Harbor AlphaEdge Small Cap Earners ETF (EBIT)
ARCA ARCA Primary 
Correios De Portugal: Still Great Value, But Holiday Season And Rate Questions
The express and parcels business showed strong YoY growth in Q3, with mail aided by legislative elections, despite secular declines in mail volumes. Financial services logged a 6.2 million EUR performance, with Banco CTT achieving 2.5% YoY revenue growth despite ending the Universo card partnership. Higher depreciation costs in logistics limited recurring EBIT growth, but excluding just software investments, EBIT growth would have been around 12%.
DHL Group: Delivering Value Once Again
DHL Group shares have declined due to higher costs, weakening demand, and potential U.S. tariffs, but long-term investors may find a good entry point. Q3 results showed flat year-over-year EBIT, improving from previous declines; Q4 EBIT expected to rise 8% year-over-year, despite weak conditions in Europe. Strategy 2030 aims for 50% higher revenue by 2030, driven by e-commerce growth, life sciences logistics, and efficiency improvements through automation and optimization.
Air Liquide: EBIT Margin Improvement Ahead
Management anticipates better H2 sales growth, driven by volume improvements in the USA and China. Margin expansion ahead, favored by qualitative backlog. Supportive financial fundamentals, coupled with a secular growth trend, make Air Liquide a buy. In addition, there is a valuation gap compared to its closest peer.
Amazon Is Setting Up For Another Earnings Beat
Amazon's Q3 EBIT guidance was lower than expected, but its EBIT is projected to grow by 18% YoY, which is quite strong given the firm's scale. Amazon's Q2 FY2024 results showed strong growth in AWS and advertising, with a notable 39% jump in GAAP EPS, despite a revenue miss. Wall Street's lowered forecasts create an opportunity for Amazon to exceed Q3 expectations, supported by robust FCF and margin expansion.
Harbor Capital Debuts New Refined Small Cap ETF
On Wednesday, Harbor Capital bolstered its fund library with the launch of the Harbor AlphaEdge Small Cap Earners ETF (EBIT). “In our conversations with clients, we have heard a consistent and growing concern around the lack of profitability of small cap companies that comprise the Russell 2000 Index.
