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Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action, news, and analysis. Good afternoon. Today is Tuesday, June 3rd, and I'm your host, Kim Kahn. Our top story so far. It's studio head Barbie, and it comes with her very own green light.
Toymaker Mattel has announced the formation of Mattel Studios, combining its film and television units to form the new entity as it looks to produce entertainment driven by its brands. Mattel Films president Robbie Brenner, who joined the company in 2018, was named president and chief content officer of the combined unit. She will report to the company's chairman and CEO, Enon Kreese.
Kreese says,
For investors, the creation of Mattel Studios could create extra value as a potential spinoff candidate in the future. Among active stocks, Dollar General is popping after beating Q1 estimates and increasing its full-year guidance, but management stress the tariff environment remains, quote, highly dynamic. Looking ahead, the retailer sees full-year comparable sales growth of 1.5% to 2.5% versus prior outlook for 1.2% to 2.2%.
EPS of 520 to 580 is anticipated for the full year, midpoint 550, versus 561 consensus, and a prior outlook of 510 to 580. Philip Morris International reaffirmed its full year 2025 EPS guidance ahead of a presentation at the Deutsche Bank Global Consumer Conference in Paris.
During the presentation, management said the company is on track for a strong first half and full year performance and is well positioned to navigate external volatility. Philip Morris said it's increasingly deploying a multi-category strategy across markets with premium smoke-free alternatives, ICOS, ZIN, and VEVE.
Chinese EV maker NIO's Q1 net loss widened 30.2% to 6.75 billion renminbi, and its operating loss rose 19% to 6.42 billion renminbi. That came despite vehicle deliveries rising 40.1% to 42,094 units, with the Anvo brand contributing 35% of total deliveries.
CEO Wenbin Li's statement noted that 2025 is a pivotal year for NIO's product launch and technological innovation. And Consolation Energy is rallying after unveiling an agreement to sell power to meta-platforms from an operating Illinois nuclear plant for 20 years, as artificial intelligence sends power demand soaring.
Constellation said the agreement supports the relicensing and continued operations of its Clinton Nuclear Facility in Illinois for another two decades starting in June 2027, after the state's ratepayer-funded zero-emission credit program expires. In other news of note, Hims & Hers Health says it's buying European digital health platform Zava as part of the company's global expansion drive. The terms of the all-cash deal were not disclosed, but shares are moving higher.
The move is expected to expand the company's presence in the UK and officially launch into Germany, France, and Ireland. Kims & Hers also expects entering into more markets soon. The company said it's set to establish its own branded presence, leveraging the Zava platform, in each of the European markets in the coming quarters. The deal is expected to be accretive by 2026. And in the Wall Street Research Corner, Deutsche Bank says the durability of the recent tech rally remains in question.
As before, Magnificent 7 performance will likely serve as a barometer for broader risk sentiment, strategists said. Last month, the MAG-7 rose 13%, making it the best month since May 2023. However, tech could once again come under pressure given renewed trade tensions with China and the overall tariff uncertainty.
Trade policy remains a key risk. A prolonged standoff could undermine global trade momentum and fuel macro volatility, especially via pre-tariff inventory and import distortions, they said. Investor confidence may weaken amid erratic policy signals and May's Moody's downgrade. The U.S.'s ability to fund its twin deficits could come under greater scrutiny. The MAG-7 performance divergence remains a key U.S. resilience indicator. Deutsche Bank looks for the S&P to reach 6550 by year-end.
Thanks for listening, and a shout out to new friend of the podcast, Hazel. That's all for today's Wall Street Lunch. Look for links for stories in the show notes section. Don't forget, these episodes will be up with transcriptions at SeekingAlpha.com slash WSB. And join the highest level discussion of any stock or ETF with our community of serious investors like you. Find us at SeekingAlpha.com slash subscriptions.