The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

1513 GMT - Canada's railroads shouldn't be affected much by a possible combination of Union Pacific and Norfolk Southern in the U.S. TD Cowen's Cherilyn Radbourne says both Canadian National Railway and Canadian Pacific Kansas City operate north-south corridors through the U.S. and transcontinental mergers would be focused on capturing east-west "watershed" traffic. On the other hand, the analyst says "we could see CN and CPKC used as a source of funds, as investors position themselves more strongly in the eastern U.S. rails," because it could prompt "a responsive deal between the remaining western and eastern carrier," given what she calls the understanding "that one transcontinental merger is unsustainable." (adriano.marchese@wsj.com)

1504 GMT - The new Southwest Airlines is taking shape. The airline will start flying with assigned seats Jan. 27. It is unveiling a new, more Byzantine boarding process to go along with the new seating arrangement. Instead of sorting themselves into lines by assigned letter and number as they do now, customers will be sorted into eight boarding groups. Those with elite status or who purchased extra legroom seats will be among the first to get on. The Southwest free for all has become contentious in recent years, but the airline's biggest fan have lamented the loss of its most unique features. (alison.sider@wsj.com; @alyrose)

1356 GMT - Domino's recently completed its national rollout with DoorDash, allowing customers to order pizzas through the food-delivery app, while continuing delivery service by Domino's drivers. "This rollout went extremely well as we were able to apply learnings from our prior launch with Uber," CEO Russell Weiner says on a call with analysts. The pizza chain expects sales on DoorDash to build as awareness and marketing increases, likely driving a meaningful boost to U.S. comparable sales in the back half of the year. "We're now fully rolled out on the two largest aggregators," Weiner says. He notes that due to the company's partnerships with DoorDash and Uber, as well as its addition of stuffed-crust pizza, the company has "never had this many tools at our disposal to capture market share." (connor.hart@wsj.com)

1138 GMT - Automotive sector euro-denominated investment-grade credit is likely to perform poorly relative to other euro-denominated corporate bonds in the second half of 2025, HSBC credit strategists say in a note. Tariff risks and structural risks in the automotive sector look underpriced, the strategists say. Last week's top four worst-performing large-cap issuers in the euro investment-grade sector were in auto industry: Stellantis, Renault, Volkswagen and Ford, the strategists say. (miriam.mukuru@wsj.com)

1101 GMT - Ryanair's outlook for the next quarter and the full year fares broadly unchanged, despite modest profit warnings on peak summer demand from easyJet and Jet2, Barclays analysts say in a note. Ryanair said it continues to expect 206 million passengers to fly with the Irish carrier in fiscal 2026. Ryanair flagged strong summer demand. Investors should expect consensus estimates for Ryanair to climb modestly in line with its first-quarter results, the analysts add. Shares are up 7% at 24.74 euros. (cristina.gallardo@wsj.com)

0925 GMT - Stellantis reported a big earnings miss, but restructuring steps suggest the board is taking action, Bernstein analysts write. Adjusted operating income of 500 million, representing a group margin of 0.7% compares with a Visible Alpha consensus of 2.1 billion euros and a 2.8% margin, the bank says. With the new CEO in place, Bernstein says it keenly awaits updates on the company's long-term strategy, not least for its differentiation from the previous strategy. The company is essentially in survival mode, but today's announcement of 3.3 billion euros in one-off charges from things such as program cancellations and platform impairments suggests the company is taking decisive steps, the bank adds. These one-time charges should help future operating margins, it says. Shares fall 1.4%. (dominic.chopping@wsj.com)

0902 GMT - Stellantis has pre-released a negative first-half report with adjusted operating income and free cash flow both missing expectations, UBS analyst Patrick Hummel writes. The reported net loss of 2.3 billion euros includes 3.3 billion euros of negative one-offs, while the company burned through 2.3 billion of cash. The bank thinks there is a high chance of a very low single-digit percentage adjusted operating margin, possibly 0%-2%, and negative free cash flow in 2025. UBS doesn't think free cash flow in the second half of the year will fully offset the first-half cash burn. "We therefore think Stellantis' dividend will likely be very low this year, possibly even zero, as the company needs to focus on balance sheet stability." Shares fall 2%. (dominic.chopping@wsj.com)

0845 GMT - Ryanair's fares and net income are recovering faster than expected, and the carrier's first-quarter results beat forecasts, Peel Hunt's Alexander Paterson and Ivor Jones say. In its update Monday, the group didn't mention conflicts in the Middle East and Ukraine, but the analysts anticipate that capacity previously returned to Israel, Jordan, and surrounding areas will continue to be redeployed on other leisure routes that aren't slot-constrained. These include Spain's Canary Islands, Morocco and Turkey, they add. Shares in Dublin are up 6.2% at 24.56 euros. (cristina.gallardo@wsj.com)

0806 GMT - Ryanair's expectations for fiscal 2026 are prudent, RBC Europe's Ruairi Cullinane and Jakub Glinkowski say in a note. The Irish carrier now expects to recover almost all of the 7% fare decline suffered in the second quarter of the previous year, versus its previous expectation of most but not all. The company continues to expect modest unit cost inflation in fiscal 2026--after deducting savings from fuel hedging--and still offers a low-cost and high-margin business model, they add. Shares are up 5.75% at 24.45 euros. (cristina.gallardo@wsj.com)

0752 GMT - Ryanair's shares got a boost in early morning trade after the Irish carrier posted strong first-quarter results, with the key highlight being a 21% on-year increase in fares, Goodbody's Dudley Shanley says. Ryanair's business model and cashflow generation are strong, and the stock is significantly undervalued, he says. Demand for summer 2025 is expected to remain strong and second-quarter fares are now expected to recover almost all of the prior-year decline, he adds. Shares are up 6% at 24.50 euros. (cristina.gallardo@wsj.com)

0351 GMT - Leaders in the Chinese electric vehicle and battery industry are likely to benefit from Beijing's latest policy shift, according to Morningstar analyst Kai Wang in a research note. New government measures aimed at curbing excess production could lead to subsidy cuts, which may squeeze out smaller peers, he says. Cement and solar sectors are also likely to benefit from these policies, he adds. "The largest EV and EV-related companies are already fairly valued, likely reflecting favorable investor sentiment, but any pullbacks could present attractive entry points," he says. (tracy.qu@wsj.com)

(END) Dow Jones Newswires

July 21, 2025 12:20 ET (16:20 GMT)

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