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Nestle has launched protein shots in the U.S. aimed at appetite suppression for those using weight-loss medications like Wegovy. Priced at $10.99 for a pack of four, the shots contain whey protein and are designed to enhance the body's natural GLP-1 response, promoting a feeling of fullness before meals. While the product is not a substitute for weight-loss drugs, it may assist in weight management.
SMI is slightly lower ahead of the Fed's interest rate decision, with Nestlé and DocMorris showing weakness, while EFG International and Orascom HD are in demand. Oil prices have stabilized after recent losses, with Brent crude at $73.61 and WTI at $70.51, supported by a significant drop in US inventories, indicating a tightening supply that could drive prices higher.
European stocks closed slightly higher as investors awaited the U.S. Federal Reserve's interest rate decision. Renault shares surged 5.39% amid merger talks with Nissan and Honda, while U.K. inflation rose to 2.6%, dampening hopes for a rate cut from the Bank of England. The cost of renting in London jumped 11.6%, marking the fastest rise on record.
Nestlé's stock reached a new 12-month low at $82.67, with analysts maintaining a consensus "Hold" rating. Recent changes in ratings include upgrades from Royal Bank of Canada and Morgan Stanley, while Citigroup downgraded the stock to "neutral." Institutional investors have also adjusted their positions, with notable increases in holdings from several firms.
The Australian Climate Leaders Coalition, backed by major companies like Microsoft, Nestlé, and Unilever, is advocating for a transition to a circular economy to reduce greenhouse gas emissions and boost GDP by AU$210bn by 2048. A report highlights the need for CEOs to embrace circularity beyond recycling, emphasizing integration into business strategies and collective action. Key capabilities for success include stakeholder management, enabling technologies, and behavioral engagement.
Matrix Asset Advisors highlighted Nestlé S.A. (OTC:NSRGY) in its Q3 2024 investor letter, noting the company's strong market presence in various food sectors and a history of consistent earnings growth. Despite a significant share price decline from $140 to below $100, the firm believes the downturn is temporary, driven by missed sales estimates and rising costs. Nestlé's recent CEO change aims to enhance product development and operations, positioning the company favorably at its current low valuation.
Matrix Asset Advisors highlighted Nestlé S.A. (OTC:NSRGY) in its Q3 2024 investor letter, noting the company's strong market presence in various food sectors and a history of consistent earnings growth and dividend increases. Despite a significant share price decline from $140 to below $100, attributed to temporary factors, the firm believes the stock is undervalued. Currently, Nestlé is held by four hedge funds, but the firm expresses a stronger conviction in AI stocks for higher returns in the near term.
Many investors view green investment funds as misleading due to the lack of a clear definition of sustainability, which varies widely among fund companies. The recent EU criteria for "sustainable" products do little to clarify this ambiguity, while the performance of these funds often lags behind traditional investments. Additionally, the debate over including sectors like nuclear power and arms manufacturing in sustainable portfolios reflects differing opinions on what constitutes sustainability, further complicating the landscape for investors.
Switzerland has revoked India's Most Favored Nation (MFN) status following an Indian Supreme Court ruling related to Nestle, leading to a higher withholding tax of 10% on dividends for Indian companies starting January 1, 2025. This decision marks a significant shift in the bilateral treaty dynamics and could impact Indian firms in Switzerland and Swiss investments in India. India plans to renegotiate the Double Taxation Avoidance Agreement with Switzerland in light of this development.
Switzerland will suspend the Most Favoured Nation (MFN) status in its Double Taxation Avoidance Agreement with India, effective January 1, 2025, following a 2023 Indian Supreme Court ruling. This decision will revert the withholding tax on dividends from Swiss entities to 10%, impacting Swiss investments and increasing tax liabilities for Indian companies with Swiss subsidiaries. Legal experts warn that this shift underscores the complexities of international tax treaties and may deter future Swiss investments in India.
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