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EMERGING MARKETS-Mexican peso dips, other Latam FX steady with focus on trade talks at G20
June 24 (Reuters) - The Mexican peso dipped on Monday while other Latin American currencies steadied as investors refrained from making big bets before this week's G20 summit where the presidents of the United States and China are expected to discuss their trade disputes. The Mexican peso dipped after data showed consumer prices rose 0.01% during the first half of June, while economists polled by Reuters had forecast a 0.08% rise. Another set from the national statistics agency showed Mexico's economy grew 0.1% in April from March and contracted 1.4% from April of 2018. The numbers pointed to concerns highlighted by Mexico's central bank last month when it cut the growth forecast for the fourth time in 2019. Brazil's real edged lower as investors tracked developments around pension reforms, with the congressional committee's vote on a revised bill scheduled for Wednesday. Data on Monday showed Latin America's No. 1 economy posted lower-than-expected current account surplus and foreign direct investment in May. Despite the slight dip, the currency held near a three-month high following its biggest weekly gain since late May, aided by signs from the U.S. Federal Reserve about possible interest rate cuts and revival of U.S-China trade talks. Most other currencies including Colombian and Chilean pesos steadied, with investors worldwide waiting to see if U.S. President Donald Trump and Chinese President Xi Jinping can curtail a trade war that is damaging the global economy. The leaders will meet during the June 28-29 G20 gathering in Japan. The meeting would loom over the markets this week and could reduce optimism in emerging markets, Morgan Stanley analysts said in a note. "No deal that results in tariff escalation would not be taken well of course, but no deal and a commitment to continue talks should be manageable," the note said. Sao Paulo-traded stocks gained about 0.5%, helped by gains in the banking sector, while Mexican stocks rose 0.2%. Latin American stock indexes and currencies at 1419 GMT: Stock indexes daily % Latest change MSCI Emerging Markets 1052.94 -0.03 MSCI LatAm 2883.12 0.13 Brazil Bovespa 102489.32 0.47 Mexico IPC 43687.11 0.37 Chile IPSA - - Argentina MerVal - - Colombia IGBC 12695.08 0.53 Currencies daily % change Latest Brazil real 3.8191 0.11 Mexico peso 19.1565 -0.20 Chile peso 683.6 0.01 Colombia peso 3189 0.41 Peru sol - - Argentina peso - - (interbank) (Reporting by Sruthi Shankar in Bengaluru; editing by Grant McCool) |
How Gregory Fishman Florida Developed His Business Mind For Resolvly
BOCA RATON, FL / ACCESSWIRE / June 24, 2019 /Gregory Fishman, the president and CEO of Resolvly, has been working hard to make debt relief a reality for individuals around the United States. In the last few years, he has been able to transform the company into one of the major leaders for people who are struggling with debt.
Building up for this moment in leading Resolvly is something that took a lot of time. Fishman has worked with a number of successful businesses, and his ability to use some of the skills he learned then for now has really benefited the company.
Fishman early on
Throughout his life, Fishman has been someone who believes in hard work being able to trump everything else. He initially broke into the business world with a chemical manufacturing company. He started out in sales, and later became Vice President of National Interchem.
After many years with the company, he eventually purchased Interchem and continued to grow the company. His rise to the top was definitely a very courageous experience. Starting out as a relatively unknown person, he was able to teach himself in many ways how to properly run a business.
How Interchem led to Resolvly
After spending decades with Interchem, Fishman did not directly jump into Resolvly. He decided to work with another debt relief company in the industry early on called a GHS Solutions. Although he saw a lot of positives in the company, he realized that he wanted to do things a little bit differently. With just a few tweaks, it seemed like Resolvly could be a company that could help to revolutionize the industry. It was intriguing enough for him, and that is why he jumped on the opportunity to start his own company.
Resolvly principles
Hard work as a team was the main focus for Fishman early on when he launch Resolvly. With so many other options out there for people to turn to when they are struggling with that, it makes sense for him to approach things in a very welcoming manner.
Fishman believes that every single person out there wants to work with a company that really treats each client as an individual. Instead of looking at each new person as just another way to make money, every employee is encouraged to develop a relationship and answer questions for clients as much as possible.
In one way or another,Greg Fishman Boca Raton Floridabelieves that every single person has been in the same situation as a person who is looking for debt relief online. Maybe some employees have actually had those issues in the past. Just needing some type of help or assistance when things are down is something that most people can relate to. By personalizing the experience, Fishman believes that he stands out from the rest with Resolvly.
Future plans with Resolvly
With a number of options for different types of debt relief out there, Resolvly has been able to grow quite a bit in just a few short years. With that being said, Fishman still sees a lot of opportunities for growth. He always wants to find ways to speed up the process, and also make it more hands off for people who need assistance.
Another focus for Fishman in the future is to just have everyone on staff be as knowledgeable as possible on all the different things involving death. A person should know their rights, And they should never feel like they are being harassed. It's a never ending quest for Fishman to get Resolvly at an even higher level. Going off of his past, he will not be stopping any time soon.
CONTACT:
contact@gregfishman.com
SOURCE:Gregory Fishman
View source version on accesswire.com:https://www.accesswire.com/549260/How-Gregory-Fishman-Florida-Developed-His-Business-Mind-For-Resolvly |
W.R. Berkley Up 36% Year to Date: What's Aiding the Stock?
W.R. Berkley WRB shares have gained 35.7% year to date, outperforming the industry's rise of 4.6% and the Zacks S&P 500 composite’s increase of 16.4%. With market capitalization of $12.2 billion, average volume of shares traded in the last three months was 0.5 million. In fact, shares of the company hit a new 52-week high of $67.46 in the last trading session. What’s Behind the Upside? W.R. Berkley’s return on equity is 10.2%, better than the industry average of 7.1%. This reflects the company’s prudent usage of its shareholders’ funds. The company also rewards its shareholders with dividend hike and special dividend, reflecting effective capital deployment. The recent 10% hike in dividend and 50 cents in special dividend mark the 14th consecutive dividend increase and 10th special dividend. Its dividend yield of nearly 0.7% betters the industry average of 0.4%, making it an attractive pick for yield-seeking investors. W.R. Berkley delivered positive earnings surprise in the last seven quarters, reflecting operational excellence. Will the Rally Continue? W.R. Berkley should continue to benefit from increasing contribution from insurance business. Several new startups in varied business lines including healthcare, cyber security, energy and agriculture, and growing international markets, including the Asia-Pacific region, South America and Mexico provide diversification benefits. With pricing firming up in most business lines, it should lead to revenue growth. The company’s international business should continue to contribute steadily to its results. Premium growth in the international unit is mainly supported by the emerging markets of United Kingdom, Continental Europe, South America, Canada, Scandinavia, Asia and Australia. W.R. Berkley has a strong capital position with sufficient cash generation capabilities that help it deploy capital effectively and pursue growth initiatives. W.R. Berkley sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here . The Zacks Consensus Estimate for 2019 has been revised up by a cent in the past 60 days. The long-term expected earnings growth rate is currently pegged at 9%. Other Stocks to Consider Some other top-ranked property and casualty insurance stocks are Alleghany Corporation Y, Argo Group International Holdings, Ltd. ARGO and CNA Financial Corporation CNA. . Alleghany provides property and casualty reinsurance and insurance products in the United States and internationally. The stock sports a Zacks Rank #1. The company delivered positive surprise of 32.51% in the last reported quarter. Argo Group underwrites specialty insurance and reinsurance products in the property and casualty markets. The stock sports Zacks Rank #1. The company delivered positive surprise of 34.09% in the last reported quarter. CNA Financial provides commercial property and casualty insurance products primarily in the United States. The stock carries a Zacks Rank #2 (Buy). The company delivered positive surprise of 12.50% in the last reported quarter. More Stock News: This Is Bigger than the iPhone! It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020. Click here for the 6 trades >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CNA Financial Corporation (CNA) : Free Stock Analysis Report Alleghany Corporation (Y) : Free Stock Analysis Report W.R. Berkley Corporation (WRB) : Free Stock Analysis Report Argo Group International Holdings, Ltd. (ARGO) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research |
If You Like EPS Growth Then Check Out Motorpoint Group (LON:MOTR) Before It's Too Late
Want to participate in ashort research study? Help shape the future of investing tools and you could win a $250 gift card!
Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story stocks' without revenue, let alone profit. But the reality is that when a company loses money each year, for long enough, its investors will usually take their share of those losses.
In the age of tech-stock blue-sky investing, my choice may seem old fashioned; I still prefer profitable companies likeMotorpoint Group(LON:MOTR). While that doesn't make the shares worth buying at any price, you can't deny that successful capitalism requires profit, eventually. Loss-making companies are always racing against time to reach financial sustainability, but time is often a friend of the profitable company, especially if it is growing.
See our latest analysis for Motorpoint Group
If you believe that markets are even vaguely efficient, then over the long term you'd expect a company's share price to follow its earnings per share (EPS). That makes EPS growth an attractive quality for any company. Over the last three years, Motorpoint Group has grown EPS by 12% per year. That's a good rate of growth, if it can be sustained.
One way to double-check a company's growth is to look at how its revenue, and earnings before interest and tax (EBIT) margins are changing. Motorpoint Group maintained stable EBIT margins over the last year, all while growing revenue 6.8% to UK£1.1b. That's a real positive.
You can take a look at the company's revenue and earnings growth trend, in the chart below. To see the actual numbers, click on the chart.
In investing, as in life, the future matters more than the past. So why not check out thisfreeinteractive visualization of Motorpoint Group'sforecastprofits?
It makes me feel more secure owning shares in a company if insiders also own shares, thusly more closely aligning our interests. So it is good to see that Motorpoint Group insiders have a significant amount of capital invested in the stock. With a whopping UK£72m worth of shares as a group, insiders have plenty riding on the company's success. That holding amounts to 33% of the stock on issue, thus making insiders influential, and aligned, owners of the business.
It means a lot to see insiders invested in the business, but I find myself wondering if remuneration policies are shareholder friendly. Well, based on the CEO pay, I'd say they are indeed. For companies with market capitalizations between UK£79m and UK£315m, like Motorpoint Group, the median CEO pay is around UK£538k.
The Motorpoint Group CEO received UK£443k in compensation for the year ending March 2018. That comes in below the average for similar sized companies, and seems pretty reasonable to me. While the level of CEO compensation isn't a huge factor in my view of the company, modest remuneration is a positive, because it suggests that the board keeps shareholder interests in mind. It can also be a sign of a culture of integrity, in a broader sense.
One important encouraging feature of Motorpoint Group is that it is growing profits. Earnings growth might be the main game for Motorpoint Group, but the fun doesnotstop there. Boasting both modest CEO pay and considerable insider ownership, I'd argue this one is worthy of the watchlist, at least. Now, you could try to make up your mind on Motorpoint Group by focusing on just these factors,oryou couldalsoconsider how its price-to-earnings ratio compares to other companies in its industry.
Although Motorpoint Group certainly looks good to me, I would like it more if insiders were buying up shares. If you like to see insider buying, too, then thisfreelist of growing companies that insiders are buying, could be exactly what you're looking for.
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Top Ranked Growth Stocks to Buy for June 24th
Here are four stocks with buy ranks and strong growth characteristics for investors to consider today, June 24th:
TopBuild Corp.(BLD): This company that installs and distributes insulation and other building products, which carries a Zacks Rank #1 (Strong Buy), has witnessed the Zacks Consensus Estimate for its current year earnings increasing 12.6% over the last 60 days.
TopBuild Corp. price-consensus-chart | TopBuild Corp. Quote
TopBuild has a PEG ratio of 0.54 compared with 1.12 for the industry. The company possesses a Growth Score of B.
TopBuild Corp. peg-ratio-ttm | TopBuild Corp. Quote
Asure Software, Inc.(ASUR): This provider of cloud-based human capital management and workspace management solutions, which carries a Zacks Rank #1, has witnessed the Zacks Consensus Estimate for its current year earnings increasing 13.7% over the last 60 days.
Asure Software Inc price-consensus-chart | Asure Software Inc Quote
Asure Software has a PEG ratio of 0.57, compared with 1.61 for the industry. The company possesses a Growth Score of A.
Asure Software Inc peg-ratio-ttm | Asure Software Inc Quote
PCM, Inc.(PCMI): This multi-vendor provider of technology products and solutions, which carries a Zacks Rank #2 (Buy), has witnessed the Zacks Consensus Estimate for its current year earnings increasing 1.9% over the last 60 days.
PCM, Inc. price-consensus-chart | PCM, Inc. Quote
PCM has a PEG ratio of 0.47, compared with 1.61 for the industry. The company possesses a Growth Score of A.
PCM, Inc. peg-ratio-ttm | PCM, Inc. Quote
Xcel Brands, Inc. (XELB): This consumer products company, which carries a Zacks Rank #2, has witnessed the Zacks Consensus Estimate for its current year earnings increasing 29% over the last 60 days.
Xcel Brands, Inc price-consensus-chart | Xcel Brands, Inc Quote
Xcel Brands has a PEG ratio of 0.32, compared with 1.54 for the industry. The company possesses a Growth Score of A.
Xcel Brands, Inc peg-ratio-ttm | Xcel Brands, Inc Quote
See the full list of top ranked stocks here.
Learn more about the Growth score and how it is calculated here.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportXcel Brands, Inc (XELB) : Free Stock Analysis ReportPCM, Inc. (PCMI) : Free Stock Analysis ReportTopBuild Corp. (BLD) : Free Stock Analysis ReportAsure Software Inc (ASUR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research |
Meghan McCain says media is 'obsessed' with her marriage
Meghan McCain is speaking out after a journalist criticized her over controversial T-shirts her husband, Ben Domenech, is selling on The Federalist, the conservative media site he co-founded. Domenech, who married the View co-host in 2017, is peddling shirts that read “Kamala is a Cop,” a jab frequently thrown at presidential candidate Kamala Harris . But Joan Walsh, a correspondent for The Nation and CNN, found the “super-dirty” shirts to be in poor taste. Meghan McCain, middle, reacted to criticism aimed at husband Ben Domenech, left; both are pictured with Lisa Rinna. (Photo: Charles Sykes/Bravo/NBCU Photo Bank via Getty Images) She included McCain in her criticism, though it is unclear if she was calling The Federalist, or Domenech and his famous wife, “completely creepy.” Either way, she ended her message by tweeting, “Sorry, Meghan.” But wait, @MeghanMcCain 's husband @bdomenech is selling these t-shirts? Are they doing it because they support Kamala? Or they're just being trolls and gremlins? Whoa, I'm gonna really look into this because...it seems super dirty but please please tell me if I'm wrong about it. https://t.co/HcZIGo5cJI — Joan Walsh (@joanwalsh) June 24, 2019 I missed how completely creepy they have become. Sorry, Meghan. — Joan Walsh (@joanwalsh) June 24, 2019 CNN host S.E. Cupp objected to Walsh’s tweets, telling her to “just be kind” to McCain. Instead of apologizing to @MeghanMcCain on Twitter, there’s also a choice to just be kind to her in the first place. https://t.co/MtqCLo7xAk — S.E. Cupp (@secupp) June 24, 2019 McCain, meanwhile, stood up for herself by lashing out against “third-wave modern feminism” and the “liberal media,” which she accused of being “bizarrely obsessed by my marriage.” The Republican TV personality claimed “conservative couples” face more scrutiny and argued that it was unfair to blame her for Domenech’s politics because they are “not the same person.” Story continues The liberal media is so bizarrely obsessed by my marriage in a way that truly is only projected onto conservative couples. Do you really think your snarky tweet will impact my marriage? We went through my father’s brain cancer together. Bring your political issues up WITH HIM! https://t.co/SR6IBrgFQs — Meghan McCain (@MeghanMcCain) June 24, 2019 Do you hold Ben accountable for everything I say on @TheView ? I know this is a hard concept for some but we are not the same person, believe different things and love and respect each other’s differences. This is why I have no patience or place with third wave modern feminism. https://t.co/SR6IBrgFQs — Meghan McCain (@MeghanMcCain) June 24, 2019 Her reaction had many commenters trying to set her straight. Some pointed to the attention given to Bill and Hillary Clinton’s marriage, while others claimed that McCain is “complicit” in the controversies surrounding Domenech. You don’t think the media is ‘bizarrely obsessed’ with couples that aren’t conservative? Have you heard of the Clintons? — Nanci Martin (@NanciMartin) June 24, 2019 This may disappoint you Meghan, but the majority of us couldn't care less about your marriage! — Suebee (@suebee92054) June 24, 2019 Bill and Hillary Clinton would probably disagree with you here. Media is obsessed with celebrity couples period...no matter what political affiliation. — vydavis (@vydavis) June 24, 2019 Amazing that you somehow even managed to bring your father into this — Brandon Nichols (@Bnichols03) June 24, 2019 "Ben was stupid on this one" takes a whole lot less letters, Meghan. — Dana P (@blackhillslvr) June 24, 2019 You’re an adult who married a guy with views that are not just different, but disgusting, racist and homophobic. My wife and I disagree on things, but the things mentioned above are character things not minor differences. You’re complicit — Mitchell Fink (@themitchellfink) June 24, 2019 Many, including Walsh, also criticized McCain for blaming third-wave feminism. I love how @MeghanMcCain can’t answer a question without blaming someone else. — kim giordano (@supersinga) June 24, 2019 Everyone: Meghan: THIRD WAVE FEMINIIIIIISM!!!! pic.twitter.com/ejA9nizLqS — JustSomeChick (@Just_SomeChick) June 24, 2019 I don’t even think you know what constitutes third wave feminism. You’re flinging around labels to justify yourself without knowing what you’re saying — Nanci (@Nancikhogan) June 24, 2019 I just hate how third wave feminists are constantly asking people who funds their spouses' neoreactionary web sites, why can't they just respect decent Americans with normal limited government low spending pro life pro iraq war beliefs — Patrick Blanchfield (@PatBlanchfield) June 24, 2019 I don't know what Third Wave Feminism could possibly be but you benefit from "feminism" while railing against it. You would be home baking cookies without "feminism". Don't know why you can't see that. — Holly Christianson (@hrdiehl) June 24, 2019 Domenech, meanwhile, recently made headlines after “rage-tweeting” about late-night host Seth Meyers following the former Saturday Night Live star’s tense interview with McCain in early May. Read more from Yahoo Lifestyle: ‘Why is she Asian?’: Writer highlights problems with diversity in art by sharing criticism to a short story Fashion blogger calls out brands for ignoring black influencers Community furious after racist comments about Muslim sixth-graders' class photo surface online Follow us on Instagram , Facebook , Twitter and Pinterest for nonstop inspiration delivered fresh to your feed, every day. |
Organigram Receives Government Approval For 17 More Cultivation Rooms
Organigram Holdings Inc.(NASDAQ:OGI) is more than doubling its number of cultivation rooms after receiving approval from Health Canada.
The authorization will add 17 cultivation rooms to the cannabis producer's previously licensed 13, the company said Monday.
Why It Matters
The 17 additional rooms increase Organigram's annual production capacity by 14,000 kilograms, giving Organigram 61,000 kilograms of total output each year.
That total is slightly down from a previously projected 62,000-kilogram figure due to one room shifting to a later phase of the company's plans, Organigram said.
Organigram will now begin moving plants into the newly approved spaces. It expects to start harvesting product from the 17 rooms by the end of September.
Organigram's phase four expansion is expected to be complete by the end of this year.
"The expansion of our facility and production capacity will help ensure we have additional product for extraction for the launch of the edibles and derivatives market before the end of 2019," Organigram CEO Greg Engel said in a statement.
Need more cannabis news?Check out all of our coveragehere.
What’s Next
The company now plans to submit licensing amendments to Health Canada, which Organigram hopes will allow for approvals to continue on a continuous cycle. Phase 4B of the company's expansion has 33 rooms awaiting approval, the company said.
Related Links:
OrganiGram Applies For NASDAQ Listing
OrganiGram's Engel Looks Forward To 'Cannabis 2.0'
See more from Benzinga
• Valens Exec: Cannabis Oil Market Is Being 'Substantially' Underestimated
© 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved. |
Estonia warns of risks in wake of money laundering scandal
By John O'Donnell
FRANKFURT (Reuters) - Banks in Estonia have not yet plugged all the gaps in their money laundering controls, the Baltic state's regulator told Reuters, pledging to maintain a clampdown in the country at the center of one of Europe's biggest financial scandals.
Estonia's efforts to tighten money laundering controls at its banks follows a scandal at Danske Bank which has been ejected from the country after coming under investigation for 200 billion euros ($228 billion) of suspicious transactions that flowed through its Estonian branch.
Kilvar Kessler, Estonia's top bank supervisor, said he had also concluded an investigation of money laundering controls at Swedbank, as well as making checks on other lenders including SEB.
Kessler said his investigations had shown that, although there had been improvement in banks' attitude to money laundering, there were "still weaknesses in the control systems".
"Most of the risk is the past but some of the risk elements are still there," said Kessler, who heads financial watchdog, the Finantsinspektsioon. "We don't want to see sloppy banking here."
His comments underline the widespread scale of the problem that affected many banks in the Baltic state that had become a route for money leaving neighboring Russia.
A Swedbank spokeswoman said it was "fully cooperating with the authorities". An SEB spokesman said it had an ongoing dialogue with regulators and welcomed any review of its Baltic business.
Last week, Swedbank, which is under investigation by U.S. authorities, suspended two executives at its Estonian business. In April, it admitted to failings in combating money laundering.
Kessler said almost all banks in Estonia, which has a population of 1.3 million, had earlier dealt with foreign so-called "non-resident" customers, such as from Russia, but that this business had shrunk.
"It is not possible to do all the parties in the market at once," he said, outlining his efforts to clean up the sector. "There are a number of them. We have our priority list."
The scandal has tarnished the reputation of the tiny state, which has marketed itself as a digital hub, offering electronic residency cards to foreigners including Pope Francis.
The Danske case, which followed the sudden closure of ABLV bank in Baltic neighbor Latvia for money laundering discovered by U.S. authorities, prompted calls to tighten anti-money laundering rules.
Kessler appealed to bankers aware of wrongdoing to come forward.
He said bankers with a "dark conscience" should come clean. "If you have something to hide, maybe you will be treated in a milder way if you talk with us," he said. "If not, wait for the law enforcement (to come) knocking at your door."
Earlier this month, Estonia's Corruption Crime Bureau of the Central Criminal Police said they had detained three employees of Tallinn Business Bank, as part of an investigation into alleged money laundering and bribery.
Mati Ombler, who heads the Corruption Crime Bureau, said in a statement outlining the action that "illegal cash flows" were a threat to the country's reputation.
Igor Novikov, chairman of Tallinn Business Bank's management board, told Reuters by email that the investigation was directed at employees and not the bank itself.
"During (the) last 9-10 months, the number of accounts of non-residents has been decreased very substantially," Novikov said, referring to foreign customers. "Money laundering controls have been adjusted."
(Reporting By John O'Donnell. Editing by Jane Merriman) |
How Should Investors React To Motorpoint Group plc's (LON:MOTR) CEO Pay?
Want to participate in ashort research study? Help shape the future of investing tools and you could win a $250 gift card!
Mark Carpenter has been the CEO of Motorpoint Group plc (LON:MOTR) since 2013. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
See our latest analysis for Motorpoint Group
According to our data, Motorpoint Group plc has a market capitalization of UK£217m, and pays its CEO total annual compensation worth UK£443k. (This figure is for the year to March 2018). While we always look at total compensation first, we note that the salary component is less, at UK£250k. We looked at a group of companies with market capitalizations from UK£79m to UK£315m, and the median CEO total compensation was UK£538k.
That means Mark Carpenter receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.
You can see a visual representation of the CEO compensation at Motorpoint Group, below.
Motorpoint Group plc has increased its earnings per share (EPS) by an average of 26% a year, over the last three years (using a line of best fit). Its revenue is up 6.8% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's also good to see modest revenue growth, suggesting the underlying business is healthy. You might want to checkthis free visual report onanalyst forecastsfor future earnings.
Motorpoint Group plc has generated a total shareholder return of 21% over three years, so most shareholders would be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
Mark Carpenter is paid around what is normal the leaders of comparable size companies.
Shareholder returns could be better but shareholders would be pleased with the positive EPS growth. So considering these factors, we think the CEO pay is probably quite reasonable. Whatever your view on compensation, you might want tocheck if insiders are buying or selling Motorpoint Group shares (free trial).
Of course,you might find a fantastic investment by looking elsewhere.So take a peek at thisfreelist of interesting companies.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
“Dog The Bounty Hunter” Is Asking Fans To Pray For Wife Beth Chapman Who’s In A Medically Induced Coma
Photo credit: Darryl Oumi - Getty Images From Delish Duane "Dog" Chapman is asking fans to "please say your prayers for Beth right now." His wife, Beth Chapman, is in a medically induced coma, CBS reports. She and Dog are in Hawaii where Beth is being treated at Queen's Medical Center's intensive care unit. Beth underwent surgery to treat throat cancer in 2017. While successful, her cancer returned last year. She had another surgery in November to remove a tumor in her throat. This April, she was hospitalized again because of fluid in her lungs and underwent a procedure to relieve pressure. Duane tweeted to fans Saturday asking for prayers for Beth, then shared a news article written by Hawaii News Now . In a statement to the newspaper, the family "humbly ask everyone to please pray for Beth" and sent their "sincere thanks to everyone for their prayers throughout Beth’s battle with cancer." Please say your prayers for Beth right now thank you love you - Duane Dog Chapman (@DogBountyHunter) June 23, 2019 Only immediate family has been allowed to see Beth, a representative for the Chapman family said in a statement. Fans and friends have reached out to share their support on social media, though. Longtime friend Bobby Brown said this: BREAKING NEWS: My dear friend #DuaneDogChapman posted this PLEA for “US” all to #PRAYforBETH I DO, I have and I continue to #PRAY for my awesome FRIEND #BethChapman His life partner as she is in the HOSPITAL in induced #COMA . “WE” have been together since 1989. PRAYERS PLEASE. RT BREAKING NEWS: My dear friend #DuaneDogChapman posted this PLEA for “US” all to #PRAYforBETH I DO, I have and I continue to #PRAY for my awesome FRIEND #BethChapman His life partner as she is in the HOSPITAL in induced #COMA . “WE” have been together since 1989. PRAYERS PLEASE. RT https://t.co/pJIPJ5CDAn - Bobby Brown (@bobbybrown719) June 23, 2019 Dan Dotson of Storage Wars also sent out well wishes to the family. Story continues Prayers 🙏 for Beth Chapman and her family. She’s one tough lady that fights for the greater good. Let’s join together pray and believe that @MrsdogC will pull through and be back to her strong self soon #hope #faith @DogBountyHunter https://t.co/fMlXN6NT76 - Dan Dotson on A&E (@auctionguydan) June 23, 2019 We'll update this story as we know more. ('You Might Also Like',) Crave Carbs? We Created This 21-Day Keto Plan Just for You Insanely Easy Weeknight Dinners To Try This Week 29 Insanely Delicious Vodka Cocktails |
Gold is Now the Hottest Trade: ETFs to Add More Shine
Gold price skyrocketed near six-year high, topping the key level of $1,400 per ounce for the first time since 2013. Notably, Comex gold has gained almost $90 so far in June. With this, the gold futures market is on track for 6.5% gain in June after 1.6% rise in May. This would represent the best back-to-back monthly gains after the January-February 2017 period, when it rose more than 8% in total (read: ETF Winners & Losers Post Fed Meet).The rally was primarily driven by the Federal Reserve, which has signaled interest rate cuts as soon as next month. Lower rates will continue to weigh on the dollar against the basket of currencies, raising the yellow metal’s attractiveness as it does not pay interest like fixed-income assets.Additionally, the prospect of easing money policies from other major central banks also boosted the yellow metal. The combination of falling yields, global growth concerns and geopolitical tensions spurred demand for safe-haven assets, pushing up the price of gold. This is because gold is considered a great store of value and hedge against market turmoil. Gold has also been boosted by rising Middle East tensions after a U.S. drone was shot down by Iran's Revolutionary Guard this week (read: Iran Downs U.S. Drone: Sector ETFs & Stocks to Gain).
Given the bullish backdrop, Citigroup expects the metal to reach $1,500-$1,600 per ounce in the next 12 months, and $1,500 by end-2019. Further, the ultra-popularSPDR Gold Trust ETF GLD, with an asset base of around $35.9 billion and an average daily volume of around 7.8 million shares, has pulled in around $886 million in capital so far this month.In such a positive scenario, the appeal of gold ETFs is increasing. As a result, investors who are bullish on gold right now may want to consider a near-term long on the precious metal. Fortunately, with the advent of ETFs, this is quite easy as there are many options for accomplishing this task. Below, we highlight them and some of the key differences between each:ProShares Ultra Gold ETF UGLThis fund seeks to deliver twice (2x or 200%) the return of the daily performance of gold bullion in U.S. dollars; the gold price is fixed for delivery in London. The product makes a profit when the gold market moves upward and is suitable for hedging purposes against rising gold prices. The product charges 95 bps in fees a year and has amassed $83.7 million in its asset base. Volume is light at around 70,000 shares per day (read: Gold Surges to 14-Month High: ETFs to Tap).DB Gold Double Long ETN DGPThis ETN seeks to deliver twice the return of the daily performance of the Deutsche Bank Liquid Commodity Index Optimum Yield Gold. DGP initiates a long position in the gold futures market, charging 75 bps in fees per year from investors. It has accumulated over $96.8 million in its asset base so far and trades in average daily volume of 26,000 shares.VelocityShares 3x Long Gold ETN UGLDThis product provides three times (3x or 300%) exposure to the daily performance of the S&P GSCI Gold Index Excess Return plus returns from U.S. T-bills net of fees and expenses. The ETN has been able to manage an asset base of $125.9 million, while charging investors a higher fee of 1.35% annually. The note trades in lower volume of around 85,000 shares a day on average.Bottom LineIt is clear that buying pressure has been intense for gold and that the recent trend is extremely favorable for the commodity given negative global sentiments and a dovish Fed. Additional buying could be in the cards if the United States and China fail to strike a deal later this week and send the stock market into a tailspin. This situation will compel investors to remain focused on precious metals as a store of wealth and hedge against market turmoil.However, investors should note that since the above-mentioned products are extremely volatile, these are suitable only for traders and those with high-risk tolerance. Additionally, the daily rebalancing – when combined with leverage – may make these products deviate significantly from the expected long-term performance figures (see: all the Leveraged Commodity ETFs here).Still, for ETF investors who are bullish on gold for the near term, either of the above products could make an interesting choice. Clearly, a near-term long could be intriguing for those with high-risk tolerance, and a belief that the “trend is the friend” in this corner of the investing world.Want key ETF info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportDB GD 2XL (DGP): ETF Research ReportsVelocityShares 3x Long Gold ETN linked to the S&P GSCI Gold In (UGLD): ETF Research ReportsProShares Ultra Gold (UGL): ETF Research ReportsSPDR Gold Shares (GLD): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment ResearchWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report |
Does Motorpoint Group plc's (LON:MOTR) CEO Pay Matter?
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In 2013 Mark Carpenter was appointed CEO of Motorpoint Group plc (LON:MOTR). First, this article will compare CEO compensation with compensation at similar sized companies. Then we'll look at a snap shot of the business growth. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for Motorpoint Group
According to our data, Motorpoint Group plc has a market capitalization of UK£217m, and pays its CEO total annual compensation worth UK£443k. (This is based on the year to March 2018). We think total compensation is more important but we note that the CEO salary is lower, at UK£250k. We examined companies with market caps from UK£79m to UK£315m, and discovered that the median CEO total compensation of that group was UK£538k.
So Mark Carpenter is paid around the average of the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
You can see a visual representation of the CEO compensation at Motorpoint Group, below.
Motorpoint Group plc has increased its earnings per share (EPS) by an average of 26% a year, over the last three years (using a line of best fit). In the last year, its revenue is up 6.8%.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Shareholders might be interested inthisfreevisualization of analyst forecasts.
With a total shareholder return of 21% over three years, Motorpoint Group plc shareholders would, in general, be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
Remuneration for Mark Carpenter is close enough to the median pay for a CEO of a similar sized company .
Shareholder returns could be better but shareholders would be pleased with the positive EPS growth. So upon reflection one could argue that the CEO pay is quite reasonable. Shareholders may want tocheck for free if Motorpoint Group insiders are buying or selling shares.
Of course,you might find a fantastic investment by looking elsewhere.So take a peek at thisfreelist of interesting companies.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Schoolgirls petition McDonalds and Burger King to remove plastic toys from childrens meals
A couple of schoolgirls are petitioning McDonald's and Burger King to remove plastic toys from meals offered to children on their menus. Ever since the McDonald's Happy Meal was launched in 1979, children across the world have devoured fast food meals while receiving a small, plastic toy in tow. However, according to sisters Ella and Caitlin McEwan, it's time to put the practice to a stop. On Monday 24 June, the nine-year-old and seven-year-old are due to appear on the BBC One programme War on Plastic with Hugh and Anita to discuss an online petition that they launched against McDonald's and Burger King. First created eight months ago, the sisters wrote in the Change.org petition that they want the fast food chains to "think of the environment" and cease providing children with plastic toys at the fast food chains. "We like to go to eat at Burger King and McDonalds, but children only play with the plastic toys they give us for a few minutes before they get thrown away and harm animals and pollute the sea," they wrote on the petition. "We want anything they give to us to be sustainable so we can protect the planet for us and for future generations." Ella and Caitlin explained that they'd been learning about plastic pollution in school, and how the improper throwing away of plastic causes damage to the environment. The sisters stated that rather than making plastic toys that can be recycled, companies should invest in toys manufactured from materials other than plastic. The schoolgirls' petition has amassed more than 168,000 signatures, more than three quarters of the 200,000-signature target. The environmental campaigners said it was "scary" appearing on the BBC One programme. However, they hope their appearances on the show will help their petition garner more signatures and encourage McDonald's and Burger King to "make some lasting changes". Three months ago, the sisters shared a response they received from Burger King with regards to their campaign. Story continues The response stated that their comments had been passed onto the company's management team with the hope that they can "make some changes in the future". The schoolgirls said that they received an automated response from McDonald's. McDonald's recently announced plans to remove plastic lids from its McFlurry ice creams and single-use plastic from its salad bowls in the UK in an effort to become more environmentally friendly. "It's the latest step in our sustainability journey," said Beth Hart, supply chain director of McDonald's UK and Ireland. "We are committed to listening to our customers and finding solutions with our suppliers that work for them. This is the latest example of that but by no means the end." Single-use plastic is being removed from McDonald's salad bowls from this week, while the removal of plastic lids from McFlurry ice creams will come into effect from September. |
Huawei: 'No doubt' that we will meet German 5G security standards
By Douglas Busvine
BERLIN (Reuters) - Huawei, the Chinese technology and telecoms group hit by U.S. sanctions, said on Monday it was confident of meeting the security requirements that Germany is setting for its fifth-generation mobile networks.
The upbeat comment, by Huawei's Germany chief technology officer Werner Haas, comes as the country's telecoms and cyber watchdogs hone security criteria that vendors such as Huawei will have to fulfil to gain certification.
Germany has just completed a 6.5 billion euro ($7.4 billion)auction of 5G spectrum that can, for example, run "smart" factories, setting the stage for Huawei and rivals Ericsson and Nokia to vie for billions in deals.
"We expect there to be good and pragmatic (security) solutions - and we have no doubt that we will fulfil them," Haas told reporters in Berlin.
U.S. President Donald Trump's administration has targeted Huawei as part of his broader drive to rebalance trade with China, last month imposing export controls on the Shenzhen-based global networks market leader.
That measure has forced key Western suppliers, such as UK-based chip designer ARM, to curb deliveries and led Huawei's founder, Ren Zhengfei, to warn that revenue could take a $30 billion hit this year as a result.
LEVEL PLAYING FIELD
In Germany, Europe's largest economy, the government and regulators have, after lengthy debate, spurned U.S. calls to banish Huawei on national security grounds.
Instead, they have set a level playing field for all foreign vendors, requiring them to meet key technical criteria - such as strong encryption of sensitive information, or whether a network is robust enough to withstand sabotage.
These technical criteria, sketched out in March, are still being refined. A further requirement for vendors to be deemed "trustworthy" to win certification is also under discussion, and was raised by Economy Minister Peter Altmaier in China last week.
One concern in the West has been a Chinese intelligence law that requires citizens and companies to aid the state in espionage investigations. Huawei founder Ren has said that no law required his company to install so-called backdoors that could be used for spying.
Haas said Huawei, which has long-standing supplier relationships with Deutsche Telekom, Vodafone and Telefonica Deutschland, was already well known in Germany as a secure, safe and reliable partner.
He also pushed back against U.S. assertions that backdoors in networks were an issue. Instead, he said, it was vital for vendors and operators to make sure that the billions of devices and sensors that will be connected to the so-called Internet of Things are safe.
"Those are the greatest challenges," said Haas.
($1 = 0.8778 euros)
(Reporting by Douglas Busvine; editing by David Evans) |
Mattel Launches Hot Wheels Mario Kart Cars to Drive Sales (Revised)
Mattel, Inc.MAT and Nintendo NTDOY are entering a partnership, where they are globally launching a new line of Hot Wheels Mario Kart die-cast vehicles and track sets. Starting in summer 2019, these cars and track sets will be available at retailers in select markets.
These cars are 1:64 scale replicas of the iconic Mario Kart characters. Additionally, Hot Wheels is developing tracks for these cars to race around. The three game-inspired sets, which are being launched, include Piranha Plant slide track set, Thwomp Ruins track set and Hot Wheels Mario Kart track set. On the first release, there will be cars for Mario, Yoshi, Luigi and Bowser, with additional characters coming later such as Princess Peach, Koopa Troop and Toad.
Mattel has been evidently pressing ahead with its Hot Wheels category of late. The company recently launched Hot Wheels id, which features Smart Track, Race Portal and Hot Wheels id vehicles. Also, the new Hot Wheels id provides users a mixture of digital and physical play. Users can now track speed, count laps and have a virtual garage.
Why is Mattel Focusing on Enhancing Hot Wheels?
As is known, Mattel has been struggling with a dismal top-line performance for quite some time now. In order to revive sales, the company is continuously trying to focus on innovation and product launch. Particularly, it is building strong product lineup for its core and licensed brands. Owing to its popularity among children, the company’s premier brand like Hot Wheels has been the category leader in multiple product segments for several years.
In the first quarter of 2019, gross sales at the Hot Wheels brand increased 4% on a reported basis and 9% in constant currency, courtesy of Hot Wheels' 50th anniversary. Also, in 2018, worldwide gross sales for the brand were up 9% and reached highest annual sales in its 50-year history. Global POS were also up by a high-single digit for the year.
Bottom Line
We believe that the launch of the Hot Wheels Mario Kart die-cast vehicles will help Mattel combat its long-standing trend of declining sales. Notably, the company has not been able to revive sales yet despite undertaking innumerable strategies.
Mattel, like Hasbro HAS and JAKKS Pacific JAKK, is expected to keep shouldering the Toys ‘R’ Us liquidation effect in the near term. In fact, owing to the liquidation, Mattel’s net revenues in the first quarter of 2019 declined 3% year over year.
Meanwhile, a look at the company’s price trend reveals that the stock has had an unimpressive run on the bourses in the past year. Shares of this Zacks Rank #3 (Hold) company have lost 35.3% compared with the industry’s decline of 29.8% in the same time frame.
You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
(We are reissuing this article to correct a mistake. The earlier article on this topic, issued on June 21, 2019, should no longer be relied upon.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportMattel, Inc. (MAT) : Free Stock Analysis ReportNintendo Co. (NTDOY) : Free Stock Analysis ReportJAKKS Pacific, Inc. (JAKK) : Free Stock Analysis ReportHasbro, Inc. (HAS) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research |
Kingfisher plc (LON:KGF): Financial Strength Analysis
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Small-caps and large-caps are wildly popular among investors; however, mid-cap stocks, such as Kingfisher plc (LON:KGF) with a market-capitalization of UK£4.4b, rarely draw their attention. Surprisingly though, when accounted for risk, mid-caps have delivered better returns compared to the two other categories of stocks. This article will examine KGF’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. Don’t forget that this is a general and concentrated examination of Kingfisher's financial health, so you should conduct further analysisinto KGF here.
See our latest analysis for Kingfisher
Over the past year, KGF has maintained its debt levels at around UK£178m – this includes long-term debt. At this constant level of debt, KGF currently has UK£229m remaining in cash and short-term investments to keep the business going. Moreover, KGF has generated cash from operations of UK£649m over the same time period, resulting in an operating cash to total debt ratio of 365%, indicating that KGF’s current level of operating cash is high enough to cover debt.
Looking at KGF’s UK£2.6b in current liabilities, it seems that the business has been able to meet these obligations given the level of current assets of UK£3.4b, with a current ratio of 1.28x. The current ratio is calculated by dividing current assets by current liabilities. For Specialty Retail companies, this ratio is within a sensible range since there's a sufficient cash cushion without leaving too much capital idle or in low-earning investments.
With a debt-to-equity ratio of 2.7%, KGF's debt level is relatively low. KGF is not taking on too much debt commitment, which can be restrictive and risky for equity-holders. We can check to see whether KGF is able to meet its debt obligations by looking at the net interest coverage ratio. A company generating earnings before interest and tax (EBIT) at least three times its net interest payments is considered financially sound. In KGF's, case, the ratio of 21.7x suggests that interest is comfortably covered, which means that debtors may be willing to loan the company more money, giving KGF ample headroom to grow its debt facilities.
KGF’s high cash coverage and low debt levels indicate its ability to utilise its borrowings efficiently in order to generate ample cash flow. In addition to this, the company exhibits proper management of current assets and upcoming liabilities. This is only a rough assessment of financial health, and I'm sure KGF has company-specific issues impacting its capital structure decisions. I recommend you continue to research Kingfisher to get a more holistic view of the stock by looking at:
1. Future Outlook: What are well-informed industry analysts predicting for KGF’s future growth? Take a look at ourfree research report of analyst consensusfor KGF’s outlook.
2. Valuation: What is KGF worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? Theintrinsic value infographic in our free research reporthelps visualize whether KGF is currently mispriced by the market.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore ourfree list of these great stocks here.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
These U.S. states are hit hardest by Trump's tariffs
Withtrade tensionsbetween the U.S. andChinarising since about March 2018, theeconomic effectsare becoming clearer.
Following the most recent 25%tariffson Chinese imports that Trump announced onMay 10, a note from JP Morgan took a look at which states are most susceptible to this latest round.
Tennessee, Illinois, and California were the states hit the hardest when weighing imports as a percentage of state GDP, according to JP Morgan’s analysis.
“What you’ll see is what economists call an asymmetrical distribution in terms of burden sharing around the states,” RSM Chief Economist Joe Brusuelas told Yahoo Finance. In other words, some states are going to be hit harder than others by increased tariffs on Chinese goods coming into the U.S.
And while California being hit hard would seem obvious to most, Illinois and Tennessee seem unusual at first glance. Brusuelas explained that it all comes down to cheap consumer goods.
“I would assume it’s going to be a range around exposure to Walmart supply chains and Target supply chains,” he said.
Doug Barry, a spokesman for the U.S.-China Business Council, noted that the possibility of long-term damage to state economies depends on how long the new layer of tariffs continues.
“If it lasts for more than a year, for example, then the damage could be permanent,” Barry said.
JP Morgan listed the top goods the U.S. imports from China, which included computers and electronics, electrical equipment, manufacturing commodities, machinery, and apparel and accessories.
“In 2018, the U.S. imported $186 billion of computers and electronics from China, which was by far the single-largest category, trailed most closely by $50 billion of imports of the related electrical equipment grouping, which includes household appliances,” JP Morgan analysts noted.
Imports to Tennessee accounted for 3.4% of total U.S. imports in 2018, according toU.S. Census Bureaudata. The imports includedpharmaceutical products, cellular phones, passenger motor vehicles, and portable automatic data processing machines, accounted for 7.3% of the state’s GDP. Five of thetop 10 companiesin the state are all in the health care industry.
California’stop importsin 2018 were passenger vehicles, crude oil from petroleum and bituminous minerals, portable automatic data processing machines, phones for cellular networks, and automated data processing machines. This was unsurprising, as the state is the home of Silicon Valley where technological items are used on a daily basis. Overall, imports make up 5.4% of the state’s GDP.
Illinois’smajor 2018 importsmade up for 4.7% of the state’s GDP and included crude oil from petroleum and bituminous minerals, phones for cellular networks, parts of airplanes and helicopters, portable digital automated data processing machines, pharmaceutical products, and beer made from malt. Some of thebiggest companiesin Illinois include Walgreens pharmacy (WBA), economic bellwether Caterpillar (CAT), and United Airlines (UAL).
How this will play out for the general U.S. economy is unclear.
“There is a lot of uncertainty about what actually will happen with tariffs over time and what the economic effects will be, although in broad terms we think that higher tariffs should weigh on growth and boost inflation,” the note stated.
Greg Valliere, chief U.S. strategist at AGF, expressed a similar sentiment.
“Obviously a protracted trade war would dampen U.S. GDP growth, maybe by 0.3 or 0.4%,” he told Yahoo Finance. “The impact on business confidence is hard to quantify, although the uncertainty clearly would be a negative.”
Additionally, a potential effect that “hasn’t been explored enough is the potential for higher inflation,” Valliere said. “Since everyone seemingly has declared inflation as dead, this could be a sleeper. If tariffs cause the prices of thousands of goods to rise, even by a percentage point or two, that could have a ripple effect throughout the entire economy.”
One thing is certain, however: The most popular way for individual companies to deal with tariffs is to pass the cost increase onto customers. A recentsurveyof 100 business executives by the Federal Reserve Bank of Dallas found that 41 of those respondents mitigated tariffs by passing costs higher costs to customers.
And American households are alreadypayingfor the tariffs: A New York Fedstudyestimated that President Trump’s latest round of tariffs is likely costing American households $831 each this year. TheTrade Partnership Worldwideput that number between $767 and $2,389 per family.
Brusuelas expects that consumers are going to start feeling this damage in the coming months.
“The consumer hasn’t seen much damage because it’s been all isolated in industrial products and manufacturing vis-a-vis thin margins,” Brusuelas said. “The next wave will begin to negatively impact consumers right around the time the kids go back to school, so we may have a different reaction from the public.”
The trade tensions between the Trump administration and China began in earnest in March 2018, when President Trump imposed a 25% tariff on most steel imports and a 10% tariff on most aluminum imports.
Three months later, according toChina Briefing, “the U.S. Customs and Border Protection (CBP) begins collecting a 25% tariff on 818 imported Chinese products valued at $34 billion.” China responded by placing retaliatory tariffs on U.S. products.
In August 2018, the U.S. implemented its second round of tariffs on Chinese imports as 25% tariffs were placed on items like semiconductors, chemicals, motorbikes, and more.
Yet another round went into effect on Sept. 24 but a temporary truce between the two countries was reached on Dec. 2. Negotiations came to a standstill over the next few months and on May 10, 2019, the U.S. increased tariffs on $300 billion of Chinese imports to 25%.
Morgan Stanley noted that the U.S. has applied a total of $250 billion worth of tariffs on Chinese goods as of mid-June 2019.
Adriana is an associate editor for Yahoo Finance. Follow her on Twitter@adrianambells.
READ MORE:
• National Retail Federation: New Trump tariffs are 'too great a gamble'
• Expert: 'We are worse off as a world' amid Trump's trade war
• 'Is this sustainable?’: Farmers say bailouts aren’t enough in Trump’s trade war
• Read the latest financial and business news from Yahoo Finance
Follow Yahoo Finance onTwitter,Facebook,Instagram,Flipboard,SmartNews,LinkedIn,YouTube, andreddit. |
A Spotlight On Keystone Law Group plc's (LON:KEYS) Fundamentals
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As an investor, I look for investments which does not compromise one fundamental factor for another. By this I mean, I look at stocks holistically, from their financial health to their future outlook. In the case of Keystone Law Group plc (LON:KEYS), it is a company with great financial health as well as a a great history of performance. Below is a brief commentary on these key aspects. For those interested in digger a bit deeper into my commentary, take a look at thereport on Keystone Law Group here.
KEYS delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. This strong performance generated a robust double-digit return on equity of 25%, which is what investors like to see! KEYS is financially robust, with ample cash on hand and short-term investments to meet upcoming liabilities. This implies that KEYS manages its cash and cost levels well, which is an important determinant of the company’s health. KEYS currently has no debt on its balance sheet. This implies that the company is running its operations purely on off equity funding. which is typically normal for a small-cap company. Investors’ risk associated with debt is virtually non-existent and the company has plenty of headroom to grow debt in the future, should the need arise.
For Keystone Law Group, there are three key aspects you should look at:
1. Future Outlook: What are well-informed industry analysts predicting for KEYS’s future growth? Take a look at ourfree research report of analyst consensusfor KEYS’s outlook.
2. Valuation: What is KEYS worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? Theintrinsic value infographic in our free research reporthelps visualize whether KEYS is currently mispriced by the market.
3. Other Attractive Alternatives: Are there other well-rounded stocks you could be holding instead of KEYS? Exploreour interactive list of stocks with large potentialto get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Rescuers find 2 alive in collapsed building in Cambodia
SIHANOUKVILLE, Cambodia (AP) — Rescuers on Monday found two survivors in the rubble of a building that collapsed two days earlier while under construction in a Cambodian beach town, killing 28 workers and injuring 26 others as they slept in the unfinished condominium that doubled as their housing. A hospital official said the two were very weak and could only speak softly. "They are in serious condition after being trapped since early Saturday without any food or water," he said on condition of anonymity because he was not authorized to speak to the media. The seven-story building collapsed on top of dozens of construction workers who were sleeping on the second floor. The condominium was being built in the thriving seaside resort town of Sihanoukville, which has several such Chinese-funded projects. The Chinese Embassy expressed its condolences and said it was mobilizing Chinese assistance for the rescue. Preah Sihanouk provincial authorities said rescuers digging through the twisted metal and concrete rubble found two survivors and four bodies on Monday, raising the death toll to 28. Prime Minister Hun Sen visited the site on Sunday and again on Monday, when he announced the end of the rescue operation and said officials would now determine who was responsible. "I regret what happened here," he told reporters at the site of the collapse. "We have heard about building collapses which occurred in other countries such as China or Bangladesh, but now it has happened in our country." Hun Sen also announced that he was establishing a committee to oversee the quality of Chinese building projects in the town. But he praised Chinese investors, saying every country in the world needs them. Provincial authorities said in a statement that four Chinese nationals involved in the construction have been detained while the collapse is investigated. They said 54 people were trapped in the collapse, of whom 28 were killed and 26 were injured. One of the injured, Nhor Chandeun, said he and his wife were sleeping when they heard a loud noise and felt the building vibrate and then begin falling down. They were trapped for 12 hours before rescuers found them. The Chinese Embassy said it "supports a thorough investigation of the accident and necessary measures by competent Cambodian authority in accordance with the law." View comments |
Why Hospitality Properties Trust (NASDAQ:HPT) Could Be Worth Watching
Want to participate in a short research study ? Help shape the future of investing tools and you could win a $250 gift card! Hospitality Properties Trust ( NASDAQ:HPT ), which is in the reits business, and is based in United States, saw significant share price movement during recent months on the NASDAQGS, rising to highs of $26.64 and falling to the lows of $24.18. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Hospitality Properties Trust's current trading price of $24.88 reflective of the actual value of the mid-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Hospitality Properties Trust’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. Check out our latest analysis for Hospitality Properties Trust What is Hospitality Properties Trust worth? Good news, investors! Hospitality Properties Trust is still a bargain right now. I’ve used the price-to-earnings ratio in this instance because there’s not enough visibility to forecast its cash flows. The stock’s ratio of 12.33x is currently well-below the industry average of 33.05x, meaning that it is trading at a cheaper price relative to its peers. What’s more interesting is that, Hospitality Properties Trust’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to move to its intrinsic value, and secondly, there may be less chances to buy low in the future once it reaches that value. This is because the stock is less volatile than the wider market given its low beta. What kind of growth will Hospitality Properties Trust generate? NasdaqGS:HPT Past and Future Earnings, June 24th 2019 Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. However, with an extremely negative double-digit change in profit expected over the next couple of years, near-term growth is certainly not a driver of a buy decision. It seems like high uncertainty is on the cards for Hospitality Properties Trust, at least in the near future. Story continues What this means for you: Are you a shareholder? Although HPT is currently undervalued, the adverse prospect of negative growth brings about some degree of risk. Consider whether you want to increase your portfolio exposure to HPT, or whether diversifying into another stock may be a better move for your total risk and return. Are you a potential investor? If you’ve been keeping tabs on HPT for some time, but hesitant on making the leap, I recommend you dig deeper into the stock. Given its current undervaluation, now is a great time to make a decision. But keep in mind the risks that come with negative growth prospects in the future. Price is just the tip of the iceberg. Dig deeper into what truly matters – the fundamentals – before you make a decision on Hospitality Properties Trust. You can find everything you need to know about Hospitality Properties Trust in the latest infographic research report . If you are no longer interested in Hospitality Properties Trust, you can use our free platform to see my list of over 50 other stocks with a high growth potential . We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com . This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
'This Morning' presenter calls for ITV to sack Amanda Holden over Phillip Schofield row
(Getty) A This Morning presenter has called for ITV to sack Amanda Holden over the unfolding drama between her and Phillip Schofield. The Britains Got Talent judge is said to be at the centre of a row with This Morning presenter Schofield over him apparently blocking her from getting the role of co-hosting with him. A story over the weekend claimed that Holden had thought she was going to be his co-star while regular presenter Holly Willoughby was in Australia for Im a Celebrity , but that he backed Rochelle Humes for being easier to control on camera. Read more: Amanda Holden claims she tried to contact Phillip Schofield Now Sophie Prescott, who has appeared on the daytime show 24 times demonstrating craft activities, has said she believes Holden should be given her marching orders. Prescott told The Mirror: Amanda was all me, me, me. I put on a brave happy face doing the show but Amanda was very off-putting during my live appearance, kept asking questions, kept interfering and I felt she was a very controlling person. Amanda is being thoroughly unprofessional in her behaviour to a fellow ITV family member... Keen crafter Sophie Prescott has appeared on 'This Morning' a number of times (ITV) Talking about claims Amanda went to a top ITV boss for answers over the alleged snub, Prescott added: Who does Amanda think she is, marching into Kevin Lygo's office demanding answers on what she alleges that is supposed to have happened? Amanda should be yellow-carded and told to shut up or face getting the sack from Britain's Got Talent . However, on Holdens Heart Radio breakfast show with Jamie Theakston, she claimed to have offered an olive branch to Schofield that was ignored. Read more: Amanda Holden says Phillip Schofield is tiny As Theakston asked his co-star about the weekends story, Holden said: I've moved on from it, Jamie, you need to move on from it. I did offer to meet him for a coffee months ago, he didn't reply to my text. "What can I say?" Asked whether she had extended an olive branch, she replied: Oh, yes. Story continues Schofield responded to the claims about his supposedly difficult nature with a tweet to say that hed had a really sad weekend and denying that any of it was true. The end of another really sad weekend. When you try for 35 years to be the easiest, most fun person to work with and you read such hurtful and wildly untrue stories from nameless sources. Obviously Ill take it on the chin.. I just hope you know me better. Phillip Schofield (@Schofe) June 23, 2019 His co-host Willoughby has been supportive of him throughout the row, and many former co-stars and guests, including Dancing on Ice winner James Jordan, commented to agree that he was lovely. Watch the latest videos from Yahoo UK |
Companies to Watch: Spotify downgraded, FDA signs off on Palatin drug, FedEx cuts prices
Here are the companies Yahoo Finance is watching today.
New worries forSpotify(SPOT). The stock was downgraded at Evercore from In-line to Underperform. The analysts worry about Spotify hitting its targets for the quarter and call the latest profit estimates "unachievable."
Shares ofPalatin(PTN) are getting a lot of attention after the FDA signed off on a new treatment for to boost female sexual desire. Vyleesi will be sold in partnership with AMAG pharmaceuticals. It activates pathways in the brain involved in sexual desire and will be available in select pharmacies starting in September.
FedEx(FDX) is reportedly slashing prices in the wake of losing a big shipping contract with Amazon. The Wall Street Journal says FedEx is offering some online merchants 2-day air shipping for the same price as slower ground delivery. However, some experts warn FedEx's air network isn't built to handle e-commerce. FedEx reports earnings tomorrow after the close.
AFacebook(FB) executive says the social media site is in favor of regulation to address issues like cyberbullying and fake news. Nick Clegg, the former leader of the UK's Liberal Democrats party, who now leads global affairs for Facebook, says it's not up to the private sector to decide how to balance free speech with public harm and that Facebook isn't "shunning" government intervention.
Disney's(DIS) “Toy Story 4” dominated the box office over the weekend, bringing in about $238 million globally, a record for an animated film. That's higher than “Incredibles 2,” which debuted globally at $235.8 million. Still the film failed to beat estimates domestically, where it took in $118 million, about $17 million less than expected. |
Introducing Hemisphere Energy (CVE:HME), The Stock That Tanked 80%
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While it may not be enough for some shareholders, we think it is good to see theHemisphere Energy Corporation(CVE:HME) share price up 22% in a single quarter. But that doesn't change the fact that the returns over the last half decade have been stomach churning. Five years have seen the share price descend precipitously, down a full 80%. The recent bounce might mean the long decline is over, but we are not confident. The important question is if the business itself justifies a higher share price in the long term.
We really feel for shareholders in this scenario. It's a good reminder of the importance of diversification, and it's worth keeping in mind there's more to life than money, anyway.
View our latest analysis for Hemisphere Energy
Hemisphere Energy isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn't make profits, we'd generally expect to see good revenue growth. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.
In the last half decade, Hemisphere Energy saw its revenue increase by 3.4% per year. That's not a very high growth rate considering it doesn't make profits. Nonetheless, it's fair to say the rapidly declining share price (down 28%, compound, over five years) suggests the market is very disappointed with this level of growth. While we're definitely wary of the stock, after that kind of performance, it could be an over-reaction. A company like this generally needs to produce profits before it can find favour with new investors.
Depicted in the graphic below, you'll see revenue and earnings over time. If you want more detail, you can click on the chart itself.
Balance sheet strength is crucual. It might be well worthwhile taking a look at ourfreereport on how its financial position has changed over time.
Investors in Hemisphere Energy had a tough year, with a total loss of 53%, against a market gain of about 1.2%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Unfortunately, last year's performance may indicate unresolved challenges, given that it was worse than the annualised loss of 28% over the last half decade. Generally speaking long term share price weakness can be a bad sign, though contrarian investors might want to research the stock in hope of a turnaround. Most investors take the time to check the data on insider transactions. You canclick here to see if insiders have been buying or selling.
Of courseHemisphere Energy may not be the best stock to buy. So you may wish to see thisfreecollection of growth stocks.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CA exchanges.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Ashley Tisdale Holds Funeral for Late Dog — the 'Love of My Life' — One Day After Canine's Death
A day after announcing that her dog Maui had died , Ashley Tisdale held a funeral for the teacup Maltipoo, sharing shots of the emotional event on Instagram. The High School Musical actress, 33, said goodbye to the canine she previously called her “soulmate” on Saturday, burying the pooch in a pink casket adorned with dozens of photos of the dog. Surrounding the casket were bouquets of flowers sent to Tisdale after she revealed the news of Maui’s death on Friday. “The amount of flowers we received from so many people had been overwhelming,” Tisdale said on her Instagram Story. Also among the decorations was a director’s chair with Maui’s name on it and a framed photo of the dog on an easel. Videos from the event were set to the Queen song “Love Of My Life,” with the lyrics, “Love of my life, don’t leave me / You’ve taken my love, and now desert me / Love of my life, can’t you see? / Please bring it back, bring it back, bring it back.” Tisdale’s husband Christopher French and their friend Hailey Duff appeared to be in attendance at the emotional event, according to a photo Duff shared to her Instagram Story of the three holding sage sticks to burn. Later, Tisdale uploaded a photo to her Instagram Story of a burning fireplace. “Prayer fire for our Maui,” she wrote, tagging French and Duff. Ashley Tisdale/Instagram Ashley Tisdale/Instagram Ashley Tisdale/Instagram Ashley Tisdale/Instagram RELATED: Ashley Tisdale Shares Heartfelt Post After Her Dog Dies: ‘This Pain Is the Worst Pain’ On Monday, Tisdale shared a new photo of herself and Maui, captioning it, “Love is all you need.” In a lengthy, emotional caption to a gallery of photos of Maui on Friday, Tisdale first broke the news of her loss. “I don’t even know how to say this,” she wrote. “This pain is the worst pain I’ve ever felt. Maui was my soul mate, the connection was unlike any other. She didn’t care who I was and what I did, she just loved me unconditionally.” Story continues The adorable photos featured Maui in close-up shots, as well as being held by both Tisdale and French, 37. The post also contained a video of Maui running around as the actress videotaped her and laughed along. “@cmfrench and I knew with Maui she wasn’t just a dog she was something special,” Tisdale continued. “She had the purest soul. I know dogs don’t live as long as we do but why not? I wanted more time with her. I wasn’t ready for this and now I’m broken.” “I will miss you every single day of my life Maui, I will never forget how much joy and love you brought to me and @cmfrench,” Tisdale added. “I can’t stop crying but hopefully in time that will heal but know you are always a part of me and one day we will be together again. My angel. My heart #Maui.” View this post on Instagram Love is all you need 💕 A post shared by Ashley Tisdale (@ashleytisdale) on Jun 24, 2019 at 6:05am PDT View this post on Instagram I don’t even know how to say this. This pain is the worst pain I’ve ever felt. Maui was my soulmate, the connection was unlike any other. She didn’t care who I was and what I did, she just loved me unconditionally. @cmfrench and I knew with Maui she wasn’t just a dog she was something special. She had the purest soul. I know dogs don’t live as long as we do but why not? I wanted more time with her. I wasn’t ready for this and now I’m broken. I will miss you every single day of my life Maui, I will never forget how much joy and love you brought to me and @cmfrench. I can’t stop crying but hopefully in time that will heal but know you are always a part of me and one day we will be together again. My angel. My heart #Maui A post shared by Ashley Tisdale (@ashleytisdale) on Jun 21, 2019 at 8:11am PDT Many of Tisdale’s celebrity friends offered their support, alongside fans. “I’m so sorry,” wrote Sarah Michelle Gellar . “Maui was just as lucky to have you.” Vanessa Lachey also sent her condolences, commenting, “Babe, I’m so sorry, love you.” Additional celebrities that comforted Tisdale in the comments section included Katie Stevens , Lucy Hale and Keegan Allen. RELATED: Bridesmaids Vanessa Hudgens and Ashley Tisdale Stunned at Brant Daugherty and Kim Hidalgo’s Wedding — See Their Gorgeous Gowns Several days prior to Maui’s passing, Tisdale revealed on Instagram that her loving pet was extremely sick and went to the hospital the same day of Brant Daugherty and Kim Hidalgo’s wedding. In the post, she thanked her husband for his support during the difficult time. “You comfort me in those moments and make me feel less scared,” Tisdale wrote of her husband. “Thanks for loving Maui as much as I do and being the BEST dog dad out there!!” |
Dutch emergency services restored after major telecoms outage
AMSTERDAM (Reuters) - A nationwide telecommunications outage in the Netherlands knocked police and emergency numbers offline for roughly four hours on Monday before national carrier Royal KPN NV said service was restored.
The cause of the outage remained unclear, but the company said it did not appear to be the result of a security breach.
"We have no reason to think it was (a hack) and we monitor our systems 24/7", a KPN spokeswoman said.
Anna Posthumus, a spokeswoman at the National Coordinator for Security and Counter-Terrorism, said it is "too early to say" whether there may have been a cyber attack.
The outage was the largest in memory in the Netherlands, a nation of 17 million which prides itself on the technical prowess of its telecommunications infrastructure.
It originated on KPN's network, but also affected other telecommunications providers using its infrastructure backbone.
Emergency contact numbers went down, prompting the government to advise people to "go to the hospital yourself."
People with emergencies had been instructed on Twitter to go directly to hospitals, fire departments or local police stations.
The military police, which guards international borders, temporarily increased its presence at vital military locations and airports.
(Reporting by Toby Sterling and Anthony Deutsch; Editing by Jan Harvey, David Evans and Deepa Babington) |
The Hemisphere Energy (CVE:HME) Share Price Is Down 80% So Some Shareholders Are Rather Upset
Want to participate in ashort research study? Help shape the future of investing tools and you could win a $250 gift card!
Hemisphere Energy Corporation(CVE:HME) shareholders should be happy to see the share price up 22% in the last quarter. But that doesn't change the fact that the returns over the last half decade have been stomach churning. Five years have seen the share price descend precipitously, down a full 80%. So we don't gain too much confidence from the recent recovery. The fundamental business performance will ultimately determine if the turnaround can be sustained.
We really feel for shareholders in this scenario. It's a good reminder of the importance of diversification, and it's worth keeping in mind there's more to life than money, anyway.
Check out our latest analysis for Hemisphere Energy
Hemisphere Energy isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). Arguably revenue is our next best option. Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip. As you can imagine, fast revenue growth, when maintained, often leads to fast profit growth.
In the last half decade, Hemisphere Energy saw its revenue increase by 3.4% per year. That's not a very high growth rate considering it doesn't make profits. Nonetheless, it's fair to say the rapidly declining share price (down 28%, compound, over five years) suggests the market is very disappointed with this level of growth. While we're definitely wary of the stock, after that kind of performance, it could be an over-reaction. A company like this generally needs to produce profits before it can find favour with new investors.
You can see how revenue and earnings have changed over time in the image below, (click on the chart to see cashflow).
Thisfreeinteractive report on Hemisphere Energy'sbalance sheet strengthis a great place to start, if you want to investigate the stock further.
While the broader market gained around 1.2% in the last year, Hemisphere Energy shareholders lost 53%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 28% per year over five years. Generally speaking long term share price weakness can be a bad sign, though contrarian investors might want to research the stock in hope of a turnaround. If you would like to research Hemisphere Energy in more detail then you might want totake a look at whether insiders have been buying or selling shares in the company.
If you are like me, then you willnotwant to miss thisfreelist of growing companies that insiders are buying.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CA exchanges.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Democrat O'Rourke proposes 'war tax' on affluent U.S. families without military members
By Tim Reid (Reuters) - Democratic presidential candidate Beto O'Rourke on Monday proposed taxing affluent American families who do not have members in the U.S. military as a way to fund healthcare for veterans. The former congressman from Texas unveiled a plan for military veterans that includes a "war tax," in which taxpayers who earn over $200,000 a year would pay $1,000 in a new tax for each war embarked on by the United States. O'Rourke, who did not serve in the military but sat on the House of Representatives Armed Services and Veterans' Affairs committees, said the tax would be levied on households without current members of the U.S. military or military veterans. He did not specify what types of war, or the scale and origins of the wars, on which the tax would be levied. The money raised from the war tax would be deposited into a newly created Veterans Health Care Trust Fund, which would be created at the start of each new war and be used to support veterans' healthcare, disability and other medical needs when they return from conflict, O'Rourke said. The proposal was part of a broader plan by O'Rourke, who has struggled to gain traction in opinion polls among Democratic contenders, to improve services for military veterans. He also urged an end to "wars in Iraq and Afghanistan," and reinvestment of the savings in veterans programs. The military has about 1.36 million active-duty members out of a total U.S. population of some 327 million people. The country's armed forces have been all-volunteer since the military draft ended in 1973 as the United States wound down its involvement in the Vietnam War. In language borrowed from former Democratic President John F. Kennedy, O'Rourke said Americans must be "willing to pay any price, and bear any burden" to provide care, support and resources to all veterans. He called for ending the "blank check for endless war" waged by the United States and to invest spending on the care of those who had served in armed conflicts. O'Rourke, 46, launched his presidential bid in March after rising to national prominence last year when he narrowly lost his bid to defeat Republican U.S. Senator Ted Cruz in Texas. His national support among likely Democratic primary voters is currently around 4 percent. (Reporting by Tim Reid in South Bend, Indiana; Editing by Peter Cooney) |
Primary Investigator Dr. Jorge Hernando Ulloa Reports New and Updated VenoValve Data at C3 Global Conference
Clinical Manifestations of CVI Improved an Average of 46% Across All Five VenoValve Patients
IRVINE, CA / ACCESSWIRE / June 24, 2019 / Hancock Jaffe Laboratories, Inc.(NASDAQ: HJLI, HJLIW), a developer of medical devices that restore cardiac and vascular health, announced today that on Sunday, June 23, 2019, Dr. Jorge Hernando Ulloa, the Primary Investigator for HJLI's first-in-human VenoValve study in Bogota, Colombia, reported new and updated data for Hancock Jaffe's first-in-human VenoValve study at the 2019 C3 Global Conference in Orlando, Florida. Dr. Ulloa's report indicated that for the first five VenoValve patients, VCSS scores, a measurement of venous disease severity graded by the clinician, have improved an average of forty-six (46%) compared to Pre-VenoValve levels. In addition, Dr. Uolla reported that reflux for the first VenoValve recipient, who is now more than 90 days post VenoValve surgery, has been reduced to a level that is within the range seen in patients without Chronic Venous Insufficiency ("CVI").
CVI is a condition that occurs when the valves in the veins of the venous system of the leg are injured or destroyed, causing blood to flow backwards. The backwards flow of blood is known as reflux. The VCSS or Venous Clinical Severity Score consists of ten parameters that are used by clinicians to assess venous disease. Both reflux and VCSS are end points in Hancock Jaffe's first-in-human study.
Dr. Marc H. Glickman, Hancock Jaffe's Senior Vice President and Chief Medical Officer stated, "With this new 60 day VCSS data, we now have the numbers to support what we have predicted and what we are observing in the clinic: with reductions in reflux, the manifestations of CVI in VenoValve recipients are disappearing. In our first patient, who is now more than 90 days post VenoValve surgery, it is difficult to see any remaining signs of the disease. That patient continued to experience marked improvements between 60 and 90 days post VenoValve surgery, so we are optimistic that we will continue to see improvements in our VenosValve patients."
On June 7, 2019, Dr. Ulloa presented 30 day data at the Expert Venous Management Conference in Englewood, New Jersey, which indicated that the VenoValve was working in four out of five patients, and that the average reflux reduction across all VenoValve recipients was 45%. The new 60 day VCSS data presented at the C3 Global Conference shows that reductions in reflux are directly correlated to improvements in CVI symptoms, and provides support for HJLI's contention that even modest reductions in reflux can lead to significant improvements for CVI patients. The reflux reduction data, and the VCSS data, includes one patient where the VenoValve is currently not functioning. That patient has shown modest improvement since the implantation of the VenoValve, and is an important part of the study to show the regulators that the VenoValve does not cause significant harm, even in instances where the VenoValve does not function properly.
The VenoValve is a bioprosthetic replacement for damaged native valves in the deep veins of the leg. HJLI implanted a VenoValve in a sixth patient in early June, which also seems to be functioning properly. Patient six will next be checked approximately 30 days after implantation, pursuant to the study protocol. All patients in the first-in-human trial had severe CVI prior to receiving their VenoValves. In addition, to date there have been no serious device related adverse events associated with the VenoValves.
Robert Berman, Hancock Jaffe's Chief Executive Officer stated, "I'd like to thank Dr. Ulloa for making the trip from Bogota to Orlando to update the C3 global audience on our latest VenoValve data. It has been a very busy month of June for Hancock Jaffe. In addition to presenting our initial VenoValve data at the Expert Venous Management Conference in New Jersey, and the latest VenoValve data at the C3 Global Conference in Orlando, we raised approximately $3.9 million via a public offering of our common stock, and hired a new Director of Research and Development to assist in preparing the VenoValve for the U.S. pivotal trial. We now have the data, capital, and personnel that we need to advance the VenoValve past several new milestones."
The next milestones for the VenoValve include: enrollment and implantations for the remaining four patients that will be included in the initial phase of the first-in-human VenoValve study; updated data which is expected to be released in September of 2019; and design verification and validation activities in preparation for the filing of the Investigational Device Exemption ("IDE") application for the VenoValve U.S. pivotal trial. The September data will include the first VenoValve patient who will be approximately 7 months post VenoValve surgery, patients two through five who will be approximately 5 months post VenoValve surgeries, patient six who will be approximately 3 months post VenoValve surgery, and the remaining four VenoValve recipients who are expected to be between 1 and 3 months post VenoValve surgeries.
The C3 Global Conference draws over one thousand attendees and has been specifically designed for physicians who specialize in interventional cardiology, vascular surgery, and interventional radiology, as well as fellows, residents, and other healthcare professionals interested in atherosclerotic cardiovascular disease. The Venous Summit is a two (2) day course within the C3 Global Conference focusing on venous disease starting from Superficial Venous Disease, Pulmonary Embolism Treatment, DVT, Venous CTO & New Venous Stents. Deep venous CVI afflicts approximately 2.6 million people in the U.S., representing a potential addressable U.S. market of approximately $14 billion. There are currently no effective treatments for deep venous CVI.
About Hancock Jaffe Laboratories, Inc.Hancock Jaffe Laboratories (HJLI) specializes in developing and manufacturing bioprosthetic (tissue based) medical devices to establish improved standards of care for treating cardiac and vascular diseases. Hancock Jaffe currently has two lead product candidates: the VenoValve®, a porcine based valve which is intended to be surgically implanted in the deep venous system of the leg to treat reflux associated with Chronic Venous Insufficiency; and the CoreoGraft®, a bovine tissue based off the shelf conduit intended to be used for coronary artery bypass surgery. Hancock Jaffe has a 20-year history of developing and producing FDA approved medical devices that sustain or support life. The current management team at Hancock Jaffe has been associated with over 80 FDA or CE marked medical devices. For more information, please visitHancockJaffe.com.
Cautionary Note on Forward-Looking StatementsThis press release and any statements of stockholders, directors, employees, representatives and partners of Hancock Jaffe Laboratories, Inc. (the "Company") related thereto contain, or may contain, among other things, certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve significant risks and uncertainties. Such statements may include, without limitation, statements identified by words such as "projects," "may," "will," "could," "would," "should," "believes," "expects," "anticipates," "estimates," "intends," "plans," "potential" or similar expressions. These statements are based upon the current beliefs and expectations of the Company's management and are subject to significant risks and uncertainties, including those detailed in the Company's filings with the Securities and Exchange Commission. Actual results (including, without limitation, the performance of the new board members described herein) may differ significantly from those set forth or implied in the forward-looking statements. These forward-looking statements involve certain risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company's control). The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future presentations or otherwise, except as required by applicable law.
HJLI Press Contact:
Amy CarmerTel: 949-261-2900Email:ACarmer@HancockJaffe.com
Media & Investor Relations Contact:
MZ North AmericaChris TysonManaging Director(949) 491-8235HJLI@mzgroup.uswww.mzgroup.us
SOURCE:Hancock Jaffe Laboratories, Inc.
View source version on accesswire.com:https://www.accesswire.com/549607/Primary-Investigator-Dr-Jorge-Hernando-Ulloa-Reports-New-and-Updated-VenoValve-Data-at-C3-Global-Conference |
Malta to Register All Rent Contracts on Blockchain
Joseph Muscat, the Prime Minister of Malta, announced on Sunday that every rental contract in Malta would be registered on the blockchain. The announcement came during an interview onRadio One.
The prime minister said the reformed rental laws were approved by the cabinet after a long consultation period.
This initiative ensures security, prevents record tampering, and ensures only authorized persons can access the records, said Muscat. Additionally, the distributed ledger prevents the possibility of there being contracts in place for which there is no record.
Related:TechCrunch Founder Sells $1.6 Million House on Crypto Real Estate Platform
“We will now be showing people the added value of this technology through applying it to something which they will use in their daily lives,” he said. “This shows how the digital transformation will affect their lives.”
Malta – also known as “blockchain island” – first made moves into the world of cryptocurrencies in July 2018, when they released a relaxed regulatory framework favorable to distributed ledger technologies. Electronic money, financial instruments, virtual tokens, and virtual financial assets were granted a path to legitimacy. By March of that year, Malta’s lawyers were reportedlytokenizing themselves.
A tolerant regulatory environment, educated workforce, and E.U. membership all contribute to Malta becoming a burgeoning hub of blockchain experimentation.
The government will reveal the full details of the proposed rent reform in the coming days.
Related:Wanxiang City Partners with Blockchain Privacy Startup on Tracking Infrastructure
Beach house image via Shutterstock
• Algorand Raises $60 Million in Token Sale
• Regulators Debate Cryptocurrency Legislation Ahead of G20 Summit |
Have Insiders Been Buying 1911 Gold Corporation (CVE:HMC) Shares?
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It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell1911 Gold Corporation(CVE:HMC), you may well want to know whether insiders have been buying or selling.
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock on the market. However, such insiders must disclose their trading activities, and not trade on inside information.
Insider transactions are not the most important thing when it comes to long-term investing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. For example, a Harvard Universitystudyfound that 'insider purchases earn abnormal returns of more than 6% per year.'
Check out our latest analysis for 1911 Gold
Chairman of the Board Blair Schultz made the biggest insider purchase in the last 12 months. That single transaction was for CA$500k worth of shares at a price of CA$0.42 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being CA$0.28). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.
Over the last year, we can see that insiders have bought 2.7m shares worth CA$1.1m. 1911 Gold may have bought shares in the last year, but they didn't sell any. The chart below shows insider transactions (by individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
There are plenty of other companies that have insiders buying up shares. You probably donotwant to miss thisfreelist of growing companies that insiders are buying.
There was some insider buying at 1911 Gold over the last quarter. Insiders shelled out CA$39k for shares in that time. We like it when there are only buyers, and no sellers. But the amount invested in the last three months isn't enough for us too put much weight on it, as a single factor.
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 7.5% of 1911 Gold shares, worth about CA$778k, according to our data. But they may have an indirect interest through a corporate structure that we haven't picked up on. We do generally prefer see higher levels of insider ownership.
Our data shows a little insider buying, but no selling, in the last three months. Overall the buying isn't worth writing home about. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think 1911 Gold insiders are doubting the company. Along with insider transactions, I recommend checking if 1911 Gold is growing revenue. This free chart ofhistoric revenue and earnings should make that easy.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss thisfreelist of interesting companies, that have HIGH return on equity and low debt.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Qualcomm Faces Second EU Fine as Vestager’s Last Big-Tech Target
(Bloomberg) -- Qualcomm Inc. faces another European Union antitrust fine a year after being ordered to pay 997 million-euro ($1.13 billion) penalty for thwarting rival suppliers to Apple Inc., according to three people familiar with the latest case.
The chip giant may be fined as soon as next month, said the people, who asked not to be named because the process isn’t public. That would make it the last U.S. technology firm to get a large antitrust penalty from Competition Commissioner Margrethe Vestager.
Vestager is due to step down later this year after punishing Google with more than $9 billion in fines and ordering Apple to pay more than 14 billion euros in back taxes. She warned in May she was “definitely not done yet” with big tech as she weighs potential new probes into Amazon.com Inc., Google and Apple.
The EU’s current Qualcomm investigation targets 3G chips for internet mobile dongles sold between 2009 and 2011. Regulators allege these were sold below cost in order to push Icera, now owned by Nvidia Corp., out of the market. The EU took the unusual move of sending an extra antitrust complaint to Qualcomm last year to bolster its arguments of a “price-cost” test it used to show how far below cost the prices were.
Qualcomm and the European Commission declined to comment on the fine. The timing of the penalty could slip beyond the EU’s August summer break, one of the people said.
Last year Qualcomm was handed the EU’s fifth-largest antitrust penalty over payments to Apple that the EU said were an illegal ploy to ensure only its chips were used in iPhones and iPads. Qualcomm is challenging the fine at the EU courts.
Qualcomm, the largest maker of chips for mobile phones, is unique among semiconductor makers in that it gets most of its profit from licensing patents. Makers of handsets pay the company royalties, whether or not they use its chips. That lucrative profit pool has come under attack as governments around the world scrutinized Qualcomm’s business practices.
To contact the reporters on this story: Aoife White in Brussels at awhite62@bloomberg.net;Gaspard Sebag in Paris at gsebag@bloomberg.net
To contact the editors responsible for this story: Anthony Aarons at aaarons@bloomberg.net, Peter Chapman, Molly Schuetz
For more articles like this, please visit us atbloomberg.com
©2019 Bloomberg L.P. |
The earnings picture for 2019 is showing more signs of deterioration
The 2019corporate earningspicture is showing more signs of weakness.
For the third quarter of 2019, Wall Street is expecting a 0.3% year-over-year decline in earnings for S&P 500 companies, compared to their previous forecast of 0.2% growth, according to FactSet. This comes on top of a 2.6% projected decline in second quarter earnings and the 0.3% decline seen in the first quarter of 2019. An earnings recession, defined as two back-to-back quarters of negative earnings growth, is looking more likely. If this occurs, it would be the first earnings recession since 2016.
Even with these weaker forecasts, the S&P 500 (^GSPC) is trading at record highs, as expectations of a more dovish Federal Reserve reached fever pitch.
Still, corporate earnings traditionally drive the stock market.
“Sustainability of earnings matters a lot and I believe that is directly correlated to the trade issues,” David Bahnsen, founder and CIO ofThe Bahnsen Group, told Yahoo Finance. “The Fed can impact earnings via holding corporate borrowing rates down (the reversal of which is what the market revolted against in Q4 2018), but primarily the Fed impacts the market multiple. Trade, however, impacts organic earnings growth. All of these things are correlated.”
Trade worries escalated throughout the month of May, with President Trump weighing an increase on existing tariffs against China and imposing new tariffs on Mexico, which were eventually called off.
Bahnsen’s thesis of trade uncertainty affecting earnings expectations can be seen in the data.
The aforementioned forecasted third quarter earnings decline is only being driven by two sectors: information technology and energy, with a 9% and 13% projected decline, respectively. Technology is the sector that gets the highest percentage of its revenue from overseas, while energy is the fourth most exposed sector to overseas revenue, according to FactSet. Sectors that rely on overseas revenue can be more affected by tariffs. That’s why tech stocks tend to selloff following negative trade headlines.
The key part of this analysis is “forecast.” The actual earnings numbers can come in much different.
At the start of the first quarter earnings reporting season on March 31, Wall Street was expecting a 4% year-over-year fall in earnings growth, according to FactSet. The actual drop ended up being only 0.3%.
“The market expectations proved wrong for Q1 — very wrong,” Bahnsen noted.
Read the latest financial and business news from Yahoo Finance
Scott Gamm is a reporter at Yahoo Finance. Follow him on Twitter@ScottGamm.
More from Scott:
• The next rate cut is unlikely to be caused by weak growth, economist explains
• Why Trump should be worried about the stock market selloff
• What the plunging 10-year Treasury yield says about the economy and stock market
• Why one top strategist is bullish on tech even with lingering trade worries
Follow Yahoo Finance onTwitter,Facebook,Instagram,Flipboard,LinkedIn, andreddit. |
BioMarin Gets $15M From Pfizer on Talzenna's European Nod
BioMarin Pharmaceutical Inc. BMRN announced that the company earned a $15-million milestone payment from Pfizer, Inc. PFE. The milestone fee was triggered on the approval of poly (ADP-ribose) polymerase (PARP) inhibitor Talzenna (talazoparib) in Europe.
The drug secured a nod as a monotherapy for the treatment of adult patients with germline breast cancer susceptibility gene (gBRCA) 1/2-mutations, who have human epidermal growth factor receptor 2-negative (HER2-) locally advanced (LA) or metastatic breast cancer (MBC).
The drug is also approved in the United States.
The milestone payment was per the terms of the BioMarin’s agreement with Medivation, In 2015, Medivation purchased Talzenna from BioMarin and was responsible for all research, development, regulatory and commercialization activities pertaining to all indications on a global basis.
Medivation was acquired by Pfizer in September 2016. In accordance with the deal, Medivation paid BioMarin $410 million upfront and is entitled to receive up to an additional $160 million (in aggregate) upon the achievement of regulatory and sales-based milestones, of which $50 million has been earned to date, as well as mid-single digit royalties for Talzenna.
BioMarin’s portfolio consists of seven commercialized products and multiple clinical and pre-clinical product candidates.
Shares of BioMarin have gained 2.1% so far this year, underperforming the industry’s growth of 6.4%.
BioMarin’s key orphan disease drugs — Vimizim and Kuvan — continue to do well, driven by strong demand trends.
Its newest product, Palynziq, is witnessing a solid commercial uptake in the United States. BioMarin’s impressive rare disease pipeline is also progressing well with several data-readouts scheduled this year.
Zacks Rank & Stocks to Consider
BioMarin currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the healthcare sector include Acorda Therapeutics, Inc. ACOR and Anika Therapeutics ANIK, both sporting a Zacks Rank #1 (Strong Buy). You can seethe complete list of today’s Zacks #1 Rank stocks here.
Acorda’s loss per share estimates have narrowed from $3.84 to $3.59 for 2019 and from $3.32 to $3.09 for 2020 in the past 60 days.
Anika’s earnings per share estimates have moved north from $1.21 to $1.31 for 2019 and from $1.21 to $1.33 for 2020 in the past 60 days.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportPfizer Inc. (PFE) : Free Stock Analysis ReportAcorda Therapeutics, Inc. (ACOR) : Free Stock Analysis ReportAnika Therapeutics Inc. (ANIK) : Free Stock Analysis ReportBioMarin Pharmaceutical Inc. (BMRN) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research |
Think Tank: Artificial Intelligence and Its Impact on the Retail Sector
As the United Arab Emirates strives to introduce and incorporate smart initiatives, the need for advancements in technology arises. Businesses can witness one such development in the field of artificial intelligence . According to industry experts, AI is progressing rapidly and has a significant impact on the day-to-day operations within an organization. Statistically, the artificial intelligence industry will be valued at $9 trillion by the year 2025. Retailers can significantly benefit from artificial intelligence, as it empowers them to track customer tastes and preferences accurately. In addition, it has also enabled firms to evolve store infrastructure and boost traditional business processes. According to a recent market study, artificial intelligence will save retailers up to 50 percent in expenses. As a result, more than 45 percent of the businesses will invest in artificial intelligence adoption to optimally improve corporate decisions. Related stories This Patent Takes the Worry Out of Cloud Outages SML and Microsoft Solution Boosts Retail Inventory Accuracy Rates Vera Bradley Inks $75 Million Deal to Buy Control of Pura Vida Artificial intelligence software also helps retailers to improve people counting sensors. As a result, firms can track customer footprints throughout the store and use the collected data to enhance further the products and services offered. The information collected is very accurate and is in real-time, thus improving the speed and accuracy of the decision-making process. This technology also reduces dependence on human labor by around 40 percent, thus eliminating human error, as well as employee performance, as it simplifies the process of training and development. In addition, it assists in reducing employee training expenses by more than 30 percent. According to market research, more than 65 percent of the employees are more likely to gain knowledge from technological advancements. As a result, this knowledge helps employees to improve their skills and generates customer satisfaction and retention. Story continues Artificial intelligence also enhances in-store infrastructure by boosting advancements such as facial recognition, self-checkout technology and other in-store sensors. Consequently, it increases in-store footfalls by more than 50 percent. It has also assisted retailers in reducing brand and corporate risks as it provides real-time data on market opportunities and threats. Therefore, 70 percent of businesses consider artificial intelligence technology as a crucial component in gaining competitive advantages. Despite the initial cost of adoption and incorporation, artificial intelligence software will not only improve profit by more than 30 percent, but will also increase online store traffic by around 45 percent. It will allow a seamless transfer of data across various business platforms, whether off-line or online. AI will also make it simpler for firms to offer premium and personalized customer experiences. Artificial intelligence boosts the efficiency of business operations, from the introduction of chatbots to secure digital payments. Statistically, artificial intelligence technology will improve customer interaction by more than 80 percent, which will enable higher customer interaction; improve satisfaction and retention rates, and improve firms competitive positioning within the market. In addition, it will increase the demand for digital and tech savvy employees, with potential to create more than 30 percent of jobs within the industry. Vic Bageria is Xpandretails chief executive officer and chief visionary officer. Bageria is an active member of the Entrepreneurs Organization UAE Chapter board, chairing learning and membership. He is a graduate of the University of New Hampshire and Extension School, Harvard University. Sign up for WWD's Newsletter . For the latest news, follow us on Twitter , Facebook , and Instagram . |
The Central Park Five Receive Standing Ovation at 2019 BET Awards
The five men falsely convicted of raping a woman in New York City’s Central Park in 1989 — famously known as the “Central Park Five” — received a standing ovation while onstage during Sunday’s 2019 BET Awards. Regina Hall introduced the five men — Korey Wise, Raymond Santana Jr., Yusef Salaam, Antron McCray and Kevin Richardson — as the “Exonerated Five” before they received a warm applause from the audience, which included Tyler Perry and John Legend . While introducing them, Hall referenced the recent Netflix scripted series When They See Us , which explores the false convictions of the then-teenagers. In 2002, their convictions were vacated and they have since received a settlement from New York City of more than $40 million. (L-R) Kevin Richardson, Korey Wise, Raymond Santana Jr., Antron McCray, and Yusef Salaam | Kevin Winter/Getty RELATED Everything to Know About the Central Park 5 Case Featured in Netflix Miniseries Wise, addressing the crowd, said, “We are all on our own individual journey in life,” before the other four men each added one remark. “We don’t know where our journey will take us or if it will collide with others’,” McCray say, followed by Richardson adding, “We didn’t know that one day would bond [us] to these men for the rest of our lives.” “But I know that in telling our truth, our lives have been changed forever,” said Salaam. “Your truth is the foundation your legacy will be built on,” Santana concluded. When They See Us , directed by Ana DuVernay, has received critical acclaim and has refocused attention on the case. When They See Us | Atsushi Nishijima/Netflix RELATED : The Central Park 5: Where Are They Now? Since their exoneration in 2002, the men have spoke out about the ordeal they endured. Salaam received a lifetime achievement award from President Barack Obama in 2016. Kevin Richardson, Antron Mccray, Raymond Santana Jr., Korey Wise and Yusef Salaam | Taylor Hill/FilmMagic Wise still lives in New York City and is often asked to speak about his mistreatment. Through his work with the Innocence Project, Wise also advocates for the rights of the wrongly convicted as well as criminal justice reform. Richardson also has worked with the Innocence Project. Santana launched a clothing line several years ago called Park Madison NYC, with proceeds going to the Innocence Project. McCray is raising his children in the southern United States and was working as a forklift operator as of 2012. |
Bitcoin Surpasses $11,000 as Memories of Popped Bubble Fade
(Bloomberg) -- Bitcoin traded above $11,000 for the first time in 15 months, recouping more than half of the parabolic increase that captured the attention of mainstream investors before the cryptocurrency bubble burst last year.
“The bounce-back of Bitcoin has been fairly extraordinary,” said George McDonaugh, chief executive and co-founder of London-based blockchain and cryptocurrency investment firm KR1 Plc. “Money didn’t leave the asset behind, it just sat on the sidelines waiting to get back in.”
Bitcoin surged as high as $11,251.21 on Monday, a 13% gain from late Friday that put it at the highest levels since March 2018. It was at $10,919 as of 11:01 a.m. in New York.
The largest cryptocurrency had a furious run higher in late 2017 that culminated with a top above $19,500, before an almost-as-relentless move downward over much of 2018. It languished around the $3,300 to $4,100 range for several months.
Bitcoin’s ride back accelerated in April, puzzling onlookers trying to pinpoint a reason for the surge. A study by Indexica, an alternative data provider, showed three main drivers: a more complex conversation surrounding Bitcoin, fewer concerns about fraud and a shift in the tense of how Bitcoin is talked about from the past to the future.
“The market has matured greatly since the last time Bitcoin crossed $10,000,” said Matt Greenspan, a senior market analyst at eToro. “This run is far more justified given the current level of adoption.”
Read more: Why Is Bitcoin Surging? Alternative Data Shows It’s Grown-Up
In contrast with last year, there are now signs of renewed mainstream interest in cryptocurrencies and the underlying blockchain technology, most prominently Facebook Inc.’s Libra. The social-media giant is working with a broad group of partners from Visa Inc. to Uber Technologies Inc. to develop the system, which has already attracted attention and criticism from politicians raising privacy and security concerns.
Read more: Facebook Wants Its Cryptocurrency to Rival the Greenback
The advent of Libra “is validating the crypto space and sending all the major digital coins higher,” said Edward Moya, chief market strategist at Oanda Corp. in New York. “Bitcoin volatility is likely to persist, with $12,000 and $15,000 as the next two critical resistance levels.”
Technical gauges followed by some traders suggest the rally may not be over soon. Bitcoin’s directional movement index is currently in the longest positive divergence since the 2017 euphoric rise. The DMI shows the direction of a price trend by charting the divergence between positive and negative levels. The index is currently in a strong positive divergence as seen by the divergence between the +DMI and -DMI indicators and the average directional index is above the pivotal 25 mark, which signals a strong trend and is tailing upwards towards 50 which indicates a very strong trend.
Still, the speed of the rally has some observers warning caution is once again warranted.
To Whitney Tilson, founder of Empire Financial Research and a former hedge-fund manager, Bitcoin is “exhibit A” in the lexicon of “scams that enrich insiders at the expense of average folks.”
“Don’t get fooled by the dead-cat bounce this year,” Tilson said in comments last week. “Mark my words: A year from now, it will be a lot lower. This is a techno-libertarian pump-and-dump scheme that will end in ruin.”
(Adds technical analysis of the price trend.)
--With assistance from Adam Haigh, Sarah Wells, Kurt Schussler and Kenneth Sexton (Global Data).
To contact the reporters on this story: Eric Lam in Hong Kong at elam87@bloomberg.net;Vildana Hajric in New York at vhajric1@bloomberg.net;Joanna Ossinger in Singapore at jossinger@bloomberg.net
To contact the editors responsible for this story: Jeremy Herron at jherron8@bloomberg.net, Ravil Shirodkar, Dave Liedtka
For more articles like this, please visit us atbloomberg.com
©2019 Bloomberg L.P. |
Top Ranked Income Stocks to Buy for June 24th
Here are four stocks with buy rank and strong income characteristics for investors to consider today, June 24th:
Banco Latinoamericano de Comercio Exterior, S.A(BLX): This multinational bank has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4.8% over the last 60 days.
Banco Latinoamericano de Comercio Exterior, S.A. price-consensus-chart | Banco Latinoamericano de Comercio Exterior, S.A. Quote
This Zacks Rank #1 (Strong Buy) company has a dividend yield of 7.5%, compared with the industry average of 2.8%. Its five-year average dividend yield is 5.8%.
Banco Latinoamericano de Comercio Exterior, S.A. dividend-yield-ttm | Banco Latinoamericano de Comercio Exterior, S.A. Quote
NGL Energy Partners LP(NGL): This operator of crude oil logistics, water solutions, liquids, and refined products and renewables businesses has witnessed the Zacks Consensus Estimate for its current year earnings increasing 86.4% over the last 60 days.
NGL Energy Partners LP price-consensus-chart | NGL Energy Partners LP Quote
This Zacks Rank #2 (Buy) company has a dividend yield of 11%, compared with the industry average of 10.1%. Its five-year average dividend yield is 11.5%.
NGL Energy Partners LP dividend-yield-ttm | NGL Energy Partners LP Quote
Sunoco LP(SUN): This retailer of motor fuels has witnessed the Zacks Consensus Estimate for its current year earnings increasing 15.6% over the last 60 days.
Sunoco LP price-consensus-chart | Sunoco LP Quote
This Zacks Rank #2 company has a dividend yield of 10.6%, compared with the industry average of 10.1%. Its five-year average dividend yield is 9.3%.
Sunoco LP dividend-yield-ttm | Sunoco LP Quote
Chevron Corporation(CVX): This company that engages in integrated energy, chemicals and petroleum operations has witnessed the Zacks Consensus Estimate for its current year earnings increasing 3.9% over the last 60 days.
Chevron Corporation price-consensus-chart | Chevron Corporation Quote
This Zacks Rank #2 company has a dividend yield of 3.8%, compared with the industry average of 2.6%. Its five-year average dividend yield is 4%.
Chevron Corporation dividend-yield-ttm | Chevron Corporation Quote
See thefull list of top ranked stocks here.
Find more top income stocks withsome of our great premium screens.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportSunoco LP (SUN) : Free Stock Analysis ReportNGL Energy Partners LP (NGL) : Free Stock Analysis ReportChevron Corporation (CVX) : Free Stock Analysis ReportBanco Latinoamericano de Comercio Exterior, S.A. (BLX) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research |
Those Who Purchased Hecla Mining (NYSE:HL) Shares Three Years Ago Have A 61% Loss To Show For It
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Over the last month theHecla Mining Company(NYSE:HL) has been much stronger than before, rebounding by 32%. But that doesn't change the fact that the returns over the last three years have been disappointing. Regrettably, the share price slid 61% in that period. So the improvement may be a real relief to some. While many would remain nervous, there could be further gains if the business can put its best foot forward.
See our latest analysis for Hecla Mining
Hecla Mining isn't currently profitable, so most analysts would look to revenue growth to get an idea of how fast the underlying business is growing. When a company doesn't make profits, we'd generally expect to see good revenue growth. That's because it's hard to be confident a company will be sustainable if revenue growth is negligible, and it never makes a profit.
Over three years, Hecla Mining grew revenue at 2.1% per year. That's not a very high growth rate considering it doesn't make profits. This uninspiring revenue growth has no doubt helped send the share price lower; it dropped 27% during the period. When a stock falls hard like this, some investors like to add the company to a watchlist (in case the business recovers, longer term). After all, growing a business isn't easy, and the process will not always be smooth.
You can see how revenue and earnings have changed over time in the image below, (click on the chart to see cashflow).
If you are thinking of buying or selling Hecla Mining stock, you should check out thisFREEdetailed report on its balance sheet.
While the broader market gained around 6.6% in the last year, Hecla Mining shareholders lost 52% (even including dividends). However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Unfortunately, last year's performance may indicate unresolved challenges, given that it was worse than the annualised loss of 11% over the last half decade. We realise that Buffett has said investors should 'buy when there is blood on the streets', but we caution that investors should first be sure they are buying a high quality businesses. Shareholders might want to examinethis detailed historical graphof past earnings, revenue and cash flow.
For those who like to findwinning investmentsthisfreelist of growing companies with recent insider purchasing, could be just the ticket.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Supreme Court to review insurers' Obamacare claims for $12B
WASHINGTON (AP) The Supreme Court will decide whether insurance companies can collect $12 billion from the federal government to cover their losses in the early years of the health care law championed by President Barack Obama. The justices say Monday that they will hear appeals in the fall from insurers who argue that they are entitled to the money under a provision of the "Obamacare" health law that promised insurers a financial cushion for losses they might incur by selling coverage to people in the marketplaces created by the health care law. The companies cite Health and Human Services Department statistics to claim they are owed $12 billion. But Congress inserted a provision in the department's spending bill from 2015 to 2017 to limit payments under the "risk corridors" program. |
Why HMS Holdings Corp. (NASDAQ:HMSY) Could Be Worth Watching
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HMS Holdings Corp. (NASDAQ:HMSY), which is in the healthcare services business, and is based in United States, saw a decent share price growth in the teens level on the NASDAQGS over the last few months. With many analysts covering the mid-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price. However, could the stock still be trading at a relatively cheap price? Let’s examine HMS Holdings’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.
Check out our latest analysis for HMS Holdings
According to my valuation model, HMS Holdings seems to be fairly priced at around 0.7% below my intrinsic value, which means if you buy HMS Holdings today, you’d be paying a reasonable price for it. And if you believe that the stock is really worth $32.06, then there’s not much of an upside to gain from mispricing. Although, there may be an opportunity to buy in the future. This is because HMS Holdings’s beta (a measure of share price volatility) is high, meaning its price movements will be exaggerated relative to the rest of the market. If the market is bearish, the company’s shares will likely fall by more than the rest of the market, providing a prime buying opportunity.
Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. HMS Holdings’s earnings over the next few years are expected to increase by 96%, indicating a highly optimistic future ahead. This should lead to more robust cash flows, feeding into a higher share value.
Are you a shareholder?HMSY’s optimistic future growth appears to have been factored into the current share price, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough conviction to buy should the price fluctuates below the true value?
Are you a potential investor?If you’ve been keeping an eye on HMSY, now may not be the most optimal time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for the company, which means it’s worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.
Price is just the tip of the iceberg. Dig deeper into what truly matters – the fundamentals – before you make a decision on HMS Holdings. You can find everything you need to know about HMS Holdings inthe latest infographic research report. If you are no longer interested in HMS Holdings, you can use our free platform to see my list of over50 other stocks with a high growth potential.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Nasdaq Launches Center for Corporate Governance, First Report Highlights Focus on Stakeholders Beyond Shareholders
Martyn Chapman Named Executive Director of Nasdaq Center for Corporate Governance
ByJohn Jannarone
Nasdaq Inc. has launched theNasdaq Center for Corporate Governance, an information and research platform dedicated to supporting boards, senior executives, and governance professionals at public, private, and nonprofit organizations.
Nasdaq, which works with 4,000 companies listed on its global exchanges but has a total of 9,800 clients, named Martyn Chapman, Head of Strategy for Nasdaq Governance Solutions, as Executive Director of the Center. Kellie Huennekens, a former Ernst & Young executive, was also named Head of Americas and governance consultant Stephen Page was named Head of EMEA.
The Center’s first report,Where Board and Investor Priorities Intersect, assesses governance practices from the S&P 100 companies based on public disclosures. A key theme that arose in the report was shift from a “know your shareholders” tack to a more current “know your stakeholders” approach, giving more attention to issues such as diversity, sustainability, and the environment.
The heavier focus on stakeholders echoes an approach to corporate governance known asThe New Paradigm, which was recently designed by Martin Lipton, Founding Partner of Wachtell, Lipton, Rosen & Katz.Mr. Lipton emphasized that corporations exist for many reasons besides the enrichment of their owners, such as benefitting a local community.
Nasdaq’s report found that 80% of reviewed companies highlight environmental or sustainability efforts in their proxy statements, 91% have posted a sustainability report, and 71% have at least one board-level committee charged with oversight of related matters. That emphasis has also led boards to think differently about who they want as new members.
“Boards are now bringing in directors because they have experience related to these topics,” Mr. Chapman said in an interview withCorpGov. “If you read between the lines you can see that board composition and behavior has been impacted by a focus on environmental issues.”
Engagement has also evolved to include a broader range of stakeholders. Some companies said they had focused on more communication with non-governmental organizations and proxy advisory firms, for instance.
When it comes to shareholder communication, another trend has been for directors – not just executives – to engage more directly with investors. Some 92% of companies in Nasdaq’s report disclose shareholder engagement activity and 58% note that directors may participate in – not just oversee – these activities.
“Historically directors have been a little scared [to speak directly to shareholders] but it’s become more common,” Mr. Chapman said. He added that while European companies weren’t in the report, it has “become common for directors there to go out and talk on certain issues such as social responsibility.”
Another finding was that many boards have sought younger directors on their board to get an additional perspective on a business. There has also been an emphasis on geographical diversity, reflecting a desire to have directors who are familiar with the regions where a company operates.
Mr. Chapman also noted that boards have begun to provide more details about how they evaluate potential director candidates. “Boards are now disclosing more about their assessment process,” he said. “They’re defining the attributes of the directors they want and it reflects a commitment to being transparent.”
Some companies have gone even further with highly-specific targeting. Best Buy, for instance, has implemented a “diverse candidate search policy” to ensure a wider range of people on its board, Mr. Chapman said. “The thinking is that if you don’t do something like that, you’re going to wind up coming back with the usual suspects in a director search,” he said.
Contact:
John Jannarone, Editor-in-Chief
www.CorpGov.com
Editor@CorpGov.com
Twitter:@CorpGovernor |
3 Things to Do Right Now to Avoid Running Out of Money in Retirement
Most people are expected to outlive their retirement savings, a new study from the World Economic Forum found.
That should come as no surprise, as the median amount baby boomers have saved for retirement is just $152,000, according to a report from the Transamerica Center for Retirement Studies. That may sound like a lot of money, but if you withdraw, say, $30,000 per year, those savings will only last around five years.
So what's the secret to not running out of money in retirement? It can be tough to calculate how much you'll need, especially when nobody can predict exactly how many years they'll spend in retirement. But there are a few things you can do right now to ensure you have the best chance of making your money last the rest of your life.
In order to ensure your savings last through retirement, you'll need to know how much retirement will cost. In other words, you'll need to calculate your retirement number.
While it's tempting to simply aim for a big goal, like $1 million or $500,000, your retirement number is highly specific to your unique situation. The first step is to make an educated estimate about how much you expect to spend each year in retirement. Most people see their expenses decrease in retirement, but it depends on the lifestyle you expect to live. If you want to travel the world or buy a vacation home in Florida, you'll need more money than if you expect to spend most of your time at home relaxing and hanging out with the grandkids.
Use aretirement calculatorto get an estimate of what you'll need to save by retirement age, as well as what you should be saving each month to reach that goal. Keep in mind that all retirement calculators are slightly different and will likely provide different results. To account for these differences, look closely at the inputs each calculator uses. Some will factor in Social Security benefits and inflation, for example, which will give you a more accurate estimate.
Once you know what you should be saving each month, create a plan to ensure you stick to your goals. Saving for retirement isn't something that can be done overnight, and it will take decades of consistent saving to amass hundreds of thousands of dollars (or more).
Build retirement saving into your budget just as if it were another bill to pay. If you think of saving for retirement as something you'll do if you have leftover money at the end of the month, you're more likely to put it off. And if you get into a habit of not saving each month, you're likely to fall short of your goal.
Social Security benefits can help cover some costs in retirement, but they shouldn't make up the majority of your income. The average Social Security check comes out to around $1,400 per month, which isn't enough for most people to live comfortably on.
That said, knowing how much you'll be receiving in Social Security will impact how much you'll need to save on your own. You cancheck your statements onlineto get an estimate of what you're expected to receive in benefits once you claim, which will help you get a sense of how much you can rely on them to cover your retirement expenses.
It's important to remember, however, that your benefits aren't set in stone. There's a possibility thatbenefits will be cutin the next few decades, so if you're depending on Social Security to make ends meet in retirement, you may want to have a backup plan in place.
Also, the age at which you claim your benefits will affect how much you receive each month. While you can claim them as early as age 62, doing so will result in a reduction in benefits of up to 30%. The only way to receive the full benefit amount you're theoretically entitled to is to claim at yourfull retirement age(FRA). Claim before then, and your benefits will be reduced. But wait until after your FRA to claim (up until age 70), and you'll receive a boost in benefits of up to 32% on top of your full amount.
In theory, your benefits should be roughly equal over a lifetime no matter when you claim. You'll either receive more checks that are all smaller, or you'll get fewer (but bigger) checks. The math doesn't always work out perfectly, though, so you couldcome out ahead by claiming earlier or later. If you expect to live a long retirement or if your savings are falling short, it may be smart to delay claiming to receive those bigger checks. But if you have reason to believe you won't spend decades in retirement, filing early to enjoy your benefits while you can may be the best choice.
Healthcare costs are one of the biggest (yet most unpredictable) expenses you'll face in retirement. That can make them difficult to plan for, as you may spend little more than your standard premiums, or you could spend thousands of dollars per year on out-of-pocket expenses.
Even though you can't predict exactly how much you'll spend on healthcare, you can prepare the best you can for these costs. If you currently have health conditions that will be expensive in retirement, start planning for those costs now. And if you have any history of certain conditions in your family, it may be a good idea to plan for those too just in case.
Regardless of your health history, there are certain costs you will be responsible for. Once you turn 65, you'll be eligible for Medicare. With Medicare coverage, you'll still be responsible for all premiums, deductibles, and coinsurance, as well as any otherout-of-pocket expenses Medicare won't cover. Original Medicare (or Parts A and B) doesn't cover most routine care, such as dental and vision care, nor does it cover prescription drugs -- you'll need Part D coverage for that. You can opt for aMedicare Advantage planthat offers greater coverage, though these plans are often more expensive than Original Medicare.
Long-term care is another expense Medicare won't cover. This cost can be significant, too, with the average semi-private home in a nursing home costing around $6,800per month, according to the U.S. Department of Health and Human Services. Long-term care insurance can help cover some of these costs, but the key is to enroll early -- if you wait until you're in your 60s or later, insurance providers will either charge you sky-high rates or refuse coverage altogether.
Planning for retirement is ultimately a guessing game, as there's no way to predict exactly how much you'll need to last the rest of your life. But by preparing yourself the best you can right now, you're giving yourself a good chance of living your ideal retirement life.
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For Turkey's Erdogan, a challenge in former stronghold
ISTANBUL (AP) — Turkish President Recep Tayyip Erdogan hasn't lost many elections since the conservative party he co-founded took control of the government in 2002. But the party's rare defeat in Istanbul, Turkey's largest city, was a political and personal setback for the country's leader. Opposition candidate Ekrem Imamoglu's win Sunday in a repeat vote for mayor broke the lock the president's Islamist-rooted party long held on Istanbul's top public office. On Monday, Turks speculated whether Erdogan's opponents finally have the ability to challenge his rule. Imamoglu's supporters partied long into the night after he trounced Erdogan's hand-picked candidate, a former prime minister, 54% to 45% in a rerun of the city's March 31 mayoral election. The Islamic-leaning ruling party challenged the first vote over alleged irregularities, and Turkey's electoral board nullified the results. The streets of Istanbul, where Erdogan's rise in Turkish politics started with his own election as mayor 25 years ago, became an impromptu caravan of cars honking horns with overjoyed passengers leaning out the windows as they cheered and waved Turkish flags. Imamoglu's victory "is the most serious setback for Erdogan since his Justice and Development Party first took office in November 2002 and will further fuel the already growing sense amongst both his opponents and many members of his own party that his career is now in irreversible decline," Wolf Piccoli of the New York-based risk analysis firm Teneo Intelligence, said. The landslide win electrified the secular party that has been spent nearly two decades in lackluster opposition as Erdogan's strengthened his hold on power. The vote count was officially ratified Monday. But Justice and Development Party candidate Binali Yildirim conceded within minutes after the first returns were announced. Tens of thousands of opposition supporters flocked to a square in an Istanbul suburb late Sunday to greet Imamoglu, chanting his campaign slogan, "Everything will be great!" Story continues Erdogan's 1994 election as Istanbul's mayor shocked Turkey's secular elite. A poem he recited during his tenure resulted in a conviction for inciting religious hatred for which he served fours month in prison in 1999. He rose to national prominence a few years later following a financial crisis that wiped out much of the Turkish political establishment. As president, he has presided over years of growth. However, Turkey's economy has been in-and-out of recession in the last year, and the country is burdened by high borrowing costs and sovereign downgrades. Turkey's borrowing rates eased Monday after months of political uncertainty. The yield on its 10-year government bond eased to 15.3% after touching 20% in mid-May. Can Selcuki, general manager of Istanbul Economy Research, a market research and data analytics company, thinks the recent downturn and election result in Istanbul are likely to increase pressure on Erdogan within his own party. Senior officials have publicly distanced themselves and are widely rumored to be setting up two breakaway parties. "I suspect that the result will speed those (preparations) up," Selcuki said. "If new parties are going to be formed by former AK Party leaders, they might actually grab some (lawmakers). The number they attract to their side is important because that could change the arithmetic in parliament." The repeat election angered AKP dissenters but also heightened public anxiety over the president's style of leadership, which critics describe as increasingly authoritarian. Istanbul pastry chef Banu Kirmizigul said she voted in the repeat election, after sitting out the one in March, because she was inspired by Imamoglu's campaign. "I am really happy and my faith in this country has been restored," she said. "I saw that our people had awakened and I decided to wake up now, and I cast my vote. We (the opposition) got 800,000 more votes. We were successful and I am very happy." A group of election monitors from the Council of Europe, a Strasbourg-France based organization aimed at holding member states accountable for human rights commitments, said Sunday's election was held "competently and in compliance with the applicable rules." ___ Ayse Wieting, Mehmet Guzel, and Bulut Emiroglu in Istanbul contributed to this report. ___ Follow Derek Gatopoulos at http://www.twitter.com/dgatopoulos and Bilginsoy http://twitter.com/zbilginsoy |
A Look At The Fair Value Of HMS Holdings Corp. (NASDAQ:HMSY)
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How far off is HMS Holdings Corp. (NASDAQ:HMSY) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by estimating the company's future cash flows and discounting them to their present value. I will be using the Discounted Cash Flow (DCF) model. It may sound complicated, but actually it is quite simple!
Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. Anyone interested in learning a bit more about intrinsic value should have a read of theSimply Wall St analysis model.
View our latest analysis for HMS Holdings
We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. To begin with, we have to get estimates of the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.
Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars:
[{"": "Levered FCF ($, Millions)", "2019": "$97.35", "2020": "$118.19", "2021": "$143.10", "2022": "$169.50", "2023": "$193.90", "2024": "$213.73", "2025": "$230.78", "2026": "$245.55", "2027": "$258.57", "2028": "$270.28"}, {"": "Growth Rate Estimate Source", "2019": "Analyst x5", "2020": "Analyst x5", "2021": "Analyst x1", "2022": "Analyst x1", "2023": "Analyst x1", "2024": "Est @ 10.23%", "2025": "Est @ 7.98%", "2026": "Est @ 6.4%", "2027": "Est @ 5.3%", "2028": "Est @ 4.53%"}, {"": "Present Value ($, Millions) Discounted @ 9.47%", "2019": "$88.93", "2020": "$98.62", "2021": "$109.07", "2022": "$118.01", "2023": "$123.32", "2024": "$124.16", "2025": "$122.46", "2026": "$119.03", "2027": "$114.49", "2028": "$109.32"}]
Present Value of 10-year Cash Flow (PVCF)= $1.13b
"Est" = FCF growth rate estimated by Simply Wall St
After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 10-year government bond rate of 2.7%. We discount the terminal cash flows to today's value at a cost of equity of 9.5%.
Terminal Value (TV)= FCF2029× (1 + g) ÷ (r – g) = US$270m × (1 + 2.7%) ÷ (9.5% – 2.7%) = US$4.1b
Present Value of Terminal Value (PVTV)= TV / (1 + r)10= $US$4.1b ÷ ( 1 + 9.5%)10= $1.67b
The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is $2.79b. The last step is to then divide the equity value by the number of shares outstanding.This results in an intrinsic value estimate of $32.06. Compared to the current share price of $31.84, the company appears about fair value at a 0.7% discount to where the stock price trades currently. Remember though, that this is just an approximate valuation, and like any complex formula - garbage in, garbage out.
The calculation above is very dependent on two assumptions. The first is the discount rate and the other is the cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at HMS Holdings as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 9.5%, which is based on a levered beta of 1.132. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.
Whilst important, DCF calculation shouldn’t be the only metric you look at when researching a company. The DCF model is not a perfect stock valuation tool. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" If a company grows at a different rate, or if its cost of equity or risk free rate changes sharply, the output can look very different. For HMS Holdings, There are three relevant factors you should look at:
1. Financial Health: Does HMSY have a healthy balance sheet? Take a look at ourfree balance sheet analysis with six simple checkson key factors like leverage and risk.
2. Future Earnings: How does HMSY's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with ourfree analyst growth expectation chart.
3. Other High Quality Alternatives: Are there other high quality stocks you could be holding instead of HMSY? Exploreour interactive list of high quality stocksto get an idea of what else is out there you may be missing!
PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the NASDAQ every day. If you want to find the calculation for other stocks justsearch here.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Tube pusher Paul Crossley sentenced
A paranoid schizophrenic who pushed a former Eurotunnel boss on to the Tube tracks was jailed for life today. Paul Crossley , 47, shoved 91-year-old Sir Robert Malpas on to the rails at Marble Arch station on April 27 last year and was found guilty of two charges of attempted murder in October. Sir Robert, who was heading to Oxford Circus after a pensioners' lunch, was rescued by teacher Riyad El Hussani, who leapt from the platform just one minute before the next train was due to arrive. The industrialist, who was knighted by the Queen in 1998, suffered a broken pelvis and a cut to the head which needed 12 stitches. Paul Crossley has been jailed after being found guilty of attempted murder (PA/AP) Crossley, who has paranoid schizophrenia, was chased and detained by members of the public. The shocking incident was caught on CCTV footage, which was played at Crossley's trial last year. Earlier, another passenger Tobias French, managed to keep his balance when he was pushed by Crossley as a train pulled in to Tottenham Court Road station. Read more from Yahoo News UK: London violence: Fifth suspected murder in six days Tory leadership debate: Carmella's eye-roll speaks for us all Jeremy Corbyn to change Brexit position Crossley, of Leyton, east London, had said he picked his victims at random and did not mean to kill them. He told jurors he had taken crack cocaine the previous day and began feeling paranoid as he made his way to the West End to get coffee. Jurors rejected his defence and found him guilty of two charges of attempted murder. Crossley had earlier attempted to push Tobias French onto the tracks at Tottenham Court Road station, but fled on a Central Line train when his victim fought back. CCTV shows Robert Malpas being pushed on to the tracks of Marble Arch Underground station in London (AP) Judge Nicholas Hilliard QC said the attacks were carried out in "terrifying circumstances" and told Crossley he poses a "grave and enduring risk to the public". "You pushed Mr French first of all knowing very clearly that was wrong, and then you tried to make yourself harder to identify with your hood," he said. Crossley then "consciously and deliberately sought out a more vulnerable victim", the judge said, adding Sir Robert was singled out for his age Story continues "The moment you saw Sir Robert you went for him," he said. "I'm satisfied that paranoid schizophrenia was not the driving force here - it was drug abuse and its consequences." Judge Hilliard added: "It's an aggravating feature that you attacked Sir Robert because of his age." Sir Robert, who was heading to Oxford Circus after a pensioners' lunch, was rescued by teacher Riyad El Hussani (AP) Mr French has now described his "incredible sense of guilt" when he heard his attacker had struck again just moments later. Speaking to the BBC, Mr French said: "I was on my way home. I'd just missed the train before and I was just waiting on the platform - I just felt two hands on my back as someone pushed me towards the tracks. "I turned around and he tried to push me again so I just pushed him to the floor and by the time I came to really after shock he was already on the tube going the other way.” He continued: "When I heard he had attacked a second person, incredible guilt set in, because I had the opportunity to stop him at the time.” He added: "I do think I should have stopped him or done more.” Describing Crossley's trial, he said: "I got to see the CCTV for the first time in the court room. "Watching my family react was very haunting for me and it really nailed home how serious and how dangerous the situation was and how close I was to being pushed in front of that train.” He added: "One message I would send to everyone else is just make sure you are aware of what's going on around you and not be looking at your phones when you're on the edge of the platform.” The British Transport Police said: "We could easily have been dealing with a double murder investigation had it not been for the brave actions of the public who stepped in." Crossley was sentenced to life with a minimum of 12 years for each count of attempted murder, to run concurrently. The judge added: "In my judgment your culpability for these offences remains high such that punishment is necessary and a hospital would not be suitable." |
Supreme Court strikes down stiff firearms penalties
By Lawrence Hurley WASHINGTON (Reuters) - Conservative Justice Neil Gorsuch sided with the U.S. Supreme Court's four liberal members on Monday in striking down as unconstitutionally vague a law imposing stiff criminal sentences for people convicted of certain crimes involving firearms. In the 5-4 decision, the court ruled against President Donald Trump's administration in declaring that the federal law in question was written too vaguely and thus violated the U.S. Constitution's guarantee of due process. The court's four other conservative justices dissented, including Brett Kavanaugh, who like Gorsuch was appointed by Trump. The court invalidated the firearms convictions of two men prosecuted in Texas on a variety of charges for their roles in a series of 2014 gas station robberies in Texas. Although the robbers were armed, no shots were fired. The law, the most recent version of which was passed by Congress in 1986, imposed additional penalties on anyone who committed certain violent crimes while in possession of a firearm. Gorsuch, appointed by Trump in 2017, wrote that laws passed by Congress must give ordinary people notice of what kind of conduct can land them in prison. "In our constitutional order, a vague law is no law at all," Gorsuch added. Kavanaugh, appointed by Trump in 2018, wrote a dissenting opinion expressing surprise at the court overturning a law in use for decades. "The court's decision today will make it harder to prosecute violent gun crimes in the future," Kavanaugh wrote. Kavanaugh said there was evidence that steep prison sentences have been a contributing factor in a decline in U.S. violent crime. Gorsuch said Congress could pass a more specific law to address the issue, but added that "no matter how tempting, this court is not in the business of writing new statutes to right every social wrong it may perceive." It represented the third ruling in the court's current term in which Gorsuch has joined the court's liberals in a 5-4 decision. Story continues The court sided with defendants Maurice Davis and Andre Glover, who were convicted of multiple robbery counts, one count of conspiracy to commit robbery and two counts each of brandishing a shotgun during a crime of violence. Davis was originally sentenced to 41 years in prison. Glover faced a 50-year sentence. Both likely will now get shorter sentences. The decision does not affect their other convictions. Monday's ruling was similar to another 5-4 ruling a year ago in which Gorsuch also joined the liberals in the majority. The court ruled that a law requiring the deportation of immigrants convicted of certain crimes of violence also was unconstitutionally vague. Gorsuch is ideologically aligned with the late conservative Justice Antonin Scalia, whom he replaced on the court in 2017. Scalia wrote a 2015 ruling that Gorsuch invoked in Monday's decision that found that a similar provision in a federal criminal sentencing law also was overly broad. Trump's Justice Department appealed the case to the Supreme Court after the New Orleans-based 5th U.S. Circuit Court of Appeals last year threw out one of each of the two defendants' firearm-related offenses. A Justice Department spokeswoman declined to comment. The case did not involve the right to bear arms under the U.S. Constitution's Second Amendment, which the Supreme Court's conservative justices tend to interpret broadly. For a graphic on major U.S. Supreme Court rulings, see: https://tmsnrt.rs/2V2T0Uf (Reporting by Lawrence Hurley; Editing by Will Dunham) |
Should You Be Adding HMS Holdings (NASDAQ:HMSY) To Your Watchlist Today?
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It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks with a good story, even if those businesses lose money. But as Warren Buffett has mused, 'If you've been playing poker for half an hour and you still don't know who the patsy is, you're the patsy.' When they buy such story stocks, investors are all too often the patsy.
In the age of tech-stock blue-sky investing, my choice may seem old fashioned; I still prefer profitable companies likeHMS Holdings(NASDAQ:HMSY). While profit is not necessarily a social good, it's easy to admire a business than can consistently produce it. Loss-making companies are always racing against time to reach financial sustainability, but time is often a friend of the profitable company, especially if it is growing.
View our latest analysis for HMS Holdings
The market is a voting machine in the short term, but a weighing machine in the long term, so share price follows earnings per share (EPS) eventually. That makes EPS growth an attractive quality for any company. I, for one, am blown away by the fact that HMS Holdings has grown EPS by 40% per year, over the last three years. That sort of growth never lasts long, but like a shooting star it is well worth watching when it happens.
I like to take a look at earnings before interest and (EBIT) tax margins, as well as revenue growth, to get another take on the quality of the company's growth. The good news is that HMS Holdings is growing revenues, and EBIT margins improved by 3.6 percentage points to 15%, over the last year. Ticking those two boxes is a good sign of growth, in my book.
The chart below shows how the company's bottom and top lines have progressed over time. For finer detail, click on the image.
Fortunately, we've got access to analyst forecasts of HMS Holdings'sfutureprofits. You can do your own forecasts without looking, or you cantake a peek at what the professionals are predicting.
I like company leaders to have some skin in the game, so to speak, because it increases alignment of incentives between the people running the business, and its true owners. As a result, I'm encouraged by the fact that insiders own HMS Holdings shares worth a considerable sum. Indeed, they hold US$48m worth of its stock. That's a lot of money, and no small incentive to work hard. Despite being just 1.7% of the company, the value of that investment is enough to show insiders have plenty riding on the venture.
HMS Holdings's earnings have taken off like any random crypto-currency did, back in 2017. That sort of growth is nothing short of eye-catching, and the large investment held by insiders certainly brightens my view of the company. The hope is, of course, that the strong growth marks a fundamental improvement in the business economics. So to my mind HMS Holdings is worth putting on your watchlist; after all, shareholders do well when the market underestimates fast growing companies. Of course, identifying quality businesses is only half the battle; investors need to know whether the stock is undervalued. So you might want to consider thisfreediscounted cashflow valuationof HMS Holdings.
Although HMS Holdings certainly looks good to me, I would like it more if insiders were buying up shares. If you like to see insider buying, too, then thisfreelist of growing companies that insiders are buying, could be exactly what you're looking for.
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
India, U.S. nearing industrial security pact for defence tech transfers
By Sanjeev Miglani
NEW DELHI (Reuters) - India and the United States are closing in on an industrial security agreement that will allow the transfer of defence technology, sources said on Monday, ahead of U.S. Secretary of State Mike Pompeo's talks in New Delhi this week to promote strategic ties.
Disputes over trade and protectionist moves have escalated between the two countries in recent months, but defence ties remain strong with Washington seeking to build Indian capabilities as a counterweight to China.
India has bought weapons worth more than $15 billion from the United States over the past decade as it seeks to replace its Russian-origin military and is in talks for helicopters, armed drones and a bigger Indian plan for local production of combat planes together worth billions of dollars.
To allow for transfer of technology for building combat jets locally and other joint ventures, the United States had sought guarantees for the protection of classified information and technology.
A draft of the agreement called Industrial Security Annex is now ready and will go up before the Indian cabinet for approval in the next few weeks, sources aware of the India-US defence negotiations said.
It would be the first time New Delhi has entered into such a pact with any country, although the United States has such agreements in place with several countries, one of the sources said.
Lockheed Martin and Boeing are both in the race for a deal estimated at over $15 billion to supply the Indian air force with 114 fighter planes to replace its ageing fleet of Mig 21 jets.
The planes have to be built in the country as part of Prime Minister Narendra Modi's Make-in-India drive to cut expensive imports and build a domestic industry.
Pompeo will arrive in New Delhi on Tuesday and will hold talks with Modi and his Indian counterpart Subrahmanyan Jaishankar the following day.
After years of hesitation, India signed an agreement in 2016 to allow both countries to access each other's military bases and a second one last year on secure military communications.
A third accord on sharing geospatial information is still in the early stages, the source said. These are all foundational agreements designed for closer military cooperation, the source said.
(Reporting by Sanjeev Miglani; Editing by Toby Chopra) |
BofAML Shipper Survey: Capacity Will Stay Loose, Rates Will Stay Flat
Bank of America – Merrill Lynch (BofAML) released the 181st edition of its Truckload Diffusion Indicator, a survey that aggregates and analyzes shipper sentiment toward truckload markets.
Shippers believe that trucking rates are nearing their bottom. In the current survey, 33 percent of shippers said they expect rates to continue falling, down from 53 percent two weeks ago. Now the majority, 55 percent, say that they expect rates to stay flat, up from 42 percent two weeks ago.
Having made it through May and most of June without major disruptions to capacity, a growing number of shippers reported their belief that capacity will loosen even further in the near future. A full 63 percent of shippers expect capacity to increase, up from 50 percent in the last survey.
"A shipper from the Southeast noted that Florida produce season always has an effect on his company's Southeastern capacity, so it's just a matter of how tight it will be," wrote Ken Hoexter, research analyst and managing director at BofAML. "He noted that so far this year, it has not affected his company's ability to get trucks. He highlighted that this is the quietest he has seen it in his 20 years in Florida through May and June."
This survey, the Truckload Diffusion Indicator normalized following an exceptional peak — the largest sequential increase in the survey's history — two weeks ago. Hoexter attributed last survey's abrupt spike from 52.5 to 61.1 to a full week of favorable weather, pull-forward from China and (threatened) Mexico tariffs, a large movement upward in the stock market, and International Road Check week.
BofAML remains pessimistic on the near- and medium-term outlook for trucking companies, which tracks with the narrative emerging from a number of freight data sources. Just as tight capacity colluded with strong economic growth in 2017-8 to send trucking rates soaring, now loose capacity combined with slowing economic growth is pulling the industry into a bear cycle.
"We do not anticipate a sharp recovery for carriers, and thus, favor companies with proven skill at navigating cycles, such as Knight-Swift," Hoexter wrote.
The charts in BofAML's report demonstrate the severity of the current downturn by stacking this year's data on top of historical data beginning in 2015. This year, 2019, is shaping up to be just as negative as 2018 was positive. Shippers' view of available capacity is now at a five-year high; the outlook for freight demand is at a five-year low; inventory is more balanced than it has been in any of the past five years.
(Charts: Bank of America Merrill Lynch)
"Another shipper from the Southeast noted that asset based companies are lowering prices to compete with the spot market, and expects this situation to level out in the next month or so," Hoexter wrote. "A shipper from the Manufacturing industry noted that dry van and flatbed carriers are lowering rates, even after his company's 1Q/2Q bids."
BofAML's survey is distributed to more than 1,000 shipping managers across a variety of industry verticals. Consumer goods & services represented 28 percent of respondents, the largest category, followed by Retail (25 percent) and Manufacturing (23 percent).
At the end of the report, Hoexter listed his price targets for some of the transportation and logistics companies he covers. He believes that shares ofC.H. Robinson Worldwide Inc.(NASDAQ:CHRW) should stabilize at 17 times his estimate for the company's estimated 2019 earnings-per share at $84; the stock closed at $83.03 on Friday.
Hoexter was a bit more optimistic towardJ.B. Hunt(NASDAQ:JBHT), largely due to its ramping brokerage profits, expected to grow as its Integrated Capacity Solutions division is able to feed more freight through the J.B. Hunt 360 app.
The impressive operating ratio posted by Swift Trucking continues to have a positive influence on Wall Street's view ofKnight-Swift(NYSE:KNX). Although shares of Knight-Swift closed at $31.89 on Friday afternoon, Hoexter's price target is $43, an implied 34% upside.
"This multiple [15.5x] is just below the low end of its blended KNX-SWFT one-standard-deviation 22 year historical trading range of 16x-25x, which we view as appropriate given integration gains offset cycle concerns," Hoexter wrote.Hoexter likesSchneider National's (NYSE:SNDR) mixture of intermodal and brokerage, is optimistic but waiting for an operational turnaround fromU.S. Xpress(NYSE:USX), and thinksWerner Enterprises(NASDAQ:WERN) can continue to grow earnings.
Image Sourced From Pixabay
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Papa John's Deal With Shaq Is No Easy Layup
Papa John's International(NASDAQ: PZZA)is betting big that former basketball great Shaquille O'Neal can help move the pizzeria beyond its controversial recent past, but there's no guarantee the new partnership will be a slam dunk.
There aren't many products Shaq hasn't been willing to lend his name to since retiring from the National Basketball Association, withUSA Todaysaying he's endorsed over 50 products and companies, earning himself the nickname The King of Endorsements.
Some Papa John's stores have been remodeled to show Shaquille O'Neal's signature on the storefront, a custom telephone number on signage, and his size 22 footprint outside the doors. Image source: Papa John's.
Yet among those are numerous examples where lending his name couldn't prevent the decline, including:
• Radio Shack, which still went bankrupt despite rebranding itself as The Shack.
• Toys R Us, which also went bankrupt despite having O'Neal appear as Shaq-a-Claus for Christmas each year.
• General Motors' Buick Lacrosse, which went from selling 57,000 cars a year when he began hawking the car to just over 15,500 last year.
• Power Balance, a sketchy wristband maker that said the hologram each band featured was "designed based on Eastern philosophies" and did... something ...but went bankrupt after being sued over charges of misleading advertising.
So just because Papa John's signed him up doesn't mean success will be an easy layup. But in filings with the SEC, we see just how much the pizza joint is counting on O'Neal to work whatever magic he may have left.
We knew from when thedeal was announcedearlier this year Papa John's was hoping for big things. Following former NFL quarterback Peyton Manning's public divestiture from the company, it gave O'Neal a seat on the board of directors in exchange for becoming the company spokesman, which in addition to his board salary he would be paid $8.5 million in cash and stock. He was also allowed to invest in nine company-owned stores in Atlanta, paying just $840,000 for a 30% stake in the restaurants. (Papa John's would retain the other 70%.)
Yet the SEC filings reveal more details about what's expected of both sides in this three-year endorsement deal.
As part of the contract, O'Neal must spend at least eight "service days" making personal appearances on behalf of the chain by visiting company stores, meeting with franchisees, and attending a community event, but also spending at least four days with Papa John's creative agency.
The former NBA star must also promote Papa John's on Instagram,Twitter, andFacebookat least once a month, and he must make several public-relations appearances for the pizzeria, do media and photo-op tours, and sit for a total of 60 minutes of interviews each year. He and the company will also collaborate on developing co-branded products.
The totality of the contract indicates that Papa John's believes O'Neal's involvement will allow the restaurant chain to move beyond remarks made by founder John Schnatter that caused controversy, both in regard to the NFL kneeling protests and in comments during preparation for an earnings conference call that were perceived as racially insensitive.
While sales of the pizza joint had been falling before these incidents, their publication created a PR nightmare for the company that saw the sales decline accelerate. The relationship between Schnatter and the board grew increasingly acrimonious and litigious, but Schnatter subsequently agreed to leave the company and has been selling off his stock.
Papa John's has since gone on a rebranding campaign to remove all vestiges of Schnatter's association with the company, and the contract with O'Neal is the latest effort to improve its standing with the community.
It's possible O'Neal's personality, which is as large as the man himself, will allow Papa John's to focus once again on what it does best -- making pizza. But like Shaq's record from the free-throw line, its success is by no means assured.
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Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to its CEO, Mark Zuckerberg, is a member of The Motley Fool's board of directors.Rich Dupreyhas no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Facebook and Twitter. The Motley Fool has adisclosure policy. |
Cimarex Energy Co. (NYSE:XEC): Immense Growth Potential?
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In March 2019, Cimarex Energy Co. (NYSE:XEC) released its earnings update. Generally, it seems that analyst expectations are fairly bearish, with profits predicted to rise by 2.6% next year relative to the higher past 5-year average growth rate of 22%. By 2020, we can expect Cimarex Energy’s bottom line to reach US$801m, a jump from the current trailing-twelve-month of US$781m. In this article, I've outline a few earnings growth rates to give you a sense of the market sentiment for Cimarex Energy in the longer term. Readers that are interested in understanding the company beyond these figures shouldresearch its fundamentals here.
View our latest analysis for Cimarex Energy
The 18 analysts covering XEC view its longer term outlook with a positive sentiment. Given that it becomes hard to forecast far into the future, broker analysts tend to project ahead roughly three years. To get an idea of the overall earnings growth trend for XEC, I’ve plotted out each year’s earnings expectations and inserted a line of best fit to determine an annual rate of growth from the slope of this line.
By 2022, XEC's earnings should reach US$1.1b, from current levels of US$781m, resulting in an annual growth rate of 16%. EPS reaches $8.6 in the final year of forecast compared to the current $8.32 EPS today. With a current profit margin of 33%, this movement will result in a margin of 37% by 2022.
Future outlook is only one aspect when you're building an investment case for a stock. For Cimarex Energy, there are three pertinent aspects you should further research:
1. Financial Health: Does it have a healthy balance sheet? Take a look at ourfree balance sheet analysis with six simple checkson key factors like leverage and risk.
2. Valuation: What is Cimarex Energy worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? Theintrinsic value infographic in our free research reporthelps visualize whether Cimarex Energy is currently mispriced by the market.
3. Other High-Growth Alternatives: Are there other high-growth stocks you could be holding instead of Cimarex Energy? Exploreour interactive list of stocks with large growth potentialto get an idea of what else is out there you may be missing!
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Have Insiders Been Buying Hemispherx Biopharma, Inc. (NYSEMKT:HEB) Shares?
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We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So we'll take a look at whether insiders have been buying or selling shares inHemispherx Biopharma, Inc.(NYSEMKT:HEB).
It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, most countries require that the company discloses such transactions to the market.
Insider transactions are not the most important thing when it comes to long-term investing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia Universitystudyfound that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.
Check out our latest analysis for Hemispherx Biopharma
In the last twelve months, the biggest single purchase by an insider was when Executive Vice Chairman Thomas Equels bought US$118k worth of shares at a price of US$4.03 per share. That implies that an insider found the current price of US$4.16 per share to be enticing. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Hemispherx Biopharma share holders is that insiders were buying at near the current price.
Over the last year, we can see that insiders have bought 40768.63 shares worth US$255k. In the last twelve months Hemispherx Biopharma insiders were buying shares, but not selling. Their average price was about US$6.26. This is nice to see since it implies that insiders might see value around current prices. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at thisfreelist of companies. (Hint: insiders have been buying them).
It's good to see that Hemispherx Biopharma insiders have made notable investments in the company's shares. Thomas Equels spent US$118k on stock, and there wasn't any selling. This is a positive in our book as it implies some confidence.
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own US$303k worth of Hemispherx Biopharma stock, about 3.6% of the company. However, it's possible that insiders might have an indirect interest through a more complex structure. We consider this fairly low insider ownership.
The recent insider purchase is heartening. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Hemispherx Biopharma stock. Of course,the future is what matters most. So if you are interested in Hemispherx Biopharma, you should check out thisfreereport on analyst forecasts for the company.
Of courseHemispherx Biopharma may not be the best stock to buy. So you may wish to see thisfreecollection of high quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Coin Metrics report: Blockchain activity shows Kik’s claim that Kin is more widely used than Bitcoin or Ethereum is inaccurate
Cryptoasset data providerCoin Metricshas released a report showing Kik's claims about its level of blockchain activity and adoption rates for its cryptocurrency Kin are inaccurate.
Thereport, titled: “An Analysis of Kin’s On-Chain Activity” was released today. It analyzed Kin’s blockchain activity to address two specific claims made by Kik on its usage:
• Claim 1:“Kin exceeds Ether and Bitcoin in daily blockchain activity, demonstrating Kin’s wide acceptance and adoption”
• Claim 2:“…over 300,000 people earned and spent Kin as a currency….”
To analyze Kin’s on-chain activity, Coin Metrics first notes that because Kin has gone through multiple infrastructure changes (there are three versions of the Kin blockchain since launch), the firm will only analyze data from Kin 2 and Kin 3. Kin 2 is a centralized version of Kin’s blockchain designed to be a mid-point for fully transitioning to Kin 3, a blockchain forked from the Stellar protocol.
According to Coin Metrics, due to their infancy, blockchains do not share the same level of standardization as traditional applications for estimating activity, such as daily active users. As such, Coin Metrics addresses blockchain activity using two criteria: Operations Count (which Kin uses as evidence to support its claims of activity) and Transfer value.
Operations Count
Kik defines blockchain activity as “the number of operations on the blockchain in the last 24 hours.” According to Coin Metrics, there are two distinct operations that happen on Kin’s blockchain: payments and account creation. Unlike Bitcoin and Ethereum, account creation is recorded as blockchain activity on Kin 3. As such, blockchain data shows that over the past three months, 36% of Kin 2 operations and 72% of Kin 3 operations have been account creations.
And while account creation on Kin could be a good gauge for blockchain activity, Coin Metrics notes that Kin’s blockchain does not require a minimum account balance even though Stellar, the blockchain from which Kin is forking its code, requires a “base reserve” to “prevent empty addresses from bloating the blockchain.” Therefore, Kin accounts can remain empty indefinitely. In fact, roughly 93% of all Kin accounts are empty.
Transfer Value
Because low-fee blockchains like Kin are inexpensive to transfer transactions on, transfer value, according to Coin Metrics, “is often quite noisy.” An example of “noise,” is if a user moves money between different accounts they own. Coin Metrics has devised an “adjusted transfer value” metric, to remove what it deems noise and spammy behavior. This resulted in the following conclusions:
• Despite having a high number of daily operations, Kin’s adjusted transfer value is much lower than the other chains.
• While other chains have average transfer values in the thousands, Kin’s average transfer value has been trending towards $1.
For the first claim, Coin Metrics concludes that, by its nature, a microtransaction platform like Kin will have more transactions with smaller amounts. However, this blockchain activity is ultimately up to how one defines it. If activity were to be measured by payments count, Kin would be considered the most active blockchain. If measured by transfer value, Kin would be considered the least active.
According to Coin Metrics, while traditional applications use personal information to identify unique users, blockchains only have addresses, which makes it difficult to determine how many individuals are actually using a blockchain.
For its analysis, Coin Metrics uses “active addresses” to address Claim 2. Because Claim 2 is about the number of spenders and earners on Kin, Coin Metrics filtered its data to focus on addresses making payments on Kin’s blockchain. They conclude that:
• Kin 2 has significantly more originating active addresses than Kin 3
• Kik appears to be using data from the Kin 2 chain to support their claims about usage.
• Both Kin 2 and Kin 3 have more active addresses that received payments than originated payments, i.e., there are more earners on Kin than spenders.
Coin Metrics also adds that, at its peak, there have only been roughly 35,000 Kin addresses with more than 10,000 Kin ($0.23 at time of writing). “This is orders of magnitude less than other blockchains in our sample, which each have at least 1,000,000 addresses that hold at least $1 USD,” Coin Metrics concludes.
For Claim 2, Coin Metrics concludes that “although Kin has a relatively high number of active addresses, it has a relatively low amount of addresses with a significant account balance,” and that user comparisons across chains are tricky because they have different use cases and operating costs. |
About to Buy Penny Stocks? Look at These 3 Companies First
There is a certain allure to buying a penny stock because with shares trading below $5, you can pick up a lot of shares for relatively little money. And if such a stock heads higher by just a few bucks, well, you can make a killing. Yet with that potential for big rewards, you're also taking on some outsize risks -- risks that can often result in an investor losing much or all of their investment. That doesn't mean you should shun anything on the riskier side of the risk-reward continuum, but you do need to be smart about ensuring there really is a potential to profit. Penny stocks bring way too much of the risk and far too little of the reward to the table. But stocks such as MercadoLibre (NASDAQ: MELI) , Tellurian (NASDAQ: TELL) , and ShotSpotter (NASDAQ: SSTI) swing the odds back in your favor. Pennies sitting on a stock chart Image source: Getty Images. A $600-plus penny stock alternative? Yes! Jamal Carnette, CFA (MercadoLibre): You may be surprised to see a $600-plus stock on this list -- if so, you've fallen prey to a common misperception in investing. You see, it's not the initial cost you should focus on, but rather returns. After all, a 1,000% return is the same whether you own 600 shares of a $1 stock or only one share of a $600 stock. Therefore, the key is to look for companies with favorable risk/return profiles and the potential for mind-boggling growth. MercadoLibre is one such company. As the operator of Latin America's largest e-commerce business, the company will continue to benefit from increasing internet penetration and growing disposable income within the region. However, it's not the e-commerce site that I'm most excited about, but rather its Mercado Pago payments solution. During the fourth quarter, off-platform payments exceeded on-platform payments, which is a fancy way of saying people used the service more to make purchases on other websites than they did on MercadoLibre.. In the recently reported first quarter, total payment volume increased by 83% (in local currency). If MercadoLibre could become the de facto digital payment solution in Latin America -- akin to PayPal in the U.S. -- that would be a game-changer for the company. That's likely one reason why PayPal cut MercadoLibre a $750 million check this spring. Forget penny stocks: MercadoLibre is poised to provide significant returns over the next decade. A risky stock with a potentially huge payoff J ohn Bromels (Tellurian): If you're interested in investing in penny stocks, that already tells me that high levels of risk don't necessarily bother you, as long as the potential reward is great enough. And that means you might be the type of investor who'd be interested in shares of fledgling liquefied natural gas (LNG) company Tellurian. Story continues Tellurian was founded in 2016 by a group of industry insiders who wanted to cash in on the country's rapidly rising natural gas output -- a trend propelled by fracking and other technological advances. They believed that the United States would soon be producing so much natural gas that it would become a major natural gas exporter, and they envisioned creating an integrated company -- that is, one that not only produced, but also transported and exported, natural gas -- to cash in. So far, their thesis appears to have been correct: Numerous companies are constructing LNG export terminals and gas pipelines, and natural gas production, especially in the Permian Basin, is at all-time highs. So why isn't Tellurian a slam-dunk investment? Well, because it takes time to plan and get approval to build natural gas infrastructure like pipelines and terminals, and even more time to actually construct them and bring them online. Tellurian has just gotten government approval for its Driftwood export terminal and associated pipeline; now it needs to secure the necessary financing and start construction. Even under the most rosy scenario , Driftwood won't start paying off for investors until 2023. That sounds like a long time to wait, but CEO Meg Gentle believes that once Driftwood ramps up, investors could be looking at $8 per share in cash flows (at current share count). Considering the stock is currently trading at less than $8 per share, the reward proposition is huge. Of course, it's still a risky investment, but it's a lot less risky than many penny stocks. A shot at growth and profitability Rich Duprey (ShotSpotter): Stung by a revenue and earnings miss last month, gunshot detection leader ShotSpotter's stock lost nearly one-fifth of its value in a single day. What the market missed, though, was that this company is still a growth story that's on track to posting profits by the end of the year. Many penny stocks have the opposite problem. Although they offer a good "story," their actual ability to sell products and turn a profit while doing so is often quite weak. The better choice is to look for companies that have proven there is an actual market for their goods or services, and that have a real plan in place to make money, even if they aren't doing so yet. That's the case with ShotSpotter. Despite missing Wall Street's expectations for sales growth, it still posted revenues that grew 39% to $9.6 million in the first quarter. And though it produced a $0.03 per share loss, compared to forecasts for a $0.02 per share loss, it dramatically improved its position relative to the $0.09 per share loss it posted in Q1 2018. Analysts are still expecting ShotSpotter to turn profitable by the end of the year. Gun violence is a problem, and ShotSpotter's wide area detection technology helps police departments nationwide zero in on where such incidents happen, and can even perceive whether there are multiple shooters, or if high-capacity weapons are being used. It's not a cheap stock by any stretch, trading at 93 time projected earnings and 13 times sales, but this small-cap company is still growing, will likely be profitable, and is already generating positive free cash flow, meaning it has an increasingly stable financial footing. That's something a lot of penny stocks can't offer, which is why ShotSpotter is worth taking a look at instead. More From The Motley Fool 10 Best Stocks to Buy Today The $16,728 Social Security Bonus You Cannot Afford to Miss 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) What Is an ETF? 5 Recession-Proof Stocks How to Beat the Market Rich Duprey has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends MercadoLibre. The Motley Fool has a disclosure policy . View comments |
The Healthcare Services Group (NASDAQ:HCSG) Share Price Is Down 29% So Some Shareholders Are Getting Worried
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Investors can approximate the average market return by buying an index fund. While individual stocks can be big winners, plenty more fail to generate satisfactory returns. For example, theHealthcare Services Group, Inc.(NASDAQ:HCSG) share price is down 29% in the last year. That's disappointing when you consider the market returned 6.6%. Zooming out, the stock is down 24% in the last three years. And the share price decline continued over the last week, dropping some 8.2%.
View our latest analysis for Healthcare Services Group
To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.
Even though the Healthcare Services Group share price is down over the year, its EPS actually improved. It's quite possible that growth expectations may have been unreasonable in the past. It's fair to say that the share price does not seem to be reflecting the EPS growth. So it's well worth checking out some other metrics, too.
Revenue was fairly steady year on year, which isn't usually such a bad thing. But the share price might be lower because the market expected a meaningful improvement, and got none.
You can see how revenue and earnings have changed over time in the image below, (click on the chart to see cashflow).
We know that Healthcare Services Group has improved its bottom line lately, but what does the future have in store? You can see what analysts are predicting for Healthcare Services Group in thisinteractivegraph of future profit estimates.
We've already covered Healthcare Services Group's share price action, but we should also mention its total shareholder return (TSR). The TSR attempts to capture the value of dividends (as if they were reinvested) as well as any spin-offs or discounted capital raisings offered to shareholders. Its history of dividend payouts mean that Healthcare Services Group's TSR, which was a 27%dropover the last year, was not as bad as the share price return.
Healthcare Services Group shareholders are down 27% for the year (even including dividends), but the market itself is up 6.6%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. On the bright side, long term shareholders have made money, with a gain of 2.5% per year over half a decade. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. Before spending more time on Healthcare Services Groupit might be wise to click here to see if insiders have been buying or selling shares.
But note:Healthcare Services Group may not be the best stock to buy. So take a peek at thisfreelist of interesting companies with past earnings growth (and further growth forecast).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Where do we stand on Michael Jackson after 'Leaving Neverland'?
A photo of Michael Jackson and James Safechuck featured in Leaving Neverland . (Photo: HBO) A conversation I’ve been having lately with friends and colleagues starts with one simple question: “So, where do you stand on Michael Jackson these days?” It’s a discussion spurred, of course, by the shocking revelations in this year’s four-hour, two-part HBO documentary Leaving Neverland , in which two men recall, in excruciatingly graphic detail, the sexual abuse they say they suffered as children at the hands of the late singer. James Safechuck was 10 when he was first molested by Jackson, he claims; Wade Robson, only 7. The question is coming up once again as media and entertainment outlets grapple with how to cover or commemorate the 10th anniversary of the pop star’s death on June 25. We live in a post- Leaving Neverland world. Jackson’s songs may still rotate on some radio stations, and a certain devout faction of his fanbase will go to their graves arguing that he was innocent, finding whatever minute holes in the victims’ stories they can to justify their beliefs, no matter how otherwise convincing the testimonials or numerous the accusers. But Jackson’s legacy will never be the same. I dreaded watching the film when it premiered on HBO in March, but felt I had no choice. As a longtime, hardcore fan of Jackson’s art, I finally had to, well, face the music. The experience would be painful but necessary, and perhaps director Dan Reed’s doc wouldn’t be as damning as in early reports out of the Sundance Film Festival , where it premiered in January, indicated it was. Maybe I’d walk away doubting the credibility of the testimonials and not have to confront my worst fears about one of the greatest, most beloved performers who ever lived. But nope. I’m not sure how any reasonable human being can watch Leaving Neverland and not believe Jackson was a pedophile. This is not the first time the claims have been made, but the film is the most convincing argument to date. Safechuck and Robson’s stories are intensely vivid, forthright and disturbing, all presented in chillingly matter-of-fact fashion. Their recollections, which share many parallels with each other’s as well as those that fueled high-profile court cases against the singer in 1993 and 2003, reveal an unsettling, distinct pattern of sexual predation targeting young boys. Story continues One of the most difficult aspects to watching Neverland (and there are many) is coming to terms with the fact that we’ve all been complicit. As fans we’ve made many excuses through the decades: His accusers just wanted fame or money; he never had a childhood because he reached fame at such an early age; or his formative years were so f**ked up that he surrounded himself with children because he still felt like a child himself. We all knew that he slept in the same bed as children. Somehow I had convinced myself that this was a man who loved children so much that he merely wanted their comfort and closeness, with not an inkling of sexual desire for them. With Leaving Neverland , the curtain is drawn back and we’re forced to emerge from the fog of denial that we’ve treaded through for so long. While critics have rightly applauded that the documentary focuses its attention squarely on the tragic stories of these two victims and their families (while definitely still holding their parents accountable) rather than the celebrity, it has a profound and devastating effect on the way we look at Jackson. Yes, he clearly possessed demons any psychologist could trace to a troubled childhood, but what it makes crystal clear is that he knew what he was doing was wrong. Safechuck and Robson explain how careful Jackson was not to get caught, how he convinced them they’d both go to jail if they were exposed, how it was a normal way for two people in love to secretly show their affection. There’s a deep level of emotional manipulation portrayed, and it’s compounded by the fact that this was an adult — childlike or not — manipulating children. One of the chief arguments used against Safechuck and Robson by Jackson’s supporters is that they’ve both defended him against allegations in the past. The film, however, offers a powerful explanation: Due to the manipulation endured at formative stages of their youth, they were prone to believe what Jackson was telling them; they also truly loved Jackson and didn’t want him to suffer. The film is especially traumatizing to watch as a parent. I have two young children, one around the same age as Robson when he claims the molestation began. Like most parents, I never realized how much I could worry about the well-being, health and safety of another human being until I had children. Now when I watch a kidnapping thriller, I imagine my children being kidnapped. And when I watch Leaving Neverland , I want to protect them from such alleged horrors. Parenthood also proves a poignant tie that binds the testimonials of Safechuck and Robson. Both say it wasn’t until they had children, and imagined the same thing happening to their kids, that they understood how easily a child could be manipulated by an adult and therefore felt they needed to speak the truth. And while never explicitly conveyed by the men, they are clearly consumed by guilt. Other children (including a cancer patient ) came forward, and Safechuck and Robson, whether actively or passively, were key parts of the system that shut down such accusers. If not for these men helping protect or defend Jackson, the singer likely would have been behind bars while he was alive. Instead, he was free to see other boys. The film gains further context by coming amid the #MeToo movement. If we’ve learned anything in the year-and-a-half since those brave women and men began making their stories public en masse, it’s that we were collectively ignorant (at best) or turned a blind eye (at worst) toward the rampant sexual abuse by famous or powerful people. Jackson was arguably the biggest celebrity of his time, which may have allowed him to get away with such truly horrific acts. It’s nauseating to think, but Leaving Neverland wouldn’t have received nearly as much attention had it premiered at Sundance two years ago. #MeToo has transformed us. We can’t ignore these allegations any longer. A photo of Michael Jackson with the Robson family featured in Leaving Neverland . (HBO) What has been the effect of Leaving Neverland in 2019, though? The conversation about where one stands on Jackson naturally leads to a specific touchpoint: “So, can you still listen to his music?” And it’s a complicated question. While everyone I’ve spoken to who has seen Neverland has little doubt that Jackson is guilty of the crimes he’s accused of committing against Safechuck and Robson, answers vary when it comes to the concept of “canceling,” “deleting” or “muting” the singer. Some say it’s not fair since he’s deceased and can’t address the claims. Others say they have the ability to “separate the art from the artist,” a concept I find harder and harder to digest post #MeToo in a new era of consciousness and accountability. Some say they’ll only listen to his Jackson 5 songs, recorded long before he was being accused of child sexual abuse. Others are still deciding. Some agree with me. I can never listen to Jackson again. As a DJ, I can never spin another one of his songs. I have a visceral reaction to hearing his music now, the upsetting imagery presented in the film instantly coming to mind. It’s become a Pavlovian response to change the radio station the second one of his tracks comes on, or to skip ahead the moment one rotates into my iTunes. I’ve yet to delete all of his MP3s and chuck his records, but I’m getting close. This line of thought is a slippery slope: If we cancel Jackson, doesn’t that mean we have to cancel any other musician with a dark past? I’ve never been much of an Elvis Presley fan, but there have long been stories about his preference for teenage girls. He met future wife Priscilla — Jackson’s mother-in-law for two years — when she was 14. Does it make me a hypocrite if I stop listening to Jackson but still continue to spin James Brown and Rick James, late singers with their own histories of domestic abuse and violence against women? It could. Does it make any difference if the victims are children or adults? It probably doesn’t. But we all have to process the information we have about people in our own ways, and be conscious of when and how we’re rationalizing or reconciling or compartmentalizing the decisions we make about them. It’s part of the awakening. There’s an innate human need for others to share your worldview, and I’ll now find myself getting upset at radio stations and other DJs for still playing Jackson. “How can they possibly still play this man’s music with the information about him that’s out there?” Then I’ll remind myself that we live in a country that elected a man president merely months after a recording emerged in which we hear him boasting about sexually assaulting women, and has had at least 23 women accuse him of sexual misconduct. Shortly after Neverland premiered at Sundance, a friend of mine who writes for a prominent music publication professed to me that he didn’t think Jackson was “cancelable.” His catalog is too deeply ingrained within the very fabric of our culture. His endless list of hits have been ubiquitous throughout the courses of our lifetimes, and we can’t just suddenly pretend that they don’t exist, or that they never brought us the joy they did. And he might be right. While we’ve certainly felt a shift in public perception when it comes to Jackson — especially when talking to people on a one-to-one basis, there hasn’t exactly been a highly publicized movement against him. Not like, say, the #MuteRKelly trend that spawned from another undeniable celebrity exposé, Surviving R. Kelly, which also lead to multiple criminal charges. Aside from a high-profile Q&A hosted by Oprah, the public backlash was relatively minimal : Some Canadian radio stations pulled M.J. from rotation, his streaming sales slightly dropped and a Simpsons episode featuring the singer’s voice was pulled from syndication archives. He’s still so loved in many circles, much the way Safechuck and Robson cared for him for years after the alleged incidents. Maybe people didn’t want to deal with the emotional landmines that the film presents. If you decide not to watch Leaving Neverland , know this: Despite what we’ve worked so hard to convince ourselves over the years, the film leaves little doubt that the man was a monster. So, where do you stand on Michael Jackson? Story originally published March 29, 2019. Read more on Yahoo Entertainment: ‘Leaving Neverland’ director speaks out about his controversial documentary: ‘It’s a reckoning, isn’t it?’ ‘Leaving Neverland’ leaves Twitter in shock over explosive allegations Corey Feldman backtracks on Michael Jackson support: ‘I cannot in good consciousness defend’ him Want daily pop culture news delivered to your inbox? Sign up here for Yahoo Entertainment & Lifestyle’s newsletter. |
Canopy Growth Stock Could Drop to $30
Canopy Growth Corp(NYSE:CGC) just reported their quarterly earnings last week, and they weren’t good. Looking over the report, here are three things that CGC stock investors should be concerned about:
Source: Shutterstock
First, the operating income loss just was significantly worse than estimates, coming in around CA$175 million. But it is even worse than it sounds. Part of what CGC management says were in the earnings, were “fair value” adjustments. This amount was about CA$75 million.
What is a “fair value adjustment?” Well, basically management sits around a table and says “you know all that weed that we have stored in inventory? It’s now worth CA$75 million more than we said it was before.” So without management saying that their inventory was worth more than they had previously valued it, the loss for the quarter would have been closer to CA$250 million.
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Fair value can be very subjective. When most companies make fair value adjustments to the value of their inventory, they typically reduce the value.
The second thing that would concern me is that Goodwill is very high. What is “goodwill?” It is basically managements opinion as well.
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For example, say a company buys a another company that is worth $10 million, and they pay $15 million for it. This extra $5 million premium will now be considered goodwill. It supposedly includes intangible things such as reputation and clients.
So basically, if company A buys company B and overpays for it, company A’s valuation will increase by the amount of the overspend. A company’s management decides if it will acquire another company and what they will pay for it. It is their opinion. Like fair value, goodwill can be very subjective. Canopy’s overall goodwill is CA$1.8 billion. CGC’s opinion on goodwill increases the overall valuation of the company by almost 20%.
The third and probably most important thing that would concern me is the chart. We could be setting up for a big drop.
The chart doesn’t look good. The $40 level is being tested. This level was support in April and again in early June. If it breaks, and I think it will, we could see a significant move lower. That is because there is no other clear support until we get down to around the $30 level.
Early in the year, CGC gapped up from $30 to $40. Gaps tend to refill. This is because the stock only spends a short period of time trading at the levels that it gapped through. This means a meaningful amount of vested interest does not form.
For example, support forms because the people who sold a stock at a certain level get upset when the stock goes higher. They tell themselves that if it comes back to the level that they sold it at, they will buy it back.
The short sellers are looking at a loss and they tell themselves that if it gets back to the level that they went short, they will buy it back to break even. Those who bought it only to see it go higher tell themselves that if it comes back to the level they bought it at, they will buy more. Now we have three groups of buyers. This is how support forms.
When a stock gaps up like CGC did in January, it doesn’t spend much time trading at the levels that it gapped through. Because of this, there isn’t time for meaningful support to form. This means that when the stock trades back down into these levels is can gap right back through them because there isn’t much support. I do not see any clear support levels until we get down to the $30 level.
As of this writing, Mark Putrino did not hold a position in any of the aforementioned securities.
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Does Healthcare Services Group, Inc. (NASDAQ:HCSG) Have A Particularly Volatile Share Price?
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If you're interested in Healthcare Services Group, Inc. (NASDAQ:HCSG), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. Modern finance theory considers volatility to be a measure of risk, and there are two main types of price volatility. First, we have company specific volatility, which is the price gyrations of an individual stock. Holding at least 8 stocks can reduce this kind of risk across a portfolio. The second type is the broader market volatility, which you cannot diversify away, since it arises from macroeconomic factors which directly affects all the stocks on the market.
Some stocks are more sensitive to general market forces than others. Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). While we should keep in mind that Warren Buffett has cautioned that 'Volatility is far from synonymous with risk', beta is still a useful factor to consider. To make good use of it you must first know that the beta of the overall market is one. Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.
View our latest analysis for Healthcare Services Group
Given that it has a beta of 0.84, we can surmise that the Healthcare Services Group share price has not been strongly impacted by broader market volatility (over the last 5 years). This suggests that including it in your portfolio will reduce volatility arising from broader market movements, assuming your portfolio's weighted average beta is higher than 0.84. Many would argue that beta is useful in position sizing, but fundamental metrics such as revenue and earnings are more important overall. You can see Healthcare Services Group's revenue and earnings in the image below.
With a market capitalisation of US$2.2b, Healthcare Services Group is a pretty big company, even by global standards. It is quite likely well known to very many investors. When a large company like this trades with a low beta value, it is often because there is some other systemic factor influencing the share price. For example, commodity prices might influence a mining company strongly, while expectations around dividend payments (and capital expenditure requirements) might have a big impact on utilities.
The Healthcare Services Group doesn't usually show much sensitivity to the broader market. This could be for a variety of reasons. Typically, smaller companies have a low beta if their share price tends to move a lot due to company specific developments. Alternatively, an strong dividend payer might move less than the market because investors are valuing it for its income stream. This article aims to educate investors about beta values, but it's well worth looking at important company-specific fundamentals such as Healthcare Services Group’s financial health and performance track record. I highly recommend you dive deeper by considering the following:
1. Future Outlook: What are well-informed industry analysts predicting for HCSG’s future growth? Take a look at ourfree research report of analyst consensusfor HCSG’s outlook.
2. Past Track Record: Has HCSG been consistently performing well irrespective of the ups and downs in the market? Go into more detail in the past performance analysis and take a look atthe free visual representations of HCSG's historicalsfor more clarity.
3. Other Interesting Stocks: It's worth checking to see how HCSG measures up against other companies on valuation. You could start with thisfree list of prospective options.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Paul Whitehouse and Bob Mortimer accidentally checked into a sex hotel while making 'Gone Fishing'
Paul Whitehouse and Bob Mortimer in Gone Fishing . (BBC) You can’t get much more genteel than a BBC Two series about fishing, but comedians Paul Whitehouse and Bob Mortimer accidentally added a racy edge by booking into a sex hotel during filming. Whitehouse and Mortimer, who present the series, realised something was fishy when they checked into the hotel between filming days, and soon worked out someone had made a boob with the booking. In a book accompanying their show Gone Fishing , Mortimer wrote about their embarrassing experience. Read more: Reeves and Mortimer are making a film about Michael Jackson’s glove The Shooting Stars comedian explained: “There was a big door with one of those yellow plastic signs outside like when the floor gets wet. (Getty) “But it said, ‘Don’t come in — kissing and cuddling going on’.” The hotel in Norfolk had been recommended to them by 76-year-old angler and TV star John Bailey, although it’s unclear whether he knew anything of its true nature. Read more: Only Fools and Horses gets West End musical starring Paul Whitehouse Whitehouse added: “We went down the next morning — and you know how in rural hotels at breakfast there’s always old couples? Not one. Just me and him. “The two of us came down to breakfast and waved to them all, ‘Good morning! What are you up to today? Group sex? Right-o! No, that’s very kind, but we’re going pike fishing! Better put the old thermals on!’.” Gone Fishing follows good pals Mortimer and Whitehouse around the UK on a fishing jaunt, taking in new experiences along the way. The pair began the series after both undergoing life-changing heart surgery and it has been a hit with viewers, being renewed for a second series. |
Dikembe Mutombo records Ebola messages for US officials
NEW YORK (AP) — Unable to send disease fighters to help battle one of the deadliest Ebola outbreaks in history, U.S. health officials are turning to basketball hall of famer Dikembe Mutombo for help. Mutombo, regarded as one of the greatest defensive players in NBA history and a well-known philanthropist in his native Congo, recorded radio and video spots designed to persuade people to take precautions and get care that might stop the disease's spread. The U.S. Centers for Disease Control and Prevention began posting the spots Monday on its YouTube channel and on the agency's website . Officials are trying to get radio and TV stations in the Democratic Republic of Congo to air them. About 2,100 people have been reported ill — and nearly 1,500 have died — since an Ebola outbreak was declared in August in eastern Congo. It is the second deadliest outbreak of the lethal virus, which jumps from person to person quickly through close contact with bodily fluids. Rebel attacks and community resistance have hurt Ebola response work in Congo. A World Health Organization doctor was killed in April, health centers have been attacked and armed groups have repeatedly threatened health workers. Because of safety concerns, the U.S. State Department last year ordered CDC disease specialists to stay out of the outbreak areas. Mutombo, who moved to the U.S. in the 1980s intending to pursue a medical degree, told The Associated Press he understands where the distrust comes from. "Someone who doesn't look like you, who doesn't think like you, who is not from your village, who is from other places, just walk to your village with a nice beautiful white truck and telling you ... 'inject this chemical into your body to protect you from this deadly virus.' That's where there's a fight. This is where we're having a conflict," he said. "How do you that build trust? That's the big problem we're having in the Congo," he said. "I believe as a son of Congo, I think my voice can be heard. Because everyone in the country knows my commitment to the humanity and the health." Story continues The idea for the PSA was sparked in February when Mutombo, a member of the CDC Foundation's governing board who lives in Atlanta, was talking with Dr. Robert Redfield, the CDC's director. "We are deeply appreciative of his interest to try to get accurate information to the community," Redfield said. Mutombo, who turns 53 on Tuesday, previously did public service announcements focused on polio and yellow fever. A dozen years ago, his foundation established a 300-bed hospital on the outskirts of his hometown of Kinshasa. The new spots were recorded in Kiswahili, French and Lingala. They talk about recognizing the early signs of Ebola, early treatment and prevention measures. ___ AP reporter Cody Jackson in Atlanta contributed to this report. ___ The Associated Press Health and Science Department receives support from the Howard Hughes Medical Institute's Department of Science Education. The AP is solely responsible for all content. |
McDonald's says Quarter Pounder sales up 30% since shift from frozen to fresh beef
McDonald’s is finding Americans have a hearty appetite for fresh beef.
On Monday, the fast-food giant announced that in the year since it swapped frozen for fresh beef in its Quarter Pounder, sales of the iconic burger are up 30% on average.
“Our customers are loving it,” Marion Gross, McDonald’s senior vice president of supply chain management, said in an interview with USA TODAY. “We sold 40 million more Quarter Pounder burgers nationally in the first quarter of this year compared to the quarter in 2018.”
Gross said the burgers are hotter and juicer than frozen beef. Wendy’s, Culver’s, Five Guys, Whataburger, Shake Shack, In-N-Out Burger and Smashburger also promote using fresh, not frozen, beef.
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“Our customers tell us they have an interest in understanding where it comes from, what goes into it and how is it prepared,” Gross said. “We’re trying to be more transparent and make some necessary changes to delight our customers as we embark on our journey to be a better McDonald’s.”
Gross said the transition to fresh beef was the most significant change at U.S. restaurants sinceAll Day Breakfastwas rolled out in 2015. Fresh beef is not available in McDonald’s restaurants in Alaska, Hawaii and U.S. Territories.
In April, McDonald’s announced it was moving away from its premium line ofSignature Crafted Recipesas it added more options to its Quarter Pounders lineup.
According to Robert Derrington, senior restaurant analyst at the Telsey Advisory Group, a brokerage firm in New York, Signature Crafted Recipes foods weren't selling well, plus McDonald's upped its game by introducing non-frozen meat in the Quarter Pounders.
"They've had success with fresh beef," he said in April. "It appears they don’t need to supplement the higher end of their menu. Instead, they can do that successfully with their core products with updated ingredients."
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While McDonald’s is finding growth with fresh beef, competitors are seeing success with plant-based and meat alternatives.Burger King plans to take its Impossible Whopper, developed by Silicon Valley-based Impossible Foods, nationwide this year.
Gross called it a “hot topic,” one that McDonald’s is watching.
“We’re committed to offering a variety of menu choices for our customers and, importantly, we’re going to listen to what our customers want from us,” Gross said. “We’re trying to understand what some of these changing trends are and these evolving tastes and if our customers want those type of products from us then we’re going to figure out how to deliver.”
McDonald’s releasedthe Big Vegan TS in its Germanyrestaurants in late April.
“But, at this point in time, we don’t have anything planned in the U.S. beyond what we’re doing in Germany,” Gross said.
Follow USA TODAY reporter Kelly Tyko on Twitter:@KellyTyko
This article originally appeared on USA TODAY:McDonald's says Quarter Pounder sales up 30% since shift from frozen to fresh beef |
US STOCKS-Wall St edges higher as tech gains more than offset healthcare losses
(For a live blog on the U.S. stock market, click or type LIVE/ in a news window.)
* Healthcare hit by losses in Celgene, Bristol-Myers
* Banks up on clearing first stage of Fed's stress test
* Caesars jumps as Eldorado Resorts to buy co
* United Technologies up on Cowen upgrade
* Indexes up: Dow 0.19%, S&P 0.10%, Nasdaq 0.04% (Updates prices, comments)
By Shreyashi Sanyal
June 24 (Reuters) - Wall Street's main indexes edged higher on Monday, as gains in technology stocks more than offset losses in healthcare sector, while investors awaited a high-stakes meeting between U.S. and Chinese leaders at the G20 summit later this week.
Optimism over a revival in trade talks between the two largest economies and hopes that the Federal Reserve would cut interest rates to battle the impact of a trade war on economic growth helped push the S&P 500 index to a record high on Friday.
The benchmark index is up 7.3% so far in June and is on track to recoup its losses from the previous month.
Presidents Donald Trump and Xi Jinping are expected to meet at the G20 summit on June 28-29 in Japan. Although analysts are not expecting the two sides to come to a meaningful agreement, any signs of a de-escalation could boost investor sentiment.
The trade-sensitive industrial sector edged 0.17% higher. But the biggest boost to the markets came from the technology sector, which rose 0.39%.
"Since the trade war began more than 12 months ago, economically-sensitive parts of the global equity markets have underperformed," said Brian Koble, chief investment officer at Hefren-Tillotson, a wealth management company in Pittsburgh.
"Investors could be well-rewarded should there be progress toward a trade deal."
Countering the gains, the healthcare sector dropped 0.4%, weighed down by a 5% decline in shares of Celgene Corp and a 7% fall in those of Bristol-Myers Squibb Co .
Bristol-Myers said its planned $74 billion deal to buy drugmaker Celgene was expected to close at the end of 2019 or beginning 2020, compared with its earlier expectations of closing the deal in the third quarter.
At 11:07 a.m. ET the Dow Jones Industrial Average was up 51.73 points, or 0.19%, at 26,770.86 and the S&P 500 was up 2.97 points, or 0.10%, at 2,953.43.
The Nasdaq Composite was up 3.38 points, or 0.04%, at 8,035.09. Capping gains on the tech-heavy index was a 1.5% decline in the Nasdaq Biotechnology index.
The financial sector rose 0.27% after the 18 largest banks operating in the United States cleared the first stage of their yearly health checks with the U.S. Federal Reserve that assess their ability to weather a major economic downturn.
Shares of casino operator Caesars Entertainment Corp jumped 17% after rival Eldorado Resorts Inc said it agreed to buy the company for $8.5 billion. Shares of Eldorado fell 9.2%.
United Technologies Corp gained 1.3% after Cowen & Co upgraded shares of the building and aerospace supplier to "outperform" from "market perform".
Advancing issues outnumbered decliners by a 1.04-to-1 ratio on the NYSE. Declining issues outnumbered advancers for a 1.34-to-1 ratio on the Nasdaq.
The S&P index recorded 26 new 52-week highs and three new lows, while the Nasdaq recorded 38 new highs and 46 new lows. (Reporting by Shreyashi Sanyal and Aparajita Saxena in Bengaluru; Editing by Anil D'Silva) |
Lemonade Reinvents Renters and Homeowners Insurance With On-Demand Service, Social Responsibility
You might not think you need homeowners or renters insurance — until your neighbor leaves a frozen pizza in the oven and leaves, and your things end up being claimed by flames. Give yourself some much-needed peace of mind in the case of the unexpectedwith Lemonade: this innovative certified insurance carrier that totally reverses the traditional insurance model, paying out claims nearly instantly and treating your premium as if it’s still your money.
If you’ve ever been unfortunate enough to have to make an insurance claim, you know it’s tedious. It tends to take a long time (and a lot of paperwork and annoying customer service calls) to sort the issue out and get your claim paid. But Lemonade doesn’t benefit as a company from delaying or denying your claims — instead, they get paid through the fixed fee rate you pay for their service, you receive compensation quickly and any unclaimed funds at the end of the year is given to charity.
The entire process is simple and user-friendly: apply for a claim quickly and easily using the iOS or Android app, or just the Lemonade website.Lemonade’s AI chat-bot, Maya, works to process the information — and if it fits into the necessary parameters, your claim could get paid out in as little as three minutes. Otherwise, Lemonade’s trained staff will process your claim. Maya also works with you when you get started to build your perfect insurance plan — renters insurance starts as low as $5 a month, and homeowner’s insurance starts at $25 a month.
Life is bound to throw you a curveball every now and again: ensure your precious personal possessions and living space are protected.Learn more about Lemonadeby visiting their website — and work with Maya to build your perfect insurance plan here. |
A Closer Look At Healthcare Services Group, Inc.'s (NASDAQ:HCSG) Impressive ROE
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One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. By way of learning-by-doing, we'll look at ROE to gain a better understanding of Healthcare Services Group, Inc. (NASDAQ:HCSG).
Over the last twelve monthsHealthcare Services Group has recorded a ROE of 21%. Another way to think of that is that for every $1 worth of equity in the company, it was able to earn $0.21.
See our latest analysis for Healthcare Services Group
Theformula for ROEis:
Return on Equity = Net Profit ÷ Shareholders' Equity
Or for Healthcare Services Group:
21% = US$93m ÷ US$443m (Based on the trailing twelve months to March 2019.)
It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. It is all earnings retained by the company, plus any capital paid in by shareholders. The easiest way to calculate shareholders' equity is to subtract the company's total liabilities from the total assets.
Return on Equity measures a company's profitability against the profit it has kept for the business (plus any capital injections). The 'return' is the yearly profit. A higher profit will lead to a higher ROE. So, all else equal,investors should like a high ROE. That means it can be interesting to compare the ROE of different companies.
One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. Pleasingly, Healthcare Services Group has a superior ROE than the average (13%) company in the Commercial Services industry.
That's what I like to see. We think a high ROE, alone, is usually enough to justify further research into a company. For exampleyou might checkif insiders are buying shares.
Companies usually need to invest money to grow their profits. The cash for investment can come from prior year profits (retained earnings), issuing new shares, or borrowing. In the case of the first and second options, the ROE will reflect this use of cash, for growth. In the latter case, the debt required for growth will boost returns, but will not impact the shareholders' equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
Although Healthcare Services Group does use a little debt, its debt to equity ratio of just 0.068 is very low. The fact that it achieved a fairly good ROE with only modest debt suggests the business might be worth putting on your watchlist. Careful use of debt to boost returns is often very good for shareholders. However, it could reduce the company's ability to take advantage of future opportunities.
Return on equity is one way we can compare the business quality of different companies. Companies that can achieve high returns on equity without too much debt are generally of good quality. If two companies have the same ROE, then I would generally prefer the one with less debt.
Having said that, while ROE is a useful indicator of business quality, you'll have to look at a whole range of factors to determine the right price to buy a stock. It is important to consider other factors, such as future profit growth -- and how much investment is required going forward. So you might want to check this FREEvisualization of analyst forecasts for the company.
But note:Healthcare Services Group may not be the best stock to buy. So take a peek at thisfreelist of interesting companies with high ROE and low debt.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Mozilla Closes Holes That Led to Coinbase Hacks
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Tubi Passes 20 Million Monthly Active Users And Claims May Revenue Record
Ad-supported streaming service Tubi said it has surpassed 20 million monthly active users after activity in May reached 94 million hours of content viewing and revenue in the month set a company record. Tubi, which launched in 2014, is privately held and did not disclose the monthly revenue figure. At the start of 2019, the start-up announced it planned to make a nine-figure investment in content acquisitions to bolster its free streaming lineup. Confirmations of deals with NBCUniversal, Lionsgate and Warner Bros. soon followed. Including titles from those and other content parters, Tubi says it now offers more than 15,000 films and TV series. Related stories Viacom Confirms BET-Tyler Perry Subscription Streaming Launch This Fall - Update Netflix's Ted Sarandos Weighs In On Streaming Wars, Agency Production, Big Tech Breakups, M&A Outlook - Update Disney Stock Rises After Wall Street Analyst Boosts Streaming Outlook - Update “Tubi has made remarkable strides in the first half of the year, further demonstrating the vitality of AVOD in an environment fatigued by the amount of subscription video options,” CEO Farhad Massoudi said. With appetites for ad-supported streaming increasing, Tubi appears likely to be able to cash in at some point. The start-up held talks with Viacom before the media company bought Pluto TV, a bundled AVOD offering, for $340 million last January. Crackle, another major AVOD name, also changed hands recently, with upstart Chicken Soup for the Soul Entertainment gaining control in a deal with Sony that closed in May. NBCUniversal plans a major AVOD offering in 2020, and WarnerMedia has signaled it will include an AVOD dimension in its streaming rollout next year as well. A surge in viewing in the fourth quarter of 2018 enabled the company to start turning a profit by the end of last year, Tubi said. In addition to industry interest in AVOD, the other wind at Tubi’s back is cord-cutting, with the number of pay-TV households at decade-low levels and continuing to decline. Tubi’s original backer was Adrise. Other investors include former Lionsgate vice chairman Mark Amin, Foundation Capital, Bobby Yazdani, former Yahoo CTO Zod Nazem, SGH Capital and Streamlined Ventures. Sign up for Deadline's Newsletter . For the latest news, follow us on Facebook , Twitter , and Instagram . |
Kellyanne Conway scoffs at ethics watchdog: 'They want to put a big roll of masking tape over my mouth'
With the House Oversight Committee threatening to subpoena President Trump’s counselor Kellyanne Conway if she doesn’t appear at a hearing on her violations of the Hatch Act, Conway said Monday that the White House isn’t sure that the law — which prohibits executive branch employees from engaging in political activities — applies in her case. “It would be good if everybody had a quick tutorial on the Hatch Act, what it is and what it is not,” Conway said on “Fox & Friends.” “It’s not even clear to us here at the White House counsel that the Hatch Act applies to assistants to the president.” Kellyanne Conway during an interview outside the West Wing of the White House in March. (Photo: Manuel Balce Ceneta/AP) The 1939 Hatch Act was enacted to restrict government officials in the executive branch of the federal government — except the president, vice president and designated high-ranking employees — from engaging in campaign-related activities in their official capacities. In a Sunday letter, House Oversight Committee Chairman Elijah Cummings, D-Md., said his panel would hold a vote to authorize a subpoena for Conway if she doesn’t testify at a planned hearing on Wednesday. The hearing was scheduled after the Office of Special Counsel, a U.S. government watchdog agency, recommended Conway be fired for repeatedly violating the Hatch Act by disparaging Democratic presidential candidates during television appearances and on social media. (Conway was also accused of flaunting ethics rules by promoting Ivanka Trump’s clothing brand at the White House in 2017 .) Henry Kerner, the Trump-appointed chief of the White House’s Office of Special Counsel, will defend his call for the president to fire Conway at Wednesday’s hearing. Trump has already dismissed the recommendation, saying he believes Conway deserves the right to free speech. Conway speaks to the news media in April. (Photo: Lucas Jackson/Reuters) Conway also accused the Democrat-led panel of trying to “silence” her for her role in helping Trump win the presidency. “They want to put a big roll of masking tape over my mouth,” she said on “Fox & Friends.” “If I’m talking about the failures of Obama-Biden care, or if I’m talking about the fact that 28 million Americans have no health insurance, that’s a fact,” Conway said. “If I’m quoting what some of the candidates are saying about the other candidates, I’m just repeating the news to you as I read it that day.” Story continues THREAD: White House Counsel’s strong and intelligent response to OSC’s “report” on the Hatch Act provides important facts, details & legal arguments that many must have missed, choose to ignore, or have difficulty digesting. A useful primer. — Kellyanne Conway (@KellyannePolls) June 24, 2019 Speaking to reporters in the White House driveway in May, Conway scoffed at the Office of Special Counsel’s findings. “Blah, blah, blah,” she said as one reporter recounted her violations. “If you’re trying to silence me through the Hatch Act, it’s not going to work. “Let me know when the jail sentence starts,” she added. ___ Read more from Yahoo News: AOC accuses Trump administration of creating ‘concentration camps’ U.S. ‘probably had excellent presidents who were gay,’ Buttigieg says Trump wants his next press secretary to be a cable news ‘street fighter’ Trump says he wants to run against Biden: 'He's the weakest mentally' Orlando Sentinel endorses ‘not Donald Trump’ for president |
Why Shares of Del Frisco's Are Surging on Monday
Shares ofDel Frisco's Restaurant Group(NASDAQ: DFRG)jumped more than 16% on Monday morning after the company said it was being taken private in a deal that values it at about $650 million. It's a nice premium to current prices, but considerably less than what the owner and operator of high-end restaurant concepts was worth just a year ago.
Before markets opened on Monday, Del Frisco's management said they had entered into a definitive agreement to sell the company to private equity firm L Catterton. Terms of the deal call for Del Frisco's shareholders to receive $8 per share, a premium of 22% over the company's Dec. 19, 2018, price. That was the day before the company said it was forming a special board committee to explore a potential sale.
Image source: Getty Images.
The deal values Del Frisco's equity at about $267.3 million. The company also has about $336.1 million in debt.
"After a thorough process, including considering Del Frisco's current operations and future prospects, the committee and the board is confident that this transaction offers the most promising opportunity to realize the highest value for our stockholders," said Joe Reece, the Del Frisco's director who chaired the special committee, in a statement.
The deal ends a battle between Del Frisco's and hedge fund Engaged Capital, which owns just under 10% of the company's shares. In early December, Engaged Capitalurged Del Frisco's to seek a buyer, complaining about "high leverage, weak and inconsistent operational performance, and value destruction under the current strategy."
Del Frisco's said Engaged has agreed to vote in favor of this acquisition deal.
L Catterton is no stranger to the restaurant industry, having invested in concepts including Outback Steakhouse ownerBloomin' Brands, P.F. Chang's, Cheddar's Scratch Kitchen, and others. Given that Engaged is on board, shareholders should expect the deal to proceed as planned and close before year's end.
Although the one-day premium is substantial, long-term holders likely aren't in much of a mood to celebrate. Even with Monday's jump, Del Frisco's shares are still off 41.5% over the past year and down 71.8% over a five-year period.
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Is Hanger, Inc.’s (NYSE:HNGR) Return On Capital Employed Any Good?
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Today we'll look at Hanger, Inc. (NYSE:HNGR) and reflect on its potential as an investment. To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business.
First up, we'll look at what ROCE is and how we calculate it. Next, we'll compare it to others in its industry. Last but not least, we'll look at what impact its current liabilities have on its ROCE.
ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business. Generally speaking a higher ROCE is better. Overall, it is a valuable metric that has its flaws. Author Edwin Whitingsaysto be careful when comparing the ROCE of different businesses, since 'No two businesses are exactly alike.'
Analysts use this formula to calculate return on capital employed:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
Or for Hanger:
0.098 = US$57m ÷ (US$752m - US$168m) (Based on the trailing twelve months to March 2019.)
So,Hanger has an ROCE of 9.8%.
View our latest analysis for Hanger
ROCE can be useful when making comparisons, such as between similar companies. It appears that Hanger's ROCE is fairly close to the Healthcare industry average of 12%. Separate from how Hanger stacks up against its industry, its ROCE in absolute terms is mediocre; relative to the returns on government bonds. It is possible that there are more rewarding investments out there.
In our analysis, Hanger's ROCE appears to be 9.8%, compared to 3 years ago, when its ROCE was 4.3%. This makes us think about whether the company has been reinvesting shrewdly.
When considering this metric, keep in mind that it is backwards looking, and not necessarily predictive. Companies in cyclical industries can be difficult to understand using ROCE, as returns typically look high during boom times, and low during busts. This is because ROCE only looks at one year, instead of considering returns across a whole cycle. Future performance is what matters, and you can see analyst predictions in ourfreereport on analyst forecasts for the company.
Current liabilities are short term bills and invoices that need to be paid in 12 months or less. Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE. To counteract this, we check if a company has high current liabilities, relative to its total assets.
Hanger has total assets of US$752m and current liabilities of US$168m. Therefore its current liabilities are equivalent to approximately 22% of its total assets. It is good to see a restrained amount of current liabilities, as this limits the effect on ROCE.
That said, Hanger's ROCE is mediocre, there may be more attractive investments around. You might be able to find a better investment than Hanger. If you want a selection of possible winners, check out thisfreelist of interesting companies that trade on a P/E below 20 (but have proven they can grow earnings).
If you like to buy stocks alongside management, then you might just love thisfreelist of companies. (Hint: insiders have been buying them).
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Billie Eilish wore a tank top in public
NEW YORK, NY - JUNE 18: Billie Eilish performs live on the Rooftop at Pier 17 on June 12, 2019 in New York City. (Photo by Steven Ferdman/Getty Images) Words: Megan Johnson It certainly didnt take long, but 17-year-old music star Billie Eilish is already getting objectified on the internet. The singer, whose album "When We All Fall Asleep, Where Do We Go?" headed to number one on the Billboard 200 chart back in April, was recently photographed wearing a white tank top under a baggy zip-up sweatshirt. That kicked off an onslaught of tweets commenting on the teens appearance, including one that said Billie Eilish is THICK. READ MORE: Sports Illustrated model calls out body-shamers Soon after the tweet hit the internet, a backlash ensued in the singers defence. Billie Eilish is THICK pic.twitter.com/aNSGvJJYOA k (@PogbaEscobar) June 22, 2019 She wears baggy clothes all her career and then the one time she puts on a tank top yall jump on her immediately and over sexualize her lol yall need to back up shes literally 17 YEARS OLD, [sic] one user wrote . she wears baggy clothes all her career and then the one moment she puts on a tank top yall jump on her immediately and oversezualize her lol yall need to back up shes literally 17 YEARS OLD https://t.co/tNRyJYl8Th justine (@biticonjustine) June 23, 2019 She is an angel who needs to be protected, one Twitter user wrote . She literally said she chooses to wear baggy clothes so nobody can say shit about her body. the fact she even has to worry about that is sick, another added . billie eilish is not only 1) a minor (17) but also 2) wears baggy clothes so that she doesnt receive creepy comments like this about her body yet the One Day she wears a tank suddenly nothing else matters, another Twitter user responded . ppl are disappointing and gross. Story continues Those Twitter users are correct. The criticism of Eilishs appearance comes soon after she said she intentionally wears baggy clothing to avoid comments about the way she looks. Read more: Celine Dion hits back at body-shamers after weight loss I never want the world to know everything about me, Eilish recently said . I mean, thats why I wear big, baggy clothes. Nobody can have an opinion because they havent seen whats underneath, you know? Nobody can be like, Oh, shes slim-thick, shes not slim-thick, shes got a flat ass, shes got a fat ass. No one can say any of that, because they dont know. The idea of superstardom is uncomfortable for Eilish, who has called fame horrible. Its worth it because it lets me play shows and meet people, but fame itself is fdreadful, she previously told Marie Claire . Eilish built her success through the use of SoundCloud and YouTube. The singer was named one of the breakout music artists of 2018 by Yahoo Entertainment . |
Star Wars Fans: This is the Furniture You’ve Been Waiting For
Photo credit: Courtesy of Kenneth Cobonpue From House Beautiful Photo credit: Hearst Owned Let’s say you’re among the legions of Star Wars fans who are counting the days until this December, when the final chapter in the intergalactic saga-Episode IX, The Rise of Skywalker -will be released in theaters. You’ve already made your way to California to visit the newly opened Galaxy’s Edge park at Disneyland, and you’ll be heading to Florida when the Walt Disney World version opens in August. And you’re obviously in the thick of planning your pre-release catch-up binge of the previous eight films. So only one question remains: Where will you be sitting as you watch these movies for hours on end? On your everyday sofa, or perhaps on something more suitable for the occasion? To paraphrase Obi-Wan Kenobi: These are the chairs you’re looking for. Photo credit: Courtesy of Kenneth Cobonpue There’s never been a shortage of officially licensed Star Wars furniture on the market; most pieces, however, have been intended for kids’ rooms. But that changed in the fall of 2018, when designer Kenneth Cobonpue launched his own higher-end, higher-design Star Wars furniture collection, initially for sale only in Cobonpue’s native Philippines. Now these pieces are available for the first time in the United States, at select retailers and showrooms in 11 states across the country plus the District of Columbia. (Alas, online ordering is not yet an option.) Photo credit: Courtesy of Kenneth Cobonpue Cobonpue, whose furniture appears in hotels and restaurants around the world, is known for his use of natural materials such as rattan and wicker, the look of which inspired many of these new pieces (which in this case are composed mostly of polyethylene, nylon, steel, and aluminum). If you think this collection skews a little heavily toward the Dark Side, you’re not wrong. Armchairs in black and white are modeled after the Empire’s tenacious TIE fighters-you can practically hear their iconic fly-by sound when you lay eyes on them-and two other chairs invoke both Darth Vader and his master Darth Sidious, a.k.a. the evil Emperor Palpatine. Story continues Photo credit: Courtesy of Kenneth Cobonpue Representing the Rebellion are the Chewie Rocking Stool, which is of course an homage to the beloved Wookiee Chewbacca, right down to his signature bandolier. And last but not least is the lamp of Jedi warriors, all of them using their illuminated LED lightsabers to fight off a lone Sith lord in red. You have to like their chances-just as it is for this new furniture line, the Force is quite strong with them. Follow House Beautiful on Instagram . ('You Might Also Like',) 7 Secrets HomeGoods Employees Won't Tell You 19 Closet Organization Ideas You'll Want to Steal Immediately 15 Styling Tricks That Make A Small Living Room Seem Bigger Than It Is |
Hallmark Financial Services, Inc. (NASDAQ:HALL) Has A ROE Of 9.0%
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One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. To keep the lesson grounded in practicality, we'll use ROE to better understand Hallmark Financial Services, Inc. (NASDAQ:HALL).
Over the last twelve monthsHallmark Financial Services has recorded a ROE of 9.0%. That means that for every $1 worth of shareholders' equity, it generated $0.090 in profit.
View our latest analysis for Hallmark Financial Services
Theformula for return on equityis:
Return on Equity = Net Profit ÷ Shareholders' Equity
Or for Hallmark Financial Services:
9.0% = US$25m ÷ US$274m (Based on the trailing twelve months to March 2019.)
It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. It is all earnings retained by the company, plus any capital paid in by shareholders. Shareholders' equity can be calculated by subtracting the total liabilities of the company from the total assets of the company.
Return on Equity measures a company's profitability against the profit it has kept for the business (plus any capital injections). The 'return' is the amount earned after tax over the last twelve months. That means that the higher the ROE, the more profitable the company is. So, as a general rule,a high ROE is a good thing. That means it can be interesting to compare the ROE of different companies.
Arguably the easiest way to assess company's ROE is to compare it with the average in its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. You can see in the graphic below that Hallmark Financial Services has an ROE that is fairly close to the average for the Insurance industry (8.6%).
That's neither particularly good, nor bad. ROE can give us a view about company quality, but many investors also look to other factors, such as whether there are insiders buying shares. I will like Hallmark Financial Services better if I see some big insider buys. While we wait, check out thisfreelist of growing companies with considerable, recent, insider buying.
Most companies need money -- from somewhere -- to grow their profits. That cash can come from retained earnings, issuing new shares (equity), or debt. In the first two cases, the ROE will capture this use of capital to grow. In the latter case, the debt required for growth will boost returns, but will not impact the shareholders' equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
While Hallmark Financial Services does have some debt, with debt to equity of just 0.31, we wouldn't say debt is excessive. Although the ROE isn't overly impressive, the debt load is modest, suggesting the business has potential. Careful use of debt to boost returns is often very good for shareholders. However, it could reduce the company's ability to take advantage of future opportunities.
Return on equity is one way we can compare the business quality of different companies. Companies that can achieve high returns on equity without too much debt are generally of good quality. If two companies have the same ROE, then I would generally prefer the one with less debt.
But when a business is high quality, the market often bids it up to a price that reflects this. Profit growth rates, versus the expectations reflected in the price of the stock, are a particularly important to consider. So I think it may be worth checking thisfreereport on analyst forecasts for the company.
But note:Hallmark Financial Services may not be the best stock to buy. So take a peek at thisfreelist of interesting companies with high ROE and low debt.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Breaking up Google isn't the answer
Big Tech has a big target on its back. Politicians across the ideological spectrum are lining up with varying proposals to cut down on the influence and power wielded by Silicon Valley's titans including Facebook (FB), Amazon (AMZN), and Apple (AAPL). Among those facing the most scrutiny is the company that likely produces the browser or smartphone operating system you're using to read this article: Google.
While Facebook and Amazon might also be tantalizing targets for antitrust enforcement because of their own size and power, Google (GOOG,GOOGL) is likely among the easiest targets thanks to its dominant position in online advertising, search, mobile operating systems, and social media via YouTube.
As the U.S. Department of Justice reportedly prepares an antitrust investigation into the search-engine giant, Google has also faced calls for some kind of a government-mandated breakup.
Perhaps the loudest cries for a breakup come from presidential candidate and U.S. Senator Elizabeth Warren, who haslaid out a plan to dismantle Google, Amazon, and Facebook. That plan has alsodrawn some criticism. Still, fellow 2020 presidential contender Bernie Sanders (I-VT) has also jumped on board that breakup train, while Kamala Harris (D-CA) and former vice president Joe Biden have said it's something to consider.
But according to some antitrust experts, breaking up Google is the last thing the government should do. Not only is proving that the company is participating in anticompetitive behavior difficult, but dismantling Google could actually hurt consumers in the long run, some experts say.
"This remedy has received attention in the political arena, but proving that Google should be broken up as an antitrust matter is different," explained Rutgers Law School professor Michael Carrier. "This is an extreme remedy, and I don’t believe the antitrust agencies will pursue it."
One of the most valuable and powerful companies in the world, Google boasts the first and second most popular websites on Earth in Google.com and YouTube.com.
Google's name often comes up in discussions about anticompetitive practices, because of its size. It's got the most used search engine in the world, accounting for 74% of global desktop searches and more than 83% of mobile searches,according to NetMarketShare. Google also captures more than37% of digital ad sales market share, and its Android operating systemruns on 86.7%of all smartphones worldwide.
It's also already been the target of antitrust measures by the European Union, which has hit it withthree different multi-billion dollar finesover allegations that included unfairly boosting its own services in search results. Google's contemporaries including Amazon, Apple, and Facebook have also been investigated by the E.U., but Google’s dominance in search, digital advertising, and mobile operating systems has put a particularly large bullseye on its back.
“We know Google is dominant in search, and we know that they've done certain things to keep their search engine [on top] and with search results, so we know there’s smoke there,”George Hay, a professor of law and economics at Cornell Law School,previously told Yahoo Finance’s JP Mangalindan.
Warren has also raised concerns that Google is able to favor its own services over competing offerings. Under her breakup proposal, Google would have to remove its apps from the Play Store, split Google Search from its Google AdSense service, and, finally, the company would have to divest itself of the Waze navigation app, Nest home automation business, and DoubleClick, which Google pulled into its ad platforms.
Under her plan,Warren wrote in a Medium post, “Google couldn’t smother competitors by demoting their products on Google Search.”
Throwing around the idea of breaking up a company, and actually moving forward with the process, are two entirely different things. When Microsoft was investigated for anticompetitive practices for its push to crush Netscape in favor of its own Internet Explorer in the 1990s, the company was initially told to break up.
But in 2001 an appellate court found that there wasn't enough evidence to warrant a breakup, and instead Microsoft agreed to give third-party developers access to fundamental tools needed to make their own programs work with Windows.
There's also the argument that breaking up Google could do more harm than good.
According to Penn State University Law professor John Lopatka, that's exactly the kind of defense Google will put forward.
"They would say it would damage the business to break it up, which of course would translate into damaging consumers," Lopatka said, adding that Google would claim its business model allows it to provide the best possible service to its consumers.
If an antitrust investigation into Google finds that the company is involved in anticompetitive practices, the government will likely seek some form of conduct remedy to make the company change such illegal business methods.
According to Carrier, the government may require that Google put rival apps on Android straight out of the box. Google could also be forced to follow similar rules laid out by the E.U.'s complaints against the company, including ending the practice of requiring companies to install Chrome and Google Search on their devices to get access to the Play Store.
Similarly, Lopatka explained, the government might claim that Google is being biased to its own products, by pushing consumers to purchase Google apps over competing apps in the app store. If the company is found to be using such practices, it could be legally forced to stop in order to give competing apps a fair shot.
Getting Google to change might not even require a remedy action. Attorney Gary Reback, who spearheaded the antitrust lawsuit against Microsoft, pointed out in aninterview with Yahoo Finance's Akiko Fujitathat dragging companies into some form of antitrust trial is likely enough to scare them into changing their business practices.
“The damage to the monopolist comes primarily from the airing out, the public scrutiny and what it’s done,” Reback said in the interview.
So while the threat of breaking up a company might make for splashy headlines, it's not the ultimate solution to taming Big Tech.
More from Dan:
• Lenovo’s and Google's Smart Alarm Clock might make you hate mornings less
• Tim Cook on tech: ‘If you built a chaos factory, you can’t dodge responsibility for the chaos.’
• How Huawei’s loss could be Apple’s gain
• The coolest games of E3 2019
Email Daniel Howley at dhowley@yahoofinance.com; follow him on Twitter at@DanielHowley.
Follow Yahoo Finance onTwitter,Facebook,Instagram,Flipboard,SmartNews,LinkedIn,YouTube, andreddit. |
Ikea Is Testing Its Own Delivery Service, So You Can Soon Get Swedish Meatballs Delivered To Your Door
Photo credit: Getty Images From Delish Just when you thought Ikea couldn't get any better, the Swedish home furniture store is now testing out a food delivery service. Yes, you may be able to get Ikea's famous dishes delivered right to your doorstep. Currently, they're testing the program in Paris , according to Fast Company . Apparently, shoppers from around the world buy so much food from the furniture store that they're claiming to be the sixth-largest fast food distributor, the article reported. If you live in Paris-or are traveling there-here's what you'll be able to get delivered: beets, cabbage, salads, and salmon. I'm a little disappointed that they're not offering their famous meatballs, but maybe they will in the near future. If this pilot program is a success, it's likely that they'll expand to other parts of Europe. We can only hope that the test makes its way stateside shortly after that. But based on the report from El Confidencial , there are a lot of grey areas. Ikea hasn't specified whether the food is being delivered frozen or warm and ready-to-eat. “We do not have any further details to share at this point, as we are very early in the process," the brand told Fast Company , when they asked for additional information. The one thing that is clear? Why Ikea is trying to get into the food delivery business: By 2023, it is projected that food delivery will become a whopping $161 billion market. That's a huge opportunity for the already-huge company. ('You Might Also Like',) Crave Carbs? We Created This 21-Day Keto Plan Just for You Insanely Easy Weeknight Dinners To Try This Week 29 Insanely Delicious Vodka Cocktails |
REFILE-Amazon's new beauty store for professionals poses threat to beauty retailers
(Corrects typo in headline)
June 24 (Reuters) - Amazon.com Inc on Monday unveiled its online professional beauty store to sell supplies to licensed professional stylists, barbers and estheticians, weighing on shares of other beauty retailers.
It would sell a wide range of brands from Wella Color Charm and RUSK to OPI Professional, and other supplies typically found in salons and spas, Amazon said in a blog post https://www.amazonbusinessblog.com/managing-purchasing/professional-beauty-products-now-available.
Following Amazon's announcement, shares of beauty retailers Ulta Beauty Inc fell about 3% and those of Sally Beauty Holdings plummeted 9%.
Stylists can now find almost everything they need to run their business in a single store at low prices, with fast, free shipping in one to two days on eligible orders with Business Prime, Amazon said.
"Stylists can find more of what they need at great prices with convenient delivery options, freeing up their time to focus on what's important: their customers," said Steve Kann, director of customer driven experience, Amazon business.
Amazon said the buyers would need a state-issued cosmetology, barber, or esthetician license to purchase products.
The company started in the 1990s as a bookseller and now has its footprints in sectors from cloud computing to groceries. (Reporting by Vibhuti Sharma in Bengaluru; Editing by Shinjini Ganguli) |
Have Insiders Been Buying Newmark Group, Inc. (NASDAQ:NMRK) Shares This Year?
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We often see insiders buying up shares in companies that perform well over the long term.Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares.So we'll take a look at whether insiders have been buying or selling shares inNewmark Group, Inc.(NASDAQ:NMRK).
It's quite normal to see company insiders, such as board members, trading in company stock, from time to time.However, rules govern insider transactions, and certain disclosures are required.
Insider transactions are not the most important thing when it comes to long-term investing.But it is perfectly logical to keep tabs on what insiders are doing.For example, a Columbia Universitystudyfound that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.
Seeour latest analysis for Newmark Group
In the last twelve months, the biggest single purchase by an insider was when Chief Executive Officer Barry Gosin bought US$6.4m worth of shares at a price of US$9.25 per share.That means that even when the share price was higher than US$9.21 (the recent price), an insider wanted to purchase shares.While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future.We always take careful note of the price insiders pay when purchasing shares.It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
In the last twelve months insiders paid US$13m for 1.6m shares purchased.In the last twelve months Newmark Group insiders were buying shares, but not selling.The chart below shows insider transactions (by individuals) over the last year.If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably donotwant to miss thisfreelist of growing companies that insiders are buying.
Over the last quarter, Newmark Group insiders have spent a meaningful amount on shares.We can see that Barry Gosin paid US$4.3m for shares in the company. No-one sold.This makes one think the business has some good points.
For a common shareholder, it is worth checking how many shares are held by company insiders.I reckon it's a good sign if insiders own a significant number of shares in the company.It's great to see that Newmark Group insiders own 5.5% of the company, worth about US$123m.I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
The recent insider purchase is heartening.And the longer term insider transactions also give us confidence.When combined with notable insider ownership, these factors suggest Newmark Group insiders are well aligned, and quite possibly think the share price is too low.Nice!Therefore, you should should definitely take a look at thisFREEreport showing analyst forecasts for Newmark Group.
Of courseNewmark Group may not be the best stock to buy. So you may wish to see thisfreecollection of high quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
What Hallmark Financial Services, Inc.'s (NASDAQ:HALL) ROE Can Tell Us
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While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. By way of learning-by-doing, we'll look at ROE to gain a better understanding of Hallmark Financial Services, Inc. (NASDAQ:HALL).
Over the last twelve monthsHallmark Financial Services has recorded a ROE of 9.0%. Another way to think of that is that for every $1 worth of equity in the company, it was able to earn $0.090.
Check out our latest analysis for Hallmark Financial Services
Theformula for return on equityis:
Return on Equity = Net Profit ÷ Shareholders' Equity
Or for Hallmark Financial Services:
9.0% = US$25m ÷ US$274m (Based on the trailing twelve months to March 2019.)
It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. It is all the money paid into the company from shareholders, plus any earnings retained. You can calculate shareholders' equity by subtracting the company's total liabilities from its total assets.
Return on Equity measures a company's profitability against the profit it has kept for the business (plus any capital injections). The 'return' is the profit over the last twelve months. The higher the ROE, the more profit the company is making. So, as a general rule,a high ROE is a good thing. That means ROE can be used to compare two businesses.
One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. You can see in the graphic below that Hallmark Financial Services has an ROE that is fairly close to the average for the Insurance industry (8.6%).
That isn't amazing, but it is respectable. ROE tells us about the quality of the business, but it does not give us much of an idea if the share price is cheap. For those who like to findwinning investmentsthisfreelist of growing companies with recent insider purchasing, could be just the ticket.
Most companies need money -- from somewhere -- to grow their profits. That cash can come from issuing shares, retained earnings, or debt. In the first two cases, the ROE will capture this use of capital to grow. In the latter case, the use of debt will improve the returns, but will not change the equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
Although Hallmark Financial Services does use debt, its debt to equity ratio of 0.31 is still low. Although the ROE isn't overly impressive, the debt load is modest, suggesting the business has potential. Careful use of debt to boost returns is often very good for shareholders. However, it could reduce the company's ability to take advantage of future opportunities.
Return on equity is one way we can compare the business quality of different companies. A company that can achieve a high return on equity without debt could be considered a high quality business. All else being equal, a higher ROE is better.
But when a business is high quality, the market often bids it up to a price that reflects this. The rate at which profits are likely to grow, relative to the expectations of profit growth reflected in the current price, must be considered, too. So you might want to take a peek at thisdata-rich interactive graph of forecasts for the company.
If you would prefer check out another company -- one with potentially superior financials -- then do not miss thisfreelist of interesting companies, that have HIGH return on equity and low debt.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Changing marijuana laws a challenge for employers: Ask HR
Johnny C. Taylor Jr., a human-resources expert, is tackling your questions as part of a series for USA TODAY. Taylor is president and CEO of the Society for Human Resource Management, the world's largest HR professional society.
The questions are submitted by readers, and Taylor's answers below have been edited for length and clarity.
Have a question?Do you have an HR or work-related question you’d like me to answer?Submit it here.
Question: While onboarding a new employee, I detected a faint smell of marijuana. What should I do? – Dianne
Johnny C. Taylor Jr.:You are right to be vigilant and concerned about drug use at work because it can pose a threat to the safety of employees, quality of products and services, and reputation of your employer. But you should proceed with caution, given changing marijuana laws and potential limits on questions and testing at this stage of the worker’s employment.
Some states and municipalities don’t permit inquiries about off-duty marijuana use (or allow post-offer, preemployment testing) unless it involves a safety-sensitive position. Consider also that the faint smell you detected might only mean the employee has been in the presence of someone using marijuana and not using himself. So, this might not be sufficient to call for a drug test.
Employees can be required to take a drug test when there is reasonable suspicion. This generally requires specific observations of an employee’s use, possession or impairment by at least two managers. Odors do count as reasonable suspicion, especially if paired with observations such as slurred speech, unsteady movements, watery eyes, lethargy, or argumentative and agitated emotions.
HR always should be consulted before an employee is sent for drug testing. Legal counsel might also be involved. An employee needs to consent to the test and, as a part of the process, the observations and testing requirement should be explained.
Here is a challenge: Current testing for marijuana simply indicates there has been recent use. This is problematic where recreational use is legal. It is almost impossible to determine if someone is currently using and under the influence, or whether the person has used it recreationally or for an authorized medicinal purpose outside of work in the recent past.
Turned down:Experienced employee keeps getting rejected for new job: Ask HR
Tough road:Manager keeps adding more goals to my performance action plan: Ask HR
So, it’s important for employers in places where marijuana use is legal to communicate their expectation that drug possession and use and being under the influence are prohibited at work and during work time – and testing is a possibility if use is suspected.
In the haze of new state marijuana laws, it’s clear that changing attitudes toward the drug are challenging employers. Managers need to be aware of state laws, but they also must comply with federal law, which still classifies marijuana use as illegal.
Above all, employers must commit to providing a safe workplace, and that means employees cannot be under the influence at work.
Q: Everyone understands the need for networking, especially because it seems like a lot of people get hired through referrals. But you’re not always going to know someone at a company you’re interested in. How do you stand out as a job candidate when you don’t know anyone at a company? – Anonymous
Taylor:Always start by applying directly to a company’s online job posting site. “Start” is the key word here, as applying is just the starting point.
Then do a search to see who you may know at the company. Check out the company’s website for a list of executives and staff. Employees are often featured in blog posts and videos, so be sure to scan sections beyond “Contact us.”
Another connection that works is through high schools and colleges. You’d be amazed at how many times people reach out to me and point out that we are both Panthers (Dillard High School) or Hurricanes (University of Miami). Whether I know the person or not, I usually respond just because we are both alums of the same educational institutions.
Incorporate other resources, too, like industry leadership reference books available at public libraries.
Of course, LinkedIn has made networking easier. Check whether any of your contacts are employed at the company. Also, check second-level connections: Are any of your contacts connected to people at the company? If so, ask whether they can put you in touch.
The goal is to find someone in HR or recruiting who can pull your application for review or to find someone who can suggest to HR that they do so. These efforts will show you are industrious and truly interested in working at the company.
Networking is work, of course, but it is important. To expand your network, go to lunch or for drinks with professional contacts and volunteer with your professional association.
Another good option is to work with a local staffing agency, which likely already cold-called or sent candidates to the company. Usually, staffing representatives will be able to give you insights into hiring cycles and what type of candidates they prefer. They can even market you to the company for a future role if there isn’t a current opening.
Visit a staffing agency in person and ask for feedback on your appearance, voice and resume.
As for standing out, don’t forget you have other tools in your job search, including a cover letter that should address your accomplishments and relevant experiences.
Your LinkedIn profile should offer a strong summary of your experiences – and not a regurgitation of your resume – and have a professional headline. Ask former co-workers to write recommendations on your profile and endorse you. Lastly, make sure your profile is public, and contact information is easy to view. That way, recruiters can find you.
This article originally appeared on USA TODAY:Changing marijuana laws a challenge for employers: Ask HR |
Here's How We Evaluate National Storage Affiliates Trust's (NYSE:NSA) Dividend
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Is National Storage Affiliates Trust (NYSE:NSA) a good dividend stock? How would you know? Dividend paying companies with growing earnings can be highly rewarding in the long term. On the other hand, investors have been known to buy a stock because of its yield, and then lose money if the company's dividend doesn't live up to expectations.
With a goodly-sized dividend yield despite a relatively short payment history, investors might be wondering if National Storage Affiliates Trust is a new dividend aristocrat in the making. We'd agree the yield does look enticing. Some simple research can reduce the risk of buying National Storage Affiliates Trust for its dividend - read on to learn more.
Explore this interactive chart for our latest analysis on National Storage Affiliates Trust!
Companies (usually) pay dividends out of their earnings. If a company is paying more than it earns, the dividend might have to be cut. Comparing dividend payments to a company's net profit after tax is a simple way of reality-checking whether a dividend is sustainable. National Storage Affiliates Trust paid out 61% of its profit as dividends, over the trailing twelve month period. This is a healthy payout ratio, and while it does limit the amount of earnings that can be reinvested in the business, there is also some room to lift the payout ratio over time.
In addition to comparing dividends against profits, we should inspect whether the company generated enough cash to pay its dividend. Of the free cash flow it generated last year, National Storage Affiliates Trust paid out 49% as dividends, suggesting the dividend is affordable. It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously.
As National Storage Affiliates Trust has a meaningful amount of debt, we need to check its balance sheet to see if the company might have debt risks. A quick way to check a company's financial situation uses these two ratios: net debt divided by EBITDA (earnings before interest, tax, depreciation and amortisation), and net interest cover. Net debt to EBITDA measures a company's total debt load relative to its earnings (lower = less debt), while net interest cover measures the company's ability to pay the interest on its debt (higher = greater ability to pay interest costs). National Storage Affiliates Trust has net debt of 7.05 times its earnings before interest, tax, depreciation and amortisation (EBITDA) which implies meaningful risk if interest rates rise of earnings decline.
We calculated its interest cover by measuring its earnings before interest and tax (EBIT), and dividing this by the company's net interest expense. With EBIT of 2.27 times its interest expense, National Storage Affiliates Trust's interest cover is starting to look a bit thin. Low interest cover and high debt can create problems right when the investor least needs them. We're generally reluctant to rely on the dividend of companies with these traits.
We update our data on National Storage Affiliates Trust every 24 hours, so you can always getour latest analysis of its financial health, here.
From the perspective of an income investor who wants to earn dividends for many years, there is not much point buying a stock if its dividend is regularly cut or is not reliable. Looking at the data, we can see that National Storage Affiliates Trust has been paying a dividend for the past four years. The company has been paying a stable dividend for a few years now, but we'd like to see more evidence of consistency over a longer period. During the past four-year period, the first annual payment was US$0.60 in 2015, compared to US$1.28 last year. This works out to be a compound annual growth rate (CAGR) of approximately 21% a year over that time.
The dividend has been growing pretty quickly, which could be enough to get us interested even though the dividend history is relatively short. Further research may be warranted.
The other half of the dividend investing equation is evaluating whether earnings per share (EPS) are growing. Growing EPS can help maintain or increase the purchasing power of the dividend over the long run. It's not great to see that National Storage Affiliates Trust's have fallen at approximately 75% over the past five years. Declining earnings per share over a number of years is not a great sign for the dividend investor. Without some improvement, this does not bode well for the long term value of a company's dividend.
We'd also point out that National Storage Affiliates Trust issued a meaningful number of new shares in the past year. Trying to grow the dividend when issuing new shares reminds us of the ancient Greek tale of Sisyphus - perpetually pushing a boulder uphill. Companies that consistently issue new shares are often suboptimal from a dividend perspective.
When we look at a dividend stock, we need to form a judgement on whether the dividend will grow, if the company is able to maintain it in a wide range of economic circumstances, and if the dividend payout is sustainable. National Storage Affiliates Trust's payout ratios are within a normal range for the average corporation, and we like that its cashflow was stronger than reported profits. Earnings per share have been falling, and the company has a relatively short dividend history - shorter than we like, anyway. Ultimately, National Storage Affiliates Trust comes up short on our dividend analysis. It's not that we think it is a bad company - just that there are likely more appealing dividend prospects out there on this analysis.
Without at least some growth in earnings per share over time, the dividend will eventually come under pressure either from costs or inflation. See if the 4 analysts are forecasting a turnaround in ourfree collection of analyst estimates here.
If you are a dividend investor, you might also want to look at ourcurated list of dividend stocks yielding above 3%.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Beauty retailers fall after Amazon opens store for professionals
(Reuters) - Shares of a number of specialized beauty retailers fell on Monday after Amazon.com Inc said it had started selling beauty products used by licensed stylists, barbers and beauticians.
Shares of Sally Beauty Holdings, which targets industry professionals, sank 17%, while those of Ulta Beauty Inc fell about 3%.
They are the just the latest to suffer from Wall Street's concern about moves by the world's largest retailer into a series of niche or more regulated markets.
Last year, U.S. pharmacy chains and drug wholesalers such as CVS, Walgreen and McKesson Corp lost billions in market value when Amazon took its first step into online pharmacy by buying https://www.reuters.com/article/us-pillpack-m-a-amazon-com/amazon-to-buy-pillpack-in-potentially-disruptive-drug-retail-push-idUSKBN1JO1RU small existing player PillPack.
Amazon typically uses its scale and online profile to offer a wider range of products at lower prices, putting pressure on margins of existing players.
"Currently, stylists often travel to multiple cosmetology supply locations to get necessary supplies," Jefferies analysts said. "We expect Amazon to quickly become an important enough channel for brands to carry their top offerings on the platform."
Amazon said stylists would need to upload their state-issued licenses and create a business account to buy products from the new store, which the company said would stock brands including Wella Professionals and OPI Professional.
Its entry will directly threaten about 19% of Sally Beauty's operating profit and an additional 33% was likely see pressure from more competition, according to DA Davidson analysts.
Ulta, however, will see lesser pain as it sells mostly cosmetics and styling tools, which account for only 19% of total sales, the analysts said.
The companies did not immediately respond to multiple requests for comment.
Shares of the e-commerce retailer were trading 0.2% higher at $1,913.16.
(Reporting by Vibhuti Sharma in Bengaluru; Editing by Shinjini Ganguli and Arun Koyyur) |
Eldorado to Buy Caesars
Lately, we’ve been getting “Merger Monday” news in dribs and drabs — Pfizer PFE buying biopharma Array ARRY and United Technologies UTX coming together with Raytheon RTN being the last two examples — and this morning is no exception:Eldorado ResortsERI has agreed to buyCaesarsCZR for $8.6 billion.
The cash and stock deal, priced at $12.75 per share, would create one of the biggest gaming entertainment companies in the domestic market. Activist investor Carl Icahn, who had come aboard Caesars, praised its board of directors for “acting decisively” on the deal. Eldorado shares are down 7.2% in today’s pre-market, while Caesars share are up 12.7%.
The Senate & Big Tech User Data
A bipartisan bill in the U.S. Senate has been drawn up by Mark Warner (D-VA) and Josh Hawley (R-MO), whereby Big Tech firms likeFacebookFB,AlphabetGOOGL,AmazonAMZN, etc. would be required to calculate the value of all data collected, and release the results annually. This would apply to social media companies with a base of more than 100 million active users. The SEC would create the formula for determining the user value for these companies, and there would also be an opt-out feature where users might delete their data.
Putting a price tag on this information may be a step toward proving these Big Tech firms enjoy something akin to “monopoly status,” which in turn might make them easier to be broken up into different entities. This is already an issue being taken up by some Democratic presidential candidates for 2020. Even major tech investors like Roger McNamee have compared these companies to the Ma Bell monopoly of the 1980s, which was broken up and uncorked millions of dollars in additional profit potential more than 30 years ago.
This is the very early stages for Congress acting demonstrably on this subject. For years, hearings have been held trying to gain an understanding for how these “free” platforms like Facebook are able to accrue so much wealth so fast. Now that there seems to be a handle on this, we would do well to keep an eye on developments here going into next year’s campaign season.
Click to get this free reportCaesars Entertainment Corporation (CZR) : Free Stock Analysis ReportAmazon.com, Inc. (AMZN) : Free Stock Analysis ReportFacebook, Inc. (FB) : Free Stock Analysis ReportAlphabet Inc. (GOOGL) : Free Stock Analysis ReportPfizer Inc. (PFE) : Free Stock Analysis ReportEldorado Resorts, Inc. (ERI) : Free Stock Analysis ReportUnited Technologies Corporation (UTX) : Free Stock Analysis ReportRaytheon Company (RTN) : Free Stock Analysis ReportArray BioPharma Inc. (ARRY) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research |
How Does Peabody Energy Corporation (NYSE:BTU) Stand Up To These Simple Dividend Safety Checks?
Want to participate in a short research study ? Help shape the future of investing tools and you could win a $250 gift card! Could Peabody Energy Corporation ( NYSE:BTU ) be an attractive dividend share to own for the long haul? Investors are often drawn to strong companies with the idea of reinvesting the dividends. If you are hoping to live on your dividends, it's important to be more stringent with your investments than the average punter. Regular readers know we like to apply the same approach to each dividend stock, and we hope you'll find our analysis useful. Peabody Energy has only been paying a dividend for a year or so, so investors might be curious about its 2.4% yield. The company also bought back stock during the year, equivalent to approximately 30% of the company's market capitalisation at the time. Some simple analysis can offer a lot of insights when buying a company for its dividend, and we'll go through this below. Click the interactive chart for our full dividend analysis NYSE:BTU Historical Dividend Yield, June 24th 2019 Payout ratios Companies (usually) pay dividends out of their earnings. If a company is paying more than it earns, the dividend might have to be cut. So we need to form a view on if a company's dividend is sustainable, relative to its net profit after tax. Peabody Energy paid out 11% of its profit as dividends, over the trailing twelve month period. With a low payout ratio, it looks like the dividend is comprehensively covered by earnings. In addition to comparing dividends against profits, we should inspect whether the company generated enough cash to pay its dividend. Peabody Energy's cash payout ratio last year was 7.2%. Cash flows are typically lumpy, but this looks like an appropriately conservative payout. It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously. Remember, you can always get a snapshot of Peabody Energy's latest financial position, by checking our visualisation of its financial health . Story continues Dividend Volatility Before buying a stock for its income, we want to see if the dividends have been stable in the past, and if the company has a track record of maintaining its dividend. This company has been paying a dividend for less than 2 years, which we think is too soon to consider it a reliable dividend stock. During the past one-year period, the first annual payment was US$0.46 in 2018, compared to US$0.56 last year. This works out to be a compound annual growth rate (CAGR) of approximately 22% a year over that time. We're not overly excited about the relatively short history of dividend payments, however the dividend is growing at a nice rate and we might take a closer look. Dividend Growth Potential The other half of the dividend investing equation is evaluating whether earnings per share (EPS) are growing. Over the long term, dividends need to grow at or above the rate of inflation, in order to maintain the recipient's purchasing power. Strong earnings per share (EPS) growth might encourage our interest in the company despite fluctuating dividends, which is why it's great to see Peabody Energy has grown its earnings per share at 40% per annum over the past five years. The company is only paying out a fraction of its earnings as dividends, and in the past been able to use the retained earnings to grow its profits rapidly - an ideal combination. Conclusion When we look at a dividend stock, we need to form a judgement on whether the dividend will grow, if the company is able to maintain it in a wide range of economic circumstances, and if the dividend payout is sustainable. It's great to see that Peabody Energy is paying out a low percentage of its earnings and cash flow. Next, earnings growth has been good, but unfortunately the company has not been paying dividends as long as we'd like. All things considered, Peabody Energy looks like a strong prospect. At the right valuation, it could be something special. Companies that are growing earnings tend to be the best dividend stocks over the long term. See what the 6 analysts we track are forecasting for Peabody Energy for free with public analyst estimates for the company . Looking for more high-yielding dividend ideas? Try our curated list of dividend stocks with a yield above 3%. We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com . This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Is Peabody Energy Corporation (NYSE:BTU) A Smart Choice For Dividend Investors?
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Could Peabody Energy Corporation (NYSE:BTU) be an attractive dividend share to own for the long haul? Investors are often drawn to strong companies with the idea of reinvesting the dividends. If you are hoping to live on your dividends, it's important to be more stringent with your investments than the average punter. Regular readers know we like to apply the same approach to each dividend stock, and we hope you'll find our analysis useful.
Peabody Energy has only been paying a dividend for a year or so, so investors might be curious about its 2.4% yield. The company also bought back stock during the year, equivalent to approximately 30% of the company's market capitalisation at the time. Some simple research can reduce the risk of buying Peabody Energy for its dividend - read on to learn more.
Click the interactive chart for our full dividend analysis
Dividends are typically paid from company earnings. If a company pays more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. As a result, we should always investigate whether a company can afford its dividend, measured as a percentage of a company's net income after tax. Peabody Energy paid out 11% of its profit as dividends, over the trailing twelve month period. Given the low payout ratio, it is hard to envision the dividend coming under threat, barring a catastrophe.
In addition to comparing dividends against profits, we should inspect whether the company generated enough cash to pay its dividend. Peabody Energy paid out 7.2% of its free cash flow as dividends last year, which is conservative and suggests the dividend is sustainable. It's positive to see that Peabody Energy's dividend is covered by both profits and cash flow, since this is generally a sign that the dividend is sustainable, and a lower payout ratio usually suggests a greater margin of safety before the dividend gets cut.
We update our data on Peabody Energy every 24 hours, so you can always getour latest analysis of its financial health, here.
Before buying a stock for its income, we want to see if the dividends have been stable in the past, and if the company has a track record of maintaining its dividend. With a payment history of less than 2 years, we think it's a bit too soon to think about living on the income from its dividend. During the past one-year period, the first annual payment was US$0.46 in 2018, compared to US$0.56 last year. This works out to be a compound annual growth rate (CAGR) of approximately 22% a year over that time.
The dividend has been growing pretty quickly, which could be enough to get us interested even though the dividend history is relatively short. Further research may be warranted.
Examining whether the dividend is affordable and stable is important. However, it's also important to assess if earnings per share (EPS) are growing. Over the long term, dividends need to grow at or above the rate of inflation, in order to maintain the recipient's purchasing power. Strong earnings per share (EPS) growth might encourage our interest in the company despite fluctuating dividends, which is why it's great to see Peabody Energy has grown its earnings per share at 40% per annum over the past five years. The company is only paying out a fraction of its earnings as dividends, and in the past been able to use the retained earnings to grow its profits rapidly - an ideal combination.
When we look at a dividend stock, we need to form a judgement on whether the dividend will grow, if the company is able to maintain it in a wide range of economic circumstances, and if the dividend payout is sustainable. First, we like that the company's dividend payments appear well covered, although the retained capital also needs to be effectively reinvested. We were also glad to see it growing earnings, although its dividend history is not as long as we'd like. Peabody Energy performs highly under this analysis, although it falls slightly short of our exacting standards. At the right valuation, it could be a solid dividend prospect.
Earnings growth generally bodes well for the future value of company dividend payments. See if the 6 Peabody Energy analysts we track are forecasting continued growth with ourfreereport on analyst estimates for the company.
We have also put together alist of global stocks with a market capitalisation above $1bn and yielding more 3%.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
Precipitate's Magnetic 3D Inversion Study Identifies Multiple New Geophysical Targets at the Pueblo Grande Gold Project in Dominican Republic
Vancouver, British Columbia--(Newsfile Corp. - June 24, 2019) - Precipitate Gold Corp. (TSXV: PRG) ("Precipitate" or the "Company") is pleased to announce results and interpretation of the geophysical magnetic 3D inversion study conducted on the highly prospective advanced argillic altered Loma Cuaba Lithocap Zone of the Company's 100% owned Pueblo Grande Project located adjacent to Barrick's world-class Pueblo Viejo gold-silver mine in the Dominican Republic. Highlight results from the survey and interpretation are as follows. Identification of five magnetic low anomalies (near surface and concealed at depth) likely associated with magnetite destruction characteristics of Pueblo Viejo style high sulphidation epithermal alteration; Identification of a sizeable egg-shaped magnetic low anomaly possibly associated with porphyry style magnetite destruction alteration (possibly potassic) measuring up to 450 metres in diameter, at an estimated depth of 400 metres from surface to the top of the anomaly; Identification of a large magnetic low anomaly in the southeast lithocap area, concealed at depth (+400 metres) appearing to extend eastward to Barrick's new exploration target called Arroyo Hondo which is a high sulphidation epithermal target situated between Barrick's mining pits and Precipitate's claim boundary; and None of the aforementioned geophysical anomalies have been drill tested by prior operators, making them compelling targets for the Company to prioritize for drill testing. The computer-generated 3D inversion study utilized the combination of historical airborne data with newly derived ground geophysical data to aid interpretation of lithology, alteration and structural features. The inversion study was completed by Tom Weis (ex-Chief geophysicist Newmont) and Carl Wendels of Thomas Weis and Associates Inc. See the accompanying two magnetic inversion anomaly maps or visit www.precipitategold.com for additional illustrations of the Loma Cuaba Lithocap Zone illustration maps. Story continues Jeffrey Wilson, Precipitate's President & CEO stated, "We are very pleased that this magnetic 3D inversion study has identified multiple untested magnetic low anomalies which vector toward potential high sulphidation epithermal mineralization and a postulated centre core of a gold-copper porphyry style mineralized system at depth below the Loma Cuaba Lithocap alteration zone. The 3D inversion results are a significant and critical step forward for drill target prioritization. We look forward to combining this newly derived data with the recently completed soil geochemical data and upcoming results from a detailed geological mapping survey conducted within the Loma Cuaba zone, as part of our ongoing process to delineate drill targets in the coming months." Cannot view this image? Visit: https://media.zenfs.com/en-us/newsfile_64/fa75d7515f9344853f3035acd332452b Magnetic Survey Plan View To view an enhanced version of this graphic, please visit: https://orders.newsfilecorp.com/files/1718/45827_f83aee1be4a59a79_003full.jpg Cannot view this image? Visit: https://media.zenfs.com/en-us/newsfile_64/3bb097509772de0c6cbf3db4c8b1a9ae Magnetic Survey Section To view an enhanced version of this graphic, please visit: https://orders.newsfilecorp.com/files/1718/45827_f83aee1be4a59a79_004full.jpg Near term Company exploration work will focus on a comprehensive interpretation of the recently completed Loma Cuaba surface geological mapping program in combination with the full Loma Cuaba exploration data package with the goal of selecting priority exploration and drill test zones targeting potential high grade feeder structures and permeable volcanic horizons which are typical of high sulphidation epithermal mineralization and also a what may be a centre core of a gold-copper porphyry style mineralized system at depth below the Loma Cuaba Lithocap alteration zone. This news release has been reviewed by Michael Moore P. Geo., Vice President, Exploration of Precipitate Gold Corporation, the Qualified Person for the technical information in this news release under NI 43-101 standards. The recent ground magnetic survey covered an estimated 40 grid line kilometres over the south slope of the Loma Cuaba Lithocap Zone. Survey data was collected at 12.5 metre station intervals over both 100 metre and 200 metre spaced grid lines (east-west direction) by a GSM-19 version 7 Overhauser magnetometer by a Company technician. The 2006 Heliborne Magnetic - GeoTEM survey was flown at 100m line spacing in a northeast-southwest direction, by Fugro Airborne Surveys. Magnetic Inversion processing and 3D modelling of the combined ground and historical heliborne magnetic data was completed by Thomas Weis and Associates Inc. A spectral analysis model (Fastmag3D) on the merged total magnetic intensity grid was used as the initial estimate for the Magnetic Vector Inversion ('MVI') model which was then run in Geosoft's MVI model software resulting creating a 3D Voxel model with 20 metre cell sizes. About Precipitate Gold: Precipitate Gold Corp. is a mineral exploration company focused on exploring and advancing its mineral property interests in the Pueblo Viejo Mining Camp and Tireo Gold Trend of the Dominican Republic. The Company also maintains the Reef property located immediately adjacent to Golden Predator's 3 Aces Project in the Upper Hyland River area, Yukon Territory. The Company has entered into an Option to Purchase Agreement with Golden Predator whereby Golden Predator can earn a 100% interest in the Reef claims by making certain staged payments in cash and shares and warrants. Precipitate is also actively evaluating additional high-impact property acquisitions with the potential to expand the Company's portfolio and increase shareholder value. Additional information can be viewed at the Company's website www.precipitategold.com . On Behalf of the Board of Directors of Precipitate Gold Corp., "Jeffrey Wilson" President & CEO For further information, please contact: Tel: 604-558-0335 Toll Free: 855-558-0335 investor@precipitategold.com Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This press release may contain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "proposed", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Precipitate Gold Corp.'s ("Precipitate" or the "Company") current beliefs and is based on information currently available to Company and on assumptions it believes are reasonable. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Precipitate to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the exploration concessions may not be granted on terms acceptable to the Company, or at all; general business, economic, competitive, political and social uncertainties; the concessions acquired by the Company may not have attributes similar to those of surrounding properties; delay or failure to receive governmental or regulatory approvals; changes in legislation, including environmental legislation affecting mining; timing and availability of external financing on acceptable terms; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although Precipitate has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Precipitate does not undertake to update any forward-looking information, except in accordance with applicable securities laws. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/45827 |
Stock Market News: Caesars Wins Big; Walmart Gets Sued
The stock market got out to a quiet start on Monday morning, as investors tried to remain patient as they waited to see what would come from the G-20 meeting in Japan later this week. Many market participants are hopeful that leaders of the U.S. and China will finally come to a longer-term resolution of trade disputes, although skeptics question whether an acceptable deal is achievable. As of around 11:30 a.m. EDT, theDow Jones Industrial Average(DJINDICES: ^DJI) was up 35 points to 26,754. TheS&P 500(SNPINDEX: ^GSPC) was roughly unchanged at 2,951, and theNasdaq Composite(NASDAQINDEX: ^IXIC) gave back 9 points to 8,022.
There's still plenty going on in the business world as companies vie to compete against traditional rivals and upstarts in related industries. ForCaesars Entertainment(NASDAQ: CZR), an acquisition bid fromEldorado Resorts(NASDAQ: ERI) will create a gaming industry giant with plenty of risk. Meanwhile,Walmart(NYSE: WMT) faced a legal attack from an unlikely source, as airlineJetBlue Airways(NASDAQ: JBLU) took issue with the name of a service the retail giant has launched.
Shares of Caesars Entertainment jumped 15% after the casino resort operator said that Eldorado Resorts had made a $17.3 billion bid for the company. The move will create the largest gaming business in the U.S. market, with each bringing its own array of regional properties into the mix.
Specifically, Eldorado will give Caesars investors $8.40 in cash plus 0.0899 shares of Eldorado for every Caesars share they own. Eldorado estimated the total value of that package at $12.75 per Caesars share, and it means that the acquirer will have to come up with $7.2 billion in cash as well as offering 77 million new common shares. The combination is essentially a merger of equals, with historical Eldorado shareholders owning 51% of the post-merger entity while Caesars shareholders will have 49%.
The two companies seem excited about the opportunity that they'll have. With about 60 casino resorts in 16 states, the combined entity will have a clear national presence. Remodeling on the Las Vegas Strip will improve Caesars' performance in the nation's biggest gaming market, and significant synergies could save the combined company $500 million in the first year after closing.
Skeptics have noted that buying Caesars would be another risky bet for Eldorado, especially given the debt that it will take on in doing the deal. That's probably one reason why Eldorado shares are down 9% this morning. But no matter what happens, the merger will certainly bring some casino-style entertainment to the Wall Street crowd over the next several months.
Meanwhile, shares of Walmart remained close to unchanged following news that the retailer had gotten sued. JetBlue Airways might seem like the least likely company to have any problems with the retail giant, but a trademark infringement case aims at a strategy that Walmart is using with its Jet.com business.
JetBlue is arguing that Walmart's Jetblack personal shopping service will create confusion among customers due to the similarity in their two names. Jetblack allows its members to send a text message to make shopping requests. A personal assistant then provides customized service to meet those requests.
On its face, JetBlue's suit might seem frivolous, but the airline makes a couple of compelling arguments. First, it states that Walmart intends to incorporate other services, including Jetgold and Jetsilver, for future projects. In addition, the airline believes that Walmart will offer travel-related services, further encroaching on JetBlue's industry and creating the potential for more confusion.
Walmart's acquisition of Jet.com was aimed at making abigger splash in the e-commerce world, and its early success has been enough to attract the attention of the airline. Investors can expect JetBlue and Walmart to reach some settlement of the matter, and in the interim, news of the lawsuit will likely just bolster awareness of the premium shopping service.
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Commentary: Airlines Change Flight Paths Over The Middle East
FreightWaves features Market Voices – a forum for market experts with unique knowledge of numerous transportation/logistics/supply chain sectors, as well as other critical expertise.
Middle East tensions have escalated since a U.S. military drone was shot down recently by Iran. Mistake or not, transportation movements via air and ocean are operating on high alert in this region and the result could mean not only delays in receipt of goods but also higher supply chain costs.
Earlier this year, Iran threatened to ‘close' the Strait of Hormuz after the U.S. placed sanctions on the country. This waterway is vital for ocean freight and in particular for oil exports. In 2018, 21 percent of global petroleum liquids consumption was transported via the Strait of Hormuz.
The threats and attacks are taking a toll on oil prices. For the week ending June 21th, Brent crude oil had climbed by more than 8 percent since Monday, June 17, and by over 5 percent in just the past 36 hours, as of Friday, June 21. Since a recent attack on two tankers, insurance premiums are up by an average of 10 percent, but Very Large Crude Carriers (VLCCs) have been hit the hardest, with insurance costs doubling to as much as $200,000 per voyage.
Meanwhile, the Federal Aviation Administration (FAA) has issued a warning stemming from the recent downing of the U.S. military drone. "The FAA remains concerned about the escalation of tension and military activity within close proximity to high-volume civil air routes and Iran's willingness to use long-range (surface-to-air missiles) in international airspace with little to no warning. As a result, there is concern about the potential for misidentification or miscalculation which could result in the inadvertent targeting of civil aviation."
According to an Associated Pressarticle, the latest warning would affect the area of the Tehran Flight Information Region. An FAA map showed that area extending from Iran's southern border roughly a dozen miles out to sea along the Persian Gulf, the Gulf of Oman and the Strait of Hormuz.
Airlines responded with cancellations and reroutes. United Airlines canceled its service between India and Newark, New Jersey through September 1, while European airlines British Airways, KLM and Lufthansa noted they would reroute flights. Qantas Airlines said in a statement that it would also reroute flights to avoid the Strait of Hormuz and the Gulf of Oman, which would affect its flights to and from London. Etihad Airways also suspended operations through Iranian airspace and will use alternative flight paths on a number of routes to and from its home base of Abu Dhabi until further notice.
According to a CNNarticle, the additional miles flown to avoid such trouble spots mean higher costs for airlines, which together spend a total of $180 billion annually on jet fuel. Such higher costs could turn a flight from being a profitable one to a financial loss.
However, some analysts do not view the air changes with as much concern. A spokesman for the flight-tracking website Flightradar24 said that for the few airlines affected, they would simply take northerly or southerly routes to avoid the area. He estimated that 100 flights might be affected in a 24-hour period.
Regardless, the region has been one of risk for transportation and logistics providers for quite some time. I have always advocated supply chain risk plans for shippers, transportation and logistics providers and while one may not be able to completely avoid risk, the ability to reduce them as much as possible is important to avert unnecessary costs and delays. The airlines responded fast to the FAA advisory and it is hoped the same quickness in that response extends to airlines' customers, passengers and cargo shippers alike including collaborating with customers to achieve satisfactory and timely alternative solutions.
Image Sourced From Pixabay
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John McDonnell praises Extinction Rebellion and says disruption from protests was 'definitely worth it'
John McDonnell has praised Extinction Rebellion protesters and says the disruption caused was "definitely worth it". The shadow chancellor said the "relatively minor disturbance" caused by the activists and the school student strikes movement had raised awareness of important issues. More than 1,000 arrests were made by police during Extinction Rebellion protests in London over 10 days in April. In a speech in London, Mr McDonnell said: "The relatively minor disturbance to everyday life caused by the demonstrations by Extinction Rebellion and the school student strikes has definitely been worth it. "These forms of direct action have secured the publicity that clearly has focused people's minds, not just on the threat of climate change but importunately on the solutions available to us." He said a national effort similar to that under Clement Attlee's government to rebuild Britain following the Second World War was needed to tackle climate change. Mr McDonnell launched an inquiry into the "shadow banking" sector as part of the effort to shift finance away from polluting industries. It would examine what state intervention may be required to increase "transparency and accountability" of institutions which do not have the same regulatory scrutiny as banks. Mr McDonnell said the "I am setting up a review group to overview the financial system as it currently relates to the climate emergency, in terms of both: where and how it is causing or exacerbating the problem of climate change; and where and how it could be providing solutions to problems," he said. "The review will cover commercial banks, investment banks, pension funds, hedge funds, private equity, asset managers, derivatives and securities traders and exchanges, and any other aspect of the finance sector of relevance." Mr McDonnell said he had also put forward a plan to legislate so that any company listed on the London Stock Exchange would be "required to contribute to tackling the climate change crisis" - with de-listing as a sanction. Story continues "When we de-list companies that fail to meet environmental criteria from the London Stock Exchange, investors can be confident that their money is not going on making the world uninhabitable for their children," he said. Mr McDonnell promised that as chancellor he would use the "full might of the Treasury" to address the problem of climate change. Stephen Jones, chief executive of industry body UK Finance, said: "The shadow chancellor has today posed the question of whether the financial sector is up for rising to the challenge of climate change. "Achieving net zero carbon by 2050 is a difficult but critical target that we must all work together to address and as an industry we stand ready to respond." |
Lawyers for Huawei CFO urge Canada to withdraw extradition proceedings
(Reuters) - Lawyers for Huawei's chief financial officer urged Canada's justice minister on Monday to withdraw extradition proceedings against Meng Wanzhou, who has been detained in Vancouver since December on U.S. fraud charges.
Meng, 47, the daughter of Huawei Technologies Co Ltd's founder, Ren Zhengfei, was arrested on charges alleging she misled global banks about Huawei's relationship with a company in Iran.
She has denied any wrongdoing, and Huawei pleaded not guilty in a New York court in March, but the matter has sparked tensions between China, which has demanded her release, and Canada.
After Meng's arrest, China detained two Canadians and later formally charged them with espionage. Canada says the arrest of the two men was arbitrary. China has also blocked imports of Canadian canola seed and has increased scrutiny of pork.
In a statement, Meng's lawyers said they sent a letter to Justice Minister David Lametti asking him to withdraw the extradition proceedings.
"The extradition proceedings are without merit and cessation of the proceedings would be in the best interests of Canada's national interests," the statement said.
The ministry said it "cannot confirm receipt of the letter," adding only that Canada "respects the rule of law" and was following its extradition procedures.
Earlier this month, Canadian Foreign Minister Chrystia Freeland dismissed a suggestion that Ottawa block the extradition, saying there has been no political interference and that doing so would set a dangerous precedent.
Meng's Canadian lawyers said neither Canada nor the United States had jurisdiction in the matter and that Meng's extradition was sought for "political purposes."
The case against Meng and Huawei, the world's largest telecommunications equipment maker, has also ratcheted up tensions between Beijing and Washington. The world's two largest economies have been waging almost a year-long trade war.
U.S. President Donald Trump said in December he would intervene with the U.S. Justice Department if it would help secure a deal with China.
(Reporting by Karen Freifeld in New York and Steve Scherer in Ottawa; Editing by Susan Thomas and Peter Cooney) |
Perk Up Your Portfolio With These Crazy Niche Investments
Thanks to lightning-fast advances in financial technology and the growth ofeasy-to-use investment apps, the world of investing is wildly different than it was a few years ago.
But it's not just the our methods of investing that changing rapidly. These days, our choices of what we put our money into can look very different, too -- going way beyond traditional blue-chip stocks.
Different can be profitable. From cutting-edge technologies to bizzare beverages, here are 10 fast-rising niche investments of 2019 that look like they’ll be around for the long haul.
Theme parks are heating up in 2019.
Disneyland in California and Walt Disney World in Floridaboth raised ticket prices in advance of their hotly anticipatedStar Wars: Galaxy’s Edgeattractions. Disney World's most expensive one-day ticket is now an out-of-this-world $219.
Galaxy’s Edgeis already open in California, and the Florida version debuts in late August. Meanwhile, Disney's stock price has been moving at warp speed, gaining more than 25% since the start of 2019.
The stocks of amusement park companies Six Flags and Cedar Fair are paying high dividends, over 6%. Wheeeee! Six Flags has reported nine years of record revenue and plans to expand in China, and Cedar Fair is expanding by buying two Texas water parks.
After several false starts (anybody remember the GM EV1?), electric cars may finally be taking hold in the U.S., thanks to Tesla’s runaway success.Even Warren Buffettis picking up on the electric vehicle vibe.
I think electric cars are very much in America’s future,” he recentlytold CNBC. “You’ll see American companies [getting] quite aggressive in that field.”
In fact, Ford and General Motors are making big-money bets on new electric models.
Only 2% of U.S. cars run on electricity today — which means there’s enormous growth potential. The International Energy Agency expects to see 125 million EVs on roads worldwide within the next 10 years, up from 3.1 million in 2017.
Tech companies are revolutionizing finance with mobile payment services, peer-to-peer lending andautomated investing— and investors and consumers are buying in.
Online payments giant PayPal has seen its stock price more than triple since it split off from eBay in 2015. Earnings, transactions and user numbers have all been growing at PayPal, which also owns the popular payments app Venmo.
Other fintech power performers include Intuit, the company behind the ever-growing TurboTax, and Square, the mobile payments processor whose card readers have quickly become ubiquitous.
Many celebrities have recognized the investing power of fintechs. Shaquille O'Neal put money into Steady, an app that connects workers with gig opportunities. And, Ashton Kutcher has invested in multiple fintech startups.
It's not hard to see signs that virtual and augmented reality (VR and AR) technologies are finally going mainstream.
Immersive virtual reality headsets from Facebook and its Oculus division have long been popular with gamers, and now they're being used by Walmart to train employees.
The U.S. military has already deployed Microsoft’s HoloLens technology for tactical training — while Audi, Tesla, Toyota and others plan to add Nvidia’s DriveAR hazard-sensing platform into cars.
And, as you explore virtual reality investments, don't forget about Sony. The companyannouncedearlier this year that it has sold more than 4.2 million of its PlayStation VR headsets.
With 7.5 billion hungry humans sharing the planet, vegan foods could be a sustainable — and profitable — way to feed the world. Investors smell the aroma of opportunity.
Beyond Meat, maker of the plant-based Beyond Burger,went public earlier this year,and Wall Street has been eating it up.
The stock rose a whopping 163% in its first day of public trading, and since then the price has more than doubled.
As Burger King test-drives Impossible Foods' meatless Impossible Burger, traditional food and beverage companies like Nestle, Tyson Foods and Conagra are also looking to expand their current vegan and vegetarian offerings.
In a post-cable world, one thing hasn’t changed: You'vegottawatch the game live! Sports programming is super valuable these days, and that includes pro wrestling.
WWE — World Wrestling Entertainment — reported revenue of $930 million for 2018, and analysts at Morgan Stanley say the company's profitscould double by 2025.
WWE now charges higher content rights fees, runs international large-scale events and is expanding the reach of its popular WWE Network.
The company's stock price has been bulking up: It has more than quadrupled over the last three years. Want more MoneyWise?Sign up for our weekly email newsletter.
In the energy business, change is in the wind. And the sun.
The share of U.S. electricity produced by wind and solar sources grew from 7% in 2017 to 8% in 2018 in spite of tariffs on solar cells, aluminum and steel, saysDeloitte.
Solar stocks are sizzling: The share price of residential solar panel provider Sunrun has gone from about $5 in 2018 to the neighborhood of $20 in 2019.
Even oil and gas companies Royal Dutch Shell, BP and Total S.A. have bought stakes in solar developers, and big investments also are happening in onshore and offshore wind energy production in the U.S., Europe and Asia.
Over 60 million households own a dog and 47 million own at least one cat, according to the American Pet Products Association's National Pet Owners Survey.
That’s a lot of paws that get alot of pampering.
The association isforecastingthat Americans will spend more than $75 billion on pet products in 2019, including $31.7 billion on food and $16.4 billion on over-the-counter medicines and other supplies.
The industry is booming thanks to online shopping and innovative products — like Cytopoint anti-itch medication from pet meds giant Zoetis, and new cat litter made by Clorox that resists tracking around the house.
The cannabis industry is absolutelyablaze with investmentthanks to growing legalization and high-profile backers.
Already, Martha Stewart has partnered with Canopy Growth to create non-psychoactive CBD-based products for pets, while Mike Tyson is building a 40-acre cannabis farmandcultivation school.
Worldwide spending on legal cannabis grew from $9.5 billion in 2017 to $12.2 billion last year — and is likely to hit $16.9 billion in 2019, according to thelatest forecastfrom Arcview Market Research and BDS Analytics.
The firms say pot has become "one of the largest industry-growth phenomena in history" thanks to the spread of legal weed in the U.S. and elsewhere. Marijuana has been approved for medical use in 33 states and for recreational use in 10 so far.
Meet kombucha, the fizzy, fermented sweet-sour drink that combines tea with bacteria, sugar and yeast. Uh, yum?
But seriously, this funky drink’s health benefits include slowing carbohydrate digestion and lowering blood sugar, which may help manage Type 2 diabetes.
National retailers includingTargetand Amazon's Whole Foods now stock kombucha, and brewers across America are pumping out gluten-freekombucha beersflavored with hops, hibiscus and lime.
Invest while you can: The global kombucha market is expected to grow more than 20% a year and could be worth $5.45 billion by 2025, reportsGrand View Research.
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Woman and Three Children Found Dead at U.S.-Mexico Border
The Latest on four bodies found at the U.S.-Mexico border (all times local):
10:30 a.m.
Authorities say four people, including three children, found dead in South Texas near the border with Mexico likely died of dehydration and heat exposure after crossing the Rio Grande into the U.S.
A law enforcement official close to the investigation told The Associated Press the four were overcome by the heat and foul play is not suspected. The official spoke on condition of anonymity because the person isn’t authorized to speak publicly about the bodies found Sunday.
Authorities say a woman in her early 20s, a toddler and two infants were found dead by U.S. Border Patrol agents at or near a park in Mission that borders the river.
Investigators suspect they had died days before being discovered.
Hidalgo County sheriff’s Sgt. Frank Medrano says the area is commonly used by migrants entering the country illegally.
___
9 a.m.
A spokesman for a Texas sheriff’s department says the bodies of a woman in her early 20s, a toddler and two infants were found in an area of South Texas near the Mexican border that is a common route for migrants entering the country illegally.
Hidalgo County sheriff’s Sgt. Frank Medrano told The Associated Press Monday that bodies were found Sunday in or near Anzalduas Park, which borders the river in the city of Mission.
The FBI is leading the investigation into the deaths because the park is on federal land.
Authorities believe they may have been dead for days before being discovered. The names of the four have not been released and authorities are working to determine their country of origin.
___
7:45 a.m.
A sheriff in South Texas says Border Patrol agents have discovered the bodies of four people, including three children, within a wildlife management area near the border.
Hidalgo County Sheriff Eddie Guerra tells the McAllen Monitor that the dead appeared to be two infants, a toddler and a woman in her early 20s. The sheriff tells the newspaper that they may have been dead for a few days by the time they were discovered Sunday in Las Palomas Wildlife Management area near the Rio Grande River.
The newspaper reports that area is known locally as El Rincon del Diablo, or the Devil’s Corner, and is often used for illegal border crossings.
The sheriff said on Twitter that the FBI will investigate the deaths.
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Rihanna's Hair Is So Shiny Thanks to This $8 Drugstore Hairspray
Photo credit: Getty Images From ELLE Who doesn't love a drugstore steal? Apparently everyone's fave, Rihanna, is not above using budget picks on her hair as her 2019 BET Awards style was achieved using styling products all under $10. Rih took the stage to present Mary J. Blige with a BET Lifetime Achievement Award and for the occasion, the singer's longtime hair stylist, Yusef , transformed her most recent burgundy box braids look into a tight half-up, half-down pony. "For tonight’s look, Rihanna wanted to look very pretty. We were working with her beautiful burgundy hair, so I wanted to really feature the bold color and let it speak for itself!” he says in a written break-down. Photo credit: Getty Images Yusef partnered with Suave Professionals for the night, using the Natural Hair Define and Shine Serum Gel on her wet strands to ensure a smooth finish after blow drying (his tool of choice was the Dyson Supersonic ), then added in extensions and used a curling iron to add some texture. He set the waves using the Suave Firm Control Finishing Hairspray and pulled the hair up into a tight half-up style before using the spray again to backcomb and tease the hair. Note: This hairspray is listed $8 (!!!) at Walmart and it has over 200 reviews praising the way it reduces frizz, smooths flyaways, and holds style without that dreaded sticky-crunchy feeling. Photo credit: Courtesy of Yusef We missed seeing Rihanna with her red hair-she memorably wore the hue back in 2010 during her Loud album era. Photo credit: Getty Images Some eager fans on Twitter believed the hair change could even signify her ninth album is finally coming? For the record, she's said she is indeed working on one: "I'm happy with a lot of material we have so far, but I am not going to put it out until it’s complete. It makes no sense to rush it, but I want it out," she recently told Interview . Rihanna changes her hair color when she’s about to drop an album pic.twitter.com/1P3xC2gUC3 - Ashlee (@BuryMeInChanel_) June 24, 2019 Rihanna has red hair again . music gonna be 🔥🔥👏👏 - Keels Williams (@TrulyKeels) June 24, 2019 @rihanna is coming out with new music, she got red hair going on 😬❤️ pic.twitter.com/UGS7YzMTT6 - Roberto (@YoooRobbie) June 24, 2019 While we patiently wait for new music to drop, we'll continue getting our Rihanna fix by buying her beauty products . And lingerie . And LVMH fashion line . At this rate, if she decides to go into hair, too, we'd be here for it. Story continues Photo credit: Getty Images ('You Might Also Like',) 10 Pairs of White Sneakers That Go With Everything 50 Surprising Things You Never Knew About 'Sex and the City' 20 Serums to Solve All Your Skincare Problems |
Is Now An Opportune Moment To Examine Norfolk Southern Corporation (NYSE:NSC)?
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Norfolk Southern Corporation (NYSE:NSC) saw a double-digit share price rise of over 10% in the past couple of months on the NYSE. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock. However, could the stock still be trading at a relatively cheap price? Today I will analyse the most recent data on Norfolk Southern’s outlook and valuation to see if the opportunity still exists.
View our latest analysis for Norfolk Southern
According to my valuation model, the stock is currently overvalued by about 42.57%, trading at US$197 compared to my intrinsic value of $138.31. Not the best news for investors looking to buy! But, is there another opportunity to buy low in the future? Since Norfolk Southern’s share price is quite volatile, this could mean it can sink lower (or rise even further) in the future, giving us another chance to invest. This is based on its high beta, which is a good indicator for how much the stock moves relative to the rest of the market.
Future outlook is an important aspect when you’re looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to grow by a double-digit 17% over the next couple of years, the outlook is positive for Norfolk Southern. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation.
Are you a shareholder?It seems like the market has well and truly priced in NSC’s positive outlook, with shares trading above its fair value. However, this brings up another question – is now the right time to sell? If you believe NSC should trade below its current price, selling high and buying it back up again when its price falls towards its real value can be profitable. But before you make this decision, take a look at whether its fundamentals have changed.
Are you a potential investor?If you’ve been keeping an eye on NSC for a while, now may not be the best time to enter into the stock. The price has surpassed its true value, which means there’s no upside from mispricing. However, the positive outlook is encouraging for NSC, which means it’s worth diving deeper into other factors in order to take advantage of the next price drop.
Price is just the tip of the iceberg. Dig deeper into what truly matters – the fundamentals – before you make a decision on Norfolk Southern. You can find everything you need to know about Norfolk Southern inthe latest infographic research report. If you are no longer interested in Norfolk Southern, you can use our free platform to see my list of over50 other stocks with a high growth potential.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
NASA’s Curiosity rover saw something flash on Mars, and people are freaking out
Mars is almost certainly the next place in our solar system where humans will travel. We’re still many years from actually seeing mankind roaming the Red Planet, but with a number of high-powered instruments already hanging out around Mars and on its surface, we have a pretty good idea of what to expect once we get there… or do we? A new image captured by NASA’s Mars Curiosity rover shows something that, at the moment, remains unexplained: a bright flash popping up, seemingly out of nowhere, and with no indication of what may have caused it. The image, which was snapped on June 16th, has quickly taken the internet by storm, but NASA scientists aren’t particularly concerned with what it might mean. Related Stories: New Mars rover discovery hints at life, but we're not there yet Mars has meteors to thank for its wispy clouds Mars has a brand new crater, and it sure is pretty The flash is only present in one of many consecutive images Curiosity captured that day. Images from just seconds later show absolutely nothing but the baren Martian landscape, so what caused the flash? NASA can’t say for certain, but the most likely explanation is rather mundane. When we see something we can’t immediately identify, especially when it’s happening on another planet, it’s easy to jump to some seriously wild conclusions. Perhaps it’s an alien ship zooming through, or an alien surveying the planet with a flashbulb, right? Unfortunately, no. Scientists have seen these kinds of flashes in images of Mars before, and generally speaking they never really amount to much. NASA has chalked it up to reflections from distant rocks or glare caused by the Sun. The fact that NASA published a total of 21 images shot over a four-minute span and only one of those pictures includes the bright flash suggests it wasn’t anything particularly meaningful. In any case, it’s yet another interesting mystery for scientists to unravel between now and whenever in the near future we finally send human travelers to the Red Planet. Story continues BGR Top Deals: 10 deals you don’t want to miss on Sunday: $8 wireless charger, $79 soundbar, AirPods 2 and iPad deals, more This top-rated fast wireless charger is somehow only $6.99 right now on Amazon Trending Right Now: Everything new coming to Netflix this week, and everything leaving (week of June 23) Fresh Pixel 4 leak gives us another look at Google’s unreleased flagship No, it’s not just you: Half of the internet is down, including Google, Amazon, and Reddit See the original version of this article on BGR.com |
Should You Be Concerned About Nuvectra Corporation's (NASDAQ:NVTR) Historical Volatility?
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If you own shares in Nuvectra Corporation (NASDAQ:NVTR) then it's worth thinking about how it contributes to the volatility of your portfolio, overall. In finance, Beta is a measure of volatility. Volatility is considered to be a measure of risk in modern finance theory. Investors may think of volatility as falling into two main categories. First, we have company specific volatility, which is the price gyrations of an individual stock. Holding at least 8 stocks can reduce this kind of risk across a portfolio. The second sort is caused by the natural volatility of markets, overall. For example, certain macroeconomic events will impact (virtually) all stocks on the market.
Some stocks mimic the volatility of the market quite closely, while others demonstrate muted, exagerrated or uncorrelated price movements. Beta is a widely used metric to measure a stock's exposure to market risk (volatility). Before we go on, it's worth noting that Warren Buffett pointed out in his 2014 letter to shareholders that 'volatility is far from synonymous with risk.' Having said that, beta can still be rather useful. The first thing to understand about beta is that the beta of the overall market is one. A stock with a beta greater than one is more sensitive to broader market movements than a stock with a beta of less than one.
See our latest analysis for Nuvectra
With a beta of 1.01, (which is quite close to 1) the share price of Nuvectra has historically been about as voltile as the broader market. If the future looks like the past, we could therefore consider it likely that the stock price will experience share price volatility that is roughly similar to the overall market. Share price volatility is well worth considering, but most long term investors consider the history of revenue and earnings growth to be more important. Take a look at how Nuvectra fares in that regard, below.
Nuvectra is a noticeably small company, with a market capitalisation of US$64m. Most companies this size are not always actively traded. Companies this small are usually more volatile than the market, whether or not that volatility is correlated. Therefore, it's a bit surprising to see that this stock has a beta value so close to the overall market.
Nuvectra has a beta value quite close to that of the overall market. That doesn't tell us much on its own, so it is probably worth considering whether the company is growing, if you're looking for stocks that will go up more than the overall market. This article aims to educate investors about beta values, but it's well worth looking at important company-specific fundamentals such as Nuvectra’s financial health and performance track record. I urge you to continue your research by taking a look at the following:
1. Future Outlook: What are well-informed industry analysts predicting for NVTR’s future growth? Take a look at ourfree research report of analyst consensusfor NVTR’s outlook.
2. Past Track Record: Has NVTR been consistently performing well irrespective of the ups and downs in the market? Go into more detail in the past performance analysis and take a look atthe free visual representations of NVTR's historicalsfor more clarity.
3. Other Interesting Stocks: It's worth checking to see how NVTR measures up against other companies on valuation. You could start with thisfree list of prospective options.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
6 Digital Ad Stocks That Could Follow Facebook Into Commerce
Over the past several weeks,Facebook(NASDAQ:FB) has turned its nascent, fledgling commerce efforts, into a full-blown commerce pivot centered around the company launching its very own digital currency. The long-term goal? That digital currency, dubbed Libra, enables and empowers Facebook’s 2 billion-plus users to more actively engage in commerce activities on the platform, and in so so doing, it creates a foundation for Facebook — traditionally thought of as the world’s largest social media company — to become the world’s largest commerce platform, too.
Investors celebrated the pivot because it: 1) dramatically expands the company’s addressable market, and 2) significantly lengthens the company’s big growth runway. FB stock consequently rallied from $160 to $190 in just a few weeks on this commerce catalyst.
But, Facebook isn’t the only social media platform that can jump into commerce. Over the past several years, the lines between the digital ad and commerce business models have become increasingly blurred.Amazon(NASDAQ:AMZN), the world’s largest e-commerce business, has a burgeoning digital ad business. Facebook, the world’s largest social media platform, will soon be a very important e-commerce player.
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These convergences are happening because all that matters in either model is engagement. If you have a social media platform with a highly engaged user base, you can easily throw commerce opportunities onto that platform, and turn eyeballs into shoppers. By the same token, if you have an e-commerce business with a highly engaged shopper base, you can easily throw ads on that platform, and turn those shoppers into eyeballs.
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Because of this, I don’t think Amazon and Facebook will be the only two companies that blend e-commerce and advertising. With that in mind, let’s take a look at six digital ad stocks that could follow Facebook into commerce.
Source: Shutterstock
At the top of this list of digital ad stocks with potential commerce upside is arguably the most “shoppable” social media platform in the world,Pinterest(NYSE:PINS).
Pinterest is all about visual discovery and inspiration. Consumers go there to get inspiration for a new outfit, a home remodel, or any other project/venture where inspiration can be visually derived. Because of this, consumers are going to Pinterest with something in mind, and that “something in mind” usually leads to some sort of transaction at the end of the process. Presently, that transaction does not happen on the Pinterest platform.
But, how easy would it be to migrate that transaction to the Pinterest platform? Very easy. Consumers go to Pinterest. See a shirt they like. Click on it. Get a price quote. Buy the shirt. Pinterest takes home a high-margin commission fee. Repeat this process at scale with hundreds of millions of users. That’s a lot of high-margin commission fees.
As such, it’s reasonable to call Pinterest’s commerce opportunity very large.
Source: Shutterstock
Next up, we have a social media platform that is the center of digital conversation, and which can easily leverage that positioning to be an important e-commerce platform, too.
Twitter(NYSE:TWTR) is the heartbeat of social dialogue on the internet. If consumers have an opinion on that new show, the recent ball game, or a new product, they often take to Twitter to publicly voice that opinion instantaneously and at scale. As such, Twitter is presently a collection of consumer opinions on various experiences.
Layering commerce on top of that existing structure would be very easy to do. Imagine this. You go to Twitter to read recent sports headlines. You see something about your local team making a trade for some big player. You’re scrolling through the feed of tweet responses to that trade. As opposed to Twitter feeding you an ad every few posts, they mix in a few posts where you can directly buy tickets to the next game through some ticketing service, but on the Twitter platform. Maybe it strikes your interest. Maybe you buy the tickets. Twitter takes home a high-margin commission fee.
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Much like Pinterest, if you repeat this process at scale with hundreds of millions of users, those fees add up. All in all, then, Twitter’s present status as the social dialogue platform of the internet gives it a unique opportunity to turn that dialogue into commerce action, all on its own platform.
Source: Shutterstock
On the more speculative side of digital ad stocks with commerce upside potential, we haveSnap(NYSE:SNAP).
Much like Instagram and Pinterest, Snap is a visual-first platform where a lot of consumers go to consume photos and videos from friends and publishers. As such, it’s easy to see how commerce can be put into the ecosystem, and turn eyeballs into shoppers.
But, the unique upside here is from the fact that Snap dominates the youth demographic, which is more comfortable with the idea of mobile shopping and social commerce. It’s very reasonable to believe that young consumers will be the first ones to adopt social commerce. Snap has all those young consumers. Putting two and two together, it’s also very reasonable to believe that Snap could become an early leader in social commerce.
As such, one of Snap’s presumed weaknesses to-date — its niche reach and narrow audience — could actually be a tailwind for this company as it pivots into commerce.
Source: Shutterstock
The digital ad stock with perhaps the biggest upside potential in commerce is the world’s largest digital advertiser,Alphabet(NASDAQ:GOOG, NASDAQ:GOOGL).
Google Search is the backbone of the internet. They control the top of the discovery funnel when it comes to consumers learning about any service or product. Because they do, they can easily keep consumers in that discovery funnel by building out services that help consumers lower in the funnel. That funnel ends with a consumer transaction. Thus, it’s very reasonable to see Google Search flowing into Google Shopping, and Alphabet becoming an e-commerce giant.
That’s only one leg of Alphabet’s commerce potential. Alphabet also owns YouTube, which is where consumers watch a bunch of online videos, a bulk of which are product reviews and promotions. Alphabet could build in “Buy Now” functionality into those videos, so that consumers can go from watching a product review on YouTube, to buying the product, all on the YouTube platform.
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Net net, Alphabet has a tremendous opportunity in front of it to become a commerce giant.
Source:Linny Heng via Flickr
One digital ad stock that should have a fairly easy time building out a tangential commerce business isYelp(NASDAQ:YELP).
The restaurant and services review aggregator is currently the go-to place for consumers to quickly judge the quality of a restaurant or service. If a consumer is doing that, it’s because they are interested in going to that restaurant or buying that service. Thus, much like Google Search, Yelp controls the top part of the discovery funnel in the restaurants and services world.
Because of that, they can easily build out the bottom end of the funnel, too, and control the whole process. To be sure, there aren’t any online transactions when you go to a restaurant. But, in the era of food delivery, there are multiple online transactions. As such, Yelp’s pathway into the commerce world will be through online food ordering and delivery. That industry already has giants, so Yelp’s move into this space should be through a revenue sharing partnership with a food delivery giant likeGrubHub(NYSE:GRUB).
If Yelp successfully pulls this off, it could result in enormous addressable market expansion for the company.
Source: Shutterstock
Last, but not least, on this list of digital ad stocks with commerce upside potential is over-the-top content aggregator,Roku(NASDAQ:ROKU).
Everyone is all excited about Roku’s advertising opportunity. They should be. Consumption is rapidly shifting from the linear to internet TV channel, and as it does, ad dollars are chasing that consumption. Over the next several years, we will see a huge migration of TV ad dollars from the linear to internet channel, and a large portion of those dollars will wind up on the Roku platform.
But, there’s another big opportunity here in commerce. Not every video or show can be streamed through a subscription streaming service. Indeed, there are a lot of movies and shows out there that need to be purchased a la carte. If Roku can successfully become the centralized hub of internet TV service access, then it will naturally also become the centralized hub for ordering movies and shows a la carte. Those transaction revenues will add up over millions of accounts, and ultimately become a sizable business for Roku.
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Overall, Roku is oozing with growth potential across many different growth verticals, and that ultimately makes ROKU stock a long-term winner.
As of this writing, Luke Lango was long FB, PINS, TWTR, GOOG and ROKU.
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Are Too Many Democrats Running for President? Voters Are Tuning Out
Nearly two dozen Democratic presidential candidates have crisscrossed the country for six months selling their vision for the United States. But, on the eve of the first debates in the campaign , a new poll from The Associated Press-NORC Center for Public Affairs Research shows most Democratic voters haven’t fully tuned in.
Only 22% of Democrats registered to vote say they know a lot about the candidates’ positions, while 62% say they know a little. And only 35% say they’re paying close attention to the campaign, with almost two-thirds saying they’re paying some or no attention.
“It’s kind of a blur,” said Maggie Banks, 32, of suburban Denver, who has two young children and only has a chance to glean a few details about the race while listening to National Public Radio during her commute.
Banks said she has only a “vague” idea of who’s running and didn’t realize her state’s senior senator, Michael Bennet, or former governor, John Hickenlooper, were in the race.
Voters like Banks comprise the vast majority of the Democratic electorate, implying there’s great potential for change in what’s essentially been a static race to date. Former Vice President Joe Biden holds a solid but not dominant polling lead , followed by some combination of Sens. Bernie Sanders of Vermont, Elizabeth Warren of Massachusetts and Kamala Harris of California and Mayor Pete Buttigieg of South Bend, Indiana. Behind them are a wide range of contenders from Senate veterans like Amy Klobuchar of Minnesota to lesser-known candidates like internet entrepreneur Andrew Yang.
The first big opportunity for candidates to break out of that muddle comes with the two nights of debates this week beginning Wednesday. Two groups of 10 candidates will get a chance to take their messages directly to a national prime-time audience from the stage in Miami.
The Democratic field is enormous and unprecedentedly diverse. It features several women, multiple candidates of African and Asian descent, one Latino and a gay man, Buttigieg, who at age 37 is less than half as old as the front-runner, Biden.
But majorities of Democrats say those characteristics make no difference to their level of enthusiasm about a presidential candidate. Four in 10 Democratic voters said they would be more excited about voting for a woman for president, and 36% said the same of a younger candidate. Only about a quarter were more excited at the idea of supporting a candidate who is black or Latino, while roughly 2 in 10 said they’d be more excited to support an Asian candidate or lesbian, gay or bisexual candidate.
What Democrats want the most is experience in elected office: 73% cited that as a quality they’re looking for in a presidential candidate.
Benji Grajeda, 50, of Santa Ana, California, was once excited at the idea that Hillary Clinton could become the first female president. Now he just wants stability.
“I don’t think it matters, gender,” said Grajeda, instead citing experience in office as his top priority because “Trump has no experience.”
“I never really thought about it until he won — he’s just not qualified,” Grajeda said.
There’s a large appetite for the campaign among Democratic voters, 79% of whom say they’re interested in the 2020 race. Republicans are only slightly less interested, with 70% reporting interest. But only about 3 in 10 voters overall say they’re paying close attention more than seven months before the first votes are cast in the Iowa caucuses.
Some, like Charles G. Cooper, 57, of Orlando, Florida, say they figure it wasn’t worth tuning in too far before this week’s debates, which they expect to help shape the field. Cooper supports Biden — “I’m an Obama guy, and he was the vice president,” Cooper said — but he knows the front-runner has a history of gaffes during his past races and wants to see how he handles them.
Adam Pratter, 43, of San Diego, is also being strategic. He has studied up on the five candidates leading in the polls but studiously ignored the rest.
“Unless something extraordinary happens, they’re not going to make it,” Pratter said.
The stakes are high in this week’s debates and another set that will follow in late July . After that, it gets tougher to get onto the main stage.
For the third debate in September, the Democratic National Committee is requiring candidates to receive donations from 130,000 or more individuals and poll at 2% or higher in three polls. Analysts and many campaigns think that — and the difficulty raising money if a candidate does not continue to qualify for the debate stage — will winnow the field down quickly.
Banks hopes so. Her husband is a fan of New Jersey Sen. Cory Booker, and she likes Sanders, but she doesn’t know how she could learn enough to judge the current, sprawling field.
“Some people will be weeded out as we go along, and I want that to happen so I can look at everybody’s ideals and experience,” Banks said.
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Tariffs weighing on manufacturers' optimism, survey shows
NEW YORK (AP) — Manufacturers see the Trump administration's trade policies as a bigger challenge than the economy.
That's one of the findings of a quarterly survey by the National Association of Manufacturers, or NAM, released last week. Fifty-six percent of the 689 manufacturing companies questioned in the survey cited trade issues including tariffs on imports from Mexico and China as one of their greatest challenges. Just over 31% said the economy was one of their greatest challenges.
Concerns about tariffs contributed to a drop in optimism among manufacturers, according to the NAM, an industry group. Just under 80 percent said they were positive about their companies' outlook, down from 89.5% in a similar survey in March. The companies expect their export business to slow; they forecast exports would grow 0.4% over the next 12 months, down from expectations of 0.9% in the previous survey.
The NAM's Manufacturing Outlook Index fell to 53.2 from 59.7. The NAM conducted the survey between May 22 and June 5; during that time President Donald Trump threatened to slap new tariffs on imports from Mexico unless the country took steps to stop the flow of Central American migrants to the U.S. border.
"Optimism is still strong among manufacturers, but you can't overlook the fact that trade uncertainties are causing concern," said Chad Moutray, the NAM's chief economist.
The NAM reported lowered expectations for sales growth. The survey participants forecast their sales would rise 3.4% over the next 12 months, down from the forecast of 4.4% made in March. That in turn was a likely contributor to manufacturers reporting they expect to hire fewer people; the expected growth rate for full-time employment over the next 12 months was 1.6%, down from 2.1% in the March survey.
Many manufacturers are small or mid-sized businesses. While tariffs are an issue for companies of all sizes, smaller businesses don't have the revenue stream to help them absorb costs that large corporations have; the tariffs are levied on the company that does the importing. And although some smaller companies have switched manufacturing out of China or Mexico to avoid tariffs that are as high as 25% on many products, that is an expensive and complicated process.
The NAM survey is in line with the monthly report from the Institute for Supply Management compiled from a survey of its manufacturing members. The trade group reported that multiple companies said tariffs on imports from China were a concern.
Manufacturers are affected by tariffs on components as well as finished products. In many industries, there are components and products that must be imported because they're not manufactured in the U.S. And some are made only in China.
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Follow Joyce Rosenberg atwww.twitter.com/JoyceMRosenberg. Her work can be found here:https://apnews.com |
Does Newell Brands Inc.'s (NASDAQ:NWL) Debt Level Pose A Problem?
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Small-caps and large-caps are wildly popular among investors; however, mid-cap stocks, such as Newell Brands Inc. (NASDAQ:NWL) with a market-capitalization of US$6.5b, rarely draw their attention. Despite this, commonly overlooked mid-caps have historically produced better risk-adjusted returns than their small and large-cap counterparts. Today we will look at NWL’s financial liquidity and debt levels, which are strong indicators for whether the company can weather economic downturns or fund strategic acquisitions for future growth. Note that this information is centred entirely on financial health and is a top-level understanding, so I encourage you to look furtherinto NWL here.
See our latest analysis for Newell Brands
Over the past year, NWL has reduced its debt from US$11b to US$8.0b , which includes long-term debt. With this reduction in debt, the current cash and short-term investment levels stands at US$364m , ready to be used for running the business. Additionally, NWL has generated US$881m in operating cash flow during the same period of time, resulting in an operating cash to total debt ratio of 11%, indicating that NWL’s debt is not covered by operating cash.
At the current liabilities level of US$3.6b, the company has been able to meet these obligations given the level of current assets of US$7.5b, with a current ratio of 2.12x. The current ratio is calculated by dividing current assets by current liabilities. Usually, for Consumer Durables companies, this is a suitable ratio as there's enough of a cash buffer without holding too much capital in low return investments.
Since total debt growth have outpaced equity growth, NWL is a highly leveraged company. This is not unusual for mid-caps as debt tends to be a cheaper and faster source of funding for some businesses. Though, since NWL is currently loss-making, there’s a question of sustainability of its current operations. Maintaining a high level of debt, while revenues are still below costs, can be dangerous as liquidity tends to dry up in unexpected downturns.
Although NWL’s debt level is towards the higher end of the spectrum, its cash flow coverage seems adequate to meet obligations which means its debt is being efficiently utilised. Since there is also no concerns around NWL's liquidity needs, this may be its optimal capital structure for the time being. Keep in mind I haven't considered other factors such as how NWL has been performing in the past. I recommend you continue to research Newell Brands to get a better picture of the mid-cap by looking at:
1. Future Outlook: What are well-informed industry analysts predicting for NWL’s future growth? Take a look at ourfree research report of analyst consensusfor NWL’s outlook.
2. Valuation: What is NWL worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? Theintrinsic value infographic in our free research reporthelps visualize whether NWL is currently mispriced by the market.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore ourfree list of these great stocks here.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.If you spot an error that warrants correction, please contact the editor ateditorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading. |
E. Jean Carroll shares details of alleged Trump assault
Days after going public with her claim that Donald Trump sexually assaulted her in a Bergdorf Goodman dressing room in the mid-’90s, writer E. Jean Carroll is explaining why she’s now speaking out. Carroll appeared on the CNN show New Day on Monday to discuss her encounter with Trump , which she describes in her new book, What Do We Need Men For? A Modest Proposal , an excerpt of which appeared in New Yor k magazine ’s The Cut . Writer E. Jean Carroll has accused Trump of sexual assault. (Photo: Eva Deitch for The Washington Post via Getty Images) “The moment the dressing-room door is closed, he lunges at me, pushes me against the wall, hitting my head quite badly, and puts his mouth against my lips,” wrote Carroll of visiting the New York City department store with Trump in either 1995 or 1996. “I am so shocked I shove him back and start laughing again. He seizes both my arms and pushes me up against the wall a second time, and, as I become aware of how large he is, he holds me against the wall with his shoulder and jams his hand under my coat dress and pulls down my tights.” She alleged that Trump thrusted himself “halfway — or completely, I’m not certain — inside me” until she was able to push him off. Trump has denied her allegations, first insisting, “I've never met this person in my life. She is trying to sell a new book — that should indicate her motivation. It should be sold in the fiction section." When asked about a photo that shows him and Carroll at a 1987 party with their then-spouses, he wrote it off. "Standing with my coat on in a line, give me a break, with my back to the camera,” he told reporters . “I have no idea who she is.” During her appearance on New Day , Carroll seemed unsurprised by the president’s denials. “With all the 15 women or 16 who have come forward, it's the same,” she said. “He denies it. He turns it around. He attacks. And then he threatens… Then everybody forgets it and then the next woman comes along. And I am sick of it." The longtime Elle advice columnist also shared that she initially thought Trump was joking around when they allegedly walked through Bergdorf Goodman’s lingerie department, where she says he demanded she put on a “see-through bodysuit.” She explained that she found it “so funny” because she was 52 at the time, and responded by telling him to put it on instead. Story continues But she says things soon turned violent. “The minute he closed that door, I was banged up against the wall,” she said, adding that she hit her head. “I want women to know, I did not stand there, I did not freeze, I was not paralyzed, which is a reaction that I could have had because it was so shocking. No, I fought. And it was over very quickly. It was against my will, 100 percent. And I ran away, out.” Carroll also said that she had “trouble” describing the alleged attack as a “rape” or portraying herself as a “victim.” “Legally, it was rape,” New Day host Alisyn Camerota responded. “It’s unambiguous. What you describe in the book, it was rape.” Read more from Yahoo Lifestyle: ‘Why is she Asian?’: Writer highlights problems with diversity in art by sharing criticism to a short story Fashion blogger calls out brands for ignoring black influencers Community furious after racist comments about Muslim sixth-graders' class photo surface online Follow us on Instagram , Facebook , Twitter and Pinterest for nonstop inspiration delivered fresh to your feed, every day. |
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