The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
0743 GMT - UCB's proposed acquisition of privately held Candid Therapeutics for up to $2.2 billion looks like a good fit for the Belgian pharmaceutical company, ING's Maxime Stranart and David Vagman say in a research note. The acquisition seems aligned with UCB's strategy of replenishing its pipeline of early-stage drug candidates, the analysts say. "Data on Candid's assets are relatively scarce, given the early stage of clinical development they are in," they add. Nevertheless, investors should be positive that Candid's pipeline fits well within UCB's existing portfolio, according to ING. UCB shares fall 0.9%. (adria.calatayud@wsj.com)
0736 GMT - PetroChina's stronger sequential growth is likely to be driven by higher oil and gas prices, says DBS Group Research's Pei Hwa Ho in a note. The upstream segment remains a key earnings driver in the coming quarters for the Chinese oil major, she says, noting the jump in oil prices since March hasn't been reflected in the company's results yet. She raises her 2026-2027 projections for PetroChina by 9%-13% after DBS increased its oil-price estimates by US$5-US$10 a barrel. The bank lifts its Hong Kong share target price to HK$14.50 from HK$12.20 and reiterates its buy rating. Shares fall 2.7% to HK$11.71. (megan.cheah@wsj.com)
0719 GMT - Samsung Electronics is expected to see a lower risk premium on its stock, supported by longer supply contracts, Nomura analysts say. The South Korean tech giant's strong profitability is likely to continue over an extended period, supported by long-term agreements, the analysts led by C.W. Chung say, citing memory-chip makers' shift from a highly cyclical industry to a more secular growth pattern. "We expect the trend should help gradually alleviate the excessive discount applied to the share price in the market," they say in a note. Nomura raises its operating-profit forecast for Samsung by 11% to 355 trillion won for 2026 and by 4% to 458 trillion won for 2027. (kwanwoo.jun@wsj.com)
0710 GMT - Triputra Agro Persada's 2026-2028 earnings outlook seems brighter, CGS International analysts say in a research report. The brokerage expects the palm oil producer's fresh-fruit-bunch yield to improve to 24.3 tons per hectare in 2026-2028 from 22.4 tons per hectare projected previously. Drivers are young palm estates age of around 14.6 years as of March 2026, disciplined agronomy, and favorable estate exposure, the analysts say. Also, management reaffirms its 2026 FFB production growth guidance of 5%-10%. The brokerage raises the stock's target price to 2,400 rupiah from 1,840 rupiah.00 to reflect higher Indonesia crude-palm-oil average selling price and FFB production forecasts, while maintaining its add rating. Shares are 1.9% lower at 2,060 rupiah. (ronnie.harui@wsj.com)
0706 GMT - Thai conglomerate Berli Jucker's outlook this year seems weaker than expected, says UOB Kay Hian's Tanapon Cholkadidamrongkul in a note. Its 1Q earnings may have dropped 1% on year given weaker modern trade sales and a softer consumer segment, he says. A subdued modern retail segment is likely to weigh for the rest of the year, he says, noting that same-store sales growth in April remained negative. Gross margin for the consumer business is also likely to narrow given rising costs of some materials such as palm oil and plastic packaging, he adds. UOB Kay Hian cuts its rating to hold from buy and reduces its target price to 15.50 baht from 18.00 baht. Shares last closed 0.7% lower at 14.10 baht.(megan.cheah@wsj.com)
0704 GMT - The oil supply crunch could begin to ease in the second half of the year if the Strait of Hormuz reopens in June. However, some permanent loss of capacity is likely to keep disruptions in place through year-end and into 2027, according to ANZ. "The ongoing threat of a sudden closure of the strait would keep a geopolitical risk premium embedded in prices, which would keep Brent crude above $90 a barrel for the remainder of 2026," analysts at the firm say. Brent is then expected to ease to around $80-$85 a barrel in 2027 as the market gradually rebalances. (giulia.petroni@wsj.com)
0653 GMT - Daikin Industries' coming medium-term business plan is likely to boost market sentiment on the stock, Jefferies analysts say in a note. The Japanese airconditioner maker is set to announce its new medium-term plan next week, along with results for the year ended March. The bank expects Daikin to announce a share buyback of 300 billion yen and boost its dividend-on-equity ratio to 5% toward the fiscal year ending March 2029, up from 3% currently. Jefferies maintains a buy rating on the stock and raises its target price to Y27,700 from Y23,700. Shares last closed at Y22,855. (kosaku.narioka@wsj.com; @kosakunarioka)
0633 GMT - European automakers face increased headwinds after President Trump said he would increase tariffs on cars and trucks from the European Union to 25% from 15% previously. Assuming the higher tariff is in place for the remainder of 2026 and for all of 2027, BMW's automotive EBIT could face incremental headwinds of 12.1% in 2026 and 15% in 2027, analysts at Bernstein write. Mercedes-Benz's adjusted passenger cars EBIT would face headwinds of 14% in 2026 and almost 18% in 2027, while Volkswagen Group EBIT would face a hit of 9% in 2026 and 11% in 2027. It also suggests headwinds of 16% in 2026 and 21% in 2027 to Porsche AG EBIT and a negative effect of 21% in 2026 and 19% in 2027 to Stellantis EBIT, the bank adds. (dominic.chopping@wsj.com)
0630 GMT - Xiaomi's electric-vehicle business is poised for a rebound, according to Deutsche Bank's Bin Wang. The analyst expects Xiaomi to see a significant sequential improvement in new energy vehicle sales and margins after the first quarter. The stronger EV performance will be driven by the new SU7 sedan launched in late March, Wang adds in a note. Xiaomi's plan to introduce two new plug-in hybrid models this year could also boost sales volumes, the analyst writes. DB keeps a buy rating on the stock with a target price of HK$67.00. Shares rise 7.2% to HK$31.10. (tracy.qu@wsj.com)
0623 GMT - President Trump said he would increase tariffs on EU autos, but the escalation might be defused by the bloc fast-tracking the elimination of tariffs on U.S. industrial goods, Bernstein analysts write. President Trump said he was raising tariffs on cars and trucks from the European Union to 25% from 15% previously, claiming that the bloc had failed to fully comply with a trade agreement it made with the U.S. That agreement from September 2025 included a resolution to lower tariffs on EU autos from an effective 27.5% to 15%, in return for the removal of EU tariffs on U.S. industrial goods. "It appears that President Trump is angry that the removal of tariffs on U.S. industrial goods that was agreed last September has yet to pass through the EU's lengthy legislative process." (dominic.chopping@wsj.com)
0619 GMT - PSP Projects' strong order-execution momentum is poised to drive revenue growth, Axis Securities analysts say in a research report. Amid a long-term positive outlook for India's construction industry, PSP Projects has entered a high-growth phase where 20%-25% revenue growth path is expected from FY 2028, the analysts say. The Indian construction company looks well-placed to capitalize on growth opportunities in the industry, supported by a strong bidding pipeline and the government's focus on urban infrastructure development. PSP Projects' order book of INR134.47 billion as of March 31 offers healthy revenue visibility for next 2.5-3 years. The brokerage raises the stock's rating to buy from hold and the target price to INR885.00 from INR750.00. Shares are 0.5% higher at INR792.45. (ronnie.harui@wsj.com)
0617 GMT - China Merchants Bank's asset quality outlook remains challenging, says UOB Kay Hian analysts in a note. The Chinese lender's special mention loan ratio and overdue loan ratio both rose on quarter, they say. This suggests retail asset quality pressures have yet to peak amid the challenging macro environment, they add. "Against this backdrop, we expect credit costs to remain elevated as asset quality headwinds persist," the analysts add. They expect the bank's share price to be muted thanks to these asset-quality issues. UOB Kay Hian retains a hold rating and HK$49.00 target price on China Merchants Bank's Hong Kong-listed shares, which are up 0.55% at HK$47.36. (megan.cheah@wsj.com)
(END) Dow Jones Newswires
May 04, 2026 03:43 ET (07:43 GMT)
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