IBERIAN DAILY 27 MAY (ANÁLISIS BANCO SABADELL)
NEWS SUMMARY: ENAGÁS, REPSOL, TALGO.Gains return to Europe with D. Trump
Without macroeconomic drivers, European stock markets recovered much of the ground lost last Friday after the shift in D. Trump’s tariff policy, postponing the threat to implement 50% tariffs to Europe until the 9th of July. Thus, in the STOXX 600 all sectors saw gains, led by Autos and industrials vs. the worse relative performance of Household and Retail. On the macro side, in China industrial profits in 2025 grew +1.4% through April vs. 4.3% over the same period in 2024. Separately, the Govt. would be designing a new plan to boost the manufacturing sector for the 2026-30 period, a successor to the Made in China 2025 plan.
What we expect for today
European stock markets would open with drops of as much as -0.2%. Currently, S&P futures are up +0.95% (the S&P 500 was closed for holiday). Asian markets are mixed (China’s CSI 300 -0.5% and Japan’s Nikkei +0.1%).
Today in the euro zone we will learn May’s economic confidence index, in the US April’s durable goods orders, May’s Conference Board consumer confidence and March’s FHFA home prices.
COMPANY NEWS
TALGO. 1Q’25 results below expectations. UNDERWEIGHT.
1Q’25 results came in below consensus expectations mainly in EBITDA (lower progress entailing higher costs, as well as reduction of the number of km and higher maintenance costs in Spain) and Net Profit (due to the drop in EBITDA, higher depreciations and financial results). Furthermore, the company left its 2025 targets on hold due to the unexpected events linked to the main projects and capital structure. Results with a negative slant given the higher uncertainty, with the company expecting to complete the incorporation of Sidenor consortium in its capital with a 29.7% stake (in Pegaso) with a stressed financial position (5.8x NFD/EBITDA’24).
Enagas is a gas transportation company based in Spain. Co. is engaged in the technical distribution and storage of gas through pipelines as well as the provision of regasification services. Co. and subsidiaries are engaged in the ownership, administration, storage, pipeline transportation, distribution flow, and sale of natural gas. As a transport company, Co. also provides gas and manages the gas infrastructures.
Repsol is an oil and gas company. Co. is engaged in all the activities relating to the oil and gas industry, including exploration, development and production of crude oil and natural gas, transportation of oil products, liquefied petroleum gas (LPG) and natural gas, refining, the production of a wide range of oil products and the retailing of oil products, oil derivatives, petrochemicals, LPG and natural gas, as well as the generation, transportation, distribution and supply of electricity. Co. operates in more than 40 countries. Co.'s operations are divided into four segments: Upstream, Downstream, LNG and Gas Natural Fenosa.
Talgo is engaged in designing, manufacturing, repairing and maintaining the railway rolling stock, as well as the manufacturing, assembling, repairing and maintaining the engines, machinery and parts of the railway systems. Co. has an industrial presence in seven countries: Spain, Germany, Kazakhstan, Uzbekistan, Russia, Saudi Arabia and U.S.A. Co. has an active fleet in Europe, Asia and North America that comprises of 94 high-speed trains and more than 1,400 Talgo tilting passenger cars. Also, Co. purchases, redesigns, constructs, leases and sells all types of real estate.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.