The 2019 IPO calendar was packed with highly anticipated unicorns, but many of them didn't live up to the hype investors expected. Yahoo Finance's Dan Howley joins On the Move to break down what IPO’s really tanked this year.
If the latest Wall Street mega-deal doesn't make you want to switch online brokerage accounts for a lucrative sign-up bonus, maybe it should. Wall Street giant Morgan Stanley announced an agreement Thursday to pay $13 billion to acquire the online brokerage E-Trade which has 5.2 million customer accounts. “The combination will significantly increase the scale and breadth of Morgan Stanley's Wealth Management franchise, and positions Morgan Stanley to be an industry leader in Wealth Management across all channels and wealth segments,” Morgan Stanley said in a statement.
Michael Bloomberg, the billionaire former New York City mayor running for the Democratic presidential nod, says he will release his tax returns — but that's no easy feat. “I can't go to TurboTax,” Bloomberg, the founder and CEO of the global media and financial data company Bloomberg L.P., told Democratic debate moderators on Wednesday night. Bloomberg, who is worth $65.2 billion according to Forbes, said he makes money from all over the globe, so his tax payments are complex.
The Dow Jones Industrial Average dropped again on Friday—and yields on long-term Treasury debt fell to record lows—but investors can't simply blame the coronavirus outbreak in China this time. A key U.S. economic indicator registered its weakest reading since 2013. The Markit Services PMI, or purchasing manager index, came in under 50—the level that divides growth from contraction.
Rattled by rising non-China coronavirus cases — notably in South Korea — investors appear unwilling to load up on stocks heading into the weekend. Welcome to the world of helicopter investing and our call of the day from Barclays Wealth Management's chief investment officer William Hobbs, who finds overly anxious investors living in the “long shadow” caused by the financial crisis. “The most common narrative in markets is what to do when the next recession comes along — own Treasurys, own gold, own quality to such an extent that my concern would almost be that if the next recession is of a more normal variety, such as a stock retracement of 10% to 15% and moderate declines in unemployment, you'll find that you have overprotected yourself and the underperformance could actually be in the areas which you thought were giving you safety,” Hobbs told MarketWatch.
China's Leaders on the Hot Seat Market Intelligence Report by TIS Group Feb. 21: Over the past several days, we have detailed some, though not all, of the actions being taken by China's government to control the coronavirus outbreak. I was told today that roughly 50,000 people die in China each year from the flu. If the coronavirus is just another flu-like virus and the current death toll really is about 2,000, not 50,000, why then has Beijing locked down 750 million people?
There is a growing undercurrent in markets that say a battle this fall between self-described socialist Senator Bernie Sanders and President Donald Trump could be bad news for stock prices. As evidenced by the market's strong run-up in 2020, investors have yet to exit stocks on fears of a big government Bernie winning the Oval Office. But his continued strong showing in debates and national polls may lead to some profit-taking sooner rather than later.
U.S. equity markets turned sharply lower Thursday midmorning as investors digested fresh comments from the Fed and rising fears over the coronavirus. The selling pushed the S&P 500 and the Nasdaq Composite off record highs and clipped over 300 points off the Dow Jones Industrial Average before giving back some of those losses. Fed Vice Chairman Richard Clarida told CNBC the market was too aggressive in pricing in a Fed rate cut later this year which investors including Keith Fitzgerald of Money Map Press cited as the catalyst for the sudden reversal in the equity markets.
It's the end of an era for Victoria's Secret, the lingerie giant that for 28 years has been under the wing of mall retail group L Brands. On Thursday, private equity firm Sycamore Partners announced that it would acquire a 55% stake in the company for $525 million. The deal, which takes Victoria's Secret off the public market at a valuation of $1.1 billion, is notable not only for its relatively modest size (L Brands' market capitalization has fallen from $29 billion at its peak in 2015 to around $6.5 billion today) but also for the brand's new owner.
Investors searching for a guru that has been uber-bullish on the U.S. economy for decades need not look beyond Warren Buffett (Trades, Portfolio). In many televised interviews and his annual letters to shareholders of Berkshire Hathaway, Inc. (NYSE:BRK.A) (NYSE:BRK.B), the guru has emphasized why the largest economy in the world will continue to grow infinitely. GuruFocus has detected 5 Warning Signs with BRK.A. Click here to check it out.
As Microsoft stock pulls back, the IBD Live Team discusses whether it's best to take profits here or double down on this IBD Long Term Leader stock.
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Gilead Sciences, Inc. (NASDAQ:GILD) as an investment opportunity by projecting its future cash flows and then discounting them to today's value. This is done using the Discounted Cash Flow (DCF) model. Remember though, that there are many ways to estimate a company's value, and a DCF is just one method.
Tesla, Inc. (NASDAQ:TSLA) shareholders (or potential shareholders) will be happy to see that the Founder, Elon Musk, recently bought a whopping US$10.0m worth of stock, at a price of US$767. In fact, the recent purchase by Founder Elon Musk was not their only acquisition of Tesla shares this year. In the last twelve months there was more buying than selling by Tesla insiders.
The company has been making reliable dividend payments since 2014, and has raised the payment modestly in the past two years. At $1.44 annualized, the yield is a generous 8.54%. Barclays analyst Christine Cho sees PAGP growing going forward, resting as it does on a sound foundation.
Southeastern Asset Management recently disclosed its portfolio updates for the third quarter of 2019. Founded by Mason Hawkins (Trades, Portfolio) in 1975, the Memphis, Tennessee-based firm manages the Longleaf Partners Funds. GuruFocus has detected 4 Warning Sign with WMB.
If you're looking for a platform for investing, you may consider two of the largest brokerage firms, Vanguard and Fidelity. Vanguard, which has long stressed the value of low-cost investing, tends to focus on long-term investing, such as opening a retirement savings account or a brokerage account that can help investors build funds for a rainy day. On the other hand, Fidelity pursues a broader focus, one that includes retail investors as well as sophisticated traders.
The subtraction of capital losses from capital gains is known as the net capital gain. That means one can offset the other, whether it's a gain offsetting a loss to make sure you still have a profit or a loss offsetting a gain to help pay less of a capital gains tax that year. To put it into numbers, let's say you have $5,000 of shares in one company and $2,000 of shares in another business.
Economist David Rosenberg has been warning for years that the U.S. economy isn't as healthy as it might seem. In 2009, he moved to Toronto-based wealth manager Gluskin Sheff & Associates, serving as chief economist and maintaining his bearish outlook for much of one of the longest bull market in history. Barron's caught up with Rosenberg, who recently set off on his own as chief economist and strategist at Rosenberg Research & Associates.
The U.S. 30-year Treasury bond yield dropped to an all-time low on Friday, sparking worries among investors who wonder what it's saying about the economy's future prospects. Analysts say the slump in the long bond's yield this week reflects a confluence of factors including easy Federal Reserve monetary policy, concerns about the COVID-19 epidemic's impact on economic growth, and an absence of inflationary pressures. Historically, a slump in long-term yields can indicate fears that growth will start to disappoint and inflation will fall which may make the real return on bonds more attractive.
The IBD Live Team discussed stocks to buy and watch during Friday's episode. Among stocks on the move today, the Team analyzed a pullback in Microsoft stock. The IBD Long Term Leader pulled back in heavy volume but held above the 10-week moving average.
Berkshire Hathaway Inc. (BRK)(BRK) will release Warren Buffett's eagerly awaited annual shareholder letter, the company's annual report and its latest earnings around 8 a.m. Eastern on its website, where investors can also peruse the chairman and chief executive's past missives. Mark Hulbert: Warren Buffett had a tough year—how might he explain it? Investors of all stripes have dived into the lengthy letters over the years to pick up Buffett's insights on a range of topics beyond Berkshire's performance.
As the Canadian cannabis market continues to fail to meet sales projections, the licensed producers (LPs) with the best balance sheets are poised to lead a market rebound. With both Aurora Cannabis and Tilray implementing restructurings, the industry could see a void in certain markets providing opportunities for companies with the ability to fund growth initiatives. Based on the Aurora restructuring, the company is exiting several international markets along with shifting a focus to a value brand.
Every couple of years, a new stock mania captures the imagination of the investing public. It may be (SPCE) (ticker: SPCE), which could very well be the frothiest stock around right now. Late last year, Virgin Galactic went public through a merger with Social Capital Hedosophia Holdings, a special-purpose acquisition company.
Federal prosecutors investigating Boeing Co are examining whether the U.S. planemaker knowingly misled the Federal Aviation Administration while it was seeking approval for its 737 MAX jet, the New York Times reported https://www.nytimes.com/2020/02/21/business/boeing-737-max-investigation.html, citing two people familiar with the matter. Boeing said it was cooperating with the U.S Department of Justice investigation. The prosecutors in recent months questioned several Boeing employees focusing on whether Mark Forkner, a top pilot at the company, intentionally lied to the regulator about the nature of new flight control software on the jet, according to the report.
Former New York mayor Mike Bloomberg vowed Friday to release female former employees from nondisclosure agreements, days after Sen. Elizabeth Warren of Massachusetts hammered him on hush agreements at the Democratic presidential debate in Las Vegas. The billionaire said in a statement that his namesake company had identified three NDAs signed with women over more than three decades “to address complaints about comments they said I had made.” Those women would be released from the confidentiality agreements if they contacted the company, he said. “I've done a lot of reflecting on this issue over the past few days and I've decided that for as long as I'm running the company, we won't offer confidentiality agreements to resolve claims of sexual harassment or misconduct going forward,” Bloomberg said.