월스트리트저널 읽기 - Exxon, Birkenstock, S&P etc.

THURSDAY, OCTOBER 12, 2023

 

◈ Exxon to Buy Pioneer In $60 Billion Deal (엑손, 600억 달러 거래로 개척자 인수)

 

Exxon Mobil struck a nearly $60 billion agreement Wednesday to buy Pioneer Natural Resources in the largest oil-and-gas deal in two decades, tying the energy giant’s future to fossil fuels.

 

The deal, at $253 a share, values Pioneer at an almost 7% premium to its closing market value of about $55.4 billion Tuesday. It cements Exxon’s status as the dominant player in the U.S. fracking industry, now centered in West Texas, where Pioneer has more places to drill than almost all of its rivals.

 

Shares in Pioneer rose more than 1% on Wednesday. Exxon’s stock dropped less than 4%.

 

The deal is Exxon’s largest since its $75 billion merger with Mobil in the late 1990s and is the biggest corporate transaction so far this year. The Wall Street Journal reported last week that Exxon and Pioneer were closing in on the tie-up.

 

The deal represents a premium of nearly 18% to Pioneer’s share price on the day of the Journal article. The Journal had also reported in April that Exxon and Pioneer had held preliminary talks about a potential takeover.

 

◈ Birkenstock Shares Fall in Debut (버켄스탁 주가 데뷔 후 하락)

 

 

Birkenstock shares declined in their stock-market debut on Wednesday, a potential blow to an IPO market that was just showing signs of recovery.

 

Stock in the shoe maker closed at $40.20, down 13% from its offering price of $46.

 

It is rare for large companies, especially well-known brands such as Birkenstock, to sink on their first day of trading.

 

Birkenstock’s offering met some pushback on its roadshow to pitch investors on the deal. Some stock analysts and fund managers said they saw the valuation the company aimed for as rich against the backdrop of a choppy stock market and questions about the health of the U.S. consumer.

 

◈ S&P Winning Streak Extends to 4 Days (S&P 연승 4일 연장)

 

 

The S& P 500 edged higher, extending its winning streak to four consecutive trading sessions.

 

The S& P 500 gained 0.4%. The tech-heavy Nasdaq Composite rose 0.7%. The Dow Jones Industrial Average added 0.2%. S t o c k s have rebounded in recent sessions as bond yields pulled back, reversing a swift run-up in yields that had weighed on equities. Top Federal Reserve officials have signaled recently that the central bank could be done raising interest rates if long-term yields remain near highs and inflation continues to cool.

 

“It’s more of a relief rally than anything else. That yields stopped going up is a source of strength within the equity markets,” said Matt Stucky, chief equity portfolio manager at Northwestern Mutual Wealth Management.

 

◈ Profits Are Making a Comeback (수익이 되살아나고 있다)

 

 

Third-quarter earnings season is getting under way, and it will likely be much better than the second quarter’s for U.S. public companies. Industry estimates indicate that members of the S& P 500 will report earnings per share were 1.3% higher than a year earlier—a nice improvement from the second quarter’s decline of 2.8%.

 

Moreover, current estimates almost certainly understate the third quarter’s strength given analysts’ tendency to lower their forecasts in the lead-up to earnings season. In early July, they were looking for a second-quarter S& P 500 earnings decline of 6.4%.

 

The S& P third-quarter earnings estimate is also getting damped by an estimated 34.7% decline in energy- sector earnings—the consequence of fuel costs that were much lower than a year earlier. S& P 500 earnings excluding energy are expected to show a 6.2% gain after rising 3.6% in the second quarter.

 

Finally, analysts reckon profit growth in the fourth quarter will be substantially better, with estimates pointing to S& P 500 earnings up 10.8% from a year earlier. This figure needs to be taken with some skepticism—analysts might be unduly pessimistic about third-quarter earnings. But, if history is any guide, they are probably too optimistic about earnings in the fourth quarter and beyond. Even allowing for analysts’ sunny dispositions, earnings growth seems likely to pick up. And chief financial officers—who often play Eeyores to chief executives’ Tiggers— expect earnings to pick up next year, according to a survey by Duke University and the Federal Reserve Banks of Atlanta and Richmond.

 

오늘도 경제신문으로 세상을 봅니다.

 

2023.10.11 - [경제신문 읽기] - 월스트리트저널 읽기 - Bond Yields, LVMH, Crypto Economy etc.

월스트리트저널 읽기 - Bond Yields, LVMH, Crypto Economy etc.