STM leads MIB gains as luxury downturn persists

(Alliance News) - On Wednesday, at the session's midpoint, major European indices are moving without a clear direction, with Piazza Affari holding above the 49,100 level. Paris stands out as the weakest among the Old Continent's bourses following disappointing unemployment and inflation data.

On the macroeconomic front, Eurozone Gross Domestic Product grew at a slower pace in the first quarter of 2026 on both an annual and quarterly basis, as reported by Eurostat on Wednesday.

The euro area economy expanded by 0.1% in the first quarter compared to the final three months of 2025, when it had grown by 0.2% on a quarter-on-quarter basis.

Year-on-year, GDP rose by 0.5% in the first quarter, following a 0.7% increase in the final quarter of last year.

Eurozone industrial production grew at the same pace as the previous month in March on a month-on-month basis, while the annual rate of decline accelerated, according to Eurostat data released Wednesday.

Industrial output in the euro area grew by 0.2% month-on-month in March, matching February's figure. On an annual basis, industrial production fell by 2.1% after declining by 0.8% the previous month.

Regarding monetary policy, Bundesbank President Nagel indicated that the European Central Bank could raise rates at its June meeting, citing inflationary risks linked to the war in Iran and high energy prices.

Consequently, the FTSE Mib is up 0.4% at 49,161.61, the Mid-Cap is advancing 0.3% to 59,431.74, the Small-Cap is gaining 0.4% to 34,506.86, while Italy Growth is up 0.1% at 8,917.78.

London's FTSE 100 is in the green by 0.3%, Paris's CAC 40 is shedding 0.1%, while Frankfurt's DAX 40 is advancing 0.7%.

Returning to Milan, on Piazza Affari's blue-chip list, STMicroelectronics continues to lead the gains, advancing 5.5% with nearly 2 million shares traded.

Buzzi - down 0.4% - announced Wednesday that it closed the first quarter of 2026 with net sales of EUR960.3 million, down 1.2% compared to the EUR972.2 million recorded in the same period of 2025.

During the quarter, cement sales volumes increased by 10.4% to 7.04 million tonnes, primarily supported by the inclusion of operations in the United Arab Emirates within the consolidation perimeter, consolidated since May 2025. On a like-for-like basis, deliveries showed a slight contraction.

Downward pressure is hitting Leonardo, which is shedding 0.9% to EUR49.57. JPMorgan confirmed its 'overweight' rating on the stock but reduced the target price to EUR70.00 from EUR77.00, while continuing to see an implied upside potential of 40% over the next 19 months.

Analysts at the US bank explained that the price target cut primarily reflects the introduction of a 10% governance-related discount following the change in the company's leadership, while reiterating that Leonardo remains 'one of the top picks in the European defense sector'.

Banca Mediolanum - down 0.3% - is accelerating on the possible sale of Flowe, the fintech specialized in payment services for businesses. According to financial sources, four parties are interested, including Nexi, Bancomat, and Numia, which is owned by Fsi, Iccrea Banca, and Banco BPM.

Lottomatica has wiped out the previous session's gains and is shedding 1.8%.

Among the decliners, Ferrari is down 1.3%, Brunello Cucinelli is retreating 1.2%, while Moncler is in the red by 2.1% and remains at the bottom of the main index.

On the Mid-Cap, d'Amico firmly holds the top spot, extending its gains to 4.1%.

Salvatore Ferragamo is suffering from the downturn in the luxury sector and is shedding 2.1%.

Reply - down 1.2% - announced Wednesday that its subsidiary Hermes Reply has launched Brick Cognitive, a new agentic operating system developed to integrate artificial intelligence into industrial operations.

PharmaNutra is up 0.2% at EUR88.20, retracing from a new 52-week high of EUR90.00 touched during opening trades.

Tension is rising around Ferretti, up 0.6%, ahead of the shareholders' meeting for the renewal of the board. Chinese shareholder Weichai, with 39.51%, and Czech firm KKCG, which holds 23.23% through Azur As and supports the confirmation of Alberto Galassi as CEO, are facing off. According to MF-Milano Finanza, entities close to Weichai have increased their stakes while remaining below 3%, including Bank of China, which rose to 1.989% with the purchase of 6.7 million ordinary shares.

SOL is up 2.1% at EUR58.70. Regarding the stock, Berenberg raised its target price to EUR60.00 from EUR59.00 with a 'buy' recommendation.

Ariston Holding - in the green by 0.1% - announced Wednesday that the sell-to-cover procedure announced on May 5 was executed by JPMorgan Workplace Solutions between May 8 and May 12.

As revealed by the company, 107,964 Ariston ordinary shares were sold on behalf of the beneficiaries of the 2023 incentive plan to allow for the payment of applicable taxes. The average selling price was EUR3.748.

NewPrinces remains at the bottom of the mid-cap list, widening its loss to 3.9%.

On the Small-Cap, the Tesmec rally continues - up 4.8% - maintaining its position at the top of the basket and marking its third consecutive session of gains.

On the other side of the list, Aedes is shedding 4.4% on the floor.

Strong buying interest in Pininfarina - up 3.4% - which announced Tuesday that it closed the first quarter with revenues of EUR35.7 million, up from EUR19.1 million in the same period of the previous year. Ebitda rose to EUR1.6 million from a negative figure of EUR200,000, while the operating result turned positive at EUR1.0 million from an operating loss of EUR2.6 million a year earlier.

Banca Sistema continues trading in the green by 1.2%. On Tuesday, the board approved the consolidated financial statements as of March 31, which closed with a net profit of EUR3.8 million, down 67% compared to EUR11.6 million in the same period of 2025. The result does not include the KK Group's pro-rata profit of EUR1.8 million, adjusted to maintain the accounting equity at the estimated disposal value.

Aeffe - up 0.7% - announced Tuesday that activities related to the negotiated settlement of the business crisis and the M&A process initiated for the group's turnaround are ongoing.

The company has selected Oxy Capital as the party that submitted an offer deemed potentially suitable to facilitate the successful outcome of the restructuring process. The offer, formulated by Oxy as the lead of an industrial and financial consortium still being finalized, remains preliminary and non-binding.

Among the SMEs with the highest trading value, Casta Diva Group is up 5.4% while DBA Group is gaining 8.8% at EUR4.23.

Fope - up 2.0% - is celebrating ten years since its stock market listing with strong growth results and new international expansion targets. During the Capital Markets Day in Milan, the group indicated targets for 2029, its centenary year, with expected revenues between EUR145 million and EUR150 million compared to EUR93.6 million in 2025, and Ebitda projected between EUR33 million and EUR35 million compared to the current EUR20.5 million.

Monnalisa - flat at EUR0.65 - announced Tuesday that Simone Pratesi has resigned as a director of the company. Riccardo Corradori joins the board in his place.

Valtecne - flat at EUR8.40 - announced Tuesday that it achieved consolidated revenues of EUR10.3 million in the first quarter, up 9.6% from EUR9.4 million in the same period of 2025.

Officina Stellare is retracing by 0.8% after touching a new 52-week high of EUR35.80 at the opening.

In Asia, the Nikkei closed up 0.8%, the Shanghai Composite gained 0.7%, while the Hang Seng ended in the green by 0.2%.

In New York, at Tuesday's close, the Dow Jones finished up 0.1% at 49,760.56, the Nasdaq lost 0.7% to 26,088.20, and the S&P 500 fell 0.2% to 7,400.96.

On the currency front, the euro is changing hands at USD1.1702 from USD1.1745 on Tuesday evening, while the pound is trading at USD1.3520, unchanged from yesterday.

Among commodities, Brent is trading at USD107.47 per barrel from USD108.31 per barrel on Tuesday evening, while gold is worth USD4,698.77 per ounce from USD4,652.45 per ounce at yesterday's close.

On Wednesday's economic calendar, the OPEC monthly report is due at 1200 CEST, while from 1300 CEST the focus shifts to US mortgages, and at 1430 CEST the US producer price index data is expected.

By Antonio Di Giorgio, Alliance News reporter

Comments and questions to [e-mail]

Copyright 2026 Alliance News IS Italian Service Ltd. All rights reserved.