Description: One of the economy’s biggest mysteries is this: The labor market is the strongest it has been in a decade, yet wages are rising barely faster than inflation. Source: NYTimes.com Date: May 26, 2017 Link: https://www.nytimes.com/2017/05/26/upshot/the-question-isnt-why-wage-growth-is-so-low-its-why-its-so-high.html?ref=dealbook&_r=0 Questions for discussion: What does this article say about how and why wages rise? What might the current… Read more »
Posts Categorized: Growth & Valuation
Kinder Morgan Canada to Price IPO at C$17 in Canadian Debut
Description: Kinder Morgan Canada Ltd. is expected to raise C$1.75 billion ($1.3 billion) in its initial public offering after setting the price of its shares at C$17 each, below the previous range, according to terms of the deal. Source: Bloomberg.com Date: May 17, 2017 Link: https://www.bloomberg.com/news/articles/2017-05-24/kinder-morgan-canada-said-to-price-ipo-at-c-17-in-canadian-debut Questions for discussion: How should investors evaluate this IPO?… Read more »
Tax reform: It’s business vs. the middle class
Description: There are a thousand fights to be had over tax reform. One of the big ones is how much should tax reform directly help businesses vs. the middle class? Source: CNNMoney.com – video report Date: May 19, 2017 Link: http://money.cnn.com/2017/05/19/news/economy/tax-reform-businesses-middle-class/index.html?iid=hp-stack-dom Questions for discussion: Why is tax reform so challenging, according to the report? In… Read more »
Too much oil supply in the markets: Part One
Description: BNN commentator Andrew McCreath speaks with Johannes Benigni of JBC Energy, who explains why he thinks there’s still too much oil on the market. Source: BNN.ca – video report Date: May 10, 2017 Link: http://www.bnn.ca/video/too-much-oil-supply-in-the-markets-part-one~1129206 Questions for discussion: Summarize the highlights presented in this report. Do you agree with the assessments? What would you… Read more »
This could stop Amazon’s stock rally in its tracks
Description: Amazon needs to enact a large stock split and start paying a dividend to get the Dow keepers’ attention Source: MarketWatch.com Date: May 15, 2017 Link: http://www.marketwatch.com/story/this-could-stop-amazons-stock-rally-in-its-tracks-2017-04-21?siteid=nwtwk Questions for discussion: What is the concern about Amazon’s stock price as described in this article? What do you think about this argument?
The Barbarians Are at Etsy’s Hand-Hewn, Responsibly Sourced Gates
Description: The ur-Brooklyn online craft marketplace is under pressure to start acting more like a conventional, shareholder-focused company. Source: Bloomberg.com Date: May 15, 2017 Link: https://www.bloomberg.com/news/features/2017-05-18/the-barbarians-are-at-etsy-s-hand-hewn-responsibly-sourced-gates Questions for discussion: What does this article say about the company and its management? What do you think of the future financial possibilities are for this company?
Snap Inc’s Shares Are Plunging After Its Q1 Earnings Report
Description: It didn’t hit analysts’ expectations. Source: Fortune.com – video report Date: May 10, 2017 Link: http://for.tn/2r19CMH Questions for discussion: What are the key financial numbers investors are using to evaluate the stock value? Do you think this company’s financial performance will improve as did Facebook?
Nordstrom Can’t Escape the Retail Industry Bloodbath
Description: Sales at its brick-and-mortar stores disappointed. Source: Fortune.com – video report Date: May 05, 2017 Link: http://for.tn/2r7SkOm Questions for discussion: What does the report say about profits and retailing trends in general? How should investors evaluate the stock?
Valeant shares rocket 24% as investors cheer moves to reduce debt
Description: Troubled drug company refinanced debt, extended maturities and adjusted terms last quarter Source: MarketWatch.com Date: May 12, 2017 Link: http://www.marketwatch.com/story/valeant-shares-rocket-23-as-investors-cheer-moves-to-reduce-debt-2017-05-09?siteid=nwtwk Questions for discussion: Why did the stock price jump? Do you think the current value is fair, with respect to the level of debt and revenue projections?
PrivateBancorp Holders Approve $4.9 Billion CIBC Takeover
Description: PrivateBancorp Inc. investors approved a $4.9 billion takeover by Canadian Imperial Bank of Commerce after the Toronto-based lender sweetened its deal twice to win over shareholders. Source: Bloomberg.com Date: May 12, 2017 Link: https://www.bloomberg.com/news/articles/2017-05-12/privatebancorp-holders-approve-4-9-billion-cibc-takeover-offer Questions for discussion: Why is this a good deal for both parties? What are the risks going forward?
