Big Pharma stalwarts AbbVie, AstraZeneca, and GSK beat Q1 revenue expectations, raising guidance and offering a potential tailwind for the flailing medical sector.
Big Pharma stalwarts AbbVie, AstraZeneca, and GSK beat Q1 revenue expectations, raising guidance and offering a potential tailwind for the flailing medical sector.
peshkov/iStock via Getty Images In the wonderful world of economic analysis, we have hard data and soft data. These two things have been at odds with each other for some time, keeping those who try to supply insights and explanations about the data, ourselves included, asking why. We will try to come up with some answers as we delve into this topic today. Let’s establish some basic definitions. By...
peshkov/iStock via Getty Images In the wonderful world of economic analysis, we have hard data and soft data. These two things have been at odds with each other for some time, keeping those who try to supply insights and explanations about the data, ourselves included, asking why. We will try to come up with some answers as we delve into this topic today. Let’s establish some basic definitions. By hard data we mean the numbers associated with macroeconomic performance metrics, the big three of which are arguably growth (GDP), prices for goods and services (inflation), and the availability of jobs (payrolls and the unemployment rate). Soft data, on the other hand, refers to surveys of sentiment and expectations among identifiable cohorts in the economy, such as households, small businesses or multinational executives. You could say that it’s a question of what they feel (soft data) versus what they do (hard data). Let’s look at one recent data point that has raised some eyebrows among those who follow these things. Here is the University of Michigan consumer sentiment index, with data gathered from households across the country going all the way back to 1960. The Vibecession in Living Color The most recent reading for the Michigan sentiment index, reflecting surveys conducted in March, has household vibes at their lowest level ever. Ever, as in lower than the 2020 pandemic. Lower than the Great Financial Crisis of 2008. Lower than the stagflation of 1979 that led to 20 percent interest on car loans. You get the picture – lowest level in the past 66 years. When you hear financial pundit types talking about the so-called vibecession, this is what they are talking about. Now, to be clear, not every sentiment survey is quite as down-in-the-mouth as the Michigan one. According to the Conference Board’s Consumer Confidence Index, sentiment is currently about as bad as it was during the 2020 pandemic but better than the dark days of 2008. That still gives one pause, though,...
halbergman/E+ via Getty Images We are back to comment on Smurfit Westrock Plc ( SW ) following the Q1 release. Here at the Lab, we will also leverage International Paper Company and Packaging Corp. of America to provide a comprehensive review of the segment. Since our last update (FY 2025 results comment), SW shares are up by only 1.97%; however, the company is positioning itself as a global leade...
halbergman/E+ via Getty Images We are back to comment on Smurfit Westrock Plc ( SW ) following the Q1 release. Here at the Lab, we will also leverage International Paper Company and Packaging Corp. of America to provide a comprehensive review of the segment. Since our last update (FY 2025 results comment), SW shares are up by only 1.97%; however, the company is positioning itself as a global leader following the merger with WestRock. Although volumes in North America have been impacted by portfolio reshaping, the company confirmed its EBITDA guidance, and being conservative, we still see a >30% upside ahead, complemented by an attractive yield of around 4.5%. Q1 results confirmed our investment expectations, and we remain buyers. Mare Ev. Lab Rating Update Fig 1 Q1 Results and Our Upside View Smurfit Westrock Plc Q1 top-line sales reached $7.71 billion, and it signed +2% on a quarterly basis and +1% on an annual basis. On the other hand, the company delivered an EBITDA just above $1 billion, down 8% quarterly and 14% yearly. While SW was above Wall Street guidance for turnover, it missed consensus EBITDA expectations by 6%. Adjusted EBITDA includes a -$65 million impact from adverse weather conditions. On a volume basis, the company was down 7.4% in the US, up 0.3% in EMEA, and up 2.3% in LatAm. Smurfit Westrock Q1 Results in a Snap Fig 2 On the cash flow front, FCF was down by $420 million, driven by a $580 million working capital build and $624 million in Q1 CAPEX, up 7% on a quarterly basis. The company's diluted EPS was $0.12, including impairment and restructuring costs of $0.10. Additionally, the company accelerated depreciation related to machine closures of $0.13. Therefore, on an adjusting basis, SW EPS would have been $0.33. Why are we still Positive? Starting with the cross read with other paper producers, IP Q1 volumes were up 2.5% year-over-year, despite a -0.3% softness. Additionally, the company is guiding to +3% volume growth in North America in Q2, ...
J2R/iStock Editorial via Getty Images JD's ( JD ) value lies in the market’s underappreciation of several business components that are likely to continue growing in value as they become increasingly critical. This includes JD's logistics, growing marketplace, ad platforms, and industrial AI systems. The company's vertically integrated logistics network is not just a cost center; it allows JD to de...
J2R/iStock Editorial via Getty Images JD's ( JD ) value lies in the market’s underappreciation of several business components that are likely to continue growing in value as they become increasingly critical. This includes JD's logistics, growing marketplace, ad platforms, and industrial AI systems. The company's vertically integrated logistics network is not just a cost center; it allows JD to deliver products same-day or next-day, giving a strong reason for third-party sellers to pay for its platform. In fact, JD has been testing this moat internationally via JoyExpress, which was launched by JD to help facilitate same-day and next-day delivery capabilities to its European roll-out. JD's margin mix is also expected to improve, which could support a valuation increase, even if the overall retail growth rate is uneven due to Chinese subsidy-related demand pull-forward issues in China. In Q3 2025, marketplace and marketing revenue increased 24% YoY, and Q4 results highlighted AI-driven tools such as JoyStreamer and AI-based customer service, which handled more than 4.2 billion inquiries during the 2025 11.11 promotion. This matters because JD's AI story is not focused on a simple chatbot consumer experience but rather on automation, merchant monetization, advertising, and operating leverage across its massive platform. With JD trading at ~$30 per share, the market appears to be valuing the company as a low-growth, low-multiple stock. However, JD still has several different ways for its earnings to recover, including returning retail sales back to previous levels, continuing the increase of marketplace and advertising revenues, and reducing losses in its new initiatives. The largest variable for this will likely be how quickly management can demonstrate that losses are leveling off in the food delivery segment, while high-margin revenues continue to compound. This could allow for a potential re-rating, which is something I view as probable. At current levels, JD's gro...
(RTTNews) - Spirit Aviation Holdings Inc. (FLYYQ), parent company of Spirit Airlines, LLC, announced that the airline has begun an orderly wind-down of operations, effective immediately. All Spirit flights have been cancelled, and customers are advised not to go to the airport.
(RTTNews) - Spirit Aviation Holdings Inc. (FLYYQ), parent company of Spirit Airlines, LLC, announced that the airline has begun an orderly wind-down of operations, effective immediately. All Spirit flights have been cancelled, and customers are advised not to go to the airport.