|Day's Range||100.65 - 100.74|
Investors appear to be falling out of love with the once high-flying FAANG stocks.
Google today announced that it is launching the ability to order fooddelivery directly from Google Search, Maps and the Assistant
If you have Google Pay, you might be able to tap your phone for subway or buspayments in NYC in the near future
Snap Inc. has added another leader to its executive team, hiring Oona King as the Snapchat parent’s vice president of diversity and inclusion. The hire marks the first time that Snap (NYSE: SNAP) has had anyone in that role. King joins Snap from Google (NASDAQ: GOOG), where she served as director of diversity strategy.
Aurora CEO Chris Urmson, CEO of self-driving car start-up Aurora, says his company has bought Blackmore for an undisclosed sum. Musk called lidar technology "freaking stupid," expensive and unnecessary. Aurora CEO Chris Urmson said his company bought Blackmore, which develops and manufactures the sensors, for an undisclosed sum.
Aurora recently raised $530 million from investors including Sequoia Capital, Amazon.com Inc. and T. Rowe Price Group Inc. It’s acquiring Blackmore Sensors & Analytics, a lidar startup that had raised funding from BMW i Ventures and Toyota AI Ventures, for undisclosed terms. “The goal of our last fundraising round was to put us into this position,” Aurora Chief Executive Officer Chris Urmson said in a phone interview from Bozeman.
International barrel-making company TN Coopers is counting on their remarkable noses to track down such harmful chemical compounds in the wood as TCA (2,4,6-trichloroanisole) and TBA (2,4,6-tribromoanisole) that could contaminate the flavors and aromas of wine stored in one of its barrels. A little TCA goes a long way and is the primary cause of “cork taint,” a musty, moldy, wet cardboard smell and taste in wines.
For social media company Snap (NYSE:SNAP), life as a public company has been a roller coaster. It started with a huge post-IPO pop, as SNAP stock jumped from its $17 IPO price to $30 within the first few days of trading.Source: Shutterstock Then, a few bad earnings reports later, SNAP stock price tumbled all the way to $5, as its user growth fell flat, its revenue growth slowed, and its losses piled up. In 2019, though, SNAP stock has nearly doubled amid renewed user growth, healthy revenue growth trends, and improving margins. * 6 Stocks to Buy for This Decade's Massive Megatrend In other words, Snap stock has risen tremendously, tumbled, and rallied by a large amount, all in two years. Naturally, the question now is: What's next? Another surge higher? Another huge retreat?InvestorPlace - Stock Market News, Stock Advice & Trading TipsNeither. I actually think Snapchat stock will break its two-year trading pattern and move largely sideways for the rest of the year. SNAP stock price won't drop tremendously because it has tons of catalysts on the horizon which should help it grow at healthy rates. But it won't rally in a big way, either, because its valuation is very rich and already prices in gains from all those catalysts.So, for the first time in its two-year history, SNAP stock may actually find some stability at this point in the lower double-digit range. Lots of Catalysts Will Keep Selling MutedSnap has a plethora of catalysts on the horizon which will keep its growth trends healthy for the rest of 2019, and that elevated growth will keep investors from selling SNAP stock in bulk.Snap has shown good progress in early 2019. After plateauing for several quarters, Snap's user base finally grew again in early 2019, as the company moved past the awful redesign headaches that plagued it in 2018. Its revenue growth trends broadly remained healthy as advertisers continue to give the platform a shot because of its unprecedented reach among America's young people. Its gross margins continued to move higher, and its operating-spending rates dropped, as its business grew.All in all, Snap has proven that it can continue to grow, and that's why SNAP stock has bounced back from the dead.These improved growth trends should persist for the rest of the year. On the user-growth front, Snap's user base should remain largely stable as the ramp over at Instagram in general and Instagram Stories in particular appears to be in the rear-view mirror. Plus, the company has successfully overhauled its Android app, and that should boost its international user growth.Meanwhile, on the revenue front, continued healthy user growth trends should help Snap attract more and more advertisers to the platform. Also, the more mature Snap's advertising business gets, the more ad dollars it should attract as advertisers become more and more comfortable with spending money on the relatively new platform. Its gross margins will continue to improve as its business grows, and its operating-spending rates will continue to drop.All in all, SNAP's growth trends should remain favorable for SNAP stock for the rest of the year. Because of that, it's tough to see SNAP stock price falling much from its current level. Rich Valuation Will Keep Buying MutedAt the same time, it's equally tough to see SNAP stock rallying much, given its already stretched valuation. In short, SNAP stock price already fully reflects all of the company's 2019 positive catalysts, and then some.SNAP stock currently trades at 12 times its 2018 sales. That puts the stock in a class of its own when it comes to digital advertising names. Facebook (NASDAQ:FB) trades at nine times its trailing sales. So does Twitter (NYSE:TWTR). Meanwhile, Alphabet (NASDAQ:GOOG) trades at six times its trailing sales. Indeed, the only other digital ad stock with a comparable sales multiple is Pinterest (NYSE:PINS), and Pinterest's revenues surged 50%-plus last quarter and its user base jumped 20%-plus.In contrast, Snap's revenues increased by less than 40% last quarter, and its user count dropped year-over-year.A great deal of the premium valuation reflected by SNAP stock is due to its potential ability to increase its margins. Snap runs huge operating losses, while Facebook, Twitter, and Alphabet all have very high margins. The potential for Snap to one day generate high margins is largely responsible for the premium multiple of SNAP stock.But, even taking into account the potential margin increase, today's valuation seems full. Snap's revenues can and will easily rise at a 20%-plus rate for the foreseeable future. Its gross margins can climb towards 80%. Its operating-spending rates could reasonably drop towards 30% as its business grows. But, even with all those aggressive assumptions, Snap will still only report EPS of about $0.70 by fiscal 2025.Based on a forward multiple of 25 which is average for digital-advertising stocks,, that implies a reasonable 2024 price target for Snap stock of $17.50. Discounted back by 10% per year, that equates to a fiscal 2019 price target of just under $11. The Bottom Line on SNAP StockLife as a public company has been a roller-coaster ride for SNAP stock. This wild ride may be ending soon. There are enough positive catalysts on the table to keep SNAP stock price from dropping much for the foreseeable future. At the same time, there are enough valuation risks to keep the stock from rallying much for the foreseeable future, too.Thus, SNAP stock looks destined to trade sideways over the next several months and quarters. That would be an unusual - and perhaps welcome - break from the big swings this stock has made over the past two years.As of this writing, Luke Lango was long FB, GOOG, and PINS. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 6 Stocks to Buy for This Decade's Massive Megatrend * The 7 Best Stocks to Buy From the IPO ETF * 7 Athletic Apparel Stocks With Marathon Pace Compare Brokers The post Why Snap Stock May Finally Stabilize for the First Time in 2 Years appeared first on InvestorPlace.
Customers can also order food directly from restaurants within Google Maps and place voice orders using Google Assistant.
Behind the scenes, Google has deployed artificial intelligence software that analyzes reams of video footage without human help, deciphers troubling clips and blocks them from the homepage and home screen of the app. It’s internal name is the "trashy video classifier," according to three people familiar with the project. The system, which has not been reported before, plays a key role in attracting and keeping viewers on YouTube’s homepage, building a foundation for a flurry of new advertising coming to the video service.
The potential scenario of Tesla being acquired attracted renewed attention this week when news broke that Apple reportedly bid $240 a share for Tesla back in 2013. Tesla shares have tumbled now to roughly $197 a share, although taking into account the additional shares Tesla has issued and the debt it's taken on means an acquisition now would still cost significantly more than it would have in 2013, as Real Money columnist Timothy Collins pointed out.
EUR/USD is getting comfortable in lower ground as the US-Sino trade war intensifies. The technical outlook is bearish for the currency pair. It is two steps backward, one step forward for EUR/USD that settles on lower ground in moves that somewhat resemble the ongoing commercial dispute between the US and China.
Galloway should be familiar to readers as the brand-strategy professor at New York University's Stern School of Business, as a regular guest on Masters in Business and as the author of "The Four," about the dominance of the big tech companies. • "Loonshots: How to Nurture the Crazy Ideas That Win Wars, Cure Diseases, and Transform Industries," by Safi Bahcall. • "The Pioneers: The Heroic Story of the Settlers Who Brought the American Ideal West" by David McCullough.
Ten years into the race to build self-driving cars, many developers, analysts and even venture capital firms say robot cars won't go mainstream for at least another decade, maybe longer.
Despite the weakness in the broader markets in May, not all stocks have suffered the same fate. One stock that has been a bright spot is Roku (NASDAQ:ROKU), the largest over-the-top streaming content provider. On May 21, ROKU stock hit an all-time high at $87.65.Source: Shutterstock U.S. consumers are moving from traditional pay TV services to streaming delivery services. And advertisers are following viewers. Therefore I would not bet against Roku shares longer-term.However, there is likely to be some profit-taking in the stock in the next few weeks. Such a decline would potentially offer investors better entry points if they decide to hit the buy button later in the year. With all of that in mind, let's look at what may be next for Roku stock.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 6 Stocks to Buy for This Decade's Massive Megatrend Where Is ROKU Stock Now?The streaming device platform Roku, which also is the leading connected TV manufacturer in the U.S., became a darling of Wall Street soon after its IPO in 2017. The price of Roku initially went up from an opening price of $15.78 to a high of $77 in just over a year, benefiting from the disruptive internet entertainment revolution that has made viewing more personalized.Then came the selloff in the last quarter of 2018 -- especially in the tech sector -- which was seen as an important signal that investors were no longer willing to be exuberant with technology stocks and their rich valuation numbers. On Dec. 24, Roku saw a 52-week low of $26.30.As Roku released two consecutive strong earnings reports first on Feb. 22 and later on May 8, bullish momentum came back into the stock and the stock kept rewarding the shareholders. Especially after the Q1 earnings released in May, Roku stock soared the next morning as well as the following several trading days. Year-to-date, ROKU stock is up over an eye-popping 170%. Roku's Business Model is EvolvingRoku stock's revenue can be divided into two segments. "Player" which represents sales of its digital media boxes, and "Platform" which includes advertising sales, licensing and other non-hardware revenue sources.In its earlier years, Roku's player segment accounted for about 75%, while its platform segment, which generates revenue mainly through advertising and content partnerships, provided the other 25%.However, these ratios have been changing rapidly. Now the platform segment accounts for the bulk of the company's sales. And Roku's device sales growth is decelerating. The expanding platform business, in return, means that the advertising business is growing.At present, Roku and Hulu, a video streaming service that is majority-owned by Disney (NYSE:DIS), are the market leaders in over-the-top (OTT) advertising. OTT ads are shown on a TV screen through a smart (connected) TV, or streaming device.For example, Roku sells display ads that it shows on its home screen and on its screen saver. The company also offers ads within the videos it streams from particular channels available through the player. ROKU's Impressive GrowthAccording to the earnings result of Feb. 22, in Q4 2018, ROKU's platform revenue, which made up about 45% of total revenue, grew 129% year-over-year (YoY).Then came the earnings release of May 8 which showed a 79% YoY increase in platform revenue to $134.2 million. Now, platform revenue accounts for 65% of total revenue. Roku's accelerating growth has led to a 51% YoY growth in total revenue, which reached $207 million.ROKU stock also reported strong Q1 sales for both Roku TVs and players. More than one in three smart TVs sold in the U.S are Roku TVs. It has indeed taken the lead from Samsung to become the number one selling Smart TV operating system (OS). Roku's OS, which is built specifically for televisions, is also available in Roku streaming boxes.The operating system enables Roku to have a direct relationship with its almost 30 million subscribers, who are increasingly spending more time on the platform.In its quarterly results, ROKU provides guidance on revenue, gross profit, net income, and adjusted EBITDA. In its Q1 2019 earnings, the group impressed investors with guidance on all four metrics that came above expectations for the rest of the year.Adoption of OTT video services will likely increase in double digits both in the U.S and overseas. And Roku management is also looking at international expansion as the next strategic area of growth.The company aims to grow the number of countries it operates in and to add local content to attract international viewers. However, analysts believe that it will be several quarters before Roku firmly establishes relationships with international retailers and manufacturers and successfully markets its products globally. Bulls vs. Bears amid Intensifying CompetitionRoku is a growth stock, but it's also a speculative stock. Long-term ROKU bulls happily highlight many of Roku's competitive advantages, starting with ROKU's first-mover advantage in OTT advertising, share of smart TVs sold in the U.S. and projected annual growth of over 30% in the rapidly expanding over-the-top streaming market.On the opposing side of the coin are the nervous investors and short-sellers who are looking for any excuse to short ROKU stock. They believe that the market is setting itself up for disappointment. Can Roku's future quarters indeed be as bright as investors want to believe?Unlike Netflix (NASDAQ:NFLX), Roku does not generate content. This is another reason why some investors worry that Roku's revenue growth through subscriptions may simply be not enough to justify the rich valuation. The company still operates at a net loss and is burning cash rather fast.ROKU is facing increasing competition on multiple fronts from several tech and media giants. Rivals such as Alphabet's (NASDAQ:GOOG, NASDAQ:GOOGL) Chromecast, Apple's (NASDAQ:AAPL) Apple TV, Amazon's (NASDAQ:AMZN) Fire TV as well as Disney+.Going forward, will Roku be able to not only hold but also gain ground? As these competitors continue to make their mark in the streaming platform landscape, investors may decide to take some money off the table, pressuring the recent price gains.In March, the stock was hit with several downgrades by analysts who voiced concern at stretched valuation levels. If the broader market does not go up as rapidly as it has done over the past few months, then the momentum in high-flying stocks like ROKU would slow down, too.If Roku cannot keep up with the aggressive growth assumptions, then shareholders may become more concerned with low profits as well as its margins and the stock price could easily suffer. In other words, could the market be getting ahead of itself? Short-Term Technical AnalysisAs a result of the impressive 2019 price gains, short-term technical indicators have become over-extended. Investors who pay attention to short-term oscillators should note that ROKU's technical message has also become "overbought."Therefore, in mid-March, following the downgrades, it was not surprising to see a rapid fall of 14% in one day on the headlines.While long-term investors would now like to see Roku go over the $90 level and reach $100, traders may push the price down and keep the range between $60 and $70, possibly until the next earnings repot in Aug. 2019.Thus in case of a broader market decline in the coming weeks, a pullback toward the mid-$60 level might occur in ROKU stock. The Bottom Line on ROKU StockROKU stock is likely to experience volatility in May and June. So investors should not rush to hit the buy button on Roku in the coming weeks. They may want to wait for the release of the next quarterly statement later in the summer to re-evaluate the balance sheet and the fundamentals.In recent months, ROKU stock has given investors a lot to be optimistic about and investors who buy the shares on the dips are likely to be rewarded handsomely within a few years.In the meantime, Roku may also find itself in the middle of a bidding war from the competitors to be acquired. After all it has experienced strong growth since its IPO and has an enviable advertising business that combines mobile with television.As of this writing, Tezcan Gecgil did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 6 Stocks to Buy for This Decade's Massive Megatrend * The 7 Best Stocks to Buy From the IPO ETF * 7 Athletic Apparel Stocks With Marathon Pace Compare Brokers The post Look for a Mid-Summer Turnaround for Roku Stock appeared first on InvestorPlace.
For better or worse, Google Glass is back. Parent company Alphabet (GOOG)(GOOGL) has announced a new version of its augmented reality glasses, priced at $999 per headset and targeting businesses instead of consumers.