Global Equities Roundup: Market Talk

The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.

0940 GMT - Air Liquide posted a solid set of results, with the slight acceleration in volumes a welcoming sight, Equita analyst Massimo Bonisoli says in a research note. The French industrial-gases company's improvement in margins and amount of projects also confirm its investment case, the analyst adds. The group confirmed its qualitative outlook for the year, while its new backlog record of 6 billion euros supports growth momentum despite limited recovery in industrial demand, the analyst says. Shares trade 3.3% lower at 171.3 euros. (nina.kienle@wsj.com)

0936 GMT - LVMH's first-half results reinforce the view that the worst is behind the company, though the pace of improvement is slower than bulls expected, UBS analysts say. Revenue in the French group's fashion and leather goods division grew 1%, below the analysts' 3% estimate. The luxury powerhouse's second-quarter earnings are "unlikely to settle the debate over whether LVMH can return to healthier mid-single-digit sales growth," they say. Though sales and profits beat consensus expectations, the analysts lower their price target for the stock from 650 euros to 645 euros due to broader weakness in the luxuries sector. LVMH shares turn negative after jumping over 2% at the open, falling 1.3% to 460.90 euros. (josephmichael.stonor@wsj.com)

0934 GMT - The fundamentals of Asia's technology sector remains robust despite the recent correction, Aberdeen Investments' Kieron Poon says in a research note. The "short-term market volatility has not changed our long-term positive view," he says. The recent pullback has brought valuations to more attractive levels, creating opportunities for Aberdeen to add exposure to high quality businesses at more reasonable prices, he says. As AI moves towards broader adoption, the analyst sees demand as well-supported, as each stage requires further computing capabilities, more advanced chips and larger amounts of memory. (sherry.qin@wsj.com)

0926 GMT - The AI supply chain's outlook remains positive, Morgan Stanley says in a research note. "After the correction since late June, we see the AI supply chain as offering better risk/reward," MS says. The recent market correction is primarily a technical event, driven by profit-taking and other factors, the bank says. Compute demand is likely to significantly exceed supply for many years to come, it adds. MS says it is "fundamentally bullish on the rate of improvement in AI capabilities, the benefits of AI adoption and associated capital expenditure." (tracy.qu@wsj.com)

0916 GMT - Games Workshop has delivered a strong set of results, Peel Hunt's Charles Hall and Andrew Ford write in a note. The retailer and maker of "Warhammer" miniatures reported higher pretax profit and revenue in fiscal 2026. The company's ability to deliver consistent sales growth reflects a deliberate strategy rather than chance, they say. "The stats on the health of the hobby are encouraging and there are a number of interesting developments," they add. Shares are down 2.9% at 196.40 pounds. (najat.kantouar@wsj.com)

0903 GMT - Consensus expectations for Mercedes-Benz's adjusted earnings could rise by a mid-to-high single-digit percentage after the German carmaker reported a second-quarter beat, UBS analyst Patrick Hummel writes. Adjusted EBIT beat by 40%, with all segments contributing, he says. The cars unit beat with a 4% clean margin, above consensus at 3.5%, while the vans adjusted EBIT margin of 10.2% is slightly above the upper end of the 8%-10% guidance corridor. Financial services also delivered a solid beat, he adds. Mercedes confirmed the 3%-5% cars and vans EBIT margin corridors. While investors will likely remain cautious on the cars EBIT margin in the second half due to China, UBS thinks expectations for the company drifted substantially lower following last month's warning from BMW. Shares rise 2.5%. (dominic.chopping@wsj.com)

0846 GMT - SGS posted top-line growth that came in better than expected, with broad-based strength more than offsetting weakness stemming from the Middle East conflict, Bernstein analysts Will Kirkness and Filippo Giardini say in a research note. Although there were concerns about the quality of results, cash generation remained strong and the Swiss testing company reinforced its focus on cash conversion, the analysts say. "For the third quarter, we upgrade our view across all divisions except Industries & Environment, where we remain cautious given potential Middle East headwinds," the analysts say. Bolt-on mergers and acquisitions are expected to contribute around 6% to growth in the quarter and around 7% in the full year, they add. Shares trade 1.4% higher at 96.2 Swiss francs. (nina.kienle@wsj.com)

0843 GMT - U.S. chip stocks are struggling as a result of fragile investor sentiment ahead of U.S. hyperscaler earnings this week, UBS's Mark Haefele writes. Microsoft and Meta report earnings Wednesday, before Apple and Amazon report Thursday. "Uncertainty over the durability of capex and revenue growth" is hurting chip stocks, while investors worry that companies will struggle to quickly scale production of semiconductor equipment, Haefele says. Investors should look to more defensive areas of tech to diversify their holdings, including smartphone makers and data-center investment trusts. U.S. chip stocks extend losses premarket, after the chip-heavy Kospi lost 11% in Korean trade. Micron Technology falls 4.7% premarket, while Intel and Sandisk fall 3.45% and 4.5%, respectively. (josephmichael.stonor@wsj.com)

0828 GMT - Shares of European semiconductor companies are in the red as concerns about spending on artificial intelligence weigh on tech stocks once again. In Asia, shares of South Korean memory-chip maker SK Hynix closed nearly 15% lower, while Samsung Electronics shed 13%. In Europe, shares of Dutch semiconductor-equipment maker ASML Holding and smaller rival ASM International fall 1.9% and 2.9%, respectively. German chip maker Infineon Technologies is 2.3% lower. STMicroelectronics shares lose 1.7%. Meanwhile, the E-mini Nasdaq 100 futures contract is down 0.9%, pointing to a weak opening for tech stocks in the U.S. (mauro.orru@wsj.com)

0823 GMT - Michelin's half-year results show greater resilience than feared, Equita analyst Martino De Ambroggi says in a research note. The French tire maker's operating profit came in line with expectations, while free cash flow improved, the analyst says. Taking into account comments by management on, for example, original equipment trucks rising in North America in the second half of the year, and assuming that the macro environment doesn't deteriorate, Equita adjusts its estimates by improving free cash flow by 200 million euros to around 1.6 billion euros, De Ambroggi says. Shares trade 1.9% lower at 34.27 euros. (nina.kienle@wsj.com)

0823 GMT - Argenx's $2.2 billion deal to acquire Forte Biosciences should help the European pharmaceutical company diversify its portfolio and validates a CEO transition that took place earlier this year, Bernstein analysts say in a note. Argenx currently has one successful growth driver, its Vyvgart drug for rare neuromuscular disease myasthenia gravis, but its U.S. patent is due to expire in 2036, the analysts say. The next five years are key for broadening and deepening its pipeline, and the Forte deal helps it lower portfolio-concentration risk, they add. "Moreover, a key reason why [Argenx] underwent its CEO transition in [January] was to try to accelerate complementing its organic pipeline with interesting external assets," Bernstein says. Argenx's shares fall 0.7%. (adria.calatayud@wsj.com)

0819 GMT - Unilever's second-quarter results in its food segment in Europe play into its decision to offload that business, RBC's James Edwardes Jones says. Beauty and personal care were outperformers, while foods missed expectations, he adds. Even though there was a miss for Europe, overall performance was strong in Asia, the analyst adds. The company had a good quarter, even with the part that didn't go particularly well, such as its food business in Europe, he says. Shares are up 6.6%.