Newsquawk Daily European Equity Opening News - 25th February 2026

ASIA

APAC stocks traded higher as the region took impetus from the rebound on Wall Street after Anthropic's presentation helped soothe some AI/software concerns, and with tech also bolstered by the USD 60bln Meta-AMD chip deal. ASX 200 advanced with gains led by notable outperformance in the tech, consumer staples and mining sectors, while participants continue to digest an overload of earnings and are unfazed by firmer-than-expected CPI data. Nikkei 225 rallied to a fresh record high as exporters benefitted from recent currency weakness after it was reported that Japanese PM Takaichi relayed to BoJ Governor Ueda her reservations about further rate hikes. Hang Seng and Shanghai Comp conformed to the broad upbeat risk sentiment, with attention in Hong Kong on the annual budget and with the mainland underpinned with the PBoC conducting a CNY 600bln MLF operation.

China Housing - Shanghai City relaxes home buying rules for non-residents effective on Thursday and will exempt property tax for certain home buyers. (Newswires)

EUROPEAN CLOSES:

CLOSES: Euro Stoxx 50 +0.10% at 6,121, Dax 40 +0.12% at 25,022, FTSE 100 -0.04% at 10,681, CAC 40 +0.26% at 8,519, FTSE MIB -0.10% at 46,652, IBEX 35 -0.54% at 18,190, PSI +0.25% at 9,269, SMI +1.08% at 13,994, AEX +0.34% at 1,020

SECTORS: Utilities 1.32%, Materials 1.29%, Consumer Stpl 0.86%, Consumer Disc 0.64%, IT 0.63%, Energy 0.48%, Industrials 0.32%, Telecoms 0.25%, Healthcare 0.15%, Financials -0.77%

FTSE 100

BAE Systems (BA/ LN) – Co. awarded USD 500mln contract for paladin self-propelled howitzer. (BAE Systems)

HSBC (HSBA LN / 5 HK) - Q4 2025 (USD): Net Income 4.7bln (prev. 3.9bln Y/Y), Pre-tax Profit 6.8bln (prev. 2.3bln Y/Y), NII 9.2bln (prev. 8.2bln Y/Y). FY: Revenue 68.27bln (exp. 67.36bln), Pretax Profit 29.91bln (exp. 28.86bln). Profit after tax 23.1bln (prev. 25.0bln Y/Y), NII 34.8bln (exp. 43.2bln), RoTE 13.3% (prev. 14.6% Y/Y). Outlook: are targeting a RoTE of 17% or better for 2026, 2027 and 2028, excluding notable items. Are targeting year-on-year growth in revenue from 2026 to 2028, rising to 5% growth in 2028 compared with 2027. Maintain dividend payout ratio target basis of 50% in 2026, 2027 and 2028. For 2026: Expect banking NII of at least USD 45bln. (HSBC)

Drax (DRX LN) - Co. is said to be considering cutting up to 30% workforce (150 jobs) at a power station. (GMB Press Union)

FTSE 100 Reshuffle - Tritax Big Box Reit (BBOX LN) and IG (IGG LN) are expected to join the FTSE 100, whilst easyJet (EZJ LN) and Rightmove (RMV LN) are set to drop out. (FTSE) This is the indicative change, based on the 20th February close, final review will be announced on 4th March

UK Banks - UK Chancellor Reeves is facing renewed calls to cut bank tax as UK competitiveness lags, according to City AM. (City AM)

OTHER UK COMPANIES

BROKER MOVES

DAX

E.ON (EOAN GY) - FY 2025 (EUR): Revenue 78.7bln (prev. 80.1bln Y/Y), adj. EBITDA 9.8bln (exp. 9.46bln). Sees FY outlook for Adj net income of EUR 2.7 - 2.9bln. Sees FY Adj. EBITDA 9.4-9.6bln (exp. 9.34bln). (E.ON)

Heidelberg Materials (HEI GY) - FY 2025 (EUR): Revenue 21.5bln (exp. 21.6bln), Operating EBITDA 4.679 (prev. 4.499 Y/Y), EPS 12.41 (prev. 11.94 Y/Y). "Optimistic" outlook 2026: RCO between EUR 3.40–3.75bln and ROIC above 10% expected. (Heidelberg Materials)

OTHER GERMAN COMPANIES

Linde (LIN GY) – Co. raised its dividend 7% to USD 1.60/shr. (Linde)

Nordex (NDX1 GY) - FY2025 (EUR): Revenue 7.55bln (exp. 7.55bln), EBITDA 613mln (exp. 602.2mln). For 2026, Nordex expects sales in the range of EUR 8.2-9.0bln and an EBITDA margin between 8.0-11.0%. (Nordex)

BROKER MOVES

Commerzbank (CBK GY) upgraded to Market Perform from Underperform at Keefe Bruyette

CAC

LVMH (MC FP) - Arnault family said they raised their stake in LVMH to 50.1% (prev. 49%). (Bloomberg)

OTHER FRENCH COMPANIES

BROKER MOVES

PAN EUROPE

EDPR (EDPR PL) - FY (EUR): Revenue 2.69bln (exp. 2.61bln), EBITDA 1.94bln (prev. 1.53bln Y/Y), Net Profit 218mln (prev. -558mln Y/Y). Reported Net Profit includes a negative impact of EUR 114mln from non-recurring items, mainly due to impairments in Europe. (EDPR)

Leonardo (LDO IM) - FY 2025 (EUR): Revenue 19.5bln (exp. 19.3bln), EBITA 1.75bln (exp. 1.73bln), orders 23.8bln (exp. 22.2bln). (Leonardo)

BROKER MOVES

Endesa (ELE SM) upgraded to Neutral from Underperform at BNP Paribas

SMI

Alcon (ALC SW) - Q4 2025 (USD): Revenue 2.50bln (exp. 2.71bln), Core EPS 0.78 (exp. 0.79). 2026 Outlook: Net sales growth +5 to +7% Y/Y. (Alcon)

OTHER SWISS COMPANIES

Adecco (ADEN SW) - Q4 2025 (EUR): Op. Income 186mln, +34% Y/Y, Net Income 88mln, +31% Y/Y. Outlook: The Group has seen continued positive momentum in volumes to date this quarter. Proposes a dividend of CHF 1.00/shr. For Q1, the Group expects gross margin and SG&A expenses, excluding one-offs, to be broadly stable sequentially. (Adecco)

Galderma Group (GALD SW) - Co. announces triple approval of new state-of-the-art restylane syringe in the EU, US and Canada, reaffirming the Co.’s position at the forefront of injectable aesthetics. (Galderma)

Sandoz (SDZ SW) - FY 2025 (USD): Sales 11.1bln (exp. 11.1bln), Adj. EBITDA 2.41bln (exp. 2.36bln). Proposed dividend of CHF 0.80/shr (prev. CHF 0.60/shr). Full-year 2026 guidance of mid-to-high single-digit net-sales growth and core EBITDA-margin expansion of around 100 basis points. (Sandoz)

Temenos (TEMN SW) - Q4 2025 (USD): EPS 0.62 (exp. 0.81), Adj. EPS 1.32 (exp. 1.30), Revenue 314.6mln, +9% Y/Y. FY-26 guidance includes a negative headwind from the termination of one BNPL client in FY-25; 3% pts on ARR; 5% pts on subscription and SaaS; 4% pts on EBIT and EPS. Raised FY-28 targets announced (non-IFRS, organic, constant currency unless otherwise stated) with ARR of at least USD 1.23bn. (Temenos)

BROKER MOVES

SCANDINAVIA

BROKER MOVES

US

CLOSES: SPX +0.77% at 6,890, NDX +1.09% at 24,977, DJI +0.76% at 49,175, RUT +1.20% at 2,652

SECTORS: Health -0.53%, Energy -0.11%, Communication Services +0.22%, Real Estate +0.23%, Financials +0.47%, Consumer Staples +0.69%, Materials +0.79%, Utilities +1.09%, Technology +1.17%, Industrials +1.23%, Consumer Discretionary +1.58%.

HP Inc. (HPQ) - Shares fell almost 5% in extended trading after it issued mixed guidance, with Q2 earnings expectations below estimates, and FCF seen at the low end of its range, overshadowing stronger-than-expected Q1 results. Q1 EPS 0.81 (exp. 0.77), Q1 revenue USD 14.44bln (exp. 13.93bln). Management cited strong Personal Systems growth, including momentum in AI PCs, and said execution remained solid despite industry headwinds and rising memory costs. Sees Q2 EPS between 0.70-0.76 (exp. 0.74). Backed its FY26 adj. EPS outlook between 2.90-3.20 (exp. 3.04), and expects FCF between USD 2.8-3.0bln; anticipates results toward the lower end of guidance range given a fluid operating environment and added costs from current US trade-related regulations and related mitigations, adding that US trade regulations and memory chip costs will weigh on annual results.

PayPal (PYPL) - Stripe Inc. is considering an acquisition of all or parts of PayPal Holdings, according to sources cited by Bloomberg. The payments company has reportedly expressed prelim interest in a potential deal for the digital payments firm or even certain assets. Talks remain at an early stage.

Warner Bros. Discovery (WBD), Paramount Skydance (PSKY), Netflix (NFLX) - Warner board determined Paramount Skydance’s revised all-cash USD 31.00/shr offer (prev. offered USD 30/shr) could reasonably lead to a “Superior Proposal” to its existing USD 27.75/shr Netflix deal, and will hold further talks. Paramount’s bid includes a USD 7bln regulatory termination fee, payment of WBD’s USD 2.8bln Netflix break fee, elimination of USD 1.5bln financing costs, and a USD 0.25/quarter ticking fee after September 2026.

Workday (WDAY) - Shares fell more than 8% in extended trading following a soft outlook. Q4 adj. EPS 2.47 (exp. 2.32), Q4 revenue USD 2.53bln (exp. 2.52bln). Subscription revenue was USD 2.36bln, in line with expectations, as management cited longer sales cycles for some large enterprise and public sector deals amid macroeconomic uncertainty, while continuing to invest in its agentic AI roadmap. Sees Q1 revenue of USD 2.335bln (exp. 2.53bln) and an adj. operating margin of 30.5%. Sees FY27 subscription revenue between USD 9.925-9.950bln (exp. 9.54bln), representing growth of around 12-13%, and expects a adj. operating margin of approximately 30.0%.