August 21, 2025 02:36 PM GMT Investor Presentation | Japan M Foundation Electronic Components: Monitoring Demand Shifts from Oct–Dec Onward Apr–Jun results broadly exceeded our forecast; strong demand expected in Jul–Sep. To expand earnings in 2026, a solid foundation must be laid from year-end through New Year. Key Takeaways Morgan Stanley MUFG Securities Co., Ltd.+ Shoji Sato Equity Analyst Shoji.Sato@morganstanleymufg.com +81 3 6836-8404 Sota Harashima Equity Analyst Sota.Harashima@morganstanleymufg.com ...

Advance Auto Parts Inc. AAP posted better-than-expected earnings for the second quarter on Thursday.The company reported second-quarter adjusted earnings per share of 69 cents, beating analysts' consensus estimate of 57 cents. Quarterly sales of $2.01 billion outpaced the Street view of $1.978 billion. Comparable store sales for the second quarter increased 0.1%."Our comparable sales performance was fueled by growth in the Pro business, and we are encouraged by the early signs of stabilization in our DIY bu ...

Core Insights - AppLovin Corp (APP) reported second-quarter earnings that exceeded analyst expectations for earnings per share but fell short on revenue [1] - The company's shares experienced a significant increase of 13.2% following the earnings announcement [1] Financial Performance - Second-quarter revenue was reported at $1.26 billion, which was below the analyst estimates of $1.31 billion [1] - Earnings per share for the second quarter were $2.39, surpassing analyst expectations of $2.04 [1] Analyst Ratings and Price Targets - Piper Sandler analyst James Callahan maintained an Overweight rating and raised the price target from $470 to $500 [6] - Wells Fargo analyst Alec Brondolo also maintained an Overweight rating, increasing the price target from $405 to $480 [6] - Morgan Stanley analyst Matthew Cost kept the stock at Overweight and raised the price target from $460 to $480 [6] - Scotiabank analyst Nat Schindler maintained a Sector Outperform rating and increased the price target from $430 to $450 [6]

Group 1 - Airbnb is set to release its Q2 earnings results on August 6, with expected earnings of 94 cents per share, an increase from 86 cents per share in the same period last year [1] - The projected quarterly revenue for Airbnb is $3.03 billion, compared to $2.75 billion a year earlier, indicating a significant growth [1] - In Q1, Airbnb reported a revenue increase of 6% year-over-year to $2.27 billion, surpassing analyst estimates of $2.26 billion [2] Group 2 - UBS analyst Stephen Ju maintained a Neutral rating and raised the price target from $137 to $156 [4] - Morgan Stanley analyst Brian Nowak kept an Underweight rating while increasing the price target from $125 to $130 [4] - Wells Fargo analyst Ken Gawrelski also maintained an Underweight rating and raised the price target from $104 to $111 [4]

Group 1 - American Airlines Group Inc. is set to release its second-quarter earnings results on July 24, with analysts expecting earnings of 77 cents per share, a decrease from $1.09 per share in the same period last year [1] - The projected quarterly revenue for American Airlines is $14.29 billion, slightly down from $14.33 billion a year earlier [1] - The company has extended its partnership with Mastercard, designating it as the exclusive payment network for its co-branded AAdvantage credit cards [2] Group 2 - American Airlines shares increased by 1.4%, closing at $12.68 on the previous Wednesday [2] - Recent analyst ratings include Barclays maintaining an Equal-Weight rating with a price target increase from $11 to $12 [8] - UBS maintained a Neutral rating and raised the price target from $9 to $12, while Raymond James cut its price target from $15 to $14 but maintained an Outperform rating [8]

Core Insights - General Motors Company reported second-quarter adjusted earnings per share of $2.53, exceeding the analyst consensus estimate of $2.40, with quarterly sales reaching $47.12 billion, surpassing the expected $45.57 billion [1][3] Group 1: Financial Performance - The company affirmed its FY25 adjusted earnings per share guidance of $8.25-$10.00, compared to the analyst estimate of $9.17 [3] - General Motors plans to offset at least 30% of the $4 billion–$5 billion gross tariff impact [3] - Following the earnings announcement, General Motors shares increased by 6.9%, trading at $52.26 [3] Group 2: Market Position and Product Development - General Motors continues to lead the industry in full-size trucks and SUVs, with significant advancements in design and technology in new crossover SUVs like Chevrolet Trax, Buick Envista, and GMC Acadia, resulting in record demand and revenue growth [2] Group 3: Analyst Ratings and Price Targets - B of A Securities analyst John Murphy maintained a Buy rating on General Motors, lowering the price target from $65 to $62 [8] - Wells Fargo analyst Colin Langan maintained an Underweight rating, raising the price target from $34 to $38 [8] - Citigroup analyst Michael Ward maintained a Buy rating and raised the price target from $59 to $61 [8]

Group 1 - Alliance Global Partners has cut its price target for Tilray Brands (TLRY) stock by 25%, from $1 to $0.75 per share, citing softness in international cannabis and alcohol sales [1][3] - Despite the price target cut, Tilray's stock price increased by 15.8% as of 2:05 p.m. ET on Tuesday, indicating an unexpected investor reaction [1][3] - Tilray generates 25% of its revenue and 40% of its gross profit from alcoholic beverages, which is significant for its overall financial performance [3] Group 2 - Tilray has not reported a profit since 2018 and has never generated positive free cash flow (FCF) [4][5] - Analysts do not expect Tilray to become profitable before 2029, although there are forecasts for positive FCF in 2026 [5] - Given the company's historical performance, there is skepticism regarding its ability to achieve positive FCF in the near future, leading to a recommendation to sell the stock [5]

Core Insights - Snap-On Inc. reported better-than-expected second-quarter 2025 results, with net sales of $1.179 billion, a flat year-over-year increase, surpassing the consensus estimate of $1.16 billion. EPS for the quarter was $4.72, down from $5.07 YoY, but above the consensus of $4.67 [1][2]. Financial Performance - Quarterly net sales reached $1.179 billion, flat year-over-year, exceeding the consensus estimate of $1.16 billion [1]. - EPS for the quarter was $4.72, down from $5.07 YoY, but above the consensus estimate of $4.67 [1]. Management Commentary - The CEO expressed encouragement regarding the second-quarter results, highlighting the return of sales growth in the U.S. Tools Group and resilient gross margins despite ongoing uncertainties and trade turbulence [2]. - The company is focusing on product development and marketing to align with customer preferences, aiming to regain positive momentum [2]. Future Outlook - Snap-On anticipates continued growth in 2025, expanding its professional customer base in automotive repair and adjacent markets, with projected capital expenditures of $100 million [2]. - The company expects a full-year 2025 effective income tax rate between 22% and 23% [2]. Stock Performance - Snap-On shares gained 7.9% to close at $337.80 following the earnings announcement [3]. - Analysts have adjusted their price targets post-earnings, with Baird maintaining a Neutral rating and raising the target from $329 to $347, while B of A Securities maintained an Underperform rating and raised the target from $265 to $285 [3][8].

Core Insights - United Airlines reported second-quarter earnings that exceeded estimates, with a CEO statement indicating a recovery in travel demand after a challenging start to 2025 [1][3]. Financial Performance - United Airlines expects adjusted earnings of $9 to $11 per share for 2025, surpassing the $10 per share anticipated by analysts [2]. - For the second quarter, United's revenue increased by 1.7% year-over-year to $15.24 billion, although it fell short of the $15.35 billion expected by analysts [4][6]. - Net income for the second quarter decreased by 26% to $973 million, equating to $2.97 per share, while adjusted earnings were reported at $1.27 billion or $3.87 per share, slightly above the expected $3.81 [4][6]. Operational Challenges - Operational constraints at Newark Liberty International Airport negatively impacted United's second-quarter pretax margin by 1.2 percentage points, with a forecasted impact of 0.9 percentage points for the third quarter [4]. - The Federal Aviation Administration reduced flights at Newark due to air traffic control staffing shortages, contributing to operational challenges [5]. Market Outlook - CEO Scott Kirby expressed confidence in a strong finish to the year, citing reduced uncertainty compared to the first half of 2025 [3]. - Travel demand, particularly from price-sensitive customers for domestic flights, has been weaker than expected, leading to lower airfares [3].

Core Insights - Delta Air Lines reported growth in revenue, premium revenue, and international revenue, particularly in trans-Pacific routes, allowing the company to restore its full-year forecast [2][4] - The earnings forecast for the year is now between $5.25 and $6.25 per share, a decrease from the previous forecast of $7.35 per share [3] - Delta's second-quarter revenue reached $15.51 billion, a 1% increase year-over-year, with net income rising to $2.13 billion or $3.27 per share, compared to $1.3 billion or $2.01 per share in the same quarter last year [5][6] Revenue Breakdown - High-margin revenue streams accounted for 59% of total revenue, with premium revenue growing 5% year-over-year, while domestic coach revenue saw a decline [7][6] - International revenue increased by 2%, with trans-Pacific revenue up 11% and transatlantic revenue up 2%, surpassing record levels from 2024 [8] - Domestic revenue fell by 1% to $9.3 billion, indicating challenges in the domestic market [8] Market Reactions and Analyst Insights - The restoration of the earnings forecast led to a 10% increase in Delta's shares during pre-market trading, viewed positively by analysts [4] - Analysts express caution regarding extrapolating Delta's guidance to other airlines, particularly those lacking premium or diverse revenue streams [5] - Demand trends for Delta stabilized, with expectations for total revenue in the September quarter to be flat to up 4% compared to the previous year [10][11]