Uber Opportunity After Earnings

The ridesharing duopoly got demolished this past quarter as the global quarantine kept customers and drivers at bay. Uber (UBER) reported earnings last night, and it was as painful as analysts anticipated. Mobility bookings (aka ridesharing) were down 75% in Q2. The company was able to hedge its primary topline decline with a boom in its food delivery segment, which saw an over 100% increase in revenues. Uber’s unique food delivery, Uber Eats, was a tremendous hedge for the business, and its recent acquisition of Postmates has strengthened its leading positioning in key markets. Uber’s food delivery hedge is one[…]

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Pandemic Puts Ridesharing Duopoly To The Test

The ridesharing duopoly got demolished this past quarter as the global quarantine kept customers and drivers at bay. Uber (UBER) reported earnings last night, and it was as painful as analysts anticipated. Mobility bookings (aka ridesharing) were down 75% in Q2. The company was able to hedge its primary topline decline with a boom in its food delivery segment, which saw an over 100% increase in revenues. Uber’s unique food delivery, Uber Eats, was a tremendous hedge for the business, and its recent acquisition of Postmates has strengthened its leading positioning in key markets. Uber’s food delivery hedge is one[…]

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Is Nikola the Next Tesla, or a Cheap Knock-Off?

It’s often said that, “imitation is the sincerest form of flattery.” Tesla (TSLA) has been incredibly successful over the past decade, transforming itself from a niche manufacturer of an expensive, hand built electric roadster to a truly mass-market manufacturer of electric automobiles – and a $275 billion market capitalization. The return to shareholders who bought Tesla shares at the IPO in 2010 and held them until now is an astonishing 7,700%! It’s no wonder that an achievement like that would spawn imitators who hope to replicate that kind of appreciation. Upstart Nikola (NKLA) – which became a public company recently[…]

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Stocks, Bonds and Gold Continue to Push Higher

The bulls are on the run again, as almost every asset class is looking to trade higher today. The S&P has broken above the 3300 level and futures indicate a green opening once again. The all-time high print of 3393 is within site and achievable before the end of the quarter. Gold has accelerated above the $2000 level, hitting $2060 this morning in futures trading. $2115 is the 261.8% Fibonacci level and shouldn’t be hard to hit. With gold, silver and other metals are also trending higher. Additionally, Bitcoin futures are hitting levels not seen since August of last year.[…]

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3 Zacks Rank #1s Making New Highs

When you think about the last four months, it’s kind of amazing that any stocks are making new highs. The indices have certainty made up a lion’s share of the coronavirus selloff from earlier this year, but the economy is still far from recovered. However, there are plenty of companies fighting through this pandemic and reaching new highs again without waiting for a vaccine or “all clear” from the CDC. And we have a screen that finds those stocks. It’s called  “Zacks #1 Rank New Highs”. Stocks making new highs tend to keep moving higher until something stops the momentum.[…]

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The Tech Analyst Who Screamed Buy TSM at $50!

I just recorded the video segment of the Top Stock Picks of the Week and my investment idea was Micron (MU), the megalodon of memory.   In the video, I shared some of my Friday note to Zacks Ultimate members where I described the tectonic shift that just happened in the semiconductor industry, causing earthquakes and tsunamis in the geology of three stocks: Intel (INTC), Advanced Micro Devices (AMD), and Taiwan Semiconductor (TSM).   The bulk of that report follows below — where I explain the seismic shift and why INTC was down 16% Friday while AMD was up an[…]

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How To Play Next Week’s Hair-Raising Earnings Schedule

We just made it through the first week of Big Tech earnings but not without a few bumps and bruises. Tech investors are beginning to get wary about a potential peak being hit after 4 months of relentless returns. Despite a big top and bottom-line beat, Microsoft’s (MSFT) sell-off from marginally soft forward guidance has investors of all sizes pulling profits. This sell-off rippled across all tech with Amazon (AMZN) and Apple (AAPL) both losing around 8% of their value since Monday morning. Now investors are looking towards next week, which is expected to be the height of excitement amid[…]

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Big Tech May Be In Trouble This Earnings Season

Microsoft (MSFT) beat big on top and bottom-line estimates, far exceeding analysts’ expectations, yet the stock fell over 2%. This innovation-driven enterprise has been provided with a strong pandemic tailwind with its cloud-oriented business model experiencing robust demand growth through this medically induced economic coma. So why did the stock fall, and what does this mean for the rest of big tech? Why MSFT Sold After Earnings Beat Microsoft is notorious for under-promising and overdelivering, surpassing analysts’ EPS and sales estimates for 15 consecutive quarters. Analysts this quarter have been exceptionally conservative with their predictions because of the extreme amount[…]

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How To Get In On The Biggest Global IPO Of 2020

One of the largest IPOs of the decade is about to be unleashed on the Asian markets later this year. Jack Ma’s pet project Ant Group, Alibaba’s (BABA) FinTech arm (33% stake), announced on Monday it would be dual listing in Shanghai and Hong Kong. Ant Group runs China’s most prominent mobile payment platforms, Alipay, and is being valued at over $200 billion, making it larger than most Wallstreet banks. Ant Group offers a broad range of leading digital financial services in the most populous country on earth, making it an extremely desirable asset for any investor. Its biggest global[…]

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Stocks Accelerate Higher on EU Stimulus

Stocks look to head higher once again as stimulus and positive earnings have the bulls on the run. The buyers are in full control as the S&P futures look to open well above yesterday close, which were the highest levels seen since the late February.   EU leaders have agreed on a stimulus package worth over $2 Trillion, which has helped bring global markets higher. Germany’s DAX index was higher by almost 2% as of this writing and has erased all losses for the year.   The stimulus has brought the gold buyers out, bringing the yellow metal to nine-year[…]

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