Equities Update: Foxtons, Unilever, Fresnillo, Tesla, Alphabet, ASOS…

Foxtons revenue surges on stamp duty rush

Adam Vettese, market analyst at eToro says: “With a backdrop of house prices at record highs in the UK, buyers seem to be anything but put off as they rush to beat the April stamp duty hike and in turn, Foxtons has seen revenue surge by 24%. The under-offer pipeline is at its strongest since the 2016 Brexit vote as cooling interest rates have seen home buyers start to shift from the staying-put stance we have seen in recent times.

“It’s fair to say that this quarter will be a one-off and the trajectory of further interest rate cuts will be a telling indicator as this pre-stamp duty rush loses steam. Shares have seen modest gains this morning, likely for this reason. Investors eyeing up a UK property market recovery will be looking to see if Foxtons can regain levels seen around the turn of the year, albeit still a long way off historical highs.”

Fresnillo sees silver production drop in precious metal bull market

Mark Crouch, market analyst at eToro says: “Fresnillo shares slipped this morning following an underwhelming production update from the world’s largest silver miner. Despite the fervour currently gripping the precious metals market, silver output fell nearly 10%, though this was partially offset by a rise in gold production.

“After a muted 2024, Fresnillo shares have unearthed serious momentum in 2025, rallying over 50% in recent months, despite today’s dip. The question now is whether this precious metals rally still has room to run. Fresnillo shares remain well below their 2011 highs, but the backdrop is far more favourable. Energy prices, typically a drag on miners’ margins, have collapsed, creating the kind of margin expansion miners dream of. Adding to the tailwinds is a weaker dollar and a strong peso, which helps lower operating costs for the Mexico-based producer.

“Factor in a historically high gold-to-silver ratio, suggesting silver has plenty of room to shine, and it’s easy to see why investors are giving the sector another look. Fresnillo’s special dividend late last year, its first in over a decade, is another good sign. In a shaky market, precious metals miners like Fresnillo may just be the motherlode investors have been digging for.”

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.

Alphabet earnings preview

Josh Gilbert, market analyst at eToro says: “It answers billions of searches daily, powers the world’s biggest video platform, dominates online advertising, and is making a massive push into AI and even self-driving cars; Alphabet is everywhere. The tech giant hands down Q1 earnings after the bell on Thursday in the US, and investors will be laser-focused on Google Cloud growth, centred around its AI push from its Gemini Model.

“Investors want evidence that generative AI features, from Gemini-powered answers in search to AI writing tools in workspace, can boost enterprise engagement and how these AI innovations will translate into monetisation.

“Google Cloud remains Alphabet’s growth engine, expected to post roughly 25-30% revenue growth year-on-year, faster than Microsoft’s Azure or Amazon’s AWS. This momentum is crucial to justifying Alphabet’s USD$75 billion investment in AI throughout 2025, which investors hope will be the rocket fuel for cloud dominance rather than a costly misstep. After a slight slowdown in cloud sales last quarter, investors will look for reassurance that demand is staying robust.

“However, advertising still provides the bulk of Alphabet’s revenue, so search and YouTube ad performance will be key. The focus here will be whether Google can defend its ad dominance as competition continues from Amazon, TikTok and Meta.

“Alphabet shares are down 20% year-to-date, and it remains the cheapest Magnificent Seven stock, trading at just 17x forward earnings. That’s lower than that of Coca-Cola, which trades at 25x earnings, making shares look pretty compelling at current levels, especially if it can continue to deliver cloud growth. Alphabet is currently the seventh most-held stock by local retail investors on the eToro platform, experiencing a 7% QoQ increase in global holders in Q1.

“Wall Street forecasts revenue of USD$89 billion (11% YoY growth) and $2.01 in earnings per share. Alphabet has topped estimates in its last eight earnings results, but shares have only risen three times out of the eight the day following the result. This tells us just how vital cloud growth is compared to earnings growth for investors.

“With its dominant ad business, strong AI positioning, and discounted valuation, Alphabet remains a stock for investors to watch. While regulatory risks and AI competition shouldn’t be ignored, its colossal $96 billion balance sheet positions it well for long-term growth.”

ASOS profitability surges as turnaround strategy makes progress

Adam Vettese, market analyst at eToro says: “Despite total revenue declining, ASOS has made strides in its profitability transformation with EBITDA up £60m year on year. Fixing issues with distribution as well as ditching a high markdown strategy is paying off, with margins benefitting from more clothing being sold at full price. Stacking it high and selling it cheap led to huge stock and returns issues, but inventory is now improving as well.

“However, the market does not seem to have received the results well this morning, with shares trading 7% lower and this demonstrates that ASOS still has a lot further to go. Whilst there are undoubtedly some improvements, issues still remain and uncertainty surrounding tariffs will also be playing a part. Shares are a fraction of their once lofty heights and it won’t be an overnight fix at ASOS, but investors who believe the turnaround strategy will continue to show progress may see this morning’s discount as an opportunity.”

Unilever delivers resilient update after doubling down on “Power Brands”

Mark Crouch, market analyst at eToro, says: “Unilever has remained steadfast in the face of a basket of headwinds hitting the retail sector in recent months. The consumer goods giant reported a 3% increase in sales for Q1 and remains on track to deliver its full-year sales growth target of 3–5%.

“Maintaining customer loyalty has been crucial for Unilever with pricing playing a key role in driving growth. The company’s strategy of doubling down on its so-called “power brands” like Dove and Vaseline, while trimming away lesser-known names and spinning off its ice cream business, will generate significant savings while easing pressure on margins. However, it remains to be seen whether this more conservative approach will offer the growth prospects long term investors have been used to.

Nonetheless, Unilever has shown that brand strength can still carry weight on the shelf and with demand expected to remain soft through 2025, Unilever has battened down the hatches, carving out a leaner, more resilient operation.”