Stock Take 16/02/2021

Palantir surprises with loss quarter

The US software and services company Palantir presented its key figures for the past year on Tuesday before the start of trading in the USA.

After the software and services provider Palantir had posted a loss per share of 0.29 US dollars or 159.3 million US dollars in the same quarter of the previous year, the company now reported a discount per share of 0.08 US dollars and thus a net loss of 148.3 million US dollars. Palantir lost 241.8 million US dollars in share-based payments and 18.9 million US dollars in payroll taxes alone. Analysts had expected earnings per share of 0.02 US dollars.

In the past quarter, Palantir turned over 322.1 million US dollars, which corresponds to an increase of 44.4 per cent compared to the same quarter of the previous year. The group that star investor Peter Thiel founded, among others, exceeded expert estimates of 300.7 million US dollars.

Palantir only went public on the New York Stock Exchange at the end of September 2020. Palantir specialises in data analysis and works a lot with security agencies and intelligence services. This is one reason why the company has long kept a low profile concerning its business and customers.

Palantir shares ultimately fell by 12.77 per cent to 27.84 US dollars on the NYSE.

Adidas begins Reebok sale

Adidas and Reebok are going their separate ways after 15 years. The world’s second-largest sporting goods company Adidas plans to part ways with the flagging US brand. “After careful consideration, we have concluded that Reebok and Adidas can significantly better exploit their growth potential independently of each other,” said CEO Kasper Rorsted in Herzogenaurach on Tuesday. 

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The decision to sell has been in the pipeline since Rorsted started working on the new strategy for the next five years. Therefore, the official announcement does not come as a surprise to the stock market. The Franconian company had bought Reebok in 2006 for more than three billion euros – in the hope of being able to compete more strongly with its larger competitor Nike in the USA. But the expectations were never fulfilled. 

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The Adidas share fell by around 0.9 per cent to 293.80 euros on the DAX.

Michelin share gains slightly

The Corona crisis has caused a severe drop in sales and profits for the French tyre manufacturer Michelin. However, the company earned better than expected in its current business. For the current year, the management expects better business again, as Michelin (Compagnie Générale d Etablissements Michelin SCPA) announced in Clermont-Ferrand on Monday evening. However, the level of the year before the pandemic is likely to remain out of reach in 2021.

Last year, Michelin’s sales plummeted by 15 per cent to 20.5 billion euros. The segments’ operating profit slumped by almost 38 per cent to just under 1.9 billion euros but exceeded analysts’ average expectations. The bottom line was 625 million euros, just over a third as much profit as in 2019.

Michelin shares were slightly up on Tuesday. In Paris, the paper of the Continental competitor finally gained 0.17 per cent to 117.90 euros. Since the beginning of November, the price had already risen when a share was still worth around 90 euros.

Glencore slides deeper into the red

At the mining and commodities trader Glencore, the 2020 corona crisis’s effects have left clear traces on the balance sheet.

Lower production volumes and lower commodity prices weighed on the result. Besides, there were high impairments in connection with the Mopani copper mine in Zambia and write-downs on the Colombian coal and African oil portfolios. The bottom line was a loss to shareholders of 1.9 billion dollars (about 1.57 billion euros) after a loss of 404 million dollars in the previous year, Glencore announced on Tuesday in Baar, Switzerland, when presenting preliminary figures. In day-to-day business, however, things have been better for Glencore recently. The shares rose on Tuesday.

Adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) in 2020 remained almost at the previous year’s level of 11.6 billion dollars. Analysts had less on their cards here. Turnover, however, slumped by 34 per cent to 142.3 billion dollars. Especially in the first half of the year, production facilities remained closed for weeks and demand for raw materials declined.

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The figures were well received on the stock exchange. The share price rose by more than three per cent in early trading. Glencore also plans to pay a dividend of 0.12 US dollars per share for 2020. A year earlier, shareholders were left empty-handed due to uncertainties about the impact of the Corona pandemic.

At the London stock exchange, Glencore shares are currently climbing by 3.90 per cent to 2.91 GBP.

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