Prysmian Daily News Update

As of November 4, today’s news is dominated by significant political shifts in the United States following the midterm elections, alongside Prysmian's market updates and broader financial implications of these developments. Prysmian is poised to benefit from favorable trends in electrification and digitalization, particularly regarding its increasing focus on the data center market, according to Bloomberg Intelligence. Analysts highlight that the company’s Transmission and Digital Solutions units have potential for continued double-digit growth, with particular emphasis on data center demand driving profitability in its Industrial & Construction segment. Turning to the political landscape, the Democratic Party achieved sweeping victories in both the Senate and House of Representatives, marking a significant shift in power and a rejection of President Donald Trump’s agenda. This outcome, characterized by gains in traditionally Republican strongholds, reflects widespread voter dissatisfaction with the ongoing war with Iran, rising living costs, and perceived failures of Trump's administration. Notable defeats for Republicans included key positions in Texas, which Democrats flipped for the first time in decades, highlighted by James Talarico's Senate victory and Gina Hinojosa's gubernatorial win, signaling a potential realignment in Texas politics. Opponents of data centres were among the biggest winners of the Democrats' landslide wins in the US midterm elections, pointing to a shifting public mood on AI and, investors said, a possible slowdown of the boom that has propelled US economic growth and stock markets. In financial markets, the Democratic sweep prompted a sell-off in the dollar while boosting Treasury bonds as investors anticipated political gridlock could limit fiscal expansion. The shift has caused fluctuations across global equities, with the S&P 500 and Nasdaq 100 initially dipping but later stabilizing. The weaker dollar increased interest in copper and other commodities, as market participants price in possible effects on tariffs and demand related to data centers, amid a backdrop of competition between energy costs and investments in AI. Meanwhile, in response to high gas prices, Italy is preparing to pass measures to temporarily cap gas prices for power generation, alleviating some pressure on households and businesses. This move, alongside broader economic concerns, has drawn attention to the impact of energy transitions and regulatory changes on markets, particularly in the automotive sector where EU lawmakers are reconsidering car emissions standards under industry pressure.

As of November 3, today’s news sees the ongoing midterm elections in the United States, closely tied to President Donald Trump's leadership and geopolitical tensions, particularly regarding Iran. The dynamics of the US midterm elections are heavily influenced by Trump's performance during his second term. According to various analysts, Democrats are poised to potentially gain control of the House of Representatives, while the Senate remains highly contested. With Trump's approval ratings at concerning lows due to public discontent over international conflicts, particularly the ongoing war with Iran, the elections are not just a referendum on policies but on the former president's influence as well. Trump has actively campaigned in recent weeks, emphasizing his role as a central figure for his party and urging supporters to consider him as being on the ballot. Turning to market updates, European forward power prices have risen in response to increasing gas prices linked to recent US military strikes in Iran. The German year-ahead baseload contract saw a notable increase, with analysts indicating a volatile market influenced by geopolitical events. This rise in power prices comes amid broader concerns in the metals market, where copper has dropped to its lowest level in months due to heightened risk aversion linked to uncertainties surrounding US elections and tensions in the Middle East. Investors are now preparing for potential shifts in Congressional power as the midterm results could impact fiscal policy and technology investments, particularly regarding AI. A Democratic win could lead to increased volatility across the markets, especially affecting sectors tied to AI and technology infrastructure. Analysts suggest that the midterms could significantly influence attitudes towards government spending on technology and defense. From the international front, the delicate negotiations between the US and Iran remain unresolved despite renewed efforts from Qatar to mediate a potential agreement to end the ongoing conflict. Recent US military actions aimed at Iran have escalated tensions, with a senior Iranian official indicating that the two nations are still far from reaching a consensus on key demands that Iran is asserting, particularly regarding the lifting of sanctions. Additionally, President Trump announced a controversial deal with Israeli Prime Minister Netanyahu concerning a reduction in US aid to Israel, raising questions about future military support while US voters prepare to make decisive choices on their political landscape.

As of November 2, today’s news features corporate developments, especially in the technology sector, alongside market reactions to ongoing supply chain issues and infrastructure projects. Prysmian saw a change in its target price as Citigroup raised it to 141 euros from 136 euros. Meanwhile, Deutsche Bank adjusted its target price downward to 163 euros from 167 euros, while maintaining a "buy" rating. Among today's key developments, Marvell Technology announced a substantial acquisition, acquiring optical components manufacturer Lumentum for 115 billion dollars in an all-stock deal, capitalizing on the expected growth in AI infrastructure. This acquisition signals Marvell's strategic move to compete more aggressively with larger rivals and to leverage the anticipated ongoing demand for optical components as AI technology progresses. In this realm of AI investment, Oracle also made headlines by announcing a plan to raise 20 billion dollars through bond and share sales to finance its AI and cloud infrastructure expansion. Turning to market updates, a significant development occurred in Australia where Energy North postponed the timeline for one of its major planned data centers due to regulatory delays regarding environmental parameters. This setback underscores the complexities faced by infrastructure projects even in regions promoting AI investments. In Spain, power supply was fully restored on La Palma after a widespread outage attributed to a severe storm, highlighting ongoing challenges in energy management. From the international front, AI lab Anthropic is making strides towards a public offering by planning to sell up to 3.5 billion dollars in shares to Japanese investors, amidst reports of narrowing net losses and increased revenue as it prepares for a potentially monumental IPO. Lastly, in the political arena, the midterm elections in the U.S. are heating up, with inter-party tensions surfacing as Democrats attempt to stabilize their position in Michigan’s Senate race following a surprising cross-party endorsement.

As of October 30, today’s news highlights developments related to Prysmian, alongside broader market shifts particularly in technology and energy sectors. Prysmian has received a dual upgrade from Banca Akros and AlphaValue following its strong quarterly results that exceeded market expectations. Banca Akros raised its recommendation from accumulate to buy, increasing the target price from 138 euros to 146 euros, citing an impressive 7% EBITDA adjusted beat and a 15% reduction in net debt. AlphaValue, while upgrading from sell to reduce, set a new target price of 105 euros, reflecting a notable 27.2% increase in EPS estimates for 2026. Other analysts, including Intesa Sanpaolo and Equita Sim, adjusted their target prices for Prysmian, with Intesa maintaining a buy rating at 165 euros and Equita reducing its target to 160 euros to reflect the impact of rising interest rates. In the broader market, technology stocks faced substantial pressure, particularly in the semiconductor sector. A significant sell-off began after disappointing quarterly results from Intel and concerns surrounding Amazon's AI investments prompted broader declines in tech stocks. The Nasdaq composite fell to its lowest level in almost three months, closing down by 3% as numerous chip manufacturers also suffered heavy losses. In Milan, Prysmian was not immune, experiencing a decline of 3.9%. Additionally, rising energy prices, notably for oil and gas, continue to impact market dynamics, with the Brent crude oil price climbing above 117 dollars per barrel amid geopolitical tensions. Internationally, the United States is preparing to impose a ban on direct access for Chinese telecommunications companies to US phone numbers, a move aimed at bolstering national security and combating fraudulent calls. This development has sparked a strong response from China, which has criticized the potential ban as an abuse of power. On the energy front, Norway's government has allocated approximately 428 million euros for two innovative floating offshore wind projects, which aim to advance technology that can lower renewable energy production costs.

As of October 29, today’s news is dominated by Prysmian’s results for the third quarter of 2026, reflecting strong performance across all business lines along with other market trends. Prysmian exceeded 2028 financial targets two years early and raised 2026 guidance again after its best quarter to date, the company said in a statement. Group Revenues stood at 6,417 million euros, with +13.1% organic growth. There was growth across all business lines, with positive contributions from Transmission (+23.1%), Power Grid (+7.5%), Industrial & Construction (+14.2%), Specialties (+5.3%) and Digital Solutions (+17.3%). Revenues reached 17,656 million euros in the first nine months of the year, with +9.2% organic growth. Adjusted EBITDA rose to 851 million euros, an increase of 32.1%. This is Prysmian’s best performance in a single quarter. On M&A, Massimo Battaini said the strategy remains unchanged: to build on the company's existing approach by expanding its leadership in highly attractive market segments where it previously had no presence or where its position was not fully satisfactory, in terms of assets, products and customer base. Furthermore, Prysmian approved construction of a second copper rod mill in Texas as booming data-center demand drives expansion of cable-making capacity in the US. The mill will be built at the Italian cable maker’s McKinney site near Dallas and forms part of a more than 700 million euros investment program there. The positive momentum is reflected in the stock, which saw a rise of over 6% in trading. Turning to other market updates, Glencore reported a modest 3% increase in copper production during the first nine months of the year, reaffirming its commitment to reach a production goal of 810,000 to 870,000 tons in 2026. The company continues to focus on growth in the electrification sector, a trend relevant to all major copper producers. On the technology front, Microsoft plans to raise at least 25 billion dollars through its first U.S. investment-grade bond sale in nearly a decade, seeking funds to bolster its AI initiatives. This reflects a broader move among big tech companies to tap into debt markets for financing, with a notable shift in strategy as firms refocus their spending. In international headlines, an oil spill off the UAE coast has raised concerns regarding environmental impacts and effects on local desalination plants, which supply a majority of potable water in the region. This incident highlights the persistent risks posed by geopolitical tensions in the area.

As of October 28, today's news highlights Prysmian's upcoming results, which are attracting attention due to the anticipated impact of data center demand and power grid investments on margin expectations and earnings guidance. According to Bloomberg, analysts estimate an adjusted EBITDA of 787.6 million euros and revenues reaching 5.88 billion euros. Analysts from Barclays and Citi highlight strong long-term demand, particularly in Prysmian’s Electrification and Digital Solutions segments, which could lead to an increased full-year EBITDA guidance. Overall, the market appears optimistic. The news also features GE Vernova's significant acquisition of Trench Group for 9 billion dollars, aimed at enhancing its high-voltage grid equipment capabilities in response to rising demand from data centers and the necessity of updating aging infrastructure. In corporate developments, Stellantis reported improved operating profits due to successful cost-cutting measures, leading to a positive outlook for the upcoming quarters. However, concerns remain regarding its long-term viability after two years of declining sales. Looking at market dynamics, Vertiv Holdings now expects 2026 sales to almost triple since 2021 as it benefits from soaring demand for data center equipment. Meanwhile, Rio Tinto's board has proposed increasing its CEO Simon Trott's target remuneration package by 56% to 13.06 million dollars, according to four people familiar with the matter and documents reviewed by Reuters. From a broader economic standpoint, the Federal Reserve is expected to maintain interest rates as it assesses inflation trends, with a view towards upcoming midterm elections impacting economic policy discussions. In global affairs, Benjamin Netanyahu has garnered substantial support within Israeli politics, positioning himself to continue as caretaker prime minister despite losing a governing majority. In Brazil, Senator Flavio Bolsonaro has sought asylum in the U.S. following electoral defeat, complicating political narratives in South America.

As of October 27, today’s news is dominated by Corning's strong quarterly performance and ambitious growth targets, alongside significant developments in the renewable energy sector and geopolitical tensions affecting global energy markets. Corning reported impressive third-quarter results, beating analyst expectations with core earnings of 91 cents per share and core sales rising 19% year over year to 5.08 billion dollars. This growth was primarily driven by a remarkable 44% increase in sales from its Optical Communications segment, which totaled 2.38 billion dollars, buoyed by substantial demand for enterprise networking and generative AI products. Corning’s management highlighted the importance of long-term agreements with clients such as Verizon and AT&T, which are expected to assist in funding their expansion plans. Meanwhile, European technology stocks rallied on renewed investor enthusiasm surrounding Anthropic’s potential IPO, ahead of major US tech earnings and central bank decisions. Milan’s FTSE MIB gained 0.9%, led by STMicroelectronics (+7.11%), while Prysmian rose 3.3%, alongside Technoprobe (+3.36%). In the energy market, the International Energy Agency warned about the concentration of clean energy supply chains, indicating that only a few countries dominate the production of renewable energy technologies. In Southeast Asia, demand for electricity is rapidly increasing, and the region's dependency on imports of clean energy technology from countries like China raises concerns about energy security as geopolitical tensions linger. As a result of these tensions and rising prices of fossil fuels, there has been a marked increase in the uptake of solar energy and electric vehicles, with significant growth in electric vehicle sales observed globally as consumers seek alternatives amidst soaring fuel costs. Meanwhile, the solar sector is witnessing unprecedented growth as it becomes the most cost-effective source of energy production, leading to volatility in energy prices, and propelling the adoption of battery technologies to store excess energy. With the U.S. expected to install approximately 43 gigawatts of new solar capacity this year, the landscape for energy generation continues to shift dramatically. On the global front, political developments such as Israel's elections and geopolitical tensions in the Middle East also captured attention, with high voter turnout marking a pivotal moment for Prime Minister Benjamin Netanyahu amidst ongoing conflicts.

As of October 26, today’s news sees movements in the market and developments impacting Prysmian and its strategic position within the cable industry. Prysmian is notably highlighted as shares surged by 3.8%, following Citigroup's reinstatement of coverage with a 'Buy' rating and a target price of 136 euros. Analysts at Citi mentioned that despite a challenging climate related to investments in artificial intelligence and data centers, valuations have returned to a more normalized range. Furthermore, BofA sees upside for Prysmian shares even in 'harsh' AI bear case scenario. In related industry news, Terna has begun the installation of underwater cables for the "Bolano-Annunziata" project, which involves Prysmian supplying and laying the cables to enhance electricity exchange capacity between Sicily and Calabria by up to 2,000 MW. Meanwhile, Anthropic disclosed steep losses and explosive revenue growth today as the Claude parent moved closer to a potentially record-breaking IPO, betting on AI's ability to reshape the global economy. Turning to the broader market, Verizon also announced an AI infrastructure deal exceeding 2 billion dollars with Amazon Web Services, alongside an increase in its annual wireless subscriber forecast. In global scenarios, the European Union is preparing to implement import control measures on various products from China by early 2027. This strategy aims to address a substantial trade deficit and protect local industries while navigating the complex relationship with China. Furthermore, Meta Platforms has outlined plans for a record 95 billion dollars equity raise to fund its AI expansion, raising concerns about the sustainability of valuations in the AI sector. From the international front, Brazil is witnessing political tensions as Senator Flavio Bolsonaro contests election results following Lula's victory, underlining ongoing divisions within the country. Finally, Prime Minister Benjamin Netanyahu boasted of his endorsement from Donald Trump on the eve of Israel's election, suggesting the two leaders could restart their war against Iran if he wins, after Trump said they should "finish the job".

As of October 23, today’s news highlights Prysmian’s strategic role in global energy security and market insights related to artificial intelligence and energy infrastructure. BofA Global Research has highlighted Prysmian's resilience in potential adverse scenarios, projecting a 10% increase in shares even under a severe bear case for artificial intelligence capital expenditures. In a related focus on Prysmian's operational contributions, Alessandro Panico, the Transmission Chief Commercial Officer, remarked on the strategic importance of southern Italy's Arco Felice site in producing high-voltage submarine cables. This facility supports global energy security by facilitating interconnections across continents, including critical projects like the HVDC link enhancement for New Zealand's Cook Strait and new connections between Victoria and Tasmania in Australia. Panico emphasized the need for advanced monitoring technologies to ensure the reliability of these infrastructures, particularly as demands from AI-driven data centers continue to grow. Shifting to competitor news, Nexans saw a small uptick in its target price, raised by Barclays to 183 euros from 181 euros, reflecting confidence in its market positioning amidst evolving energy demands. In broader market updates, Bulgaria has emerged as a leader in battery storage solutions within Europe, doubling its capacity to store solar energy due to significant EU investments. This boost in energy storage has enabled Bulgaria to increase power exports during peak demand periods, notably assisting neighboring nations during times of crisis, such as the recent drought affecting Romania’s nuclear power operations. Looking at the ongoing dynamics within the artificial intelligence sector, reported challenges for data center investment underscore volatile market conditions. The struggles of companies like Australia’s NextDC, whose stock fell dramatically, highlight the complexities tied to infrastructure development, including regulatory and planning delays. From a cybersecurity perspective, new vulnerabilities identified by AI are prompting concerns about potential disruptions, as highlighted by industry experts. The identification of numerous flaws has led to urgent fixes across critical software, suggesting an intense period of scrutiny ahead for digital infrastructures. Finally, US first lady Melania Trump has secured a ceasefire between Russia and Ukraine in the Russian-controlled city of Oleshky, which will begin on October 29, the White House today.

As of October 22, today’s news features mounting concerns over returns on AI investments and Nexans’ share price decline despite strong quarterly sales growth. Concerns over the returns on massive investments in artificial intelligence development are weighing on European tech stocks, with the sector sub-index shedding just under 2%. In Milan, Technoprobe (-7.63%), Prysmian (-7.61%) and STMicroelectronics (-4.98%) are among the hardest hit. Meanwhile Nexans reported a robust 21.4% increase in third-quarter sales, totaling 1.70 billion euros, attributed to heightened demand for grid and data-center infrastructure. The electrification sector drove 1.49 billion euros of this figure. Despite this impressive growth, Nexans shares declined significantly, falling over 6% amid a broader market contraction. Turning to broader market conditions, Asian nations will need approximately 1 trillion dollars per year over the next 15 years to enhance their energy security, according to McKinsey. This forecast underscores the region's pivotal role in global energy demand, driven by developments in data centers and industrial cooling needs. Coal is expected to retain its prominence in the energy mix longer than anticipated, albeit with some slowdown in gas demand as countries focus on renewables. Following recent tensions in the region, Saudi Aramco has instructed employees at its Dhahran headquarters to evacuate amid security concerns. This decision marks a significant precautionary move, as the company faces threats from ongoing conflicts involving the Houthis. Amid the market turmoil, Barclays announced plans to cut 5,000 jobs, citing a shift toward greater use of AI and technology. This could signal a broader trend within the financial services industry to adopt automation, impacting employment levels. On the international stage, Russian officials urged the EU to reconsider its impending gas import bans in light of low storage levels. This comes as the EU grapples with the fallout from its energy sanctions against Russia due to ongoing geopolitical tensions.