Below are updates on trading in the Milan stock market:
12.50 – Piazza Affari continues higher, still supported by the banking sector and, in particular, by UNICREDIT, which jumps 1.5%. The high-tech sector, meanwhile, is sharply lower, although it has recovered from its lows, as in the case of TECHNOPROBE, down 2.6%, and STM, down 2.4%.
The Ftse Mib index is up 0.35%. On Wall Street, index futures have returned to unchanged.
UNIPOL ordinary shares are in the spotlight, up 1.85%, while its rights are up 11.9% on the second day of the capital increase, which is the subject of arbitrage trades.
POSTE is up 0.8% after Morgan Stanley resumed coverage with an ‘overweight’ rating, setting a price target of 29. Its subsidiary TIM is performing better, jumping 2.5% after recent declines following the results of Poste’s offer, which failed to reach a sufficient stake for delisting.
11.00 – NEWPRINCES is up 5.8% at 20.16, following comments from Equita after a roadshow with the company and its chairman, Angelo Mastrolia.
The broker, which maintains its ‘buy’ rating and 25 price target, writes that the food group “is evaluating four industrial acquisition opportunities, although negotiations are progressing more slowly than expected. It remains reasonable to expect at least one deal by the end of the year”.
Equita reiterates “its positive view on the stock, which continues to trade at attractive valuations that do not reflect the excellent cash generation of the manufacturing business and the optionality of retail”.
9.45 – POSTE ITALIANE is up 1.4% after Morgan Stanley resumed coverage with an ‘overweight’ rating, setting a price target of 29.
The research note highlights that TIM, in which Poste holds approximately 87% of the capital, “generates a significant increase in earnings and dividends and brings cash retained after dividend payments to around 1.1bn in 2028 and 1.2bn in 2029, creating greater flexibility both for investments and shareholder remuneration”.
The broker adds that “the expected 700m in synergies provide the basis for a significant increase in earnings per share”.
“The issues that remain open, beyond our forecasts, appear to offer more opportunities than risks,” MS adds in the report.
9.20 – Piazza Affari opened slightly higher, led by the banking sector and despite the sharp decline in technology stocks following the sell-off in Asia over concerns related to AI, which have a relatively limited weight in the Milan market.
The Ftse Mib index is up 0.29%. The banking index is up 0.9%, with UNICREDIT, INTESA and MPS advancing in line with the sector index.
TECHNOPROBE and STM are sharply lower, down 4.8%. High-tech stocks plunged on Asian markets this morning as investors continue to question the sector’s long-term sustainability and profitability.
POSTE ITALIANE is performing well, up 1.6% after Morgan Stanley resumed coverage with an ‘overweight’ rating, setting a 29 price target.
(Giancarlo Navach, editing by Antonella Cinelli)
