|Bid||140.40 x 800|
|Ask||140.60 x 1000|
|Day's Range||140.46 - 143.92|
|52 Week Range||126.85 - 152.95|
|Beta (5Y Monthly)||1.34|
|PE Ratio (TTM)||13.30|
|Earnings Date||Apr 13, 2020 - Apr 19, 2020|
|Forward Dividend & Yield||6.48 (4.54%)|
|Ex-Dividend Date||Nov 06, 2019|
|1y Target Est||149.11|
This year—with a U.S. presidential election and a Summer Olympics—should be a good one for advertising. Still, companies like Interpublic and Omnicom need to show stronger results.
It's finally here: earnings season.And while positioning through the event can lead to above-average and quicker returns, it can also be very risky business. That's especially relevant in today's "priced-for-perfection" market environment. So, to better guard against those risks, let's look at three recent earnings beats -- also backed by price action and charts -- that are worthy of stronger risk-adjusted positioning.Overall, the reality of how a stock reacts to earnings -- even an earnings beat -- is a crapshoot at best. When it comes to quarterly reports, one plus one often leads to an answer other than two. And if the market is always right, it simply doesn't matter if your calculator, spreadsheets and charts are telling you something different.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe bottom line, and more than ever, is that being selective and investing in stronger risk-adjusted situations matters. It's time to be patient and wait on companies that deliver the quarterly goods, enjoy investor support and only buy stocks with price charts that don't look like a bull on its last legs. * Invest in America's Most Trusted Brands With These 7 Stocks to Buy So, let's take a closer look. Earnings Beats to Buy: IBM (IBM) Click to Enlarge Source: Charts by TradingView IBM (NYSE:IBM) is the first of our earnings beats to buy. The blue-chip tech outfit didn't blast Street estimates, and sales were largely flat year-over-year. However, the company's high-value mix, productivity, improved gross margins and strong free cash flow still make it a name to consider.Additionally, there's other reasons to like IBM stock in today's market. The company delivered surprisingly strong numbers, which suggest a bullish mainframe cycle is just underway. There's also an above-the-market, and well-supported dividend payout of around 4.5% to consider with this earnings beat.Lastly, Wall Street was on board with the IBM's results. And technically, a very large and constructive double-bottom looks ready to clear angular resistance and the 62% retracement level after confirming an uptrend off 2019's bottom.Overall, this earnings beat is a buy on a modified breakout above $145. I'd suggest a stop-loss below $134, as that's sensible on the wallet and the price chart. On the upside, taking partial profits near $170 and pattern highs is an equally smart business decision. Logitech (LOGI) Click to Enlarge Source: Charts by TradingView Logitech (NASDAQ:LOGI) is our next earnings beat to buy. The Swiss-based computer hardware giant topped consensus views on the back of solid demand for the company's gaming gear, PC peripherals and video-conferencing products.The report showed LOGI stock is clearing tough 2018 comps tied to that year's Fortnite frenzy. What's more, sales of simulation gear are growing strongly for Logitech -- and its recent Streamlabs acquisition puts the company in the center of the increasingly popular live-streaming market.Investors have been hitting the buy button on their gaming consoles this week, and now it's time to join them. * Forget Lockheed Martin, Buy These 5 Smaller Defense Stocks Instead Technically, shares of this earnings beat have just cleared a corrective cup-shaped base to new all-time-highs. I'd set a price target of $60 based on a conservative measured move out of the pattern. And to ensure protection against larger potential losses, an exit below $46 would be a no-brainer. Netflix (NFLX) Click to Enlarge Source: Charts by TradingView Netflix (NASDAQ:NFLX) is the last of our earnings beats to buy, as the report wasn't without its flaws. Furthermore, disappointing guidance, slower-than-expected subscriber growth in Netflix's North American market and competition fears helped bears and profit-takers put together a decline of about 4% in the immediate aftermath. But, at the end of day -- literally and figuratively -- things are looking up for NFLX stock.The fact of the matter is the subscription video on demand (SVOD) giant surpassed earnings and sales forecasts in the face of new streaming platforms rolled out by Disney (NYSE:DIS) and Apple (NASDAQ:AAPL). Moreover, global gains are where NFLX stock's future growth lies. And the company continues to deliver, demonstrating its value-add proposition for its subscribers over the competition.Technically speaking, this earnings beat is also looking up. Aside from investors backing away from their initial impression of the report, NFLX stock has formed a solid-looking weekly hammer candlestick. With the pattern well-positioned to clear channel and 62% resistance within Netflix's larger W-base structure, a momentum entry looks increasingly attractive.For positioning in Netflix stock, I'd suggest buying on strength as shares breakout above $360. Look to take some risk off the table in-between $400-$425 for obvious reasons. And with the week coming to a close and investors showing their hand, a stop-loss below $334 looks like sufficient leeway off and on the price chart for this earnings beat.Investment accounts under Christopher Tyler's management do not currently own positions in securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks on the Move Thanks to the Davos World Economic Forum * Invest in America's Most Trusted Brands With These 7 Stocks to Buy * 7 Earnings Reports to Watch Next Week The post 3 Earnings Beats to Buy As Another Huge Week Approaches appeared first on InvestorPlace.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
This article was originally published on ETFTrends.com. The prominence of dividends in the technology sector is growing in a big way and the ProShares S&P Technology Dividend Aristocrats ETF (CBOE:TDV) is one of the ETFs dedicated to that increasingly important theme. TDV, which debuted last November, follows the S&P Technology Dividend Aristocrats, which requires member firms to have payout increase streaks of at least seven years.
The traditional ways to plan for your retirement may mean income can no longer cover expenses post-employment. But what if there was another option that could provide a steady, reliable source of income in your nest egg years?
(Bloomberg) -- Sign up here to receive the Davos Diary, a special daily newsletter that will run from Jan. 20-24.Technology’s most influential leaders have a new message: It’s not us you need to worry about -- it’s artificial intelligence.Two years ago big tech embarked on a repentance tour to Davos in response to criticism about the companies’ role in issues such as election interference by Russia-backed groups; spreading misinformation; the distribution of extremist content; antitrust violations; and tax avoidance. Uber Technologies Inc.’s new chief even asked to be regulated.These problems haven’t gone away -- last year tech’s issues were overshadowed by the world’s --- but this time executives warned audiences that AI that must be regulated, rather than the companies themselves.“AI is one of the most profound things we’re working on as humanity. It’s more profound than fire or electricity,” Alphabet Inc. Chief Executive Officer Sundar Pichai said in an interview at the World Economic Forum in Switzerland on Wednesday. Comparing it to international discussions on climate change, he said, “You can’t get safety by having one country or a set of countries working on it. You need a global framework.”The call for standardized rules on AI was echoed by Microsoft Corp. CEO Satya Nadella and IBM CEO Ginni Rometty.“I think the U.S. and China and the EU having a set of principles that governs what this technology can mean in our societies and the world at large is more in need than it was over the last 30 years,” Nadella said.It’s an easy argument to make. Letting companies dictate their own ethics around AI has led to employee protests. Google notably decided to withdraw from Project Maven, a secret government program that used the technology to analyze images from military drones, in 2018 after a backlash. Researchers agree.“We should not put companies in a position of having to decide between ethical principles and bottom line,” said Stefan Heumann, co-director of think tank Stiftung Neue Verantwortung in Berlin. “Instead our political institutions need to set and enforce the rules regarding AI.”The current wave of AI angst is also timely. In a few weeks the EU is set to unveil its plans to legislate the technology, which could include new legally binding requirements for AI developers in “high-risk sectors,” such as health care and transport, according to an early draft obtained by Bloomberg. The new rules could require companies to be transparent about how they build their systems.Warning the business elite about the dangers of AI has meant little time has been spent at Davos on recurring problems, notably a series of revelations about how much privacy users are sacrificing to use tech products. Amazon.com Inc. workers were found to be listening in to people’s conversations via their Alexa digital assistants, Bloomberg reported last year, leading EU regulators to look at more ways to police the technology. In July, Facebook Inc. agreed to pay U.S. regulators $5 billion to resolve the Cambridge Analytica data scandal. And in September Google’s YouTube settled claims that it violated U.S. rules, which ban data collection on children under 13.Read more: Thousands of Amazon Workers Are Listening to What You Tell AlexaPrivacy DebateInstead of apologies over privacy violations, big tech focused on how far it has come in the past few years in terms of looking after personal data.Facebook Vice President Nicola Mendelsohn said in an interview with Bloomberg Television on Friday that the company has rolled out standards similar to Europe’s General Data Protection Regulation in other markets.“Let’s be very clear, we already have regulation, GDPR,” Mendelsohn said in response to a question about the conversations Facebook is having with regulators. “We didn’t just do it in Europe where it was actually regulated. We thought it was a very considered and useful way of thinking about things so we actually rolled a lot of that out around the world as well.”Keith Enright, Google’s chief privacy officer, also spoke at a separate conference in Brussels this week about how the company is working to find ways to minimize the amount of customer data it needs to collect.“We’re right now really focused on doing more with less data,” Enright said at a data-protection conference on Wednesday. “This is counter-intuitive to a lot of people, because the popular narrative is that companies like ours are trying to amass as much data as possible.”Holding on to data that isn’t delivering value for users is “a risk,” he said.But regulators are still devising on new laws to protect user data. The U.S. is working on federal legislation that calls for limits on sharing customer information and, similar to GDPR, require companies get consent from consumers before sharing data with third parties. Facebook, Amazon, Apple Inc. and Microsoft all increased the amount they spent on lobbying in Washington last year, with some of those funds going to pushing industry-friendly privacy bills.And even though tech executives called for AI rules, they still cautioned against regulating too much, too fast. Pichai reminded lawmakers that existing rules may already apply in many cases. Lawmakers “don’t need to start from scratch” he said.\--With assistance from Nate Lanxon and Stephanie Bodoni.To contact the reporters on this story: Amy Thomson in London at email@example.com;Natalia Drozdiak in Brussels at firstname.lastname@example.orgTo contact the editors responsible for this story: Giles Turner at email@example.com, Jillian WardFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
For the year to date, IBM shares have rallied a solid 7.4%. Steve Milunovich, tech strategist at Wolfe Research, took a look at IBM shares (ticker: IBM) in a research note Wednesday morning and advised investors to put the fourth-quarter performance into perspective. Seven years later, Microsoft’s valuation is 10 times higher than IBM’s.
(Bloomberg) -- As major players jostle for market share in large-scale power storage, American Electric Power and Nissan Motor Co. are testing new technology that re-uses old electric vehicle batteries to slash costs.The pilot study in Ohio will road test technology that could lower system costs by about a half and extend the life of lithium-ion batteries by about a third, according to its Australian developer.Costs of energy storage systems are falling globally on technology improvements, larger manufacturing volumes, increased competition between suppliers and as the sector adds more expertise, BloombergNEF said in an October report. That’s driving an expansion in investment in projects to store power, with as much as $5 billion worth of deals possible this year for systems paired with renewable energy, according to the forecaster.American Electric’s Ohio study is using expired Nissan Leaf car batteries and is intended to test the innovations at scale after laboratory work in Australia and Japan.Results so far appear promising, Ram Sastry, American Electric’s vice president, innovation and technology, said by phone. “It’s in a facility that we own, but connected to the real grid.” he said.The technology is developed by Melbourne-based Relectrify and uses old, or second-life, vehicle batteries and reduces the number of components needed, the company said Friday in a statement. That can reduce costs for key parts of typical industrial or grid storage systems to about $150 per kilowatt hour, it said.That compares with a current average price for similar technology using new batteries of $289 a kilowatt hour, according to the BloombergNEF 2019 Energy Storage System Costs Survey.Companies like BMW AG and Toyota Motor Corp. are already putting re-used cells to work in applications including renewable energy storage, electric vehicle charging, and to power street lights and homes. About three-quarters of vehicle batteries are eventually likely to be reused, according to London-based researcher Circular Energy Storage.Cheaper energy storage with batteries could provide an alternative to adding more capacity at electricity substations, or building more transformers. It could also be harnessed to provide backup power and bolster reliability for consumers, according to American Electric’s Sastry.“There are many use cases that we have for batteries that are predicated on the cost,” he said. “If the battery goes lower in cost, it can compete with the wires.”Yet even as the price of lithium-ion battery cells has fallen, it’s been difficult to reduce costs of components such inverters. “The inverter is the Achilles heel of energy storage,” said Bradley Smith, president of Covington, Louisiana-based Beauvoir Consulting Services and previously an executive developing second-life battery products at Nissan.Relectrify’s system reduces the need for separate electronics for both the inverter and battery management system, lowering costs, Smith said.The technology can also extend the lifespan of either reused or new batteries by offering more precise management of individual cells, according to Valentin Muenzel, CEO of Relectrify, a 14-person firm launched in 2015 that’s collaborated with companies including Volkswagen AG and International Business Machines Corp.Some potential end users remain wary of re-using lithium-ion batteries over concerns about their longevity and costs of re-purposing cells, according to BNEF’s head of clean power Logan Goldie-Scot.“Many customers are not yet comfortable with second-life batteries even at a steep discount,” he said. Tesla Inc. has in the past suggested it will favor recycling spent packs from vehicles to recover raw materials, rather than seek to re-use the cells first.Relectrify, which is holding talks with battery manufacturers and distributors, sees potential to eventually help improve performance of batteries for the auto sector, in addition to energy storage.“We see stationary storage as the low hanging fruit,” Muenzel said. “We’re already getting demand for use in some mobility applications and we expect that is an area that will continue to grow with time.”To contact the reporter on this story: David Stringer in Melbourne at firstname.lastname@example.orgTo contact the editor responsible for this story: Alexander Kwiatkowski at email@example.comFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
IBM, Cisco, Broadcom, and Hewlett Packard Enterprise are four reasonably valued tech stocks with solid yields that should offer some downside protection in the event of a sector downturn
Fears around the coronavirus grew stronger as the number of cases rose and China shut down travel from a city of 11 million people. Asian markets got hit pretty good last night, with the market in Shanghai down nearly 3%. Now some of that negativity appears to be crossing the Pacific, judging from weakness in pre-market trading here in the U.S.
There was one value strategy that wasn’t a disaster in 2019, and it now likes commodity producers over techs.
Yara International (OSE: YAR), a global leader in crop nutrition and digital farming solutions, and IBM (NYSE: IBM), invite farmer associations, industry players, academia and NGOs from the food and agriculture industry to join a movement to develop an open data exchange that facilitates collaboration around farm and field data, with the aim of improving the efficiency, transparency and sustainability of global food production.
Today at the World Economic Forum in Davos, IBM (NYSE: IBM) launched the IBM Policy Lab - a new global forum aimed at advancing bold, actionable policy recommendations for technology's toughest challenges - at an event hosted by IBM Chairman, President and Chief Executive Officer Ginni Rometty that explored the intersection of regulation and trust in emerging technology.
The main U.S. stock indexes closed near the break-even line on Wednesday, after an early rally faded. Worries over a Chinese virus and positive U.S. housing-market data seems to have offset each other.
Investing.com – The S&P; closed about flat Wednesday as news of more deaths from the deadly flu-like virus that originated in China soured investor sentiment, but losses were kept in check by ongoing momentum in tech.
Technology shares led the S&P 500 marginally higher on Wednesday, as a healthy forecast from IBM helped mitigate worries over the developing coronavirus outbreak. The S&P 500 and the Nasdaq closed barely in the black after approaching, then backing down from record highs the day after virus fears prompted a sell-off. The Dow closed nominally lower.
With more marquee companies, including some members of the Dow Jones Industrial Average, stepping into the earnings confessional over the last 24 hours, there were ample headlines to move stocks Wednesday. While there was action to be had, gains for broader benchmarks were small.Source: Provided by Finviz * The S&P 500 rose 0.02% * The Dow Jones finished lower by 0.03% * The Nasdaq Composite gained 0.14% * Thanks to a surprisingly strong fourth-quarter earnings report, IBM (NYSE:IBM) was a Dow Jones leader today, gaining 3.3%.Industrial stocks were an obvious spot of weakness for the Dow Jones with each of the index's members from that sector trading lower today. Once again, Boeing (NYSE:BA) was an offender, shedding 1.58%, even after CEO David Calhoun said the company plans to continue paying its dividend "unless something dramatic changes."On the other hand, that doesn't mean the payout will be increased as the company struggles with the 737 Max issue. Caterpillar (NYSE:CAT) was another industrial offender, dropping almost 2% on light news flow. That company reports earnings on Jan. 31.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Buy as the 2020 Presidential Election Approaches Overall, 18 of 30 Dow stocks were higher in late trading. Hooray For IBMIBM, a company with a history of earnings disappointments and subsequent poor reactions by the stock, bucked that ominous trend today. Big Blue said it earned $4.71 per share on revenue of $21.80 billion in the fourth quarter, beating estimates calling for earnings of $4.68 cents and revenue of $21.64 billion."We ended 2019 on a strong note, returning to overall revenue growth in the quarter, led by accelerated cloud performance," said IBM CEO Ginni Rometty in a statement. "Looking ahead, this positions us for sustained revenue growth in 2020 as we continue to help our clients shift their mission-critical workloads to the hybrid cloud and scale their efforts to become a cognitive enterprise."Some analysts were mostly encouraged by IBM's results."Consulting revenue saw a lift of 4% year-over-year growth in the quarter, but that did not overcompensate for global business services', or GBS', roughly flattish revenue growth in the quarter, which is suffering weak demand for business process outsourcing," said Morningstar in a note out earlier today. "We're encouraged that the consulting business is not suffering instead, as consulting is a much higher-margin business, and we consider it to be a driver of other IBM offerings. Moreover, we expect business process outsourcing revenue to decline throughout the IT services industry." Small Earnings DisappointmentJohnson & Johnson (NYSE:JNJ) traded slightly lower Wednesday after the company said it earned $1.88 a share on sales of $20.74 billion in the fourth quarter compared with Wall Street estimates of $1.87 per share on revenue of $20.80 billion.The devil in the details was $264 million in legal expenses, but that's well below the $1.29 billion JNJ allocated to the same purpose in the year earlier period.In better news, JNJ's "pharmaceutical business posted revenue of $10.54 billion, a 3.5% increase year over year. The company's consumer unit, which makes beauty products such as Neutrogena, generated $3.5 billion in revenue, up 0.9% from a year earlier," reports CNBC. Pre-Earnings PopsIn advance of its Thursday after-the-close earnings report, Intel (NASDAQ:INTC) surged again today, tussling with IBM for top honors in the Dow. Cascend Securities reiterated a "buy" rating on Intel, this time lifting its price target on the stock to $75 from $65. * 7 Healthcare Stocks With 100% Street Support Consumer staples giant Procter & Gamble (NYSE:PG) reports before the bell tomorrow and traded slightly higher today in advanced of that announcement. Bottom Line on the Dow Jones TodayIn aggregate, the Wednesday performances of the Dow, Nasdaq and S&P 500 were by no means impressive, but the aforementioned IBM report could be something to build on, particularly if Intel, a better gauge of risk appetite, meets and beats tomorrow.While most prognosticators are expecting modest upside for stocks this year, Credit Suisse's Jonathan Golub on Tuesday boosted his year end S&P 500 target to 3,600 from 3,425.As of this writing, Todd Shriber did not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy as the 2020 Presidential Election Approaches * 5 Dividend Stocks With Low Payout Ratios and High Yields * 4 Post-Holiday Retail Stocks Still Worth a Look The post Dow Jones Today: Stocks Still Rise Despite Mixed Bag With Earnings appeared first on InvestorPlace.
Check out these three high-yield tech stocks we found using our Zacks Stock Screener that dividend investors might want to buy right now...
International Business Machines Corp.’s 2020 fortunes may hang on how well Red Hat keeps contributing to the company’s growing cloud business as Big Blue tries to rely less on its legacy products.