Analytics, 07 November 2019
Daily comment Nov 7
- Wall St opens higher on trade hopes
- US, China to partially remove tariffs
- SQ +0.5% on strong 3Q GVP growth
- BIDU +8.6% on users growth
- TRIP -20.3%, EXPE -19.3% on downside 3Q results
- BoE keeps rate on hold
- WTI +1.6%
Market movers:
- Square (+0.5%) reported revenue, EPS above estimates. 3Q Rev. +39.7% y/y to $1.27bn helped by growth in its subscription and services business. GPV +25% y/y to $28.2bn. Adj. EBITDA +85% y/y to $131mn. Adj. EPS +92% y/y to $0.25 vs est. $0.2. (https://bit.ly/2NLg33E)
- Baidu (+8.6%) reported in-line revenue, EPS beat. 3Q rev. flat y/y at ¥28.1bn (+3% y/y ex-divested businesses). Online marketing rev. -9% y/y (+6% q/q). Baidu App DAU + 25%y/y to 189mn, helped by improved users experience. iQIYI subscribers +31% y/y to 105.8mn. Adj. EPS –34% y/y to ¥12.61 vs est. ¥7.77. (https://bit.ly/33sp7Rw)
- TripAvdisor (-20.3%) reported miss on revenue, EPS. 3Q rev. -7% y/y. Hotels, Media and Platform rev -12% y/y to $238mn vs est. $255.2mn. Experiences and Dining rev. +19% y/y to $141mn vs est. $146.7mn. Adj. EPS -19% y/y to $0.58 vs est. $0.69. (https://bit.ly/36Rr2Bs)
- Expedia (-19.3%) missed on revenue, EPS. 3Q rev. +8.5% y/y to $3.56bn vs est. $3.66bn. Room nights growth slowed to +11% from +13% y/y. Gross bookings +9% to 3.37bn. Adj. EPS -5% y/y to $3.38 vs est. $3.81. (https://bit.ly/2WQpcfz)
Macro:
- The US and China agreed to remove the existing additional tariffs in the same proportion after reaching “phase one”. (https://bloom.bg/2PRfGHw)
- As reported earlier, Trump-Xi meeting could be delayed until December as both sides can’t agree on a venue to sign the preliminary trade agreement. (https://bloom.bg/2NqTlik)
- BoE cut forecast for the UK economy amid Brexit turmoil, hold interest rate unchanged at 0.75%. (https://on.ft.com/33r9GJu)
- House Intelligence Chairman announced the public hearings of the impeachment inquiry will start next week. (https://bloom.bg/2rhLivy)
- US weekly jobless claims came at 211k vs est. 215k (https://cnb.cx/34wjgee)
Commodities:
- WTI (+1.6%): OPEC+ would not deepen production cuts, sources said. The next OPEC meeting is scheduled on 5-6 Dec. (https://bloom.bg/32kV64Q)
Coming up:
- Companies to report earnings today: Dropbox