Management expects power battery shipments to double and energy storage shipments to grow by more than 50% in 2027. Citi is positive on large cylindrical battery and overseas energy storage orders, but capacity ramp-up, tax cost sharing and earnings quality will determine how much growth translates into profit.
Third-quarter revenue growth exceeded the company’s full-year target, but the decline in gross margin also exceeded its target range. Citi sees the low-margin energy storage business as the main drag, with impairments, lower subsidies and foreign exchange losses further depressing profit, and expects full-year earnings consensus to be revised downward.
Citi expects Meituan’s third-quarter results to be broadly in line with consensus, but margins in both food delivery and in-store services are under sequential pressure. Improved food delivery efficiency in the fourth quarter may be partly offset by spending on expansion in Brazil, and the bank’s net profit forecast is below consensus.
Citi’s tracking shows that total US GLP-1 prescriptions have turned negative year over year, while tirzepatide continues to gain share. Oral Wegovy now accounts for 35% of the brand’s prescriptions; the rollout of new oral products is occurring alongside a weakening overall market.
Bernstein believes real-return regimes retain more value in an asset base that grows with inflation, while nominal-return regimes recover cash earlier. The former faces greater financing pressure during investment expansions and also mechanically produces higher valuation multiples; judging relative value requires considering both the regulatory mechanism and the investment phase.
Third-quarter revenue in 2026 doubled year on year, but still fell short of the ramp-up pace expected by Bernstein and the market. Gross margin rose to 58.7%, supporting the pricing assessment, while inventories and accounts receivable continued to rise and operating cash flow was negative for the quarter. Supply and the pace of revenue recognition have become key constraints.
P&G’s organic sales grew 4% in the first quarter of fiscal 2027, driven mainly by volume and product mix. Bernstein raised its price target to $171, but expects EPS growth of just 4.3% in fiscal 2028: limited room for price increases leaves the earnings recovery more dependent on cost savings and easing cost pressures.
Third-quarter revenue rose 138% year over year, and adjusted EBITDA exceeded market consensus by 24%, as operating leverage began to emerge during the capacity expansion. But cash tied up in contract assets and higher capital expenditure turned quarterly free cash flow negative. Bernstein raised its price target to 306 dollars and maintained its Market-Perform rating.
European companies’ interest burden has increased since 2022, reducing profits by more than 5%. Goldman Sachs believes financing pressure will widen the gap between companies, but healthy balance sheets and its expectation of an improving macroeconomic environment in 2027 should help limit systemic risk.
Third-quarter revenue beat expectations, and Muse makes the path to AI monetization clearer. But expansion costs are coming first: BofA cut its 2027 earnings-per-share forecast and expects free cash flow to turn negative. The higher price target mainly reflects a higher valuation multiple.
South Korean stocks fell while earnings expectations were revised up slightly. Goldman Sachs considers both memory and non-memory stocks undervalued, but has adopted more conservative valuation assumptions; persistent outflows and doubts about earnings sustainability remain key constraints on a recovery.
A US Treasury draft would restrict equity investments, convertible debt and certain joint venture arrangements involving Chinese biotechnology companies. Goldman Sachs believes conventional licensing transactions can still proceed, but structures involving joint funding and shared profits and losses, or attached equity, may fall under the prohibition.
650 Group is optimistic about connections within clusters, links between data centers and CPU demand from AI agents. But server price increases currently stem mainly from cost pass-through, while equipment vendors also face intensifying competition.
Goldman Sachs remains positive on AI-driven demand for advanced and mature process technologies, but expects a slower pace of price increases for advanced processes and cuts its 2028 and 2029 net profit forecasts by 14% and 7%, respectively. After rolling its valuation basis forward to 2029, it maintains its Hong Kong share target price at HK$153.
Third-quarter earnings per share came in slightly below expectations, but PG&E maintained its guidance for this year and next. JPMorgan continues to see opportunities for value creation from data-center investment and the strategic review, while treating major policy reform before year-end as a low-probability upside scenario.
Texas Instruments’ third-quarter gross margin rose to 64.2%, and its fourth-quarter revenue guidance was well above seasonal norms. Bank of America believes contractual price increases will have their main impact in 2027, but if capital spending rises with growth, the free-cash-flow inflection point could be delayed by up to a year.
Goldman Sachs cut its KOSPI target from 12,000 to 9,000 points, while still seeing more than sixty percent upside. Its view rests on the Korean market’s deep discount relative to earnings; its regional allocation shifts toward cash flow, quality and shareholder returns, avoiding a bet solely on an index rebound.
Goldman Sachs expects Kingsoft Cloud’s third-quarter revenue to grow 34% year on year, driven mainly by accelerating demand from Xiaomi and the Kingsoft group. However, a return to normal expenses puts operating profit below consensus, while expansion also depends on customer prepayments and GPU leasing. Goldman maintains its Buy rating and cuts its target price to 15.5 US dollars.
Fund distribution and investment income offset some weakness in brokerage, but distribution growth is increasingly reliant on sales volume, while back-end fee-earning capacity continues to decline. Goldman Sachs cut its earnings forecasts for the next three years and maintained its Sell rating.
AAA spreads on non-QM mortgage securities rose from 125–130 basis points in July to 155–160 basis points. Goldman Sachs believes new deals improve protection for A-1 by prioritizing repayment of A-1 principal and diverting more interest from subordinate tranches, but other tranches bear the cost, and a severe housing downturn could still threaten interest coverage.
