commercial network.
Banc Sabadell | Ence has published bad results for 3Q19, although more or less in line with expectations at the level of Ebitda. Thus sales fell -8.4% vs 3Q18, somewhat better than expected (-11.1% BS expectation and -12.6% consensus) above all because of a greater volume of sales.