The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
1604 GMT - United Airlines has had a strong start to the year with corporate travel bookings, COO Andrew Nocella says on a call with analysts. Business volumes were strong this time last year too, but those numbers quickly trailed off in February and March to the low-single-digits. If volumes hold this time around, the high-single digit growth seen so far in January will push up to 12% to 14% in the back half of January, and potentially get stronger for the rest of 1Q, Nocella says. (dean.seal@wsj.com)
1553 GMT - United Airlines generated $2.7 billion in free cash flow last year and expects a similar level next year, as increased profits are offset by higher aircraft deliveries, CFO Michael Leskinen says on a call with analysts. That free cash flow comes at a 50% conversion rate from its earnings, but United expects the rate to expand to 75% toward the end of the decade, Leskinen. Some of that expanding pool of leftover cash will be used for stock buybacks. United has $782 million left in its buyback authorization. The carrier will buy shares when "market opportunities present themselves," the CFO says. He notes that such opportunities--when United's stock falls below what the company sees as a fair value--present themselves "hopefully less frequently," Leskinen says. (dean.seal@wsj.com)
1521 GMT - Demand for international travel is spreading from the spring and summer to other parts of the year, United Airlines' Andrew Nocella says on a call with analysts. As a result of that shift, United is expecting 1Q to be the quarter that sees the most international capacity growth. There will also be minimal growth in 3Q, Nocella says. Last year, United's international flying was challenged in 3Q, only to bounce back in 4Q. The Pacific and Atlantic regions performed well, with passenger revenue per available seat miles turning positive in each region, Nocella says. (dean.seal@wsj.com)
1520 GMT - European defense stocks fall after President Trump ruled out taking Greenland, a self-governing autonomous territory within Denmark, by force. Trump told the World Economic Forum in Davos, Switzerland, that he wants to start immediate negotiations for the U.S. to acquire Greenland, saying it was vital to secure North America. In Frankfurt, Hensoldt loses 2.8%. Rheinmetall is down 2.6% and Renk falls 1.55%. In London, BAE Systems is down 0.4%, while Rolls-Royce decreases 1.3%. In Paris, Thales falls 1.3% while Dassault Aviation is down 0.3%. Italy's Leonardo drops 0.8% while Sweden's Saab falls 1%. (cristina.gallardo@wsj.com)
1128 GMT - Continental might struggle to get a good price for the planned sale of its ContiTech business after the division's profitability fell short of forecasts in the fourth quarter, Bernstein analysts say in a research note. The German tire maker said the market recovery it expected didn't materialize, prompting ContiTech's full-year profitability to miss guidance. Continental said it still plans to go ahead with the planned ContiTech sale this year, Bernstein says. "We already thought that the ContiTech sales price may disappoint, given that Continental is an enthusiastic seller with an explicit target sale date, the asset is large and we put low probability on a buyer overpaying for synergy potential," the analysts say. Shares fall 1.5%. (adria.calatayud@wsj.com)
0734 GMT - The extended Chinese new year holiday in 2026 and passenger traffic growth should benefit the food and hotel & travel sectors, HSBC analysts say in a note. They expect more pre-holiday food restocking in January compared to previous years given the relatively later holiday this year, which should boost the food industry's 1Q growth. HSBC likes Ninebot for its promising growth across business units and Wanchen group, given the later holiday, improving store sales and market attention on snack retailers ahead of rival Busy Ming's IPO. It also selects Huali Industrial and Jinjiang Hotels as its stock picks. More broadly, the bank expects continued trade-in subsidies in 2026 and more policies to support domestic demand in 2026.(jason.chau@wsj.com)
0630 GMT - Alstom's order backlog has crossed the 100 billion euros mark, providing strong visibility on growth in the coming years, JP Morgan analysts say in a research note. The French train maker reported quarterly order intake at an all-time high, ahead of JP Morgan estimates, the analysts say. Organic sales growth of 5.9% in the third quarter also came ahead of JP Morgan's estimated 3%, they add. Guidance for fiscal 2026 and the midterm were reiterated by the company. "Demand outlook remains robust and we believe the self-help story remains on track," the analysts say.(nina.kienle@wsj.com)
0357 GMT - Germany's electric-vehicle subsidy program could benefit Chinese automakers with strong exports to the European Union, says Daiwa analyst Kelvin Lau in a note. The German government said Monday that it would restart the EV subsidy program. The program has no restrictions on the origin of EVs, so it's open to Chinese brands, Lau adds. The German government will spend EUR3 billion on the program from 2026 to 2029, offering subsidies of EUR1,500 to EUR6,000 for each EV with a focus on low- and middle-income households, he says. The program would benefit Chinese automakers like BYD, he adds. (jiahui.huang@wsj.com; @ivy_jiahuihuang)
0220 GMT - Bangkok Airways is expected to post higher 4Q core profit on year, Maybank Securities (Thailand)'s Boonyakorn Amornsank writes in a research report. Earnings should be supported by a stronger baht against the dollar and the company's ability to control costs. "This offsets the impact of lower passenger revenue as competition for non-Samui routes intensified," the analyst says. The brokerage expects the company's core profit to come in at 510 million baht, up 13% on year. Maybank maintains a buy rating on the stock with a target price of THB19.00. Shares last closed at THB15.50. (amanda.lee@wsj.com)
0038 GMT - Hyundai Motor could get a sizable valuation boost from its robotics unit Boston Dynamics, NH Investment & Securities analyst Ha Neul writes in a note. The South Korean carmaker owns a 27.1% stake in Boston Dynamics via its investment in HMG Global that controls the humanoid-robot Atlas maker. Boston Dynamics is projected to be valued at KRW53.3 trillion in 2027, potentially adding KRW14.4 trillion to Hyundai Motor's valuation, Ha reckons. KB Securities analyst Kang Seong-jin in a separate note expects Boston Dynamics to be valued at around KRW128 trillion by 2035, translating into an estimated KRW35 trillion valuation boost for Hyundai Motor by then. (kwanwoo.jun@wsj.com)
2334 GMT - ARB, which supplies parts for 4x4 vehicles, is navigating some tough terrain. Morgans says it can understand softness within ARB's Aftermarket division given the sharp drop in new vehicle sales in the final months of 2025. But the slowing growth in ARB's Export business is concerning, as the company's 2H sales will be measured against a strong year-ago period. "We expect FY26 earnings will reflect a 'base' year for ARB to reset margins and resume a more sustainable growth trajectory," analyst Jared Gelsomino says. Morgans says ARB's performance in the U.S. is encouraging, as is its balance sheet strength. It also points to various tailwinds supporting a recovery in the Aftermarket division recovery through 2026, including the launch of an ecommerce channel. ARB is down 2.9% at A$27.60. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
January 21, 2026 12:20 ET (17:20 GMT)
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