ADRs Close Lower; ABB Trades Actively

10/21/2021 | 05:23pm

International stocks trading in New York closed lower on Thursday.

The S&P/BNY Mellon index of American depositary receipts declined 0.6% to 166.52. The European index eased 0.4% to 146.78. The Asian index declined 0.5% to 227.37. The Latin American index fell 3.4% to 179.74. And the emerging-markets index declined 0.7% to 376.54.

ABB Ltd. was among those whose ADRs traded actively.

ABB Ltd. cut its full-year guidance as a tight supply chain bit into its revenue, despite orders climbing, the company said at its third-quarter results. Despite supply-chain constraints hitting ABB Ltd.'s revenue growth in both the third and fourth quarters, the underlying end-market commentary is encouraging, Citi said. Third-quarter revenue came in at $7.03 billion, below consensus estimates, though orders were $7.87 billion, above consensus, the bank said. The Swiss engineering company now guides for comparable revenue growth of 6%-8%, from just below 10% previously. But ABB now points to steep growth in its short-cycle market and improving automotive demand, nudging higher its market growth outlook for oil-and-gas and metals-and-mining, Citi said. The temporary nature of supply-chain issues and continuing strategic transformation of the company should be seen as positive, Citi added. ADRs fell 6% to $32.86.

Barclays PLC said its profit more than doubled in the third quarter, driven by a continued strong performance at its investment bank. ADRs fell 1.7% to $11.05.

Brazilian aircraft maker Embraer's sales of executive planes and firm orders increased in the third quarter from the second, but still disappointed, according to brokerage Ativa Investimentos. Embraer said Thursday that it delivered 21 executive jets in the quarter, up from 20 in the second quarter, while the firm order backlog increased to 313 from 306. The company delivered 9 of its regional commercial aircraft, compared with 14 in the second quarter. ADRs fell 4.2% to $17.05.

Taiwan Semiconductor Manufacturing Co. said Thursday that its Arizona unit plans to issue $4.5 billion of senior unsecured notes at a discount to raise funds for general corporate purposes. The world's largest contract chip maker said the unit plans to sell $1.25 billion of 1.750% notes due 2026 and $1.25 billion of 2.500% notes due 2031. The Arizona unit also plans to sell $1 billion of 3.125% notes due 2041 and $1 billion of 3.250% notes due 2051. TSMC said the offering is expected to close Oct. 25. ADRs closed 0.6% higher at $116.29.

(END) Dow Jones Newswires

10-21-21 1722ET

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