Alphabet and Microsoft above estimates, Intel knocked out
Alphabet, the company that controls the Google search engine, rises by around 10% on Wall Street after recording profits and sales above expectations in the first three months of 2024, so much so that it decided to pay the first dividend in its history, of 20 cents per share that will be paid to shareholders in June. In addition, the group will implement a new 70 billion buyback plan, in line with that of last year. Microsoft shares are highlighted by quarterly numbers above consensus, with profits up 20% to 21.9 billion. Ko for Intel, which even lost 11%, which is affected by the mixed accounts and above all by the lackluster indications for the current quarter: for the April-June period, Intel expects a profit per share of 10 cents on revenues of 13 billion (midpoint) while analysts estimated a profit of 25 cents on 13.57 billion in revenues.
Thanks to Microsoft and Alphabet, the American market seems to be shelving the disappointment of the macro data and the accounts of Meta and IBM, which on the eve sank the shares of the two groups, which slipped by 8.5% and 10.5% respectively . The US stock market is preparing to close a brilliant week with increases of between 3% and 4% for the S&P500 and Nasdaq.
Banks doing well in Milan, Tenaris down on forecasts for the next few months
Bank stocks shone in Piazza Affari, with Banca Mps and Banca Pop Sondr at the top of the list. Convincing session also for Prysmian in the wake of the sector increases at European level (Euro Stoxx Industria +1.77%). Rebound for Iveco Group and luxury with Brunello Cucinelli, after a series of difficult sessions. However, there are only a handful of negative stocks: among these Stmicroelectronics, which closes in the red, in contrast to the tech sector (European sub-index +1.99%) and is still affected by the accounts. However, Tenaris ends up at the bottom of the Ftse Mib, weighed down by profit and revenue forecasts for the coming months. Finally, Unipol closed higher on the last day of the takeover bid on Unipolsai. Already yesterday the company announced that it had reached over 90% of the capital of the subsidiary and will therefore proceed with the delisting.
Madrid the best of the week, London at all-time highs
The Madrid Ibex (+4%) is the best index in Europe in a week marked by quarterly reports. The Ftse 100 in London (+3.1%) also recorded good increases in the eighth session, reaching its highest level in eight sessions, the Aex in Amsterdam (+2.6%) and the Dax in Frankfurt (+2.4%) . The Cac of Paris (+0.8%) is further behind, due to the decline in luxury stocks, and the Ftse Mib of Milan (+1%). In Piazza Affari the quarterly reports shone while waiting for the accounts of the main credit groups.
Euro below 1.07 dollars, oil on the rise
On the exchange rate front, the euro/dollar fell below 1.07 dollars. Oil prices are rising: WTI in June is close to 84 dollars a barrel, Brent, again in the June deadline, exceeds 89 dollars a barrel. The price of natural gas in Amsterdam has fallen to 29 euros per megawatt hour.
BTp, 10-year yield falling to 3 88%
The spread between BTp and Bund narrowed in a session of general contraction in government bond yields, in particular after the publication of American data on the trend in prices for consumer spending. The yield differential between the benchmark ten-year BTp (Isin IT0005560948) and the German Bund of the same duration stood at 131 basis points, from 135 points the day before. The yield of the benchmark ten-year BTp fell to 3.88% from 3.98% of the previous reference.
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Stock markets, brilliant week in Europe and on Wall Street. Now focus on Fed and EU data
Argentinian Company Pampa Energía Expected to Rise by 22% in Dollar Value, Analysts Say
A A share of the leading Argentinian company can rise by about 22% in dollars in price within the next 12 months, according to a report, accessed by iProfessional, by stock market analysts at Research for Traders (RfT). Therefore, they recommend to “buy” it as an investment.
These are the assets of the Pampa Energía (PAM), which is listed on both the Buenos Aires and New York stock exchanges, and is the largest electricity company in Argentina, as it participates in generation, transmission and distribution. It is also in the gas and oil business, where it is present in 8% of the surface area of A dead cow.
Currently, ADR Pampa Energía to quotes and Wall Street It is priced approx at $s45.5 and, according to experts, it could face an interesting rise within a year.
“We maintain the ‘buy’ recommendation for Pampa Energía (PAM) stock with a new target price of US$53, indicating a 22% dollar upside in 12 months as the likely scenario.”“, stand out from RfT, a consulting firm run by Gustavo Neffa.
The support forwarded is that this company can have an attractive promotion in your quota for “a solid financial position, reduced net debt and an increasing cash positionsignificant drivers of the stock’s growth,” the analysts concluded.
Pampa Energy and winning livelihoods for action
Pampa Energía has potential and diversification interesting in the energy sector, reflected in the latest numbers on the balance sheet. In fact, he has a participation in Transportadora de Gas del Sur (TGS) and Transener.
Pampa Energía shares can advance 22% in dollars within the next 12 months. on wall street
In that fourth quarter of last yearlos income of the company achieved u$s362 milliondespite being an attractive figure, it represented a 19% decrease compared to the same period of the previous year, due to lower sales of gas, thermal energy dispatch and petrochemical products.
“There was a an unusual and weakest quarter of 2023. Gas production decreased by 7% year-on-year, reaching 8.8 million cubic meters per day (mm³/d), due to the impact of the El Niño phenomenon, which also affected Chile and, therefore , exports,” they clarify from Research. for Traders.
Another of the problems What is kept in mind, according to analysts, is that despite a 28% adjustment in base energy contracts in November, in the generation segment “showed weakness due to the devaluation of the peso in December, which reached 57%. And while hydropower supply increased by 30%, the average price, measured in dollars, decreased by 25% year-on-year.”
So now, with certain aspects that harmed him in the past that are now more balanced, There are points that guarantee better results.
Regarding liquidity, Pampa ended the last quarter of 2023 with US$171 million in cash and its equivalent.
Forecast more revenue for Pampa Energía
In the future, Several arguments are presented Pampa Energía to increase your incomeaccording to the company’s balance sheet and the survey of analysts, which makes it attractive to investors.
Pampa Energía is involved in the entire electricity generation and distribution chain, also in gas and oil.
” he increase in reserves in the fields that Pampa Energía operates in Vaca Muerta it allows us to maintain higher revenue expectations for years to come. Until 2028, stability in the quantity and value of gas is ensured through the Gas Plan, which sets prices in dollars,” details RfT.
And in the coming years, a potential increase in gas production is expected until they reach 20 million cubic meters per day with the second stage of the PNK Gas Pipeline.
Also, It is planned to start oil production in Rincón de Aranda in 2025, with the goal of reaching maximum production of up to 20,000 barrels per day in 2027.
“With a market capitalization of $2.93 billion and a P/E (price-to-earnings) of 7.5x, the company exhibits a valuation that reflects investor confidence in its ability to generate profits. The company has an interest in participating in large-scale liquidations. gas projects (LNG) in Argentina and aims to export gas to Chile during the winter“, summary from RfT.
Therefore, they project that Pampa Energía would end the year 2024 with a 12% increase in its income in dollars, driven by higher production volumes of unconventional hydrocarbons in Vaca Muerta (specifically in El Mangrullo and Sierra Chata) and by high international energy prices.-
Argentinian Company Pampa Energía Expected to Rise by 22% in Dollar Value, Analysts Say