Barclays analyst Jiong Shao has downgraded Li Auto (LI) stock from “overweight” to “equal weight” and cut the price target from $39 to $25 per share. The downgrade stems from concerns about the ongoing challenges facing the electric vehicle (EV) company, including increased competition and declining prices. Despite the recent price drops announced by Li Auto, the stock has been trending downwards, with a 2% decline as of Thursday morning.
Nationwide Building Society led the industry in current account switching gains during the final quarter of 2023, according to data from the Current Account Switch Service (Cass). The society secured a net increase of 163,363 full account switches, followed by Barclays with 12,823 and Lloyds Bank with 5,800. Conversely, NatWest experienced the most significant losses at 43,182, while RBS lost 11,621 and Halifax lost 41,144 accounts. Industry experts attribute Nationwide’s success to its £200 switching incentive offered in the autumn of 2023. Despite a recent decline in cash-to-switch offers, Cass reported a total of 10.6 million account switches since its inception in 2013.
Nationwide Building Society emerged as the clear winner in the final quarter of 2023, leading the pack with 163,363 net gains from current account switches. Barclays and Lloyds Bank followed with 12,823 and 5,800 net gains, respectively. Notably, NatWest faced a significant exodus of 43,182 customers, while other major banks such as RBS, Halifax, and Santander also saw net losses. The allure of cash incentives for account switching seems to be waning, with banks withdrawing such offers. However, improved rates, cheaper overdrafts, and better services remain important factors in customer decisions. Overall, the number of account switches in Q4 of 2023 was lower compared to the previous quarter, but the Current Account Switch Service (Cass) has facilitated over 10.6 million switches since its inception in 2013.
Barclays reported a 12% decline in pre-tax profits for the first quarter of 2023, citing reduced mortgage lending, dwindling deposits, and a sluggish investment banking sector. Despite the drop, profits exceeded analyst expectations of £2.2 billion. The bank’s UK operations suffered a 7% decline in income due to subdued mortgage lending and lower customer deposits. Likewise, investment banking revenue fell by 7%, driven by weaker activity in fixed income trading.
Nationwide Building Society, Barclays, and Lloyds Bank have emerged as the top gainers from customer account switches facilitated by the Current Account Switch Service (Cass) in the final quarter of 2023. Industry figures indicate that Nationwide secured the most significant net gains, with 163,363 full account switches. Barclays and Lloyds Bank followed closely with net gains of 12,823 and 5,800, respectively. On the other end of the spectrum, NatWest, RBS, Halifax, and Santander experienced substantial switching losses.
Analysts at Barclays have projected that Apple’s March quarter results will align with expectations but have expressed concerns that the company’s guidance for the June quarter may fall short due to declining hardware demand. They forecast a modest dip in iPhone revenue, balanced by marginal gains from iPad and Mac sales, along with stable Services growth. However, their primary worry lies in the June quarter, where they believe iPhone sales could miss expectations due to weakening demand. Their estimates indicate potential year-over-year declines in average selling prices, particularly in China, where iPhone 15 sales have seen double-digit drops. Barclays also remains cautious about the impact of the upcoming iPhone 16, not expecting significant design changes or major advancements in AI applications before 2025.
Barclays analyst Theresa Chen initiated coverage on Kinetik Holdings (KNTK) with an Equal Weight rating and $40 price target, highlighting the company’s strategic asset positioning in the Delaware Basin. Chen praised the company’s gathering and processing assets, noting the area’s consistent production growth and high gas-to-oil ratios. She also pointed to the cash stability provided by Kinetik’s fee-based G&P contracts and equity interests in pipelines.
Multiple lenders, including Barclays, NatWest, HSBC, The Co-Operative Bank, and Accord, have announced increases in their mortgage rates. These hikes follow an upward trend in swap rates, which underpin fixed-rate mortgages. Experts predict further rate increases, impacting both new borrowers and those nearing the end of fixed-rate deals. The average two-year fixed residential mortgage rate has slightly decreased, while the average five-year rate remains stable. Despite the dip in the two-year rate, monthly repayments have significantly increased compared to two years ago due to higher interest rates.
