Category: Services Sector

Analysis, BioTech, Commodities, Diversified Tech, Finance, Global Equity, Mergers & Acquisitions, Semiconductors, Services Sector, Software, software, Tech IPO

Still-Weak European Paper Demand Weighed on UPM’s 1Q Results

Despite relatively steady performance from the energy and pulp segments, UPM’s quarterly EBITDA contracted 20% year over year; EBITDA from the paper business was nearly halved over the same period. As the world’s largest producer of graphic paper, UPM remains highly dependent on its paper business, where volume continues to decline–European magazine papers fell 6%, newsprint fell 3%, and fine papers fell 6%–and present significant … Continue reading Still-Weak European Paper Demand Weighed on UPM’s 1Q Results

John MeadyLeave a comment
Finance, Financial, Services Sector

BBVA Cuts Stake to 9.9% in CITIC Bank

Banco Bilbao Vizcaya Argentaria announced that it is reducing its 15% stake in China CITIC Bank to 9.9% in order to increase its Basel III capital ratio. Because it will be below 10%, the CITIC stake will no longer be considered a “significant” investment, which alters the accounting methodology. The accounting will change from the equity method to available for sale, which requires marking to market. … Continue reading BBVA Cuts Stake to 9.9% in CITIC Bank

Ryan HoltzLeave a comment
Diversified Tech, Finance, Services Sector

Plains All American Pipeline Announces Plans of Proposed Merger

On Tuesday, Plains All American Pipeline PAA announced the negotiated terms of its proposed merger with its natural gas storage subsidiary, PAA Natural Gas StoragePNG. PNG’s public unitholders are to receive 0.445 common unit of PAA, higher than the proposal of 0.435 common unit announced in August. The amount is equivalent to about $23.27 per PNG unit, or 2.3% higher than before. The increase probably resulted from … Continue reading Plains All American Pipeline Announces Plans of Proposed Merger

Ryan HoltzLeave a comment
Diversified Tech, Finance, Services Sector

Quest Diagnostics Struggles Continue in Q3

Quest Diagnostics followed up its earlier release of disappointing preliminary third-quarter results with more details behind the under performance and pulled back its outlook for the full year. The addition of this information has not materially changed our assumptions and we are holding steady on our $65 fair value estimate. Despite the new management team’s well-publicized plans to improve Quest’s operations and enhance efficiencies, we … Continue reading Quest Diagnostics Struggles Continue in Q3

Chris LewisLeave a comment
Analysis, Diversified Tech, Finance, Financial, Popular, Services Sector

ASM Lithography Meet Street Expectations

ASM Lithography reported third-quarter results that were within the range of our expectations. We are maintaining our fair value estimate and moat rating. For the quarter, revenue was EUR 1.32 billion, up 11% sequentially, and an increase from sales of EUR 1.23 billion in the year-ago quarter. Sales benefited from improved business conditions and a full quarter of contribution from ASML’s recent acquisition of lithography … Continue reading ASM Lithography Meet Street Expectations

John MeadyLeave a comment
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Analysis, Finance, Financial, Global Equity, Services Sector

Crown Holdings Reports Concerning Quarterly Results

Crown Holdings reported third-quarter results that were broadly in line with our expectations, but we have increasing concerns about the profit potential of Crown’s operations in Asia-Pacific. For example, through the first nine months of the year, Asia-Pacific segment profit declined $2 million while sales increased $157 million compared with the first nine months of 2012. In recent years, the company has invested significant sums … Continue reading Crown Holdings Reports Concerning Quarterly Results

Mark DeFranceLeave a comment