Money Buzz! Europa

Tag: stock

  • Apple remains the world’s largest company by market capitalisation

    Apple remains the world’s largest company by market capitalisation

    The market capitalisation of the 100 largest listed companies in the world increased by over USD 10 trillion (48%) between April 2020 and March 2021.

    By 31 March 2021, a new record high of USD 31.7 trillion had been reached, according to PwC.

    All sectors represented in the Top 100 list saw substantial increases, ranging from 25% to 75%, in market capitalisation during the year to March 2021.

    Technology continues to be the largest sector in terms of market capitalisation (USD 10.5 trillion). Global Top 100 Technology companies saw a 71% increase from their March 2020 value.

    Industrials and Basic Materials also outperformed other sectors, with increases of 75% and 68%, respectively.

    The worst-performing sectors in the Global Top 100 were Health Care, with 25%, and Energy and Utilities, at 26%.

    United States continues to dominate the Global Top 100. Its 59 companies on the list recorded the highest regional increase in market capitalisation of 57%, compared with China’s 42% and Europe’s 18%.

    Five European companies dropped out of the Global Top 100 in the year to March 2021, including three in the UK and two in France. That was partially offset by two new entrants to the list from Germany – Siemens and Volkswagen.

    The 73 companies on the list from the US and China account for 77% of the total market capitalisation of all Global Top 100 companies.

    Apple is the world’s largest company by market capitalisation

    Apple regained its crown as the world’s largest company by market capitalisation with a March 2021 valuation of 6% and 13% ahead of Saudi Aramco (2nd) and Microsoft (3rd), respectively.

    Apple’s market capitalisation reached an all-time high of USD 2.4 trillion in January 2021.

    Although Amazon’s market capitalisation increased by 61% in the year to March 2021, the company remained in fourth place.

    The top 10 is completed by Alphabet (Google), Facebook, Tencent, Tesla, Alibaba and Berkshire Hathaway.

    China Mobile was the only company in the Global Top 100 that saw a decrease in market capitalisation.

    Tesla recorded the highest increase, of 565%. Food delivery platform Meituan saw the second largest increase in market capitalisation in relative terms (221%).

    Volkswagen returned to the Global Top 100 with a USD 165 billion market capitalisation as at March 2021, with a 165% increase in the year to March 2021, driven by strong investor support and consumer demand for its transition to electric vehicles.

    Given the ongoing regulatory challenges and suppressed demand across the aviation industry due to the pandemic, Boeing made a surprise return to the list with a 77% increase in market capitalisation.

  • Polish video games developer Huuuge to list on the Warsaw Stock Exchange

    Polish video games developer Huuuge to list on the Warsaw Stock Exchange

    Polish mobile video games developer Huuuge has announced its intention to list on the Warsaw Stock Exchange.

    Huuuge plans to raise $ 150 million in its initial public offering on the Warsaw Stock Exchange.

    Huuuge’s largest shareholder is founder and CEO Anton Gauffin, that owns 42% of shares.

    In the first nine months of last year, the comany had $ 244 million revenues, compared to $ 187 million in the same period in 2019.

    The company has more than 600 employees in 10 offices around the world.

    As of September 30 2020 Huuuge had 4.74 million monthly active users compared to 3.98 million, 3.72 million and 3.32 million as at calendar year end 2019, 2018 and 2017, respectively.

    Huuuge will be the 14th video game company to be listed on the main market of the Warsaw Stock Exchange.

  • UiPath submitted the documentation for an initial public offering

    UiPath submitted the documentation for an initial public offering

    UiPath announced that it has submitted the documentation for an initial public offering (IPO), an operation at the end of which it could be valued at over 20 billion dollars, Bloomberg reports.

    UiPath said the size and price of the IPO had not yet been scheduled. However, sources quoted by Bloomberg say that the initial public offering could take place in the first half of next year.

    Investors in UiPath include Accel, Sequoia Capital, Coatue Management, Tiger Global Management LLC and Tencent Holdings Ltd.

    Founded in Romania in 2005, under the name DeskOver and renamed UiPath in 2015, the company has among its entities entities such as the CIA, the US Navy, McDonald’s, Duracell and Swiss Re.

    The company had revenues of $ 360 million last year, after helping some of the largest US companies to automate their routine processes.

    In July this year, UiPath announced that it was valued at $ 10.2 billion, after a new round of funding worth $ 225 million.

  • Laptaria cu Caimac took the first step on the Bucharest Stock Exchange

    Laptaria cu Caimac took the first step on the Bucharest Stock Exchange

    Agroserv Mariuta, the company that operates under the dairy brand Laptaria cu Caimac, took the first step on the Bucharest Stock Exchange on December 8th, where the company’s first bond issue was listed.

    The bonds were listed on BVB’s Multilateral Trading System (SMT) and are traded with the MILK25E ticker.

    Agroserv Mariuta carried out a private placement in November through which it sold bonds denominated in euros, worth EUR 3mn.

    The bonds will reach the maturity on November 2025 and they have an interest rate of 5.25% p.a..

    The private placement was oversubscribed, and the offer was supplemented, the interest obtained being the lowest financing cost obtained in 2020 for similar bond offers.

    94 investors, both individuals and institutional investors, subscribed to the private placement.

    Agroserv Mariuta is a company with integrated activity, comprising a field farm, on which it exploits 3,000 hectares of agricultural land cultivated with cereals and oil plants, and a cow farm, thus being a dairy producer. The cow farm has a herd of about 2,800 heads.

    The company’s shareholders include Madalina Oana Cocan – 98%, Adrian Cocan – 1% and Nicusor Serban – 1%.

    From June 2018 until now, Laptaria cu caimac has developed its distribution in numerous international store chains (IKA): Mega Image, Auchan, Cora, Kaufland, Carrefour, Profi, Selgros, Metro Cash & Carry, in independent networks shops in the country: Diana – Valcea and Gorj County, Panemar – Cluj County, Ana Pan – Bucharest, Fraher – Tulcea and in many grocery stores, convenience stores and traditional stores, but also in HoReCa.

    Agroserv Mariuta ended 2019 with revenues of RON 63.2mn, up by 30% compared to the previous year. In the first half of this year, revenues amounted to RON 37.6mn, 40% above the level of the same period last year.

    The company’s management estimates that revenues will reach almost RON 70mn in 2020, and this indicator will increase in the coming years, so that for 2025 it estimates total revenues of almost RON 142mn.

  • Tesla is the company that most of Romanians want to invest in

    Tesla is the company that most of Romanians want to invest in

    Invezz.com found that Tesla is the company that Romanians most want to invest in with an astonishing 11,700 online searches a month for the clean energy innovator’s stock.

    Apple is in second position with 6,800 online enquiries per month for the tech enterprises stock from interested Romanians. 

    In third place is Amazon with an average of 4,500 online searches each month for their stock. Amazon as an investment prospect is certainly an enticing one, given their consistent desire to expand into new services – this is exemplified by the recent launch of their own online pharmacy.

    In fourth spot is NIO who receive an average of 4,300 online searches each month from Romanians keen to invest in the Chinese automobile manufacturers stock.

    On the other end in tenth position is Hertz. The car rental organisation gains 800 online searches every month from those looking into their stock as an investment option.

    Interestingly, there are 800 online searches per month for Google stock as well, meaning the search engine juggernaut ranks ninth. 

    Romanians desire to invest in company stock

    Considering that investment in stocks can be a key pillar in building personal wealth, Invezz.com surveyed 1,108 undecided Romanians to find out what would push them over the ‘investment line’, and their answers were as follows:

    • Obtaining more knowledge on investment (79%);
    • Cutting down on non-essential expenses so there is more money available for investment (75%);
    • Accepting there will be various ‘risks’ associated with investing (69%);
    • Having help or guidance from an investment professional (63%);
    • Being less deterred by negative stock market speculation (32%).
  • Global IPO activity rebounds sharply hitting historic highs in Q3 2020

    Global IPO activity rebounds sharply hitting historic highs in Q3 2020

    Q3 2020 bucked the traditionally slow IPO period as the markets were awash with liquidity resulting in the most active third quarter in the last 20 years by proceeds, and the second highest third quarter by deal numbers.

    Globally, YTD IPO activity accelerated, resulting in a 14% increase in the total number of IPOs to 872, and an impressive 43% rise in proceeds of US$165.3b.

    As for sectors, technology, industrials and health care once again topped the ranks. Technology saw 210 IPOs raise US$53.9b, industrials saw 168 IPOs raise US$23.3b and health care saw 159 IPOs raise US$33.3b.

    IPO activity in the Americas saw 188 deals raise US$62.4b in proceeds, increasing 18% and 33%, respectively YTD, while Asia-Pacific saw 554 IPOs raise US$85.3b in proceeds, rising by 29% and 88%, respectively YTD. Both markets have already exceeded YTD 2019 levels.

    While the EMEIA region rose quarter on quarter, IPO volumes are still down YTD by 27% (130) and proceeds by 24% (US$17.6b), respectively. Cross-border IPO activity levels have held steady by deal numbers and proceeds, accounting for 8% and 10% of global IPO activity, respectively.

    Americas IPO activity picked up the pace in Q3 2020

    IPO activity in the Americas gained momentum overall, seeing an 18% increase in IPOs (188) and 33% increase in proceeds (US$62.4b) YTD, exceeding 2019 YTD levels. While the health care sector dominates YTD in number of IPOs (71), the technology sector leads in proceeds, raising US$22.3b through the quarter.

    The Americas have proven to be the birthplace of unicorn (privately held startup companies with a value of over US$1b) IPOs, launching 12 of 2020’s 18 IPOs in Q3 alone.

    US exchanges accounted for the majority of IPOs with 82% of deals and 87% of proceeds in Q3 2020. In addition, the importance of Special Purpose Acquisition Company (SPAC) IPOs on US exchanges also rose in 2020. In other parts of the Americas, the Brazil IPO market picked up as low interest rates led investors to the stock market, with 13 IPOs through Q3 2020, compared to no IPOs during Q3 2019, putting 2020 on track to be the most active year in Brazil since 2007.

    Asia-Pacific IPO landscape grows stronger, window of opportunity remains open

    YTD 2020 Asia-Pacific IPO activity has surpassed YTD 2019 activity by both volume (29%) and proceeds (88%). Activity in the region accelerated in part due to COVID-19 pandemic- related government stimulus policies, for example, employment subsidies provided to airlines in the region.

    In Greater China, Q3 2020 IPO activities are on track to hit historic highs with deal numbers and proceeds up 152% and 139%, respectively year-on-year. As US-China trade tensions heighten leading up to the US presidential election, some Chinese companies listed on US exchanges chose to conduct a secondary listing on the Greater China exchanges, tapping into the Chinese equities market. 

    The market in Japan has also intensified compared to Q3 2019 with a 67% increase in numbers and 40% rise in proceeds.

    EMEIA IPO market gains momentum to get back on track

    Following a slower H1 2020, EMEIA IPO markets gained significant momentum in Q3 2020 with deal numbers increasing 34% and proceeds rising 49% compared with Q3 2019, due in part to several large IPOs in the region. The region’s big winners are those riding on the tech digitalization wave – in particular technology, industrial and health care sectors.

    In Europe, markets are beginning to rally, with Q3 2020 IPO numbers up 48% and proceeds increasing 51% as compared with Q3 2019.

    At the same time, the UK IPO activity increased for the region as a whole with a mega IPO (deals with proceeds greater than US$1b) demonstrating the available liquidity of the market and showcasing international investor interest for the right deal.

    These and other findings were published today in the EY quarterly report, EY Global IPO Trends: Q3 2020.

  • COVID-19 pandemic slows global IPO activity in 2020

    COVID-19 pandemic slows global IPO activity in 2020

    The impact of the COVID-19 pandemic continued to play a significant role in declining IPO activity in the first half of 2020 – as shown in the quarterly report EY – Global IPO trends: Q2 2020.

    Overall, Q2 2020 saw a decline in IPO activity from Q2 2019 across all regions by deal numbers and for the Americas and EMEIA by proceeds.

    Global IPO activity slowed dramatically in April and May, with a 48% decrease by volume (97 deals) and a 67% decrease in proceeds (US$13.2b) compared to April and May 2019.

    This dragged down 1H 2020 regional activities compared with 1H 2019 and overall YTD deal volume (419 deals) and proceeds (US$69.5b) decreased 19% and 8%, respectively, from YTD 2019.

    Despite a late flurry of deals in June, global IPO activity was sluggish on Americas and EMEIA stock exchanges YTD, while Asia-Pacific IPO activity increased.

    Americas deal volume (81 deals) and proceeds (US$24.5b) both fell by 30% compared with YTD 2019, while EMEIA IPO deal volume (68 deals) and proceeds (US$10.1b) fell 50% and 44%, respectively.

    Asia-Pacific IPO activity rose 2% by deal numbers (270 deals) and rose 56% by proceeds (US$34.9b) compared with YTD 2019.

    The technology, industry and health sectors dominated IPO activity in the first half of 2020

    The technology, industrials and health care sectors dominated in YTD 2020. Technology saw 87 IPOs raise US$17.2b, industrials saw 83 IPOs raise US$9.6b and health care had 76 IPOs that raised US$15.9b.

    Americas deal landscape slows

    US exchanges still accounted for the majority of IPOs in the Americas in the first half of 2020, with 79% by deal volume (64 deals) and 91% by proceeds (US$22.3b); this included five unicorn IPOs.

    The health care and technology sectors continued to have the highest level of IPO activity in the US in YTD 2020, representing 55% and 25% by deal volume, respectively. The health care sector dominated in proceeds (US$10.2b), contributing 46%, from 35 IPOs.

    The Mexican stock exchange posted one IPO valued at US$1.1b, making it the eighth-largest IPO globally in Q2 2020.

    Asia-Pacific IPO activity remains stable

    Although year-on-year YTD 2020 IPO activity in Asia-Pacific rose by deal number (2%) and proceeds (56%), Q2 2020 saw a decline of 18% compared with Q2 2019 by deal number, while proceeds rose by 28%.

    Asia-Pacific exchanges accounted for four of the top five exchanges by deal volume and three of the top exchanges by proceeds. Globally, by proceeds, NASDAQ led YTD 2020, followed by the Shanghai Stock Exchange and Hong Kong Stock Exchange. By deal volume, Shanghai, Hong Kong and NASDAQ markets led the way.

    In Greater China, IPO activity was up 29% by volume (179 deals) and 72% by proceeds (US$30.9b) YTD 2020 compared with YTD 2019.

    In Japan, IPO volume (34 deals) declined 17% YTD 2020, while proceeds (US$625m) dropped by 53%. Australia and New Zealand IPO activity was also down YTD — 41% by volume and 82% by proceeds.

    EMEIA also sees IPO deal slowdown

    After a strong start to 2020, YTD IPOs (42) and proceeds (US$7.8b) declined 47% by volume and 48% by proceeds in Europe, as the COVID-19 pandemic significantly curtailed IPO activity from March through to May.

    In the Middle East and North Africa (MENA), IPO activity was down 11% by volume (8 IPOs) and down 43% by proceeds (US$0.9b) YTD 2020.

    Indian exchanges saw 16 IPOs, which raised US$1.4b YTD 2020, a decline of 61% by deal number and 9% decrease by proceeds. There was also one IPO each on the Malawi and Bangladesh exchanges, which raised US$29m and US$7m, respectively.

    H2 2020 outlook: IPO rebound expected

    Given the COVID-19 outbreak and its negative impact on global economic activities, in the short to medium term, governments around the world will continue to implement policies and stimulate economies against rising unemployment.

    At the same time, central banks will inject more liquidity into the financial systems. Both actions bode well for equity markets and IPO activity in 2H 2020.

  • Strong recovery in market value for the Top 100 listed companies

    Strong recovery in market value for the Top 100 listed companies

    The market capitalisation of the 100 largest listed companies in the world recovered strongly in the second quarter, recovering almost completely the 15% loss recorded in the first three months of 2020 when the COVID-19 pandemic broke out, according to PwC’s Global Top 100 companies, updated on 30 June.

    Thus, the capitalization of the 100 companies rose by USD 3.57 trillion in the second quarter, reaching USD 25.04 dollars at the end of June, just 1% below the level recorded in December 2019, of USD 25.37 trillion.

    Sectoral performance of Top 100 companies

    On sectors, Industrials and Basic Materials saw the largest gains from March to June, of 33%, followed by Technology, with 28%, and Consumer Services, with 25%. Modest gains were seen in Oil and Gas, with 10%, and the financial sector, with only 5%.

    By region, USA and China companies experienced 2% growth in capitalizations, while European companies fell by 3%.

    The US ranks first, having more than half (59) of the companies in the top followed by Europe, with 17companies, China and its regions, with 15 companies.

    Winners vs losers

    Almost 90 companies in the current Global Top 100 saw an increase in market capitalization from March to June 2020, compared to only 10 în January-March.

    Saudi Aramco maintained its leading position, but suffered from the prevailing oil price outlook. The world’s top 10, made up mainly of technology and e-commerce companies, is completed by Alphabet, Alibaba, Facebook, Tencent, Berkshire and Visa.

    Chinese e-commerce platform Pinduoduo saw the largest gains in market capitalisation, by 148%, followed by Tesla, with 104%, PayPal, with 84%, Reliance Industries, with 58%, and AbbVie, with 51%.

    Wells Fargo saw the largest relative decrease in market capitalisation (11% / $12bn), consistent with the general sector sentiment. Six out of the top ten fallers were in either the Oil & Gas or Financials sectors.