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Let's take a look at some of the stocks on the move today in Europe. I'm James Wilcock with Caroline Hepker, and we're joined by Bloomberg reporter Chloe Melly Chloie. Let's start a commerce bank. They reported ownings today is their latest update, going down well with investors.
Not super super well.
So Commas Bank raised its outlook for the year, also outlined some new medium term targets and it announced three
thousand drop cuts. And so all of this comes at a very critical time in this UniCredit Commers Bank takeover SAGA, because this week Credit took its offer directly to the Commons Bank shareholders and so Commas Bank throughout this whole takeover SAGA has been banking on the strategy of really raising targets, of boosting investor payouts to put the stock higher, and through that essentially making a deal more expensive for
UniCredit and therefore convincing investors that Commons Bank is actually better off as a standalone entity. And so so far that's actually worked and pushing against unicredits advances.
But we can see the limits of.
That strategy today because Commers Bank shares are actually lower this morning because some investors are seeing the new targets as perhaps a little bit too ambitious. So we're now seeing some skepticism and that does play into the hands of UniCredit, although unicredits offer is actually really unlikely to be taken up by.
A large number number of commons.
Bank investors, so we'll be watching out for any developments there as well.
Okay, let's pivot to the airlines industry, so we get the last of the big European names reporting today. IAG some difficulties there after. We had to Deutsche Left, Tanta and France Kerlen talking about fuel bills. What did IAG say, Yeah, it.
Was very much the same issue for them as well.
So they expect profit and free cash flow for this year to be lower than previously expected because of of course, as you mentioned.
Those higher fuel costs. So it has.
Submits that it will pay about two billion euros more for fuel in twenty twenty six and that leads to a total bill of about nine billion euros. And so this is as you said, the latest airline in Europe to warn about the impact of the Iran war on its outlook. A lot of companies that within that sector, I've had to cancel flights, They've had to reduce some routes, decommission older planes as well, and that happens just as they enter the very important, very lucrative summer travel season
as well. Another important thing to note from IG today is that it did say it was exploring opportunities for consolidation and that it had been approached by other airlines looking to discuss potential options given the current market pressures.
So that's quite interesting.
But it seems that investors are a lot more focused this morning on the weaker outlook rather than the M and A possile abilities laid down the line, and so we are seeing the shares quite weak this morning for IAG.
And finally Ryemetteller falling. What's behind that drop.
That's a downgrade, So they got downgraded to a neutral rating by JP Morgan, and the analysts have also slashed the price target on the stock, and the analysts have said that Ryan Mattau is finding it quite difficult to grow as fast as it would like and that some investors have started to question where the Ryan Mettel actually
has the right product portfolio. They said that the company has started to miss its own quite ambitious targets, with four misses in the past six months, and the latest results actually that we had a few days ago that
actually did miss estimates. JP Morgan is still positive on the outlook for the German defense spending, seeing at least five years of really strong growth for Rye Mattau and military spending in general is still very much top of the agenda for governments around the world because of all the geopolitical uncertainty that we have.
But there is clearly quite a bit of caution around.
Environmental at the moment, and we can see that reflected in weakness in the chase throughout the beginning of this year and today as well.
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