In This Article:
Brad Smith and Madison Mills outline some of today's trending tickers.
China reportedly is halting Boeing (BA) deliveries from the US amid the US–China trade war, according to reports from Bloomberg.
LVMH (MC.PA) stock is falling after the luxury retail company's first quarter sales missed estimates amid concerns about demand in the US and China.
Netflix (NFLX) reportedly plans to double its revenue and grow its market capitalization to $1 trillion by 2030.
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We're taking a closer look at some trending tickers this morning, Boeing, LVMH, and Netflix. First up, China ordering its airlines not to take deliveries of Boeing jets amid an intensifying trade war with the US, according to Bloomberg. China is also asking its airlines to stop any purchases of equipment and parts from US companies. President Trump's tariff campaign has resulted in 145% levies on Chinese goods, while China has retaliatory tariffs of 125% on American goods. People familiar with the matter, they say the Chinese government is figuring out how to provide assistance to those airlines that do lease Boeing jets. This is yet another problem for Boeing, which is struggling to recover from a number of setbacks, including last year's door plug blowout on a 737 Max 9 jet.
Plus, luxury goods company LVMH is falling after reporting weaker than expected sales, weighed down by sluggish demand. Revenue in the first quarter fell 3% from the prior year on an organic basis. Fashion and leather goods, the firm's biggest division, saw revenue client declining of 5%. RBC writing in a note that investor concerns around underlying demand recovery will likely be amplified based on the results. Hermes, maker of the Birkin Bag, briefly had its market cap surpassing LVMH's, making it the world's most valuable luxury company. The whole luxury space struggling with demand issues, including weak sales from China and the US, and now tariffs could further weigh on the sector. LVMH's CFO saying they will consider price increases to help offset tariffs.
Finally, Netflix is rising after the Wall Street Journal reported the streaming giant is looking to double its revenue and reach $1 trillion in market capitalization by 2030. Wall Street is bullish. BMO Capital Markets writes, these ambitious goals are achievable given a best-in-class leadership team. Keybank also calls the targets reasonable and notes the implication of larger contributions from monetization initiatives like advertising. And Jeffries notes that Netflix should prove resilient against a tougher macro backdrop. Netflix is due to report earnings Thursday after the bell.