Trading Ideas

(Bloomberg) — Citigroup Inc. strategists are warning about a sense of euphoria and “substantive” complacency in financial markets, when the impact of the coronavirus is not yet clear.“Pretty much every client we talk to wants to buy the dip, and that is not comforting,” wrote Tobias Levkovich, chief U.S. equity strategist, in a note Wednesday. “While there may be some good news on a potential slowing of the outbreak’s spread outside of the Hubei province, we are reticent to think that the impact is behind us now.”Global equities have rebounded strongly this week, with U.S. stocks surging to fresh records, …read more […]

(Bloomberg) — Biotechnology and drug-research services firm PPD Inc. raised $1.62 billion in the biggest U.S. initial public offering so far this year.The company sold 60 million shares Wednesday for $27 each after marketing them $24 to $27. PPD is valued in the IPO at $9.16 billion based on the outstanding shares listed in its filings.Business-to-business firms such as PPD have tended to fare better in their IPOs and afterward than consumer-focused companies, including the herd of so-called unicorns that have gone public in the past year. The two most prominent of those once-private startups with valuations of $1 billion …read more […]

(Bloomberg) — Peloton Interactive Inc., the maker of internet-connected exercise equipment, said on Wednesday that sales in the current quarter would be lower than analysts’ estimates. That news overshadowed the company’s strong holiday earnings and optimistic sales projections for 2020, sending its stock tanking after-hours.New York-based Peloton said revenue in its fiscal third quarter would be $470 million to $480 million, missing the average projection of $494 million. The shares were down about 9% in extended trading.Peloton’s stock has had a rocky few months since its initial public offering in September. The company floundered in the months following its IPO, …read more […]

(Bloomberg) — Twilio Inc. gave a forecast for full-year results that fell far short of analysts’ estimates, reflecting the software maker’s rising costs in its efforts to expand.The company expects to report a loss, excluding some costs, of 20 cents to 14 cents a share in 2020. Analysts, on average, projected profit of 24 cents, according to data compiled by Bloomberg. Annual sales will be as much as $1.49 billion, San Francisco-based Twilio said Wednesday in a statement, representing a significant decline in the company’s revenue growth rate.Twilio Chief Executive Officer Jeff Lawson has assembled a broad set of cloud-based …read more […]

Investors also may have been disappointed by misses on sales for 4th quarter and blockbuster drug Keytruda Continue reading… …read more […]

Qualcomm supplies “modem” chips, also sometimes called baseband processors, that connect mobile phones to wireless data networks. Qualcomm has been trying to persuade phone makers to buy its radio frequency chips, together with its own modem chips, rather than selecting parts from separate vendors and integrating them. …read more […]

China’s state-owned gas importers are considering declaring force majeure on LNG imports, which would amplify the turmoil in global gas markets …read more […]

After six months, the Trump impeachment trials are drawing to a close as the Senate has enough votes to acquit Trump of abuse of power by 52-48. …read more […]

(Bloomberg) — Qualcomm Inc. gave a strong sales forecast for the current quarter, indicating new high-speed wireless networks are starting to fire up demand for pricier smartphones.Revenue will be $4.9 billion to $5.7 billion in the period ending in March, the San Diego-based company said Wednesday in a statement. Analysts, on average, estimated $5.1 billion, according to data compiled by Bloomberg. Fiscal first-quarter sales and profit also beat estimates.The forecast is more evidence of Qualcomm’s confidence that fifth generation, or 5G, networks will expand quickly this year and spur mobile phone upgrades to take advantage of faster data speeds. Chief …read more […]

Shares of fitness equipment manufacturer, Peloton tumbled in after-hours trading on Wednesday, after the company’s fourth-quarter earnings report disappointed investors. The Final Round panel breaks down the latest. …read more […]

Editor’s Note: Today’s Safety Net comes from Financial Research Associate Andrew Hubbarth.
– Mable Buchanan, Assistant Managing Editor

Boeing Co. (NYSE: BA) has made headlines over the past year and a half for all the wrong reasons.
In October 2018, Lion Air Flight 610 crashed in Indonesia, and in March 2019, Ethiopian Airlines Flight 302 also crashed minutes after takeoff.
These tragedies resulted in 346 people losing their lives and the eventual grounding of all Boeing 737 Max planes worldwide. Anti-stall and flight control software malfunctions and the need for proper pilot training were cited as reasons for the crashes.
The 737 Max grounding set …read more […]

(Bloomberg) — Elon Musk’s fortune is coming back down to Earth.After an epic six-day rally, Tesla Inc. shares tumbled 17% Wednesday, the most in eight years, cutting the chief executive officer’s fortune by $5.9 billion. The stock had surged to a record close of $887.06 a day earlier, rocketing Musk to No. 20 on the Bloomberg Billionaires Index, just past John and Jacqueline Badger Mars, the owners of candy-maker Mars Inc.Musk, 48, ended the day at No. 25 on the ranking with a net worth of $39.3 billion. He started the year at No. 35.Even before the plunge, investors and …read more […]

U.S. insurer MetLife Inc reported a 37.3% jump in quarterly adjusted profit on Wednesday, helped by higher premiums and a rise in net investment income. Life insurers make money by investing coverage premiums into stocks and bonds, hoping to earn more than what they pay out in claims. Premiums and fees rose 24% to $13.76 billion in the quarter. …read more […]

Firm boosts positions in media companies, Macy’s and Buffett’s conglomerate Continue reading… …read more […]

Last year Amazon paid 0% in taxes — this year they only paid 1.2%. …read more […]