420.35 0.00 (0.00%)
After hours: 4:58PM EDT
|Bid||420.19 x 1000|
|Ask||420.16 x 900|
|Day's Range||419.67 - 427.29|
|52 Week Range||272.91 - 431.43|
|Beta (3Y Monthly)||1.13|
|PE Ratio (TTM)||71.08|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Traders also look at the activity of short sellers for trading opportunities. Sometimes, stocks with a large amount of short selling activity could be potential candidates for short squeezes. Other times, ...
Moody's Investors Service ("Moody's") says Charter Communications, Inc.'s (Charter, Ba2 stable) ratings, including the Ba2 Corporate Family Rating and all instrument ratings, are unaffected by a $1 billion note offering, maturing in 2030, issued at CCO Holdings, LLC (CCO Holdings) and CCO Holdings Capital Corp. (CCO Holdings Capital) (the Issuers).
These stocks with high proportions of domestic sales and low exposure to China are well-positioned to thrive in the current macro environment.
The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But on the bright side...
Arlington-based Federated Wireless has raised $51 million in its latest funding round — its biggest single haul so far — as its customers launch the company's 5G and private business wireless networks and it looks to expand its own real estate footprint. Federated Wireless, a software-as-a-service firm founded in 2012, has raised a total of $126 million to date. The company provides a shared spectrum Citizen Band Radio Service — technology that allows for the creation of smaller, localized wireless networks — to more than 30 customers.
(Bloomberg Opinion) -- T-Mobile US Inc. is trying to make the case that Sprint Corp. is on its deathbed, and that T-Mobile alone can save it. That’s rich coming from the company that happily helped put Sprint there. It’s also a misleading prognosis for Sprint. A Sprint pity party is one way T-Mobile is defending against a multi-state lawsuit that seeks to prevent the wireless carrier from taking over its weaker rival, and it used that reasoning in a court filing last week. Even though the deal already has the backing of the U.S. Department of Justice and Federal Communications Commission, 17 state attorneys general – who represent more than half the U.S. population – are challenging the transaction because of concerns that it will lead to higher prices, discourage innovation and hurt workers. Illinois, Oregon and Texas were the latest to join the now-bipartisan suit, whose trial date is set for Dec. 9. State officials are right to be concerned. T-Mobile and Sprint are the third- and fourth-biggest carriers, respectively, in a mainly four-carrier market. Lower prices and new features from them in recent years did a lot of good for customers, forcing industry leaders Verizon Communications Inc. and AT&T Inc. to offer more competitive data plans. But without Sprint, there isn’t as much incentive for T-Mobile to keep prices down. In fact, for T-Mobile to close its profit-margin gap with the larger carriers, it more likely would need to do just the opposite. The DOJ is looking to wireless market newbie Dish Network Corp. to help preserve some equilibrium, putting Dish on the receiving end of the concessions that T-Mobile and Sprint are required to make. However, Dish is still years and multiple billions of dollars away from becoming a formidable competitor to fill the hole Sprint will leave behind. As such, the DOJ and the FCC may not be fulfilling their duties to promote competition and ensure that corporate tie-ups serve the public interest. T-Mobile’s argument is that if its deal gets blocked, Sprint is going to go away anyway. That’s a half-truth. I’ve written time and again about Sprint’s financial troubles and strategic missteps, including this series of charts showing just how ugly Sprint looks as a stand-alone. The data are almost sympathetic to T-Mobile’s case. But a merger between T-Mobile and Sprint doesn’t save Sprint. It does rescue an investment turned sour for many shareholders, especially a billionaire named Masayoshi Son. He’s the leader of SoftBank Group Corp., Sprint’s Japanese controlling shareholder, and he wants to remove any trace of his misguided optimism about Sprint from SoftBank’s balance sheet, equity valuation and image. SoftBank is retaining a 27% economic interest in the new T-Mobile, a superior operator on healthier footing.T-Mobile is casting itself as Sprint's savior, but T-Mobile CEO John Legere has been dancing on Sprint’s grave for years. Legere, a shameless yet successful self-promoter, often crossed the line in these instances beyond healthy competition, tweeting mean-spirited jokes about his rival going out of business. There were times he called Sprint “a melting ice cube,” said the company may have to resort to raising money on Kickstarter, and asked for “any guesses on what Sprint will fruckup today” (a swipe at Sprint’s “framily plan” promotion for friends and family). He used the hashtag SprintLikeHell. I’m not pointing this out for the sake of it or to say Legere is a big ole meanie. It’s more about this: While Legere was dissing Sprint, he continued to boast to investors that T-Mobile was actually posing serious competition for Verizon and AT&T – something he promises a combined T-Mobile-Sprint will also do. Except the data paint a slightly different picture. For years, T-Mobile regularly disclosed so-called porting ratios, which tell how many customers T-Mobile lost to another carrier and vice versa. For example, starting in 2013, its porting ratio with Sprint mostly held above 2 and at times went above 4 and higher, meaning that for every subscriber T-Mobile lost to Sprint, it gained four Sprint customers. T-Mobile will say that the overwhelming majority of its “porting” has come from Verizon and AT&T, but that’s explained by the fact that those companies have larger subscriber bases than Sprint does. The reality is that T-Mobile inflicted far more damage on Sprint than to what it calls “the duopoly,” as this chart shows:To be fair, T-Mobile isn’t the predominant reason Sprint is in such a desperate state now. Its problems date back to Sprint’s ill-advised merger 14 years ago with Nextel, a network that became a money pit for the company. And Sprint was never able to dig its way out from a mountain of debt, largely deal-related. Meanwhile, in 2011, regulators stopped AT&T from buying T-Mobile, a move that set T-Mobile up for a turnaround and to become the fastest-growing member of the industry. Had that deal gone through, consumers’ bills may have looked very different in the subsequent years.Going forward, if Sprint were to get any cheaper, other deep-pocketed buyers outside of the industry would likely surface, such as Charter Communications Inc., Comcast Corp. and others. The idea of a cable giant owning Sprint might not seem like a better outcome, but it preserves a competitor in the wireless market and many more jobs. As the industry gears up for ultra-fast 5G wireless networks, there’s simply no way T-Mobile is the sole company interested in Sprint’s spectrum assets and subscriber base, even if its brand is beyond repair. So when T-Mobile tells a courtroom that Sprint needs it, you have to laugh.To contact the author of this story: Tara Lachapelle at firstname.lastname@example.orgTo contact the editor responsible for this story: Beth Williams at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tara Lachapelle is a Bloomberg Opinion columnist covering the business of entertainment and telecommunications, as well as broader deals. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Cox and Disney have reached a deal to carry the recently-launched ACC Network. Atlanta-based Cox Communications announced an agreement on Wednesday with Disney Media Distribution, which is owned by The Walt Disney Company (DIS: NYSE). “Cox Communications’ strong presence in key markets across the ACC footprint makes this agreement great for their consumers and vibrant fan base,” said Sean Breen, senior vice president of Disney Media Distribution.
The 2019 rally in Disney (NYSE:DIS) stock was long-awaited. Before bouncing about 35% in a little over four months, DIS stock had traded sideways for almost four years.Source: David Tran Photo / Shutterstock.com What drove this year's gains was optimism surrounding the company's streaming offering, details of which were released in April. What kept a lid on DIS stock before that was fears about the company's media business, primarily cable network ESPN.Ahead of the company's disappointing, if not disastrous, fiscal third-quarter report this month, the market largely had forgotten about that worry. With streaming still years away from being a profit center, the recent reminder could lead Disney stock back to its rangebound ways.InvestorPlace - Stock Market News, Stock Advice & Trading Tips ESPN Still a Problem for Disney StockOver the first three quarters of fiscal 2019, Disney's Media Networks segment has contributed nearly half of the company's earnings. And that continues to be a risk to DIS stock.ESPN, in particular, has benefited from receiving over $9 per month per cable subscriber for its package of networks just in affiliate fees. Those fees are over half the segment's revenue -- and are still rising for now. In fact, they increased 20% year-over-year in the third quarter, per the company's Securities and Exchange Commission Form 10-Q. * 10 Companies Using AI to Grow But that's not necessarily good news. Sixteen points of the increase came from the acquisition of Twenty-First Century Fox. Eight points came from rates, with a 2.5% decline in subscribers and a roughly one point loss from accounting changes.ESPN is raising affiliate fees because its rates are higher. But those higher rates are coming from contracts renegotiated years ago. That's going to change. The likes of Comcast (NASDAQ:CMCSA) and Charter Communications (NASDAQ:CHTR), facing "cord-cutting" worries of their own, are not going to force subscribers who don't even watch sports to pay $10 a month for ESPN channels. Verizon (NYSE:VZ) already came close to an ESPN blackout at the end of last year.Advertising saw a similar trend in the quarter. Revenue rose 12% year-over-year. Growth to the tune of 24% in Cable Networks came from the addition of Fox, higher rates and higher impressions due to "more units delivered." In other words, Disney networks simply ran more ads. That's hardly a viable long-term strategy amid a proliferation of ad-free options. Viewership declined, and the numbers came despite two additional (and profitable) NBA Finals games in the quarter.At ABC, profits declined on the back of a whopping 11% decline in advertising revenue. Licensing sales fell as well. Other Risks to DIS StockThe story across the segment is similar. Outside of Fox, the media businesses are showing minimal growth at best -- which is driven by strategies not viable over the long term. Affiliate rate increases are going to slow, if not reverse. Subscriber declines will continue. Ad pricing can't rise in perpetuity. Disney cannot keep taking pricing enough to offset that pressure.That's hardly the only concerning aspect of the quarter. Weak visitation to new "Star Wars" properties led to disappointing numbers in the Parks business. Profits still rose 4%, but that was much lower than analysts and management expected.On the Q3 call, management tried to explain the lower-than-expected visitation. Chief Executive Officer Bob Iger posited that concerns about huge crowding may have dampened visitation. Increased hotel rates in the Anaheim area didn't help. Chief Financial Officer Christine McCarthy supported that contention by noting that paid attendance rose. It was season passholders to Disneyland who didn't show up -- likely because they figured the park would be packed to, or beyond, capacity.Those explanations may be correct. But there are still broader concerns about the business. Namely, can Disney keep raising ticket prices as it has for years now? And will a potential recession hit sales and profits in that segment?Fox, as even management admitted, had an underwhelming quarter. Disney had to raise its offer for Fox amid a bidding war with Comcast. The business's first full quarter under Disney's ownership was disappointing. That's a bad sign given the $71 billion price tag and the fact that Fox actually adds to the company's exposure to worrisome cord-cutting trends. Disney+ and the Bull CaseThe bullish retort to these concerns likely boils down to, "So what? Disney+ is on the way." After the pullback in DIS stock, the company has a market cap of just under $245 billion. Netflix (NASDAQ:NFLX) still has an equity value of $130 billion. It doesn't seem to take a lot of success in streaming for Disney+ to add material value to the Disney stock price.I get that argument to some extent. As I wrote earlier this year, even a detailed valuation of DIS stock shows that it probably comes down to streaming success.But I also argued that even an aggressive valuation suggested DIS was worth about $140 per share at most. Both streaming and the Fox deal have to add value. Fox's slow start raises risk on that front.And in terms of streaming, there are two concerns. The first is that, as Iger has pointed out repeatedly, it's going to take time for streaming profits to actually arrive. Disney is losing high-margin licensing revenue in the interim as it pulls back content from services like Netflix and funds losses in recently consolidated Hulu. It will take some time for the subscriber base to build to the point where those revenues are replaced.The second, related, issue is that it's not if Disney wasn't already monetizing its library through Home Entertainment (still a billion-dollar business) and content licensing. Disney+ is not purely incremental to existing profits. Rather, it's cannibalizing some of those profits.The direct-to-consumer offering may be more profitable, to be sure. (In fact, it likely will be more profitable.) But it will also lead to declines elsewhere in the business. The Bottom Line on Disney StockAnd so the risk to DIS stock is that the old worries and the new business combined can cause some hesitation on the part of investors. Media Networks profits are going to start declining. Parks earnings better not have peaked. Streaming will take years to prove itself.It's possible at the least that investors, as they did from 2015-2018, will lose patience. It's also possible, in a worst-case scenario, that Disney's consolidated earnings are going to head south. The third-quarter report raises the risk on both those fronts -- and suggests that patience might be advised.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Companies Using AI to Grow * The 10 Biggest Winners From Second-Quarter Earnings * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk The post OId Worries Are Dragging Down Disney Stock appeared first on InvestorPlace.
(Bloomberg) -- AT&T Inc., Verizon Communications Inc. and 10 other large phone companies have struck an agreement with 51 attorneys general to enact technology to block robocalls before they reach consumers.The deal, announced Thursday, will help protect consumers from receiving illegal robocalls, and assist law enforcement in investigating and prosecuting bad actors, said North Carolina Attorney General Josh Stein, who is leading the effort that includes all 50 states and the District of Columbia.Under the deal, the companies will launch the call-blocking technology at no cost to consumers, and make other free anti-robocall devices and apps available to subscribers. “By signing on to these principles, industry leaders are taking new steps to keep your phone from ringing with an unwanted call,” Stein said in a statement.The companies are under pressure to protect consumers against the unwanted calls, which are a top source of complaints with the U.S. Federal Communications Commission. Across the U.S. there were 48 billion robocalls last year, up from 31 billion in 2017, according to a tally by YouMail Inc., a developer of software that blocks the calls.In July, AT&T, Verizon and T-Mobile US Inc. said they were making progress toward installing technology to authenticate calls so consumers would know if the call is coming from the person supposedly making it. The FCC has demanded the technology be in place by the end of the year.FCC Chairman Ajit Pai said the agreements with the states “align with the FCC’s own anti-robocalling and spoofing efforts,” including the agency’s caller authentication standards.“Few things can bring together policy leaders across the political spectrum like the fight against unwanted robocalls,” Pai said in a statement. “The FCC is committed to working together with Congress, state leaders, and our federal partners to put an end to unwanted robocalls.”Consumers are often duped into answering phone calls because they appear to be from a local number or business.“The bad actors running these deceptive operations will soon have one call left to make: to their lawyers,” New York Attorney General Letitia James said in the statement.Companies InvolvedThe other companies signing the agreement are T-Mobile, CenturyLink Inc., Comcast Corp., Sprint Corp., Bandwidth Inc., Charter Communications Inc., Consolidated Communications Holdings Inc., Frontier Communications Corp., U.S. Cellular Corp. and Windstream Holdings Inc.The FCC has demanded that carriers adopt the system to digitally validate phone calls passing through the complex web of networks. The agency also has said that providers may block calls, and cast a preliminary vote to require the digital authentication if carriers fail to install it by year’s end.Several of the top U.S. carriers issued statements in concert with the state attorneys general announcement. While the group on a whole backed the effort, there were few if any new, specific anti-spam call actions or timelines mentioned.“It’s imperative that we stand together on a common set of goals that include stopping callers from hiding their identities, working with other carriers on efforts to trace back illegal calls to the source, and keeping the originators from sending robocalls in the first place," Verizon said in a statement.“The fight against the scourge of illegal robocalls requires all hands on deck, and we welcome and appreciate the support of the state attorneys general,” AT&T said in a statement.(Updates with carriers and FCC comment beginning in seventh paragraph.)\--With assistance from Erik Larson and Scott Moritz.To contact the reporters on this story: Jonathan Reid in Washington at firstname.lastname@example.org;Susan Decker in Washington at email@example.comTo contact the editors responsible for this story: Jon Morgan at firstname.lastname@example.org, ;Keith Perine at email@example.com, Elizabeth WassermanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Since its disappointing earnings report last month, Netflix (NASDAQ:NFLX) stock has declined 17%. And the pressure hasn't let up of late: Netflix stock has reached its lowest levels since last December.Source: Flickr via Mike K.It's not difficult to see why. Netflix stock is a story based on subscriber growth, as I wrote after NFLX reported disappointing user metrics in last year's second quarter. And its numbers on that front were terrible in its recent Q2 report.With Netflix stock now back below $300, some investors might see a "buy the dip" opportunity at this point. The growth of streaming is going to continue, and NFLX remains the leader of that market. Indeed, I've recommended buying NFLX stock on weakness in the past; in November, I called the stock the best contrarian bet in tech.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut this is a different situation. The selloff late last year was driven by external factors - most notably, a plunging stock market that dragged down many, if not most, highly-valued growth stocks with it. NFLX itself was performing reasonably well. And in fact, there was (and is) an argument that Netflix stock would benefit from a recession, which might accelerate cord-cutting as consumers look to save money. * 10 Marijuana Stocks That Could See 100% Gains, If Not More The recent selloff of Netflix stock is based on the company's performance, however. And as weak as that performance looked in Q2, when combined with what's going on elsewhere in the U.S. content sector, it's something close to disastrous. As a result, it can get worse before it gets better for Netflix, and for Netflix stock. Q2 Subscriber Numbers Hammer NFLX StockNetflix's headline numbers actually looked solid. GAAP EPS of 60 cents beat consensus expectations by 4 cents. Revenue of $4.92 billion rose 33% and was in-line with analysts' average estimates.But the subscriber figures were the big issue for Netflix stock, and led to a 10.3% decline by NFLX stock. Net paid subscriber additions of 2.7 million badly missed the company's guidance of 5 million. As a helpful chart in the Q2 shareholder letter showed, that was the biggest miss relative to guidance since at least the beginning of 2016.And it was the U.S. market that caused the miss. Netflix's U.S. paid subscriber count actually declined in the quarter for the first time since 2011.That alone likely drove investors to flee Netflix stock. But NFLX has continued to fall, dropping another 8% from its immediate post-earnings levels. That continued decline may come from a growing realization that the quarter was even worse than investors initially realized. The Content Question for NFLX StockOne of the reasons that Netflix stock has been so divisive is that the company continues to burn cash. Its content spending is expected to come in above $15 billion this year.That spending makes some sense. Instead of licensing content - and paying for it annually - NFLX essentially is buying its content upfront. Free cash flow now might be negative, but if that content drives subscriptions down the line, its free cash flow several years from now will be higher, making the near-term investments worthwhile.But that strategy only works if subscribers will stay with NFLX for a long time, allowing that content to be monetized in future years. That alone makes the Q2 subscriber decline concerning. So does a widely-cited passage from the company's shareholder letter: "We think Q2's content slate drove less growth in paid net adds than we anticipated."If that's the case, NFLX has a problem. It means the company can only keep adding subscribers if it continues to spend a great deal on content That sounds an awful lot like the old joke about selling at a loss, and making it up on volume. If Netflix's content budgets can't come down, free cash flow will stay negative or at best modestly positive. And that does not support the market capitalization of NFLX stock, which still sits at $130 billion. Where Are the Cord-Cutters Going?There's another major concern about Netflix's Q2 results. Specifically, Netflix's weak performance came at the same time that cord-cutting appears to have accelerated.Indeed, legacy cable companies had a horrible quarter. AT&T (NYSE:T) lost almost 1 million video subscribers. Comcast (NASDAQ:CMCSA) and Charter Communications (NASDAQ:CHTR) lost a combined total of nearly 400,000 viewers.Industry analyst MoffettNathanson called the quarter "freaking ugly" for cable companies and projected an unprecedented 5.5% cord-cutting rate in the quarter.So the question relative to Netflix numbers is: where are these subscribers going? One answer might be Hulu, now majority-owned by Disney (NYSE:DIS). At the Disney Investor Day in April, the company said Hulu had more than 25 million paid subscribers. Earlier this month, the company said the figure was "approximately 28 million."Whatever the case, Netflix should have been set up to have a blowout Q2 on the subscriber front in the U.S. Instead, it posted a stunning decline. In that context, its performance looks even weaker, and more concerning, than a simple guidance miss. The Competitive Concern for Netflix StockI wrote ahead of NFLX's Q2 results that the earnings report was critical for Netflix stock. And a key reason is that new competition is on the way from Disney, AT&T, and Comcast.Netflix, in its shareholder letter, wrote that it didn't think competition was a key factor in the disappointing subscriber numbers. That may well be true. But competition will be a factor in 2020, when those streaming services - with a great deal of content, backed by high marketing budgets - come online.And so investors can rightly wonder: if Netflix's U.S. subscriber growth is stalling out already, what happens when its competition increases next year? Real ConcernsNetflix stock bulls might respond that the U.S. isn't Netflix's only market. That's true: the company now has more subscribers overseas than in the U.S. More of its revenue comes from overseas as well.But about two-thirds of its profits still come from the U.S.. America is still the company's key market. And with NFLX stock trading at 53 times analysts' average 2020 EPS estimate, a stumble in the U.S. is likely to prove damaging for Netflix stock.On the other hand, the company's Q3 guidance was strong, and it's possible NFLX can bounce back. But its Q2 performance raises real questions and suggests more downside for Netflix stock could be ahead. It's the type of quarter that raises concerns about the company's overall strategy and market positioning, as well as the valuation of NFLX stock.And that's why it's been the type of quarter that leads not only to a big post-earnings decline, but more selling in the following weeks. Investors who buy the dip of Netflix stock do so at their peril.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Marijuana Stocks That Could See 100% Gains, If Not More * 11 Stocks Under $10 to Buy Now * 6 China Stocks to Buy on the Dip The post The Concerning Combination Pressuring Netflix Stock appeared first on InvestorPlace.
Despite video subscriber losses, Comcast and Charter are finding more love among investors than telecom rivals AT&T; and Verizon. Their dominance in broadband services to homes is why.
Berkshire Hathaway (BRK.B, $198.31) Chairman and CEO Warren Buffett hasn't found much to his liking in 2019.The Oracle of Omaha bought and sold left and right at the end of 2018. He used the fourth quarter's near-bear market to snap up bargains and exit a few underperforming investments, amassing a total of 17 common-stock trades. But thanks to significantly higher prices across 2019, Buffett has dialed things down, making 10 such moves in Q1 and just six in the three months ended June 30.Nonetheless, we can gleam a few things from what Buffett is doing, so today we will take a look at the most recent changes to Berkshire Hathaway's equity portfolio.The U.S. Securities and Exchange Commission's own rules require Buffett to open up about these moves. All investment managers with more than $100 million in assets must file a Form 13F every quarter to disclose every change in stock ownership. That's an important level of transparency for anyone well-funded enough to significantly impact a stock with their investment. And in this case, it helps people who appreciate Buffett's insights track what he's doing - some investors view a Berkshire buy as an important seal of approval. (Just remember: A few of Berkshire's holdings are influenced or even outright decided by lieutenants Ted Weschler and Todd Combs.)Here's what Warren Buffett's Berkshire Hathaway was buying and selling during the second quarter of 2019, based on the most recent 13F that was filed on Aug. 14. The list includes six changes to the equity portfolio, and a notable seventh investment. SEE ALSO: The Berkshire Hathaway Portfolio: All 47 Buffett Stocks
Disney (DIS) and Charter Communications extend a multi-year distribution agreement to feature TV content of the former on the latter's Spectrum network.
Disney and Charter have agreed on a distribution deal to carry the ACC Network, but there's still coverage gaps in Atlanta.
The Walt Disney Co. and Charter Communications Inc. have signed a distribution agreement for Charter to continue to carry Disney’s sports, news and entertainment content to Spectrum customers.
We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be...
Charter Communications agreed to a multiyear carriage agreement with Walt Disney that would avoid a blackout of Disney channels for the company's cable subscribers, CNBC reported. As part of the deal, Charter agreed to carry Disney's new ACC Network college sports channel, according to CNBC sources. Cable companies pay content creators like Disney, Comcast and CBS for the right to air their channels and programs through multiyear contracts.