Description: With the U.S. on track to become the world’s largest oil producer by next year, it’s become popular in Washington and on Wall Street to call America the new Saudi Arabia. Yet the real Saudi Arabia hasn’t relinquished its role as the producer with the most influence over oil prices. Source: Businessweek.com Date: Oct… Read more »
Posts Categorized: Growth & Valuation
Why one economist says no recession until at least 2016
Description: It’s going to take a little bit more than Ebola, eurozone pessimism and a rising U.S. dollar to turn David Rosenberg into a bear. Source: Marketwatch.com Date: Oct 24, 2014 Link: http://www.marketwatch.com/story/why-one-economist-says-no-recession-until-at-least-2016-2014-10-24 Questions for Discussions: What are the arguments presented for the prediction? Do you agree? What event might cause this scenario to change?
Yes, it’s time to go shopping for stocks
Description: The recent market plunge has created a great buying opportunity for investors looking for quality stocks. Several auto, energy, tech and retail firms look attractive. Source: CNNMoney.com – video report Date: Oct 16, 2014 Link: http://money.cnn.com/video/investing/2014/10/16/time-to-bargain-shop-for-stocks.cnnmoney/ Questions for Discussions: Is it a good time to buy if you are a trader or investor? Why… Read more »
CNNMoney Recap: The week’s biggest stories
Description: All the money news that matters to you this week: Stocks drop, then recover — why that’s a good thing, plus the cheapest gas in years is coming to your corner and why Facebook and Apple are reportedly paying for employees to freeze their eggs. Source: CNNMoney.com Date: Oct 17, 2014 Link: http://money.cnn.com/video/news/2014/10/17/cnnmoney-recap-october-18.cnnmoney/ Questions… 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 »
One Great Idea From Jean Tirole, the Nobel Economist
Description: The government worries mainly about “horizontal” mergers in which one company buys another that does the same thing. But there’s also risk in vertical combinations. Source: Businessweek.com Date: Oct 13, 2014 Link: http://www.businessweek.com/articles/2014-10-13/this-nobel-economist-analyzes-competition#r=nav-f-story Questions for Discussions: What does Jean Tirole say about mergers? How should investors use this information to guide their investment thinking?
GM Sued for $10 Billion Over Losses on 27 Million Cars
Description: General Motors Co. (GM) was hit with its biggest lawsuit so far over serial recalls, brought on behalf of drivers of 27 million vehicles seeking more than $10 billion in compensation for fallen car prices. Source: Bloomberg.com Date: Oct 15, 2014 Link: http://www.bloomberg.com/news/2014-10-15/gm-sued-for-10-billion-over-losses-on-27-million-cars.html Questions for Discussions: What are the issues in this report related… Read more »
Americans sour on SodaStream
Description: Shares of the home carbonation machine maker sunk 21% to an all-time trading low Tuesday after the company released poor preliminary results for the third quarter. Source: CNNMoney.com Date: Oct 07, 2014 Link: http://money.cnn.com/2014/10/07/investing/sodastream-earnings-warnings/index.html?iid=HP_LN Questions for Discussions: Summarize the financial performance of the company from an investor’s point of view. What has happened? Do… 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?
