Companies in "Wait-and-Watch" Period: Adams
Marissa Adams, HSBC Regional Head of Global Trade Solutions for Europe and Americas, discusses the results of HSBC's latest trade pulse survey with Bloomberg's Jonathan Ferro, Annmarie Hordern and Lisa Abramowicz on "Bloomberg Surveillance." (Source: Bloomberg)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
43 minutes ago
- Bloomberg
Uniper Workers Ramp Up Pressure on Government to Rule Out Sale
Uniper SE 's labor representatives are ramping up the pressure on the German government to decide against an outright sale and instead list the utility on the stock market. 'We understand that there are again candidates expressing interest in a takeover of Uniper,' Harald Seegatz, head of Uniper's workers council, told Bloomberg News in an emailed statement. 'We consider any further takeover attempt a hostile act against the interests of employees and unions, which we will vehemently oppose.'
Bloomberg
an hour ago
- Bloomberg
Trump Broadcasts Putin Warning, Musk Seeks to ‘Kill' Tax Bill
Donald Trump broadcast Vladimir Putin's warning that he'll retaliate against Ukraine for its recent stunning drone strikes deep inside Russian territory, the clearest signal yet that the US president's peace efforts have stalled. Meanwhile Elon Musk is on a mission to block President Donald Trump's tax bill after he tried — and failed — to convince Republican lawmakers to preserve valuable tax credits for electric vehicles in the legislation, according to a person familiar with the matter. Today's guests: Sören Radde, Point72 European Economic Research Head, Didier Stoessel, PPF CIO & Incoming Co-CEO, Gabriel Caillaux, General Atlantic Head of Climate, Andrew Forrest, Fortescue Executive Chairman & Minderoo Foundation Founder (Source: Bloomberg)
Yahoo
an hour ago
- Yahoo
Swiss Chocolate Stocks Diverge as Costly Cocoa Takes Toll
(Bloomberg) -- Shares in two of Switzerland's biggest chocolatiers are on markedly different courses this year as soaring cocoa prices prove a tougher obstacle for one than they do for the other. ICE Moves to DNA-Test Families Targeted for Deportation with New Contract The Global Struggle to Build Safer Cars NYC Residents Want Safer Streets, Cheaper Housing, Survey Says The Buffalo Architect Fighting for Women in Design Lindt & Spruengli AG has risen 28% to date as the Lindor maker has shown itself able to pass on higher costs to customers, helped by the launch of crowd-drawing products such as Dubai-style chocolate. By contrast, Barry Callebaut AG has fallen 30% as the world's leading manufacturer of bulk chocolate is weighed down by a lack of pricing power. The cost of cocoa is a challenge for both companies, with the price of the key commodity remaining stubbornly high after more than quadrupling in 2023 and 2024. Yet while Lindt plans double-digit price increases this year, Barry Callebaut's customers — which include Nestle SA and Hershey Co. — have been pausing orders as they wait for prices to come down. 'Barry Callebaut faces a perfect storm of subdued demand and limited pricing power,' said Bloomberg Intelligence analyst Ignacio Canals Polo. By contrast, 'Lindt stands out amid the current cocoa market turmoil, leveraging its premium positioning.' Lindt, which operates in the high-end segment of the market, has been able to gain market share from competitors such as Mondelez International Inc. The introduction of its Dubai-style chocolate at the end of last year has been touted as a 'blockbuster' by UBS Group AG analyst Joern Iffert, who noted that it's one of Lindt's 'best product launches in history.' Price increases will continue this year due to higher cocoa prices, said a spokesperson from Lindt, whose headquarters are located only about 10 kilometers (6.2 miles) from those of Barry Callebaut in the canton of Zurich. Still, the firm expects the trend from quantity to quality consumption of premium chocolates to continue. Meanwhile, customers of Barry Callebaut have been reducing the chocolate content in their products, hurting margins. In April, the company cut its sales outlook for the year, sending the stock lower. On Thursday, Barry Callebaut fell 0.9%, while Lindt was down 1.2%. For Barry Callebaut, another pressure point is the interest of short sellers as cocoa supplies continue to tighten and West African growers hold back next season's sales in anticipation of higher prices. Shares out on loan, an indication of short interest, were at 23% of the firm's free float as of June 3, according to data from S&P Global Market Intelligence. 'With every cocoa price increase you have a negative impact on free cash flow,' said Damian Burkhardt, Swiss equities lead portfolio manager at EFG Asset Management. 'That is the reason why short interest on the name is so high.' The firm's executives have struggled to navigate a difficult environment. Barry Callebaut shares have had a total negative annualized return of 30% under Chief Executive Officer Peter Feld, who took the helm in April 2023 following the sudden departure of Peter Boone. That compares with a positive return of about 14% for peers during the same period, according to data compiled by Bloomberg. Barry Callebaut didn't respond to a request for comment. To be sure, average analyst price targets suggest the fortunes of the two Swiss chocolate makers could reverse in the next 12 months. Their predictions show Barry Callebaut, which fell to a 2011 low last month, rallying 31% from current levels. Meanwhile Lindt, which is hovering near a record high, could drop 12%. BNP Paribas Exane analyst Mikheil Omanadze says Lindt shares are 'expensive.' But for Morgan Stanley's David Roux, Lindt has 'stood out during the ultimate test for chocolate brands.' Even with this year's share rally, he sees the chocolate maker's premium to European consumer staples peers being supported. --With assistance from Joe Easton. (Updates share prices.) Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Is Elon Musk's Political Capital Spent? Trump Considers Deporting Migrants to Rwanda After the UK Decides Not To ©2025 Bloomberg L.P. Sign in to access your portfolio
