2.68k followers • 18 symbols Watchlist by Motif Investing
A growing economy coupled with new applications and convenience of online shopping could provide a catalyst to businesses that sell merchandise through online channels.
Target unveiled its new flagship food brand, Good & Gather, on Monday. Yahoo Finance's Jennifer Rogers, Myles Udland, and Dan Roberts discuss.
Dozens of CEOs from the Business Roundtable are seeking a new purpose for their companies. More than 180 CEOs signed a statement saying that corporate decisions should not be made solely on whether or not they producer profits for shareholders. JUST Capital CEO Martin Whittaker joins Yahoo Finance’s Adam Shapiro, Brian Sozzi, and Bruderman Asset Management Chief Market Strategist Oliver Pursche to discuss.
The property along busy Elliott Avenue West is next to the pedestrian bridge to the online travel company's campus where 4,500 people will work.
Stock futures: About a dozen states reportedly plan a Big Tech antitrust probe, likely ensnaring Apple, Facebook, Amazon and Google. Baidu, spinoff iQiyi and Fabrinet moved on earnings.
What's Next for Walmart Stock and a Target earnings preview on the latest episode of the Full-Court Finance podcast from Zacks Investment Research.
It's time to check out 3 tech stocks that came through our screen today that growth investors might want to consider as we move beyond Q2 earnings season...
Major tech firms and U.S. tech industry groups said on Monday that France's new digital services tax undermines the global tax regime and multilateral efforts to reform it. Alphabet Inc's Google, Facebook Inc and Amazon.com Inc and major trade associations testified Monday against the tax at a hearing before the U.S. Trade Representative's office and other government officials. The French Senate in July approved a 3% levy that will apply to revenue from digital services earned in France by companies with more than 25 million euros in French revenue and 750 million euros ($838 million) worldwide.
Alibaba’s (BABA) stock climbed nearly 11% over the past three trading days, as investors are becoming more optimistic on the heels of a strong earnings report and positive geopolitical news. Specifically, first-quarter revenue skyrocketed 42% since last year, crushing estimates by $880 million, while EPS came in at $1.83, beating Wall Street by $0.34. The stock was also fueled higher by Trump administration's decision to pause tariffs on Chinese goods. Though the trade war is far from over, the decision should provide some breathing room for investors and signals that the tit-for-tat will be suspended for the time-being.Given the encouraging developments, Stifel analyst Scott Devitt maintained a Buy rating on BABA stock, while slightly raising his price target by $5, to $225.As always, we like to give credit where credit is due. According to TipRanks, which measures analysts’ and bloggers’ success rate based on how their calls perform, Devitt has delivered to his followers a yearly average return of 20.4% with a 67% success rate. Devitt has earned an average return of 26.3% when recommending BABA and is ranked 44 out of 5,231 analysts.The analyst says the increase in revenue and margin, which “exceeded expectations despite macroeconomic concerns,” helped push his estimates higher. Revenue, which grew 42% and exceeded Devitt’s estimate of 38%, was propelled by an increase of 20 million active customers, up 17% since last year. Further, high-margin customer management revenue, which includes services provided to merchants, increased 27% since last year, “due to strong volume in paid clicks from strong active growth and more relevant listings.” On the non-retail side, the all-important cloud revenue saw an increase of 66% since last year, as the company managed to see more spending per customer. On profit, Devitt says, “tightening expense management” drove better than expected results, with “EBITDA margin of 34% exceeded consensus expectations of 31% and [Devitt’s] forecast of 33%.” Smaller losses from cloud and digital media helped the company see a rise in total margin since last year. Looking ahead, Devitt says he is “encouraged by the margin improvement as progress is being made in strategic investments,” and raising his estimates to include a 37.5% year-over-year rise in full-year revenue between this year and last. While macroeconomic challenges continue to play a role, Devitt’s concern is lessened by Alibaba’s ability to navigate it the rough waters thus far. All in all, even as much of the world is concerned with the US-China and a slowing global economy, TipRanks analysis of 15 analyst ratings shows that analysts believe in Alibaba, notwithstanding the macro concerns. TipRanks shows a consensus Strong Buy, with all 16 analysts recommending Buy. The average price target stands at $223.93, which represents ~25% upside from current levels. (See BABA's price targets and analyst ratings on TipRanks)
Good news about tariffs on iPhone, iPads, Macs, etc not kicking in until Dec 15 more than offset things like the FAA restricting some risky devices on flights, an antitrust probe in Russia and other.
Target Corp’s new food label Good & Gather will be a traffic driver that helps the retailer take a bigger chunk of the food business, experts say. “Target’s announcement that it was upping its food game with its new “Good & Gather” initiative is credit-positive as it will drive additional traffic, which in turn will drive increased sales of higher-margin private and exclusive non-food items,” said Charlie O’Shea, vice president at Moody’s. Target’s (TGT) Good & Gather will be available Sept. 15 and be comprised of more than 2,000 products by the end of 2020.
The company made $149 million when it sold the site where Amazon plans to build a 600-foot-tall tower. Equity Commonwealth owns another Bellevue building soon to be occupied by Amazon.
Homes sold in July left the market in a median 11 days in Arlington and 14 in Alexandria, compared to 27-day median for Greater Washington.
(Bloomberg) -- Jamie Dimon and other leaders at some of the world’s largest companies said they plan to abandon the long-held view that shareholders’ interests should come first amid growing public discontent over income inequality and the burgeoning cost of health care and higher education.The purpose of a corporation is to serve all of its constituents, including employees, customers, investors and society at large, the Business Roundtable said Monday in a statement. Dimon, the chief executive officer of JPMorgan Chase & Co., heads the group.“While each of our individual companies serves its own corporate purpose, we share a fundamental commitment to all of our stakeholders,” the group said in the statement. “Americans deserve an economy that allows each person to succeed through hard work and creativity and to lead a life of meaning and dignity.”The 181 signatories include BlackRock Inc.’s Laurence Fink, Bank of New York Mellon Corp.’s Charlie Scharf and the CEOs of several Wall Street banks, including Goldman Sachs Group Inc., Morgan Stanley and Moelis & Co. It also includes Amazon.com Inc. founder Jeff Bezos, the world’s richest person.Fundamental PremiseThe shift in corporate priorities comes as some politicians and critics question whether the fundamental premise of American capitalism should be revamped. Some executives also have complained that an outsize focus on share prices and quarterly results hamper their ability to build businesses for the long term.The group’s statement offers scant detail on how the commitments will be converted into action and presents no road map for getting there. Many companies vow to do good things but often resist releasing data to let others independently verify such promises. And it will fall on CEOs, who on average last no longer than six years, to convince fickle investors, including powerful activists, that shifting resources will pay off in the long term.The idea that businesses exist primarily to benefit shareholders -- also known as shareholder primacy -- took hold in corporate America in the 1980s. In 1997, the Business Roundtable embraced the idea in a document outlining governance principles.The concept has been criticized for leading to a fixation on short-term results and helping fuel the rapid increase in executive pay. Last year, public companies in the U.S. began disclosing the difference between their CEOs’ compensation and that of their median workers. At S&P 500 firms, the average ratio is about 280-to-1, according to data compiled by Bloomberg.Both Dimon and Fink have written open letters saying that chief executives should take on a larger responsibility for tackling societal matters and, at times, take stances on politically controversial topics.‘Sensitive’ Issues“Stakeholders are pushing companies to wade into sensitive social and political issues -- especially as they see governments failing to do so effectively,” Fink wrote this year. The message echoed a position he took in 2018 urging CEOs to make a more positive contribution to society. BlackRock oversees almost $7 trillion in assets.In April, Dimon challenged fellow chief executives to get more involved in social causes and public-policy matters.“In the past, boards and advisers to boards advised company CEOs to keep their head down and stay out of the line of fire,” Dimon said in a letter to shareholders. “Now the opposite may be true. If companies and CEOs do not get involved in public-policy issues, making progress on all these problems may be more difficult.”(Updates with obstacles in sixth paragraph.)\--With assistance from Michelle F. Davis and Jenn Zhao.To contact the reporters on this story: Anders Melin in New York at email@example.com;Jeff Green in Southfield, Michigan at firstname.lastname@example.orgTo contact the editors responsible for this story: Peter Eichenbaum at email@example.com, Steven CrabillFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Shares of Chinese tech giant JD.com are up 12% in the last week. JD shares were up close to 2% in early market trading today as well.
Atlanta-based financial services company Greenlight Financial Technology Inc. has raised $39 million in equity funding. The company, founded in 2014, markets a smart debit card aimed at children that allows parents to use an app to can control their children’s spending.
(Bloomberg) -- Terms of Trade is a daily newsletter that untangles a world embroiled in trade wars. Sign up here. The relationship between President Donald Trump and the largest U.S. technology companies has often been frosty but a common opponent -- France’s plan to tax U.S. tech giants -- will bring the two sides together, at least temporarily.Alphabet Inc.’s Google, Facebook Inc. and Amazon.com Inc. all testified in Washington on Monday in support of the Trump administration’s efforts to potentially punish France for enacting a 3% tax on global tech companies with at least 750 million euros ($832 million) in global revenue and digital sales of 25 million euros in France.France’s digital tax “is a sharp departure from long-established tax rules and uniquely targets a subset of businesses,” Nicholas Bramble, trade policy counsel at Google, said at the U.S. Trade Representative’s Office hearing in Washington on Monday. “French government officials have emphasized repeatedly that the” tax is intended to target foreign technology companies.How ‘Digital Tax’ Plans in Europe Hit U.S. Tech: QuickTakeThe U.S. is probing France’s new tax, which French President Emmanuel Macron signed into law last month, using a tool that could be a precursor to new tariffs or other trade restrictions. U.S. Trade Representative Robert Lighthizer could take action as soon as Aug. 26 when a comment period on the issue closes.‘Radical Left’The effort to crack down on France has created common ground for Trump -- who has called Google and Facebook “on the side of the Radical Left Democrats” and accused Amazon of avoiding taxes -- and technology companies that are both worried foreign governments are looking to use American corporations as a way to collect additional tax revenue.While Amazon has increased its profit margins, even so the French digital tax could eat into profitability, said Peter Hiltz, the online retailer’s director of international tax and policy planning.If another country -- such as Spain -- were to enact a tax similar to France, that tax could compound, he said. If a French buyer were to buy a product from a Spanish seller, that transaction would be taxed by both countries, he said.The U.S. is looking to use France as an example to deter other countries from targeting American technology firms for tax dollars. The U.K., New Zealand, Spain and Italy are among countries considering their own digital taxes, a move that U.S. officials say could lead to companies being taxed multiple times on the same profits.Trump has threatened to tax French wine or other goods in response to the digital tax. Trump said he was considering a 100% tariff on French wine at a fund-raiser last week, though it’s unclear if he was being serious.He also tweeted last month “we will announce a substantial reciprocal action on Macron’s foolishness shortly!” The so-called 301 investigation, which looks into unfair trade practices, is the same tool Trump used to slap tariffs on China over alleged intellectual-property theft.The U.S. says countries considering their own version of a digital tax should focus on ongoing global talks with 130 countries on how to tax tech companies. Any future pact would likely create a whole new set of rules governing which countries have the right to tax the companies, which corporate profits are taxable, and how to resolve the inevitable disputes that would arise. A deal could be reached as soon as next year.Opposition to France’s tax is a rare area of bipartisan agreement in Congress. In a letter to Treasury Secretary Steven Mnuchin in June, Senators Chuck Grassley, an Iowa Republican, and Ron Wyden, an Oregon Democrat, urged the U.S. to look at “all available tools under U.S. law to address such targeted and discriminatory taxation.”The lawmakers included a suggestion to use a section of the tax code that would double the rate of U.S. taxes on French citizens and companies in the U.S.(Updates with Amazon representatives comments starting in the sixth paragrah.)To contact the reporter on this story: Laura Davison in Washington at firstname.lastname@example.orgTo contact the editors responsible for this story: Joe Sobczyk at email@example.com, Sarah McGregor, Robert JamesonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.