56.05 +0.07 (0.13%)
After hours: 7:53PM EDT
|Bid||56.00 x 1000|
|Ask||56.40 x 1000|
|Day's Range||54.72 - 56.04|
|52 Week Range||33.83 - 77.54|
|Beta (3Y Monthly)||2.19|
|PE Ratio (TTM)||85.08|
|Forward Dividend & Yield||2.00 (3.62%)|
|1y Target Est||N/A|
In the latest trading session, Western Digital (WDC) closed at $55.98, marking a +1.21% move from the previous day.
(Bloomberg) -- The U.S. and China are moving closer to their first face-to-face trade negotiations in months, with a meeting between tech chief executives and President Donald Trump on Monday marking another step toward easing a ban on sales to China’s Huawei Technologies Co.The White House invited many of the U.S.’s biggest technology companies to discuss economic issues including a possible resumption of sales to Huawei. Trump and senior administration officials met with CEOs from Alphabet Inc.’s Google, Broadcom Inc., Cisco Systems Inc., Intel Corp., Micron Technology Inc., Western Digital Corp. and Qualcomm Inc., according to White House spokesman Judd Deere.Deere said the CEOs had requested "timely" decisions on license applications to sell to Huawei and Trump agreed. National Economic Council director Larry Kudlow told reporters Tuesday that the meeting was positive and cited it as one reason he’s optimistic that in-person talks with China are likely to resume soon.The meeting between government officials and U.S. technology leaders may assuage Chinese concern that one of its largest technology companies is under existential threat from a blacklisting. But lawmakers and others in the administration who oppose any relief for Huawei could stymie any tentative progress in resolving a trade dispute between the world’s two largest economies.Negotiating MissionChinese state media on Monday hailed signs of progress on Huawei as part of what it called efforts to display “sincerity and goodwill’’ by both sides. Any easing of restrictions on Huawei is expected to be met with a resumption of Chinese purchases of U.S. soybeans and other agricultural commodities.“We expect, we hope strongly that China will very soon start buying agriculture products, number one as part of an overall deal and part two as a goodwill gesture," Kudlow said. “So I’m going to strike a note of hopefulness, and I think we will see the ag purchases come on soon.”The moves, which followed a meeting between Trump and China’s Xi Jinping in Japan late last month, are meant to clear the way for a trip to China by U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin as soon as next week.Such a trip would mark the first high-level negotiating mission to China since talks broke down in May.Business PerspectiveKudlow and Mnuchin led the meeting Monday, which also included Commerce Secretary Wilbur Ross. Lighthizer attended as well, according to people familiar with the gathering. It was called to inject a business perspective into a debate that has often been driven by an intelligence and national security community eager to see an outright ban on Huawei, one of the people said.Xiaomeng Lu, international policy manager and head of the China practice at Access Partnership, said the meeting is an opportunity for U.S. companies to demonstrate how resuming sales to Huawei’s consumer business can help American corporations innovate better and outperform the Chinese telecoms giant in the long run.Trump will very likely face backlash from Congress if he chooses to allow shipments to the Chinese telecoms giant, especially after the Washington Post Monday reported that the company helped build North Korea’s 3G network in a potential violation of U.S. export control laws.Legislative Push BackMany U.S. lawmakers, including hawks in Trump’s own party, are opposed to the president’s approach on the issue and have made the case for a complete decoupling of supply chains that would cut off Huawei from American components.“At every turn, we learn more and more about what a malign actor Huawei is,” Senators Tom Cotton and Chris Van Hollen said in a statement following the Washington Post report. The revelation underscores Huawei’s serial violations of U.S. law, they added, saying it’s crucial Congress pass legislation they’ve sponsored.A spokesman for the Commerce Department, which oversaw the blacklisting of Huawei in May, declined to comment.Semiconductor TechnologyMost of those invited are suppliers of technology to Huawei, one of the biggest makers of smartphones and computer-network equipment. The chipmakers in particular have said that a blanket ban on doing business with the Chinese company may do more harm than good to U.S. national security.Many of the components they supply to Huawei can be easily obtained from companies elsewhere and jeopardizing their access to their biggest market risks cutting them off from revenue that’s vital to investing in their ability to maintain the U.S.’s lead in semiconductors, they’ve argued.Intel said in an emailed statement after the meeting that the company appreciated the opportunity to share its “perspective on economic issues, including how the current trade situation with China impacts the critical US semiconductor industry."Micron CEO Sanjay Mehrotra said the company appreciated the opportunity to meet and stressed that "open and fair trade are essential to ongoing U.S. technology leadership."Chinese companies, meanwhile, have begun asking U.S. exporters about buying agricultural products and also applied for exemptions from China’s retaliatory tariffs on the goods, state-run Xinhua News Agency reported Sunday.The Chinese government met Friday with domestic soybean buyers about a plan to purchase more U.S. supplies, according to people familiar with the situation. That could include waiving China’s retaliatory tariffs, but details have not been decided yet, the people said.Face-to-FaceWith China’s top leadership likely to be out of Beijing from early August for their annual seaside conclave, people close to the talks say there is a narrow window for face-to-face meeting in the coming two weeks. Mnuchin, Lighthizer and their Chinese counterparts talked by phone last week for the second time since the two nations’ presidents met.Separate to the possible agricultural purchases, China announced Saturday new measures to further open up the nation’s financial sector to foreign investors. Foreign companies will be able to take a stake in or control entities including wealth management units of commercial lenders, pension fund managers and currency brokers.The changes weren’t announced as directly related to the trade talks with the U.S., but American criticism of China’s protection of various domestic markets is a core issue in the ongoing trade tensions.(Updates with Kudlow comment in third paragraph.)\--With assistance from Miao Han, Justin Sink, Laura Litvan and Mark Milian.To contact the reporters on this story: Shawn Donnan in Washington at firstname.lastname@example.org;Jenny Leonard in Washington at email@example.com;Ian King in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Margaret Collins at email@example.com, Alister BullFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
President Trump has previously said selling technology to Chinese technology conglomerate Huawei is a threat to U.S. national security.
Traders came back from the weekend in a much more optimistic mood than how they ended last week. The S&P 500 finished Monday's action up 0.28%, led by Halliburton (NYSE:HAL) and Applied Materials (NASDAQ:AMAT)Source: Shutterstock Halliburton rallied more than 9% after the oil giant topped its second-quarter earnings estimates, and despite missing revenue expectations. Applied Materials advanced 6.1% in response to new bullishness from Goldman Sachs on the entire memory chip sector.Weighing stocks down more than any other was the near-2% tumble from Verizon (NYSE:VZ). The telecom giant's shares fell for no company-specific reason. Rather, telecom names in general, and their income orientation, has been falling out of favor for several days now.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Buy From This Superstar Fund None of those names are interesting trading prospects headed into Tuesday's action, however. Rather, it's the stock charts of Western Digital (NASDAQ:WDC), Boston Properties (NYSE:BXP) and Huntington Bancshares (NASDAQ:HBAN) that merit the closest technical looks. Western Digital (WDC)On April 17, Western Digital was pegged as a breakout candidate. A choppy but powerful rally managed to shove WDC stock out of a short-term trading range on major volume, simultaneously pushing the tech stock over its 200-day moving average line plotted in white on both stock charts.The move faltered as quickly as it took shape, with Western Digital shares rolling over the next day and not looking back until the late-2018 low was revisited. Then, an even more powerful rally took shape again to wind up bumping into that very same April resistance. This time though, WDC stock has a good chance of following through. * Click to EnlargeThe line in the sand is right around $55.70, where the stock peaked in April, in early July and then one more time yesterday. * Although we've seen this move before to no avail, this time, there's persistent above-average volume behind the advance. * Although the momentum looks and feels healthy, Western Digital might need to pull back one more time before making the final thrust above $55.70. The key will be support at or near the 100-day and 200-day lines, marked in gray and white, respectively, on both stock charts. Boston Properties (BXP)Far more often than not, a wedge-shaped pattern made by a stock or index chart squeezes that index or stock toward a tip of the wedge, building pressure the whole time. Once there's no means of containing that pressure, it's unleashed, pushing that underlying instrument higher or lower in a big way.Boston Properties has dished out the opposite of that typical converging wedge pattern since early 2017, however. That is to say, the trading range has been expanding rather than narrowing. It's not mattered yet, but as of Monday, BXP stock is dangerously close to breaking under a near-term support area that could drive shares considerably lower. * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk * Click to EnlargeThe last bastion of support in play for Boston Properties is the floor at $126.87, where it made a low in June, and where yesterday's low was made. Notice the 200-day moving average line, plotted in white, is also under attack. * If that floor should end up failing to keep the stock propped up, a slide all the way back to the $100/105 area is possible. That's where the lower boundary of the expanding wedge currently lies. * The odds are working against the bulls, and for the bears. Early this month, the stock tried to rebound, but met clear resistance at the purple 50-day line and grey 100-day moving average line (highlighted). Huntington Bancshares (HBAN)Late last month, Huntington Bancshares was making a third attempt to hurdle a well-established, falling resistance line that had been repeatedly augmented by the 200-day moving average line. The swell of bullish volume behind the effort at the time, however, made that particular move the most compelling yet.HBAN ended up clearing the hurdle, but soon found another one. That is, the April/May high near $14 once again kept the bulls at bay. The buyers may have only needed to regroup though. The odds of a full-blown breakout thrust developing here continue to improve, even if Huntington Bancshares stock seems range-bound for the time being. * Click to EnlargeThe ceiling to watch is just above $14, plotted with a red dashed line. HBAN has topped out there twice since April. * Although it ultimately failed to make a higher high, over the course of the past couple of weeks, the white 200-day moving average along with the gray 100-day line have served as a support level, letting the market regroup. * What's missing thus far that wasn't missing near the end of June is a healthy amount of volume to fuel a sustained breakout.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy From This Superstar Fund * 7 Stocks to Buy This Summer Earnings Season * 7 Marijuana Penny Stocks to Consider for Those Who Can Handle Risk The post 3 Big Stock Charts for Tuesday: Western Digital, Huntington Bancshares and Boston Properties appeared first on InvestorPlace.
The semiconductor stock group got a boost Monday when Goldman Sachs updated its coverage on some popular names. The Analysts Goldman analyst Mark Delaney upgraded Micron Technology, Inc. (NASDAQ: MU ) ...
(Bloomberg) -- Semiconductor companies could see an improvement in inventory levels faster than previously anticipated, according to Goldman Sachs, which upgraded a number of companies “on early signs of memory stabilization.”Micron Technology Inc. was lifted to buy from neutral, as were Lam Research Corp. and Applied Materials Inc., the latter of which was added to Goldman’s Conviction List. KLA Corp. was upgraded to neutral from sell.“We are now more positive on global memory stocks as we believe that the excess inventory memory companies are carrying will be depleted faster than our previous expectations,” wrote analyst Mark Delaney, who pointed to a June outage at Toshiba Memory Corp. that had reduced production. This power failure was also seen as providing support to pricing and inventory levels at Western Digital Corp.While Goldman had previously expected supply and demand for NAND memory chips to improve in 2020, “our most recent industry discussions suggest that NAND pricing could start to improve from low levels” in the third quarter of 2019. According to data compiled by Bloomberg, Micron derived more than 25% of its 2018 revenue from trade NAND chips.Micron “is the best stock to express our view” on improving memory trends, the firm wrote, raising its price target to $56 from $40. Shares gained 3.6% to trade at their highest level since September. The stock is up more than 40% from a low in late June, and is poised for its fourth straight positive session.Applied Materials gained 3.8%, while KLA rose 1.3%. Lam jumped 3.2% and was on track for its ninth positive session of the past 10 trading days.“While visibility is limited in the near term and, we see downside to 2H19/2020 Street estimates, we believe disciplined supply-side actions from the memory manufacturers” will support both improvements in supply and demand, as well as higher levels of Wafer Fab Equipment spending in 2020, Goldman wrote.The firm also lifted its price target on Western Digital to $54 from $46, but kept its neutral rating, citing “better valuation support for Micron,” as well as a recently rally in Western’s stock, which Goldman wrote had priced in improving fundamentals.(Updates to market open in fifth and sixth graphs)To contact the reporter on this story: Ryan Vlastelica in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Catherine Larkin at email@example.com, Steven FrommFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
In this article we are going to estimate the intrinsic value of Western Digital Corporation (NASDAQ:WDC) by taking the...
(Bloomberg) -- Toshiba Memory Corp., the world’s second-largest memory chipmaker that was spun out of its parent last year, is changing its name to Kioxia as it gears up for an initial public offering.By taking a new name, the semiconductor company is marking a clean break from its roots as a unit of Toshiba Corp., which retained a 40% stake after selling it to a group led by Bain Capital. Kioxia is an invented word that combines the Japanese word for memory — kioku — and axia, the Greek term for value. The new moniker takes effect Oct. 1 under the full name Kioxia Holdings Corp.“It’s really meant to denote a fresh start as an independent company,” said Stacy Smith, the former Intel Corp. chief financial officer who became chairman of Toshiba Memory last year. “We’re not running from our rich heritage.”Toshiba, a Japanese conglomerate founded in the 1800s, invented flash memory three decades ago. The chips are used to store data in iPhones and other smartphones, as well as gadgets such as USB drives and memory cards. Memory chips are also displacing hard drives in the data centers that power cloud-based computing services and internet businesses because of their speed and reliability. Toshiba had to sell the business to pay for losses at its bankrupt nuclear power unit.While Bain has made clear that it’s planning to hold an IPO for the business by mid-2021, local media have reported that it may file for a public sale as soon as this summer or September. The investor has hired banks including Nomura Holdings Inc. and Mitsubishi UFJ Financial Group Inc. to handle the IPO, people familiar with the matter have said. Smith declined to comment on the timing of the planned IPO.Separately, Smith said the company’s main factory, which was hit with a power outage on June 15, would return to full production capacity over the next several weeks. Equipment at the plant, in Yokkaichi, Japan, is already back online and is now being ramped up, he said. The disruption also impacted Western Digital Corp., its manufacturing partner at the plant.“The silver lining to that one was it happened in a time when supply was ahead of demand,” Smith said. “That’s helping us to minimize the impact on our customers.”Although Toshiba was the leader in NAND flash memory, it was outspent over the years by the likes of Samsung Electronics Co. The South Korean electronics conglomerate controlled 30% of the market at the end of 2018, followed by Toshiba with about 19%, according to researcher TrendForce Corp. The industry is now shifting to so-called 3-D NAND, which Toshiba believes gives it an edge against Samsung.Asked about recent trade tensions between Japan and South Korea, and the potential impact on memory prices, Smith said he didn’t see any impact that diverged from industry forecasts.Toshiba has been increasing investments at its Fab 6 chip facility in Yokkaichi, and also announced plans to build a new plant in the northern prefecture of Iwate that will begin mass production in 2020.\--With assistance from Yuki Furukawa.To contact the reporter on this story: Jason Clenfield in Tokyo at firstname.lastname@example.orgTo contact the editors responsible for this story: Edwin Chan at email@example.com, Reed StevensonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The PowerShares QQQ ETF (NASDAQ:QQQ) came within a dime, but couldn't grind out new highs on Tuesday as we saw a decline in the Nasdaq today. However, that didn't stop everything from rallying, as Roku (NASDAQ:ROKU) stock burst as much as 8%, hitting new all-time highs in the process.Source: Shutterstock The stock clocked in over $113 at one point and it wouldn't be surprising to see the stock continue higher into earnings. After two huge post-earnings rallies, the stock is clearly on investors' radar. The stock was a clear leader on Tuesday and investors will look to see if they can keep squeezing shares higher amid this breakout.Not everyone was so lucky, though. Micron (NASDAQ:MU) continues to meet sellers, as it ran right into resistance. Shares fell about 3% on Tuesday, while Western Digital (NASDAQ:WDC) also dove on the day, down roughly 6%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBitcoin had a rough day too, plunging more than 11% to $9,600 at the time of this writing. Some New PartnershipsBlue Apron (NYSE:APRN) stock surge more than 60% at one point on Tuesday. The move came on news that it will partner with Beyond Meat (NASDAQ:BYND). The two are starting out with a pair of burger offerings and will look to add other options moving forward. Both should be available by Aug. 26. APRN has had a horrendous journey thus far as a public company and has already resorted to a 1-for-15 reverse stock split. But the partnership could be a win-win for both companies, and at least for one day, has given APRN stock a much-needed shot in the arm. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip While we await the likely IPO of DoorDash this year, it was announced that McDonald's (NYSE:MCD) will partner with the delivery company. The plan is to start with 200 locations in Houston later this month. If successful, it will roll out nationwide.DoorDash reportedly has contract drivers within driving distance of 80% of U.S. households, prompting MCD to add it to Uber (NYSE:UBER) Eats and choose it over GrubHub (NYSE:GRUB) and Waitr (NASDAQ:WTRH). WTRH hit a new 52-week low in the session, by the way.It has been a busy month for Big Blue. International Business Machines (NYSE:IBM) will report earnings on Wednesday, and just recently closed on its acquisition of Red Hat. That's not all though. The tech giant reached a multi-year alliance with AT&T (NYSE:T), to "support each other in networking and the cloud." Part of that support will come from IBM's recently acquired Red Hat. Splits and Analyst TakesAlibaba (NYSE:BABA) announced plans for an 8-to-1 stock split earlier this year, pending shareholder approval. Well, the company received the green light and BABA stock will split sometime before July 15th, 2020.There weren't too many big analyst actions to take note of, but Slack (NYSE:WORK) did receive some initiations. Morgan Stanley analysts slapped an equal-weight rating on Slack, while Goldman Sachs went with a neutral rating an $34 price target, implying about 2% downside. Click to Enlarge Don't fret though, bulls. William Blair analysts initiated WORK at an outperform rating, while Canaccord Genuity analysts started it at a buying rating with a $40 price target. Barclays and Keybanc also gave an overweight rating, using price targets of $45 and $44, respectively. Heard on the Nasdaq TodayLike IBM, Netflix (NASDAQ:NFLX) will also report earnings on Wednesday. However, after tying HBO -- now an AT&T property -- in Emmy nominations last year, HBO topped NFLX this year 137 to 117. Obviously, Game of Thrones helped tip the scales, pulling in 32 nominations on its own.Netflix may face a dilemma losing its top two shows in 2020, Friends and The Office, as well as other top content later on. It's no wonder CEO Reed Hastings has been spending so much on content over the last few years.Tech companies testifying on Capitol Hill seems to be about one of the most pointless events. It's clear Congress can't keep up with technology and they can't keep up with these companies. Nothing ever seems to come of it -- other than headlines.On Tuesday, Apple (NASDAQ:AAPL), Amazon (NASDAQ:AMZN), Facebook (NASDAQ:FB) and Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) were there, with hearings scheduled for tomorrow as well. It could be an important development though, as the government looks to build an antitrust case against several of these companies. Notice who's not there though? Microsoft (NASDAQ:MSFT).Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell was long ROKU, AAPL, AMZN and GOOGL. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Nasdaq Today: Rokuas New Highs; Beyond Meatas Partnership appeared first on InvestorPlace.
Corporate profits for 2Q 2019 are expected to be weak, and a growing number of CEOs and other top executives are offering negative guidance.
Memory stocks have been on the rise since June 25, when chip maker Micron Technology reported better-than-expected earnings results.
This morning, US index futures surged after Federal Reserve Chair Jerome Powell’s testimony raised the possibility of a near-term cut in interest rates.
Western Digital's (WDC) IntelliFlash portfolio will be integrated with SAP HANA's in-memory data processing capabilities to enhance productivity of business-critical applications.