Stock Movers: Tesla, Equifax, Northrop Grumman

On this episode of Stock Movers: - Tesla (TSLA) backed away from an earlier view for 2025 sales growth and pledged to revisit its outlook next quarter, a sign that tariffs, an aging vehicle lineup and the backlash against Chief Executive Officer Elon Musk are having an impact on the electric-vehicle maker. The company on Tuesday reported adjusted earnings of 27 cents per share for the first quarter, below the average analyst estimate. Tesla omitted an earlier prediction that sales would return to growth for the full year, saying instead that it's 'making prudent investments that will set up' the vehicle business for growth. That will depend on factors including production increases and the 'broader macroeconomic environment.' Shares in the EV maker were little changed after the earnings release. - Equifax (EFX) shares rose the most since November 2022 on the news the credit-reporting agency's first-quarter profit beat estimates. This was despite the Atlanta-based firm declined to raise its guidance, citing the tariff-induced uncertainty in the economy and falling consumer confidence. 'Given the strength in the first quarter and our current run rates in key verticals, we would normally be increasing our 2025 revenue and adjusted EPS guidance' Chief Executive Officer Mark Begor said on a call with analysts. - Northrop Grumman (NOC) reported first-quarter profit that missed analysts' expectations and cut its earnings forecast for the year as costs mounted for its next-generation B-21 stealth bomber. The shares fell the most since the early days of the pandemic on Tuesday, after Northrop said per-share profit declined by 47% in the first quarter, primarily due to new loss provisions tied to the B-21. Northrop, which for 2023 took a nearly $1.6 billion pretax charge on the program, added $477 million to the tally, as manufacturing costs rose and the company invested in its production systems to speed the program's ramp-up.

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Yahoo

28 minutes ago

• Yahoo

Europeans seek 'digital sovereignty' as US tech firms embrace Trump

By Thomas Escritt BERLIN (Reuters) -At a market stall in Berlin run by charity Topio, volunteers help people who want to purge their phones of the influence of U.S. tech firms. Since Donald Trump's inauguration, the queue for their services has grown. Interest in European-based digital services has jumped in recent months, data from digital market intelligence company Similarweb shows. More people are looking for e-mail, messaging and even search providers outside the United States. The first months of Trump's second presidency have shaken some Europeans' confidence in their long-time ally, after he signalled his country would step back from its role in Europe's security and then launched a trade war. "It's about the concentration of power in U.S. firms," said Topio's founder Michael Wirths, as his colleague installed on a customer's phone a version of the Android operating system without hooks into the Google ecosystem. Wirths said the type of people coming to the stall had changed: "Before, it was people who knew a lot about data privacy. Now it's people who are politically aware and feel exposed." Tesla chief Elon Musk, who also owns social media company X, was a leading adviser to the U.S. president before the two fell out, while the bosses of Amazon, Meta and Google-owner Alphabet took prominent spots at Trump's inauguration in January. Days before Trump took office, outgoing president Joe Biden had warned of an oligarchic "tech industrial complex" threatening democracy. Berlin-based search engine Ecosia says it has benefited from some customers' desire to avoid U.S. counterparts like Microsoft's Bing or Google, which dominates web searches and is also the world's biggest email provider. "The worse it gets, the better it is for us," founder Christian Kroll said of Ecosia, whose sales pitch is that it spends its profits on environmental projects. Similarweb data shows the number of queries directed to Ecosia from the European Union has risen 27% year-on-year and the company says it has 1% of the German search engine market. But its 122 million visits from the 27 EU countries in February were dwarfed by 10.3 billion visits to Google, whose parent Alphabet made revenues of about $100 billion from Europe, the Middle East and Africa in 2024 - nearly a third of its $350 billion global turnover. Non-profit Ecosia earned 3.2 million euros ($3.65 million) in April, of which 770,000 euros was spent on planting 1.1 million trees. Google declined to comment for this story. Reuters could not determine whether major U.S. tech companies have lost any market share to local rivals in Europe. DIGITAL SOVEREIGNTY The search for alternative providers accompanies a debate in Europe about "digital sovereignty" - the idea that reliance on companies from an increasingly isolationist United States is a threat to Europe's economy and security. "Ordinary people, the kind of people who would never have thought it was important they were using an American service are saying, 'hang on!'," said UK-based internet regulation expert Maria Farrell. "My hairdresser was asking me what she should switch to." Use in Europe of Swiss-based ProtonMail rose 11.7% year-on-year to March compared to a year ago, according to Similarweb, while use of Alphabet's Gmail, which has some 70% of the global email market, slipped 1.9%. ProtonMail, which offers both free and paid-for services, said it had seen an increase in users from Europe since Trump's re-election, though it declined to give a number. "My household is definitely disengaging," said British software engineer Ken Tindell, citing weak U.S. data privacy protections as one factor. Trump's vice president JD Vance shocked European leaders in February by accusing them - at a conference usually known for displays of transatlantic unity - of censoring free speech and failing to control immigration. In May, Secretary of State Marco Rubio threatened visa bans for people who "censor" speech by Americans, including on social media, and suggested the policy could target foreign officials regulating U.S. tech companies. U.S. social media companies like Facebook and Instagram parent Meta have said the European Union's Digital Services Act amounts to censorship of their platforms. EU officials say the Act will make the online environment safer by compelling tech giants to tackle illegal content, including hate speech and child sexual abuse material. Greg Nojeim, director of the Security and Surveillance Project at the Center for Democracy & Technology, said Europeans' concerns about the U.S. government accessing their data, whether stored on devices or in the cloud, were justified. Not only does U.S. law permit the government to search devices of anyone entering the country, it can compel disclosure of data that Europeans outside the U.S. store or transmit through U.S. communications service providers, Nojeim said. MISSION IMPOSSIBLE? Germany's new government is itself making efforts to reduce exposure to U.S. tech, committing in its coalition agreement to make more use of open-source data formats and locally-based cloud infrastructure. Regional governments have gone further - in conservative-run Schleswig-Holstein, on the Danish border, all IT used by the public administration must run on open-source software. Berlin has also paid for Ukraine to access a satellite-internet network operated by France's Eutelsat instead of Musk's Starlink. But with modern life driven by technology, "completely divorcing U.S. tech in a very fundamental way is, I would say, possibly not possible," said Bill Budington of U.S. digital rights nonprofit the Electronic Frontier Foundation. Everything from push notifications to the content delivery networks powering many websites and how internet traffic is routed relies largely on U.S. companies and infrastructure, Budington noted. Both Ecosia and French-based search engine Qwant depend in part on search results provided by Google and Microsoft's Bing, while Ecosia runs on cloud platforms, some hosted by the very same tech giants it promises an escape from. Nevertheless, a group on messaging board Reddit called BuyFromEU has 211,000 members. "Just cancelled my Dropbox and will switch to Proton Drive," read one post. Mastodon, a decentralised social media service developed by German programmer Eugen Rochko, enjoyed a rush of new users two years ago when Musk bought Twitter, later renamed X. But it remains a niche service. Signal, a messaging app run by a U.S. nonprofit foundation, has also seen a surge in installations from Europe. Similarweb's data showed a 7% month-on-month increase in Signal usage in March, while use of Meta's WhatsApp was static. Meta declined to comment for this story. Signal did not respond to an e-mailed request for comment. But this kind of conscious self-organising is unlikely on its own to make a dent in Silicon Valley's European dominance, digital rights activist Robin Berjon told Reuters. "The market is too captured," he said. "Regulation is needed as well." (Additional reporting by Riham Alkousaa in Berlin, Charlie Devereux in Madrid, Toby Sterling in Amsterdam and AJ Vicens in Detroit; Editing by Catherine Evans)

Miami Herald

31 minutes ago

• Miami Herald

Tesla signs deal for $556 million grid-scale battery storage station in China

Tesla Friday signed a $556.8 million agreement to build a grid-scale battery storage station in China. The deal is with China Kangfu International Leasing Co., as well as the Shanghai local government. It's the first Tesla large-scale battery storage facility in China. In a statement on Chinese social media site Weibo, Tesla said, 'Tesla's first grid-side energy storage power station project in mainland China has been officially grid-side energy storage power station is a 'smart regulator' for urban electricity, which can flexibly adjust grid resources.' Tesla said that, when complete, this project is expected to become the largest grid-side energy storage project in China. Utility-scale battery energy storage assists energy grid management by keeping supply and demand in balance. More is being built worldwide. Tesla competed against two Chinese companies that offer similar products. CATL and automaker BYD have significant global market share in these battery storage products. China plans to add nearly 5 gigawatts of electricity supply powered by batteries by the end of 2025, which would bring the total capacity to 40 gigawatts. Copyright 2025 UPI News Corporation. All Rights Reserved.

Newsweek

37 minutes ago

• Newsweek

Texas Homeowners Worry About 'Loopholes' in New Property Tax Cut Law

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Texas homeowners struggling under the growing burden of rising housing costs are supportive of the new package of property tax cuts signed into law by Governor Greg Abbott on Monday. However, some are worried that appraisers may find "loopholes" around them to keep bills high. "The governor is trying to help, but local counties will just find loopholes in the laws and pull the money from our pockets," Jeff, a Parker County Texas homeowner, told Newsweek, revealing a deep frustration with Texas' County Appraisal Districts (CAD) which seems to be shared by several other readers. What's Behind Texas Homeowners' Frustration? Property tax bills have surged over the past five years in Texas due to skyrocketing home values exacerbating locals' affordability struggles. Between 2019 and 2023 alone—years marked by the pandemic homebuying frenzy—property taxes in the Lone Star State jumped by 26 percent, according to Cotality. As of 2025, Texas homeowners pay the seventh-highest property taxes in the country, according to SmartAsset, at an effective rate of 1.63 percent, significantly higher than the national average of 0.90 percent. Photo-illustration by Newsweek/Getty/Canva On average, a Texas homeowner pays $3,872 a year in property taxes, which are levied by local governments and used to fund public services, including schools, roads, police, and firefighting. The rise in property taxes, which has occurred nationwide, has hit senior homeowners the hardest, as they often rely on a fixed income and are less well-equipped to shoulder a suddenly heavier financial burden. What Do the New Laws Promise Homeowners? The new package of property tax cuts, which includes two key bills raising the homestead exemption in the state, is Abbott's latest attempt to offer homeowners relief after signing into law what was the largest property tax cut in the state's history in 2023. One bill contained in the package, signed by the governor on Monday, SB 4, would raise the existing homestead exemption from $100,000 to $140,000 for all homeowners. Another, SB 23, would raise it to $200,000 for those with disabilities or those aged 65 and above. The two bills include constitutional amendments that would need to be approved by voters in November to be enshrined into Texas state law. Why Do Homeowners Remain Skeptical About Relief? Several readers wrote to Newsweek, expressing enthusiasm for the new property tax cuts, but also voicing concerns that they might not result in a significant reduction in their bills. "No homeowner over 70 should pay property taxes. And 65 to 70 only half. Our senior years are fraught with enough worries, medical, food, insurance etc without worrying about losing their home," one Austin-based homeowner said. "I've had to sell all of my investment holdings to afford property tax for my remaining years. But it seems that the CAD just raises our appraised values to counteract Abbott's help." Jeff said that his home has appreciated in market value by 73 percent since 2020, a number that he can hardly believe is accurate. "Local governments blame [price] growth, but in all reality, it's poor management by our local government," he said. "I personally have now protested my taxed appraised market value three times now, each time getting minimal relief. The fact that they are willing to adjust your market value tells you they are playing the numbers to bring in more money," he said. John, another Texas homeowner, said that, on average, his property evaluations have increased from $270,000 to $563,000 over the last eight years. "My annual property tax leapt from $4,300 annually, to just north of $7,000," he said. "This past year, as well as this year, upcoming, will be in the neighborhood of $6,200, largely due to the efforts of the past two legislative periods," he added. The news of the new property tax cuts signed by Abbott was "music to my ears," John said. "You've always heard that mantra, 'I don't want to rent my home after it's paid for from my school district,'" Texas Lieutenant Governor Dan Patrick said after the two bills passed the state legislature. "Well, seniors, to the average senior out there, you're never going to have to do that again." John said that Patrick's comment about paying rent to the school district "is no quip." "My breakdown, most recently, is at $15,00 city, $1,250 county, and $3,500 school district distribution," he said. "While it's true that 'it takes a village,' my kids are adults in the workforce themselves. While paying much higher property taxes to schools, I was still on the hook for community pencils, paper, notebooks, and Kleenex, for distribution to children by the teachers," he said. "Along with anything teachers did to create a more engaged environment in their classrooms, that was out of their pockets." While John appreciates how municipal governments spend the money he pays in property taxes, he feels that there is insufficient transparency regarding the way school districts allocate their funding. "Long story short, I will support this legislation to the extent of posting pro-bill signage in my yard, and on my vehicle, if I do think it will come to that," he said. "People are sick to death of the Central Appraisal Districts and their chokehold on property owners." Are you a Texas homeowner? I'd like to hear from you about your experience with property appraisals and rising property tax bills. Email me at