Linx Dating founder Amy Andersen has helped hundreds of employees from Apple, Facebook, Google, Amazon, Netflix and other tech companies find their partners.
Linx Dating founder Amy Andersen has helped hundreds of employees from Apple, Facebook, Google, Amazon, Netflix and other tech companies find their partners.
(Bloomberg) -- Investors’ love affair with technology stocks has cooled off noticeably this year.And while the upcoming deluge of earnings from the group may offer an opportunity to rekindle the romance, tech faces an uphill battle in commanding the type of devotion it once enjoyed in the stock market.After trouncing all other sectors in 2020, tech stocks in the S&P 500 Index have drifted toward the back of the pack this year, out-performed by sectors like financials and industrials perceived to have better growth prospects. Bulls are betting that strong results and forecasts from companies like Apple Inc. will help catapult tech back to the forefront, yet lofty valuations pose a challenge.“If these companies want to return to share-price growth, they need to have a good story about where growth is going to come from and when,” said Kim Forrest, chief investment officer at Bokeh Capital Partners.A rally in the past two weeks has returned the tech-heavy Nasdaq 100 Index to a record this month after rising interest rates and concerns the stocks were too expensive sent the benchmark down 11% in early March. While tech is once again leading the market for the month of April, an advance of 9.9% for the group in the S&P 500 this year still trails seven of the 11 other main industries.As is usually the case, the tech group is expected to post strong growth in sales and earnings. What’s different this time is that growth in much of the rest of the market will be even better this year, flattered by comparisons to the same period in 2020 when broad swathes of the economy were shut down.Technology companies are expected to lead the S&P 500 with 16% revenue growth in the first quarter, according to data compiled by Bloomberg Intelligence.Projections for the rest of the year, however, aren’t quite as bright. Growth is expected to be just 5.6% in the fourth quarter. In terms of profit expansion, tech looks even less appealing with estimates for 2021 at 22% — an impressive performance, to be sure, but one that would lag behind financials, industrials, consumer discretionary and materials.For the bears, even beating those growth projections isn’t enough to support valuations that are the highest in years. At 41 times trailing profits, the Nasdaq 100 is trading at the most-expensive valuation since 2004.Investors who are fretting about valuations are underestimating revenue growth potential for many technology companies like Microsoft Corp. and cybersecurity company Zscaler Inc. that are poised to capture even more spending from companies investing in digital services, according to Daniel Ives, an analyst with Wedbush Securities Inc.“What’s been lost in the noise is the massive underlying fundamental growth stories that are happening as part of the digital transformation,” said Ives. “Across the board, it’s going to be a domination quarter for the tech space.”Trailing the S&PAmazon.com Inc. is the only company among the top five projected to see its revenue growth shrink this year, according to data compiled by Bloomberg. That’s hardly a surprise considering how much its core businesses like e-commerce and web services surged in 2020 as a result of U.S. lockdowns.Alphabet Inc., Facebook Inc., Apple and Microsoft are all expected to see revenue growth accelerate in their current fiscal years.Amazon and Apple, the two best performing megacap stocks last year, have trailed the S&P 500 in 2021. Amazon has gained 4.4%, while Apple has advanced just 1.1%.Some of the most-expensive software companies, in particular, have taken a beating so far this year. Coupa Software Inc., a maker of expense management software that trades at nearly 30 times this year’s projected sales, has fallen more than 20%.For some investors, elevated valuations are not ignored so easily.“Tech stocks are extremely expensive historically,” said Michael O’Rourke, chief market strategist at Jonestrading. “Even if the optimistic earnings forecasts are met, the market would still be very expensive.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- The Nordic region is losing its edge in green Bitcoin mining, just as the industry faces growing scrutiny for its carbon emissions and everyone from Elon Musk to mom-and-pop investors pile in.Iceland, Sweden and Norway have been popular mining locations because of an abundance of geothermal, hydro and wind power. China, where most coins are mined, relies mainly on coal. That Nordic power surplus is set to dwindle as aluminum smelters, oil rigs and steelmakers thirst for renewable energy.“There could be very little excess energy in 2021 and 2022,” said Hordur Arnarson, chief executive officer at Landsvirkjun, Iceland’s national utility. “Because of the climate issues we see a lot of very interesting segments that are growing rapidly, and several of them need electricity.”The coins are mined by computers that process complex algorithms in halls as big as airport hangars. That makes electricity one of the key inputs, consuming as much power as thousands of households. And it keeps growing. Bitcoin mining now uses 66 times more electricity than in 2015, and carbon emissions from the process may face increasing regulation, Citigroup Inc. said in a recent report.Emissions from mining coins in China are expected to peak in 2024, releasing as much carbon dioxide into the atmosphere as all of Italy, according to a study published in Nature Communications.Iceland was the pioneer in green mining. Until four years ago, it hosted as much as 8% of global Bitcoin production, the nation’s Blockchain foundation said, a figure that’s now down to less than 2%. The University of Cambridge put the contribution even lower at 0.35% in April 2020, the most recent data available. By comparison, China accounted for 65% then.Growing concern about China’s cryptocurrency clout is fueling demand for mining locations elsewhere. Kevin O’Leary, the chairman of O’Leary Funds Management LP, told CNBC earlier this month that two kinds of Bitcoin will emerge, “blood coin” from China and “clean coin” mined using sustainable hydroelectricity, where the provenance can be proven, and that he would opt for the green one.Iceland’s biggest electricity consumers are the giant smelters built decades ago to benefit from the cheap power. With aluminum prices surging, plants owned by Rio Tinto Plc and others will consume more electricity after a slowdown in 2020, according to Landsvirkjun.Bitcoin RushIt’s unclear exactly how many cryptocurrency miners operate in the region. Hive Blockchain Technologies Ltd. from Canada has expanded mining at home as well as in Iceland and Sweden this year. Hong Kong-listed Genesis Mining Ltd. has facilities in Sweden and Iceland. Bitfury Holding BV has also been active on the volcanic island. None of them responded to questions about the region’s future role.Gisli Kr. Katrinarson, chief commercial officer at AtNorth, Iceland’s biggest data center operator and home to some miners, says he doesn’t see an energy shortage.As Bitcoin sailed through $60,000 for the first time this month, Daniel Fannar Jonsson, the CEO at new mining company GreenBlocks, is bullish. He cites Iceland’s prominent history in the industry and says carbon-free power is still a big plus.Elsewhere in the Nordic region, new green and energy-intensive industries will produce everything from carbon-free steel to hydrogen and ammonia. Their selling point is that they boost the economy by creating thousands of jobs while helping to reduce emissions. Bitcoin mining, on the other hand, offers little back to society.Bitcoin mining is problematic as “it leads to an almost infinitely increasing energy demand,” said Espen Barth Eide, the Norwegian Labor party’s top energy lawmaker. “It will displace other far more productive industries.”Norway’s electrification program will boost power demand 30% by 2040, according to grid manager Statnett SF. The country, known as Europe’s green battery because of its vast hydro resources, is poised to send more electricity to the continent through new cables, which will curb availability for new large users.The Nordic power surplus, excluding Iceland, is expected to shrink by 90% from 2023 to the end of the decade, according to industry consultant Volue Insights AS. New demand will mainly be for hydrogen production and data centers.Rocky PathWhile Iceland built a separate hydropower plant to allow for a new smelter in 2008, that courtesy won’t extend to Bitcoin miners, according to Arnarson, the utility chief.“Nobody would build a power plant for Bitcoin,” he said. “There’s a lot of uncertainty about the future development.”Cryptocurrencies emerged as an alternative investment in the last decade, but have famously whipsawed investors. A spectacular crash three years ago left it ice cold. It’s been spurned by billionaire investors including Warren Buffett, and loved by business mavericks such as Musk.It’s on a tear again, having doubled in value this year.Goldman Sachs Group Inc. and Morgan Stanley plan to offer their clients access to crypto investments. Tesla Inc. earlier this year disclosed a $1.5 billion investment in Bitcoin and now accepts it as payment for its electric cars.Back on Iceland, Johann Snorri Sigurbergsson, business development manager at the HS Orka power plant, says the nation is closer to an energy shortage than a glut. His company is busy adding capacity on the Reykanes peninsula in the southwest.While he’s open to eventually taking on more customers, right now the price would need to be “pretty high.”“We would need to buy some energy from the market to be able to serve them,” he said. “But that kind of business case is not the price the miners are looking for.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
SYDNEY (Reuters) -Australia's federal court found Alphabet Inc's Google misled some consumers about personal location data collected through Android mobile devices, the country's competition regulator said on Friday. The Australian Competition and Consumer Commission (ACCC) said it is seeking declarations and penalties from Google, though it did not specify an amount.
The car company said it and LG Chem are building a production facility in Tennessee. Think of a Tesla Giga factory, GM style.
On Friday, Keith Gill exercised his 500 GameStop call options to get 50,000 more shares at a strike price of $12, which is less than a tenth of the current stock price. What Happened: Keith Gill, the Reddit WallStreetBets trader, also bought 50,000 more GameStop Corp (NYSE: GME) shares, bringing his total investment to 200,000 shares worth more than $30 million. Gill — who goes by DeepF------Value on Reddit and Roaring Kitty on YouTube — is the man who helped inspire the GameStop short squeeze in January. On Friday, he shared a screenshot of his portfolio marked "final update" on the WallStreetBets subreddit. The screenshot showed nearly $34.5 million in his assets with $30.9 million of GameStop shares and $3.5 million in cash. The Wall Street Journal also reported Gill held more than $30 million in assets. Gill uploaded a video on YouTube entitled "Cheers everyone!" According to Gill's latest update on Reddit's r/WallStreetBets forum, his average price paid for GameStop shares is $55.17. Keith Gill gained fame amid Reddit's WallStreetBets craze. He has been posting about GameStop for a year and also making videos on YouTube. Gill found himself in the middle of the GameStop story after posting about large gains made from buying the stock before its 1,000% increase. Gill was registered as an agent with MML Investors Services LLC, a broker-dealer arm for Mass Mutual. Last month, the company filed a termination request with FINRA to remove Gill's broker license. In February, a class-action lawsuit was filed against Gill after the GameStop short squeeze. He appeared at a Congressional hearing in February regarding Reddit's influence on the market. The CEOs of Robinhood, Citadel and Melvin Capital also spoke at the hearing. Price action: GameStop closed Friday at $154.69. Image: Screenshot of Keith Gill's video See more from BenzingaClick here for options trades from BenzingaKorean EV Battery Suppliers To Ford, VW Reportedly Reach Agreement To Avoid Import DisruptionWhy Alibaba Just Got Hit With A Record .87 Billion Fine In China© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
The IRS chief tells Congress the child tax credit payments will arrive on time after all.
'Sell in May and go away,' advises the trading maxim. But with stocks at record highs, one trader at the New York Stock Exchange is recommending a related but different strategy.
Dow hits new high, J&J asks other vaccine makers to investigate blood clots, and other news to start your day.
All manner of weird things keep happening in financial markets, from bond yields that go down when they should go up, to near-daily swings between big-picture convictions. It's hard to manage money when everything feels so fragile.
Dogecoin was worth as much as $55 billion on Friday, nearly tripling on the day. At current levels, it’s worth about as much as Ford and Marriott.
Ant Group is exploring options for founder Jack Ma to divest his stake in the financial technology giant and give up control, as meetings with Chinese regulators signaled to the company that the move could help draw a line under Beijing's scrutiny of its business, according to a source familiar with regulators' thinking and two people with close ties to the company. Reuters is for the first time reporting details of the latest round of meetings and the discussions about the future of Ma's control of Ant, exercised through a complicated structure of investment vehicles. The Wall Street Journal previously reported that Ma had offered in a November meeting with regulators to hand over parts of Ant to the Chinese government.
The direction of the market into the close on Friday will be determined by trader reaction to $63.37.
As dogecoin's gains top 9,392%, CoinDesk’s Adam B. Levine finds some surprising parallels between the top meme token and bitcoin.
You could do a cash-out refi to take care of your college debt, but beware of risks.
Dogecoin, dogecoin, dogecoin! That must be what bitcoin holders are saying lately. Owners of the world's No. 1 crypto, like Jan from the 1970s-era sitcom, The Brady Bunch, must feel as if they have been living in the shadow of a more intriguing sister crypto.
See some strategies to reduce your payments by cutting the interest on your debt.
(Bloomberg) -- GameStop Corp. Chief Executive Officer George Sherman, who is expected to leave the struggling video-game retailer, disposed of almost $12 million in shares, with the proceeds earmarked by the company to pay compensation-related taxes.The 76,097 shares were withheld by GameStop upon vesting to cover taxes related to the 2019 inducement award, according to a regulatory filing Friday. The shares were valued at $156.44 each, or about $11.9 million.Representatives of GameStop didn’t immediately respond to a request for comment.Activist investor Ryan Cohen, the company’s incoming chairman, is spearheading a turnaround effort at GameStop, which is seeking a new CEO to replace Sherman, people with knowledge of the matter have said. Sherman earlier this week forfeited about $98 million in compensation after failing to meet performance targets.Shares of GameStop have become a favorite of Reddit-reading day traders this year, sending the stock soaring, despite shrinking sales and losses in the latest fiscal year.(Corrects details of transaction starting in first paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Option traders continue to snap up cheap out-of-the-money call option at the $80,000 strike.
Under the agreement, the Boy Scouts and its local councils will release Hartford from any obligation under policies it issued, Hartford said. "Our agreement with Hartford is an encouraging step towards achieving a global resolution that will promote the Boy Scouts' efforts to equitably compensate survivors and continue the mission of scouting," the Boy Scouts said in an emailed statement.
Warren Buffett's famous economic measurement shows Orman might be onto something.