Description: Facebook Inc. missed profit expectations for the first time in two years as the social network warned investors that higher costs from a series of acquisitions are beginning to take a toll on results. Source: WSJ.com Date: Oct 28, 2014 Link: http://online.wsj.com/articles/facebook-results-improve-on-mobile-ad-strength-1414526855 Questions for Discussions: What is affecting FB financials? Do you think the… Read more »
Posts Categorized: Company Analysis
Valeant Ready to Raise Offer for Botox Maker Allergan
Description: Valeant Pharmaceuticals said on Monday that it was willing to raise its offer for the Botox maker Allergan, and once again invited the company to negotiate a friendly deal. Source: NYTimes.com Date: Oct 27, 2014 Link: http://dealbook.nytimes.com/2014/10/27/valeant-ready-to-raise-offer-for-botox-maker-allergan/?_php=true&_type=blogs&_r=0 Questions for Discussions: What will the affect of a $200 offer be on both firms’ stock values?… Read more »
Holy guacamole! Chipotle stumbles
Description: Chipotle’s stock had been hotter than a Serrano pepper. But investors aren’t happy about slowing growth. Is Qdoba, the burrito chain owned by Jack in the Box, stealing customers? Source: CNNMoney.com – video report Date: Oct 21, 2014 Link: http://money.cnn.com/video/investing/2014/10/21/investing-the-buzz-chipotle-qdoba.cnnmoney/ Questions for Discussions: Why did Chipotle stock drop off? Is this a good time… Read more »
Amazon torn apart by Wall Street piranhas
Description: Wall Street has a message to Amazon CEO Jeff Bezos. Stop spending so much! Big investments have led to red ink. Amazon’s weak holiday quarter sales outlook doesn’t help either. Source: CNNMoney.com – video report Date: Oct 24, 2014 Link: http://money.cnn.com/video/investing/2014/10/24/investing-the-buzz-amazon-jeff-bezos-black-friday.cnnmoney/ Questions for Discussions: Why did investors sell off Amazon stock? What are they… Read more »
The new Cold War on Business
Description: For two decades, globalization has been the world economy’s central story line—or so it was until Russia and China sharply changed the narrative for big companies in the West, the question now is: can there be a happy ending? Source: Fortune.com Date: Oct 08, 2014 Link: http://fortune.com/2014/10/08/the-new-cold-war-on-business/ Questions for Discussions: Summarize and evaluate the… Read more »
Stanley’s Profit Surges in Quarter
Description: Morgan Stanley, at the end of a week that was buffeted by market tumult, reported third-quarter results on Friday that glided past Wall Street’s expectations. Source: NYTimes.com Date: Oct 17, 2014 Link: http://dealbook.nytimes.com/2014/10/17/morgan-stanleys-profit-surges-in-quarter/?_php=true&_type=blogs&ref=business&_r=0 Questions for Discussions: What does the report say about Morgan Stanley and how it made its money? What does this suggest… Read more »
Corporate divorces are all the rage
Description: HP is following eBay’s lead and is breaking up into two companies. There has been a wave of spin-offs this year. Expect more to come. Source: CNNMoney.com – video report Date: Oct 06, 2014 Link: http://money.cnn.com/video/investing/2014/10/06/corporate-breakups-on-the-rise-hp-spinoff.cnnmoney/ Questions for Discussions: What is driving corporate splits? How have the corporate splits cited in the report performed… Read more »
Hewlett-Packard Takes the King Solomon Approach
Description: And then Meg Whitman cut the baby in two. After spending years debating the merits of operating as separate companies, Hewlett-Packard (HPQ) on Monday announced its plans to divide. Source: Businessweek.com Date: Oct 06, 2014 Link: http://www.businessweek.com/articles/2014-10-06/hewlett-packard-to-split-into-two-companies#r=hpt-fs Questions for Discussions: Summarize the reasons provided for splitting the company into two separate firms? Do you… Read more »
S&P 500 Companies Spend 95% of Profits on Buybacks, Payouts
Description: Companies in the Standard & Poor’s 500 Index really love their shareholders. Maybe too much. Source: Bloomberg.com Date: Oct 06, 2014 Link: http://www.bloomberg.com/news/2014-10-06/s-p-500-companies-spend-almost-all-profits-on-buybacks-payouts.html Questions for Discussions: What does the report say about corporate use of funds? Why is this a concern longer term?
EBay breaks up with PayPal
Description: Ebay is finally following the advice off Carl Icahn and spinning of PayPal in 2015. Will the companies benefit from the breakup? Source: CNNMoney.com – video report Date: Oct 02, 2014 Link: http://money.cnn.com/video/investing/2014/09/30/ebay-splits-with-paypal.cnnmoney/ Questions for Discussions: Why was PayPal spun off from EBay? Do you think it will be good for investors buying either… Read more »
