Posted by & filed under Governments & Regulators, Growth & Valuation, Industry Analysis, Market Analysis, Personal Finance.

Description: U.S. equity valuations have become a “total nightmare” fueled by “young and dumb” investors, according to Cole Smead, president and portfolio manager at Smead Capital Management.

Source: CNBC.com – video report

Date: Oct 15, 2020

Link: https://www.cnbc.com/2020/10/15/smead-nightmare-us-stock-valuations-driven-by-young-dumb-investors.html

Questions for discussion:

  • What are the reasons for concern, as explained in the article?
  • What do think of this assessment?
  • What should investors do, given this information?

Posted by & filed under Company Analysis, Economic Analysis, Financial Planning, Growth & Valuation, Market Analysis, Personal Finance.

Description: Wall Street’s top matchmaker for megadeals sees a wave of corporate takeovers coming with a worrying implication for the workforce: a jump in job losses.

Source: Bloomberg.com

Date: Oct 16, 2020

Link: https://www.bloomberg.com/news/articles/2020-10-16/goldman-warns-of-more-job-losses-with-jumbo-mergers-on-the-rise?srnd=premium-canada

Questions for discussion:

  • Summarize Goldman’s view of the near future.
  • What does this mean for investors?

Posted by & filed under Company Analysis, Economic Analysis, Governments & Regulators, Growth & Valuation, Personal Finance.

Description: Bitcoin has been on fire in 2020, having rallied almost 60% year-to-date to completely dwarf the 7% return on the S&P 500. According to Raoul Pal, a former Goldman Sachs GS, -1.14% hedge-fund manager, the world’s biggest cryptocurrency is just getting warmed up.

Source: MarketWatch.com

Date: Oct 17, 2020

Link: https://www.marketwatch.com/story/a-90x-return-in-just-five-years-former-goldman-sachs-hedge-fund-manager-says-an-enormous-wall-of-money-is-coming-11602781826

Questions for discussion:

  • What is the basis for the projected value of Bitcoin, according to the article?
  • Do you agree with the analysis?
  • What should investors do?

Posted by & filed under Company Analysis, Growth & Valuation, Industry Analysis, Management Issues, Personal Finance.

Description: Calin Rovinescu will retire as Air Canada’s top executive in February and hand the reins to Chief Financial Officer Michael Rousseau, who takes over an airline with a strong balance sheet but a huge rebuilding task ahead of it.

Source: Bloomberg.com

Date: Oct 16, 2020

Link: https://www.bloomberg.com/news/articles/2020-10-16/air-canada-s-rovinescu-retires-hands-control-to-cfo-rousseau?srnd=premium-canada

Questions for discussion:

  • What sort of special challenges will the new CEO face in the coming years?
  • Do you think coming from a finance background, he will be better equipped to handle the firm’s problems?

Posted by & filed under Company Analysis, Economic Analysis, Growth & Valuation, Management Issues.

Description: Amazon Care, the company’s online medical clinic for its own employees, is trying to hire half a dozen people in business development roles to “build and grow relationships with commercial and public sector enterprises.” Most of the roles were posted in the past month.

Source: CNBC.com

Date: Ocy 16, 2020

Link: https://www.cnbc.com/2020/10/16/amazon-care-telemedicine-service-job-listings-hint-at-expansion.html

Questions for discussion:

  • Describe the business model Amazon is rolling out.
  • Why are partnerships important to this effort?
  • How successful do you think the plan will be? Explain your thinking.

Posted by & filed under Company Analysis, Governments & Regulators, Industry Analysis, Management Issues.

Description: A new report by the consumer-interest nonprofit Public Citizen calls out major retailers — Best Buy, Lowe’s, Home Depot, Target, Walmart and others — for donating to trade associations and campaigns promoting harsher shoplifting penalties in at least 18 states. The retailers succeeded in 11 of them, according to the report.

Source: NPR.org

Date: Oct 16, 2020

Link: https://www.npr.org/2020/10/16/923844907/when-shoplifting-is-a-felony-retailers-back-harsher-penalties-for-store-theft

Questions for discussion:

  • What are the issues involved in this report?
  • What are the consequences for all parties involved?
  • How should the problem of shoplifting be handled, in your opinion?

Posted by & filed under Company Analysis, Economic Analysis, Financial analysis, Financial Planning, Growth & Valuation, Industry Analysis, Personal Finance.

Description: For some small-business owners, watching their larger peers file for bankruptcy may do little to ease fears about their own financial solvency.

Source: CNBC.com – video report

Date: Oct 08, 2020

Link: https://www.cnbc.com/2020/10/08/ruby-tuesday-files-bankruptcy-here-are-options-for-struggling-firms.html

Questions for discussion:

  • What are the alternatives to bankruptcy, as illustrated in the article?
  • In your opinion, should more debt holders consider taking ownership of a firm and hold out for a better day?

Posted by & filed under Governments & Regulators, Growth & Valuation, Industry Analysis, Personal Finance.

Description: During a conversation with Minnesota senator Amy Klobuchar, Case discussed how the U.S. can keep its competitive edge.

Source: INC.com

Date: Oct 08, 2020

Link: https://www.inc.com/kevin-j-ryan/steve-case-amy-klobuchar-innovation-entrepreneurship-startup-hubs.html?utm_source=incthismorning

Questions for discussion:

  • Summarize what Steve Case said about the importance of venture capital and entrepreneurship?
  • What does the article suggest is the role of government? Do you agree?

 

Posted by & filed under Company Analysis, Financial Planning, Growth & Valuation, Personal Finance.

Description: New York (CNN Business)People are flocking to America’s biggest pizza chains in the pandemic, and that should be great news for Domino’s. But just as Covid-19 has people buying more pizza, it has led to higher costs for everything from cleaning supplies to worker pay. Ingredient costs have also fluctuated: The company said cheese prices have been swinging wildly during the pandemic, going from an all-time low at one point to an all-time high last quarter. And that’s meant Domino’s increased sales have muted profits that disappointed Wall Street.

Source: CNN.com

Date: Oct 08, 2020

Link: https://www.cnn.com/2020/10/08/business/dominos-pizza-pandemic/index.html

Questions for discussion:

  • What are the financial lessons to take away from the report on Domino?
  • Is there a way to increase profitability?

Posted by & filed under Company Analysis, Growth & Valuation, Industry Analysis, Personal Finance.

Description: CALGARY — Canadian Natural Resources Ltd. has dethroned Suncor Energy Inc. as Canada’s most valuable energy company amid a selloff in domestic oil and gas stocks that has continued to erode the size of the energy industry on major North American stock indices.

Source: FinancialPost.com

Date: Oct 06, 2020

Link: https://financialpost.com/commodities/energy/as-investors-dump-oil-holdings-canadian-natural-overtakes-suncor-as-canadas-most-valuable-energy-company

Questions for discussion:

  • Summarize the situation in the Canadian oil and gas industry.
  • Why are more mergers and acquisitions likely?