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Wire

Autoliv Q2 Sales Beat Offset by Americas Weakness, RBC Capital Markets Says

Autoliv's (ALV) Q2 sales beat was offset by weaker profitability in the Americas, but the company remains positioned for a Q4 margin recovery and longer-term growth in China, RBC Capital Markets said in a note Friday.Adjusted earnings before interest and taxes of $270 million for Q2 was broadly in line with the $273 million consensus estimate despite sales of $2.80 billion exceeding expectations of $2.76 billion, the investment firm said.RBC attributed the margin pressure to tariffs, an unfavorable regional mix and lower content on certain replacement vehicle models in the Americas.Autoliv maintained its 2026 organic sales and EBIT guidance, which implies a Q4 margin of about 15.3%, the firm said. Customer recoveries on raw material costs, lower commodity headwinds, higher engineering income, internal cost improvements, and stronger volumes could support the expected margin increase, according to the note.The firm highlighted Autoliv's growing exposure to Chinese OEMs, which accounted for 55% of its China sales, up from 40% a year earlier, as organic sales to those customers rose about 44%.RBC kept an outperform rating on Autoliv and lowered its price target to $147 from $148.Shares of Autoliv were down 1.8% in Monday trading.Price: $118.15, Change: $-2.11, Percent Change: -1.75%

$ALV
Sectors

Sector Update: Consumer Stocks Decline Late Afternoon

Consumer stocks were falling late Friday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) shedding 0.9% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) dropping 1.6%.In corporate news, Netflix's (NFLX) Q2 revenue fell short of Wall Street's estimates, while the streaming giant said it will no longer publish its engagement report semi-annually. Its shares fell 7.4%.Walmart's (WMT) chief operating officer for its US operations, Kieran Shanahan, is leaving the role, with COO for Walmart International, Kyle Kinnard, taking over effective immediately, Walmart said Friday. Walmart shares were down 0.4%.Autoliv's (ALV) Q2 revenue topped expectations, though earnings fell short amid higher raw material costs. Autoliv shares were down 3.5%.Electronic Arts (EA) is expected to receive European Union approval under the bloc's foreign subsidy rules for its proposed $55 billion acquisition by an investor group led by Saudi Arabia's Public Investment Fund, Reuters reported. Electronic Arts shares added 0.5%.A federal judge in California said Friday she would rule by July 22 on a dozen states' request to at least temporarily block Paramount Skydance's (PSKY) takeover of Warner Bros. Discovery (WBD), Bloomberg reported. Paramount shares were down 4.7%, and Warner shed 1.5%.

$ALV$EA$NFLX$PSKY$WBD$WMT
Sectors

Sector Update: Consumer Stocks Fall Friday Afternoon

Consumer stocks were falling Friday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) shedding 0.9% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) dropping 1.1%.In corporate news, Netflix's (NFLX) Q2 revenue fell short of Wall Street's estimates, while the streaming giant said it will no longer publish its engagement report semi-annually. Its shares fell 7.7%.Autoliv's (ALV) Q2 revenue topped expectations, though earnings fell short amid higher raw material costs. Autoliv shares were down 3.8%.Coca-Cola (KO) said late Thursday that Fairlife, its dairy company, identified unauthorized third-party access to a part of its systems during a ransomware attack. Coca-Cola said it is investigating the impact of the incident and has notified law enforcement. Coca-Cola shares were shedding 4%.

$ALV$KO$NFLX
Autoliv Posts Mixed Second-Quarter Results as Raw Material Costs Weigh on Profitability
US Markets

Autoliv Posts Mixed Second-Quarter Results as Raw Material Costs Weigh on Profitability

Autoliv's (ALV) second-quarter revenue topped expectations, though earnings fell short amid higher raw material costs.The automotive safety supplier's sales improved 3.3% annually to $2.8 billion, ahead of the FactSet-polled consensus view for $2.77 billion. Adjusted earnings rose to $2.43 a share for the June quarter from $2.21 the year before, but trailed expectations of $2.46.Raw material inflation lowered profitability by about $21 million, while tariffs had a net negative impact of about $7 million, according to the company.The company's New York Stock Exchange-listed shares fell 3.6% in Friday trading."We continued to manage geopolitical developments successfully in the quarter, limiting the effects of tariffs, supply chain challenges and raw material price increases," Chief Executive Mikael Bratt said in a statement. "The business environment remains uncertain but our current best estimate for the remainder of the year is to reiterate our full-year 2026 guidance."Autoliv continues to anticipate flat organic sales year over year in 2026. The Street is looking for reported sales of $11.09 billion, compared with $10.82 billion in 2025.Higher raw material prices are expected to be a headwind of $110 million for the full year, although the company anticipates mitigating a majority of that mainly through cost reductions and negotiations with suppliers, Autoliv said.Revenue in the Americas region added 2.1% year on year to $910 million in the second quarter, while sales in China increased 9.6% to $522 million.Price: $121.12, Change: $-3.87, Percent Change: -3.10%

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Sectors

Sector Update: Consumer Stocks Mixed Premarket Friday

Consumer stocks were mixed premarket Friday, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) 1.2% higher and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) down 0.5%.Autoliv (ALV) stock was down more than 5% after the company reported Q2 adjusted earnings that missed analysts' expectations.Yum! Brands-owned (YUM) Taco Bell restaurants in five states are reportedly causing a Cyclospora outbreak through shredded iceberg lettuce from Mexico, the US Food and Drug Administration said. Yum! Brands shares were 0.2% higher pre-bell.

$ALV$XLP$XLY$YUM
Sectors

Sector Update: Consumer

Consumer stocks were mixed premarket Friday, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) 1% higher and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) down 0.7%.Autoliv (ALV) stock was down more than 4% after the company reported Q2 adjusted earnings that missed analysts' expectations.

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Stocks Fall Pre-Bell as Chip Sell-Off Continues
US Markets

Stocks Fall Pre-Bell as Chip Sell-Off Continues

The benchmark US stock measures were pointing lower before the open Friday as a sell-off in semiconductor shares continued to weigh on market sentiment.The S&P 500 declined 0.9%, the Dow Jones Industrial Average was off 0.7% and the Nasdaq fell 1.8% in premarket activity. The indexes finished the previous trading session in the red.Shares of tech bellwether and chipmaking giant Nvidia (NVDA) decreased 2.5% pre-bell, while Micron Technology (MU) edged down 0.4% following a 5.7% drop at the close of Thursday. Advanced Micro Devices (AMD) fell 2.7%, while Intel (INTC) moved down 3.3%. SanDisk (SNDK) fell 1.3% before the bell after closing the previous session down 12.6%. Taiwan Semiconductor (TSM) slipped 3.3%.Streaming giant Netflix (NFLX) tanked 9.5% as it reported second-quarter revenue below Wall Street's estimates. Intuitive Surgical (ISRG) slumped 12% as growth of the company's da Vinci robotic surgery system in the US moderated amid changes in Affordable Care Act subsidies.SpaceX (SPCX) declined 2.7% after Chief Executive Elon Musk said in a social media post that a planned Starship test flight was aborted after some engines failed to start.The US Central Command said Thursday its forces completed the latest major wave of strikes against Iran. Tehran reportedly said Friday it expanded its attacks in the Middle East by targeting US military forces in Syria and Bahrain.West Texas Intermediate crude oil rose 2.2% to $80.68 a barrel before the opening bell, while Brent gained 1.9% to $85.84.Treasury yields were trending downwards in premarket action, with the two-year rate retreating 3.4 basis points to 4.12% and the 10-year rate falling 4.4 basis points to 4.53%.Friday's economic calendar has the housing starts and permits data for June at 8:30 am ET, along with the import and export prices report for the same month. The industrial production report for June is out at 9:15 am, followed by the preliminary University of Michigan's consumer sentiment report for July at 10 am.The weekly Baker Hughes oil-and-gas rig count is out at 1 pm.US retail sales edged higher in June despite lower gasoline prices that drove a sharp decline in gas station receipts, official data showed Thursday.Travelers (TRV), Truist Financial (TFC), Fifth Third Bancorp (FITB), Regions Financial (RF) and Autoliv (ALV) are scheduled to release their latest financial results before the bell.Gold ticked up 0.2% to $4,001 per troy ounce, while bitcoin declined 1.8% to $63,024.

Dow JonesNasdaq CompositeS&P 500$ALV$AMD$FITB$INTC$ISRG$MU$NFLX$NVDA$RF$SPCX$TFC$TRV
Wire

Autoliv's Q1 Beat Driven by Forex and China/India Performance Fuels 2026 Expectations, RBC Says

Autoliv's (ALV) strong Q1 beat, driven by foreign exchange movement and performance in China and India, gives the confidence to raise 2026 estimates, RBC Capital Markets said in a note emailed Monday.S&P Global lowered global production numbers and now forecasts a decline of 2% for light vehicle production, compared with Autoliv's unchanged forecast of a 1% decline which had previously embedded some caution, the brokerage said.The company expects its China/India performance to drive better than market LVP performance, but will face difficult China comps later in the year, so a similar outperformance as Q1 should not be expected, the brokerage added.Management also clarified that the section 232 revision on metals does not meaningfully impact Autoliv's tariff position, the note added.RBC said Autoliv is the best quality auto supplier in its coverage, given its market position and product offering versus competitors.The brokerage maintained an outperform rating on Autoliv and raised the price target to $138 from $137.Price: $120.49, Change: $+1.57, Percent Change: +1.32%

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Sectors

Sector Update: Consumer Stocks Rise Late Afternoon

Consumer stocks were higher late Friday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.1% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) adding 2.4%.In corporate news, Lululemon Athletica's (LULU) billionaire founder Chip Wilson is starting a business focused on small athletic brands, Bloomberg reported. Wilson has hired an operating partner to be part of the new venture, which will include new brands and existing small brands, the report said. Lululemon shares were up 2.7%.Sony (SONY) and Honda's (HMC) 50-50 joint venture has decided to explore other opportunities to make the venture work after canceling plans for their proposed co-developed electric vehicle, Nikkei Asia reported Friday. The two companies are discussing non-EV products and services as alternatives and expect other uses for their EV technologies, the report said. Sony shares rose 1.4%, and Honda climbed 2.8%.Netflix (NFLX) shares dropped more than 9% after it released Q2 guidance late Thursday below market consensus. The streaming company also said that its Chairman and Co-founder Reed Hastings plans to step down when his term ends in June.Autoliv's (ALV) Q1 results exceeded Wall Street's estimates, while the Swedish automotive safety supplier affirmed its full-year outlook on Friday amid an uncertain business environment. Its shares jumped past 7%.

$ALV$HMC$LULU$NFLX$SONY
Research

Research Alert: CFRA Maintains Buy Opinion On Shares Of Autoliv Inc.

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We maintain a 12-month price target of $145, based on a 2027 P/E of 11.3x, a justified discount to ALV's five-year forward P/E of 14.0x. Following a much stronger-than-expected Q1, we reiterate our Buy opinion and $145 price target on ALV. We lower our 2026 adjusted EPS estimate by $0.20 to $11.00 but keep 2027's unchanged at $12.80. In our view, the release went a long way toward easing demand-related concerns, both for the company and broader auto supplier industry. ALV remains one of our top picks in the auto supplier space, as justified by its strong track record of execution (this was its sixth consecutive earnings beat), organic net sales growth that continues to exceed global light vehicle growth by a wide margin thanks to its exposure to higher-growth manufacturers and countries (i.e., India), and generous cash returns to shareholders. While we have concerns regarding ALV's ability to hit full-year operating margin guidance, its organic net sales growth is running ahead of expectations.

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Sectors

Sector Update: Consumer Stocks Advance in Afternoon Trading

Consumer stocks were higher Friday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.1% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) climbing 3.3%.In corporate news, Autoliv's (ALV) Q1 results exceeded Wall Street's estimates, while the Swedish automotive safety supplier affirmed its full-year outlook on Friday amid an uncertain business environment. Its shares jumped past 8%.Netflix (NFLX) shares dropped more than 10% after it released Q2 guidance late Thursday below market consensus. The streaming company also said that its Chairman and Co-founder Reed Hastings plans to step down when his term ends in June.Patrick Industries (PATK) is in talks to combine with rival LCI Industries (LCII), Bloomberg reported. Patrick shares climbed 5.3%, and LCI rose 2.5%.

$ALV$LCII$NFLX$PATK
Sectors

Sector Update: Consumer

Consumer stocks were higher Friday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.1% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) climbing 3.3%.In corporate news, Autoliv's (ALV) Q1 results exceeded Wall Street's estimates, while the Swedish automotive safety supplier affirmed its full-year outlook on Friday amid an uncertain business environment. Its shares jumped past 9%.

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Wire

Top Midday Stories: Hormuz Strait Temporarily Open to Commercial Ships; Netflix Reports Strong Q1 Earnings, But Guidance Disappoints

All three major US stock indexes were up sharply in late-morning trading Friday, as Iran Foreign Minister Seyed Abbas Araghchi said on X that the Strait of Hormuz is completely open to commercial ships for the remaining period of the ceasefire between the US and Iran.In company news, Netflix (NFLX) reported Q1 earnings late Thursday of $1.23 per diluted share, up from $0.66 a year earlier and above the FactSet consensus analyst estimate of $0.76. First-quarter revenue was $12.25 billion, up from $10.54 billion a year ago and above the FactSet consensus of $12.18 billion. For Q2, the company said it expects EPS of $0.78 on revenue of $12.57 billion. Analysts polled by FactSet expect $0.84 and $12.64 billion, respectively. The company also said Chairman and Co-founder Reed Hastings said he will not stand for re-election to the board when his term expires in June. Netflix shares were down 9.4% around midday.Intel's (INTC) stock was up in morning trading Friday, touching $6.97 earlier, its highest level since August 2000. Intel shares were up 2.6%.Alcoa (AA) reported Q1 adjusted earnings late Thursday of $1.40 per share, down from $2.15 a year earlier and below the FactSet consensus of $1.53. First-quarter revenue was $3.19 billion, down from $3.37 billion a year ago and below the FactSet consensus of $3.28 billion. Alcoa shares were down 7.5%.Autoliv (ALV) reported Q1 adjusted earnings Friday of $2.05 per diluted share, down from $2.15 a year earlier but above the FactSet consensus of $1.83. First-quarter revenue was $2.75 billion, up from $2.58 billion a year ago and above the FactSet consensus of $2.62 billion. For full-year 2026, the company said it expects adjusted operating margin of about 10.5% to 11% and operating cash flow of around $1.2 billion. Autoliv shares were up 9.9%.Truist Financial (TFC) reported Q1 earnings Friday of $1.09 per diluted share, up from $0.87 a year earlier and above the FactSet consensus of $1.00. First-quarter revenue was $5.15 billion, up from $4.90 billion a year ago but below the FactSet consensus of $5.16 billion. Truist shares were up 1.8%.Fifth Third Bancorp (FITB) reported Q1 earnings Friday of $0.15 per diluted share, down from $0.71 a year earlier and compared to the FactSet consensus of a loss of $0.10. First-quarter revenue was $2.83 billion, up from $2.14 billion a year ago but below the FactSet consensus of $2.85 billion. For full-year 2026, Fifth Third said it expects net interest income of $8.7 billion to $8.8 billion and noninterest income of $4.0 billion to $4.2 billion. For Q2, the company said it expects net interest income of $2.20 billion to $2.25 billion and noninterest income of $1.00 billion to $1.06 billion. Fifth Third shares were up 1.8%.Price: $97.13, Change: $-10.66, Percent Change: -9.89%

$AA$ALV$FITB$INTC$NFLX$TFC
US Markets

Autoliv Beats First-Quarter Views, Affirms Full-Year Outlook

Autoliv's (ALV) first-quarter results exceeded Wall Street's estimates, while the Swedish automotive safety supplier affirmed its full-year outlook on Friday amid an uncertain business environment.Adjusted per-share earnings for the March quarter fell to $2.05 from $2.15 a year earlier, but surpassed the FactSet-polled consensus of $1.83. Sales grew 6.8% to $2.75 billion, while analysts expected $2.62 billion.Autoliv's New York Stock Exchange-listed stock was up 9% intraday, and has risen 2.4% since the start of the year."The first quarter exceeded our expectations, driven by strong sales in March," Chief Executive Mikael Bratt said during an earnings call, according to a FactSet transcript.Sales in China increased 10% to $492 million. The Europe, the Middle East, and Africa region climbed 9.3% to $835 million, while revenue in the Americas improved 1.3%.Autoliv continues to expect flat organic sales for 2026, with adjusted operating margin at around 10.5% to 11%. Analysts in a FactSet poll are looking for full-year reported sales of $10.93 billion, compared with last year's $10.82 billion."Given the continued uncertainty in the geopolitical environment, the effects of tariffs and trade restrictions may lead to a more adverse inflation environment," the company said in a statement. "We continue to execute on productivity and cost reduction initiatives to offset these cost pressures."The hostilities in the Persian Gulf had a limited impact this quarter, Bratt told analysts.Iranian Foreign Minister Seyed Abbas Araghchi said on Friday that the crucial Strait of Hormuz is "completely open" following a ceasefire between Israel and Lebanon.Energy prices have surged in the aftermath of the US-Israel war with Iran that had spread across the Middle East. The White House is optimistic about reaching a deal with Iran as a two-week ceasefire between Washington and Tehran holds.Tariffs impacted first-quarter profitability negatively, Autoliv said."Although we achieved customer compensations for more than 70% of tariff costs, the net effect on operating margin was around 40 (basis-point) negative, including the dilution effect," the company said. "While it is our ambition and expectation to continue passing tariff costs on to our customers, there is significant uncertainty as future recovery levels may vary."Price: $121.06, Change: $+9.73, Percent Change: +8.74%

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Sectors

Sector Update: Consumer Stocks Higher Pre-Bell Friday

Consumer stocks were higher premarket Friday, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) advancing 0.3% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) gaining 0.4%.Autoliv (ALV) stock rose more than 10% pre-bell after the company reported higher-than-expected Q1 adjusted earnings and revenue.Tesla (TSLA) shares were up 2% before the opening bell. Bloomberg reported that the electric vehicle maker is planning to launch a six-seat, long-wheelbase version of the Model Y in India as early as next week.Honda Motor (HMC) shares were up 1% pre-bell. Reuters reported Thursday, citing people familiar with the matter, that the company will close at least one of its Chinese car production plants jointly run with Guangzhou Automobile Group in June.

$ALV$HMC$TSLA$XLP$XLY
Sectors

Sector Update: Consumer

Consumer stocks were higher premarket Friday, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) advancing 0.03% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) gaining 0.4%.Autoliv (ALV) stock rose more than 10% pre-bell after the company reported higher-than-expected Q1 adjusted earnings and revenue.

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Commodities

Exchange-Traded Funds, Equity Futures Higher Pre-Bell Friday as Investors Take Positions Amid Corporate Earnings

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was up 0.3% and the actively traded Invesco QQQ Trust (QQQ) was 0.3% higher in Friday's premarket activity as traders take positions amid corporate earnings release and monitor incoming macroeconomic data.US stock futures were also higher, with S&P 500 Index futures up 0.2%, Dow Jones Industrial Average futures advancing 0.4%, and Nasdaq futures gaining 0.2% before the start of regular trading.The Baker Hughes domestic oil-and-gas rig count will be released at 1 pm ET.Federal Reserve San Francisco President Mary Daly, Richmond President Thomas Barkin and Governor Christopher Waller are slated to speak on Friday.In premarket activity, bitcoin was up by 0.1%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 0.2% higher, Ether ETF (EETH) retreated 0.5%, and Bitcoin & Ether Market Cap Weight ETF (BETH) declined by 0.5%.Power Play:ConsumerThe State Street Consumer Staples Select Sector SPDR ETF (XLP) was up 0.2% and the Vanguard Consumer Staples Index Fund ETF Shares (VDC) gained 0.7%. The iShares US Consumer Staples ETF (IYK) was flat. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) advanced 0.2%. The VanEck Retail ETF (RTH) was inactive, while the State Street SPDR S&P Retail ETF (XRT) was 0.04% higher.Autoliv (ALV) shares were up more than 9% pre-bell after the company reported higher-than-expected Q1 adjusted earnings and revenue.Winners and Losers:Health CareThe State Street Health Care Select Sector SPDR ETF (XLV) advanced 0.6%, the Vanguard Health Care Index Fund (VHT) was up 1.3%, while the iShares US Healthcare ETF (IYH) gained 1.1%. The iShares Biotechnology ETF (IBB) was 0.2% higher.Trevi Therapeutics (TRVI) stock was down more than 8% premarket after the company said late Thursday it priced a public offering of 11.6 million common shares at $13 each for about $150 million in gross proceeds.FinancialThe State Street Financial Select Sector SPDR ETF (XLF) advanced 0.3%. Direxion Daily Financial Bull 3X Shares (FAS) was up 0.8%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 0.9% lower.Ally Financial (ALLY) shares were up more than 5% pre-bell after the company reported higher Q1 adjusted earnings and revenue.IndustrialThe State Street Industrial Select Sector SPDR ETF (XLI) advanced 0.4%, while the Vanguard Industrials Index Fund (VIS) rose 0.9% and the iShares US Industrials ETF (IYJ) was inactive.JetBlue (JBLU) stock was up more than 1% before the opening bell after the company said Thursday it started daily seasonal flights connecting Boston and Barcelona.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) advanced by 0.9%, and the iShares US Technology ETF (IYW) was 0.9% higher, while the iShares Expanded Tech Sector ETF (IGM) was up 0.5%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) rose 2.4% while the iShares Semiconductor ETF (SOXX) increased by 0.6%.Microsoft (MSFT) shares were up more than 1% in Friday's premarket activity. Microsoft Italy and Expert.ai said they have entered into a collaboration to accelerate the adoption of artificial intelligence for enterprise use cases.EnergyThe iShares US Energy ETF (IYE) was down 0.3%, while the State Street Energy Select Sector SPDR ETF (XLE) retreated by 0.7%.Exxon Mobil (XOM) stock was down nearly 1% before Friday's opening bell. Reuters reported Thursday that the company has withdrawn an offer to sell two initial cargoes of liquefied natural gas from its Golden Pass export plant in Texas.CommoditiesFront-month US West Texas Intermediate crude oil fell by 3.7% to $91.19 per barrel on the New York Mercantile Exchange. Natural gas gained by 1.4% to reach $2.69 per 1 million British Thermal Units. The United States Oil Fund (USO) retreated by 2.9%, while the United States Natural Gas Fund (UNG) was 0.6% higher.Gold futures for May were up by 0.2% at $4,815.60 an ounce on the Comex. Silver futures gained by 1% to reach $79.49 an ounce. SPDR Gold Shares (GLD) was 0.2% higher, and the iShares Silver Trust (SLV) advanced by 1.1%.

Dow JonesNasdaq CompositeS&P 500$ALLY$ALV$BETH$BITO$EEM$EETH$EXI$FAS$FAZ$GLD$IBB$IGM$IGV$IPK$IVV$IWM$IYE$IYH$IYJ$IYK$IYW$JBLU$MSFT$PMR$QQQ$RTH$SLV$SOXX$SPY$TRVI$UNG$USO$VDC$VHT$VIS$XLE$XLF$XLI$XLK$XLP$XLV$XLY$XOM$XRT$XSD
Research

Research Alert: Alv: Big Beat Helps Ease Auto Supplier-related Concerns; Shares Surge

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Autoliv (ALV) posted Q1 adjusted EPS of $2.05 vs. $2.15 (-5%), well ahead of the $1.84 consensus. Net sales rose 6.8% to $2.75B ($140M above consensus) and gross margin expanded 50 bps to 19.1% (180 bps above consensus). The release marked ALV's sixth consecutive earnings beat. ALV's net sales growth was due to organic sales growth of 0.8%, which exceeded global light vehicle production growth of -3.4% in Q1 by 420 bps. Organic growth was particularly strong in Asia, with Asia (ex. China) +11% and China +4.9%. ALV maintained prior full-year guidance. Shares are surging 10% in pre-market trading. ALV is the first major auto supplier to report Q1 earnings and its massive beat helps ease widespread demand-related concerns which have weighed on equity performance so far this year, in our view. The strength of ALV's Q1 Asian sales was particularly notable and due to 38% organic sales growth in India. ALV continues to execute with organic growth that exceeds global light vehicle production rates by a wide margin.

$ALV
US Markets

Stocks Rise Pre-Bell as President Trump Signals Optimism on Iran Deal Prospects

The benchmark US stock measures were pointing higher before the open Friday after President Donald Trump reportedly expressed optimism over prospects for a peace deal with Iran.The S&P 500 and the Nasdaq rose 0.2% each in premarket activity, while the Dow Jones Industrial Average added 0.4%. The indexes finished Thursday in the green, with the Nasdaq extending its winning streak to a 12th consecutive session."It's looking very good that we're going to make a deal with Iran, and it's going to be a good deal," Trump told reporters at the White House on Thursday, according to Bloomberg News. Talks between the US and Iran could resume on the weekend, Trump said.Treasury yields were down before the opening bell, with the two-year rate retreating 1.3 basis points to 3.77% and the 10-year rate off 1.4 basis points to 4.3%.On Thursday, Trump announced on social media that Lebanese President Joseph Aoun and Israeli Prime Minister Benjamin Netanyahu agreed to formally begin a 10-day ceasefire. The ceasefire seeks to pause hostilities between Israel and Iran-backed Hezbollah in Lebanon, a key sticking point in peace negotiations between Washington and Tehran.West Texas Intermediate crude oil dropped 4.1% to $90.82 a barrel in premarket action, while Brent fell 4% to $87.54.Shares of Netflix (NFLX) slumped 9.8% pre-bell after the streaming giant's second-quarter outlook fell short of Wall Street's estimates. Advanced Micro Devices (AMD) edged down 0.4% after closing the previous trading session up 7.8%, while GE Aerospace (GE) rebounded 0.4% following a nearly 5% drop on Thursday.Truist Financial (TFC), Fifth Third Bancorp (FITB), State Street (STT), Regions Financial (RF), Ally Financial (ALLY) and Autoliv (ALV) report their latest financial results before the bell.Federal Reserve Bank of San Francisco President Mary Daly is scheduled to speak at 11:30 am ET, while Richmond Fed President Thomas Barkin speaks at 12:15 pm. Federal Reserve Governor Christopher Waller is slated to speak at 2 pm.Friday's thin economic calendar has the weekly Baker Hughes oil-and-gas rig count at 1 pm.Gold nudged 0.1% higher to $4,814 per troy ounce, while bitcoin slipped 0.1% to $75,132.

Dow JonesNasdaq CompositeS&P 500$ALLY$ALV$AMD$FITB$GE$NFLX$RF$STT$TFC
Research

Jefferies Downgrades Autoliv to Hold From Buy, Adjusts PT to $120 From $150

Autoliv (ALV) has an average rating of overweight and mean price target of $130.57, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

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