Stock Update
Alibaba Group Holding Ltd:
Alibaba scraps the spinoff of its cloud unit due to U.S. export curbs on AI chips. The recent U.S. restrictions on chip exports create uncertainties for the Cloud Intelligence Group. Q3 revenue: 224.79 billion yuan, slightly exceeding analysts’ estimates. First quarterly results under CEO Eddie Wu, succeeding Daniel Zhang in September.
West Jet
The CEO of WestJet says that winter sun destinations will cost less this winter and the following summer, as airlines add back routes and flight volume.
Canada’s Stock Index:
Resources-heavy stock index declines, influenced by a dip in crude oil prices. Investor caution prevails ahead of domestic housing data.
Bath & Body Works Inc:
Lowers annual sales forecast due to signs of slowing demand, especially in non-essential items.
Expects a 2.5% to 4% decline in net sales for 2023.
Tightens annual adjusted earnings forecast to $2.90 to $3.10 per diluted share.
Cisco Systems Inc:
Cuts full-year revenue and profit forecasts, citing a slowdown in demand for networking equipment.
Attributes slowdown to customers focusing on implementing products in their environments.
Expects a return to order growth in the second half of the year.
Palo Alto Networks Inc:
Forecasts second-quarter billings below market expectations, citing the impact of the cost of money.
Second-quarter billings expected between $2.34 billion and $2.39 billion.
Annual billings revised to $10.7 billion to $10.8 billion.
Walmart Inc:
Raises annual sales and profit forecast for the second straight quarter, signaling a strong start to the holiday season.
Fiscal 2024 earnings per share expected between $6.40 and $6.48.
Projects comparable sales for the full year to rise 5% to 5.5%.
Other News:
Adobe Inc:
Adobe expects an EU antitrust warning on its $20 billion bid for Figma.
Alphabet Inc & Spotify Technology SA: Expand partnership to use large language models for personalized recommendations.
Blackstone Inc:
Blackstone is in final stages of raising about $400 million for Blackstone Private Credit Fund.
Bristol-Myers Squibb Co:
FDA approves lung cancer drug Augtyro for ROS1-positive patients.
Carlyle Group Inc: Lowers target for its pan-Asia private equity fund by at least 30%.
Eli Lilly and Co:
Plans to build a new plant in western Germany with an investment of 2 billion euros.
Enovix Corp:
Establishes a 5.8 billion ringgit high-volume manufacturing facility in Malaysia.
Exxon Mobil Corp:
Plans to invest up to $15 billion in petrochemical and CCS facilities in Indonesia.
Gold Fields Ltd:
Aims to expand its footprint in Chile with the Salares Norte mine starting production in December.
JPMorgan Chase & Co:
Includes low-carbon power in calculating the environmental impact of its energy funding.
Leonardo DRS Inc: Italy’s Leonardo to sell a 6.3% minority stake in its U.S. subsidiary.
STA Research (StockTargetAdvisor.com) is a independent Investment Research company that specializes in stock forecasting and analysis with integrated AI, based on our platform stocktargetadvisor.com, EST 2007.
