The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
1133 GMT - Shares in U.K. home builders fall after Bellway cut its guidance and the government announced a raft of measures to make new homes more environmentally friendly. Bellway expects lower margins than forecast earlier this year as economic uncertainty from the Middle East conflict weighs on demand and increases building costs--factors that will hurt all house builders. Meanwhile, developers will need to install solar panels and heat pumps in new homes under new government measures. "The detail of the planned rules appears to have unsettled housebuilders," Wealth Club's Jo Thorne says. Bellway shares fall 11%, while Crest Nicholson is down 5.7%. Taylor Wimpey and Barratt Redrow fall 2.2% and 1.1%, respectively.(josephmichael.stonor@wsj.com)
1116 GMT - Transcontinental's remaining businesses will be what drives its success, if it returns sustained positive results, RBC's Drew McReynolds says in a report. With Packaging now divested and C$20-a-share returned to investors, the strategic spotlight shifts to retail services and printing, and media/educational publishing. The analyst says focus will now be on the extent to which the remaining asset mix can return to sustained positive revenue and EBITDA growth. This "remains the primary potential re-rating catalyst for the stock." He sees FY2027 as a realistic point for growth to turn upward, supported by further in-store marketing tuck-ins, the full benefit of post-packaging cost cuts, and benefits from smaller growth areas such as media and book printing. (adriano.marchese@wsj.com)
1100 GMT - Puma's efforts to revamp its business alongside shareholder Anta Sports should succeed, AlphaValue analyst Jie Zhang says in a research note. The German sporting-goods company is pursuing a turnaround plan with China's Anta as its largest shareholder and a closer strategic partner, the analyst writes. The reset is expected to strengthen Puma's fundamentals and improve its profitability profile, Zhang says. Anta's distribution strength, digital ecosystem and operational expertise could accelerate Puma's turnaround, particularly in China and across Asia, she says. "This reinforces our confidence in the recovery trajectory from [2027] onwards," the analyst adds. The stock is up 4.5% at 21.33 euros. (andrea.figueras@wsj.com)
1042 GMT - The Persian Gulf war is now in week four, disrupting operations in the Strait of Hormuz and at Middle East airports, impacting 2%-3% of global sea freight volumes and around 15% of air freight capacity, J.P.Morgan analysts write. Oil prices have increased materially and the bank expects higher freight rates to offset increased costs. However, ultimately the success in recovering higher costs depends on supply-demand fundamentals. The earnings impact for container shipping is balanced and the recent sector outperformance is difficult to justify, J.P.Morgan says. In contrast, air cargo capacity has tightened and strong air freight rates should support yields for forwarders. It reiterates its underweight ratings on Maersk, Hapag-Lloyd, ZIM and Kuehne+Nagel stocks and its overweight stance on DSV and DHL. (dominic.chopping@wsj.com)
1016 GMT - Estee Lauder's potential acquisition of Puig might not solve its problems, AJ Bell's Dan Coatsworth writes. U.S. cosmetics company Estee Lauder must do something radical to get back on top after struggles in recent years, he says. It has been pursuing a turnaround plan under new leadership. "A takeover of [Spanish beauty group] Puig is an interesting proposition, but history suggests that bolting two companies together is not a guaranteed recipe for success," he adds. Puig shares jump 13% while those in Estee Lauder are less than 1% higher in premarket trade. (andrea.figueras@wsj.com)
1000 GMT - U.K. house builder Bellway is being affected by sector headwinds, including the conflict in the Middle East, Interactive Investor analyst Victoria Scholar says in a note. The war in Iran and the ensuing economic uncertainty will likely affect consumer confidence and add pressure in terms of build-cost inflation as the energy shock looks set to push up construction costs such as labor and materials, Scholar says. Furthermore, the Bank of England's monetary policy paralysis has affected shares as they have fallen over 25% since the start of the year on the back of inflation fears, the prospect of higher-for-longer interest rates, and worsening mortgage affordability, Scholar says. Shares are down 8.8% at 19.49 pounds. (anthony.orunagoriainoff@dowjones.com)
0948 GMT - Spanish beauty group Puig's potential business combination with Estee Lauder doesn't seem compelling from a portfolio-construction perspective, Jefferies analysts write. A possible deal would increase exposure to prestige fragrance and skincare as both come off of peak growth rates, the analysts say. Furthermore, an agreement would add complexity to U.S. cosmetic company Estee Lauder as it continues to work through its own turnaround, they say. Shares in Puig are up 13% while Estee Lauder stock is less than 1% higher in premarket trade. (andrea.figueras@wsj.com)
0950 GMT - Airbus expects a limited impact from the conflict in the Middle East in the near term, Berenberg analysts write in a research note following a dinner event with the European plane maker's CFO. The Middle East accounts for 11% of Airbus's scheduled aircraft deliveries between 2026 and 2030, they note. However, prolonged disruption to regional air traffic could pose a threat to supply chains and increase the risk of customers deferring orders, they say. Airbus has buffer stocks of aluminum and the company said it is well protected from near-term price rises, the analysts note. Airbus shares trade 1.9% lower at 163.26 euros. (mauro.orru@wsj.com)
0948 GMT - (Dow Jones) Continental shares are oversold and newsflow suggesting that the sale of its ContiTech business is progressing at a reasonable valuation range is positive, Citi analysts write. Bloomberg reported that the ContiTech business is potentially being valued at between 3.5 billion and 4 billion euros, which is below Citi's valuation of 4.6 billion euros. However, a sale at the mid-point would still leave the remaining Continental business trading at a valuation below key peers Michelin and Pirelli, offering compelling upside. The bank thinks recent share price weakness in Continental had effectively discounted any such sale even happening on account of recent uncertainty in raw material prices and availability, rates and valuations. Citi rates Continental at buy with a 78 euro target price. Shares fall 1.1% to 59.10 euros. (dominic.chopping@wsj.com)
0941 GMT - S4 Capital is set to continue to benefit from last year's cost-cutting actions in 2026, which should help it mitigate a revenue shortfall from client caution, Jefferies's Giles Thorne and Weng Lum Khoo say in a research note. The U.K. advertising company had already provided an update on its year-end performance in January, and its 2026 guidance points to a better outlook for the business as it right-sizes its operations and increases profitability, the analysts say. "Indeed, the cost-saving measures in 2025 are expected to fully annualize in 2026, which should help cushion the impact of client caution amid the uncertain economic environment," they add. Shares jump 19%. (adria.calatayud@wsj.com)
0933 GMT - Kingfisher has strong EPS growth prospects given the likely structural growth in digital and trade, RBC Capital Markets analysts Richard Chamberlain and Manjari Dhar say in a note. The home-improvement company has developed a stronger digital and trade offering in the U.K. which can now be developed in other markets, the analysts say. They highlight longer-term margin drivers from marketplace, trade, retail media, better buying and use of AI. Kingfisher's shares have fallen markedly since the start of the Iran conflict mostly due to higher interest-rate expectations, but its direct exposure to the Middle East is very low, the analysts say. Shares are down 0.3% at 295.40 pence. (anthony.orunagoriainoff@dowjones.com)
0913 GMT - Nintendo's share-price drop was likely driven by a media report that the company reduced production of its Switch 2 console for the March quarter, according to Morningstar director Kazunori Ito. The output cut, if true, would be unsurprising, he says. Nintendo had indicated that December-quarter sales in Europe and the U.S. fell short of expectations. Ito notes that the console business faces headwinds, including slowing consumer demand and rising memory costs. But Morningstar isn't concerned about the Switch 2's long-term prospects, as Nintendo is expected to release more exclusive titles to encourage users of the original Switch to move to the new platform, he says. Nintendo shares close 4.8% lower. (jason.chau@wsj.com)
(END) Dow Jones Newswires
March 24, 2026 07:35 ET (11:35 GMT)
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