IBM, Cisco Unveil Quantum Networking Plans. This Announcement Is Different. — Barrons.com

Investing.com - European markets are showing signs of strain as investor sentiment has become increasingly fragile following the cooling of the global AI stock boom, according to a new analysis released Thursday by Liquidnet.

Trading costs across major European markets have risen significantly as touch sizes in the UK, France, and Germany have decreased, creating more challenging trading conditions for investors seeking to capitalize on opportunities in these markets.

Spreads have widened considerably over the past month, with France experiencing approximately a 10% increase and Germany seeing spreads widen by as much as 20%, according to Prash Manoharan, Head of Execution Consulting & Market Structure at Liquidnet, part of TP ICAP.

Export-heavy sectors are feeling particular pressure from these market conditions, while domestic-focused markets such as German and UK small cap equities appear to be more aligned with underlying economic conditions, the analysis indicates.

Market participants are closely monitoring headlines and economic data for potential signs of weakness that could trigger a correction, with Manoharan noting that "while investors wait for an inflection point that could trigger a correction, trading conditions will likely remain challenging."

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com -- UBS upgraded VAT Group AG (SIX:VACN) to”buy” from “neutral,” raising its price target to CHF380 from CHF285 after increasing its 2026-27 equity free cash flow by 4-6% and lifting its medium-term sales and margin assumptions. 

The brokerage said it now models 10% medium-term DCF sales growth, up 200 basis points, and a 34% EBITDA margin, up 100 basis points, citing higher expected sales volumes.

The upgrade follows two years in which VAT’s shares lagged the Swiss index amid muted order trends. 

UBS said it expects a positive order inflection in the first half of 2026, projecting Q2 2026 orders of about CHF300 million compared with CHF240 million in Q4 2025, an increase of more than 20%.

UBS forecasts 2026 global semiconductor wafer-fab equipment capex rising 8% year over year to a record $117 billion, with memory spending, VAT’s most relevant segment, expected to grow more than 20%. 

The brokerage cited rising DRAM and NAND prices as supportive indicators and said recent AI data-center announcements provide “granularity” to the industry outlook.

AI data centers already account for about 20% of WFE capex, a share UBS said could rise above 40% by 2030 depending on capacity expansion.

VAT’s exposure to semiconductors is significant, with UBS estimating 80% of 2025 sales coming from the sector. 

The brokerage said VAT holds an estimated 70% global market share in vacuum valves, more than 10 times its closest peer, supported by customer design wins. 

UBS also expects adjacencies, including pin lifters, advanced modules and upstream valves, to add CHF100-200 million, or 10-15% of group sales, over the next few years.

UBS forecasts VAT revenues rising 16% in 2026 and 11.5% in 2027, with EBITDA increasing to CHF398 million in 2026 from CHF318 million in 2025. 

It projects EPS of CHF9.60 in 2026, CHF10.94 in 2027, and a 2025-28 EPS CAGR of about 20%, noting that the stock trades at 32x 2026 earnings and 28x 2027 earnings, below its historical 35x average.

VAT continues to show what UBS described as “best-in-class” cash generation, with equity free cash flow at about 20% of sales and FCF ROIC above 40%. 

Its balance sheet is also forecast to strengthen, with net debt expected to shift to CHF43 million in cash in 2027 and CHF149 million in 2028, compared with CHF85 million net debt in 2025.

UBS cited China as a key risk. It estimates 35% of VAT’s revenue and 45% of earnings come from Chinese semiconductor equipment makers and noted that inventories at those customers may cover up to 12 months of valves. 

The brokerage also warned that local competitors could gain share if they match VAT’s technology.

Investing.com – India stocks were higher after the close on Thursday, as gains in the IT, Capital Goods and Auto sectors led shares higher.

At the close in NSE, the Nifty 50 added 0.54% to hit a new 52-week high, while the BSE Sensex 30 index gained 0.52%.

The best performers of the session on the Nifty 50 were Eicher Motors Ltd. (NSE:EICH), which rose 3.31% or 228.50 points to trade at 7,125.00 at the close. Meanwhile, Bajaj Finserv Ltd (NSE:BJFS) added 2.29% or 46.90 points to end at 2,097.10 and Bajaj Finance Ltd (NSE:BJFN) was up 2.28% or 22.90 points to 1,028.50 in late trade.

The worst performers of the session were Asian Paints Ltd. (NSE:ASPN), which fell 1.20% or 34.70 points to trade at 2,859.00 at the close. HCL Technologies Ltd (NSE:HCLT) declined 1.16% or 19.30 points to end at 1,643.30 and IndusInd Bank Ltd. (NSE:INBK) was down 1.14% or 9.60 points to 830.00.

The top performers on the BSE Sensex 30 were Bajaj Finance Ltd (BO:BJFN) which rose 2.37% to 1,029.40, Bajaj Finserv Ltd (BO:BJFS) which was up 2.20% to settle at 2,095.20 and Reliance Industries Ltd (BO:RELI) which gained 1.99% to close at 1,548.90.

The worst performers were Asian Paints Ltd. (BO:ASPN) which was down 1.27% to 2,857.05 in late trade, IndusInd Bank Ltd. (BO:INBK) which lost 1.27% to settle at 829.10 and HCL Technologies Ltd (BO:HCLT) which was down 1.22% to 1,642.75 at the close.

Falling stocks outnumbered advancing ones on the India National Stock Exchange by 1433 to 1041 and 44 ended unchanged; on the Bombay Stock Exchange, 2248 fell and 1734 advanced, while 172 ended unchanged.

Shares in Eicher Motors Ltd. (NSE:EICH) rose to all time highs; up 3.31% or 228.50 to 7,125.00. Shares in Reliance Industries Ltd (BO:RELI) rose to 52-week highs; rising 1.99% or 30.25 to 1,548.90.

The India VIX, which measures the implied volatility of Nifty 50 options, was up 1.36% to 12.14.

Gold Futures for December delivery was down 0.46% or 18.91 to $4,063.89 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in January rose 1.15% or 0.68 to hit $59.93 a barrel, while the January Brent oil contract rose 1.10% or 0.70 to trade at $64.21 a barrel.

USD/INR was up 0.25% to 88.68, while EUR/INR rose 0.15% to 102.25.

The US Dollar Index Futures was down 0.04% at 100.11.

Investing.com -- WeRide has obtained a license to operate its driverless Robotaxi service on roads in Switzerland’s Furttal region, according to a statement from the company on WeChat.

The autonomous vehicle company is collaborating with Swiss Transit Lab to explore ways to integrate driverless vehicles into the public transportation system, with plans to cover 460 stops.

WeRide aims to launch its Robotaxi service to the public in Switzerland during the first half of 2026.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com -- CTS Eventim shares dropped 4.5% on Wednesday following the announcement of a new Chief Financial Officer appointment. The European ticketing and live entertainment provider has named William Willms as its new CFO, effective January 1, 2026.

Willms, who holds a doctorate in law and brings over two decades of international leadership experience, will succeed Holger Hohrein, who is leaving the company at the end of the year as previously announced. The incoming CFO most recently served as Chief Financial Officer at Lufthansa Technik AG, where he oversaw accounting, finance, risk management, legal affairs, auditing, compliance, IT, and digitalization.

During his tenure at Lufthansa Technik, the company achieved record results and implemented a comprehensive growth and digitalization program.

Prior to this role, Willms was Executive Vice President Group Strategy and M&A at Deutsche Lufthansa AG and a member of the Group Executive Committee, where he managed transformation initiatives and played a key role in government stabilization measures during the pandemic.

Dr. Bernd Kundrun, Chairman of the Supervisory Board at CTS Eventim, expressed confidence in the appointment, noting that Willms’ "extensive expertise and strategic know-how will strengthen the dynamic development of the company and create important conditions for driving forward the future growth of CTS EVENTIM."

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.