European shares lost ground on Friday as investors navigated persistent uncertainty about potential disruptions from new artificial intelligence models and parsed a string of uneven corporate results.
The pan-European STOXX 600 index was trading 0.3% lower at 616.58 points as of 0821 GMT, leaving it poised to finish the week essentially flat. The trading week featured intermittent volatility as market participants tried to assess how recent AI developments might affect the established operations of logistics firms, insurers, software companies and asset managers.
Corporate news added to the cautious mood. French cosmetics group L’Oreal fell 6.6% after its fourth-quarter sales growth came in below expectations. The decline in L’Oreal weighed on the wider personal and household goods sector, which retreated 1.2% and led sectoral losses across the benchmark.
Delivery Hero dropped 8.7% after a European trader said the food-delivery company reported mixed results from its Middle East unit. In contrast, aircraft and engine supplier Safran climbed 7% after the company issued a forecast for higher revenue and earnings in 2026.
U.S. networking equipment maker Cisco Systems also influenced sentiment after reporting disappointing gross margins, a development that contributed to broader market jitters.
The week’s market moves reflected an attempt by investors to balance near-term corporate performances against the prospect that newer AI models could reshape competitive positions in several sectors. That assessment remains central to how portfolios are being positioned as firms disclose results and update outlooks.
Separately, an investment research product referenced in market commentary evaluates L’Oreal against a wide universe of companies using more than 100 financial metrics and leverages machine-driven analysis to surface potential stock ideas. The product’s description notes it examines fundamentals, momentum and valuation to identify opportunities based on current data.
Market snapshot:
- STOXX 600: down 0.3% at 616.58 points as of 0821 GMT
- L’Oreal: down 6.6% after weaker-than-expected Q4 sales growth
- Delivery Hero: down 8.7% following mixed results from its Middle East unit
- Safran: up 7% after raising its 2026 revenue and earnings forecast
- Cisco Systems: added to market unease after disappointing gross margins