European markets lower as positive momentum fades

AstraZeneca shares were 0.6% higher at 9:45 a.m. in London, after the company said it plans to increase its total revenue to $80 billion by 2030, up 75% from $45.8 billion in 2023.

It will focus on its oncology, biopharmaceuticals and rare diseases businesses and expects to release an additional 20 medicines in the next six years.

“We have a lot of confidence in this 80 billion ambition because of the portfolio and the breadth and scale of the portfolio that we see today,” AstraZeneca’s Chief Financial Officer Aradhana Sarin told CNBC’s Arabile Gumede.

AstraZeneca’s plans include developing medicines to treat at least half of potential cancers, and developing alternatives to classic treatments like chemotherapy and radiation.

“For us, for sure, this is the post-Covid era,” Sarin told CNBC. “We supplied vaccines during the Covid pandemic more because, you know, it was a public health crisis. It was not really our business to be in Covid vaccines.”

“We’re looking at some weight management drugs as well, potentially also combining them with drugs that help with comorbidities that a lot of the patients with weight management issues have,” she said.

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— Sophie Kiderlin

Shares of power supply solutions firm XP Power popped 46% in early deals, after Advanced Energy Industries made an acquisition offer for the Singapore-headquartered company valuing it at £571 million ($726 million).

Nasdaq-listed Advanced Energy Industries revised up its October 2023 offer of £17.00 per London-listed XP Power share to £19.50 per share.

That represents a 68% premium to the closing share price on May 20, it said.

XP Power has a market capitalization of £275.66 million, according to London Stock Exchange data.

Advanced Energy Industries said the deal would address several “challenges” XP Power faces, including by providing the “additional scale and resources necessary to compete more effectively in the precision power industry.”

— Jenni Reid

European stocks were broadly in the red at Tuesday’s open, with the pan-European Stoxx 600 index down 0.26%.

France’s CAC 40 and the U.K.’s FTSE 100 were both lower by around 0.4%, as Germany’s DAX dipped 0.2%.

Pharmaceutical giant AstraZeneca on Wednesday announced a target of $80 billion in total revenue by 2030, up from $45.8 billion in the full-year 2023, via “significant growth in its existing oncology, biopharmaceuticals and rare disease portfolio.”

The company plans to launch 20 new medicines before that time, it said in a release on its investor day.

Those drugs have the potential to generate more than $5 billion in peak year revenues, it said.

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— Jenni Reid

Shares of a global video game developer are currently being overlooked by the market and are up for grabs at a “very cheap” price, according to Schroders fund manager Vera German.

The company’s shares have been hit hard over the past few years, with the stock price declining significantly from its peak in 2021. It has fallen by 40% over the past 12 months alone.

The value investor believes that the company is well-positioned for future growth as it has a net cash of $1.1 billion and a strong cash flow generation.

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— Ganesh Rao

The U.S move to impose higher tariffs on Chinese electric vehicles is set to have an impact on the U.S. battery supply chain — and create investing opportunities, according to Bernstein.

Those tariffs will benefit the U.S. battery supply chain, where demand is expected to grow at a compound annual growth rate of 25% to 30%, according to Bernstein in a May 13 note.

It names global stocks that investors can consider.

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— Weizhen Tan

European markets are expected to open lower Tuesday.

The U.K.’s FTSE 100 index is expected to open 43 points lower at 8,381, Germany’s DAX down 60 points at 18,708, France’s CAC 33 points lower at 8,139 and Italy’s FTSE MIB down 140 points at 34,788, according to data from IG.

Earnings come from Kingfisher, Smiths Group, Fresnillo and Generali. Euro zone trade balance and construction data for March are due.

— Holly Ellyatt

Crypto prices rallied on Monday amid a late surge in optimism around the U.S. Securities and Exchange Commission decision on spot ether exchange-traded funds applications, due this week. The previous consensus was that the funds would likely not be approved.

Ether led the crypto market, surging about 15% to about $3,500, according to Coin Metrics. Bitcoin gained more than 4%, briefly touching $70,000 at one point for the first time since April.

In regular trading, crypto-related stocks rode the wave, with Coinbase and MicroStrategy jumping 8% and 9%, respectively. Miners Marathon Digital and CleanSpark advanced 14% each.

— Tanaya Macheel