Overview of TOP weekly news 9.3.2022

09 / 03 / 2022
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Adidas expects Russia hit in 2022

German sportswear giant Adidas announced that they expect to put at risk up to 250 million euros of sales in 2022 because of halting business in Russia. Company however calmed down investors, that they expect recovery in Chinese markets, so the hit should not be that big. Overall, they forecasted increase in sales from 11 to 13% in 2022 including the risk of Russian market. China should recover, because in 2021, Adidas suffered consumers boycotts. Net income could go up to 1,9 billion in 2022, in comparison with 2021, when sales were 1,5 billion.[1]

Airbus delivered 79 jetliners

European planemaker said on Wednesday, that the company delivered 79 jetliners in the first two months of the year, as it targets annual deliveries of 720 jets. With this they have also announced 149 gross orders and net orders were 55 after cancellations. Deliveries included an A350 for Russian carrier Aeroflot, and it was hours after Russia invaded Ukraine. Further deliveries of airplanes for them were suspended later, because of sanctions from the West. Rival company Boeing said it has delivered 54 planes in total this year.

Rivian on court

Electric vehicle company Rivian, which had more than successful launch of IPO last year, is sued for allegedly misleading investors about the price of their electric vehicles. These charges came from one investor so far, who claimed that startup failed to tell investors it had underpriced its vehicles. Company defended, that if they would increase the prices, it would take away Rivian’s reputation as a trustworthy and transparent company. In the end they have decided to raise the prices and blamed inflation pressures on the decision.

 

*Movement of Rivian stock since coming to the market last year. (Source: Tradingview)

 

Volkswagen reaches 4G patent

German car manufacturer has reached a patent deal over 4G technology, which could resolve it’s fight with computer maker Acer. In December last year, Acer put a lawsuit on U.S. state of Virginia against Volkswagen, as they believe that company has infringed on its patents for 4G mobile chip technology in their cars. Carmaker paid for licenses for 2G and 3G, but has been using 4G with patent pool Avanci, a consortium of companies which cross-license patents relating to technology sector, which is also used by BMW, Audi, Mercedes and Porsche.

Google boosts cloud security

Alphabet Inc’s Google is buying cybersecurity company Mandiant for 5,4 billion dollars, which is expected to trigger a ripple effect as cloud rivals Microsoft and Amazon are also competing to fortify this fast-growing business in recent years. A shift to remote work and now Russia-Ukraine conflict has made a spike in cyberattacks and rose the demand for security software. Market of cyber security is expected for more than double by 2026. It could be worth 352.25 billion dollars by 2026.[2]  Mandiant decided to sell themselves, because they are rather small compared to Google or Facebook, and it would be hard for them to compete against giants.

What to watch this week:

On Thursday, there will be many important macrodata from Europe – European Central Bank press conference along with monetary policy statement, and in USA we can follow CPI reports and unemployment claims.

On Friday, there will be macrodata from Canada – employment change and unemployment rate, and in USA we can follow prelim UoM consumer sentiment.

 

 

[*]          Past performance is no guarantee of future results

[1,2]      Forward-looking statements are based on assumptions and current expectations, which may be inaccurate, or based on the current economic environment which is subject to change. Such statements are not guaranteeing future performance. They involve risks and other uncertainties which are difficult to predict. Results could differ materially from those expressed or implied in any forward-looking statements.

 

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