Based on volatility pricing in US dollar interest-rate options, Morgan Stanley selects trading structures for rising and falling rates and for yield-curve steepening and flattening; costs, maximum returns and the risks of selling options differ.
An oncology expert interviewed by Bernstein believes that a personalized mRNA vaccine combined with pembrolizumab showed clinically meaningful benefit in a phase III melanoma study. However, disease stage, immunotherapy risks and the personalized manufacturing process will affect its use in practice.
Pinterest continues to add users, but advertising revenue and fourth-quarter guidance fell short of expectations; Reddit revenue is still growing rapidly, yet its US daily active users declined year over year, and management plans to require all users to log in.
SpaceX’s moves into the wireless market have already depressed US telecom stocks, but the three major carriers are still refusing to give Starlink wholesale access to their networks. Bernstein believes the economics of a deal depend on where customers come from, how much traffic remains on the partner’s network, and whether SpaceX still builds its own network.
In the third quarter of 2026, the company’s revenue exceeded Nomura’s forecast by 27%, while net profit attributable to shareholders fell 29% short of the bank’s forecast. Nomura believes demand for high-density optical interconnects and capacity expansion drove revenue, but component costs and depreciation during the expansion phase depressed gross margin.
ASE’s third-quarter packaging and testing gross margin exceeded the upper end of company guidance, and management now sees the former 30% ceiling as a new baseline. The company raised its advanced packaging targets and capital expenditure, while Nomura increased its earnings forecasts and price target.
Third-quarter revenue rose 7.1% year on year, slightly above Bloomberg consensus; net profit attributable to shareholders fell 11.6%, missing expectations. Nomura maintained its buy rating and price target of 13.13 yuan.
Third-quarter revenue in 2026 rose 22% year on year and fell 2% quarter on quarter, while net profit rose 109% year on year. Nomura believes higher optical fiber selling prices and a greater share of high-margin products drove margin expansion.
Organic revenue rose approximately 40% year over year in the third quarter of 2026, while backlog grew approximately 60%. Bernstein raised its earnings forecasts, but its model also projects a decline in the overall adjusted operating margin in 2027.
Google Cloud revenue rose 102.6% year over year in the third quarter of 2026, beating market consensus. Alphabet’s overall revenue and profit fell short of expectations, while heavy capital expenditure pushed free cash flow into negative territory.
Third-quarter earnings per share slightly exceeded market expectations, but segment operating profit excluding the impact of IEEPA tariffs was slightly below expectations, and the book-to-bill ratio fell from 1.5 to 1.3. Bernstein cut its future earnings forecasts and price target.
Global iPhone sell-through fell 9.4% year over year in September, ending 18 consecutive months of growth. The Pro lineup started well, but the delayed standard-model launch and high channel inventory led Bernstein to flag downside risk to Apple’s fiscal 2026 fourth-quarter revenue.
Sales and economies of scale drove a further sequential recovery in third-quarter net profit, while overseas promotions, taxes and currency movements weighed on gross margin. Bernstein is optimistic about overseas localization and expansion, but has lowered its 2027 earnings forecast and price target.
The company’s third-quarter revenue rose 24.6% quarter on quarter, while net profit attributable to shareholders grew 8.5% sequentially. Nomura is optimistic about high-speed products and optical engine upgrades, but upstream price increases prompted it to lower its gross margin forecasts and cut its target price from 1375 yuan to 1196 yuan.
In the week ended 23 October, net subscriptions to ETFs tracking the CSI 300, ChiNext and STAR 50 indices rose sharply and were concentrated in those funds. Nomura Orient International believes sustained inflows can help ease selling pressure, but their current scale is insufficient to drive a sustained market reversal.
Third-quarter revenue rose sequentially, but both gross margin and net profit declined. Management expects improvement in the fourth quarter, while Morgan Stanley has cut its earnings forecasts for the next three years and its price target due to tight component supply.
Ford raised its 2026 profit guidance, but third-quarter automotive earnings fell short of JPMorgan’s expectations. Management expects overall profit to be roughly flat in 2027, provided pricing, mix and cost savings can offset a new round of cost increases.
Third-quarter revenue rose 7.5% quarter on quarter, below market expectations of around 15%; component shortages, delays in ramping up new systems and inventory write-downs weighed on performance. Nomura expects pent-up demand to be released over successive quarters, while cutting its earnings forecasts and target price.
In the third quarter of 2026, non-grid businesses and smart grids drove revenue growth, but the business mix, material costs and foreign-exchange losses weighed on profitability. Nomura is positive on the ultra-high-voltage order backlog while cutting its profit forecasts for the next two years.
Merck raised the lower end of its 2026 guidance, but Bernstein noted that part of the third-quarter revenue beat came from purchase timing and that full-year earnings-per-share guidance also benefited from tax rates and exchange rates.
