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Oct.09 -- AT&T Inc. agreed to sell its operations in Puerto Rico and the U.S. Virgin Islands to Liberty Latin America Ltd. for $1.95 billion in cash, taking a step toward reducing debt amassed in one of 2018’s biggest merger deals. Bloomberg's John Edwards has more on "Bloomberg Markets: The Close."
What are the poorest cities in America in 2019? The United States is popular for its opulence and the unimaginable success of its people. Around seven out of the ten richest people in the world are American. These people live in metropolitan areas with the best performing economies in the world. Nonetheless, this is not the […]
Netflix Inc (NASDAQ: NFLX) is scheduled to report its third-quarter results Tuesday, after the market close. Analysts, on average, expect the company to report revenues of $5.25 billion, up 31.30% year-over-year. Over the past four quarters, Netflix has managed to beat earnings per expectations by an average of 24.08%.
The company’s earnings release, Investor Briefing and related materials will be available at AT&T Investor Relations. A live webcast of the call will also be available at AT&T Investor Relations, and the webcast replay will be available shortly after the call concludes. AT&T Inc. (NYSE:T) is a diversified, global leader in telecommunications, media and entertainment, and technology.
Shares of Netflix (NFLX) have fallen over 20% in the past three months. Let's dive into everything we know about Netflix heading into its Q3 earnings release to see what to expect from NFLX stock...
Wall Street is breathing easier today. But given that it is October and the art of deal-making is far from certain these days, investors can tread more confidently if they choose income-generating, blue-chip stocks that are well-positioned for winning the trade war. Let me explain.The Dow Jones Industrial Average is nearly through the first half of October -- a month notorious for spooking investors -- and so far a market correction still hasn't happened. That's not to say the period hasn't been without incident or that a correction won't make an appearance this year. The fact is elevated volatility, back-and-forth political intrigue and mixed economic data offering jeers and cheers have been a staple on Wall Street this month. Nevertheless, a pullback which saw blue-chip stocks lose as much as 4.25% in early October has been completely retraced as of Friday's intraday trade.So, where exactly does that leave investors, other than a flat October, which may feel like a victory?InvestorPlace - Stock Market News, Stock Advice & Trading TipsGiven that deal-making hasn't been a proven hallmark of U.S. President Donald Trump, I'm not holding my breath that today's market optimism for a partial trade deal with China won't be derailed by a tweet or temper tantrum. Of course, something else out of left field or maybe the continued saga of Donald and the Giant Impeach could always find Wall Street pulling up its bootstraps and getting defensive again. * 7 Beverage Stocks to Buy Now With all of that said, I'm recommending investors stick with blue-chip stocks. Risk-assets of this caliber have prevailed over bear markets, weathered all sorts of political theater and will pay investors for their patience. And right now three of these names also enjoy negotiating power for bulls on the price charts. Blue-Chip Stocks to Buy: Disney (DIS)Disney (NYSE:DIS) is the first of the blue-chip stocks to buy. The diversified entertainment giant hit all-time-highs in late July fueled by a breakout from a near three-year long triangle pattern.Shares of this blue-chip pay investors a below-market dividend of 1.36%. That's nothing to write home about, but it's a little something for your time. Moreover, DIS stock offers investors nice prospects for continued growth. And my guess is Disney's deeper move into the streaming market with Disney+ later this year and against the likes of Netflix (NASDAQ:NFLX), Amazon (NASDAQ:AMZN) and Apple (NASDAQ:AAPL), will prove to be the company's newest stock booster.With an oversold DIS stock pulling back to test its 40-week simple moving average, lower Bollinger Band and 50% retracement level in an inside doji bottoming pattern, this blue-chip stock is nearly ready to buy.DIS Stock Strategy: My advice is to buy DIS stock on confirmation of the two-week candlestick bottoming pattern as shares trade through $131.78. I'd give this blue-chip stock a bit of wiggle room, but if shares fall below $126.50, exiting the position and keeping the powder dry for stronger opportunities makes sense. Cisco Systems (CSCO)Cisco Systems (NASDAQ:CSCO) is the next of our blue-chip stocks to buy. And you can thank Goldman Sachs for putting CSCO stock into a better position for buying. On Thursday, the investment firm warned Cisco's enterprise revenues will weaken while its telecom spending will remain at depressed levels. Investors reacted by sending shares down 1.47%.The combination in CSCO stock I'm looking at is much more upbeat. Today's buyers can get into this blue-chip as it offers a 3% yield backed by price action that's setting up a corrective double-bottom inside a very strong technical support zone. * 10 Winning Stocks to Buy and Stick With for the Long Haul CSCO Stock Strategy: My advice in this blue-chip stock is to buy shares next week if the hammer candlestick is confirmed above $48.13. All chips are off the table if the pattern fails and investors would be smart to exit or risk a much larger correction toward possibly $40 a share. AT&T (T)Not that I've saved the best for last, but AT&T (NYSE:T) is a blue-chip stock whose attractive income stream of 5.50%, relative strength and pattern on the price chart make it ripe for buying.Shares are in position to stage a breakout from a tight multi-week consolidation that has found support from prior highs and above T stock's cup-shaped base of nearly 2.5-years. Bullish investors might also see the current pattern as a "high" handle formation. Either way, the price action bodes well for a continued rally into 2020.T Stock Strategy: The plan for buying this blue-chip stock is simple. Wait for T stock to trade above resistance and purchase shares through $38.22. And respect the pattern low for exiting if needed, as an even larger yield may not be worth the trouble.Disclosure: 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 * 10 Super Boring Stocks to Buy With Super Safe Returns * 10 Winning Stocks to Buy and Stick With for the Long Haul * Don't Give Up on These 4 Cannabis Stocks The post 3 Blue-Chip Stocks to Buy In October appeared first on InvestorPlace.
Northwest Broadcasting, which has 18 stations in 10 markets, has reached a deal with the Dallas company, which has clashed with others this year as well.
Netflix's (NFLX) third-quarter 2019 results are likely to be driven by a robust content portfolio. However, intensifying competition remains a concern.
IBM's blockchain, cloud and ML capabilities, among others, are expected to have witnessed robust adoption in the third quarter. However, stiff competition and high debts may have been concerns.
Accomplishing the financial cushion to retire early is a fantasy for most, but bringing that fantasy to reality is not as difficult as it sounds. If you are willing to make some serious lifestyle adjustments, it can be achievable.
Keep an eye on Nike and AT&T;, Sierra Alpha Research President David Keller says, citing their relative strength amid stock market volatility.
Usually, movie reviewer doesn’t rank as a dangerous occupation, writes film critic Eleanor Ringel-Cater.
Say what you will about the host of CNBC's Mad Money Jim Cramer, but he's not afraid to speak his mind. Recently, Cramer suggested that Disney (NYSE:DIS) CEO Bob Iger "has a great long-term situation brewing" that ought to be very good for Disney stock.Is he right?Source: spiderman777 / Shutterstock.com InvestorPlace - Stock Market News, Stock Advice & Trading TipsHere are two reasons he's right and two reasons he's wrong. You can decide which arguments hold the most weight. The Outlook of Disney Stock Is Positive: Disney+It's hard to imagine any new entertainment initiative getting as much attention as next month's launch of the Disney+ streaming service. I did a quick search for "Disney+" on InvestorPlace's website and came up with 3,547 matches, including several in the past week alone. Investors who are not familiar with Disney+ have no business owning DIS stock. Period. For many, Disney+ will be Bob Iger's crowning glory, the move that cements the executive's place in the CEO Hall of Fame. * 10 Super Boring Stocks to Buy With Super Safe Returns InvestorPlace columnist Tom Taulli recently highlighted just how important Disney+ is to the company's future, suggesting that it could deliver as many as 25 million U.S. subscribers and 50 million international subscribers by 2024. And that, Taulli believes, could be conservative. So let's assume Disney+ reaches those numbers. Let's also assume that about 50% of the subscribers in the U.S. go for the bundle -- $12.99 per month for Disney+, Hulu, and ESPN+. And let's assume the remaining 50% go for the $6.99 per month plan and overseas, 100% go for a plan that costs 25% more at $8.99. By my calculation, Disney would generate $3 billion of annual revenue in the U.S. from Disney+ and $5.4 billion overseas, for average annual revenue per user of $112.In fiscal 2018, Netflix's (NASDAQ:NFLX) average annual revenue per user was $123 . If Disney can get anywhere near those numbers, Disney+ would have to be considered a significant success for the company. The Outlook of Disney Stock Is Positive: The Parks, Experiences and Products Unit Is Doing WellThe unsung hero of Disney, the Parks, Experiences and Products unit continues to deliver solid operating profits despite facing a very competitive environment. In Q3, this segment generated an operating profit of $1.7 billion on $6.6 billion of revenue. On the top line, its sales grew by 7% while on the bottom line, its operating profits increased by 4%. Those results were healthy, if not spectacular. What stands out for me is that Parks' attendance fell 3% in the U.S. during the quarter and 7% overseas. Yet its per capita guest spending increased by 10% in the U.S. and 17% overseas. That's what I call pricing power. On the hotel side, its occupancy was 87% during the quarter, one percentage point higher than a year earlier, thanks to a strong showing from its domestic hotels. Overall, guests spent $362 per room per night, 4% higher than in the same period a year earlier. Again, this speaks to the power of the Disney brand. The sales of its retail stores rose 4.3% year-over-year in Q3, and the stores help keep the brand in front of consumers.Lastly, this segment generated the lion's share of the company's high-margin merchandise licensing revenue. In Q3, it came in at $631 million, 13% higher than last year. If Disney doesn't lose its founder's flair for the creative, Parks, Experiences and Products will remain its most consistent moneymaker. The Outlook of Disney Stock Is Negative: DIS Has a Lot of DebtLow interest rates have managed to ease fears about corporate debt. However, that doesn't mean the owners of Disney should become complacent. "Corporate leverage is worsening in 2019 as debt rises faster than earnings for non-financial companies," said S&P Global Ratings Credit Analyst Terry Chan recently. "Very low global corporate profit growth (1%) forewarns possible earnings and economic recessions," Chan added.Disney finished Q3 with $51.5 billion of net debt. That's 2.5 times its trailing 12-month EBITDA of $20.6 billion. However, excluding its cash, Disney's long-term debt is almost five times its net income. As a result of the added debt it added as a result of its acquisition of the entertainment assets of 21st Century Fox, Disney's interest expense in the third quarter was $411 million, 2.9 times higher than a year earlier. On an annualized basis, that's almost $2 billion. A recession wouldn't be kind to Disney's bottom line. However, that's true of many large companies. The Outlook of Disney Stock Is Negative: The Other StreamersMany are assuming that Disney is going to be the belle of the streaming ball, capturing a big slice of the streaming market while barely breaking a sweat. But consider that when Apple (NASDAQ:AAPL), AT&T (NYSE:T), and Comcast (NASDAQ:CMCSA) finally launch all of their respective streaming services, there will be a trio of companies competing with Disney. Those three competitors have a combined market cap of $1.5 trillion, seven times Mickey Mouse's. That's not an easy battle to win. And Netflix isn't likely to take kindly to Disney's full-court press, either. Money is going to be spent by the boatload. The owners of DIS stock, used to a consistent dividend, are going to be in for the shock of their lives if Disney+ doesn't go as planned. I'm not saying it won't, but Iger can't afford to drop the ball on this or his legacy will be mud. The Bottom Line on Disney StockI don't think Disney+ will be a loser. Its brand is too strong. Therefore, I would say that Cramer is right about the outlook of Disney stock being positive. The only caveat: If the inevitable recession comes next year or the year after that and DIS hasn't paid down a good chunk of the debt it borrowed to buy 21st Century Fox, DIS stock won't be doing very well.Come November 1, the stakes will go way up for Disney stock. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Super Boring Stocks to Buy With Super Safe Returns * 10 Winning Stocks to Buy and Stick With for the Long Haul * Don't Give Up on These 4 Cannabis Stocks The post Does Disney Stock Have a Good Thing Brewing? appeared first on InvestorPlace.
U.S. presidential candidate Elizabeth Warren called on AT&T Inc to reject an activist investor plan she said would lead to job cuts, staking out a different position than President Donald Trump who has cheered the investor's involvement. In a Twitter post on Thursday, Warren said she sided with union workers at the telecommunications and media conglomerate, who have criticized a plan submitted last month by AT&T activist investor Elliott Management Corp to boost the company's profits. Such an approach would continue Trump's own practice of publicly criticizing company decisions to let workers go.
So far, T-Mobile stock has risen more than 22% this year. Recent developments related to the company's merger with Sprint (S) continued to drive the stock.
(Bloomberg) -- AT&T Inc. and Verizon Communications Inc. are rolling out generators, backup batteries and technicians to keep their wireless networks operating in parts of California where PG&E Corp. has intentionally shut down power to prevent wildfires.As many as 750,000 homes and businesses had power cut in what is the largest intentional blackout ever undertaken for wildfire prevention in California. That, in turn, is threatening to access to something almost as vital as electricity: wireless service.“We are aware that service for some customers may be affected by this event and are working as quickly as possible to deploy additional generators and recovery equipment,” Jim Greer, an AT&T spokesman, said Thursday.PG&E was forced into bankruptcy in the wake of wildfires caused by its equipment. The company is using large-scale power shutdowns now to prevent another deadly disaster.Blackouts in Oakland, San Jose and elsewhere threaten to be an economic drag, as stores close and companies are forced to buy generators to keep businesses open.Representatives from the major wireless carriers, including T-Mobile US Inc. and Sprint Corp., are working with the power companies and emergency services to keep their networks up. Of course, even with networks operating, customers in stricken areas will have trouble keeping their phones charged.“Our focus has been on ensuring our network remains up and reliable for residents, visitors and first responders in light of the commercial power outages,” said Karen Schulz, a Verizon spokeswoman.AT&T said it won’t charge subscribers in the affected areas if they exceed their data, calling or text limit, according to notifications sent to customers. The waiver expires Sunday.To contact the reporter on this story: Scott Moritz in New York at email@example.comTo contact the editors responsible for this story: Nick Turner at firstname.lastname@example.org, Rob GolumFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
AT&T (T) will receive $1.95 billion in cash at close of the deal, which comprises network assets including spectrum, real estate and leases.
Moody's Investors Service (Moody's) today assigned a B1 corporate family rating (CFR) and B1-PD probability of default rating (PDR) to Leo Cable LP, a holding company of the Liberty Puerto Rico (LPR) group, considering its intended acquisition of AT&T, Inc.'s (Baa2 stable) operations in Puerto Rico and the US Virgin Islands, and subsequent combination with its existing business in Puerto Rico. Simultaneously, Moody's assigned a B1 rating to the new USD1.2 billion senior secured term loan B (TLB) due 2026 raised by LCPR Loan Financing LLC and a B1 rating to the proposed USD1.0 billion senior secured notes due 2027 issued by LCPR Senior Secured Financing DAC.
AT&T said Wednesday it is selling its wireless and wireline operations in Puerto Rico and the U.S. Virgin Islands to Liberty Latin America, in a cash deal valued at $1.95 billion that will help the telecommunications and entertainment company pay down debt.
Moody's Investors Service (Moody's) said that AT&T Inc.'s (AT&T, Baa2 stable) announcement today that it is selling its wireless and wireline operations in Puerto Rico and the U.S. Virgin Islands to Liberty Latin America for $1.95 billion is credit positive, although it will not impact its Baa2 credit ratings. The deal is expected to close within the next 6 to 9 months.
The start of the traditional fall TV season in late September has been teeming with ads for new streaming services from Apple Inc. and Walt Disney Co., both of which debut later this year. It all makes for must-see streaming-TV as Netflix kicks off the earnings season among the principal combatants this week.
(Bloomberg) -- AT&T Inc. agreed to sell its operations in Puerto Rico and the U.S. Virgin Islands to Liberty Latin America Ltd. for $1.95 billion in cash, taking a step toward reducing debt amassed in one of 2018’s biggest merger deals.The Dallas-based telecom and media giant has been trying to strengthen its balance sheet since taking over Time Warner Inc. last year for $85 billion. “This transaction is a result of our ongoing strategic review of our balance sheet and assets to identify opportunities for monetization,” John Stephens, AT&T’s chief financial officer, said in a statement.AT&T was exploring the possible sale of the Puerto Rican operations over the summer, though it then expected to reap as much as $3 billion from the transaction, a person familiar with the matter told Bloomberg News.“Reports that we originally sought $3 billion for these assets are not accurate,” an AT&T spokeswoman said Wednesday. “That was never our expectation and that valuation wouldn’t have reflected the value of the assets or the market for such assets.”AT&T is under pressure from activist shareholder Elliott Management Corp., which last month started urging divestments of some assets and other management changes. The company had already sold its stake in the Hulu streaming service and its New York offices in the debt-reduction effort, reaping a total of $3.6 billion.What Bloomberg Intelligence Says“The sale of AT&T’s operations in Puerto Rico and the U.S. Virgin Islands will further relieve pressure on the company to delever and allow for the allocation of more free cash flow to share buybacks in 4Q.”John Butler, telecom analyst.Click here to read the research.In all, including Wednesday’s deal and cash-flow-management steps, AT&T said it has raised a net $11 billion this year, exceeding its goal of $6 billion to $8 billion. The company reports its third-quarter earnings Oct. 23 and has an investor day scheduled for Oct. 29 to offer an update on its WarnerMedia entertainment and media strategy.For Liberty Latin America, part of U.S. cable pioneer John Malone’s global empire, the deal furthers regional expansion ambitions. The AT&T assets in the sale include cellular, landline and internet businesses. Denver-based Liberty operates in more than 20 countries around Latin America and the Caribbean.AT&T said it plans stock buybacks in the fourth quarter, along with more debt cuts. The company’s shares were modestly higher in New York trading Wednesday, having gained 31% this year through Tuesday. Liberty Latin America’s class-A shares rose as much as 6.1% Wednesday.The Wall Street Journal reported on the coming sale earlier Wednesday.(Updates with AT&T statement on valuation in fourth paragraph.)\--With assistance from Scott Moritz.To contact the reporter on this story: John J. Edwards III in Boston at email@example.comTo contact the editors responsible for this story: Nick Turner at firstname.lastname@example.org, John J. Edwards III, Timothy AnnettFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.