Is the Decline of the Canadian Dollar Set to Persist?
With the Bank of Canada aggressively cutting interest rates, the Canadian dollar has cratered to a 12-week low against the US dollar—a trend market watchers say could continue if further rate cuts are on the horizon. Following the central bank’s half-point rate cut, the loonie tumbled sharply from US$0.74, or C$1.3577, to US$0.72, or C$1.3872—its […]
Ecuador to Reopen Mining Register After More Than Six Years
Noboa’s initiative seeks to combat illegal gold mining, a persistent issue in the Andean country. It is also expected to streamline current processes as ministries must meet the new six-month deadline. It also provides some authorities, notably the ministries of environment, energy and mines, the authority to identify illegal mining resource activities throughout the national […]
Top and Bottom Canadian Stocks of…
The Morningstar Canada Large-Mid Cap Index rose 1.0% in October amid a rally in the technology sector. The large-mid index tracks the performance of the top 90% of the Canadian investable universe by market cap, and each month we screen from among the stocks in this index to find the best- and worst-performing companies. Data […]
Potential Impacts of the US Election on Clean Energy Initiatives
Renewable energy equities have broadly underperformed in recent weeks, which we think is partially due to betting markets indicating rising chances of Donald Trump winning the US presidential election on Nov. 5, as observed by RealClearPolitics. Policy influences the demand for wind and solar. A Republican victory could alter the landscape for clean energy investments. […]
Apple Earnings: Adjusting Our Valuation to Reflect…
Key Morningstar Metrics for Apple What We Thought of Apple’s Earnings We raise our fair value estimate for wide-moat Apple AAPL to USD$200 from USD$185 as we raise our longer-term growth expectations. We’ve also revised down our short-term forecast for iPhone revenue to reflect less of an impact from artificial intelligence on unit sales over […]
Meta Reports Impressive Q3 Earnings and Exciting AI Advancements
Meta reported strong third-quarter financial results, with revenue growing 19% year over year to USD$41 billion. Profitability also improved, with operating margins expanding 300 basis points from a year ago to 43%. Capital expenditures remain elevated due to heavy artificial intelligence investment. Why it matters: Meta’s advertising juggernaut produced another solid quarter, with ad impressions […]
Asante Gold Secures $525 Million Financing to Facilitate Growth Initiatives in Ghana
The first round funding of $325 million would allow the company to proceed with key capital projects to upgrade its mining operations. These include a pit expansion and a new sulphide plant at Bibiani, equipment upgrades at Chirano, as well as underground development at both sites. The second stage will include a $150 million senior […]
Microsoft Earnings: Cloud Strength Amid Mixed Guidance
We are maintaining our fair value estimate for wide-moat Microsoft at US$490 per share after the firm reported good results but offered guidance that is mixed versus our expectations. The outlook generally offsets quarterly strength, which holds our fair value in check. Performance looks good from any angle, with impressive artificial intelligence demand and monetization. […]
Alphabet Surpasses Expectations Driven by Robust Search and Cloud Performance
Alphabet’s GOOG third-quarter sales expanded 15% year over year to $88 billion. Strong advertising and cloud revenue growth spearheaded the firm’s top line. While investments in artificial intelligence continue, profitability improved, with EBIT margins expanding 450 basis points year over year to 32%. Why it matters: A growing chorus of voices has sounded alarms about […]
Is GE Aerospace Stock a Good Buy After Earnings?
GE Aerospace GE released its third-quarter earnings report on Oct. 22. Here’s Morningstar’s take on GE Aerospace’s earnings and stock. Fair Value Estimate for GE Aerospace With its 3-star rating, we believe GE Aerospace’s stock is fairly valued compared with our long-term fair value estimate of US$194 per share, representing an enterprise value/2024 EBITDA ratio […]