Passport to Wall Street http://www.pws.io/ pl-PL Copyright 2020, Passport to Wall Street 60 Market Update: Major Headwinds Pressure Market's Strength, Uncertain Outlook http://www.pws.io/market-update-major-headwinds-pressure-markets-strength-uncertain-outlook <p class='black-text'>Stocks accelerated losses throughout Wednesday's session as all three major indices had their worst day in two weeks. Mega-cap tech stocks--the major market driver since the beginning of the coronavirus pandemic--declined, dragging down the rest of the market as sentiment soured towards future growth amid further economic stimulus and virus concerns.</p><p class='black-text'>On Wednesday, Federal Reserve Chairman Jerome Powell told Congress that further fiscal stimulus will be needed for U.S. economic recovery amid the coronavirus crisis. Lawmakers have struggled to pass a new fiscal package since the passage of the CARES Act, despite previous pandemic protections expiring.</p><p class='black-text'>FAANGM stocks--Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>--added to their already steep monthly losses experienced so far in September.</p><p class='black-text'>Meanwhile, IHS Markit's preliminary monthly purchasing managers' index (PMI) for manufacturing and services sectors showed steady activity in September over August. Manufacturing PMI matched consensus expectations by increasing to 53.5 from August's 53.1. Services PMI fell slightly to 54.6 from August's 55.0, falling slightly below consensus. However, readings above the neutral level of 50 indicate expansion for the sector.</p><p class='black-text'>"The question now turns to whether the economy's strong performance can be sustained into the fourth quarter," said Chris Williamson, chief business economist for IHS Markit, in a a statement. "COVID-19 infection rates remain a major concern and social distancing measures continue to act as a dampener on the overall pace of expansion, notable in consumer-facing series. Uncertainty regarding the presidential election has also intensified, cooling business optimism about the year ahead. Risks therefore seem tilted to the downside for the coming months, as businesses await clarity with respond to both the path of the pandemic and the election."</p><p class='black-text'><b>Here's how the market settled for the mid-week:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -2.37% or -78.64 points to 3,236.93</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.92% or -525.05 points to 26,763.13</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -3.02% or -330.65 points to 10,632.99</p><p class='black-text'><i>For Major Stock News</i>, Nike <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKE"><span style="color:#333">(</span><span style=";">NKE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares lead gains to the Dow, but ultimately market sentiment soured too much for broader market gains. Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares slid slid over 10% following the electric carmaker's anticipated but ultimately lackluster Battery Day. Nikola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKLA"><span style="color:#333">(</span><span style=";">NKLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares also continued to sell-off after the Wall Street Journal reported that talks between the electric-truck maker and several energy partners have stalled amid the stock's recent controversy. Peloton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTON"><span style="color:#333">(</span><span style=";">PTON</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTON" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTON" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTON" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares rose after Amazon disclosed that it did not produce the "Prime bike" advertised by Echelon as "Amazon's first-ever connected fitness product."</p><p class='black-text'><i>For Sector Performance</i>, every industry fell alongside the broader market. The negative sector performance was as follows: Energy -4.55%, Information Technology -3.21%, Materials -2.93%, Real Estate -2.91%, Communication Services -2.68%, Consumer Discretionary -2.24%, Financials -2.19%, Industrials -1.76%, Utilities -1.61%, Consumer Staples -1.56%, and Health Care -1.08%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> hit an eight-week high during Wednesday's session, slumping <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> prices as increased economic uncertainty continues to harm the yellow metal's outlook. Spot gold slipped 1.9% at price at $1,862.56 per ounce, while gold futures settled 2.1% lower at $1,868.40 per ounce. <b>Crude</b> oil prices rose Wednesday, as U.S. government data showed that crude and gas inventories dropped last week, but reignited coronavirus concerns continue to hold back any meaningful growth. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> climbed 1.3% to $42.25 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> increased 0.3% to $39.93 per barrel.</p><p class='black-text'><i>For Thursday</i>, investors will focus on the U.S. Labor Department's weekly jobless claims set to debut. Wall Street consensus estimates unemployment claims to total 850,000 for the week ended Sept.19.</p> http://www.pws.io/market-update-major-headwinds-pressure-markets-strength-uncertain-outlook Wed, 23 Sep 2020 15:59:24 -0400 Rachel Hemple PepsiCo to Launch Drink to Aid Sleep as Consumers Struggle with Stress http://www.pws.io/pepsico-to-launch-drink-to-aid-sleep-as-consumers-struggle-with-stress <p class='black-text'>Set to be released shortly, a new drink by PepsiCo <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PEP"><span style="color:#333">(</span><span style=";">PEP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PEP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PEP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PEP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is intended to help consumers curb stress, enhance relaxation, and improve sleep quality.</p><p class='black-text'>The announcement of the beverage, Driftwell, comes during a time when heightened stress levels have become an unfortunate norm for many in light of the coronavirus pandemic, subsequent economic distress, and overall uncertainty leading into the weeks and months ahead.</p><p class='black-text'>Despite PepsiCo being known for soda pop, the new beverage will not be a new flavor of soda. Rather, Driftwell will be an enhanced water drink, helping PepsiCo tap into a water beverage industry that's worth $2.97 billion annually in the U.S. alone. This year, sales could grow roughly 5% from last year due to increased popularity.</p><p class='black-text'>Indeed, consumers have become more interested in relaxation and sleep aid drinks recently, which doesn't come as a complete surprise considering that many doctors and dentists have been reporting a surge in cases of insomnia and cracked teeth (due to nightly teeth biting) as nationwide stress levels have clearly been on the rise.</p><p class='black-text'>"I think we're launching this at a time when there's <a href="https://www.cnbc.com/2020/09/14/pepsico-to-launch-drink-to-aid-sleep-as-consumers-struggle-with-stress.html" target="_blank">more consumer interest than there previously was</a>, given everything that's going on from a macro perspective," said Emily Silver, vice president of innovation and capabilities at the North American beverages unit of PepsiCo.</p><p class='black-text'>According to research by PepsiCo, <a href="https://www.beveragedaily.com/Article/2020/09/17/PepsiCo-speeds-new-functional-drink-Driftwell-to-market" target="_blank">45% of Americans have trouble sleeping due to stress</a>, with 21% feeling more stress when they're not able to sleep well. Overall, up to 55% of Americans experience high levels of stress on a daily basis.</p><p class='black-text'>The non-carbonated enhanced water beverage will contain 10% daily value of magnesium and 200mg of L-theanine, an amino acid, in each 7.5oz mini can. Both ingredients are involved in popular holistic approaches to improve health by promoting relaxation and better sleep quality. In general, the effects are largely substantiated on scientific research rather than anecdotal hearsay.</p><p class='black-text'>"From a scientific and regulatory perspective, we feel really good about making that claim around L-theanine," said Silver. "Specifically, we have safety in <a href="https://www.cnbc.com/2020/09/14/pepsico-to-launch-drink-to-aid-sleep-as-consumers-struggle-with-stress.html" target="_blank">clinical data to prove that it works</a>."</p><p class='black-text'>Driftwell will become available to consumers nationwide on e-commerce sites beginning in December 2020, then later in stores starting in the first quarter of 2021.</p> http://www.pws.io/pepsico-to-launch-drink-to-aid-sleep-as-consumers-struggle-with-stress Wed, 23 Sep 2020 14:54:01 -0400 Rebecca O'Bern Walmart to Undergo Organizational Overhaul http://www.pws.io/walmart-to-undergo-organizational-overhaul <p class='black-text'>Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is set to undergo a massive organizational overhaul that will see many workers receiving increased pay in exchange for increased responsibilities. Workers affected by the organizational changes will receive wages of $15 and up.</p><p class='black-text'>The <a href="https://www.detroitnews.com/story/business/2020/09/18/walmart-change-store-jobs-raise-wages/5827906002/">organizational changes</a> by Walmart will see some 165,000 employees being reorganized into small cross-trained teams assigned to certain areas of the store. Within their designated areas, employees are responsible for keeping items in stock and ensuring that displays meet Walmart's standards.</p><p class='black-text'>One of the most notable aspects of the changes is the increased pay, which will see many employees receiving a minimum wage of $15, a change that has been pushed for by many labor advocacy groups across the country. Specialized roles such as team lead roles will start at $18 an hour but can go as high as $30. Some salaried jobs will also see a wage increase.</p><p class='black-text'>"Through this new, tiered structure for team leads, we're creating room for pay and career growth while investing in areas like pickup and delivery as customers increasingly turn to those options," <a href="https://www.usatoday.com/story/money/2020/09/17/walmart-wage-increase-165000-employees-new-leadership-roles/3480101001/">said Walmart COO Dacona Smith.</a> "We are re-investing in several ways to provide associates with higher and more consistent base pay. Likewise, for these select hourly roles, this increase will also take the place of the regular quarterly bonus and become part of their base pay going forward, offering more predictability and more pay in their hourly wages."</p><p class='black-text'>The wage increase matches raises issued by Walmart's competitors, helping the retailer stay competitive in the labor market. Target <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TGT"><span style="color:#333">(</span><span style=";">TGT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TGT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TGT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TGT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> raised its starting wage to $15 an hour in July, while Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> had raised its starting pay to $15 an hour for its distribution center workers.</p><p class='black-text'>The new organizational structure had been piloted previously at Sam's Club and Walmart Neighborhood Center locations. According to Walmart, the groups were more supportive, with employees being closer-knit when placed into smaller teams that had them working with the same people regularly.</p> http://www.pws.io/walmart-to-undergo-organizational-overhaul Wed, 23 Sep 2020 10:30:01 -0400 Michael Mooney Campaigns, Internet Companies Preparing for Foreign Interference in November Elections http://www.pws.io/campaigns-internet-companies-preparing-for-foreign-interference-in-november-elections <p class='black-text'>Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> believes that former Vice President Joe Biden's campaign was targeted by Russian hackers through a strategy and communications firm working with the Biden campaign. Microsoft believes the hackers were the same as the ones who broke into Hillary Clinton's servers and leaked her emails.</p><p class='black-text'>It's believed that the hacking group is connected to the Russian military. However, the hackers were not successful in accessing any secure information due to the firm taking aggressive steps to protect data.</p><p class='black-text'>Due to the ubiquity of Microsoft Office and Windows operating systems, Microsoft has unusual insight into these types of breaches. It has launched a "Defending Democracy" initiative to help keep campaigns secure.</p><p class='black-text'>However, other Internet companies are also taking steps to protect user data as well through a variety of measures:</p><p class='black-text'><i>Twitter</i></p><p class='black-text'>Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is also attempting to ban accounts that are linked to spam, spreading false information, and automated accounts that are misrepresenting themselves. Specifically, the social network has sought to ban messages that could be interpreted as voter-suppression and foreign information campaigns to incite dissent among the electorate.</p><p class='black-text'>Twitter is also labeling and possibly deleting tweets or media that it deems to be manipulated, deceptive or fabricated. Of course, this has brought a great deal of acrimony from people who believe the platform shouldn't censor users.</p><p class='black-text'><i>Facebook</i></p><p class='black-text'>Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is also at the center of the storm. The social network is constantly under fire by liberals because the most commonly shared items on the social network are articles and links from conservative websites and personalities. Conservatives don't trust Facebook, because they consider the company to be headed by liberals.</p><p class='black-text'>Facebook has sought to find the balance between these interests and remain true to its mission of "connecting the world" by fact-checking content and deleting or labeling items that it feels are false or misleading. For example, it's been strict about banning or labeling posts that spread misinformation about COVID-19. It's also banning new political ads in the week before the election in another efforts to prevent misinformation from spreading.</p><p class='black-text'>It's also been aggressively encouraging users to register to vote and providing information about polling locations. In recent weeks, the company removed many accounts linked to Russian state actors that were spreading false information about Biden and VP candidate Kamala Harris.</p><p class='black-text'><i>Google</i></p><p class='black-text'>Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOG"><span style="color:#333">(</span><span style=";">GOOG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is also taking some measures to protect the election's integrity. It's noted that there have been increased attempts to undermine the election's legitimacy from within and outside of U.S. borders. It's also blocking autocomplete suggestions around candidates and political issues that could be construed as influencing people.</p><p class='black-text'>On YouTube, Google has also altered its algorithm which was steering users towards more polarizing videos. It's also looking to label or block videos from being played that are spreading misinformation as well as prevent certain accounts who are spreading false information from monetizing their videos.</p> http://www.pws.io/campaigns-internet-companies-preparing-for-foreign-interference-in-november-elections Wed, 23 Sep 2020 09:56:43 -0400 Jaimini Desai Johnson Reinstates Some Social Restrictions to Curb Britain's Rising Coronavirus Infection Rate http://www.pws.io/johnson-reinstates-some-social-restrictions-to-curb-britains-rising-coronavirus-infection-rate <p class='black-text'>United Kingdom Prime Minister Boris Johnson has announced a new round of social restrictions to curb the nation's climbing coronavirus cases before resorting to another round of lockdowns. Speaking before the House of Commons, Johnson stated that the country is at a "perilous turning point" similar to neighboring nations like France and Spain that have seen an increase in new infections in younger populations.</p><p class='black-text'>Warning that new social restrictions could last for six months, Johnson called for the nation to come together so that the situation could hopefully be better by the spring. For now, Johnson has called for pubs and restaurants to only service guests seated at tables and only serve until 10 p.m. The government is also encouraging citizens to work from home, changing course from Britain's recent push to move people back into workplaces. Moreover, face masks will be mandatory for workers in public serving environments including retail and transportation.</p><p class='black-text'>"If we follow these simple rules together, we will get through this winter together," Johnson stated in a televised address, <a href="https://apnews.com/7b236c1959dda06a34ef7b98ba43251b">quoted by the </a><i><a href="https://apnews.com/7b236c1959dda06a34ef7b98ba43251b">Associated Press</a></i>. "But now is the time for us all to summon the discipline, and the resolve, and the spirit of togetherness that will carry us though."</p><p class='black-text'>Across the pond, United States President Donald Trump reiterated that the U.S. will not impose any more lockdowns, even as new infection rates continue to rise in a large amount of states.</p><p class='black-text'>The Trump administration has largely left the coronavirus decisions to state and local authorities in its response to the pandemic. On Tuesday, the U.S. crossed the grim threshold of 200,000 confirmed coronavirus deaths, accounting for over 20% of all global deaths. In addition, the nation now stands at over 7 million confirmed cases of the virus.</p><p class='black-text'><i>Contact Tracing Failure</i></p><p class='black-text'>According to a <a href="https://www.cdc.gov/mmwr/volumes/69/wr/mm6938e3.htm?s_cid=mm6938e3_w">study</a> conducted by the U.S. Centers for Disease Control and Prevention that focused on two counties in North Carolina, health officials struggled to get the public to participate in contact tracing despite increased efforts to encourage increased coronavirus investigations.</p><p class='black-text'>"Despite aggressive efforts by health department staff members to perform case investigations and contact tracing, many persons with COVID-19 did not report contacts, and many contacts were not researched," the authors of the study wrote. "The relatively low participation and cooperation with contact tracing suggests a lack of community support and engagement with contact tracing. This, coupled with delays in testing results are contributing to ongoing transmission."</p><p class='black-text'>The researchers stated that the data compiled in the study is consistent with other states across the country, demonstrating the lack of extensive contact tracing across the nation. Contact tracing helps find all parties involved in an outbreak so that infected individuals can isolation to halt the continued community spread. The C.D.C. noted that the percentage of people who could not be contacted for coronavirus tracing was higher that tracing efforts for other past infectious diseases in the U.S.</p><p class='black-text'>The study's authors pointed to multiple reasons why contact tracing efforts for the pandemic may be hindered, including limiting efforts to just a conversation instead of full reports and investigations and infected individuals not wanted to subject their contacts to quarantine.</p><p class='black-text'>"This assessment revealed that, although these two country health departments investigated the majority of index cases, a high proportion of persons with COVID-19 did not report contacts, many contacts were not reached, and the time needed to notify contacts likely reduced the impact of contact tracing as a mitigation strategy," the authors concluded. "These findings indicate that improved timelines of contact tracing, community engagement, and increased use of community-wide mitigation are needed to interrupt SARS-CoV-2 transmission."</p> http://www.pws.io/johnson-reinstates-some-social-restrictions-to-curb-britains-rising-coronavirus-infection-rate Tue, 22 Sep 2020 21:27:33 -0400 Rachel Hemple GoodRx Plans to Raise $1.1 Billion, Leading 10 IPO Week http://www.pws.io/goodrx-plans-to-raise-11-billion-leading-10-ipo-week <p class='black-text'>Another busy week for the initial public offering market lies ahead as 10 more companies are scheduled to debut as September's market continues to heat up. The largest deal of the week comes from<b> GoodRx Holdings </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GDRX"><span style="color:#333">(</span><span style=";">GDRX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GDRX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GDRX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GDRX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which aims to raise over $1.1 billion from about 35 million shares priced in the range of $24-$28 each. The company provides both a mobile app and website that allows prescription drug consumers to compare prices from various sources. The company has demonstrated strong growth and operated in a large market. GoodRX competes with Teladoc <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TDOC"><span style="color:#333">(</span><span style=";">TDOC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TDOC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TDOC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TDOC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Amwell <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMWL"><span style="color:#333">(</span><span style=";">AMWL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMWL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMWL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMWL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><i>Here's the rest of the companies set to price this week: </i></p><p class='black-text'><b>Hygo Energy Transition Ltd.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HYGO"><span style="color:#333">(</span><span style=";">HYGO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HYGO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HYGO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HYGO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> plans to raise over $558 million from roughly 23 million shares priced between $18-$21 each. The Brazilian provider of energy solutions offers integrated downstream liquified natural gas and derives most of its revenue from LNG carriers.</p><p class='black-text'><b>Corsair Gaming, Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CRSR"><span style="color:#333">(</span><span style=";">CRSR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CRSR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CRSR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CRSR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> aims to raise an offering of about $290 million from 14 million shares priced between $16-$18 each. The computer and gaming hardware supplier is a top pick for high-performance gaming equipment, operating in a $30 billion global market.</p><p class='black-text'><b>BENTLEY SYSTEMS INC</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BSY"><span style="color:#333">(</span><span style=";">BSY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BSY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BSY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BSY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is expected to raise about $235 million from roughly 10.8 million shares priced between $17-$19 each. The company provides software for construction and infrastructure projects, operating in a cyclical market. The company has noted that operations were impacted by the coronavirus pandemic. The company competes with Autodesk <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADSK"><span style="color:#333">(</span><span style=";">ADSK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADSK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADSK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADSK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Trimble <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TRMB"><span style="color:#333">(</span><span style=";">TRMB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TRMB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TRMB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TRMB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Dassault Systems <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DASTY"><span style="color:#333">(</span><span style=";">DASTY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DASTY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DASTY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DASTY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><b>Prelude Therapeutics Inc </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PRLD"><span style="color:#333">(</span><span style=";">PRLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PRLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PRLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PRLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> plans to raise about $182 million from roughly 8.3 million shares priced in the range of $17-$19 each. The clinical-stage oncology biotech has in the past received clearances from the U.S. Food and Drug Administration (F.D.A.) for three new drug applications, advancing those candidates into clinical development, with trials set to launch in early 2021.</p><p class='black-text'><b>Taysha Gene Therapies, Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSHA"><span style="color:#333">(</span><span style=";">TSHA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSHA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSHA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSHA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> aims to raise over $151 million from about 6.6 million shares priced between $18-$20 each. The preclinical biotech plans to begin a Phase I/II trial for its lead candidates under a CTA in Canada by the end of this year. The company also plans to submit new drug applications for four different candidates to the F.D.A. by the end of 2021.</p><p class='black-text'><b>GRAYBUG VISION, INC. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GRAY"><span style="color:#333">(</span><span style=";">GRAY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GRAY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GRAY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GRAY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> plans to offer about $92 million from about 4.7 million shares priced in the range of $15-$17 each. The clinical-stage biopharmaceutical company's lead candidate is currently in a Phase II-b clinical trials, with top line data expected to be reported in the first half of 2021.</p><p class='black-text'><b>Laird Superfood Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LSF"><span style="color:#333">(</span><span style=";">LSF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LSF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LSF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LSF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>plans to raise $42 million from 2.2 million offered shares priced between $18-$20 each. The company manufactures plant-based beverages, generating the majority of its revenue from its Superfood Creamer coffee product. The company's major competitors are Nestle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NSRGY"><span style="color:#333">(</span><span style=";">NSRGY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NSRGY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NSRGY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NSRGY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Coca-Cola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KO"><span style="color:#333">(</span><span style=";">KO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and PepsiCo <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PEP"><span style="color:#333">(</span><span style=";">PEP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PEP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PEP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PEP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><b>Amesite Operating Co</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMST"><span style="color:#333">(</span><span style=";">AMST</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMST" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMST" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMST" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> plans to raise about $20 million from 3.1 million shares offered between $4.50-$5.50 each. The company provides an AI-driven platform for developing online learning products and software.</p><p class='black-text'><b>PaxMedica Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PXMD"><span style="color:#333">(</span><span style=";">PXMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PXMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PXMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PXMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> aims to raise about $15 million from 2.5 million shares priced between $5.50-$6.50 each. The biotech is currently conducting Phase II clinical trials of its lead candidate, with data expected to be reported in early 2021.</p> http://www.pws.io/goodrx-plans-to-raise-11-billion-leading-10-ipo-week Tue, 22 Sep 2020 18:40:24 -0400 Rachel Hemple Market Update: S&P 500 Snaps Four-Day Losing Streak http://www.pws.io/market-update-sp-500-snaps-four-day-losing-streak <p class='black-text'>Stocks searched for direction on Tuesday, ultimately gaining following several days of negative trading. The S&P 500 fluctuated between gains and losses, but finally broke its four-day losing streak as risk appetite improved. The Nasdaq also outperformed as positive market sentiment rushed back in for mega-cap tech stocks: Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Meanwhile, the National Association of Realtors data on U.S. existing home sales for August showed a rise of 2.4% month-over-month to a seasonally adjusted annual rate of 6.00 million homes, matching Wall Street consensus expectations. Sales were also up 10.5% over the same month last year, demonstrating the housing market's continued strength as it recovers from the coronavirus pandemic.</p><p class='black-text'><b>Here's how the market settled on Tuesday:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.05% or +34.51 points to 3,315.57</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +0.52% or +140.48 points to 27,288.18</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.71% or +184.84 points to 10,963.64</p><p class='black-text'><i>For Major Stock News</i>, Carvana <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CVNA"><span style="color:#333">(</span><span style=";">CVNA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CVNA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CVNA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CVNA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares soared over 30% after the online marketplace for used cars announced that it expects record results across several metrics for its third quarter. The stock also received an upgrade from Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to Buy from Neutral. Peloton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTON"><span style="color:#333">(</span><span style=";">PTON</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTON" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTON" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTON" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares declined following Amazon's new partnership with Echelon for a competitive exercise bike called Prime Bike. Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares fell as investors were left underwhelmed as they anticipated the company's Battery Day.</p><p class='black-text'><i>For Sector Performance</i>, most industries gained into Tuesday's close, with only Energy -1.03%, Financials -0.84% and Health Care -0.19% lagging behind. The session's performance gains were as follows: Consumer Discretionary +2.96%, Communication Services +1.88%, Information Technology +1.65%, Real Estate +1.26%, Industrials +1.03%, Utilities +0.64%, Consumer Staples +0.64%, and Materials +0.21%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continued to rise on Tuesday as new social restrictions issued to control the spread of the coronavirus raised more uncertainty towards a second wave of lockdowns in Europe that would harm progress toward an economic rebound. The dollar's index rose 0.468% against rival global currencies. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, on the other hand, continued to fall for the second straight session as the dollar ascended, with investors wary of the 'safe haven' metal at this time. Spot gold fell 0.4% to $1,904.34 per ounce, while gold futures settled 0.2% lower to $1,907.60 per ounce. <b>Crude </b>oil futures pared sharp overnight losses and rose during Tuesday's session, encouraged by the new tropical storm in the Gulf of Mexico loosing strength. Yet overall, demand fears weigh very heavy on the commodity's growth as the coronavirus begins to flare-up again around the world. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> rose 0.65% to $41.71 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> increased 0.74% to settle at $39.60 per barrel.</p><p class='black-text'><i>For the mid-week</i>, investors will turn their attention to fresh data for U.S. manufacturing and services as well as react to Tesla's after market Battery Day presentation.</p> http://www.pws.io/market-update-sp-500-snaps-four-day-losing-streak Tue, 22 Sep 2020 16:12:06 -0400 Rachel Hemple Consumer Habits Change As Work-From-Home Becomes New Normal http://www.pws.io/consumer-habits-change-as-work-from-home-becomes-new-normal <p class='black-text'>While home staples and athleisure was popular before the pandemic, it has quickly become a way of life. Everything about supply and demand has changed, and anything we knew about trends from before the pandemic can basically be forgotten, according to assistant professor of economics at Northwestern University, Piotr Dworczak.</p><p class='black-text'>Americans are now spending significantly more money on at-home staples like instant coffee, eggs, ketchup, cheese and sliced ham than they did this time last year, according to analysis by Nielsen Co, the Brewers Association, and StyleSage Co.</p><p class='black-text'>There has also been a surprising uptick in splurge spending in electronics and fashion, with Nike <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKE"><span style="color:#333">(</span><span style=";">NKE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Lululemon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LULU"><span style="color:#333">(</span><span style=";">LULU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LULU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LULU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LULU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Louis Vuttion <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LVMUY"><span style="color:#333">(</span><span style=";">LVMUY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LVMUY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LVMUY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LVMUY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> all selling well, and at higher prices. While many people have been furloughed or laid off, those who have been able to hold onto their jobs through this find themselves with more money in hand, since they can't go out as much to spend it.</p><p class='black-text'>People are no longer picking up coffee on the way to work, using gas in their cars, going out to eat, seeing movies, or visiting theme parks and entertainment centers. This lets them have more disposable income, and with that comes the treat-yo-self mentality.</p><p class='black-text'>However, thanks to this companies like JM Smuckers <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SJM"><span style="color:#333">(</span><span style=";">SJM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SJM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SJM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SJM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Tyson Foods <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSN"><span style="color:#333">(</span><span style=";">TSN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Kraft Heinz <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KHC"><span style="color:#333">(</span><span style=";">KHC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KHC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KHC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KHC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have been pulling back on promotions, and upping their prices, too. Even egg prices have gone up since restaurants aren't buying the way the used to, and production is forced to make more cartons for home purchases.</p><p class='black-text'>Unfortunately, not all pandemic spending habits are simply shifting. Now that the additional COVID-19 $600 in unemployment has stopped, there will likely come a second change in spending as money runs out. Experts are predicting recession styled spending as people cut back. Many are still without jobs, and if unemployment can no longer cover them or they aren't sure when their next paycheck is coming in. With all of this coming down at once, there may be a return to the kind of spending that the economy saw at the beginning of the pandemic.</p> http://www.pws.io/consumer-habits-change-as-work-from-home-becomes-new-normal Tue, 22 Sep 2020 13:42:22 -0400 Amanda Little European Union Seeking to Expand Powers Against Tech Giants http://www.pws.io/european-union-seeking-to-expand-powers-against-tech-giants <p class='black-text'>The European Union is seeking to expand its disciplinary powers against U.S. tech giants in a move that could grant the intergovernmental union the power to go as far as kicking tech giants out of member states entirely.</p><p class='black-text'>Speaking to the <a href="https://www.ft.com/content/7738fdd8-e0c3-4090-8cc9-7d4b53ff3afb">Financial Times</a> on Sunday, European Union Commissioner Thierry Breton said that the European Union was seeking to expand its powers to combat the considerable influence of U.S. tech giants in Europe. Breton mentioned that the proposed powers were fairly far-reaching, up to and including expulsion from the European Single Market altogether. A rating system was also suggested that would allow the E.U. to rate the behavior of companies across several fields, including tax compliance and content moderation.</p><p class='black-text'>"There is a feeling from end-users of these platforms that they are too big to care," Breton told the Financial Times. "[Under] certain conditions, we may also have the power to impose structural separation."</p><p class='black-text'>Breton compared the state of tech giants in Europe to big banks in the lead-up to the 2008 recession and stated that regulators needed to take more decisive steps against tech giants.</p><p class='black-text'>"It's like for small banks and big banks you don't have the same rules - you have more flexibility for the smaller players and of course when you become a systemic [bank] you have a [different] set of rules," Breton added.</p><p class='black-text'>The legislation will include a "blacklist" of activities that will become illegal in the E.U., which tech giants will then be forced to cease if they wish to avoid penalties. According to Breton, penalties will scale as companies continue to be non-compliant. Penalties will start relatively small and will worsen as companies refuse to follow E.U. mandate, likely ending with expulsion from the single market.</p><p class='black-text'>Other penalties include being forced to sell off European divisions. This penalty, in particular, parallels the punishment that Bytedance was faced with in the United States; the Chinese social media firm was forced to either sell off its American assets for the massively popular TikTok app or face a total ban in the American market. A <a href="https://www.pws.io/microsoft-loses-tiktok-bid-to-oracle">partnership</a> was later established with Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, though the specifics of how this partnership will work are still unclear. It is possible that any mandatory sales of European assets may work similarly, requiring either a partnership with a European firm or the sale of all assets.</p><p class='black-text'>The European Union is no stranger to taking a firm stance on antitrust and anti-competition issues, especially against U.S. companies, which have consistently run into trouble with the European regulators. The European Union was stated by LVMH <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LVMUY"><span style="color:#333">(</span><span style=";">LVMUY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LVMUY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LVMUY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LVMUY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to have been a <a href="https://www.pws.io//lvmh-calls-off-tiffanys-takeover">driving force</a> behind its decision to call off its purchase of American luxury goods company Tiffany <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TIF"><span style="color:#333">(</span><span style=";">TIF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TIF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TIF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TIF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Italian regulators <a href="https://www.pws.io//italy-launches-anticompetition-investigation-into-tech-companies">recently announced</a> that a wide-reaching investigation was being launched into the practices of several prominent cloud service providers, including Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Dropbox <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DBX"><span style="color:#333">(</span><span style=";">DBX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DBX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DBX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DBX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/APPL"><span style="color:#333">(</span><span style=";">APPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="APPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="APPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="APPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The investigation was in response to complaints about how the companies conducted business and over potentially misleading terms and conditions. Several months ago, a German court ruled <a href="https://www.pws.io//facebook-loses-major-antitrust-appeal-in-german-court">against an appeal</a> by Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, finding that the company's practices violated German antitrust law.</p> http://www.pws.io/european-union-seeking-to-expand-powers-against-tech-giants Tue, 22 Sep 2020 09:21:09 -0400 Michael Mooney Company Profile: Unity Software http://www.pws.io/company-profile-unity-software <p class='black-text'>Unity Software <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/U"><span style="color:#333">(</span><span style=";">U</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="U" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="U" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="U" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> will be making its debut as a public company on Friday. It's expected to open between $44 and $48 as it hopes to raise $1.2 billion at a valuation of $12 billion. The expected pricing for the IPO recently increased from a range of $32 to $36 especially as recent IPOs have received a strong bid with the most notable being Snowflake <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Unity is a game development engine. It claims to be the world's leading platform for creating and operating interactive, real-time 3D content. So far, the platform is mostly used by game developers, but Unity believes that its platform will eventually be used across a variety of industries including for training, engineering, architecture, manufacturing, and entertainment.</p><p class='black-text'><i>Unity's Success</i></p><p class='black-text'>Over the past year, Unity has revenues of $541 million in revenue and is forecasting $700 million in revenue over the next year. Currently, the company has 1.5 million monthly active creators in 190 countries. So far, there have been 3 billion downloads of games created by developers using Unity's game engine on more than 1.5 billion devices.</p><p class='black-text'>About a little more than half of the games in the top 100 in the Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOG"><span style="color:#333">(</span><span style=";">GOOG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Play Store were made on Unity's platform. Additionally, about 50% of console games were also built on Unity's platform.</p><p class='black-text'>In its S-1 filing, Unity sees a total market opportunity of $29 billion between video games and other use cases for its platform. While video games are currently its core business, it sees other areas as sources of future growth. In its prospectus, Unity said, "Leaps forward in computing power and bandwidth are enabling an explosion in interactive, real-time 3D content - led by games and now spreading rapidly into other industries."</p><p class='black-text'><i>How Unity Makes Money</i></p><p class='black-text'>Unity makes money by helping its creators monetize their games. Notably, it doesn't charge for the use of its platform until games reach a certain number of downloads. After that, it gives creators a variety of options to monetize including advertising and in-app purchases.</p><p class='black-text'>In one way, Unity is a bit like Shopify <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SHOP"><span style="color:#333">(</span><span style=";">SHOP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SHOP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SHOP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SHOP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> except for video game developers. Shopify helps small businesses create an online presence and sell online. It makes money as the businesses on its platform sell more. It creates tools for them to increase sales, so both sides' incentives are aligned.</p><p class='black-text'>Unity has built a similar business. It builds software and tools to help the developers on its platform build games and then helps them monetize their games, so its incentives are aligned with its users. Currently, 29% of Unity's revenue comes from fees it charges on its platform to developers of popular games, while 61% comes from the cut it takes from monetization of games.</p><p class='black-text'><i>Stock Outlook</i></p><p class='black-text'>Unity has been able to attract talented, independent developers to its platform since they can test out ideas at no cost, and they are only charged if their games become popular. Its software also easily allows games to be made available on all types of devices, consoles, and applications. Many video game companies are switching to building their games on Unity's platform as it lets them focus solely on creating games rather than also building game engines and then creating games.</p><p class='black-text'>Another bonus for Unity is that its major competitor is Epic Games. Currently, Epic Games is at odds with Apple and Google. This may dissuade developers from using its platform. Additionally, Epic Games had to reduce the prices it charges to developers as a result of Unity's no-cost pricing. Epic also makes its video games, while Unity does not, so there is no competition with the users on its platform.</p><p class='black-text'>Unity shares a lot of characteristics with recent, stock market winners. Once a developer builds a game on the platform, they are likely to remain loyal. Additionally, they are also likely to continue using Unity, once they become familiar with the tools. The pricing structure is also similar to a lot of SaaS products which have low upfront costs and the cost scale with the use of the product.</p><p class='black-text'>Also, it's growing sales at more than 50%. Given the popularity of gaming especially among young people, the total market size is also growing. Rather than making money from selling video games, Unity is creating the infrastructure of video gaming. During the Gold Rush, the most successful people were not the ones who were mining gold but the people selling miners clothes, shovels, and other equipment. Unity's role is similar in the video game market.</p> http://www.pws.io/company-profile-unity-software Tue, 22 Sep 2020 09:09:39 -0400 Jaimini Desai Some European Nations May be Heading Towards New Coronavirus Lockdowns http://www.pws.io/some-european-nations-may-be-heading-towards-new-coronavirus-lockdowns <p class='black-text'>The United Kingdom is at risk of climbing to 50,000 coronavirus cases per day by mid-October if the nation's infectious rate continues at its current trajectory, according to Britain's Chief Scientific Adviser Patrick Vallance and the government's Chief Medical Officer Chris Whitty in a televised national address.</p><p class='black-text'>"If we don't do enough the virus will take off and at the moment that is the path that we are clearly on and if we do not change course then we're going to find ourselves in a very difficult problem," Whitty warned, <a href="https://www.reuters.com/article/us-health-coronavirus-britain/uk-faces-soaring-covid-19-death-rate-unless-it-moves-fast-medics-warn-idUSKCN26C0JH">quoted by </a><i><a href="https://www.reuters.com/article/us-health-coronavirus-britain/uk-faces-soaring-covid-19-death-rate-unless-it-moves-fast-medics-warn-idUSKCN26C0JH">Reuters</a></i>.</p><p class='black-text'>Meanwhile, rising new coronavirus infection number in countries like France, Austria and the Netherlands have begun to worry German Health Minister Jens Spahn, who warned that Germany will eventually import new cases from those countries as boarders remain open. Spahn added that the level of infection in neighbor Spain is "likely out of control," <a href="https://www.reuters.com/article/idUSKCN26C0HD">according to </a><i><a href="https://www.reuters.com/article/idUSKCN26C0HD">Reuters</a></i>.</p><p class='black-text'>Throughout Europe, new infections have begun to rapidly develop, with caseloads soaring seamlessly undetected in younger populations that threaten to increase the virus's presence in older and more vulnerable populations. As cases begin to rise, health experts and officials have begun to expect reinstatements of social restrictions and possibly another round of lockdowns.</p><p class='black-text'><i>C.D.C. Reversal </i></p><p class='black-text'>The U.S. Centers for Disease Control and Prevention (C.D.C.) last week quietly introduced new guidance on coronavirus aerosol transmission that stated that the virus is mostly transmitted through the air and can remain suspended for a long period of time, adding that viral particles are able to travel beyond six feet. The federal agency included in its update that it recommends the use of air purifiers to reduce airborne germs indoors to help prevent the virus from spreading.</p><p class='black-text'>The C.D.C.'s website stated in its guidance posted on Friday, <a href="https://www.nytimes.com/2020/09/21/world/covid-19-coronavirus.html?action=click&module=Top%20Stories&pgtype=Homepage">quoted by the </a><i><a href="https://www.nytimes.com/2020/09/21/world/covid-19-coronavirus.html?action=click&module=Top%20Stories&pgtype=Homepage">New York Times</a></i>, that the virus is spread through "respiratory droplets or small particles, such as those in aerosols, produced when an infected person coughs, sneezes, sings, talks, or breathes," adding that "this is thought be the main way the virus spreads."</p><p class='black-text'>But on Monday, the federal health agency reversed its stance on aerosol transmission, <a href="https://www.cdc.gov/coronavirus/2019-ncov/prevent-getting-sick/how-covid-spreads.html">stating that</a>: "A draft version of proposed changes to [the recommendations on how the virus spreads] was posted in error to the agency's official website. C.D.C. is currently updating its recommendations regarding airborne transmission of SARS-CoV-2 (the virus the causes COVID-19). Once this process has been completed, the update language will be posted."</p><p class='black-text'>The World Health Organization had earlier corrected the C.D.C. for the error in its guidance, with the agency's Director of Emergencies Dr. Mike Ryan stating during a Monday press conference that the global health agency has not seen any new evidence regarding aerosol transmission. Ryan had asked the C.D.C. to clarify what its recommendation change had meant.</p><p class='black-text'>Despite the C.D.C. seemingly making another mistake in how their coronavirus information is presented on their website, this is not the first time that aerosol transmission has been tied to the spread of SARS-CoV-2. <a href="https://www.pws.io/coronavirus-update-over-200-scientists-claim-virus-is-airborne-new-rapid-test-is-approved-by-fda">Back in July</a>, more than 200 scientists from around the world wrote an open letter to the W.H.O. to review its evidence on small particle transmission through the air.</p><p class='black-text'>The W.H.O. has current evidence that the virus is spread mainly through heavy respiratory droplets that leave an infected individual as they sneeze or cough and quickly fall to the ground and surfaces. While the virus may be able to spread through aerosols, the heavier partials that are expelled by an individual are still regarded as the way the coronavirus is spread.</p> http://www.pws.io/some-european-nations-may-be-heading-towards-new-coronavirus-lockdowns Mon, 21 Sep 2020 18:20:46 -0400 Rachel Hemple Market Update: Rise in Global Coronavirus Cases Reignites Investment Fears http://www.pws.io/market-update-rise-in-global-coronavirus-cases-reignites-investment-fears <p class='black-text'>Stocks took a dive throughout Monday's session as a resurgence in coronavirus and lockdown fears, as well as uncertainty about further U.S. fiscal stimulus, destabilized market growth. Most stocks were able to pare their losses in the final hours of regular trading, but all three major benchmarks extend their ongoing declines.</p><p class='black-text'>On the coronavirus front, the United Kingdom is reportedly considering issuing another round of lockdowns to help mitigate the growing increase in new infections. In the United States, new cases have been rapidly growing in Mid-Western states like Arkansas, Colorado, and Montana over the past week, sparking fears of another wave of the virus before the colder seasons. New coronavirus concerns pressured reopening stocks, with American Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAL"><span style="color:#333">(</span><span style=";">AAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Carnival Cruise <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CCL"><span style="color:#333">(</span><span style=";">CCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Delta Air Lines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DAL"><span style="color:#333">(</span><span style=";">DAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Norwegian Cruise Line <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NCLH"><span style="color:#333">(</span><span style=";">NCLH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NCLH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NCLH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NCLH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Royal Caribbean Cruise <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/RCL"><span style="color:#333">(</span><span style=";">RCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="RCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="RCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="RCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Southwest Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LUV"><span style="color:#333">(</span><span style=";">LUV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LUV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LUV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LUV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and United Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UAL"><span style="color:#333">(</span><span style=";">UAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> all declining.</p><p class='black-text'>For economic stimulus, the future of a new coronavirus relief package seems more unlikely to happen before the November presidential election following the death of Supreme Court Justice Ruth Bader Ginsburg. The U.S. federal government will now be concerned with a nomination process in the coming months.</p><p class='black-text'><b>Here's how the market settled to open the week:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.16% or -38.42 points to 3,281.05</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.84% or -510.18 points to 27,147.24</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -0.13% or -14.48 points to 10,778.80</p><p class='black-text'><i>For Major Stock News</i>, the financial sector <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLF"><span style="color:#333">(</span><span style=";">XLF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was pressured on Monday following a report that several global banks had moved illicit funds over the past two decades. Shares of banks like Deutsche Bank <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DB"><span style="color:#333">(</span><span style=";">DB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, HSBC <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HSBC"><span style="color:#333">(</span><span style=";">HSBC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HSBC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HSBC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HSBC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and JPMorgan <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> all fell. Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares increased following President Donald Trump's approval of the two absorbing part of ByteDance's TikTok's global business. Nikola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKLA"><span style="color:#333">(</span><span style=";">NKLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares dropped over 20% after its founder Trevor Milton announced that he will be voluntarily resigning following the company's recent controversy with the short seller Hindenburg Research. Mega-cap tech stocks fell broadly with the market on Monday: Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><i>For Stock Sector News</i>, every industry but Information Technology +0.76% fell on Monday as the broad market outlook was pressured. The negative performance declines were as follows: Materials -3.41%, Industrials -3.38%, Energy -3.27%, Real Estate -2.74%, Financials -2.49%, Health Care -1.84%, Communication Services -1.19%, Consumer Discretionary -1.10%, Consumer Staples -0.67% and Utilities -0.58%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> soared against other risker currencies as investors turned to the greenback for some stability amid increased market uncertainty. The dollar's index rose 0.64% against other global currencies as the economic implications of rising global coronavirus cases grew grim. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell against the rising dollar to its lowest level in over a month. Spot gold fell 2.1% to $1,909.05 per ounce, while futures settled down 2.6% at $1,910.60. <b>Crude</b> oil futures were also harmed by weak global coronavirus outlook as well as a potential return of Libyan production that increased oversupply fears. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> plunged 4.6% to $41.15 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> dropped 4.38% to settle at $39.91 a barrel.</p><p class='black-text'><i>For Tuesday</i>, the market will most likely be impacted by remarks from Federal Reserve Chairman Jerome Powell on the Coronavirus Aid, Relief, and Economic Security Act before the House Committee on Financial Services.</p> http://www.pws.io/market-update-rise-in-global-coronavirus-cases-reignites-investment-fears Mon, 21 Sep 2020 16:34:15 -0400 Rachel Hemple FOMC Pledges to Low Rates for 'Years', Says 'Not Out of Ammo' http://www.pws.io/fomc-pledges-to-low-rates-for-years-says-not-out-of-ammo <p class='black-text'>In the last Federal Open Market Committee press conference, Federal Reserve Chairman Jerome Powell reiterated that low rates are here to stay until the economy and labor markets are back to pre-coronavirus levels. And, the committee is prepared to act if conditions further deteriorate. The stock market jumped nearly 1% following the FOMC statement but then gave up these gains and finished in the red following Powell's press conference.</p><p class='black-text'><i>Changes in Statement</i></p><p class='black-text'>This was the last FOMC meeting before the election. Given the aggressive moves made earlier this year, there wasn't any expectations of further action. However, he Fed did update its "Summary of Economic Projections" to show a smaller decline in GDP and a lower unemployment rate from its previous meeting due to the economy's continued recovery from the nadir in the Spring.</p><p class='black-text'>Another change in the FOMC statement was integrating its new inflation framework. In addition to rate cuts and a variety of programs to inject liquidity into markets, the Fed also announced a change in its framework to only hike rates if inflation was persistently above 2% rather than in anticipation of it going over 2%. In its statement, the FOMC said, "With inflation running persistently below this longer run goal, the Committee will aim to achieve inflation moderately above 2 percent for some time so that inflation averages 2 percent over time and longer-term inflation expectations remain well anchored at 2 percent."</p><p class='black-text'><i>Powell's Press Conference</i></p><p class='black-text'>At his press conference, Powell reiterated the need for Congress to deliver more fiscal stimulus as certain parts of the economy will continue to struggle without it. He noted that 11 million additional people are largely employed due to the pandemic due to economic activity being impaired in certain industries that will take time to return to previous levels. He added that the Fed's economic projections assume that additional fiscal stimulus will be delivered.</p><p class='black-text'>Powell was also forceful in stating that the Fed was not out of ammo and had plenty of tools to stimulate if necessary. He noted that these additional tools include more lending programs, further expansion of the balance sheet, and forward guidance.</p><p class='black-text'><i>Takeaways</i></p><p class='black-text'>There was nothing surprising about the FOMC meeting. The Powell Fed has been very transparent in terms of its framework and assessment of the economy. It's been quite successful in terms of relieving any stress in the "financial economy" following the coronavirus crash in February and March. This is evident by the <a href="https://www.pws.io//2020-unexpectedly-became-a-blockbuster-year-for-ipos">bustling IPO market</a>, record-low spreads on all types of debt, recovery in corporate debt, and stock prices recovering to new highs.</p><p class='black-text'>One lesson from the past decade is that monetary policy has a limited impact on the "real economy". And one lesson from the past year is that fiscal stimulus is remarkably effective in terms of stimulating the economy and seems to have blunted the worst impacts of the pandemic.</p> http://www.pws.io/fomc-pledges-to-low-rates-for-years-says-not-out-of-ammo Mon, 21 Sep 2020 13:07:26 -0400 Jaimini Desai The Year's Biggest IPO Sets Off an Avalanche of Debuts http://www.pws.io/the-years-biggest-ipo-sets-off-an-avalanche-of-debuts <p class='black-text'>It a bold turn of course, last week became the busiest week yet for the 2020 initial public offering market (IPO), with 14 new companies raising a combined total of about $8.2 billion. September's market resurgence melted a recent slowdown and paved the way for an even busier second half of the year as Wall Street continues to recover from the coronavirus pandemic.</p><p class='black-text'>Last week's largest IPO <b>Snowflake Inc.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also happened to be both the biggest pricing of the year so far and software debut ever. The cloud software company priced its shares above its already upwardly revised range at $120 each to raise roughly $3.4 million. The company is expected to benefit from business' ongoing shift to cloud-based infrastructure, with investors cashing in to make the stock pop 112% in its first day. However, the pressure from the ongoing tech sell off caused shares to decline, with Snowflake finishing its first week up only 100%.</p><p class='black-text'>In another blockbuster deal, <b>Unity Software Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/U"><span style="color:#333">(</span><span style=";">U</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="U" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="U" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="U" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its shares above its previously upwardly revised range at $52 each to raise $1.3 billion in its offering. The popular design platform has powered the creation of over half of the top 1,000 games in Apple's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Google's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> app stores. The company has also seen strong engagement amid the pandemic due to increased consumer activity in home entertainment. Unity ended its first week up 31%.</p><p class='black-text'>Another pandemic favorite, telehealth software company <b>American Well Corp. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMWL"><span style="color:#333">(</span><span style=";">AMWL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMWL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMWL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMWL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, also known as Amwell, upsized and priced its shares above the range at $18 each to raise nearly $742 million in its debut. The company is set to benefit from the increased popularity in telehealth services, as well as predictions that telehealth will become part of typical health care in the future. Amwell finished its first week up 28%.</p><p class='black-text'>Rank Group spinoff <b>Pactiv Evergreen</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTVE"><span style="color:#333">(</span><span style=";">PTVE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTVE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTVE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTVE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also priced its shares above the range to raise $574 million. The company holds high rankings for 80% of its consumer products, yet the company's volume has weakened in the past few year and it ultimately operated in a largely underperforming sector, leaving the stock to finish its first week down 15%.</p><p class='black-text'>The next large offering was brought by the commercial REIT <b>BroadStone Net Lease, Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNL"><span style="color:#333">(</span><span style=";">BNL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, pricing its shares at the low end of its range at $17 each to raise about $570 million in its debut. The company's portfolio includes over 600 properties within the United States and Canada. Yet, investors were left unimpressed due to the other big names coming to public trade, pushing the stock to end its first week down 1%.</p><p class='black-text'>Keeping the trend of blockbuster debuts, <b>JFrog Ltd</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FROG"><span style="color:#333">(</span><span style=";">FROG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FROG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FROG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FROG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its shares above its upwardly revised range at $44 each to raise an offering of over $509 million. The developments software and IT operations provider has a range of enterprise customers, but the pandemic has harmed its ARR growth and retention. That did not stop investors though, with the stock ending its first week up 47%.</p><p class='black-text'>Returning to the cloud, <b>Sumo Logic, Inc.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SUMO"><span style="color:#333">(</span><span style=";">SUMO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SUMO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SUMO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SUMO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its share above the range at $22 each to raise about $326 million. The cloud management software company has experienced a pattern of strong growth, but remain unprofitable. The did not dissuade investors, with the stock ending its first week up 14%.</p><p class='black-text'>Global private markets investment firm <b>StepStone Group, Inc.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/STEP"><span style="color:#333">(</span><span style=";">STEP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="STEP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="STEP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="STEP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was next, pricing its share offering above the range at $18 each to raise $315 million. As of June 30, 2020, the company has overseen $292 billion private markets allocations, but its operations have been harmed by the pandemic. The stock was damaged by the week's market volatility, finishing down 39%.</p><p class='black-text'>Making a splash for the health care sector, newcomer <b>Outset Medical, Inc.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/OM"><span style="color:#333">(</span><span style=";">OM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="OM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="OM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="OM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> upsized and priced its shares above the range at $27 each to raise about $242 million in its offering. The medical device maker has recently received U.S. Food and Drug Administration approval for its lead candidate to be used at home, which can lead to more growth opportunity. Investors were impressed, pushing the stock up 122% in its first week.</p><p class='black-text'>Rare disease biotech <b>Dyne Therapeutics, Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DYN"><span style="color:#333">(</span><span style=";">DYN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DYN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DYN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DYN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its upsized offering above the range at $19 each to raise roughly $233 million. The company's lead candidate is currently in early stage clinical trials, with results expected by 2022. The stock ended its first week up 19%.</p><p class='black-text'>Alzheimers biotech <b>Athira Pharma, Inc.</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ATHA"><span style="color:#333">(</span><span style=";">ATHA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ATHA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ATHA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ATHA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also upsized its offering, pricing shares at the high end of its range at $17 each to raise $204 million. The company's lead candidate has shown to be well tolerated in a Phase I clinical trial, with the company set to potentially push as Phase II/III trial by the end of the year. The stock ended up 1%.</p><p class='black-text'>Mood disorder biotech <b>COMPASS Pathways plc </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CMPS"><span style="color:#333">(</span><span style=";">CMPS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CMPS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CMPS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CMPS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continued to the trend of pricing its upsized offering above the range at $17 each to raise $128 million in debut. The company's lead candidate is currently in a Phase II clinical trial, with the biotech studying the use of psilocybin to treat depression. The stock ended up 71%.</p><p class='black-text'>After its initial delay, <b>Virtu Ltd </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VTRU"><span style="color:#333">(</span><span style=";">VTRU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VTRU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VTRU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VTRU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its shares at the low end at $16 each for its downwardly revised offering to raise $96 million. The Brazilian digital education provider is expected to benefit from the ongoing shift to distance learning, but long term may face some decline after the pandemic. The stock finished the week flat.</p><p class='black-text'>NASH biotech <b>Metacrine, Inc. </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MTCR"><span style="color:#333">(</span><span style=";">MTCR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MTCR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MTCR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MTCR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> priced its shares at the midpoint of its range at $13 each to raise just over $85 million. The company's lead candidate is slated to begin a Phase II combination trial during the first half of 2021, with data expected to be produced by the second half of 2022. Investors left this biotech relatively alone, with the stock ending its first week down 22%.</p> http://www.pws.io/the-years-biggest-ipo-sets-off-an-avalanche-of-debuts Mon, 21 Sep 2020 10:51:16 -0400 Rachel Hemple Oil’s Tomorrow: Investors Increasingly Bearish, Saudi Arabia Scolds for Non-Compliance, Potential October OPEC+ Meeting http://www.pws.io/oils-tomorrow-investors-increasingly-bearish-saudi-arabia-scolds-for-non-compliance-potential-octobe <p class='black-text'>The future of oil is looking increasingly more uncertain as numerous variables coincide to make investors increasingly more bearish. Oversupply, flattened demand, and non-compliance with OPEC+ production cuts are just some of the factors that are causing investors to become increasingly more trepidatious with the oil sector.</p><p class='black-text'>Mixed signals on the future of oil are being received from all directions. On the one hand, <a href="https://www.zawya.com/mena/en/markets/story/Oil_flat_as_Libya_developments_counter_OPEC_boost-TR20200918nL4N2GF122X9/">oil futures improved</a> after news that a blockade on Libyan oil exports would be lifted for a month. On the other hand, oil markets are <a href="https://www.worldoil.com/news/2020/9/9/oil-markets-turning-bearish-amid-signs-of-pandemic-s-accelerating-economic-impact">turning increasingly more bearish</a> as the pandemic's economic impact continues to widen. This leaves the question; is there a clear idea of the future for the oil sector? The consensus seems to be bearish in the short term, with many forecasts for 2020 being cut sharply, but with demand improving in 2021 when the pandemic is expected to wane.</p><p class='black-text'>Many eyes have been on OPEC+ during the ongoing pandemic, with expectations that the organization would address the downward spiral in demand and stymie crumbling prices. OPEC+ responded with production cuts that stopped the price spiral and allowed prices to recover modestly. It would seem, however, that there is a rising issue of non-compliance among OPEC+ members. Prince Prince Abdulaziz bin Salman, the Minister of Energy of Saudi Arabia, <a href="https://oilprice.com/Energy/Energy-General/Saudis-Scold-OPEC-Laggards-For-Trying-To-Outsmart-The-Market.html">scolded non-compliant states</a> for their lack of effort in meeting expected production cuts. Iraq and Nigeria were among the states in question and were given until September to make up for their overproduction amid the agreed-upon cuts.</p><p class='black-text'>"Full compliance is not an act of charity," <a href="https://oilprice.com/Energy/Energy-General/Saudis-Scold-OPEC-Laggards-For-Trying-To-Outsmart-The-Market.html">the Prince said</a>. "repeated promises that are not carried through in a timely fashion may have a temporary positive impact, but if these are not delivered, they can come back to bite us all."</p><p class='black-text'>The problem of overproduction was underlined by the spike of Coronavirus cases in numerous countries, which threatens to curb demand as the threat of renewed lockdowns looms over the global community. Weakening demand could force OPEC+ to take additional measures, hinted at by the possibility of an abnormal October meeting of OPEC+ if markets continue to weaken. The possibility of a special OPEC+ meeting highlights the uncertainty over the future of the oil market, even as some investors try to return to bullish sentiment.</p><p class='black-text'>Oil prices have fluctuated over the course of the week but saw heavy fluctuations on Thursday and Friday. Both West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> saw some improvement on Thursday amid Prince Abdulaziz's remarks pressing OPEC members to stick to production cuts. WTI saw a bump of roughly 4.4% on Thursday, while Brent saw a pop of about 4.4% as well. WTI fluctuated throughout Friday, missing Thursday's highs but overall remaining flat. Brent, however, was down a bit on Friday.</p> http://www.pws.io/oils-tomorrow-investors-increasingly-bearish-saudi-arabia-scolds-for-non-compliance-potential-octobe Mon, 21 Sep 2020 07:58:39 -0400 Michael Mooney Kraken Becomes First Cryptocurrency Firm in U.S. to Charter a Bank http://www.pws.io/kraken-becomes-first-cryptocurrency-firm-in-us-charter-bank <p class='black-text'>Last week, <a href="https://www.coindesk.com/kraken-crypto-exchange-secures-bank-charter-under-wyoming-law">Kraken </a>became the first cryptocurrency firm in the U.S. to charter a bank. The Wyoming Banking Board voted on Wednesday to approve the San Francisco-based crypto exchange's application for a special purpose depository institution (SPDI) charter, allowing Kraken to be the first SPDI bank. Kraken Financial CEO David Kinitsky said: "By becoming a bank we get direct access to federal payments infrastructure, and we can more seamlessly integrate banking and funding options for customers." As a state-chartered bank, Kraken enjoys a regulatory passport into other states without needing deal with a patchwork compliance plan by state. Kraken Financial will give Kraken the ability to operate in more jurisdictions and offer new products. Kinitsky added Kraken sees new products like qualified custody for institutions, digital-asset debit cards and savings accounts, new asset classes, and engagement with securities and commodities. SPDIs are not allowed to lend, Kraken expects its major revenue to come from fees and services. Kraken is now expanding operations and staff for its bank.</p><p class='black-text'><b>Here is the rest of the week in review:</b></p><p class='black-text'><a href="https://www.coindesk.com/kava-labs-harvest-defi-yield-farming-usdx-hard">Kava Labs</a> launched its first application Harvest, a yield-generating decentralized finance (DeFi) platform for Bitcoin (BTC) and other non-Ethereum (ETH) assets. The product built on the Kava blockchain allows users to stake their crypto so it can be lent out to other users. Harvest will initially support deposits of BTC, BNB, BUSD, and XRP. Kava Labs CEO Brian Kerr said the firm also plans to launch automated market makers (AMMs) like Uniswap and robo-advisors like Yearn.Finance (YFI) on the blockchain also. Similar to DeFi platform MakerDAO, Kava will let users create collateralized debt positions on the Kava protocol in exchange for a USDX stablecoin, pegged one-to-one with the US dollar (USD). Unlike Maker, Kava accepts assets outside the Ethereum ecosystem. Harvest users who borrow or lend on the app will be paid interest and HARD tokens, Harvest's governance token, which is used to incentivize liquidity on the platform. Kava is built on the Tendermint consensus algorithm, and Kava Labs conducted an initial exchange offering on Binance in October 2019 to raise seed capital.</p><p class='black-text'><a href="https://www.coindesk.com/societe-generale-tezos-digital-securities">Societe Generale's </a>tech arm confirmed plans to use up to 5 different blockchains to trial digital securities and a central bank digital currency (CBDC). Forge, a tech subsidiary of the French investment bank, announced it is experimenting with the Tezos (XTZ) blockchain to gauge its utility for capital market activities. Tezos' protocol, consensus proof-of-stake algorithm, on-chain governance, and smart contract language will be used to test for "high-value financial applications." Forge will also use Tezos for a CBDC experiment for interbank settlements, run in conjunction with the French central bank and financial regulators. Forge CEO Jean-Marc Stenger noted the firm is considering running trials on a handful of blockchains, though he declined to disclose specific names. He added Societe Generale hopes to test up to 5 separate blockchains.</p><p class='black-text'>Crypto prices rose to $349 billion this week. For the majors, Chainlink (LINK), Binance Coin, and Polkadot (DOT) posted outsized losses, while Bitcoin jumped 5.1%. In the top 100, the biggest losers were SushiSwap (SUSHI), down 31%, DFI.Money (YFII), down 30%, and Flexacoin (FXC), down 29%. The biggest gainers were Hyperion (HYN), up a whopping 111%, ABBC Coin (ABBC), up 60%, and Celsius (CEL), up 54%.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/kraken-becomes-first-cryptocurrency-firm-in-us-charter-bank Mon, 21 Sep 2020 07:55:30 -0400 Eric Yao Inside Nvidia $40 Billion Arm Semiconductors From SoftBank http://www.pws.io/inside-nvidia-40-billion-arm-semiconductors-from-softbank <p class='black-text'>Nvidia <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NVDA"><span style="color:#333">(</span><span style=";">NVDA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NVDA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NVDA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NVDA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> completed the biggest chip deal in history by acquiring Arm Semiconductors from SoftBank <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SFTBF"><span style="color:#333">(</span><span style=";">SFTBF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SFTBF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SFTBF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SFTBF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for $40 billion. Nvidia believes this acquisition will put the company in a stronger position to compete in the AI market. In a letter to employees, CEO and founder Jensen Huang said, "Uniting NVIDIA's AI computing with the vast reach of Arm's CPU, we will engage the giant AI opportunity ahead and advance computing from the cloud, smartphones, PCs, self-driving cars, robotics, 5G, and IoT."</p><p class='black-text'>Wall Street was enthusiastic about the purchase as Nvidia's market cap climbed by more than $20 billion following the announcement. Nvidia was originally focused on chips for graphics which is essentially parallel processing since each pixel needs to be different. It turned out that parallel processing has many uses include crypto, encryption, machine learning, AI, and self-driving. Many see the ARMS acquisition as Nvidia setting its sights on Intel <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/INTC"><span style="color:#333">(</span><span style=";">INTC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="INTC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="INTC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="INTC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><i>Arm Semiconductor</i></p><p class='black-text'>Arm will operate as an independent division of Nvidia and remain headquartered in the UK. The company was bought by SoftBank for $31 billion in 2015. Its IP is used in all types of devices including Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> smartphones, Samsung phones, and Qualcomm's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QCOM"><span style="color:#333">(</span><span style=";">QCOM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QCOM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QCOM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QCOM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> chips. Given that Arms' IP is in so many different chips, many of Nvidia's customers are Arm's customers. So, there's some uncertainty about how this will work, although Huang was quick to say that he wasn't going to interfere in any licensing deals.</p><p class='black-text'>The deal is also a sign that Nvidia is giving up its ambitions on building CPUs to compete with Intel and AMD <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMD"><span style="color:#333">(</span><span style=";">AMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Instead, it seems likely that it will use Arms' expertise to build CPUs for phones and data centers.</p><p class='black-text'><i>Nvidia's Incredible Ascent</i></p><p class='black-text'>What's remarkable about Nvidia is that five years ago, its market cap was less than Arms. Now, its market cap is almost 10x that of Arms. Arms' primary business is to license its IP to chipmakers so the business is pretty stable with less upside and downside than most semiconductor stocks.</p><p class='black-text'>In contrast, Nvidia is one of the leading stocks of this bull market. It's creating the infrastructure for the fastest-growing parts of the economy, right now, like cloud computing and video games and has a leading position in future growth areas. Arms' IP is in nearly every device and it's what enables different chips to work together. With this acquisition, Nvidia will get first look at ARMS' designs, giving it a leg-up against its competitors and potentially expand into the CPU market.</p> http://www.pws.io/inside-nvidia-40-billion-arm-semiconductors-from-softbank Mon, 21 Sep 2020 07:48:33 -0400 Jaimini Desai 2020 is Shaping Up to be a Blockbuster Year for IPOs http://www.pws.io/2020-unexpectedly-became-a-blockbuster-year-for-ipos <p class='black-text'>Unexpectedly, 2020 is becoming the year of the initial public offering despite March's stock market drop and the overall sentiment of uncertainty surrounding the ongoing coronavirus pandemic. September has already seen the introductions of blockbuster IPOs on Wall Street, including the largest ever software IPO Snowflake <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and other giants like American Well <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMWL"><span style="color:#333">(</span><span style=";">AMWL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMWL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMWL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMWL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, JFrog <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FROG"><span style="color:#333">(</span><span style=";">FROG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FROG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FROG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FROG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Pactiv Evergreen <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTVE"><span style="color:#333">(</span><span style=";">PTVE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTVE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTVE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTVE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Sumo Logic <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SUMO"><span style="color:#333">(</span><span style=";">SUMO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SUMO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SUMO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SUMO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Unity Software <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/U"><span style="color:#333">(</span><span style=";">U</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="U" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="U" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="U" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, all raising a combined total of nearly $7 billion.</p><p class='black-text'>But the red hot second half of the year for the IPO market is just getting started. Other big names like Asana <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ASAN"><span style="color:#333">(</span><span style=";">ASAN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ASAN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ASAN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ASAN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, GoodRx <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GDRX"><span style="color:#333">(</span><span style=";">GDRX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GDRX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GDRX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GDRX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Palantir Technologies <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PLTR"><span style="color:#333">(</span><span style=";">PLTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PLTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PLTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PLTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> are so set to debut in September, with the year's pipeline also anticipated to contain big names like house-rental giant Airbnb, GrubHub <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GRUB"><span style="color:#333">(</span><span style=";">GRUB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GRUB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GRUB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GRUB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> rival DoorDash and e-commerce firm Wish. Meanwhile, ByteDance's TikTok may even be planning a U.S. public offering of its global social media platfrom, <a href="https://www.reuters.com/article/us-usa-tiktok-china/bytedance-plans-tiktok-ipo-to-win-u-s-deal-as-deadline-looms-sources-idUSKBN2682NL">according to Reuters' sources.</a></p><p class='black-text'>Reaching into global markets, Alibaba's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BABA"><span style="color:#333">(</span><span style=";">BABA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BABA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BABA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BABA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fintech segment Ant Group is prepping a dual-listing IPO on both the Shanghai Stock Exchange and the Hong Kong Stock Exchange. The stock's offering is anticipated to worth up to $30 billion, making it potentially the biggest IPO ever. Meanwhile, London Stock Exchange just added its biggest offering in seven year with the e-commerce firm The Hut Group, and other European firms like Germany's defense firm Hensoldt, and Poland's e-commerce giant Allergo are both expected to enter public trade this year.</p><p class='black-text'>The easiest way for an investor to add all of this IPO market action to their portfolio instead of picking and choosing stocks that may or may not preform well in the long run is through an exchange-traded fund. Renaissance Capital offers two broad exposure initial public offering ETFs that follow the largest recently public companies within the last few years: <b>Renaissance IPO ETF</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IPO"><span style="color:#333">(</span><span style=";">IPO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IPO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IPO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IPO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which holds newly public companies in U.S. markets; and <b>Renaissance International IPO ETF</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IPOS"><span style="color:#333">(</span><span style=";">IPOS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IPOS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IPOS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IPOS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which tracks large recently public companies from global markets.</p> http://www.pws.io/2020-unexpectedly-became-a-blockbuster-year-for-ipos Fri, 18 Sep 2020 17:14:44 -0400 Rachel Hemple Market Update: Indices Slump as Stocks Lag Under Tech's Pressure http://www.pws.io/market-update-indices-slump-as-stocks-lag-under-techs-pressure <p class='black-text'>Wall Street continued its sluggish decline throughout Friday's session, with mega-cap tech shares commanding the lead of the broader market despite some encouraging economy progress made this week. All three major benchmarks ended the week in the red, with the S&P 500 leading the decline by a drop of 0.64%, the Nasdaq posting its worst week in months falling 0.56%, and the Dow almost eking out a gain but ultimately slipping 0.03%.</p><p class='black-text'>Recent declines from major tech stocks like Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have slumped the broader market just a few sessions after the stock's reached new record highs.</p><p class='black-text'>Yet, fresh U.S. economic data shows signs of recovery, although the recovery is happening slower than previously predicted. The consumer sentiment index tracked by the University of Michigan's Surveys of Consumers gained higher in preliminary reports for September than expected, rising to 78.9 from August's 74.1. The index now rests at its highest level since the coronavirus pandemic began in the U.S., but remains lower from February's level of 101.0.</p><p class='black-text'>Meanwhile, tensions between the U.S. and China has begun to flare up yet again, with the Trump administration announcing that it will block all TikTok and WeChat downloads in the U.S. on Sunday. The news pressured Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares as the company seeks to take a minority stake in the ByteDance subsidiary.</p><p class='black-text'><b>Here's how the market closed out the week:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.12% or -37.68 points to 3,319.33</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -0.88% or -244.69 points to 27,657.29</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.07% or -116.99 points to 10,793.28</p><p class='black-text'><i>For Major Stock News</i>, Unity Software <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/U"><span style="color:#333">(</span><span style=";">U</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="U" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="U" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="U" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> opened its shares at over $70 following its $52 per share initial public offering. The stock ended its first day of trading up 31% following the blockbuster debut of Snowflake <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which is currently the biggest software IPO in history. Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares gained ahead of its upcoming Battery Day, with Morgan Stanley <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MS"><span style="color:#333">(</span><span style=";">MS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> stating that the event could be "potentially narrative changing" for the electric car company. Dave and Buster's Entertainment <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PLAY"><span style="color:#333">(</span><span style=";">PLAY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PLAY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PLAY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PLAY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> settled its roller coaster week up almost 17% after an upgrade from Raymond James called the stock's recent sell-off "overdone."</p><p class='black-text'><i>For Sector Performance</i>, every industry ended Friday's session lower as the broader market declined. The negative performance losses were as follows: Real Estate -1.96%, Utilities -1.79%, Materials -1.72%, Information Technology -1.66%, Consumer Discretionary -1.44%, Energy -1.16%, Communication Services -1.10%, Industrials -1.08%, Consumer Staples -0.92%, Financials -0.24% and Health Care -0.13%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continued to lose strength against rival currencies as the Federal Reserve's updated monetary policy hinted at slower economic recovery from the coronavirus financial crisis. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> rose on the greenback's weakness. Spot gold rose 0.6% to $1,953.72, while gold futures settled higher by 0.6% at $1,962.10. <b>Crude</b> oil futures left Friday mixed despite an OPEC+ decision to leave production targets unchanged to respond to lower demand outlooks. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> slid lower to price at $42.75 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> rose 0.35 higher to $41.11 per barrel.</p><p class='black-text'><i>For the week ahead</i>, a few major companies are scheduled to deliver quarterly earnings including Costco <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/COST"><span style="color:#333">(</span><span style=";">COST</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="COST" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="COST" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="COST" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Nike <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKE"><span style="color:#333">(</span><span style=";">NKE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Tesla's Battery Day is also slated for Tuesday.</p> http://www.pws.io/market-update-indices-slump-as-stocks-lag-under-techs-pressure Fri, 18 Sep 2020 15:45:20 -0400 Rachel Hemple Company Profile: Snowflake http://www.pws.io/company-profile-snowflake <p class='black-text'>Snowflake <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was the biggest software IPO in history. Prior to the IPO, it was expected to go public between $100 and $110. It actually ended up opening around $245 due to much stronger demand than anticipated. The stock actually hit a high of $315 before closing around $250. This gives the company a valuation of just over $70 billion.</p><p class='black-text'><i>Snowflake's Success</i></p><p class='black-text'>Although the company is only five years old, its forecasting $800 million in revenue over the next 12 months. Snowflake believes its total addressable market is $120 billion given that $80 billion is spent on cloud data and $50 billion is spent on cloud analytics. Of course, both figures will also be growing given that spending on cloud computing is expected to grow at a 22.3% cumulative annual growth rate over the next 5 years.</p><p class='black-text'>Currently, Snowflake has 20% of the Fortune 500 as customers. And, it's the fastest-growing company in the stock market with over $100 million in revenue. It also has gross margins above 80%. On a quarterly basis, it's shown a remarkable ability to add more customers and increase revenue per customer.</p><p class='black-text'>Snowflake's strength is a reflection of investors' bullish risk appetites and the company's massive potential. Snowflake is a "data cloud" company that is built on top of the major existing cloud computing platforms - Google Cloud <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Microsoft's Azure <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Amazon Web Services <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'><i>Data Warehouse</i></p><p class='black-text'>Snowflake's business solves a pressing need for companies and helps them improve their operations which theoretically will help them make more money. Companies are producing immense amounts of data across the various units of their business. There is so much data that companies don't have the resources to analyze and extract insights from it.</p><p class='black-text'>Snowflake solves these problems by taking these "data lakes" and reassembling them into digital "data warehouses" where the data is organized by various categories even across different business segments. Once organized, companies can run queries to extract meaning and context from this data which can then be used to become more efficient and improve operations.</p><p class='black-text'><i>Competition</i></p><p class='black-text'>It's interesting that Snowflake's competitors are the cloud platforms that it built its business on top of. Amazon, Google, and Microsoft offer their own cloud data services. However, these have not gained the traction that Snowflake has for a couple of reasons.</p><p class='black-text'>One is that the legacy cloud data warehouse only works on their systems, while Snowflake works on all three platforms. This means it's more flexible and companies aren't necessarily locked into one platform. More importantly, across all benchmarks, Snowflake's software works better in terms of delivering better results while using less computing power.</p><p class='black-text'>It's not entirely surprising since Snowflake was built from scratch to solve this one problem by a team of data engineers from Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. But, this does mark one of the few times that the mega-cap technology stocks have been defeated by an upstart despite deeper pockets and a first-mover advantage. Additionally, Snowflake will benefit from network advantages as its software will iterate and improve with more data, more queries, and more users.</p><p class='black-text'>Another long-term opportunity is that companies will be able to selectively choose what data it would like to make public or share with others. Through this, Snowflake will be able to create data markets and be a data broker which could also be another revenue driver in future years.</p><p class='black-text'>It's also an indication that Amazon, Microsoft, and Google might not be best equipped to build the higher-value services and products on top of the cloud platforms they have built. In some ways, it's like how the Internet Service Providers made the Internet possible by laying fiber and connecting homes, but companies like Google and Facebook have created more value building on top of the Internet than the ISPs created themselves.</p> http://www.pws.io/company-profile-snowflake Fri, 18 Sep 2020 11:58:17 -0400 Jaimini Desai Nikola's Clash with Short Seller Hindenburg Research Continues http://www.pws.io/nikolas-clash-with-short-seller-hindenburg-research-continues <p class='black-text'>Nikola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKLA"><span style="color:#333">(</span><span style=";">NKLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> graced headlines as they announced their partnership to start rolling out Nikola's trucks, be their new deal excitement was not made to last. Hindenburg Research stepped in with claims of fraud and deception coming from the electric semi-truck maker.</p><p class='black-text'>Hindenburg claimed Nikola's CEO Trevor Milton made false claims of having proprietary tech, and that the vehicles in their videos were not functional. Nikola fired back, saying Hindenburg's claims were false and designed specifically to undercut them just as their stock prices rose from their deal with GM. The deal is still set to close on September 30, but the allegations from Hindenburg have gone far enough to spark a probe from the U.S. Securities and Exchange Commission.</p><p class='black-text'>Now, it seems while Nikola is standing by their stance that Hindenburg's claims are false, they have admitted that their truck in a promotional ad was not functional at the time, but of course, there is more to it than just that.</p><p class='black-text'>Hindenburg showed evidence that Nikola towed their truck to a long, low grade hill and simply filmed the truck rolling down it. While this was true, Nikola was quick to call that claim a lie, instead saying that the ad, titled "Nikola On Electric Semi Truck In Motion", was just that: "in motion." The defense they provided was that they never explicitly stated the truck was moving under its own propulsion, and therefore their ad was not deceptive.</p><p class='black-text'>Throughout it all, GM is still standing by their deal. Under the deal, GM will be supplying engineering services, production capacity, and even batteries and fuel cells to Nikola. In return, Nikola will be sending GM over $4 billon in benefits over the life of the contract, including from newly issued shares of Nikola.</p><p class='black-text'>According to a quote in <i>Ars Technica</i> from Guidehouse auto industry analysis Sam Abuelsamid, there is no downside for GM in this deal. Its seems money will be flowing to GM throughout the deal, with Nikola paying $700 million to cover the cost of building manufacturing for their Badger truck, $2 billion in stock, and GM getting to keep 80% of the valuable electric vehicle regulatory credits from the trucks. GM likely won't see a downside to this deal, allegations and claims from Hindenburg notwithstanding.</p> http://www.pws.io/nikolas-clash-with-short-seller-hindenburg-research-continues Fri, 18 Sep 2020 11:53:34 -0400 Amanda Little The Future of GM: The Ultium Drive and Flying Cars http://www.pws.io/the-future-of-gm-the-ultium-drive-and-flying-cars <p class='black-text'>The future of General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is set to focus on electric vehicles and, interestingly, flying cars. The company is seeking to expand its electric vehicle lineup as it prepares to convert its product line to become fully electric and is looking to apply its electric propulsion system to aerial mobility.</p><p class='black-text'>On Wednesday, GM announced the plans for the future of the company. The future of GM is a <a href="https://www.cnbc.com/2020/09/16/gm-to-manufacture-its-own-family-of-electric-vehicle-drive-systems-motors.html">fully electric lineup</a> with a vertically integrated business model, akin to that of Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The core of GM's future is its "Ultium Drive" system, a system of interchangeable drive units and motors that can be installed on any vehicle in GM's lineup. The flexibility of the Ultium Drive, according to GM, will even allow it to power large pickups and sports cars.</p><p class='black-text'>"General Motors' next-generation EVs are expected to be powered by a family of five interchangeable drive units and three motors, known collectively as "Ultium Drive." Ultium Drive will help the company transition its current portfolio to a fully electric lineup, providing significant advantages over GM's previous EVs in performance, scale, speed to market, and manufacturing efficiencies," GM said.</p><p class='black-text'>The advantage of GM's Ultium Drive is the increased driving range, thanks to the drive's design, which is more economical than many existing EV drives. The drive is also smaller, allowing more room for passengers and cargo space.</p><p class='black-text'>Flying cars, stuck mainly in the domain of science fiction, may soon be a reality thanks to GM. CEO Mary Barra <a href="https://www.reuters.com/article/idUSKBN2662L9">referred to air vehicles on Monday</a>, saying that the Ultium Drive's versatility could allow it to power an air vehicle. More specifically, GM would likely be aiming for an air taxi, a vertical take-off and landing vehicle that uses electric motors instead of combustion engines.</p><p class='black-text'>Air taxis are far from being commonplace, but working prototypes have been tested by numerous air taxi startups. Volocopter is one such startup, which has produced and demonstrated a working prototype. It is currently unknown if GM intends to build their own air taxies, or if they will partner with one such startup to produce them.</p> http://www.pws.io/the-future-of-gm-the-ultium-drive-and-flying-cars Fri, 18 Sep 2020 09:26:10 -0400 Michael Mooney Microsoft’s Project Natick Concludes with Promising Results http://www.pws.io/microsofts-project-natick-concludes-with-promising-results <p class='black-text'>Microsoft's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Project Natick, which saw the deployment of a prototype submersible data center off the coast of Scotland, was a smashing success, according to the company. The data center performed better than on-land centers in the two-year trial period that it was submerged.</p><p class='black-text'>According to a <a href="https://news.microsoft.com/innovation-stories/project-natick-underwater-datacenter/">press release</a> from Microsoft, the undersea data center, which was submerged off the coast of the Orkney Islands in Scotland, was hauled up from the bottom of the sea earlier in the summer. When retrieved, the submersible data center was covered in barnacles and sea anemones but was otherwise intact. Engineers tested the internal atmosphere of the capsule, finding that the dry-nitrogen atmosphere was still within acceptable limits. Upon removing the servers and their attached cooling units, all units were found to have been spared from any water damage.</p><p class='black-text'>Paramount among Microsoft's findings was that the undersea data center was more reliable than its counterpart, an identical server farm housed on land to serve as the control group. According to Microsoft, the undersea data center was eight times more reliable than the control unit on land. Microsoft explained the reliability resulting from the nitrogen atmosphere contained within the capsule, as nitrogen is less corrosive than oxygen. The lack of employees bumping into servers and causing increased wear and tear also significantly contributed to the reduced failure rate with the server farm.</p><p class='black-text'>Sustainability was also a critical factor in the project. The Orkney Islands are entirely supplied by wind and solar power, which meant that the servers were wholly powered by renewable energy. Being located underwater also provides an endless supply of coolant, negating the need for freshwater.</p><p class='black-text'>"We have been able to run really well on what most land-based datacenters consider an unreliable grid. We are hopeful that we can look at our findings and say maybe we don't need to have quite as much infrastructure focused on power and reliability," <a href="https://news.microsoft.com/innovation-stories/project-natick-underwater-datacenter/">said Spencer Fowers</a>, a member of the Project Natick staff at Microsoft.</p><p class='black-text'>Project Natick was incepted in 2014 at Microsoft's ThinkWeek, being proposed as a means of providing cloud services to coastal populations and cutting down on energy consumption. The initial test run was in 2015, with a 105-day test in the Pacific Ocean.</p> http://www.pws.io/microsofts-project-natick-concludes-with-promising-results Fri, 18 Sep 2020 09:23:20 -0400 Michael Mooney Europe's Coronavirus Outbreak is Becoming a "Very Serious Situation," Says Top W.H.O. Official http://www.pws.io/europes-coronavirus-outbreak-is-becoming-a-very-serious-situation-says-top-who-official <p class='black-text'>A top World Health Organization official warned on Thursday that Europe's coronavirus outbreak is becoming a "very serious situation" due to a resurgence of new infections following a respite throughout the summer months.</p><p class='black-text'>"We have a very serious situation unfolding before us," said Hans Kluge, W.H.O.'s regional director for Europe, during a Thursday <a href="https://twitter.com/WHO_Europe/status/1306518129854435333?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1306518129854435333%7Ctwgr%5Eshare_3&ref_url=https%3A%2F%2Fwww.cnbc.com%2F2020%2F09%2F17%2Fcoronavirus-latest-europe-jittery-as-cases-rise-and-lockdowns-return.html">press briefing</a> on the coronavirus outbreak's situation in the region. "Weekly cases have now exceeded those reported when the pandemic first peaked in Europe in March."</p><p class='black-text'>Last week, the region reported over 300,000 new infections with the majority of the increase coming from younger populations, similar to how new hotspots in the United States are in the surrounding areas of college campuses. However, the number of cases of those in more vulnerable populations including older individuals is also rising as well.</p><p class='black-text'>"More than half of European countries have reported a greater than 10% increase in cases in the past two weeks...Although these numbers reflect more comprehensive testing, it also shows alarming rates of transmission across the region," Kluge added.</p><p class='black-text'>As Europe heads towards its colder months, broad lockdown measures may need to be reinstated to curb the severity of impeding outbreaks. At this time the coronavirus's foothold on the region, and the entire world, depends on the rapid development and distribution of a safe and effective vaccine.</p><p class='black-text'><i>Vaccine Update </i></p><p class='black-text'>Coronavirus vaccine frontrunner Moderna <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MRNA"><span style="color:#333">(</span><span style=";">MRNA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MRNA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MRNA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MRNA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr><a href="https://www.modernatx.com/sites/default/files/mRNA-1273-P301-Protocol.pdf"> released a 135-page document</a>, called its protocol, on Thursday that details how the biotech is conducting its late-stage clinical trial of its candidate, including how the safety and efficacy of the drug will be determined. Pfizer <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PFE"><span style="color:#333">(</span><span style=";">PFE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PFE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PFE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PFE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has also provided its plan for its Phase III trial, aiming to be as transparent as possible with the public.</p><p class='black-text'>Moderna's protocol notably suggests that the first total analysis of the large trial's data may not be conducted until December, with it possibly not providing enough information to determine if the vaccine is effective in prevention COVID-19 infection. Later analysis, scheduled for March and May, will more likely prove its efficiency.</p><p class='black-text'>Unlike Moderna, Pfizer's plan did not include a timeline for analysis, <a href="https://www.nytimes.com/2020/09/17/health/covid-moderna-vaccine.html">according to the </a><i><a href="https://www.nytimes.com/2020/09/17/health/covid-moderna-vaccine.html">New York Times</a></i>. However, the company has in the past stated that it will likely know the effectiveness of its candidate as early as October.</p><p class='black-text'>Both vaccine candidates are in the middle of their late-stage clinical trials, with Moderna aiming to involve 30,000 participants and Pfizer 44,000.</p><p class='black-text'>Yet, the added transparency may still not be enough to persuade the American public to get a vaccine once they are approved for use by the U.S. Food and Drug Administration. According to a <a href="https://www.pewresearch.org/science/2020/09/17/u-s-public-now-divided-over-whether-to-get-covid-19-vaccine/?utm">new Pew Research poll</a>, only 51% of U.S. adults surveyed now say that would definitely or probably get a vaccine if its were available immediately, leaving the other half of the country unvaccinated. That is a significant drop from the 72% that said they would get a vaccine back <a href="https://www.pewresearch.org/fact-tank/2020/05/21/most-americans-expect-a-covid-19-vaccine-within-a-year-72-say-they-would-get-vaccinated/">in May</a>.</p> http://www.pws.io/europes-coronavirus-outbreak-is-becoming-a-very-serious-situation-says-top-who-official Thu, 17 Sep 2020 20:13:22 -0400 Rachel Hemple Market Update: Tech Shares Drag Broader Market Lower as Sentiment Sours http://www.pws.io/market-update-tech-shares-drag-broader-market-lower-as-sentiment-sours <p class='black-text'>Stocks ended Thursday's session in negative territory as major tech shares continued to drive the broader market lower and caution took hold of investor sentiment following the Federal Reserve's updated monetary policy decision. The ongoing tech sell-off pushed the Nasdaq to its worst day in 5 session, with Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> all declining at least 10% in September.</p><p class='black-text'>Meanwhile, mixed messages about a pending coronavirus vaccine and slow economic recovery have soured sentiment due to increased uncertainty. Late Wednesday, President Donald Trump said that the U.S. will be able to distribute a vaccine to the public as early as October, which contradicted Centers for Disease Control and Prevention Director Robert Redfield's earlier statement that vaccines will likely be available in 2021.</p><p class='black-text'>Moreover, the Labor Department's weekly jobless claims for the week ended Sept. 12 totaled a more-than-expected 860,000. Yet encouragingly, continuing unemployment claims fell below 13 million to a less-than-expected 12.628 million, showing slow progress, but nonetheless progress towards job market recovery.</p><p class='black-text'><b>Here's how the market settled on Thursday: </b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -0.84% or -28.48 points to 3,357.01</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -0.47% or -130.40 points to 27,901.98</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -1.27% or -140.19 points to 10,910.28</p><p class='black-text'><i>For Major Stock News</i>, Ford <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/F"><span style="color:#333">(</span><span style=";">F</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="F" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="F" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="F" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced that it will differentiate its upcoming all-electric F-150 pickup from Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> by offering heavy-duty hauling and towing rather than recreation perks. Furniture giant Herman Miller <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MLHR"><span style="color:#333">(</span><span style=";">MLHR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MLHR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MLHR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MLHR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> soared Thursday as the company reinstated its dividend following its better-than-expected quarterly earnings. The Wall Street Journal reported that Dave & Buster's Entertainment <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PLAY"><span style="color:#333">(</span><span style=";">PLAY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PLAY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PLAY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PLAY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> may declare bankruptcy is an agreement is not reached with lenders.</p><p class='black-text'><i>For Sector Performance</i>, most industries fell during Thursday's lackluster session, with only Materials +0.76%, Industrials +0.23% and Energy +0.21% rising above the broader market trend. Those that ended the session with negative performance were as follows: Real Estate -2.19%, Communication Services -1.83%, Consumer Discretionary -1.59%, Financials -1.00%, Information Technology -0.84%, Utilities -0.82%, Consumer Staples -0.65% and Health Care -0.31%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell flat on Thursday following the central bank's new monetary policy statement, with investors fearing that long-term low rates and inflation will harm any strength gained by the greenback. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> prices also fell under the new monetary policy, with investors raising concerns that low-interest rates and inflation will bring less momentum for the yellow metal. Spot gold fell 0.8% to $1,943.87 per ounce, while futures settled down 1.1% at $1,949.90 per ounce. <b>Crude</b> oil futures rose, extending Wednesday's momentum as OPEC+ said its would crack down on countries that fail to comply with output cuts. The oil producer group also announced that they will hold an extraordinary meeting in October with oil market weakness continued. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> increased 2.3% to $43.21 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> climbed 2% to settle at $40.97 per barrel.</p><p class='black-text'><i>For Friday</i>, investors will turn their attention to fresh data on consumer sentiment.</p> http://www.pws.io/market-update-tech-shares-drag-broader-market-lower-as-sentiment-sours Thu, 17 Sep 2020 17:21:42 -0400 Rachel Hemple Cybersecurity Stocks Remain Attractive http://www.pws.io/cybersecurity-stocks-remain-attractive <p class='black-text'>We live in a low growth world with abundant liquidity. This means that any sectors offering growth potential are likely to see inflated values due to a simple supply and demand issue. So, it's interesting to note that cybersecurity stocks remain reasonably valued.</p><p class='black-text'>The cybersecurity ETF, HACK, has a price to earnings ratio of 25. This is cheaper than the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> especially as the industry is going to have much faster growth rates with higher margins.</p><p class='black-text'>Spending on cybersecurity by companies is going to increase at a cumulative annual growth rate of between 15 to 20% over the next decade. Companies are migrating to the cloud, not just data but increasingly the software that powers their business. This means protecting these operations becomes even more important.</p><p class='black-text'>Moving to the cloud makes companies leaner and more efficient but it does make them more vulnerable to hackers. Cybersecurity is increasingly like insurance in that it's a cost of business. The number and sophistication of these threats will continue to grow.</p><p class='black-text'>Recent earnings reports from these companies were pretty positive with companies raising guidance. The increase in remote work also increases the demand for cybersecurity as this creates another point of vulnerability that hackers can take advantage of.</p><p class='black-text'><b>Here are some of the most interesting cybersecurity stocks:</b></p><p class='black-text'><i>Cloudflare <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NET"><span style="color:#333">(</span><span style=";">NET</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NET" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NET" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NET" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr></i></p><p class='black-text'>Cloudflare is the cybersecurity software behind most large websites that prevent DDOS attacks which previously used to shut down major websites. Cloudflare solves a major problem for businesses with any sort of online presence.</p><p class='black-text'>Unlike other cybersecurity stocks, Cloudflare is not cheap as it has an $11 billion market cap with $300 million in sales. However, it's growing sales at a 47% rate and has 77% gross margins. Further, the company is exceptional at retaining customers which is a testament to the effectiveness of its product.</p><p class='black-text'><i>FireEye <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FEYE"><span style="color:#333">(</span><span style=";">FEYE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FEYE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FEYE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FEYE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr></i></p><p class='black-text'>FireEye is considered one of the leading companies in terms of cloud security. Its stock has been a major laggard relative to the Nasdaq and its peers. For the last 5 years, it's traded between $10 and $20.</p><p class='black-text'>Its current focus is on becoming profitable as it expects to turn a profit of around $70 million next year which will give it a forward price to earnings ratio of 40. Unlike other high-flyers, FireEye has less risk, but it's also showing slowing sales growth which is a major red flag.</p><p class='black-text'><i>ZScaler <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ZS"><span style="color:#333">(</span><span style=";">ZS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ZS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ZS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ZS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr></i></p><p class='black-text'>Zscaler IPO'd in 2019 and is more than 5 times higher. It's also in the cloud security segment. Its strong performance, relative to FireEye, is due to its 40% sales growth and track record of customer retention which means most of its revenue is recurring.</p><p class='black-text'>Once a company starts using Zscaler's security products, they're less likely to switch which gives Zscaler pricing power and an opportunity to sell more services. The company saw a big increase with the increase in remote work as it offers a remote access service which was certified by the federal government due to its high-level of security.</p> http://www.pws.io/cybersecurity-stocks-remain-attractive Thu, 17 Sep 2020 14:14:58 -0400 Jaimini Desai Amazon's Ongoing Hiring Spree, Looking to the Future http://www.pws.io/amazons-ongoing-hiring-spree-looking-to-the-future <p class='black-text'>The coronavirus pandemic has caused problems for the U.S. job market. There have been numerous layoffs, hiring freezes, and record numbers of unemployment. Many companies are affected by this current economic crisis, but Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to grow larger, with the e-commerce giant expanding its workforce to keep up with high delivery demand and the changing consumer climate.</p><p class='black-text'>Amazon is seeking to bring in 33,000 new employees for corporate and tech jobs for the next few months in addition to hiring more hourly workers within its operational network. The company started a hiring frenzy since the beginning of the pandemic due to a rise in online orders. According to <i>CNBC</i>, <a href="https://www.cnbc.com/2020/09/09/amazon-is-on-a-hiring-spree-amid-widespread-coronavirus-layoffs-and-record-unemployment.html">Amazon hired 36,400 in June bringing their workforce to 876,800</a>, with the e-commerce giant expressing the goal of reaching 1 million employees worldwide.</p><p class='black-text'>The company's biggest recent hire is former National Security Agency Chief Keith Alexander, with the company appointing the former chief to its board of directors. Alexander is a figure of controversy due to his involvement in illegal mass surveillance that was leaked by whistleblower Eric Snowden back in 2013.</p><p class='black-text'>The hiring of Alexander will give Amazon an advantage in acquiring defense contracts and expand connections within the world of intelligence. Amazon was close to closing a $10 billion JEDI contract with the Pentagon but lost the contract to Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The company remains in a current lawsuit battle with the federal government citing unfair tactics.</p><p class='black-text'>Despite the setback, Amazon's delivery services have remained in high demand. Amazon has hired 175,000 new employees to keep up with the influx of deliveries. In addition, the company has raised into average salary for tech and corporate positions to $150,000 per year, with new hires set to start on a work-from-home basis, but then slowly return to the office as the coronavirus pandemic subsides.</p><p class='black-text'>Jane Oates, president of the nonprofit WorkingNation and a former assistant secretary at the U.S. Department of Labor, <a href="https://www.usatoday.com/story/money/2020/09/09/amazon-online-career-fair-2020-resume-help/5764220002/">said </a>that Amazon is different from other companies in that it's thinking about its future workforce. For example, it announced a program last year to retrain 100,000 of its workers for tech jobs by 2025.</p><p class='black-text'>"They're not only looking for the jobs that need to be done today, but they're also looking at what's next," she said.</p> http://www.pws.io/amazons-ongoing-hiring-spree-looking-to-the-future Thu, 17 Sep 2020 14:11:36 -0400 Tyrone Townsend YouTube Shorts and Instagram Reels Battle TikTok for Likes http://www.pws.io/youtube-shorts-and-instagram-reels-battle-tiktok-for-likes <p class='black-text'>Anyone in love with bite-sized videos knows about TikTok, and its infamy, with the ByteDance-owned app is filled with all genres from Gen Z and Millennial creators. Despite its wide appeal, the app has come under scrutiny from the Trump administration for national security concerns as the app houses user data in China. This has led to threats of TikTok becoming banned in the U.S., which in turn has lead to Oracle's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> pending acquisition of part of the app's global business. In the meantime, other platforms have rushed to compete with the social media phenomenon, especially with its future in the U.S. still hanging in the balance.</p><p class='black-text'>Instagram <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Reels were first out the gate and have already launched. While they offer many of the same editing options as TikTok, they are only 15 seconds long, but multiple reels can be recorded back to back. Similar to TikTok, they have a progression bar across the top and the ability to stop recording and restart, which is what made transitions so popular on TikTok. Instagram has also created a separate tab for reels to be viewed, apart from regular photos. Of course, Reels can also be shared to a user's story, only to vanish 24 hours later, per usual.</p><p class='black-text'>YouTube's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOG"><span style="color:#333">(</span><span style=";">GOOG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Shorts haven't progressed nearly as quickly as Instagram. While reports of a short-form video creation option for YouTube had surfaces months ago, the company has only just released a beta version of YouTube Shorts thats only available in India at the moment. Like TikTok and Reels, YouTube Shorts do have in-product music to lay over user's videos, but it seems like the audio library seems to vary from app to app. YouTube plans to prominently feature the "create" icon for shorts and seem optimistic about its future. According to CEO Susan Wojcicki in a statement to <i>NBC News, </i>when YoutTube released their stories section, it did very well among creators. Luckily, YouTube already has an edge against Instagram. While their beta version has started small, users are already taking to it better than Reels. Instagram was first a photo media site, and that made users slow to pick up Reels. Meanwhile, YouTube has always been video-first. It seems like this kind of user base could be YouTube Shorts saving grace.</p> http://www.pws.io/youtube-shorts-and-instagram-reels-battle-tiktok-for-likes Thu, 17 Sep 2020 13:50:16 -0400 Amanda Little Microsoft Unveils “Slimmed Down” Xbox Series X and Unit Prices, Sony Prices PlayStation 5 http://www.pws.io/microsoft-unveils-slimmed-down-xbox-series-x-and-unit-prices-sony-prices-playstation-5 <p class='black-text'>Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has revealed a "slimmed down" version of its next-generation Xbox, which is roughly half of the price of its flagship Xbox Series X unit. Microsoft has also revealed the prices of its next-generation consoles, which has prompted Sony <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNE"><span style="color:#333">(</span><span style=";">SNE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to drop the price of its PlayStation 5 to compete.</p><p class='black-text'>Microsoft's Wednesday <a href="https://news.xbox.com/en-us/2020/09/09/xbox-series-x-and-xbox-series-s-launching-november-10/">announcement</a> dropped the release date for its next-generation Xbox console, with a <a href="https://news.xbox.com/en-us/2020/09/09/introducing-xbox-series-s/">separate announcement</a> revealing a "slimmed down" version of the console for roughly half the price. The Xbox Series X, the flagship console for the upcoming generation at Microsoft, is priced at $499, while the newly revealed Xbox Series S is priced at $299.</p><p class='black-text'>The Xbox Series S is a "slimmer" unit lacking several features found on the full Series X to compensate for its lower price. According to a comparison on Microsoft's announcement, the Series S has downgraded hardware, such as a smaller CPU and GPU. The Series S will also come with less storage and will lack a Blu-Ray drive, requiring all games to be digitally purchased. Microsoft has stated that the Series S will still perform far better than the Xbox One, but at a lower resolution than the Series X.</p><p class='black-text'>To sweeten the deal, Microsoft also released a <a href="https://news.xbox.com/en-us/2020/09/09/get-ea-play-with-xbox-game-pass-at-no-additional-cost/">third announcement</a> that unveiled a partnership with publishing giant Electronic Arts <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/EA"><span style="color:#333">(</span><span style=";">EA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="EA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="EA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="EA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The partnership will allow Xbox Game Pass Ultimate subscribers access to EA Play, a similar subscription-based gaming service with access to over 60 major EA published titles. Like games available on Game Pass, EA Play games will be accessible on Xbox Series X, S, and One consoles, as well as Windows 10 PCs. Microsoft's latest partnership is only the latest move by the tech giant to give it an edge over competitor Sony; it was <a href="https://www.pws.io/microsoft-bundles-xcloud-with-xbox-game-pass-for-next-gen-launch">announced back in July</a> that Microsoft would offer a bundle including Game Pass access, as well as access to xCloud, Microsoft's cloud-based game streaming service.</p><p class='black-text'>Following Microsoft's lead, Sony announced that the PlayStation 5 will cost $499.99 and launch on November 12. Sony is also offer a $399.99 Digital Edition of its console, pulling the two rival consoles into a new consumer choice battle.</p> http://www.pws.io/microsoft-unveils-slimmed-down-xbox-series-x-and-unit-prices-sony-prices-playstation-5 Thu, 17 Sep 2020 10:03:48 -0400 Michael Mooney Apple Announces New Services Bundle http://www.pws.io/apple-announces-new-services-bundle <p class='black-text'>Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> had its Product Day, and it announced a slew of new products. However, it disappointed some who were hoping for the unveiling of the iPhone 12.</p><p class='black-text'>Some of the major reveals were the Apple Watch 6, Apple Watch SE, iPad 8, a new iPad Air, Fitness+ Workout Services, and the Apple One Services Bundle. It also unveiled iOS 14, the newest iPhone operating system which includes new security features, widgets, and different ways to organize the home screen.</p><p class='black-text'><i>Services Bundle</i></p><p class='black-text'>While most of the product announcements were simply updated versions of existing products, the Apple One Services Bundle is probably the most meaningful new product announcement. It packages Apple Music, Apple News+, Apple TV+, and Apple Cloud together.</p><p class='black-text'>It has an individual tier for $14.95, a family subscription for $19.95, and a premium version that also includes Fitness+ and Apple News + for $29.95 a month. Fitness+ is a new product designed to stream exercise classes which in some ways makes it a Peloton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTON"><span style="color:#333">(</span><span style=";">PTON</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTON" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTON" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTON" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> competitor. The Fitness+ syncs with an Apple Watch that displays real-time biofeedback.</p><p class='black-text'>It continues Apple's focus on diversifying its revenue stream away from physical products to higher-margin, services that are deserving of a higher multiple. This successful pivot is in some ways responsible for its multiple expansion over the past 12 months.</p><p class='black-text'><i>Services Business is Apple's New Growth Driver</i></p><p class='black-text'>During this period, Apple's stock price is up more than 100%, while its earnings and revenue have been pretty flat. Analysts attribute it to the growth in its services business in addition to expectations that the 5G-enabled iPhone 12 will drive a massive upgrade cycle.</p><p class='black-text'>Apple's Services encompass Apple Pay, iTunes, Apple Cloud, Apple Music, and the App Store generated $13.4 billion in the last quarter. Analysts estimate that the unit would be worth $100 billion if it was spun out as an independent entity. In total, it has 515 million subscriptions.</p><p class='black-text'>People spend money on a device, laptop, or tablet once every couple of years. In contrast, these subscriptions are a source of recurring monthly revenue. Over time, there will be more pricing power as well.</p><p class='black-text'><i>Controversy</i></p><p class='black-text'>In a sense, the device gets people into the ecosystem to sell them higher-value items. The bundle will lead to more sales and more subscriptions.</p><p class='black-text'>Already, Spotify <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPOT"><span style="color:#333">(</span><span style=";">SPOT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPOT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPOT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPOT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has cried foul, since it believes Apple is unfairly using its platform to favor its music service over its competitors. And, it's certainly reminiscent of Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> using its OS to push Internet Explorer on people.</p> http://www.pws.io/apple-announces-new-services-bundle Thu, 17 Sep 2020 09:44:52 -0400 Jaimini Desai U.S. Plans Coronavirus Vaccine Distribution, Normal Life Could Return by "Third Quarter 2021" http://www.pws.io/us-plans-coronavirus-vaccine-distribution-normal-life-could-return-by-third-quarter-2021 <p class='black-text'>The U.S. federal government has taken steps to help guide the distribution of forthcoming coronavirus vaccines as many high level clinical trials conduct late stage testing that may provide results by the end of the year. In a "playbook" sent to all 50 states, the U.S. Centers for Disease Control and Prevention (C.D.C.) outlined a broad plan to eventually vaccinate every citizen who wants a shot free of charge.</p><p class='black-text'>Under the plan, vaccines that require two doses will be given to individuals from the same drugmaker (proving the potential for multiple vaccines to be available at once) either 21 to 28 days apart, <a href="https://www.cnbc.com/2020/09/16/us-outlines-sweeping-plan-to-provide-free-covid-19-vaccines-.html">according to the </a><i><a href="https://www.cnbc.com/2020/09/16/us-outlines-sweeping-plan-to-provide-free-covid-19-vaccines-.html">Associated Press</a></i>. States and local governments will need to design their own plans fro local distributions, keeping in mind the <a href="https://www.pws.io/moderna-and-pfizers-coronavirus-vaccines-require-low-temps-concern-for-storage-and-distribution">special requirements</a> of vaccine coming potentially from companies like Moderna <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MRNA"><span style="color:#333">(</span><span style=";">MRNA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MRNA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MRNA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MRNA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Pfizer <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PFE"><span style="color:#333">(</span><span style=";">PFE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PFE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PFE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PFE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> that need to be kept at low temperatures.</p><p class='black-text'>C.D.C. Director Robert Redfield stated during a Senate Appropriations Subcommittee on Labor, Health and Human Services, Education and Related Agencies <a href="https://www.c-span.org/video/?475764-1/coronavirus-vaccine-widely-late-2021-cdc-director">hearing</a> on Wednesday that health care workers and those at high risk will have priority access to a vaccine once it is approved for public use by the U.S. Food and Drug Administration, most likely early January or late this year.</p><p class='black-text'>Even though the U.S. plans to begin distribution as soon as a vaccine is approved, the rest of the public may not have access to a vaccine until late spring or summer of 2021.</p><p class='black-text'>For a vaccine to be "fully available to the American public, so we begin to take advantage of the vaccine to get back to our regular life," Redfield stated, "I think we are probably looking at late second quarter, third quarter 2021."</p><p class='black-text'>In the meantime, Redfield pointed to masks as the solution that will ultimately lead to the containment of the coronavirus outbreak in the U.S. while the nation waits for a vaccine, calling facial coverings a "powerful health tool."</p><p class='black-text'>"We have clear scientific evidence they work and they are our best defense," Redfield told lawmakers. "I might even go so far as to say that this face mack is more guaranteed to protect me against COVID than when I take a COVID vaccine."</p><p class='black-text'>Redfield stated that even though a vaccine may be proven to be effective against infection, the F.D.A. plans to approve any vaccine that is at least or over 50% effective. That can leave a while swath of the population still unprotected even though they took the necessary step to be immune.</p><p class='black-text'>"If i don't get an immune response, the vaccine's not going to protect me. This face make will," Redfield added.</p> http://www.pws.io/us-plans-coronavirus-vaccine-distribution-normal-life-could-return-by-third-quarter-2021 Wed, 16 Sep 2020 20:51:38 -0400 Rachel Hemple Walmart Testing Drone Delivery, Partnership With Zipline http://www.pws.io/walmart-testing-drone-delivery-partnership-with-zipline <p class='black-text'>Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is testing the waters of a delivery drone fleet, according to the retail giant. The company is piloting a delivery program in North Carolina and has partnered with an outside firm to develop its drone program.</p><p class='black-text'>The retailer has partnered with Israeli startup Flytrex, which specializes in drone delivery. Tests are set to begin in Fayetteville, North Carolina. The drones being utilized are capable of traveling up to 32 mph and can carry up to 6.6 pounds. The drones are set to travel just over six miles on a round trip.</p><p class='black-text'>Walmart's rollout of a drone fleet is the latest sortie in the storied retail company's battle for retail dominance with Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. On the last day of August, Walmart <a href="https://www.pws.io//walmart-targets-amazon-prime-with-walmart">announced</a> that it would be rolling out "Walmart+" a service that included free same-day delivery for orders over $35, skipping lines using a "scan and go" feature, and discounts at Walmart and Murphy USA <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MUSA"><span style="color:#333">(</span><span style=";">MUSA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MUSA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MUSA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MUSA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> gas stations.</p><p class='black-text'>Walmart's latest move against its competitor comes just weeks after Amazon secured FAA approval for its drone fleet, a significant milestone in eventually rolling out its fleet for full-scale commercial use. Walmart has already <a href="https://stockstelegraph.com/2020/09/10/walmart-nyse-wmt-is-testing-its-own-drone-delivery-service/">experimented with drones in the past</a>, though at the time, the company didn't opt to pursue drones at the pace Amazon has.</p><p class='black-text'>The announcement seems to have driven Walmart's share price up, at least part of the day on Wednesday. Shares of Walmart were at $140.09 at market open and gained 1.6% by the late afternoon. After reaching $142.36, the day's high, Walmart's shares dropped, ending the day slightly lower at $139.94.</p><p class='black-text'><i>Zipline Partnership </i></p><p class='black-text'>Earlier this week, Walmart announced its new partnership with the drone delivery company Zipline for a new drone program in the United States. The program will offer on-demand deliveries of health care products, beginning with a trial early next year near Walmart's headquarters in Bentonville, Arkansas.</p><p class='black-text'>Zipline earlier this year partnered with a hospital system in North Carolina to make contactless deliveries amid the coronavirus pandemic. The company stated that it has delivered more than 200,000 critical medical supplies to health care facilities around the world, and is looking to expand its reach in the United States through its partnership with Walmart.</p> http://www.pws.io/walmart-testing-drone-delivery-partnership-with-zipline Wed, 16 Sep 2020 17:29:03 -0400 Michael Mooney Market Update: Stocks Mixed Following Fed's Updated Monetary Policy http://www.pws.io/market-update-stocks-mixed-following-feds-updated-monetary-policy <p class='black-text'>Stocks ended a choppy trading session more towards the negative as tech shares declined and investor sentiment grew cold as traders digested the Federal Reserve's latest monetary policy decision, as well as remarks from Chairman Jerome Powell.</p><p class='black-text'>Central bank policymakers decided to keep interest rates near zero through 2023, as officials look to boost the impacted economy. In the Fed's monetary policy statement, officials reaffirmed that the health of the economy is dependent on the extent of the coronavirus pandemic. "The ongoing public health crisis will continue to weigh on economic activity, employment, and inflation in the near term, and poses considerable risks to the economic outlook over the medium term," the central bank concluded in a statement.</p><p class='black-text'>Meanwhile, the National Association of Home Builders's September housing market index skyrocketed to a record high of 83, reflecting the ongoing growth of the housing market despite other parts of the U.S. economy collapsing under the pandemic's weight.</p><p class='black-text'><b>Here's how the market settled for the mid-week: </b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -0.46% of -15.65 points to 3,385.55</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +0.135 or +37.38 points to 28,032.98</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: -.25% or -139.86 points to 11,050.47</p><p class='black-text'><i>For Major Stock News</i>, big tech continued to drive the broader market, but this time more towards negative territory as shares fell: Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/APPL"><span style="color:#333">(</span><span style=";">APPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="APPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="APPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="APPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. KB Home <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KBH"><span style="color:#333">(</span><span style=";">KBH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KBH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KBH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KBH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares got a healthy boost from Evercore ISI after the firm rated the stock as Outperform and noted that, "Today, as the global economy reels from COVID-19, the U.S. hosing industry stands tall." Snowflake <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> became the largest every software IPO, more than doubling its initial price to begin trading at $245 per share.</p><p class='black-text'><i>For Sector Performance</i>, industries ended the overall choppy session mixed. Those who left with positive gains were Energy +4.05%, Financials +1.11%, Industrials +0.99%, Real Estate +0.54% and Materials +0.07%. The rest of the sectors settled with losses: Information Technology -1.56%, Communication Services -1.21%, Consumer Discretionary -1.02%, Consumer Staples -0.51%, Health Care -0.22% and Utilities -0.21%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> gained Wednesday after the central bank pledged to keep interest rates near zero while expecting the U.S. economy to recover more rapidly than previously forecasted. The dollar index rose 0.07% against other global competitors. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell flat after Wednesday's session as lower interest rates usually benefit the greenback over the yellow metal. Spot gold was up 0.1% to $1,958.29 per ounce, while gold futures settled 0.1% higher at $1,968.20. <b>Crude</b> oil futures were the only ones to leave the session with substantial changes, following a lowering of U.S. crude and gasoline inventories and a new Gulf Coast hurricane that has forced a shutdown of U.S. offshore oil production. Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> climbed 4.17% to $42.22 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> jumped 4.9% at settle at $40.16.</p><p class='black-text'><i>For Thursday</i>, investors will turn their attention to new weekly jobless claims as well as fresh data on housing starts.</p> http://www.pws.io/market-update-stocks-mixed-following-feds-updated-monetary-policy Wed, 16 Sep 2020 15:28:39 -0400 Rachel Hemple Snowflake Prepares for IPO with Higher Initial Price http://www.pws.io/snowflake-prepares-for-ipo-with-higher-initial-price <p class='black-text'>Cloud storage and analysis provider Snowflake is preparing for its IPO this week, with a second increase in the company's initial share price bringing greater attention to the soon-to-be-public firm. Snowflake is one of the most highly sought-after companies going public this week, attracting big names to the IPO with the promise of rapid growth and high returns.</p><p class='black-text'>Snowflake is set to debut on the New York Stock Exchange this week, the first of <a href="https://www.cnbc.com/2020/09/11/ipo-bonanza-is-coming-next-week-highlighted-by-snowflake-and-unity.html">several tech companies doing so.</a> Snowflake is premiering alongside Unity Software, which will be listed as <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/U"><span style="color:#333">(</span><span style=";">U</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="U" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="U" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="U" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Unity is best known for the Unity Engine, one of the most popular game engines in the video gaming industry, with a broad appeal among both AAA game developers and small-time independent studios for its versatility and vast market of assets. Snowflake is also premiering alongside Amwell, which will be listed as <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMWL"><span style="color:#333">(</span><span style=";">AMWL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMWL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMWL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMWL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Amwell is a telehealth provider, a service that has exploded amid the Coronavirus pandemic. Telehealth allows doctors to conduct appointments with patients to monitor their health, especially useful for those with chronic conditions.</p><p class='black-text'>Soon to be listed as <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNOW"><span style="color:#333">(</span><span style=";">SNOW</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNOW" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNOW" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNOW" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, the rapidly growing cloud service provider has attracted a great deal of attention as it prepares to go public. Warren Buffet's Berkshire Hathaway <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BRK.B"><span style="color:#333">(</span><span style=";">BRK.B</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BRK.B" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BRK.B" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BRK.B" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and cloud computing firm Salesforce <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CRM"><span style="color:#333">(</span><span style=";">CRM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CRM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CRM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CRM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have both signed on to purchase <a href="https://www.wsj.com/articles/snowflake-poised-to-price-ipo-above-expected-range-with-valuation-topping-30-billion-11600186369">$250 million of shares</a> each at the IPO price.</p><p class='black-text'>Snowflake's IPO price has been raised <a href="https://www.wsj.com/articles/snowflake-poised-to-price-ipo-above-expected-range-with-valuation-topping-30-billion-11600186369">twice this week</a>, which has drawn a great deal of attention from potential investors. On Monday, Snowflake raised its maximum from $85 to $110, and on Tuesday, it increased that number to $120.</p><p class='black-text'>The fervor surrounding Snowflake's IPO is understandable, considering how much of a high-growth market cloud computing truly is. It's hard to find a major corporation that isn't at least somewhat reliant on cloud computing for its daily operations, with that dependence on cloud storage and analysis growing drastically during the Coronavirus pandemic, which has sent many office workers home to telecommute. Snowflake benefitted from the telecommuting trend, seeing its revenue grow 130% in the first half of 2020 as a direct result.</p> http://www.pws.io/snowflake-prepares-for-ipo-with-higher-initial-price Wed, 16 Sep 2020 09:52:15 -0400 Michael Mooney Verizon to Buy TracFone http://www.pws.io/verizon-to-buy-tracfone <p class='black-text'>Verizon Communications <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VZ"><span style="color:#333">(</span><span style=";">VZ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VZ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VZ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VZ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced on Monday that it would be acquiring TracFone (parent company América Móvil, <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMX"><span style="color:#333">(</span><span style=";">AMX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> in a deal that would further consolidate the American cellular industry. The agreement between Verizon and current TracFone owner América Móvil is valued at $6 billion and is expected to close in 2021.</p><p class='black-text'>According to the <a href="https://www.verizon.com/about/news/verizon-to-acquire-tracfone">announcement</a> released by Verizon, the purchase will bring a variety of improvements to TracFone customers. TracFone has long used Verizon's national network to provide service to its customers; with the purchase, TracFone customers will not only continue to be served through Verizon's network, but they can also expect access to the firm's 4G LTE and 5G networks, along with any future technologies. Verizon plans on expanding Tracfone's already considerable operations, with the low-cost carrier already being sold at 90,000 retail locations in the US.</p><p class='black-text'>"This transaction is aligned with what we do best: providing reliable wireless service alongside a best-in-class customer experience," <a href="https://www.verizon.com/about/news/verizon-to-acquire-tracfone">says Verizon Chairman and CEO Hans Vestberg.</a> "We are excited about the opportunity to bring Tracfone and its brands into the Verizon family where we can put the full support of Verizon behind this business and provide exciting and compelling products into this attractive segment of the market. We are pursuing this important strategic acquisition from a position of strength given our very strong and prudent financial profile."</p><p class='black-text'>TracFone is best known for its low-cost service, offering cheap monthly plans as well as prepaid phone services, both of which allow customers a certain number of minutes for talk and text. The prepaid carrier's existing customer base would push Verizon past rivals AT&T <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/T"><span style="color:#333">(</span><span style=";">T</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="T" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="T" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="T" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and T-Mobile <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TMUS"><span style="color:#333">(</span><span style=";">TMUS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TMUS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TMUS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TMUS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and their respective prepaid carrier brands, such as Cricket and Metro.</p><p class='black-text'>The deal is valued at $6 billion. Payment for the acquisition is divided down the middle into $3.125 billion in cash and $3.125 billion in common stock. An additional $650 million is on the table as well, which will be awarded based on the achievement of "performance measures and other commercial arrangements," according to Verizon.</p><p class='black-text'>Investors seem to have responded positively to the news. Verizon's share price popped 1.1% from the opening price to a daily high of $60.68 but ended the day at $60.31 after an afternoon slump. As of market close on Tuesday, Verizon's stock is at $60.60, after a brief recovery followed by a slight slump.</p> http://www.pws.io/verizon-to-buy-tracfone Wed, 16 Sep 2020 09:47:35 -0400 Michael Mooney Inside Gilead's $21 Billion Immunomedics Deal http://www.pws.io/inside-gileads-21-billion-immunomedics-deal <p class='black-text'>Gilead <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GILD"><span style="color:#333">(</span><span style=";">GILD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GILD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GILD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GILD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> bought Immunomedics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IMMU"><span style="color:#333">(</span><span style=";">IMMU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IMMU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IMMU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IMMU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for $88 per share in cash which represents a more than 100% premium to its market price. This is a 100% premium after the shares are already up 100% this year.</p><p class='black-text'>Gilead will be raising $6 billion in debt to fund the deal. Gilead's shares were 5% higher following the deal's announcement. Analysts expect the deal to add to Gilead's top-line by $750 million per year.</p><p class='black-text'><i>Trodelvy</i></p><p class='black-text'>Gilead's primary motivation is to acquire Trodelvy from Immunomedics which is a drug for metastatic triple-negative breast cancer. It's also being studied and developed to use as a treatment for bladder cancer, lung cancer, and other tumors.</p><p class='black-text'>Gilead is looking to increase its share of cancer treatments given that its second in terms of the cause of death. Previously, it purchased Kite Pharmaceuticals for its T cell receptor therapy which helps patients' immune systems better fight cancer. Over the last couple of years, it's also invested $5.1 billion in Galapagos and $4.9 billion in FortySeven to augment its pipeline.</p><p class='black-text'>So far, this hasn't translated into approval of any blockbuster drugs. The company took another blow when its arthritis drug, Filgotinib, was denied approval by the FDA.</p><p class='black-text'><i>Gilead's Recent Struggles</i></p><p class='black-text'>Gilead has been a major success story in terms of its stock and successfully developing treatments. It's had two blockbusters with Truvada, its HIV drug, and Harvoni, a drug for Hepatitis C. Consequently, Gilead's stock is up 400% over the last decade.</p><p class='black-text'>However, it's down 40% since peaking in early 2015. The major factor is that it hasn't been successful in developing new, effective treatments to replace these drugs especially as generics take more market share.</p><p class='black-text'>One recent success has been its antiviral drug, remdesivir, which has proven effective in treating coronavirus patients. The drug hasn't been formally approved for COVID-19 but received emergency approval and has been shown to speed up recovery times for afflicted patients. Currently, the drug is administered intravenously but Gilead is working on an inhalable version of remdesivir.</p><p class='black-text'>Remdesivir is expected to contribute around $3 billion to its current quarter in additional revenue, however this figure will probably drop as other treatments are approved. Additionally, due to the coronavirus, there's been a drop in healthcare spending across the board which has also negatively impacted Gilead, as patients and doctors have delayed visits.</p><p class='black-text'>In its last quarter, Gilead's sales declined by 10% to $22 billion. They actually peaked in the first quarter of 2016 at $32 billion. From a valuation standpoint, the stock is attractive with a 4.1% dividend yield and a forward price to earnings ratio of 9.3. It also has $20 billion in cash.</p><p class='black-text'>Whether the stock can regain its positive momentum depends on its ability to develop new, blockbuster drugs to replace previous ones which will continue lose sales as generics take a larger market share.</p> http://www.pws.io/inside-gileads-21-billion-immunomedics-deal Wed, 16 Sep 2020 09:39:08 -0400 Jaimini Desai U.S. Reputation Damaged Amongst Peers Due to Coronavirus Response http://www.pws.io/us-reputation-damaged-amongst-peers-due-to-coronavirus-response <p class='black-text'>The coronavirus pandemic has done more than damage the economy and public health in the United States: it has damaged the country's standing on the global stage. In a new 13-nation Pew Research Center <a href="https://www.pewresearch.org/global/2020/09/15/us-image-plummets-internationally-as-most-say-country-has-handled-coronavirus-badly/">survey</a>, the United States's reputation has declined more in the past year with allies and partners like Germany and the United Kingdom. In several countries, the percentage of the public surveyed with favorable views of the U.S. is as low as it has ever been since Pew stated polling on the topic almost two decades ago.</p><p class='black-text'>The results of the poll suggest that the major nations of the world disagree with how the U.S. has handled the pandemic, with a median of 85% of the survey's respondents saying the country did not do a good job.</p><p class='black-text'>Belgium, Germany, Denmark and South Korea gave the U.S. the lowest scores with under 12% agreeing with how the nation handled the pandemic. The United Kingdom, Canada, Italy and Spain gave the highest ratings, with those at least 16% of those surveyed saying the U.S. did a good job.</p><p class='black-text'>In contrast, most surveyed stated that the World Health Organization and the European Union have done a good job, with the 64% viewing the W.H.O. positively and 57% having the same opinion of the E.U.</p><p class='black-text'>The U.S. currently ranks first in overall confirmed cases and deaths.</p><p class='black-text'><i>Treatment Update </i></p><p class='black-text'>Eli Lilly and Company <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LLY"><span style="color:#333">(</span><span style=";">LLY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LLY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LLY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LLY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> <a href="https://investor.lilly.com/news-releases/news-release-details/baricitinib-combination-remdesivir-reduces-time-recovery">announced</a> Monday that its rheumatoid arthritis drug baricitinib when combined with Gilead Sciences's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GILD"><span style="color:#333">(</span><span style=";">GILD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GILD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GILD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GILD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> remdesivir helped shorten recovery time for hospitalized COVID-19 patients. Eli Lilly plans to seek a potential Emergency Use Authorization from the U.S. Food and Drug Administration based on the results from its Adaptive COVID-19 Treatment Trial.</p><p class='black-text'>The clinical trial of over 1,000 participants found that baricitinib reduced the median recovery time for COVID patients by about a day when added to remdesivir, compared to patients treated only with remdesivir.</p><p class='black-text'>Notably, U.S. hospitals have begun to turn down some supplies of remdesivir that are offered by the U.S. government. A spokesperson for the Department of Health and Human Services <a href="https://www.reuters.com/article/idUSKBN2622UM">told Reuters</a> that between July 6 and September 8, public health systems in the U.S. accepted about 72% of the remdesivir offered.</p><p class='black-text'>The slowdown in purchasing suggests that their is no longer a shortage of the only F.D.A. approved drug to treat severely ill COVID-19 patients--a big turning point for the pandemic.</p><p class='black-text'>Some hospital told Reuters that they are still stocking up the medicine to build an inventory for another large potential outbreak during the winter months. Currently, most major hospital systems in the U.S. say that their supply of the drug is adequate, in part because drug is being saved for only the most severe of patients due to its steep cost and ultimately limited supply.</p> http://www.pws.io/us-reputation-damaged-amongst-peers-due-to-coronavirus-response Tue, 15 Sep 2020 21:08:50 -0400 Rachel Hemple Market Update: Stocks Gain Ahead of Fed's Updated Monetary Policy http://www.pws.io/market-update-stocks-gain-ahead-of-feds-updated-monetary-policy <p class='black-text'>Wall Street ended Tuesday's session in the green, with the Dow Jones eking out a gain after slipping earlier in the session. The S&P 500 and Nasdaq rose as tech shares brought broad market gains. Investors mostly maintained trades on Tuesday in anticipation for the Federal Open Market Committees upcoming statement on the Federal Reserve's monetary policy scheduled for Wednesday. The central bank is expected to reaffirm its cautious stance on economic growth amid the coronavirus pandemic, as well as lay more foundation for its newly announced policy framework that would allow for more inflation to keep interest rates as low as possible.</p><p class='black-text'><b>Here's how the market settled on Tuesday:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +0.52% or +17.66 points to 3,401.20</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +0.01% or +2.27 points to 27,995.60</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.21% or +133.67 points to 11,190.32</p><p class='black-text'><i>For Major Stock News</i>, big tech--Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>--lifted the Nasdaq as well as the broader market Tuesday. Nikola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKLA"><span style="color:#333">(</span><span style=";">NKLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares fell following a report from Bloomberg News that the U.S. Securities and Exchange Commission is investigating Hindenberg Research's claims that the electric truck company committed fraud. Sony <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNE"><span style="color:#333">(</span><span style=";">SNE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also was pressured after the video game console maker announced that it was cutting production targets for its upcoming Playstation5 by 20% due to issues with the consoles' computer chips.</p><p class='black-text'><i>For Sector Performance</i>, most industries gained on Tuesday, with only Financials -1.36%, Energy -0.76% and Consumer Staples -0.10% falling behind. The positive performance gains were as follows: Communication Services +1.72%, Real Estate +1.39%, Consumer Discretionary +1.03%, Information Technology +1.00%, Utilities +0.73%, Materials +0.47%, Health Care +0.16%, and Industrials +0.08%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> index was slightly up as the greenback modestly recovered as the euro fell Tuesday. The dollar index remains steady as analysts expect the Federal Reserve to maintain its current zero interest rate policy in its coming September monetary policy. <b>Gold</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> prices ended Tuesday mixed as spot gold was pressured by the increasing dollar, but the expected central bank policy limited the yellow metal's losses. Spot gold was down 0.1% at $1,955.21 per ounce, while futures gained 0.1% at settle at $1,966.20. <b>Crude</b> oil prices jumped on Tuesday, supported by U.S. output disruptions from the Gulf Coast hurricane. Yet, demand concerns weigh heavy on the commodity as the IEA forecasted a slow economic recovery from the pandemic. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> climbed 2.3% to $40.53 per barrel, while West Texas Intermediate <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> increased 2.74% to settled at $38.28 per barrel.</p><p class='black-text'><i>For the mid-week</i>, the Federal Reserve Chairman Jerome Powell is slated to deliver remarks on the central bank's monetary policy. Fresh data for U.S. retail sales is also scheduled for release.</p> http://www.pws.io/market-update-stocks-gain-ahead-of-feds-updated-monetary-policy Tue, 15 Sep 2020 17:39:59 -0400 Rachel Hemple Peloton Unchanged Despite Massive Earnings, Revenue Beat http://www.pws.io/peloton-unchanged-despite-massive-earnings-revenue-beat <p class='black-text'>Peloton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PTON"><span style="color:#333">(</span><span style=";">PTON</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PTON" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PTON" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PTON" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to benefit from the coronavirus as it experiences surging demand for its bikes and treadmills. In its last quarter, revenue increased by 172%, and the company issued guidance above analysts' expectations. On its conference call, management said it expected strong demand to continue into 2021.</p><p class='black-text'><i>Inside the Numbers</i></p><p class='black-text'>Due to gyms being closed and many people electing to work out from home, there has been a shortage of workout equipment, and Peloton's products have been among the hottest. It resulted in a revenue surge that the company doesn't expect to abate until sometime next year which is attributed to the recent spike in case counts over the past couple of months.</p><p class='black-text'>The company also posted earnings per share of $0.27 versus expectations of $0.10 per share. Revenue was $607.1 million which topped consensus of $583 million and was significantly higher than last year's $222.3 million in the same quarter.</p><p class='black-text'>Peloton ended the quarter with 1.09 million connected subscribers which are an increase of 113% from last year. In total, it has 3.1 million subscribers. Gross margins also slightly expanded to 47.6% which indicates that profitability is increasing with scale.</p><p class='black-text'>Overall, the coronavirus has resulted in the company achieving mid to late-2021 growth targets this year in terms of units sold and subscribers. Its forecast also topped expectations as the company anticipates 2021 revenue between $3.5 billion and $3.65 billion, while analysts were looking for $2.7 billion.</p><p class='black-text'>Reports indicate that the company is also planning to launch a cheaper bike, a more expensive bike with a rotating screen, and a lower-priced treadmill. Another interesting insight is that the company has stopped all advertising due to more demand than it can handle.</p><p class='black-text'><i>Stock Price Impact</i></p><p class='black-text'>After the report, its shares were 8% higher, although shares gave back some gains to largely finish unchanged. It may be due to investors already having high expectations or the risk-off environment for tech stocks over the past week. Some are saying that this quarter may mark the stock's peak in terms of second-derivative measures.</p><p class='black-text'>Peloton has become a "battleground" stocks with people having strong opinions on it. Some people see it as the latest fitness fad, and say it's nothing more than a $300 exercise bike with a $500 iPad on top of it that it is selling for a couple of thousand dollars with a subscription fee for its classes.</p><p class='black-text'>Others see it as a revolutionary product. The company has shown a remarkable ability to keep its users with churn under 1%, meaning that people continue to use the bikes and treadmills. Further, the number of workouts per subscriber per month has continually increased which is due to an increasing number of workout options and people enjoying the benefits.</p> http://www.pws.io/peloton-unchanged-despite-massive-earnings-revenue-beat Tue, 15 Sep 2020 16:51:12 -0400 Jaimini Desai Dip or a Correction? http://www.pws.io/dip-or-a-correction <p class='black-text'>Since early September, the stock market has encountered some selling pressure. From peak to trough, the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was down 7%, while the Nasdaq was down 11%. We also saw much stepper corrections in many of the high-flying tech stocks that have carried the market higher.</p><p class='black-text'>It was the biggest drop in stock prices since the March bottom. Naturally, this raises the next question of whether this is going to be a short-lived dip or the start of an extended correction?</p><p class='black-text'><i>Dip</i></p><p class='black-text'>Someone who believes that this is likely a dip that will lead to a V-shaped rebound would cite that it's likely that stocks began in a new bull market in late March. In the early stages of these bull markets, the dips are furiously bought as people who are underinvested want to add exposure.</p><p class='black-text'>Further, it's been interesting that while the indices are down, many stock market components are flat or up. This adds credence that this is more of a rotation rather than distribution.</p><p class='black-text'>The dip has done its job in punishing overbullish and overleveraged traders. Now, the next batch of leading stocks is setting up to break out higher.</p><p class='black-text'><i>Correction</i></p><p class='black-text'>Assuming that we are in a new bull market. a correction is another way in which the market can reset. These last anywhere from 3 to 8 weeks and typically have multiple rally attempts that fail. It can turn sentiment from bullish to bearish. By the end, many people are convinced that a new bear market is imminent.</p><p class='black-text'>Some pieces of evidence to support this argument are that sentiment hit historical levels of bullishness in terms of call buying and overbought, technical readings. Further, the economy may weaken given the damage incurred earlier this year and failure to reach a new, stimulus deal. It would make sense that a more meaningful, pullback is necessary for the market to reach equilibrium.</p><p class='black-text'><i>Conclusion</i></p><p class='black-text'>Both sides have compelling cases, but the weight of the evidence supports the V-shaped dip camp. Many sectors connected to economic growth like manufacturing are showing signs of breaking out despite the bearish price action.</p><p class='black-text'>Additionally, we have learned from previous years that when the Federal Reserve is maximally engaged and committed to supporting the economy that "buy the dip" tends to work.</p><p class='black-text'>Finally, we have the powerful dynamic of underinvested fund managers underperforming the market. This circumstance tends to also lead to shallow dips rather than extended corrections.</p> http://www.pws.io/dip-or-a-correction Tue, 15 Sep 2020 12:56:09 -0400 Jaimini Desai Space Travel Stocks - The Final Financial Frontier http://www.pws.io/space-travel-stock-the-final-financial-frontier <p class='black-text'>One small step for man, one giant leap in stock prices. <a href="https://www.forbes.com/sites/sergeiklebnikov/2020/09/08/virgin-galactic-stock-could-surge-by-more-than-50-this-year-says-ubs/#4cdf3ff11a86">According to </a><i><a href="https://www.forbes.com/sites/sergeiklebnikov/2020/09/08/virgin-galactic-stock-could-surge-by-more-than-50-this-year-says-ubs/#4cdf3ff11a86">Forbes</a></i>, UBS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UBS"><span style="color:#333">(</span><span style=";">UBS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UBS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UBS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UBS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has predicted that Virgin Galactic <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPCE"><span style="color:#333">(</span><span style=";">SPCE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPCE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPCE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPCE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, a spaceflight company within the Virgin Group, will see their stock climb over 50% in the next year as space tourism turns into a viable industry.</p><p class='black-text'>UBS predicted that space tourism could become a $3 billion industry by 2030, and the space economy could grow from $244 billion to $805 billion. However, Virgin Galactic isn't alone out there. Boeing's Starliner is one other company looking into space travel, but Elon Musk's Space X and Jeff Bezo's Blue Origin are both private companies that have set their sights on the stars. Virgin Galactic is popular in the space travel race is because its the only way for investors to add their name to the roster, as well as having life-long brand recognition.</p><p class='black-text'>Virgin Galactic started in a bullish stance at $25 a share, and while they dipped to $18 a share, their stocks have been picking up, growing over 45% over the course of 2020. With a the company looking to begin flights as early as next year, a backlog of customers already lined up, and UBS confirming "positive indicators around luxury spending," it's likely that demand will outstrip supply for many years to come. Their next test flight is scheduled to happen as soon as October 22, and one more after that. If they both go well, the next one will have founder Richard Branson on board.</p><p class='black-text'>Virgin Galactic also expects to quadruple their annual ticket sales once their test flights satisfy the U.S. Federal Aviation Administration's (FAA) licensing requirements. Such a boom in ticket sales would amount to a 300% growth rate through 2024. UBS also noted that the level of advanced reservations and public interest in space travel coupled with the entrance of billionaires into the space race provide evidence of demand for space travel as a safe and reliable mode of transportation.</p><p class='black-text'>Of course, there are some critics. Founder of space consulting firm Astralytical, Laura Forczyk, called UBS's predictions too optimistic, with the pace being too slow and the market too young to make an accurate prediction.</p> http://www.pws.io/space-travel-stock-the-final-financial-frontier Tue, 15 Sep 2020 10:04:48 -0400 Amanda Little Microsoft Loses TikTok Bid to Oracle http://www.pws.io/microsoft-loses-tiktok-bid-to-oracle <p class='black-text'>Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has lost the bidding war over TikTok to Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Microsoft and former partner Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> had appeared to be the frontrunners in the running for TikTok's American assets. The exact nature of the deal between Oracle and TikTok owner ByteDance remains unclear.</p><p class='black-text'>President Donald Trump's hatred of the social media app TikTok has been a constant in the headlines over the past few months, with Trump becoming increasingly more vitriolic towards the app to the point of an outright ban. The sale of TikTok's American assets, the only viable way for the app to remain operational in the United States, had similarly dominated the headlines, with the Microsoft-Walmart led partnership appearing as the frontrunner.</p><p class='black-text'>Microsoft-Walmart, however, has lost the bidding war to Oracle. To say that ByteDance "sold" TikTok's American assets to Oracle, however, appears to be a misnomer. According to anonymous sources that spoke to the <i><a href="https://www.wsj.com/articles/microsoft-drops-out-of-bidding-for-tiktoks-u-s-operations-11600039821">Wall Street Journal</a></i>, the deal seems to be a partnership between the two firms, rather than an outright sale of TikTok.</p><p class='black-text'>The loss of Microsoft to Oracle raises questions of political interference, especially in light of Oracle's support of Trump. Political interference aside, Oracle doesn't appear to be as well equipped to handle a social media app as Microsoft. While not specializing in social media like some of its contemporaries, Microsoft does, however, have plenty of experience in the field with LinkedIn, an iconic social media platform for working professionals. Microsoft also has experience in interacting with younger consumers through its Xbox division. Oracle, on the other hand, is oriented more towards business clients and has little experience with direct-to-consumer business, and no running a social media platform.</p><p class='black-text'>Microsoft's plans for the app also appeared to be more inclusive than Oracle's.</p><p class='black-text'>"We are confident our proposal would have been good for TikTok's users, while protecting national security interests. To do this, we would have made significant changes to ensure the service met the highest standards for security, privacy, online safety, and combatting disinformation, and we made these principles clear in our August statement," <a href="https://www.wsj.com/articles/microsoft-drops-out-of-bidding-for-tiktoks-u-s-operations-11600039821">said Microsoft in a statement.</a></p><p class='black-text'>Walmart has seemingly abandoned its partnership with Microsoft on news of the latter's loss in the bidding war and is prepared to approach Oracle for a similar partnership. The company is reportedly still in talks with ByteDance.</p><p class='black-text'>All that remains for the potential partnership is to receive federal approval. The Committee for Foreign Investment in the U.S. must approve the transaction, as well as President Trump. Treasury Secretary Steven Mnuchin reported on Monday that he had received a proposal from Oracle for the bid and that the government would be reviewing the deal to ensure that it protected American interests.</p> http://www.pws.io/microsoft-loses-tiktok-bid-to-oracle Tue, 15 Sep 2020 09:43:58 -0400 Michael Mooney The Post-Labor Day IPO Surge Finally Arrives http://www.pws.io/the-post-labor-day-ipo-surge-finally-arrives <p class='black-text'>The highly anticipated post-Labor Day holiday initial public offering surge is finally coming this week, with at least 12 companies set to debut in U.S. markets. This is expected to be the biggest week for the IPO market when it comes to volume of offering amounts since Uber <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UBER"><span style="color:#333">(</span><span style=";">UBER</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UBER" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UBER" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UBER" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> went public in May 2019.</p><p class='black-text'>The largest deal of the week is tech unicorn <b>Snowflake</b>, which is planning to raise about $2.2 billion by offering 28 million shares in the range of $75-$85 each. The company plans to raise over $800 million from a concurrent private placement from Berkshire Hathaway <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BRK.A"><span style="color:#333">(</span><span style=";">BRK.A</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BRK.A" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BRK.A" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BRK.A" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Salesforce.com <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CRM"><span style="color:#333">(</span><span style=";">CRM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CRM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CRM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CRM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Snowflake is a provider of cloud-based data warehousing that is available on the three major public clouds. The company has benefitted from the pandemic-induced shift to cloud infrastructure.</p><p class='black-text'><b>Unity Software</b> is next, planning to raise roughly $1.2 billion from 25 million priced in the range of $34-$42 each. The company provides a real-time 3D video game platform for development and monetization. Unity is behind over 50% of the top 1,000 games on Apple's App Store <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Google Play <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>The largest manufacturer of fresh food and beverage packaging in North America <b>Pactiv Evergreen </b>follows, planning to raise about $991 million from 41 million shares priced between $18-$21 each.</p><p class='black-text'>Commercial REIT <b>Broadstone Net Lease</b> is next, planning to raise $732 million from 34 million shares priced in the range of $17-$19 each. The REIT's portfolio holds over 600 properties across the United States and Canada.</p><p class='black-text'><b>American Well</b> is not too far behind, aiming to raise $644 million from 35 million shares offered in the range of $14-$16 each. The telehealth provider allows customers to augment existing health plans and insurance providers with subscription-based tools and other services. The company has benefitted from the rapid switch to telemedicine due to the pandemic.</p><p class='black-text'>Coming next,<b> JFrog</b> plans to raise $493 million from 11.6 million shares priced between $33-$37 each. The company provides software tools that help streamline app development, growing its customer base to over 5,800. Currently, JFrog's ARR growth has been impacted by the pandemic.</p><p class='black-text'><b>Sumo Logic</b> follows, planning to raise $357 million from 14.8 million shares priced between $17-$21 each. The company provides a Software-as-a-Service monitoring and analytics for more than 2,000 enterprise customers.</p><p class='black-text'>Investment firm <b>StepStone Group</b> is next, aiming to raise $342 million from 17.5 million shares priced between $15-$17 each. The global private markets investment firm helps provide customized solutions and advisory data services to clients.</p><p class='black-text'><b>Vitru</b> follows close behind, planning to raise $310 million from 11.2 million shares priced between $22-$24 each. The Brazilian digital education provider offers solutions for distanced learning.</p><p class='black-text'>Rare disease biotech<b> Dyne Therapeutics </b>is among the final few, planing to raise $213 million from 10.3 million shares priced in the range of $16-$18 each. The very early-stage biotech plans to submit INDs for three of its lead programs between Q4 2021 and Q4 2022.</p><p class='black-text'>Bringing up the rear, <b>Outset Medical</b> plans to raise about $210 million from 7.6 million shares priced between $22-$24 each. The company provides hemodialysis for kidney disease patients that need minimal care and can be done in home settings.</p><p class='black-text'>Finally, <b>Metacrine</b> plans to raise $105 million from 6.54 million shares priced between $12-$14 each. The early-stage biotech is developing therapies for liver and GI diseases and is currently in Phase I trials for its lead candidate.</p> http://www.pws.io/the-post-labor-day-ipo-surge-finally-arrives Mon, 14 Sep 2020 23:24:22 -0400 Rachel Hemple U.K.'s Johnson to Test Every Citizen Weekly for Coronavirus in Ambitious "Operation Moonshot" http://www.pws.io/uks-johnson-to-test-every-citizen-weekly-for-coronavirus-in-ambitious-operation-moonshot <p class='black-text'>United Kingdom Prime Minister Boris Johnson is imaging a new and bold strategy to bring the nation back to normalcy amid the now ever present coronavirus pandemic: test 10 million citizens every day. Calling the plan "Operation Moonshot," Johnson wants to test all 67 million residents every week at the cost of $130 billion to bring life back to the way it was before the virus's outbreak.</p><p class='black-text'>Yet, massive population-wide testing for the coronavirus is entirely unprecedented as the most accurate of tests require laboratories and at least 24 hours to produce results. Many skeptics of the plan argue that such a mass screening with less accurate, but faster tests would produce many false positives and negatives which would defeat the purpose of such an operation.</p><p class='black-text'>The Operation Moonshot's plan does note that the nation will need time to delivering a strong testing strategy at such a scale would, "mean developing, validating, procuring, and operationalizing testing technology that currently does not exist," <a href="https://www.washingtonpost.com/world/europe/coronavirus-operation-moonshot/2020/09/12/c288f9e6-f42f-11ea-8025-5d3489768ac8_story.html">quoted by the </a><i><a href="https://www.washingtonpost.com/world/europe/coronavirus-operation-moonshot/2020/09/12/c288f9e6-f42f-11ea-8025-5d3489768ac8_story.html">Washington Post. </a></i></p><p class='black-text'>But Johnson is confident in his plan, pushing forward that the nation will be able to deploy the operation by early 2021, being able to deliver results in as little as 20 minutes so that public events can be restored whether or not a vaccine is approved.</p><p class='black-text'>"Crucially, it should be possible to deploy these tests on a far bigger scale than any country has yet achieved--literally millions of tests processed every single day," Johnson stated during a formal press announcement, <a href="https://news.sky.com/story/coronavirus-boris-johnson-speaks-of-hope-for-regular-mass-covid-19-testing-12067558">quoted by </a><i><a href="https://news.sky.com/story/coronavirus-boris-johnson-speaks-of-hope-for-regular-mass-covid-19-testing-12067558">Sky News</a></i>. "Now that is an ambitious agenda, but we are going to pilot this approach in Salford from next month...and then we hope to go nationwide."</p><p class='black-text'>"We're hoping the 'Moonshot' approach will work and we will be able to deliver mass testing which will give people that freedom pass, the 'laissez-passer', the knowledge that they are not infectious and hang out with other people who are not infectious in a pre-COVID way," Johnson added.</p><p class='black-text'><i>Vaccine Update</i></p><p class='black-text'>Over the weekend, AstraZeneca <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AZN"><span style="color:#333">(</span><span style=";">AZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced that it will be resuming its Phase III trial of its coronavirus vaccine candidate in the United Kingdom after it was temporarily paused due to an investigation of a possible adverse side effect in one participant.</p><p class='black-text'>While the resumption of the trial has lifted global hopes that a safe and efficient vaccine will be available as soon as possible, <a href="https://www.reuters.com/article/us-health-coronavirus-astrazeneca-us-exc/exclusive-astrazeneca-covid-19-vaccine-trial-in-u-s-on-hold-until-at-least-midweek-sources-idUSKBN26536Y"><i>Reuters</i> sources</a> say that the United States's trial will remain halted until at least the mid-week as it it not clear as to when the U.S. Food and Drug Administration will complete its probe into the manner.</p> http://www.pws.io/uks-johnson-to-test-every-citizen-weekly-for-coronavirus-in-ambitious-operation-moonshot Mon, 14 Sep 2020 20:44:05 -0400 Rachel Hemple Chewy Drops 15% Following Earnings http://www.pws.io/chewy-drops-15-following-earnings <p class='black-text'>Chewy <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CHWY"><span style="color:#333">(</span><span style=";">CHWY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CHWY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CHWY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CHWY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has benefitted from the acceleration in e-commerce spending. It resulted in a strong rally in the company's stock price. Yet, the stock has declined 15% since its second-quarter earnings report despite the company topping expectations for the top and bottom-line and issuing strong guidance. The two major factors are the risk-off sentiment regarding high-multiple tech stocks and investors' growing expectations for the stock.</p><p class='black-text'><i>Inside the Numbers</i></p><p class='black-text'>Chewy reported revenue of $1.7 billion which was slightly higher than analysts' expectations of $1.7 billion and 48% higher than last year's second quarter. Earnings per share came in at -$0.08 which was higher than expectations of -$0.17.</p><p class='black-text'>Adjusted EBITDA margins also were 0.9% higher than expected which is a positive indication that Chewy will be able to translate its growth into future profits. In the second quarter, Chewy had 16.6 million active users with net sales per active customer of $356 on a trailing 12-month basis. This was slightly below last quarter and consensus.</p><p class='black-text'>Next quarter, the company expects sales of $6.78 billion to $6.825 billion which were an upgrade from its previous guidance and the consensus of $6.65 billion. Due to the coronavirus, Chewy has experienced an acceleration in growth that required significant investments in technology, fulfillment, and hiring of new employees. The company was able to handle this surge in orders with minimal disruptions.</p><p class='black-text'><i>Stock Price Impact</i></p><p class='black-text'>Chewy was initially 2% higher after its earnings. The tepid reaction despite the strong report is a sign that investors are now looking past its growth and focusing on how much of its gains will be sustained. Additionally, while the company's growth is impressive, it's been outpaced by the stock price, so multiples haven't really compressed.</p><p class='black-text'>As a result, Chewy's stock is 28% off recent highs. Even for bulls, this is a healthy correction given that the stock was up nearly 300% since its March lows. However, it's clear that the acceleration in sales has now been priced in. Now, the stock is going to have to validate its high multiples. It's also going to face competition from companies like Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and other pet retailers who aren't going to willingly cede the online market. This could result in margin compression and delay its path to profitability.</p><p class='black-text'>However, the dip in the stock price doesn't change Chewy's story which remains attractive. The pet market and e-commerce are both booming in the U.S. While most industries are struggling for growth, both are growing at annual double-digit rates. Chewy is the leader in selling pet products online. So far, it has focused on staples, but it could use its relationship with customers to also start adding more higher-margin items like insurance and veterinary services.</p> http://www.pws.io/chewy-drops-15-following-earnings Mon, 14 Sep 2020 16:53:33 -0400 Jaimini Desai Market Update: Mergers and Positive Vaccine News Lifts Stocks From Rut http://www.pws.io/market-update-mergers-and-positive-vaccine-news-lifts-stocks-from-rut <p class='black-text'>Stocks rose on Monday as a flurry of new mergers and acquisitions from major companies flooded business news channels. Over the weekend, AstraZeneca <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AZN"><span style="color:#333">(</span><span style=";">AZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced that the clinical trials for its coronavirus vaccine candidate will resume following the temporary pause to investigate a possible adverse side effect, boosting Wall Street even more.</p><p class='black-text'>Major mergers and acquisitions included Oracle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORCL"><span style="color:#333">(</span><span style=";">ORCL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORCL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORCL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORCL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> confirming that it was included in a proposal for ByteDance's U.S. TikTok operations, pushing out prior frontrunner Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for the fast growing social media platform. Nvidia <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NVDA"><span style="color:#333">(</span><span style=";">NVDA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NVDA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NVDA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NVDA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced a massive purchasing of SoftBank's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SFTBY"><span style="color:#333">(</span><span style=";">SFTBY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SFTBY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SFTBY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SFTBY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> chip unit Arm valued at $40 billion. Gilead Sciences <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GILD"><span style="color:#333">(</span><span style=";">GILD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GILD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GILD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GILD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also agreed to purchase Immuniomedics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IMMU"><span style="color:#333">(</span><span style=";">IMMU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IMMU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IMMU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IMMU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for $21 billion.</p><p class='black-text'><b>Here's how the market settled to start the week:</b></p><p class='black-text'>S&P 500 Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.27% or +42.58 points to 3,383.55</p><p class='black-text'>Dow Jones Industrial Average <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIA"><span style="color:#333">(</span><span style=";">DIA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.18% or +327.69 points to 27,993.33</p><p class='black-text'>Nasdaq Composite Index <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>: +1.87% or +203.11 points to 11,056.65</p><p class='black-text'><i>For Major Stock News</i>, Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares rose alongside semiconductors--AMD <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMD"><span style="color:#333">(</span><span style=";">AMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Micron <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MU"><span style="color:#333">(</span><span style=";">MU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Skyworks Solutions <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SWKS"><span style="color:#333">(</span><span style=";">SWKS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SWKS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SWKS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SWKS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, iShares PHLX Semiconductor ETF <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SOXX"><span style="color:#333">(</span><span style=";">SOXX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SOXX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SOXX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SOXX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>--following Nvidia's Arm purchase. Delta Air Lines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DAL"><span style="color:#333">(</span><span style=";">DAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced a deal to raise $6.5 billion of deft backed by its frequent flyer program to stay afloat amid historically low travel demand. Nikola shares gained as the electric truck maker continues to dispute fraud claims from Hindenburg Research.</p><p class='black-text'><i>For Sector Performance</i>, every industry advanced alongside the broader market. The positive performance gains were as follows: Real Estate +2.16%, Information Technology +2.07%, Materials +1.37%, Health Care +1.35%, Utilities +1.31%, Industrials +1.30%, Financials +1.30%, Consumer Discretionary +0.70%, Energy +0.61%, Consumer Staples +0.47% and Communication Services +0.13%.</p><p class='black-text'><i>For Commodities and Currency</i>, the <b>U.S. Dollar</b> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UUP"><span style="color:#333">(</span><span style=";">UUP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UUP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UUP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UUP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell against its competing peers as a tidal wave of mergers and acquisition deals lifted sentiment in global equity markets. The dollar's index was down 0.3% against several global currencies on Monday. <b>Gold </b><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was boosted by the weakening dollar. Expectations for the Federal Reserve to maintain its current monetary policy later this week also led to gains for the yellow metal. Gold's spot price increased 0.9% to price at $1,959.64 per ounce, while futures settled 1.1% higher to $1,969 per ounce. <b>Crude</b> oil futures slightly declined on Monday as investors feared that global economic recovery has become stagnant and another hurricane is set to disrupt U.S. oil output again. International benchmark Brent Crude <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNO"><span style="color:#333">(</span><span style=";">BNO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> slipped 0.9% to settle at $39.48 per barrel, while West Texas Intermediate closed 0.19% lower at $37.26 per barrel.</p><p class='black-text'><i>For Tuesday</i>, investors will focus on Apple's unveiling of new products as well as the start of the Federal Reserve's two day monetary policy meeting.</p> http://www.pws.io/market-update-mergers-and-positive-vaccine-news-lifts-stocks-from-rut Mon, 14 Sep 2020 16:45:13 -0400 Rachel Hemple Nikola's Rollercoaster Week http://www.pws.io/nikolas-rollercoaster-week <p class='black-text'>General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is getting a $2 billion stake in Nikola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKLA"><span style="color:#333">(</span><span style=";">NKLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to gain the right to nominate one board member and start producing Nikola's hydrogen fuel cell electric pickup truck: the Badger.</p><p class='black-text'>The partnership between the Nikola chairman and GM CEO have helped Nikola's stock soar by 53%, while GM jumped a little over 9% in premarket trading. The exciting new partnership is said to have the Badger rolling out by the end of 2022.</p><p class='black-text'>Nikola specializes in zero-emission trucks using hydrogen fuel cell tech. Combining their technology and special Ultium battery platform system with GM's engineering and manufacturing expertise will not only be a fantastic blend of business, it will also make GM the exclusive global supplier of Nikola's fuel cells, except for Europe's class 7/8 trucks. It will also take some pressure off of GM, since Wall Street was pushing for them to spin off into the electric vehicle business. Nikola's founder and Executive Chairman Trevor Milton was also quotes praising the partnership, calling it a perfect relationship.</p><p class='black-text'>But not all is perfect in electric vehicle paradise. After Nikola's huge pop in stocks, it sharply dropped 14% after short-seller firm Hindenburg Research accused Nikola of fraud. The firm also accused Milton of making false claims about Nikola's tech to help make partnerships with top automakers. Nikola is denying Hindenburg's allegations, calling these claims a "hit job", and is considering legal options.</p><p class='black-text'>While Nikola's stock may have taken a hit, GM doesn't seem to be going anywhere. GM said "We are fully confident in the value we will create by working together. We stand by the statements we made in announcing the relationship," in a <a href="https://www.cnbc.com/2020/09/11/nikola-dismisses-short-seller-allegations-calling-them-a-hit-job.html">statement from </a><i><a href="https://www.cnbc.com/2020/09/11/nikola-dismisses-short-seller-allegations-calling-them-a-hit-job.html">CNBC</a>.</i></p><p class='black-text'>Hindenburg claims to have evidence, including recorded phone calls and text messages, that prove its allegations of Nikola's false statements. Nikola has said in a statement from <i>CNBC</i> that this is not a research report, and isn't accurate. Instead, it's a "short sale profit driven by greed."</p><p class='black-text'>Nevertheless, the claims do not seem to be affecting GM and Nikola's relationship at this time.</p> http://www.pws.io/nikolas-rollercoaster-week Mon, 14 Sep 2020 09:35:21 -0400 Amanda Little European Countries to Create Stablecoin Regulations http://www.pws.io/european-countries-to-create-stablecoin-regulations <p class='black-text'>Last week, <a href="https://www.reuters.com/article/us-eu-economy-cryptoassets/european-countries-call-for-eu-stablecoin-regulation-idUSKBN26219G">5 European countries</a> called on the E.U. Commission to create strong regulations on stablecoins. Finance ministers from Germany, France, Italy, Spain, and the Netherlands told the E.U. Commission on Friday that regulation is needed to protect consumers and preserve the bloc's monetary sovereignty. The ministers stated that private stablecoin firms need to comply with E.U. regulations and standards. A potential proposal would mandate stablecoins all be asset-backed 1-to-1 with the euro (EUR) and other member state currencies and be held in E.U.-approved institutions. Another proposal could require stablecoin providers like Facebook's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Libra to register as a European entity. Also at the Bundesbank Conference, the head of the ECB Christine Lagarde noted the E.U. had fallen behind in the digital payments race.</p><p class='black-text'><b>Here is the rest of the week in review:</b></p><p class='black-text'><a href="https://www.coindesk.com/mastercard-releases-platform-enabling-central-banks-to-test-digital-currencies">Mastercard </a><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MA"><span style="color:#333">(</span><span style=";">MA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> released a new platform that allows central banks to test how proposed central bank digital currencies (CBDCs) would function in the real world. The financial services giant announced Wednesday it launched a virtual testing environment that can simulate issuance, distribution, and exchange of CBDCs between banks, financial institutions, and consumers. Mastercard said the new protocol will help financial institutions understand the feasibility of CBDCs and allow them to explore new use cases like local or regional issuance, as well as compatibility with existing payment rails like cards. The platform also lets banks analyze and compare different proposed technology stacks for CBDC development. Raj Dhamodharan, Mastercard's executive VP, told Forbes the firm is already working with some central banks and invited other banks and tech firms to try the platform.</p><p class='black-text'><a href="https://www.coindesk.com/binances-cefi-and-defi-100-million-fund">Binance </a>announced it is contributing $100 million to support decentralized finance (DeFi) projects on its new decentralized Binance Smart Chain (BSC) and allowing BSC access to its centralized exchange, as the major exchange continues to chase after the booming DeFi space. Binance CEO Changpeng Zhao unveiled the plan during the World of DeFi summit on Thursday, noting it is a "bridge" between DeFi and centralized finance (CeFi), as an integration between Binance the exchange and BSC the Binance-owned public blockchain. The firm said users can benefit from features of both CeFi and DeFi thanks to its new bridge plan. On the new platform, owners of native token Binance Coin (BNB) can enjoy more rights to the decentralized governance of the BSC when they participate in the staking consensus mechanism on the chain. Binance's new plan targets users who want to participate in DeFi while staying in the familiar centralized ecosystem.</p><p class='black-text'>Crypto prices rose to $339 billion this week, erasing some of last week's losses. For the majors, Bitcoin Cash (BCH) slipped into the red, but Binance Coin, Polkadot (DOT), and Crypto.com Coin (CRO) climbed. In the top 100, the biggest losers were SushiSwap (SUSHI), down 26%, Celo (CELO), down 15%, and Arweave (AR), down 13%. The biggest gainers were IOST, up 47%, yearn.finance (YFI), up 45%, and Binance Coin, up 39%. Next week traders will watch if Bitcoin (BTC) can regain the $11,000 level.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/european-countries-to-create-stablecoin-regulations Mon, 14 Sep 2020 09:28:30 -0400 Eric Yao LVMH Calls Off Tiffany’s Takeover http://www.pws.io/lvmh-calls-off-tiffanys-takeover <p class='black-text'>French luxury goods giant LVMH <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LVMUY"><span style="color:#333">(</span><span style=";">LVMUY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LVMUY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LVMUY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LVMUY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> said on Wednesday that it would be pulling out of an expected takeover of American jewelry retailer Tiffany & Co <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TIF"><span style="color:#333">(</span><span style=";">TIF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TIF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TIF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TIF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, citing the ongoing trade war triggered by U.S. President Donald Trump and the costs associated with it. Tiffany has since filed a lawsuit against LVMH to try and force it to complete the deal.</p><p class='black-text'>LVMH announced that it would be pulling out of the takeover because the deal was being used in the<a href="https://www.wsj.com/articles/lvmh-pulls-out-of-tiffany-takeover-11599649473"> heated trade dispute</a> between France and the United States. According to the luxury retailer, it received a letter from the French Foreign Ministry asking to delay the acquisition until early next year. LVMH's takeover agreement with Tiffany, however, stipulated that the takeover be completed by November 24.</p><p class='black-text'>In general, however, LVMH had been drifting away from the deal well before the letter. Tiffany & Co has suffered greatly from the pandemic, with<a href="https://www.reuters.com/article/us-tiffany-m-a-lvmh/lvmh-warns-it-is-set-to-drop-planned-tiffany-takeover-idUSKBN2601IK"> worldwide sales falling 29%</a> and the company missing expectations by tens of millions of dollars. LVMH CEO Jacques Guiony commented that Tiffany's performance was "lackluster" in recent months. The pandemic is entirely to blame, with luxury good sales, in general, taking a hit as many households tighten their belts to deal with reduced income.</p><p class='black-text'>Tiffany & Co, however, has filed a lawsuit in its home state of Delaware to coerce LVMH to complete the deal as stipulated in the agreement between the two firms.</p><p class='black-text'>"We regret having to take this action but LVMH has left us no choice but to commence litigation to protect our company and our shareholders. Tiffany is confident it has complied with all of its obligations under the Merger Agreement and is committed to completing the transaction on the terms agreed to last year. Tiffany expects the same of LVMH." <a href="https://investorplace.com/2020/09/ma-news-tiffany-co-tif-stock-tanks-8-as-lmvh-cancels-deal/">Said Tiffany CEO Roger Farah.</a></p><p class='black-text'>It is unlikely that the takeover will continue unless US Courts can coerce LVMH to fulfill its contractual obligation. With trade disputes ongoing between President Trump and European leaders, and the pandemic dealing a substantial blow to Tiffany, even should the pandemic ease in the coming months, there appears to be little to entice LVMH back to the bargaining table.</p><p class='black-text'>Tiffany's stock was driven down considerably by the announcement. Shares dropped 6.44% between market close on Tuesday and market close on Wednesday, with the sharpest drop being during overnight trading. Tiffany's share price remained stable at around 6.4% down from Wednesday through the end of the week.</p> http://www.pws.io/lvmh-calls-off-tiffanys-takeover Mon, 14 Sep 2020 09:21:57 -0400 Michael Mooney Lululemon Lower Despite Earnings Beat http://www.pws.io/lululemon-lower-despite-earnings-beat <p class='black-text'>Lululemon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LULU"><span style="color:#333">(</span><span style=";">LULU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LULU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LULU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LULU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell nearly 10% following second-quarter earnings as guidance disappointed. For the quarter, Lululemon beat analysts' consensus for the top and bottom-line.</p><p class='black-text'><i>Inside the Numbers</i></p><p class='black-text'>Lululemon's revenues were 2% higher at $903 million compared to 2019's second-quarter at $883 million. It also topped expectations of $843 million. Online sales were higher by 157%. Growth in online sales offset weakness in retail sales. In-store sales dropped by 51% from last year.</p><p class='black-text'>Earnings per share came in at $0.74 versus expectations of $0.55 on an adjusted basis. This was a decline from last year's $0.96 per share. Currently, the majority of the company's stores are now open, and it seems that many were expecting a bigger sales bump from the reopening.</p><p class='black-text'>Another source of disappointment may have been the company's comments on Mirror. Mirror is a workout display and app that Lululemon purchased earlier this year for $500 million. This holiday season it will only be on display in 10 to 15 stores, meaning that its impact on the bottom-line will be minimal until next year.</p><p class='black-text'>For the holiday season, it expects to open about 70 pop-up shops that proved successful last year. It also has plans to open 30 to 35 new locations over the next 12 months which makes Lululemon one of the few retailers that are in expansion mode.</p><p class='black-text'><i>Stock Price Impact</i></p><p class='black-text'>The stock's poor performance following the company's results indicates that expectations were high. This is to be expected given the company's more than 50% increase year to date. Additionally, the company has a valuation of over $40 billion with sales of $3.85 billion.</p><p class='black-text'>This is a multiple that is more in-line with a tech stock rather than an apparel stock. So, Lululemon has to demonstrate that it can continue maintaining growth to validate this valuation. This quarter's anemic 2% growth is not enough to justify this type of valuation.</p><p class='black-text'>Investors may look past it as a one-time thing due to the coronavirus, but another quarter of middling growth could lead to multiple contractions which could cause a sharp fall in the stock. Another factor is that the company faces increasing competition in the "athleisure" space with lower-cost lines coming out and every company debuting their own "athleisure" line.</p><p class='black-text'>Another factor in the stock's weakness is that management forecast a 15 to 20% drop in EPS for the third and fourth quarter, while analysts were expecting a single-digit decline.</p> http://www.pws.io/lululemon-lower-despite-earnings-beat Sat, 12 Sep 2020 08:59:14 -0400 Jaimini Desai