|Bid||30.48 x 21500|
|Ask||0.00 x 1100|
|Day's Range||30.24 - 30.60|
|52 Week Range||26.08 - 39.70|
|Beta (5Y Monthly)||0.68|
|PE Ratio (TTM)||15.49|
|Forward Dividend & Yield||2.08 (6.91%)|
|Ex-Dividend Date||Jul 09, 2020|
|1y Target Est||N/A|
Warner Bros. Interactive Entertainment publishes a wide range of titles, many linked to the company's intellectual property.
Microsoft has expressed interest in acquiring a Warner Bros. gaming unit. Warner parent AT&T; last month was said to mull selling the division.
(Bloomberg Opinion) -- It doesn’t take much imagination to see the Federal Reserve supporting the stock price of Apple Inc.The central bank’s Secondary Market Corporate Credit Facility recently released details about its “Broad Market Index,” which is a roadmap for which individual bonds it will buy for its portfolio after changing the rules to avoid forcing issuers to certify they’re in compliance with the Coronavirus Aid, Relief, and Economic Security Act. Just looking at the 13 companies with weightings of at least 1%,(2)which collectively make up almost one-fifth of the index, a few things stand out. First, there are six automobile companies, with subsidiaries of Japan’s Toyota Motor Corp. and Germany’s Volkswagen AG and Daimler AG as the three largest issuers overall. In fourth is AT&T Inc., the largest nonfinancial borrower due in no small part to its $85.4 billion takeover of Time Warner Inc. Then there’s Apple. As a reminder, it’s the largest U.S. company by market capitalization at $1.57 trillion, edging out Microsoft Corp. and Amazon.com Inc. Its shares have easily rebounded from the selloff caused by the coronavirus pandemic, rallying 24% so far in 2020. Yes, Apple has about $100 billion of debt outstanding, but it’s also known for having one of the largest cash piles in the world. It’s so big, in fact, that the company could repay all its obligations and still have roughly $83 billion left over.With so much cash, that naturally raises the question: Why does Apple take on debt in the first place?In each of Apple’s past three dollar-bond sales, in November 2017, September 2019 and May, the company said it would use proceeds at least in part to repurchase common stock and pay dividends under its program to return capital to shareholders. In total, the company has doled out more than $200 billion since the start of 2018. It’s easy to see why company leadership would see it as too cheap not to borrow. Apple has the second-highest investment-grade credit ratings from Moody’s Investors Service and S&P Global Ratings, allowing it to issue $2.5 billion of 30-year bonds in May that yielded just 2.72%. Its $2 billion of three-year debt, within the Fed’s maturity range, priced to yield less than 0.85%.Luca Maestri, Apple’s chief financial officer, said during the last quarter’s earnings call that the company has more than $90 billion in stock buyback authorization left, adding that it plans to continue the same capital allocation policy going forward.Obviously, cash is mostly fungible for large enterprises, and any number of American companies in recent years surely issued bonds for reasons other than buybacks and also repurchased shares. Goldman Sachs Group Inc. estimated some $700 billion of shares were acquired by U.S. companies in 2019, which would make them the biggest net buyer of equities.Still, Apple openly using debt sales to help finance share repurchases puts the Fed in a somewhat awkward position. Chair Jerome Powell has consistently framed questions about its secondary-market facility in the context of supporting the central bank’s full employment mandate. Workers are “the intended beneficiaries of all of our programs,” he said in a hearing last month. It’s possible Americans “are able to keep their jobs because companies can finance themselves.”And yet, the Fed’s secondary-market facility comes with no strings attached. In fact, as I noted last month, its maneuver to create Broad Market Index Bonds circumvented the CARES Act requirement that any company must have “significant operations in and a majority of its employees based in the United States.” Rather than focus on the American worker, the stated goal is to “support market liquidity for corporate debt,” and, by extension, keep borrowing costs down for creditworthy firms. So there’s every reason to expect that Apple can and will issue bonds again in the near future, at an even cheaper rate, to fund stock buybacks and dividends. That, in turn, would most likely support share prices.That shouldn’t sit well with many people. Even President Donald Trump, who has used the stock market as a barometer of his economic policies, has signaled a preference for capital projects over buybacks. On March 20, just before the S&P 500 Index fell to its lowest level of the Covid-19 selloff, he lamented that companies used the money saved from his 2017 tax cut to repurchase shares rather than build factories. He said at the time that he would support a prohibition on buybacks for companies that receive government aid.“When we did a big tax cut and when they took the money and did buybacks, that’s not building a hangar, that’s not buying aircraft, that’s not doing the kind of things that I want them to do,” Trump said. “We didn’t think we would have had to restrict it because we thought they would have known better. But they didn’t know better, in some cases.” The Fed’s strategy for buying corporate bonds is passive enough that few would equate it to receiving direct assistance from the federal government. The same can’t be said about the central bank’s Primary Market Corporate Credit Facility, which as of last week is open for business. Companies that want to place bonds directly with the Fed must certify that they have “not received specific support pursuant to the CARES Act or any subsequent federal legislation” and “satisfy the conflicts-of-interest requirements of section 4019 of the CARES Act.” As my Bloomberg Opinion colleague Matt Levine described in detail last week, there’s a huge amount of paperwork for issuers, and the Fed has the right to demand its money back if the forms are wrong and companies use funds for unapproved reasons.In all likelihood, these constraints will turn almost every company away from the Fed’s primary-market facility. Instead, finance officers will reap the benefits of the central bank’s broad secondary-market interventions to issue new debt to private investors at rock-bottom rates and with no such rules, as they have for the past three months. And Wall Streeters will be happy with business-as-usual in the credit markets.To put it plainly one more time: The Fed didn’t have to loosely interpret the law to create this index of corporate debt. It was already following through on its pledge to buy exchange-traded funds and had a system in place for companies to become eligible for individual purchases. It chose this third route, encouraging headlines like “Buying Corporate Bonds Is Almost Easy Money, Strategists Say.” What could go wrong?Now that it’s scooping up individual bonds issued for share buybacks without any stipulations, policy makers should be asked again why this program is the right way to go about supporting the recovery. The truth is likely that corporate America needs low-cost debt to survive. Apple and its shareholders are more than happy to tag along for the ride.(1) The Fed's facility has not yet purchased debt from all the companies in the index, at least according to its disclosure, which only covers the$429 million in bonds it bought on June 16 and 17. Its largest purchases were Comcast Corp., AbbVie Inc. and AT&T Inc.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Brian Chappatta is a Bloomberg Opinion columnist covering debt markets. He previously covered bonds for Bloomberg News. He is also a CFA charterholder.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The latest 13F reporting period has come and gone, and Insider Monkey have plowed through 821 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F filings show the funds' and investors' portfolio positions as of March 31st, a week after the market trough. Now, we are […]
AT&T (NYSE: T) is very much involved in streaming video. There's HBO Now, the direct-to-consumer counterpart to HBO -- both are distinct from streaming app HBO Go, which is available to HBO TV subscribers. The company also offers HBO Max, a new premium streaming service.
On this day, 244 years ago, all but one of the 13 United Colonies officially adopted the Declaration of Independence, thus declaring their collective right to govern without England calling the shots. If you have spare cash that won't be needed to pay bills or cover emergencies, then the following blend of growth and income stocks should be perfect to help you secure your financial freedom. The first top stock that'll put you on the path toward financial independence is e-commerce giant Amazon (NASDAQ: AMZN).
Higher monthly bills only impact new customers, but new customers were DirecTV's best hope for a revival.
One of the places they've found cash returns is in dividend stocks, particularly those that offer a relatively high payout. Fortunately, some high-yield dividend stocks remain well-positioned to sustain their dividends. AbbVie (NYSE: ABBV) spent most of its history as a subsidiary of Abbott Laboratories before becoming an independent company in 2013.
Shares of Spotify (NYSE: SPOT) gained 42.7% in June, according to data from S&P Global Market Intelligence. Spotify stock posted big gains in the middle of last month after the company announced a string of new podcast deals and received favorable ratings coverage from analysts.
Buying dividend stocks comes with a number of advantages. Additionally, dividend income can help to partly hedge the inevitable stock market corrections that crop up from time to time. Dividends can also be reinvested via a dividend reinvestment plan (DRIP) to compound your wealth.
Comcast Corp's NBCUniversal has struck a deal with ViacomCBS Inc to bring "The Godfather" trilogy, "Undercover Boss" and other hit franchises to the upcoming Peacock streaming video platform, the companies announced on Wednesday. Peacock, set to launch nationally on July 15 on mobile devices, Web and connected television platforms, will compete against Netflix Inc, Amazon.com Inc Prime Video, Walt Disney Co's Disney+, Hulu, and AT&T Inc's HBO Max in the fight for paying subscribers.
Google's YouTube TV is raising its monthly rate from $50 to $65. The company cited those additional channels, its deal with AT&T (NYSE: T) to offer subscribers HBO Max, as well as some new features in its price increase announcement. YouTube TV had been the lowest-priced virtual multichannel video programming distributor (vMVPD) that offered a full-fledged cable subscription replacement.
Yahoo Finance’s Heidi Chung breaks down the latest on the streaming wars and Google's recent news that it would raise prices for its TV services to $64 from $50 dollars a month.
The upheaval caused by the coronavirus may mean the end of the 60/40 portfolio, investing icon Burton Malkiel tells MarketWatch, but some other truths will likely endure. Investors are probably better off in passive portfolios, not chasing active managers - or even worse, day trading out of boredom.
There's a lot going on at FuboTV these days. The independent over-the-top TV provider announced a price increase of $5 per month for all of its packages. That comes after FuboTV has lost 11 WarnerMedia/Turner networks -- and before ESPN and other Disney networks join the lineup. As of Wednesday, July 1, WarnerMedia's suite of […]
The U.S. Justice Department and Federal Trade Commission, which investigate proposed mergers to ensure they are legal, issued guidelines on Tuesday codifying current practice in their probes of so-called vertical mergers, which combine a company and a supplier. The new guidelines "explain our investigative practices as we apply them today and have applied them in recent years," said Makan Delrahim, chief of the Justice Department's antitrust division. A rare example of a vertical deal that the government sought to stop was telecommunications company AT&T's purchase of movie and TV show maker Time Warner.
Currently, consumers in Miami, Jackson, Austin and Salt Lake City have access to AT&T's (T) 5G network.
Its high yield may make this dividend stock interesting to income investors, but the telecom giant has some troubles it will need to overcome.
Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500's (NYSE: SPY) total return for the decade was 250.5%. But there's no question some big-name stocks did much better than others along the way.AT&T's Difficult DecadeOne underperformer of the last decade was telecom and media giant AT&T Inc. (NYSE: T).AT&T's decade was defined by two major buyout deals that significantly expanded the company's reach into the media space.In 2015, AT&T announced a $48.5 billion buyout of direct broadcast satellite service provider DirecTV. In 2018, AT&T completed an $85.4 billion buyout of media giant Time Warner and its subsidiaries, including CNN and HBO. Following the two massive buyout deals, AT&T now has nearly $200 billion in debt.AT&T shares started the 2010s trading at $28.58 and hit their decade low of $23.78 by the middle of 2010. AT&T shares then went on a tear over the next two years, peaking at $38.58 in mid-2012.From there, AT&T spent most of the next three-plus years trading sideways in a wide range of between $32 and $38. The stock finally broke out to the upside in early 2016. AT&T ultimately peaked at $43.89 in mid-2016, its high point of the decade. Since then, slowing growth and mounting debt have weighed on the stock.AT&T shares plummeted all the way down to $26.80 in late 2018 before rebounding once again to as high as $39.70 by the end of 20192020 And BeyondAT&T shares were hammered in early 2020 during the broad market COVID-19 sell-off, and the stock dropped to as low as $26.08, its lowest point since 2010. While the stock has since rebounded to around $30, it has still delivered underwhelming overall performance over the past 10 years.In fact, $1,000 worth of AT&T stock in 2010 would be worth about $2,065 today, assuming reinvested dividends.Looking ahead, analysts expect AT&T's rebound to continue in the coming months. The average price target among the 25 analysts covering the stock is $34.30, suggesting 15.3% upside from current levels.Related Links:Here's How Much Investing ,000 In The 2018 Moderna IPO Would Be Worth Today Here's How Much Investing ,000 In Roku's 2017 IPO Would Be Worth TodayPhoto by Tdorante10/Wikimedia.See more from Benzinga * Warren Buffett Says There's No Bubble In FANG Stocks, But He's Still Not Buying(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
On Monday, the Federal Reserve made the decision to officially open the doors to the primary market corporate credit facility. Yahoo Finance's Brian Cheung joins The Ticker to discuss.
Democratic U.S. senators on Monday were to introduce legislation to ensure Americans who have suffered economic hardships due to the coronavirus pandemic have access to broadband internet. The bill, which was seen by Reuters and will be made public later on Monday, would provide free or low-cost broadband service to low-income families or those who have been recently laid off or furloughed due to the COVID-19 pandemic. It would boost an existing Federal Communications Commission Lifeline subsidy program to help millions more low-income Americans qualify, with more than 20 million Americans out of work.
(Bloomberg) -- One of the most anticipated video games is one whose existence has yet to be acknowledged by its publisher, Warner Bros. Interactive Entertainment. It’s a big-budget Harry Potter game that will let players role-play as wizards and roam a vast, open-world re-creation of Hogwarts and its surrounding areas.The long-rumored project is very real, according to two people currently working on it. The game is in development at a Warner Bros.-owned studio, Avalanche Software in Salt Lake City, Utah, and is scheduled for release late next year for platforms including the upcoming Sony Corp. PlayStation 5 and Microsoft Corp. Xbox Series X, said the people, who requested anonymity over fears they would be fired for speaking publicly about an unannounced game.Harry Potter is among the highest-profile projects within Warner Bros. Interactive, along with a Batman game that is in the works. Footage from a very early version of the untitled game began circulating in 2018. That video was authentic, but most of the rumors that have come out since are not, said one of the people working on it. Despite a series of challenges—a global pandemic, a fierce backlash against the franchise’s creator, a possible sale of the Warner Bros. video game publishing business—the game remains on track for next year, the person said.Within the team, though, some anxiety surrounds the work. The studio’s management has not addressed recent comments from the author J.K. Rowling that were widely viewed as transphobic, the people said. The situation made some members of the team uncomfortable and sparked private discussions among staff over the pandemic water cooler, the workplace communication app Slack.Spokespeople for AT&T Inc.’s Warner Bros. Interactive and Rowling declined to comment.Rowling, 54, is a near-inextricable part of the wizardry franchise she conjured more than two decades ago. She continues to play a role in most projects associated with the Harry Potter brand, and the game is no exception. However, one of the people working on the game stressed that Rowling has very little direct involvement.Rowling has courted controversy on Twitter in the past, but this month, she made her most inflammatory comments yet. On June 6, Rowling tweeted criticism of an article that used the phrase “people who menstruate” to differentiate between those who were born women and those who transitioned. Later, the author expanded on her thoughts in an essay on her website, writing that “the ‘inclusive’ language that calls female people ‘menstruators’ and ‘people with vulvas’ strikes many women as dehumanising and demeaning.”The result was that many transgender people felt demeaned, and the comments were denounced by fans and collaborators. Cast members from the Harry Potter series, including Daniel Radcliffe and Emma Watson, said they disagreed with Rowling’s stance, and Warner Bros. responded by touting its “inclusive culture.”Many fans are attempting to reconcile their love of the fantasy series with its author’s beliefs, which they find repugnant. On Reddit, there’s a 6,000-member community dedicated to the yet-to-be-announced Harry Potter game. The usual exchange of rumors and wish lists that takes place there was derailed this month by debate over Rowling’s statements. The forum’s editors posted a declaration that they “firmly stand in disagreement with the opinions stated in those tweets” and that fans should avoid discussing them.The Rowling controversy is likely to diminish some anticipation for the game, said Felicia Grady, managing editor of the popular Harry Potter fan site MuggleNet. “Based on what I’ve seen from fans, I do believe that Rowling’s comments have had some effect on the level of excitement they have for the Harry Potter RPG or other upcoming content,” Grady wrote in an email. “We’ve seen comments from fans who no longer wish to support Rowling or the brand financially.”The potential sale of Warner Bros. Interactive would have an even greater impact on the game’s future, said Matthew Kanterman, an analyst at Bloomberg Intelligence. Pricy projects are the most at risk of cancellation in the event of a sale, he said, “especially something like this that has been in the works for years.” CNBC, which reported two weeks ago on talks to sell the AT&T-owned gaming unit, said a deal wasn’t imminent.Warner Bros. had originally planned to announce the Harry Potter game during a news conference at the trade show E3 in June, according to people familiar with the plans. When E3 was canceled due to the coronavirus pandemic, the publisher’s marketing roadmap shifted.The new plan is to unveil the Batman game in August at a digital event called DC FanDome, and the Harry Potter game will be revealed later, a person with knowledge of the plans said. The person said those plans were made before Rowling’s comments.For 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.
(Bloomberg) -- The Federal Reserve bought bonds issued by companies including AT&T Inc., UnitedHealth Group Inc. and Walmart Inc. as part of its emergency lending program set up in response to the pandemic, according to new disclosures.On June 16, the U.S. central bank began purchasing securities of individual issuers as part of a broad index it created to include companies that were eligible for the program.The disclosures, posted Sunday, showed that of the $207 million of purchases made on the first day of buying, about 21% were of debt issued by firms in the consumer non-cyclical sector, while 15% were of consumer cyclical debt and 10% were of technology debt. Issues rated below investment grade comprised 3.6% of the securities acquired.In a separate disclosure, the New York Fed released the composition of the broad index the central bank is using to conduct the purchases. Fed officials have said the goal of the buying is to maintain liquidity in the market for corporate debt, so that issuers are able to access capital despite the deep economic downturn created by the pandemic. The index is comprised of almost 800 issuers.In mid-May, the Fed began buying exchange-traded funds invested in corporate debt as it readied for outright purchases. As of Tuesday, the Fed had amassed $8.71 billion of assets including ETFs and individual securities through the program, known as the Secondary Market Corporate Credit Facility.On June 17, Fed Chairman Jerome Powell told the House Financial Services Committee that the central bank would reallocate purchases of ETFs toward individual debt securities through the index it created.“Buying cash bonds is going to form the primary mode of support over time by which we support market function,” Powell said during the hearing. “Over time, we will gradually move away from ETFs.”The program is set to expire on Sept. 30.For 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.
Yahoo Finance's Alexandra Canal breaks down how big-name entertainment companies are continuing to respond to racist claims following the death of George Floyd.