Photographer: Kiyoshi Ota/Bloomberg Nomura Holdings Inc.’s chief executive officer sees more scope to get business from Japanese investors who are looking to private markets as a way to diversify their assets. “Compared with the share of private assets in portfolios overseas, Japan’s exposure is still quite low,” CEO Kentaro Okuda said in an interview broadcast on TV Tokyo on Thursday. “That means there’s still room to include private products to enhance performance and stabilize returns. We see signific ...

Core Viewpoint - The article discusses Netflix's recent financial performance, highlighting a significant impact from a tax dispute in Brazil, which affected operating margins but is expected to have a minimal annual impact moving forward. Financial Performance - The tax dispute in Brazil resulted in over a 300 basis points impact on operating margin for the quarter, but future annual impacts are projected to be only about 20 basis points [1][2]. - Netflix's revenue was in line with expectations, but the fourth quarter guidance did not impress, contributing to a decline in stock price [5]. Content Strategy - Netflix has slightly reduced content spending, indicating confidence in its existing programming slate, which is already considered "sticky" [7]. - The company is focusing on the advertising opportunity, although current ad delivery rates are low, limiting revenue potential [8]. M&A Activity - Netflix is exploring potential acquisitions, particularly interested in parts of Warner Brothers Discovery, but is not looking to acquire legacy media networks [10][14]. - The company emphasizes organic growth and responsible investment over M&A to achieve its growth targets [11][14].

Financial Performance - Netflix reported Q3 EPS of $5.87, missing the estimate of $6.94, and Q3 revenue of $11.51 billion, slightly below the expected $11.52 billion [1][2] - For Q4, Netflix anticipates EPS of $5.45, slightly above the estimate of $5.42, and revenue of $11.96 billion, compared to the street's expectation of $11.9 billion [1][2] - Full-year revenue guidance was set at $45.1 billion, within the range of $44.8 billion to $45.2 billion [2] Engagement Metrics - Netflix experienced a significant surge in viewer engagement, with a reported increase of 20% to 22% in engagement metrics during Q3, driven by popular titles such as "K-pop Demon Hunters" and new seasons of "Squid Game" and "Wednesday" [8][10] - The company emphasized that engagement is a key metric for evaluating its performance, as it directly influences monetization and pricing power [10] Strategic Moves - There are reports suggesting Netflix's interest in acquiring parts of Warner Brothers Discovery, which could enhance its content library and subscriber engagement [3][12] - Historically, Netflix has been cautious with M&A, spending only about $1 to $1.5 billion on acquisitions, favoring a build versus buy strategy [13][15] AI and Content Production - Netflix is leveraging AI for content creation and user personalization, which is expected to be a tailwind for the company [17] - The use of AI could potentially reduce content production costs by 5% to 10%, translating to savings of approximately $1.5 billion to $2 billion over time, given Netflix's annual content budget of around $18 billion [18][19]

Core Insights - Goldman Sachs Group, Inc. (GS) reported a significant increase in investment banking revenues, achieving double-digit growth in Q3 2025, with total IB fee revenues reaching $2.7 billion, a 42.5% increase year-over-year [1][3][11] Investment Banking Performance - Global mergers and acquisitions (M&As) rebounded in Q3 2025 after a slowdown earlier in the year, driven by a strong U.S. economy and favorable regulatory conditions [2] - Goldman Sachs led the M&A advisory market, advising on over $1 trillion in announced M&A volumes year-to-date, with advisory revenues surging 60% year-over-year [3][4][11] - Other competitors, such as Morgan Stanley and JPMorgan, also reported strong growth in their IB revenues, with Morgan Stanley's IB revenues at $2.1 billion (up 44.1%) and JPMorgan's at $2.6 billion (up 17.1%) [5][6][8] Market Outlook - David Solomon, CEO of Goldman Sachs, expressed optimism about the continuation of favorable M&A activity through 2025 and into 2026, supported by strong client pipelines and macroeconomic conditions [4] - The consensus estimates for Goldman's earnings in 2025 and 2026 indicate year-over-year increases of 19.6% and 12.4%, respectively, with sales expected to rise by 9.1% and 5.9% [16] Valuation Metrics - Goldman Sachs trades at a forward price-to-earnings (P/E) ratio of 14.33, slightly below the industry average of 14.38 [13]

Core Viewpoint - Augusta Gold has received shareholder approval for its takeover by AngloGold Ashanti, with over 99.3% of votes in favor, and the transaction is expected to close around October 23 [1][2]. Company Summary - AngloGold Ashanti has agreed to acquire Augusta Gold for C$152 million ($108.7 million) in an all-cash deal, aiming to consolidate landholdings in Nevada's Beatty gold district [2]. - The acquisition price of C$1.70 per share represents a 28% premium at the time of the announcement, with Augusta's current stock trading at C$1.69, resulting in a market capitalization of C$145.2 million ($103.8 million) [3]. Industry Summary - The acquisition is seen as a strategic move to enhance AngloGold's position in a key gold district in North America, with CEO Alberto Calderon emphasizing the importance of securing these properties for future development [4]. - AngloGold's Nevada projects include Arthur, with an inferred mineral resource of 12.9 million ounces, and North Bullfrog, projected to produce an average of 76,000 ounces of gold annually over 11 years [4]. - The acquisition is expected to create synergies for the two projects, according to BMO Capital Markets mining analyst Raj Ray [5].

Group 1 - BMO Capital Markets led the M&A financial advisory rankings in the metals and mining sector for Q1–Q3 2025, advising on 12 deals valued at $7.3 billion, securing the top position in both deal value and volume [1][2] - BMO Capital Markets was the only adviser to achieve double-digit deal volume during this period, advising on three billion-dollar deals [2] - JP Morgan followed in deal value with transactions worth $5.5 billion, while CIBC Capital Markets, National Bank of Canada, and GenCap Mining Advisory completed the top five with deal values of $4.4 billion and $2.6 billion, respectively [2] Group 2 - In terms of deal volume, Evans & Evans secured the second position with seven deals, while Beaumont Cornish also completed seven deals but ranked third due to lesser-value deals [3] - CIBC Capital Markets and SP Angel Corporate Finance took the fourth and fifth spots in deal volume, both advising on six deals, with CIBC ranking higher due to greater deal value [3] Group 3 - GlobalData's league tables are based on real-time tracking of various reliable sources, with a dedicated team of analysts monitoring these sources to gather detailed information on each deal [4]

Group 1: Teck Resources Performance - Teck Resources reported a strong Q3 2025, with adjusted earnings per share of C$0.76, exceeding the analyst estimate of C$0.53 [2] - Revenue for the quarter reached C$3.38 billion, an 18.2% year-over-year increase, surpassing the forecast of C$2.92 billion [2][3] - The performance was driven by higher base-metal prices, particularly copper and zinc, and lower copper smelting charges [3] Group 2: Ford Motor Company Recall - Ford is recalling over 1.4 million vehicles in the U.S. due to a rearview camera issue that can distort or blank the image when in reverse [4][5] - The recall affects various models from 2015-2019, with 18 accidents reported but no injuries [5] Group 3: Woodside Energy Update - Woodside Energy reported a 9% year-on-year decline in Q3 revenue to $3.36 billion, attributed to an 8% decrease in average realized oil prices [6][7] - Despite the revenue dip, Woodside raised its full-year 2025 production guidance to between 192 and 197 million barrels of oil equivalent [7] Group 4: European Space Sector Consolidation - Major European aerospace companies, including Airbus, Thales, and Leonardo, are nearing a $11.6 billion merger of satellite operations, known as Project Bromo [8][10] - This merger aims to create a regional champion to compete against global players like SpaceX, consolidating Europe's fragmented satellite industry [11] Group 5: M&A Activity in Financial Services - PAI Partners is in exclusive negotiations to acquire a majority stake in French wealth manager Cyrus, which manages over €20 billion in assets [12] - Oaktree Capital Management is using private credit to finance its proposed acquisition of Perpetual's wealth management unit, with the sale expected to fetch between $500 million and $1 billion [13]

Core Viewpoint - Netflix is reportedly interested in acquiring Warner Bros. Discovery, which has officially put itself on the market, but the company's Co-CEOs indicated that major acquisitions are not a priority for them [2][3]. Financial Performance - Netflix experienced a revenue increase of 17% in Q3, but reported an earnings-per-share miss due to a complex tax dispute in Brazil, which affected operating margins, dropping them to 28% from a previously guided 31.5% [3][12]. - The company attributed the earnings miss to an unexpected tax issue with Brazilian authorities, which involves back payments related to technology usage fees [12][13]. Acquisition Interest - Co-CEO Ted Sarandos stated that Netflix has no interest in owning legacy media networks and emphasized the need for acquisitions to strengthen existing capabilities or accelerate strategy [3][4]. - Analysts express skepticism about the strategic fit of Warner Bros. assets for Netflix, suggesting that most of these assets do not align with Netflix's corporate priorities [8][9]. Market Dynamics - The current consolidation in Hollywood is viewed as not fundamentally changing the competitive landscape, with previous mergers yielding varied outcomes [5][6]. - Analysts noted that acquiring another company may not help Netflix develop the necessary capabilities to compete globally in streaming video [5][10]. Future Growth Strategies - Netflix's growth is expected to come from its ad-supported tier, which has doubled revenues from the previous year, and from investments in live events and sports [14][15]. - The company is cautious about entering into expensive long-term broadcasting deals, unlike traditional media companies [15].

Core Viewpoint - Shares in Warner Bros. Discovery (WBD) have surged to their highest level since 2022, driven by interest from multiple parties in acquiring the company or parts of it, particularly from Paramount [1][2] Group 1: Acquisition Interest - Paramount is seen as the leading candidate for acquiring WBD, with analysts noting that it faces fewer complications compared to other potential bidders like Comcast and Netflix [2][4] - Doug Creutz from TD Cowen expressed that a transaction with Paramount is reasonably likely, viewing WBD's statement as a formality given the ongoing reports of Paramount's interest [3] - Analysts from MoffettNathanson also agree that Paramount is the most likely to succeed in acquiring WBD, citing the company's recent success in closing a transaction with Paramount as a positive indicator for regulatory approval [4] Group 2: Market Reaction and Stock Performance - Following the news of acquisition interest, WBD's stock closed at $20.33, reflecting an 11% increase [1] - Jessica Reif Ehrlich from Bank of America maintains a "buy" rating on WBD shares with a price target of $24, viewing the interest from multiple parties as a positive development [5] Group 3: Company Strategy and Future Outlook - WBD is expected to separate its cable networks from its studio and streaming assets by April 2026, with the potential for increased recognition of value in the two new entities [6] - The company has faced significant challenges since the $43 billion merger of WarnerMedia and Discovery in April 2022, including cost cuts and a decline in stock prices, which at times fell below $7 [7] - Laurent Yoon from Bernstein Research highlighted the importance of maintaining multiple credible bidders for WBD, noting that such an asset has not been available for years, making it a unique opportunity for potential acquirers [8]

Core Insights - Warner Brothers Discovery is undergoing a strategic review, effectively signaling a potential sale of the company [1] - Paramount has made multiple bids for Warner Brothers Discovery, with the latest reported offer being around $25 per share, which was rejected [3][4] - David Zaslav, CEO of Warner Brothers Discovery, is reportedly seeking $40 per share for the company [4] Group 1: Bidding Dynamics - Paramount's initial offer of $20 per share was deemed too low, prompting speculation about whether they would increase their bid [2] - The rejection of Paramount's bids is pushing them to raise their offer significantly to meet Warner Brothers Discovery's expectations [4][5] Group 2: Market Implications - The potential acquisition of Warner Brothers Discovery is viewed as a significant opportunity in the media and telecommunications (TMT) sector, with many companies likely to engage in buying or selling assets [6] - Comcast is identified as a strong contender for acquiring Warner Brothers Discovery, given its existing assets in linear TV, streaming, and studios [7][8] Group 3: Regulatory and Financial Considerations - Regulatory approval poses a challenge for Comcast, as its CEO Brian Roberts has faced scrutiny from the FCC and previous administrations [9] - The acquisition is expected to involve substantial financing, potentially amounting to tens or even hundreds of billions of dollars [9]