Yahoo Finance Trending tickers: UBS | Saudi Aramco | AB Foods | Uber
The latest investor updates on stocks that are trending on Tuesday
UBS (UBSG.SW)
UBS reported a $785m (£638.8m) loss in the third quarter as it integrates rival Credit Suisse.
However, shares were up in Zurich as it beat expectations for underlying profit.
UBS was hit by around $2bn in Credit Suisse-related integration expenses during the period. Stripping those out, the lender generated a pre-tax profit of $844m.
Analysts polled by Reuters had anticipated a quarterly net loss of $444m in a company-compiled poll.
UBS said it had gained new assets and clients, leading to net flows of $22bn into its global wealth management business.
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“We are optimistic about our future as we build an even stronger and safer version of the UBS that was called upon to stabilise the financial system in March and one that all of our key stakeholders can be proud of,” said chief executive Sergio Ermotti.
The bank announced earlier this year that it is targeting gross cost savings of at least $10bn by 2026, when it hopes to have completed the integration all of Credit Suisse Group’s businesses.
Saudi Aramco (2222.SR)
Saudi Aramco posted a 23% drop in profits for the third quarter compared to the previous year as the world’s largest oil company by market capitalisation sold less oil for cheaper prices.
The energy giant said net profit amounted to $32.58bn in the three months ended September, from $42.43bn in the same period a year earlier, when it benefited from surging energy prices after Russia invaded Ukraine.
The Saudi oil producer said lower oil prices and volumes were partially offset by a reduction in production royalties.
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Free cash flow for the company was slashed to $20.3bn, less than half of what it was in the third quarter of 2022 at $45bn.
Aramco said it would pay its shareholders a base dividend of $19.51bn for the third quarter and a performance-linked dividend of $9.87bn. Saudi Arabia, the world's biggest oil exporter, owns 90% of Aramco's shares.
AB Foods (ABF.L)
Primark owner Associated British Foods revealed a rise in revenues and profits for the past year as it benefited from price increases.
AB Foods revealed that group revenue increased by 16% to £19.7bn for the year to 16 September, compared with a year earlier, driven by higher pricing as it sought to offset cost inflation.
Primark sales rose 17% to £9bn over the year to 16 September, up 8.5% on a like-for-like basis, which it said had exceeded its expectations.
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“Primark is an attractive option when household budgets are tight — particularly in areas like children’s clothing where longevity is less of an issue,” AJ Bell investment director Russ Mould said.
The group, which reported profit growth of 5% for 2022/23, anticipates further growth in Primark's sales in the 2023/24 year, driven by some 1 million square feet of new retail space and "modest" levels of like-for-like sales growth.
AB Foods forecast a stable 2023/24 performance from its grocery business, which includes Twinings tea, Jordans cereals, Kingsmill bread and Ovaltine drinks.
Uber (UBER)
Ridesharing app Uber is set to report earnings this Tuesday before the opening bell in the US, with analysts optimistic.
For the third quarter ending 30 September, analysts expect Uber to post earnings of 7 cents per share on sales of $9.54bn, according to FactSet. In the same quarter last year, Uber lost 61 cents per share on $8.34bn in revenue.
Read more: UK inflation: Milk, butter and pasta prices drop
KeyBanc Capital Markets analyst Justin Patterson told MarketWatch that he anticipates that Uber will see stable margin improvement into 2024, and he also thinks the stock’s valuation can surge.
The Zacks Consensus Estimate for earnings is 13 cents (up 121.3% year over year) and for sales is $9.74bn (up 13.47% year over year).
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