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

0929 GMT - Adidas seems to be experiencing positive trends, with strong revenue growth and good management, RBC Capital Markets analyst Piral Dadhania says in a research note. The German sporting-goods company is making meaningful progress due to changes made under the leadership of CEO Bjorn Gulden, the analyst says. Despite fierce competition in the sector with brands such as Hoka and On, Adidas should be able to win market share, benefiting from a weak performance of rivals Nike and Puma, which are currently experiencing their own challenges, Dadhania adds. Shares in Adidas are up 0.3%. (andrea.figueras@wsj.com)

0924 GMT - Diageo is increasingly in control of the elements of its business it can manage amid a tough environment for spirits makers, Citi analyst Simon Hales writes in a research note. The U.K. distiller reported solid results for its fiscal third quarter through March and unveiled a restructuring program, Hales says. The top-line outlook, however, remains unclear, he adds. Drinks makers are grappling with a slowdown in alcohol consumption, as well as the potential hit from U.S. tariffs. "We continue to believe in the attractive long-term fundamentals of the spirits industry and yet to be accessed 'hidden value' in Guinness," the analyst says. Citi reiterates its buy rating on the stock. Shares trade 0.9% lower. (andrea.figueras@wsj.com)

0913 GMT - ABN Amro has scope to improve its capital consumption after years of not managing it as efficiently as it could have, UBS says in a note. The Dutch lender is set to outline an updated strategy in November, with focuses on profitability as well as cost and capital optimization. Actions such as significant risk transfers, improving data and selected exits over the next five years could add close to 2 billion euros in excess capital, analysts Johan Ekblom and Michael Macnaughton calculate. These extra resources could then increase potential buybacks while maintaining a healthy capital buffer and lead to a lift in return on equity, they note. (elena.vardon@wsj.com)

0859 GMT - Games Workshop had a terrific success with licensing assets for the "Warhammer 40,000: Space Marine 2" video game, but the warning that gains seen over the past 12 months won't be matched in fiscal 2026 is dragging shares, AJ Bell says. However, the retailer and maker of Warhammer miniatures' pipeline looks robust enough to keep investors happy, investment director Russ Mould says in a note. Added to that, another Space Marine game is being developed and Games Workshop has all the licensing income from a deal with Amazon to look forward to, he adds. Despite the profitability of licensing rights to certain brands and characters, Games Workshop is fiercely protective of its assets as its reputation could be affected if badly used, Mould says. Shares are down 4.3%, but up nearly 15% since the start of 2025. (michael.susin@wsj.com)

0859 GMT - Baidu's continued advertising weakness overshadows its strength in the AI cloud segment, according to Morningstar senior equity analyst Kai Wang in a research note. The company's overall revenue in 1Q was better than Morningstar's flat growth estimate, but online marketing revenue was weaker than expected and offset strength in the cloud business, Wang says. "We believe that ad performance will still dictate how investors view the stock near term, despite continued robust growth" and rising market share in AI cloud, Wang notes. Morningstar lowers its fair value estimate to HK$143.00 from HK$154.00, but notes that it remains undervalued as it isn't fully reflecting a recovery in the ad business. Shares closed at HK$83.10. (tracy.qu@wsj.com)

0859 GMT - Two thirds of corporations surveyed by HSBC already experienced increases in costs due to the uncertainty around tariffs and trade, according to a survey by the global bank. Companies expect costs to increase further in both the short and long terms and forecast a revenue hit from supply chain delays. This is prompting more than three quarters of corporates to rethink their long-term business model. "The imperative for strategic adaptation is clear. Navigating this climate requires not only agility, but strong partnerships to ensure sustained growth in a shifting global economy," HSBC Global Trade Solutions' Vivek Ramachandran says. The survey draws from insight from 5,700 firms across 13 markets. (elena.vardon@wsj.com)

0856 GMT - Topsports International Holdings may face business challenges in the coming years, according to Monringstar analyst Ivan Su in a research note. After incorporating more promotional headwinds and a slower recovery, Morningstart cuts its fiscal 2026-2029 revenue estimates for Topsports by an average of 9% and operating profit forecasts by 23%. It also pushed back the timeline for a turnaround, now expecting Topsports' revenue to return to growth in fiscal 2027, according to the analyst. Morningstar lowers Topsports' fair value estimate by 18% to HK$5.60. Despite this, Su still views shares as undervalued, as they trade at an 8% dividend yield and more than a 40% discount to Morningstar's valuation. Shares were last traded at HK$2.80. (tracy.qu@wsj.com)

0840 GMT - Games Workshop had an exceptionally strong year with multiple upgrades, Goodbody analyst Patrick O'Donnell says in a note. The London-listed retailer and maker of Warhammer miniatures is well positioned, with increasing awareness of the hobby through a focus on licensing and continued outperformance on royalties, the analyst says. Licensing revenue is expected to remain at elevated levels given the focus on key genres, multiyear intellectual property agreements, a broader revenue scope with the Amazon deal, and new product launches in fiscal 2026, the analyst adds. This is despite Games Workshop saying that the record high of fiscal 2025's licensing revenue isn't expected to be repeated in fiscal 2026. Shares fall 4.2% but have risen nearly 15% since the start of the year. (michael.susin@wsj.com)

0824 GMT - UniCredit is proving that it will push forward with its offer for Banco BPM despite the challenges, Equita says in a research note. Italy's securities regulator recently imposed 30-day suspension on the bid, to which UniCredit responded by saying it remains in talks with the government to iron out the conditions it is imposing on the deal. "The press release provides further transparency on UCG's initiatives and highlights, in our view, the willingness to go ahead with the offer," analyst Andrea Lisi writes. The final decision will depend on the outcome of the talks between UniCredit and the government and conditions set out by Rome to clear the transaction. (elena.vardon@wsj.com)

0821 GMT - The outlook for Baidu's AI cloud business is favorable, but its growth rate is likely to normalize in 2Q, according to Nomura analysts in a research note. The business unit's revenue grew 42% on year in 1Q, thanks to strong demand from enterprises to deploying large language models, as well as contribution from project-based contracts, the analysts note. Still, the analysts expect Baidu's cloud revenue growth to slow down in 2Q, growing 26%, assuming no additional contribution from project-based contracts. They also note that the strength in Baidu's cloud business is not enough to offset the weakness and structural challenges faced by its ad business, which generates over 80% of its profits, based on their estimates. Nomura keeps a neutral rating, and cut its target price of its ADRs from US$98.00 from US$95.00. Its ADRs last traded at US$84.07. (tracy.qu@wsj.com)

0813 GMT - Italian aerospace and defense group Leonardo remains in pole position to acquire Iveco's military vehicles business due to political and industrial reasons, Equita analyst Martino De Ambroggi says. He cites media reports that suggest that Czech industrial and technology group CSG has also submitted a non-binding offer for the asset that could far exceed the proposal made jointly by Leonardo and Rheinmetall for 1.5 billion euros. Spain's Indra Sistemas, which has also submitted a bid, could withdraw it or submit it jointly with Leonardo in order to take part in the Leonardo-Rheinmetall joint venture on tanks and armored vehicles. Dow Jones Newswires reported Thursday that Indra expressed interest in participating in the joint venture in some form. Shares in Leonardo are flat, Indra is up 0.5% and Rheinmetall is down 0.4%. (cristina.gallardo@wsj.com)

0810 GMT - The euro continues to benefit from being the most liquid alternative to the dollar, ING analyst Chris Turner says in a note. Evidence is emerging that portfolio re-allocation is helping the euro, he says. The latest eurozone balance of payments data showed eurozone residents repatriated 40 billion euros of foreign equity positions in March, the largest inflow since September 2022. Moreover, the equity portfolio flow account looks "pretty healthy for the euro right now." The euro rises 0.5% to $1.1339. ING expects it to trade within a range of $1.1280 to $1.1380 Friday.(renae.dyer@wsj.com)

(END) Dow Jones Newswires

May 23, 2025 05:30 ET (09:30 GMT)

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