Global Equities Roundup: Market Talk

The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.

0308 GMT - ANZ may have alleviated lingering market concerns by paying to settle several issues with regulators, but the process hasn't been a major recent share-price driver, Morgan Stanley analysts say. The bank's A$240 million settlement with the securities regulator resolves five matters at cost of 5 bps of its tier-one capital ratio, the MS analysts write in a note. They tell clients that ANZ's big issues remain pending announcements on its productivity agenda, its retail bank strategy and capital management. MS keeps an equal-weight rating and A$29.70 target price on the stock, which is down 0.8% at A$32.725. (stuart.condie@wsj.com)

0257 GMT - Apollo Hospitals Enterprise may consider listing retail healthcare unit Apollo Health and Lifestyle, say Nomura analysts in a note. Apollo Hospitals is acquiring 30.58% of unlisted Apollo Health and Lifestyle from International Finance Corp. for 12.54 billion rupees. Apollo Hospitals is already planning to list its pharmacy business, and could do the same for Apollo Health and Lifestyle, Nomura says. The brokerage expects Apollo Hospitals' full ownership of the subsidiary to offer greater flexibility in capital allocation and better operational synergies for Apollo Health and Lifestyle. Nomura maintains its neutral rating and INR6,856 target on Apollo Hospitals. Shares closed 0.7% lower at INR7,821.50. (megan.cheah@wsj.com)

0256 GMT - Indonesia's poultry sector stands to benefit from structural demand drivers and supportive government initiatives, says Nomura's Raghavendra Divekar. Poultry remains a key protein choice with broiler consumption showing one of the highest CAGRs among staple foods over the past 25 years at 8.7%, the analyst notes. The upcoming rollout of the government's free nutritious meal program could add 10%-34% to current broiler demand. Higher minimum wages, targeted tax breaks, electricity discounts and ongoing social assistance programs could ease pressure on middle- and low-income households and strengthen buying power, he adds. Nomura initiates coverage on Charoen Pokphand Indonesia and Japfa Comfeed Indonesia at buy with target of IDR6,680 and IDR2,450, respectively. (monica.gupta@wsj.com)

0245 GMT - Singapore property developers' shares may be capped over the next year amid a more cautious macroeconomic outlook, say CGS International's Lock Mun Yee in a note. The sluggish outlook is likely to damp buying sentiment, particularly for big-ticket items such as housing despite lower mortgage rates, she says. CGS International maintains its neutral rating on Singapore property developers. It prefers UOL Group as the developer could seek new acquisitions with its strong balance sheet. The brokerage has an add rating and an S$8.20 target on the UOL stock, which is down 0.8% at S$7.69. (megan.cheah@wsj.com)

0244 GMT - Iron ore is higher in early Asian trading, with inventory restocking ahead of China's National Day holiday providing some support, Nanhua Futures analysts say in a commentary. Recent interest rate cuts are generally positive for commodity prices, the analysts note, adding that they expect iron-ore prices to fluctuate within a narrow range before the holiday. The most-traded iron-ore contract on the Dalian Commodity Exchange is 0.75% higher at 803.5 yuan a ton. (tracy.qu@wsj.com)

0224 GMT - Orbbec is poised for a revenue boost as it benefits from a rapidly expanding 3-D printing market, Nomura's Frank Fan and Donnie Teng say. As Orbbec supplies products such as high-resolution cameras and scanners that are essential to high-precision 3-D scanning, the analysts forecast the 3-D sensor maker to further boost its market penetration among vendors in consumer electronics and industrial manufacturing as adoption of AI-enhanced scanning speeds up. Nomura also projects Orbbec's revenue to get a boost from higher 4Q 2025 and 1Q 2026 sales, fueled by holiday-driven consumer demand and procurement cycles for 2026. The bank retains its buy rating on Orbbec's stock and raises its target price to CNY105.00 from CNY93.00. (jason.chau@wsj.com)

0218 GMT - The market is likely too upbeat on long-term AI investment growth after cloud service providers hiked capital spending for 2025, Morningstar analyst Phelix Lee says in a research note. The AI spending frenzy could slow down in 2026, he reckons. While the strong AI-related sales and investments are helping the sector to stretch the typical limits of an upcycle, demand for other chips isn't strong enough to justify the aggressive capital spending, the analyst adds. Morningstar likes TSMC due to its lower geopolitical risks than other manufacturers after its US$165 billion commitment in the U.S. GlobalWafers is also a top pick for Morningstar due to its cost control and advantages in making 300mm wafers in the U.S. (sherry.qin@wsj.com)

0216 GMT - Indonesia's central bank is expected to keep its benchmark seven-day reverse repo rate steady at 5.00% on Wednesday, according to all 12 economists polled by The Wall Street Journal. Public unrest, a cabinet reshuffle and the replacement of its finance minister seem to have induced volatility in markets, HSBC economists say. The rupiah is weaker and bond yields have risen since the last policy meeting. "In this environment we do not expect a third consecutive cut in September," HSBC says.(amanda.lee@wsj.com)

0204 GMT - A dovish guidance by Federal Reserve chair Jerome Powell at this week's meeting could catalyse further U.S. dollar weakness, boosting Asian equities, say Vis Nayar and Ray Farris at Eastspring Investments. "Asian equities market outperformance this year has come mainly from local funds, but a resumption of U.S. dollar weakness could spur foreign diversification flows out of the U.S. into emerging markets," they write in a note. Improving earnings fundamentals have also been a key driver of recently strong Asian equities, they say, with U.S. trade deals leading to higher year-ahead earnings estimates in most Asian markets. Asian markets' main risks would be if the median 2026 Fed Funds rate dot remains unchanged or if Powell downplays the outlook for cuts, they add. (megan.cheah@wsj.com)

0202 GMT - Food Empire Holdings is likely to benefit further from its Vietnam operation and facilities, Maybank's Jarick Seet says in a report. Its Vietnam operation is on track to deliver an estimated US$100 million revenue in 2025 and has become the third-largest instant coffee player in Vietnam. Management also plans to increase production capacity at its facilities in Vietnam by 15% in 2026 via automation and by another 30% in 2027, the analyst notes. Moreover, the Singapore-listed food and beverage group plans product innovations for revenue growth in new segments, which the analyst is optimistic about. Maybank Research raises the stock's target price to S$2.92 from S$2.62 with an unchanged buy rating. Shares are 0.4% higher at S$2.63. (ronnie.harui@wsj.com)

0149 GMT - Charoen Pokphand Foods' 2026 earnings may fall as tailwinds that helped boost earnings this year are unlikely to continue, Thanachart Securities' Yupapan Polpornprasert says in a report. These tailwinds, including a surge in swine prices in Thailand and Vietnam, aren't expected to recur next year, the analyst says. The brokerage cuts its earnings forecasts for the agro-industrial and food conglomerate by 4.9% for 2026 and 11% for 2027 to reflect peaked swine prices. The Thai company's farm business, which accounts for 55% of sales, is seeing softening swine prices across key markets, the analyst notes. The brokerage cuts its rating on the stock to hold from buy and lowers the target price to THB25.00 from THB28.00. Shares last closed at THB23.70. (ronnie.harui@wsj.com)

0116 GMT - ANZ's A$240 million regulatory settlement is seen by Citi analyst Thomas Strong as further evidence that its new CEO is moving at pace to implement change. Strong tells clients in a note that non-financial risk has been an overhang on ANZ's stock, and that Nuno Matos's efforts to address this and improve relationships with regulators will be viewed positively by the market. He reckons that the Australian bank wants to have a clean slate for the announcement of a more optimistic and forward-looking agenda at next month's strategy day. Citi has a last-published neutral rating and a A$32.50 target price on the stock, which is down 0.7% at A$32.76. (stuart.condie@wsj.com)