The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.

2157 ET - South Korean internet giant Naver's 3Q earnings could be pressured by weak revenue growth from its core platform services, Daiwa Capital's Thomas Y. Kwon and Joon Lee say. The analysts forecast seasonally soft revenue growth for both advertisement and commerce segments due to the Chuseok holiday in September. The company's 3Q operating profit likely fell 5.2% on year to 541 billion won, with the operating profit margin narrowing to 15.5% from 18.2% a year earlier, they say. Elevated capital expenditure and operating costs related to artificial-intelligence infrastructure are also weighing on earnings, they add. Daiwa trims its target price for the company to 270,000 won from 273,000 won but keeps a buy rating. Shares are 0.2% higher at 191,500 won. (kwanwoo.jun@wsj.com)

2155 ET - GMO Internet Group's valuation fails to fully reflect the long-term growth opportunity from cybersecurity demand and the company's growing exposure to national security-related projects, Jefferies's Hiroko Sato says in a note. Cybersecurity demand remains a structural growth driver, the analyst says. 2H earnings should also be supported by the recognition of delayed sales in its internet security business and ongoing margin improvement initiatives, she says. Although earnings visibility remains lower than peers due to the absence of company-wide guidance and continued weakness in cryptoassets, Jefferies believes these factors are more than priced in at current levels. The U.S. bank has a buy rating and a target price of 5,000 yen on the stock. Shares are 1.0% lower at Y3,939. (kosaku.narioka@wsj.com; @kosakunarioka)

2155 ET - Accumulated economic cost to the U.S. and Iran from the countries' ongoing conflict is likely to be the key trigger for a preliminary peace agreement, says BMI, a unit of Fitch Solutions, in a note. The U.S. faces multi-year highs in diesel and gasoline prices and Treasury yields, while Iran sees constrained export revenues, rising inflation and foreign exchange pressures, it says. However, the economic costs haven't become severe enough to force major concessions, BMI says. It assigns a 70% probability that a preliminary deal will be reached to reopen the Strait of Hormuz, rather than a conflict escalation. "We expect the tipping point to emerge over the next three to six months, with [1Q] 2027 the most likely timing for a preliminary agreement," it adds. (megan.cheah@wsj.com)

2146 ET - Yuan appreciation and the absence of a one-off disposal gain recorded last year are expected to wipe out Hangzhou Great Star Industrial's mid-teens core earnings growth in 3Q26, Citi analyst Eric Lau says in a note. The bank forecasts 3Q26 revenue to rise 16% on year but net profit to increase just 3% to 910 million yuan. Citi cuts its 2026-28 earnings estimates by 8%-9%. The bank keeps its buy rating, but cuts its target price to CNY43.00 from CNY49.00. Shares last closed nearly 1.0% higher at CNY26.84.(venkat.pr@wsj.com)

2107 ET - Tenaga Nasional's 12.7GW generation pipeline is expected to progressively rejuvenate its ageing power-generation fleet and strengthen generation earnings from 2028 onward, Affin Hwang IB analyst Isaac Chow says in a note. Strong electricity demand, driven increasingly by data centers, should support the company's long-term growth, with Peninsular Malaysia's peak demand projected to rise 48% to 33.5GW by 2035, he says. However, higher gearing, borrowing costs and regulatory uncertainty could limit near-term upside, he reckons. Chow thinks Tenaga absorption of 120 million ringgit-150 million ringgit in fuel-adjustment charges to be a one-off cost, though the precedent could weigh on sentiment. Affin Hwang maintains a hold rating on Tenaga and keeps its target price at 12.50 ringgit. Shares are 0.2% higher at 12.92 ringgit. (yingxian.wong@wsj.com)

2103 ET - Talent is emerging as a key constraint as Malaysia enters a stronger semiconductor cycle, potentially limiting how quickly companies can translate demand and investment into revenue and earnings, says Hong Leong IB analyst Toh Woo Kim in a note. His analysis shows employee attrition at local companies at 14%-26%, well above the 7%-10% at multinational companies in Malaysia and regional peers. About 84%-90% of hiring is estimated to replace departing workers, leaving net workforce growth at around 3%, excluding outsourced semiconductor assembly and testing companies. Younger workers account for most hires and departures, raising training costs and potentially slowing productivity, he reckons. Companies with lower attrition may have an execution advantage, while persistent churn could increase delivery risks, he adds. (yingxian.wong@wsj.com)

2058 ET - XPeng's 4Q deliveries should benefit from easing supply constraints for the Mona L03 and G9L, Deutsche Bank says. The bank forecasts 3Q revenue to rise 5% year-on-year to 21.4 billion yuan. However, it expects gross margin to fall 1.7 percentage points to 18.5% on a higher contribution from lower-margin Mona models and declining technical R&D services income. This could push net loss up 8% sequentially to 1.44 billion yuan. The bank maintains its buy rating and 84 Hong Kong dollar target price. Shares last closed nearly 1.0% higher at HK$37.86. (venkat.pr@wsj.com)

2022 ET - The economics of Liontown's Kathleen Valley--the first global large-scale, bulk underground lithium operation--don't look great, according to Jarden. It says that while "the cost base is still being established...it is much higher than consensus estimates reflect." The remarks follow updated project numbers alongside a final investment decision by Liontown. "While we hold the Kathleen Valley orebody in high regard (and equally LTR management for building a high-quality underground mine and processing plant), we have long questioned the economics of this highly capital-intensive extraction method for what is ultimately a low-grade, high-volume commodity," Jarden says. The bank has an underweight rating on the stock. It cuts its stock target to A$0.75 from A$0.88. Shares are up 5.1% at A$0.83, after losing 15% Thursday. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

2018 ET - Japanese stocks are lower following Thursday's sharp gains as concerns about higher energy costs continue. Tech, auto and pharmaceutical stocks are leading declines. SoftBank Group is down 3.6%, Honda Motor is 1.8% lower and Chugai Pharmaceutical is down 2.4%. The dollar is at 157.81 yen, compared with Y158.27 as of Thursday's Tokyo stock market close. Investors are closely watching developments in the Iran conflict, crude oil prices and bond yields. The Nikkei Stock Average is down 1.0% at 68263.52. (kosaku.narioka@wsj.com; @kosakunarioka)

2001 ET - Rio Tinto is the cleanest way to be long iron ore and cautious on copper while keeping exposure to growth in the base metal, Macquarie says. It upgrades the stock to outperform from neutral. "Rio is still iron-ore anchored (circa 50% of segment earnings for CY27), so it captures our view on a near-term recovery in the commodity, but it also has genuine, growing copper exposure," says the bank. Copper accounted for roughly 27% of group Ebitda in 2025, and could rise to about 36% by the end of the decade, it says. "Critically, it [Rio] has lagged BHP by circa 20% year to date, so investors buy iron ore leverage plus copper growth without paying BHP's copper 'tourist' premium," Macquarie says. It keeps a neutral rating on BHP. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

1948 ET - Greatland Resources gains a bull in Macquarie, which says the stock is now one of its key mid-cap picks in the Australian gold sector. The upgrade--to outperform from neutral--follows a weak share-price performance in recent months. "We think now could be an opportune time to revisit the investment thesis," says the bank, citing potential catalysts such as the possible sale of the O'Callaghans project and exploration updates at West Dome Underground. Still, Macquarie lowers its target to A$12.30/share from A$13.00/share. The bank cuts its 2027 gold-price forecasts, by 3% in U.S. dollar terms and 8% in Australian dollars. "Gold faces a less supportive macro backdrop, as higher real yields, sticky inflation and a stronger U.S. [dollar] increasingly challenge the rally," it says. Greatland ended Thursday at A$10.28. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)

1946 ET - Japanese stocks may decline following Thursday's sharp gains as concerns about higher energy costs continue. However, easing expectations for the Fed's further rate increases may provide support. Nikkei futures are down 0.7% at 68385 on the SGX. The dollar is at 157.87 yen, compared with Y158.27 as of Thursday's Tokyo stock market close. Investors are focusing on developments in the Iran conflict, crude oil prices and bond yields after The Wall Street Journal reported that the Pentagon is sending a third aircraft carrier to the Middle East. The Nikkei Stock Average rose 3.3% to 68956.72 on Thursday.