Mercedes, Meta, Microsoft, Pfizer, Solvay, Teva, Toromont and Proteste Investe

Mercedes, Meta, Microsoft, Pfizer, Solvay, Teva, Toromont and Proteste Investe


Despite the poor economic outlook, Mercedes revised its annual forecast upwards after a strong second quarter. For the automotive business (83% of sales), it now expects an operating margin of between 12 and 14%, (11.5% to 13% previously).

With a focus on premium cars, Mercedes-Benz is able to defend the margin. A comforting property in a less optimistic economic environment. See advice.


The Facebook owner reported a 1% drop in quarterly revenue to $28.8 billion, in line with its expectations and those of the market. But the downturn in the online advertising market is not over yet and may worsen in the coming quarters.

So Meta is a caution. For our part, we have lowered our earnings per share estimates to $10.7 per share in 2022 and $12 in 2023. At current prices, the valuation is not high (15 times the estimated earnings in 2022), but we prefer to be cautious . See advice.


The software and cloud computing giant reported 2021/22 (end 06/30) results below expectations. Strong dollar and supply chain issues dampened growth in revenue (+18%) and earnings per share (16%).

In the last quarter, declining PC sales penalized Windows and Office operating system sales, but cloud revenue (48% of sales) rose 28% year over year. This activity benefits from digitization and the need for companies to reduce their IT costs.

The 35% increase in orders compared to the last quarter of 2020/21 is a good sign for the continuation of the current momentum and further gains in the market share. For the 2022/23 financial year, Microsoft expects operating income and revenue to increase by more than 10%, in line with our expectations.

Therefore, we maintain our earnings per share forecast of $11 in 2022/23 and 11.9 in 2023/24.

The targets were well received by investors. Microsoft is not just dealing with the global economic crisis. Its cloud solutions allow companies to reduce costs and, at the same time, keep up to date with information technologies. See advice.


The drugmaker exceeded expectations in the second quarter due to the Comirnaty vaccine for covid and the success of Paxlovid, a covid treatment, whose sales reached 8.1 billion dollars (only 216 million in the first quarter).

Two new Covid booster vaccines will be available in early autumn. Unfortunately, due to the strength of the dollar, Pfizer only kept its forecast to 2022. The stock remains attractive. See advice.


Revenue increased by 41.5% and EBITDA by 43.4%, more than the average analyst estimate. Solvay benefits from the 2020-2024 cost reduction program and sales volume (+6%) benefited from changing demands in all its markets (automotive, aerospace, consumer goods, electronics, etc.).

It also benefited from positive currency effects. But, above all, Solvay is a leader in many of its activities and provides unique and useful solutions, being able to pass the inflation of costs (raw materials, workers) in its sales prices.

The increase in quarterly revenue (excluding disposals and acquisitions) is due 80% to increased sales prices. Thanks to all these factors, Solvay can maintain margins and even increase them slightly (in 2021 they were already above the pre-crisis level).

Three of the group’s divisions (materials, chemicals and solutions) contributed positively to the quarterly results. However, due to the deterioration of the economic situation, there is a possibility that the figures for the second half of the year will be more moderate and the increase in sales prices will end up on the weight of demand.

We expect earnings of 12.39 euros per share in 2022. See advisory.


Markets have welcomed Teva’s plan to settle a lawsuit over its role in America’s opioid crisis. With the cases that have already been settled, this dispute will have cost more than 4 billion dollars.

The announcement overshadowed results that exceeded expectations in the second quarter. Still, Teva returned to losses due to damages and litigation costs. If the legal agreement (which has not yet been signed) is a relief, the group remains in debt and struggling to grow. See advice.


A favorable position in the mining and construction sectors and cost control allowed Toromont (large industrial machinery) to post a quarterly profit above expectations.

Even if the Canadian economy slows down in 2022 and 2023, growth will remain strong and Toromont can improve results. It is interesting to expose yourself to the Canadian economy. See advice.