Deliveroo orders grow as company builds on first profit

 

Adam Vettese, market analyst at eToro, says: Hot on the heels of reporting its first-ever full year profit this month, Deliveroo has seen orders outpace the same period last year as the company looks to build on this milestone.

Deliveroo has maintained its guidance for the year as it continues to invest back into its loyalty schemes in order to cultivate a sticky customer base, especially with intense competition from the likes of Uber Eats and Just Eat.

Macroeconomic conditions still carry a degree of uncertainty, and when times are tough, splashing out on a Saturday night takeaway might not fit into the household budget anymore. That said, Deliveroo has other verticals such as grocery deliveries to offset some of that risk.

Shares have reacted better this morning than they did a month ago, but are still offside for the year. Investors will be hoping for more of the same, if not better, as the year goes on, with the aim of seeing the share price regain some ground lost at the back end of last year.

 

 

Sainsbury’s grocery gains tested by inflation and hungry rivals

 

Mark Crouch, market analyst at investment platform eToro comments: After putting the majority of its eggs back in the grocery basket, Sainsbury’s renewed focus on what made it a dominant supermarket force has largely paid off. However, sticky inflation and a brutal price war are beginning to test the retailer’s resilience. Despite achieving record market share in 2024, early signs in 2025 suggest that grip may be starting to loosen, with budget rivals like Aldi and Lidl hoovering up any cost-conscious customers – and there’s no shortage of them.

Sainsbury’s Taste the Difference range continues to resonate with shoppers, helping push profits up more than 7%. But with inflation proving stubborn and rivals hungry for a fight, the company will need to stay razor-sharp to defend its margins. Aggressive cost-cutting has been front and centre, and shareholders will no doubt be keeping a close eye on Argos, which continues to be a drag on earnings. So while Sainsbury’s second-place spot in the UK’s supermarket league isn’t under immediate threat, the chasing pack is closing in — and fast.

 

 

ECB cut rates to 2.25% as tariffs dampen growth outlook

 

 

Lale Akoner, Global Market Analyst at eToro says: “The European Central Bank (ECB) has cut interest rates by 25 basis points, bringing the deposit rate to 2.25%, as widely expected. Yet the biggest surprise was that the ECB is no longer describing monetary policy as “restrictive” in its statement, even though they did not say we have moved into “neutral” territory.

 

“This shift suggests that rate cuts may continue amid heightened policy uncertainty due to tariff decisions from the US and impact on European growth. Given rising global policy uncertainty, the ECB is expected to take a more data-dependent approach, similar to the Fed’s stance.

 

“Still, while tariffs pose downside risks to growth, increased European defence and infrastructure spending could provide some offset. If widening deficits threaten debt sustainability, the ECB may need to restart large-scale bond purchases via its Transmission Protection Instrument.”

 

Tesla Q1 earnings preview

 

 

Josh Gilbert, Market Analyst at eToro says: It’s been a rollercoaster 2025 for Tesla shareholders, and we’re only four months in. Shares are down 44% year to date, making it the worst-performing Magnificent Seven stock.

Investors have started to lose patience with the EV giant due to poor vehicle deliveries, auto tariffs and visionary CEO, Elon Musk, taking his eye off the ball from Twitter to SpaceX to DOGE. This has fuelled consumer backlash, with reports of protests at Tesla showrooms and declining brand loyalty in key markets.

 

Tonight, Tesla reports its Q1 earnings in the US – and Elon Musk will need to step up if Tesla shares are to shift out of reverse in 2025. The market is expecting earnings of USD$0.44 and revenue of USD$21.43 billion. Tesla has only beaten earnings expectations twice in its last eight earnings results with both those beats seeing a 12% and 22% gain the day following earnings.

Three key areas investors should watch:

  • Investors need clarity on how 25% US auto tariffs will affect Tesla. Comments from management will be important. While Tesla’s US and China-based production reduces exposure to tariffs compared to other automakers, retaliatory tariffs from China could pose a threat.
  • Musk’s involvement with DOGE, advising the Trump administration, is a double-edged sword. Some investors hope his ties to Trump could protect Tesla from the worst tariffs, but this risks alienating Chinese consumers, who drove over 20% of Tesla’s 2024 revenue in the world’s largest EV market. Consumers have already begun to move to rival BYD, and if that continues, it could severely impact sales. Will Musk scale back DOGE to refocus on Tesla or deepen his political ties? His stance will be critical.
  • Finally, investors will want to hear about the rollout of the new, cheaper models that Tesla has been promising for years. This is likely to be a key driver of growth moving forward, with Musk calling it a ‘game changer’, so concrete timelines will be massive. Other key updates to focus on include full self-driving (FSD) adoption globally and the rollout of robotaxi.

Ultimately, Musk needs to deliver some magic and step up to the plate. He’s done it many times before, but this feels like a crucial moment for Tesla. We’ll know more after tonight’s earnings, but these three areas will be huge in Tesla’s 2025 comeback or continued struggle.



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