Executives, experts, and influencers join the Yahoo Finance team to discuss what's moving the world of finance.
Executives, experts, and influencers join the Yahoo Finance team to discuss what's moving the world of finance.
Shares of consumer video service Netflix are down sharply after the bell today, following the company's Q3 earnings report. Why is Netflix suddenly worth about 5% less than before? A mixed earnings report, a disappointing new paying customer number, and slightly slack guidance appear to be the answer.
Netflix reported third-quarter earnings after market close on Tuesday.
Chipmaker Texas Instruments late Tuesday handily beat Wall Street's sales and earnings targets for the third quarter. The Texas Instruments earnings report drove TXN stock higher.
Wealthy Americans living in New York, New Jersey and California could face one of the steepest tax rates in decades if Democratic presidential nominee Joe Biden wins the November election.
(Bloomberg) -- Pioneer Natural Resources Co. agreed to buy Permian Basin peer Parsley Energy Inc. for $4.5 billion in stock, the latest in a flurry of mergers that’s quickly reshaping the beleaguered U.S. shale oil industry.Pioneer said Tuesday in a statement the transaction represents a 7.9% deal premium for Parsley holders based on closing prices from a day earlier, just before talks between the companies were first reported. The deal will lead to $325 million of cost cuts and add to earnings in its first year, the Irving, Texas-based company said.The sector is in full-on merger mode with more than $30 billion of transactions announced or completed in the past few weeks. ConocoPhillips announced Monday its $9.7 billion takeover of Concho Resources Inc., while earlier this month Chevron Corp. completed its takeover of Noble Energy Inc.A plunge in oil prices to around $40 a barrel due to the Covid-19 pandemic is putting pressure on energy companies all around the world, particularly in the U.S., where many debt-laden shale operators are losing money. Investors have increasingly lost patience with the sector and some have called for consolidation to reduce costs and borrowing costs.“The inevitable consolidation in the Permian marches on,” Wil VanLoh Jr., a Parsley director and chief executive officer of Quantum Energy Partners, the largest investor in the company, said in the statement.A Pioneer-Parsley combination creates one of the largest players in the prolific Permian Basin of West Texas and New Mexico, which produces more oil output than every OPEC member except Saudi Arabia. The newly enlarged Pioneer’s production in the shale formation would grow by more than 40% to the equivalent of roughly 558,000 barrels of oil a day, according to regulatory filings and data from energy analysis firm Enverus compiled by Bloomberg, rivaling only Occidental Petroleum Corp. and Chevron Corp.Shares of Parsley fell 2.1% to $10.38 at 4:29 p.m. in New York after the close of regular trading, while Pioneer dropped 0.6% to $83.Initial reports of the deal talks between Pioneer and Parsley raised eyebrows among some onlookers because Pioneer Chief Executive Officer Scott Sheffield is the father of Parsley chairman Bryan Sheffield. More of the family’s wealth is tied up with Parsley than Pioneer, according to data compiled by Bloomberg.The deal already appears to have strong support from two of Parsley’s top shareholders. Bryan Sheffield’s stake in Parsley is amplified by his holdings of Class B shares, which give him overall voting power of 7.8%. Quantum Energy Partners holds a further 17% of the stock and said it supports the deal.(Updates with investor comment in fifth paragraph)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.
Get the most from your retirement savings in these affordable places outside the U.S.
President Donald Trump says the American Dream is on the line this election, while Democratic challenger Joe Biden says his campaign is locked in a “battle for the soul of this nation.” How might the candidates affect the things you can see and hold, like a paystub, an income tax return or a portfolio statement? The focus on finances puts tax policy front and center.
Data was reported last week by the federal government on diesel inventories that was historic in the magnitude of the change from the prior week. It could mark a shift in the weak diesel market that has benefited carriers and drivers for several months. Ultimately, the price of diesel will be set primarily by the price of crude. But the spread between crude and diesel is also an important factor in the final pump price. That spread has been trending near historic lows for months.The primary reason has been refiners making too much non-jet fuel distillate relative to demand. Diesel is a distillate; so is jet fuel. The result has been that distillate/diesel inventories in the U.S. and the world have been at historically high levels. (Other products besides diesel in the category would include heating oil.)That appears to have shifted. The most transparent and immediate numbers are the weekly Energy Information Administration statistics, released each Wednesday for the week that ended the prior Friday. And the numbers that came out last week (Thursday, actually, due to the Columbus Day holiday) were eye-popping when it comes to diesel.The most easily understood inventory number is "days cover." That number is reached by taking daily consumption, dividing it into inventories and the result is the number of days of consumption that could be covered by existing stocks.For distillate inventories that don't include jet fuel, that number tends to run in the range of 28-35 days. But earlier this year, as diesel inventories began to soar due to changes being made by refiners seeking survival — more on that later — the days cover figure broke above 50 days. In the history of the EIA series going back to 1991, the days cover figure broke above 50 only a handful of times. It was never sustained above that level.This year, the days cover figure broke through 50 days in late May and stayed above it for nine out of the next 10 weeks. The growth in inventories was unprecedented. It dropped below 50 days in early August but stayed in the 47 to 49 days' range all through September and into October. That was unprecedented.But last week, that number plummeted to 42 days, a drop of 6.1 days. It was easily the biggest one-week decline in the history of the series. It meant that in one week, six days of distillate/diesel inventory cover disappeared. That had never happened before.Why? There were two major contributors to that decline.The first is that demand for distillate/diesel soared. The fact that it had been lagging was somewhat of a mystery, given the strong trucking market. The "product supplied" figure for distillate/diesel rose to 4.175 million barrels/day in the week ending Oct. 9, the first time it had been above 4 million b/d since the second week of March. A year ago at this time, it was 4.36 million b/d.Second, refiners made a lot less of it. Since the collapse in air travel, refiners have been doing everything they can to not make too much jet fuel. They've largely succeeded; days cover for jet fuel had gotten up to more than 70 days but now is less than 40, which is even lower than distillate/diesel. But to get to that level, refiners needed to shift their distillate output away from jet and toward other distillates. Refiners have been trying through various means to not only reduce jet output but also to cut back distillate output as well. They succeeded in the first task. The second is harder. Put a barrel of crude through a refinery and you will get some level of distillate molecules. Cutting back on it can be a challenge.There was another fuel that refiners didn't want to make during the pandemic: gasoline. As a result, even during the height of the pandemic, distillate output topped 5 million b/d as every effort was made to reduce gasoline output when people weren't driving. That 5 million b/d figure for distillate is not a crazy high number normally but it is in the middle of a sharp economic contraction. However, the push to cut back on distillate output has succeeded. U.S. refiners in the week ended Oct. 9 produced 4.279 million b/d of distillates. That's the lowest number since 2013. It wasn't easy, but refiners took the steps to start making less distillate, as they already had done to make less jet fuel and less gasoline earlier. (With people driving again, refiners are back to making gasoline.)The end result: the six-day drop in U.S. days cover, created by a drop in inventories on the back of less output, and a decline in demand. But it is not just the U.S. In its latest monthly report, the International Energy Agency (IEA) said middle distillate inventories in Europe in September rose just 500,000 b/d. The five-year average is 9.3 million b/d. The result is a graph that showed that inventories are still above the five-year average but are no longer at historical highs. They've gotten down to levels closer to earlier highs, still excessive but not chart-busting. Source: International Energy AgencyIn Asia, the IEA reported that middle distillate inventories rose with historic norms. (Autumn tends to be a time in oil markets of inventory building as the world prepares for winter.)Although the decline in distillate inventories in the U.S. may have been historic, it hasn't yet resulted in a significant price reaction. The price of crude has bounced around in the last weeks but ultimately gone nowhere. Brent crude, the world's benchmark and the more relevant marker for comparison with diesel, was $43.15/barrel on Sept. 17. Last Friday, it settled at $43.32./bDuring that time, the front-month price of ultra low sulfur diesel on CME rose to $1.1791/gallon from $1.1598/g. That increased the spread of ULSD over Brent to 14.09 cts/ga from 12.8 cts g on Sept. 17.But by point of comparison, to show how much all that diesel inventory had held down prices relative to crude, the spread a year ago was about 53 cts/gallon. The current diesel to Brent spreads aren't sustainable. Diesel has not entered a permanent, long-term realignment against crude. If the move toward normalcy is going to start anytime soon, it could be that last week's numbers were the signal that it has begun.More articles by John KingstonGood news for diesel consumers, tough news for oil patch drivers in federal reportLabor Day, Roadcheck one-offs catch diesel traders by surpriseOOIDA scoffs at high cost estimates for broker transparencySee more from Benzinga * Options Trades For This Crazy Market: Get Benzinga Options to Follow High-Conviction Trade Ideas * FreightWaves CEO Interviewed On "The Business Of Content" Podcast * News Alert: US, Canada, Mexico Border Closures Extended To Nov. 21(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Revenue, which Snap earns mainly from selling ads on the app, jumped 52% to $679 million, widely beating analysts' consensus estimate of $555.9 million. It opened an opportunity for Snap as companies reviewed their ad spending, and helped contribute to revenue growth, said Jeremi Gorman, Snap's chief business officer, in prepared remarks for an earnings call with analysts. Snap said current-quarter revenue could grow between 47% to 50% over the year-ago period, but cautioned that it was unclear how the pandemic would affect year-end holiday advertising.
The internet bubble in 2000, the 1973-74 bear market — and the current market — are alarming outliers in the U.S. market’s 227-year history, writes Mark Hulbert.
Shares of AT&T Inc. were on track to extend a slide Tuesday that would mark their longest losing streak in more than a decade.
The Dow Jones rallied from a session pullback as the Tuesday coronavirus stimulus deadline set by House Speaker Nancy Pelosi draws closer.
Shares of Snap Inc. surged in after-hours trading Tuesday after the company crushed expectations for revenue and user growth while posting a surprise adjusted profit.
This is one of the worst ways to invest for yield in the stock market heading into what may be the best year for economic growth in 20 years — 2021. Classic dividend payers like Procter & Gamble (PG) Colgate-Palmolive (CL) General Mills (GIS) and Campbell Soup (CPB) are called “noncyclicals.” Instead, I’m telling income investors who subscribe to my stock letter to own cyclical names that pay dividends.
COMPANY CLOSE UPDATES Terrence Horan Shares of Facebook Inc. Cl A FB advanced 2.36% to $267.56 Tuesday, on what proved to be an all-around positive trading session for the stock market, with the NASDAQ Composite Index COMP rising 0.
The 90-year-old billionaire is taking advantage of low interest rates. You should, too.
Researchers asked high-net worth investors what goes through their mind when they think about equity exposure.
It might be like cold water in the face to think that earnings don't matter. But these stocks have detached themselves from all metrics.
Shares in South Korean automaker Hyundai Motor Co <005380.KS> and affiliate Kia Motors Corp <000270.KS> tumbled as much as 6% on Tuesday after warning third-quarter earnings would be hit by a further $3 billion in charges related to engine problems. Hyundai and Kia said quality-related costs of a combined 3.36 trillion won ($2.95 billion) related to the years-long quality problem that has tarnished their credibility, taking the total costs to nearly $5 billion. "The amount of provisions Hyundai and Kia are declaring is getting bigger each year passed and that is worrisome," said Kevin Yoo, an analyst at eBEST Investment & Securities.
American Electric Power Co. Inc. announced Tuesday a 5.7% increase to its quarterly dividend, to 74 cents a share from 70 cents. The electricity transmission company's new dividend will be payable Dec. 10 to shareholders of record on Nov. 10. The stock slipped 0.2% to $91.12 in afternoon trading. At current prices, the new annual dividend rate implies a dividend yield of 3.25%, compared with the yield for the SPDR Utilities Select Sector ETF of 3.04% and the implied yield for the S&P 500 of 1.63%, according to FactSet. "AEP has paid a cash dividend on its common stock every quarter since 1910, and we're pleased our strategic business decisions continue to provide increased returns to our shareholders," said Chief Executive Nicholas Akins. The stock has slipped 3.6% year to date, while the utilities ETF has eased 0.9% and the S&P 500 has gained 7.6%.