In today’s top stories, Porsche races higher after listing on the Frankfurt Stock Exchange, while Leapmotor’s Hong Kong debut flops. Looking ahead, Nasdaq expects more Chinese companies to IPO on US exchanges. Meanwhile, Vestas launches what it claims to the be the world’s tallest onshore wind turbines.
A German IPO star is born
Porsche [PAH3.DE] debuted on the German stock market on Thursday. It hit the Frankfurt Stock Exchange with a valuation of $72bn, making it Germany’s second-largest market debut ever. It is a strong start considering the weak broader picture for European stock markets. “This is not exactly a dream environment for an IPO today,” Thomas Altmann, a wealth manager at QC Partners, told Reuters. EV plans, cashflow generation and brand identity are all working in Porsche’s favour.
Vestas latest wind turbines
Green energy firm Vestas [VWS] is launching what it says is “currently the world’s tallest onshore tower for wind turbines”, measuring in at a whopping 199 metres (653 feet). It’s working with German renewable energy business Max Bögl to build these new super-tall towers, which will be ready for installation in 2025. This week, Vestas has also been selected as the supplier of wind turbines for a wind farm in Scotland.
Affordable EVs in India
Tata Motors [TTM], the biggest electric vehicle (EV) company in India by revenues, has announced that it will be selling the first 10,000 of its Tiago EV models in India at an affordable price point in order to broaden EV adoption in the country. In other EV market news, Chinese electric car maker Zhejiang Leapmotor [9863-HK] went public on Thursday — its share prices closed 33.5% lower than its offer price of $6.11 on the first day of trading.
More Chinese firms to list on the Nasdaq
The tech-heavy index says it has a “very, very strong” pipeline of Chinese firms that plan to list on the exchange. It’s the latest sign that the US and China are resolving their dispute around auditing rules. Bob McCooey, the Nasdaq’s vice chairman, estimates “north of 50 companies” could join the exchange in the next year. Chinese stocks may get a boost from ‘golden week’ holiday spending.
Can Apple and Tesla resist the tech downturn?
Tech stocks are predicted to lose yet more value — but analysts reckon that Apple [AAPL] and Tesla [TSLA] could buck the trend. According to Daniel Howley, Yahoo’s technology editor, while tech stocks’ “ugly summer will get worse before it gets better”, both Apple and Tesla are currently outperforming the S&P 500. As of Wednesday’s market close, Tesla and Apple were down 18.3% and 15.3% for the year, respectively, compared to the S&P 500’s 22% drop..
Energy firm stocks dip on falling oil prices
Hurricane Energy, Angus Energy and IGas have all outperformed the market so far this year — but now that the price of oil is falling, the good times could be over. Brent Crude fell below $85 a barrel on 26 September, sending the share prices of all three stocks down, indicating the pressures being served by inflation and recessionary fears. How should investors expect the stocks to perform in the coming weeks?
Episode 135 — Caroline Cai’s take on an emerging markets’ debt crisis
In this week’s episode of Opto Sessions, Caroline Cai, executive vice president at Pzena Investment Management, considers whether emerging markets are seeing a looming debt crisis. Cai, who is also the co-portfolio manager of the firm’s global, international, European and emerging markets strategies, also highlights where the firm’s portfolio is currently most overweight in.