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Trading Ideas

Intel Can’t Take Off Another Round in Chip Battle

(Bloomberg Opinion) — Intel Inc. closed out 2019 learning the hard lesson that making cutting-edge semiconductors is truly difficult.Like a prizefighter who refuses to admit he just hit the mat, the world’s biggest chipmaker is coming out swinging. And it should, because how it gets through 2020 could decide the company’s fate. Once the most advanced supplier of semiconductors, Intel struggled last year to ramp up production of chips that use its latest 14-nanometer process node, “letting customers down,” as CEO Bob Swan said in October. Its full-year results released Thursday showed that revenue climbed 2% and that net income …read more […]

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Trading Ideas

Is It Time for an Energy Sector Rally?

From a price-to-earnings standpoint, the energy sector is the cheapest sector in the S&P 500.
It can also be surprisingly stable at times. Pricing for West Texas Intermediate crude was down slightly in 2019, but for the most part it was fairly steady for the year.
Yet given this price stability and the perceived cheapness in the sector’s equity prices, there are few bidders for the stocks.
In fact, relative strength (a measure of market demand) for the sector is among the worst in the S&P 500.
The sector did go through quite a bit of stress in 2015 and 2016, which may have …read more […]

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Trading Ideas

Bayer Discusses Settling Roundup Claims for $10 Billion

(Bloomberg) — In an effort to settle tens of thousands of claims that Bayer AG’s Roundup weedkiller causes cancer, lawyers for some plaintiffs are discussing with the company deals that could lead to a total payout of about $10 billion, according to people with direct knowledge of the negotiations.In some discussions, Bayer’s lawyers have said the chemical maker will set aside $8 billion to resolve current cases and reserve $2 billion for future claims, the five people said. Roundup has been blamed for ailments including non-Hodgkin’s lymphoma, which can take years to be diagnosed. Bayer declined to comment on the …read more […]

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Trading Ideas

Intel’s Bullish Sales Forecasts Powered by Data Center Revival

(Bloomberg) — Intel Corp. gave bullish quarterly and full-year revenue forecasts, suggesting personal-computer demand remains strong and purchasing by data center owners has come surging back. The shares jumped as much as 7.2% in late trading.Revenue in the current period will be roughly $19 billion, and profit will be about $1.23 a share, excluding certain items, Intel also said. That compares with average analysts’ estimates of $17.2 billion and $1.04 a share.Sales in 2020 will be about $73.5 billion, the company said late Thursday in a statement. Analysts were looking for $72.2 billion on average, according to data compiled by …read more […]

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Trading Ideas

3 “Strong Buy” Energy Stocks to Catch on Oil Demand Growth

Oil may be a necessity in today’s economy, but that doesn’t mean oil prices always go up. In recent years, supply has outpaced demand, putting downward pressure on prices. The fracking revolution in the US oil industry, which opened up previously non-viable or unavailable reserves in shale formations, has turned the US into the world’s largest oil producer and, for now, a net exporter of crude oil products.The effect on prices has been long-term macro-level volatility. Prices troughed four years ago, in January 2016, climbed steadily to peak in September 2018, and have been unable to regain highs since, in …read more […]

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Business News

Bank regulator charges ex-Wells Fargo executives for role in sales scandal

Wells Fargo & Co’s regulator on Thursday announced it had brought civil charges against eight former executives, including former Chief Executive Officer John Stumpf, marking the first federal action against individuals for their role in the bank’s three-year sales practices scandal.

…read more […]