BUZZ — Avanza hits bottom of STOXX after Q3 miss
* Avanza shares fall around 4% after the Swedish financial services company's Q3 results missed analysts' expectations * Its quarterly operating income of SEK 1,283 million ($129.39 million) and operating profit of SEK 920 million missed the company-provided consensus of SEK 1,310 million and SEK 935 million, respectively * It reiterated the guidance of an underlying cost growth of about 9% for Sweden, while revising costs for Denmark downward to SEK 40 million * J.P. Morgan attributes the earnings miss to lower income despite better-than-expected costs * Within revenues, most components missed estimates, the brokerage says * JPM expects low single-digit downward revision to consensus estimates, given the lower fund revenue margins and weaker-than-expected NII * Avanza, with shares on track for their worst day since April if losses hold, is the worst performer on the pan-European STOXX 600 index * Shares in local peer Nordnet are down 1.6% at 0730 GMT ($1 = 9.9160 Swedish crowns) (Reporting by Marta Frackowiak) ((mailto:marta.frackowiak@thomsonreuters.com)
* Avanza shares fall around 4% after the Swedish financial services company's Q3 results missed analysts' expectations * Its quarterly operating income of SEK 1,283 million ($129.39 million) and operating profit of SEK 920 million missed the company-provided consensus of SEK 1,310 million and SEK 935 million, respectively * It reiterated the guidance of an underlying cost growth of about 9% for Sweden, while revising costs for Denmark downward to SEK 40 million * J.P.
Morgan attributes the earnings miss to lower income despite better-than-expected costs * Within revenues, most components missed estimates, the brokerage says * JPM expects low single-digit downward revision to consensus estimates, given the lower fund revenue margins and weaker-than-expected NII * Avanza, with shares on track for their worst day since April if losses hold, is the worst performer on the pan-European STOXX 600 index * Shares in local peer Nordnet are down 1.6% at 0730 GMT ($1 = 9.9160 Swedish crowns) (Reporting by Marta Frackowiak) ((mailto:marta.frackowiak@thomsonreuters.com)