Nio Inc. (NIO) seized the attention of market operators worldwide after today release of its Q3 earnings reporting. The main feature of the document was a remarkable decrease in losses per share, dropping from 0.52$ in the second quarter to 0.37$ at the current exchange rate between CNY and USD. Also, Q3 LPS were lower than the expected value (0.41$), even though revenue failed to meet expectations (total reported value of 2.7B$ against 2.72B$ estimated). Thanks to this achievement, investors’ expectations about Nio’s future profitability improved a lot, with its shares price recording a percentage increase of +1.5% just before 16:00 EST.
Portfolio holding Eli Lilly (LLY) (0.2 units @582.99) has just announced that ZepBound, its revolutionary weight loss treatment, is finally available at US pharmacies. This represents not only a major turning point in Eli Lilly’s operating strategy in the weight loss drugs market, but this also allows it to compete better with rival companies like the other portfolio holding Novo Nordisk (NVO) (1 unit @100.88), that operates in the same market with the product named “Wegovy”. Eli Lilly’s stock price reached a value of 588.15$ (+0.42%) at 4:00 PM EST. Focusing on rating agencies, Moody’s shocked stock and especially bond markets worldwide after the New York based company’s outlook on China worsened, passing from “Stable” to “Negative”. The reason behind this judgment is linked to the financial help Xi Jinping government has decided to offer to troubled local institutions as well as public companies all across the country. In fact, Moody’s considers that this commitment by the central government will have a huge negative impact on the economic, financial and political strength of the country. Unsurprisingly, the Chinese government members’ opinions about the statement from the agency were not positive, with the finance ministry being the most outspoken amongst party members.
Author: Piero Foberti