Why JP Morgan’s top internet analyst expects breakout growth for Facebook and Amazon shares in 2019

Technology stocks were hurt by a “challenging earnings season” last month but that’s created a window of opportunity in both Amazon and Facebook, J. P. Morgan internet analyst Doug Anmuth tells CNBC. “The key is, once Amazon gets past [the fourth quarter], we would expect growth to accelerate in early 2019.” J. P. Morgan believes Amazon’s core retail business remains strong. The analyst also sees the company’s profitability to be further driven by its Amazon Web Services and advertising business


Technology stocks were hurt by a “challenging earnings season” last month but that’s created a window of opportunity in both Amazon and Facebook, J. P. Morgan internet analyst Doug Anmuth tells CNBC. “The key is, once Amazon gets past [the fourth quarter], we would expect growth to accelerate in early 2019.” J. P. Morgan believes Amazon’s core retail business remains strong. The analyst also sees the company’s profitability to be further driven by its Amazon Web Services and advertising business
Why JP Morgan’s top internet analyst expects breakout growth for Facebook and Amazon shares in 2019 Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: michael sheetz
Keywords: news, cnbc, companies, anmuth, jp, user, growth, sees, shares, internet, amazon, facebook, expects, think, lot, analyst, breakout, morgan, quarter, morgans


Why JP Morgan's top internet analyst expects breakout growth for Facebook and Amazon shares in 2019

Technology stocks were hurt by a “challenging earnings season” last month but that’s created a window of opportunity in both Amazon and Facebook, J. P. Morgan internet analyst Doug Anmuth tells CNBC. The two tech giants are Anmuth’s top picks for the coming year.

“Amazon obviously took its lumps in [the third quarter] after earnings,” Anmuth said. “The key is, once Amazon gets past [the fourth quarter], we would expect growth to accelerate in early 2019.”

Jeff Bezos’ e-commerce empire “stands out” the most among the internet names Anmuth covers, he said in a note to clients on Thursday. J. P. Morgan believes Amazon’s core retail business remains strong. The analyst also sees the company’s profitability to be further driven by its Amazon Web Services and advertising businesses.

Facebook’s “stock has been under a lot of pressure for a long time,” Anmuth said, but the third quarter “saw numbers which showed stability in the user base.” While some view Facebook “as a 1-trick pony” built around advertising, Anmuth said CEO Mark Zuckerberg’s company is “clearly pushing harder”

Anmuth noted that Facebook doubled its safety and security staff to 20,000 from 10,000, saying the firm is “certainly spending a lot of money around that investment.”

“I think they are taking much more serious steps than a year or two ago,” Anmuth said on CNBC’s “Squawk on the Street.” He sees Facebook finding growth again in three ways: Reversing the negative tide of public opinion, further stabilizing its core user base and identifying new revenue sources.

“I think the bar has been kind of set in an appropriate place,” Anmuth said.


Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: michael sheetz
Keywords: news, cnbc, companies, anmuth, jp, user, growth, sees, shares, internet, amazon, facebook, expects, think, lot, analyst, breakout, morgan, quarter, morgans


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Charts show oil just suffered a ‘severe setback,’ signals lower prices

Wall Street technician Louise Yamada sees more pain coming to the oil markets. She based her forecast on two oil charts that show U.S. crude is trapped in a downward cycle. Yamada, who runs Louise Yamada Technical Research Advisors, expects a more structural decline to take place. West Texas Intermediate (WTI) crude gained 21 cents on Thursday to close at $56.46 a barrel. Due to the severity of the oil decline, Yamada isn’t eliminating the chance of a near-term bounce to the $59 to $60 a barrel.


Wall Street technician Louise Yamada sees more pain coming to the oil markets. She based her forecast on two oil charts that show U.S. crude is trapped in a downward cycle. Yamada, who runs Louise Yamada Technical Research Advisors, expects a more structural decline to take place. West Texas Intermediate (WTI) crude gained 21 cents on Thursday to close at $56.46 a barrel. Due to the severity of the oil decline, Yamada isn’t eliminating the chance of a near-term bounce to the $59 to $60 a barrel.
Charts show oil just suffered a ‘severe setback,’ signals lower prices Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-15  Authors: stephanie landsman, mathew lloyd, bloomberg, getty images, michael nagle, dario pignatelli, andrew harrer, david a grogan
Keywords: news, cnbc, companies, crude, severe, signals, wti, days, charts, yamada, expects, lower, louise, oil, prices, barrel, setback, suffered, weeks, decline


Charts show oil just suffered a 'severe setback,' signals lower prices

Wall Street technician Louise Yamada sees more pain coming to the oil markets.

She based her forecast on two oil charts that show U.S. crude is trapped in a downward cycle.

“We’ve seen the completion of the target from a head and shoulders bottom back in 2015-2016. It went directly up to $78-$79 [a barrel],” she said Thursday on CNBC’s “Futures Now.” “This has been a severe setback. We were looking for a weakness towards the trend. It’s actually broken the trend.”

Yamada, who runs Louise Yamada Technical Research Advisors, expects a more structural decline to take place.

“The weekly momentum has been declining for half the year, suggesting that the rally was weakening. And, now we’re at the point where the monthly is just kissing for a sell signal,” she noted.

West Texas Intermediate (WTI) crude gained 21 cents on Thursday to close at $56.46 a barrel. The commodity, which is in bear territory, is off 21 percent over the past four weeks. She expects the $52 to $53 could act as a temporary support level for crude.

“It’s difficult to say whether it will be days or weeks,” she said. “This whole equity market has been doing more on the downside than many people expected. We’ve been cautious for quite a while.”

On Wednesday, WTI snapped its longest losing streak ever, down 12 days in a row. Due to the severity of the oil decline, Yamada isn’t eliminating the chance of a near-term bounce to the $59 to $60 a barrel. However, she’s convinced there’s a low probability it’ll stick, referring to how crude has traded since its all-time high of $145 a barrel hit back in July 2008.

“[It’s a] very interesting confluence of resistance levels that suggest it might be over for the upside for some time to come,” Yamada said.


Company: cnbc, Activity: cnbc, Date: 2018-11-15  Authors: stephanie landsman, mathew lloyd, bloomberg, getty images, michael nagle, dario pignatelli, andrew harrer, david a grogan
Keywords: news, cnbc, companies, crude, severe, signals, wti, days, charts, yamada, expects, lower, louise, oil, prices, barrel, setback, suffered, weeks, decline


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OPEC expects global energy demand to skyrocket through 2040, thanks to India and China

Global energy demand is set to skyrocket over the next two decades, OPEC said in its latest annual outlook, with India and China the most important contributors to this growth. In the influential oil cartel’s 2018 World Oil Outlook (WOO), the group said it expects total primary energy demand to surge around 33 percent from 2015 levels. Driven almost entirely by developing countries — most notably India and China — demand is expected to increase at an average annual growth rate of nearly 2 percen


Global energy demand is set to skyrocket over the next two decades, OPEC said in its latest annual outlook, with India and China the most important contributors to this growth. In the influential oil cartel’s 2018 World Oil Outlook (WOO), the group said it expects total primary energy demand to surge around 33 percent from 2015 levels. Driven almost entirely by developing countries — most notably India and China — demand is expected to increase at an average annual growth rate of nearly 2 percen
OPEC expects global energy demand to skyrocket through 2040, thanks to India and China Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-13  Authors: sam meredith, vcg, getty images, omar marques, sopa images, lightrocket
Keywords: news, cnbc, companies, countries, global, world, 2040, energy, bpd, thanks, opec, skyrocket, oil, demand, china, million, outlook, india, expects


OPEC expects global energy demand to skyrocket through 2040, thanks to India and China

Global energy demand is set to skyrocket over the next two decades, OPEC said in its latest annual outlook, with India and China the most important contributors to this growth.

In the influential oil cartel’s 2018 World Oil Outlook (WOO), the group said it expects total primary energy demand to surge around 33 percent from 2015 levels.

Driven almost entirely by developing countries — most notably India and China — demand is expected to increase at an average annual growth rate of nearly 2 percent, reaching 365 million carrels per day (bpd) in 2040.

“Energy demand in India and China in this period is forecast to increase by 22 million bpd and 21 million bpd, respectively, which is more than 50 percent of the energy demand growth in developing countries during this period,” OPEC said in the report.

At present, energy market participants are increasingly concerned about a slowdown in the global economy, escalating trade tensions, emerging market countries’ currency weakness and the potential fallout this could have on oil demand.

Last month, the International Monetary Fund (IMF) cut its outlook for the world economy in 2018-19 by 0.2 percentage points to 3.7 percent.


Company: cnbc, Activity: cnbc, Date: 2018-11-13  Authors: sam meredith, vcg, getty images, omar marques, sopa images, lightrocket
Keywords: news, cnbc, companies, countries, global, world, 2040, energy, bpd, thanks, opec, skyrocket, oil, demand, china, million, outlook, india, expects


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Jerome Corsi, right-wing conspiracy theorist linked to Roger Stone, expects to be indicted in Mueller probe

Jerome Corsi, a right-wing conspiracy theorist linked to Trump confidant Roger Stone, told NBC News in an interview Monday that he believes he will be indicted for perjury in special counsel Robert Mueller’s investigation into Russian interference in the 2016 election. Corsi said that Mueller’s team told him he would be indicted about a week ago. He is one of several associates of Roger Stone who have been called by Mueller to appear before a grand jury, according to NBC News. Corsi allegedly kn


Jerome Corsi, a right-wing conspiracy theorist linked to Trump confidant Roger Stone, told NBC News in an interview Monday that he believes he will be indicted for perjury in special counsel Robert Mueller’s investigation into Russian interference in the 2016 election. Corsi said that Mueller’s team told him he would be indicted about a week ago. He is one of several associates of Roger Stone who have been called by Mueller to appear before a grand jury, according to NBC News. Corsi allegedly kn
Jerome Corsi, right-wing conspiracy theorist linked to Roger Stone, expects to be indicted in Mueller probe Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: waverly colville, matthew cavanaugh, stringer, getty images
Keywords: news, cnbc, companies, jerome, told, nbc, newscorsi, wikileaks, rightwing, corsi, indicted, stone, mueller, theorist, roger, muellers, emails, probe, expects, linked


Jerome Corsi, right-wing conspiracy theorist linked to Roger Stone, expects to be indicted in Mueller probe

Jerome Corsi, a right-wing conspiracy theorist linked to Trump confidant Roger Stone, told NBC News in an interview Monday that he believes he will be indicted for perjury in special counsel Robert Mueller’s investigation into Russian interference in the 2016 election.

Corsi said that Mueller’s team told him he would be indicted about a week ago. He is one of several associates of Roger Stone who have been called by Mueller to appear before a grand jury, according to NBC News.

Corsi allegedly knew ahead of time that emails from John Podesta, Hilary Clinton’s former campaign chairman, had been stolen and given to WikiLeaks, NBC reported. Corsi has denied the allegations.

“I don’t recall ever meeting [WikiLeaks founder] Julian Assange or getting information from anyone about what he had including the Podesta emails,” Corsi said Monday. “But they have all your emails and phone records…They’re very good at the perjury trap.”

Mueller’s spokesman, Peter Carr, declined to comment to NBC News.

Corsi said to NBC News that he “figured out” that Podesta’s emails would be released after reading the first round of emails released by WikiLeaks, seeing that Podesta’s emails were included and assuming they would be published by WikiLeaks later. He also said he’s cooperating with Mueller’s investigation.

“This was one of the most confusing and frightening things I’ve experienced. I’m 72 years and I’m afraid they’re going to lock me up and put me in solitary confinement,” he said to NBC News.

Corsi is a right-wing author and commentator and was formerly the Washington bureau chief for InfoWars, the far-right conspiracy website run by Alex Jones.

Read the full NBC News story


Company: cnbc, Activity: cnbc, Date: 2018-11-12  Authors: waverly colville, matthew cavanaugh, stringer, getty images
Keywords: news, cnbc, companies, jerome, told, nbc, newscorsi, wikileaks, rightwing, corsi, indicted, stone, mueller, theorist, roger, muellers, emails, probe, expects, linked


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UBS expects to be sued by US Justice Department over crisis-era mortgage securities

The U.S. Department of Justice did not immediately respond to a request for comment. UBS said it had been advised by the Justice Department that the law enforcement agency intends to file the civil complaint. It anticipates the Justice Department will seek unspecified monetary penalties regarding the mortgage securities, which date back to 2006 and 2007. The lawsuit would be among the last actions over misconduct in the sale and pooling of mortgage securities which helped to cause the financial


The U.S. Department of Justice did not immediately respond to a request for comment. UBS said it had been advised by the Justice Department that the law enforcement agency intends to file the civil complaint. It anticipates the Justice Department will seek unspecified monetary penalties regarding the mortgage securities, which date back to 2006 and 2007. The lawsuit would be among the last actions over misconduct in the sale and pooling of mortgage securities which helped to cause the financial
UBS expects to be sued by US Justice Department over crisis-era mortgage securities Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-08  Authors: fabrice coffrini, afp, getty images
Keywords: news, cnbc, companies, justice, sued, group, expects, sale, sought, bank, ubs, law, mortgage, department, crisisera, settled, securities


UBS expects to be sued by US Justice Department over crisis-era mortgage securities

UBS Group, Switzerland’s largest bank, said it expects to be sued by the U.S. Department of Justice as early as Thursday on civil charges related to the sale of mortgage-backed securities in the run-up to the 2008-2009 financial crisis, according to a company statement.

The bank said the claims were not supported by the facts or the law and it would contest any such complaint “vigorously.”

The U.S. Department of Justice did not immediately respond to a request for comment.

UBS said it had been advised by the Justice Department that the law enforcement agency intends to file the civil complaint.

It anticipates the Justice Department will seek unspecified monetary penalties regarding the mortgage securities, which date back to 2006 and 2007.

The lawsuit would be among the last actions over misconduct in the sale and pooling of mortgage securities which helped to cause the financial crisis.

The Department of Justice has settled similar claims with Citigroup, Deutsche Bank, JPMorgan Chase, Credit Suisse Group, Morgan Stanley, Goldman Sachs, Bank of America and Barclays.

Barclays settled for $2 billion in March after resisting a penalty the U.S. government sought near the end of the Obama administration in 2016. Justice had sought a much higher fine at the time and, when the two sides could not come to terms, the department filed a lawsuit.

More recently, HSBC Holdings agreed to pay $765 million last month to settle with the Justice Department over its sale of defective mortgage securities before the crisis, while major player Royal Bank of Scotland Group reached a $4.9 billion deal in May.


Company: cnbc, Activity: cnbc, Date: 2018-11-08  Authors: fabrice coffrini, afp, getty images
Keywords: news, cnbc, companies, justice, sued, group, expects, sale, sought, bank, ubs, law, mortgage, department, crisisera, settled, securities


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Ping An Technology CEO expects ‘exponential’ growth in fintech

Financial technology has reached a tipping point for China’s Ping An Technology and future growth in that area is set to be exponential, according to CEO Ericson Chan. Ping An Technology is a wholly owned subsidiary of Ping An Group, a major finance conglomerate in China that does business in insurance, banking, investment and technology. Ping An Technology’s focus is on applying various technologies in areas such as finance, health care and smart cities. Ping An does not break down the numbers


Financial technology has reached a tipping point for China’s Ping An Technology and future growth in that area is set to be exponential, according to CEO Ericson Chan. Ping An Technology is a wholly owned subsidiary of Ping An Group, a major finance conglomerate in China that does business in insurance, banking, investment and technology. Ping An Technology’s focus is on applying various technologies in areas such as finance, health care and smart cities. Ping An does not break down the numbers
Ping An Technology CEO expects ‘exponential’ growth in fintech Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-08  Authors: saheli roy choudhury, getty images
Keywords: news, cnbc, companies, exponential, financial, cloud, fintech, ceo, growth, ping, technology, invest, finance, expects, health, chan, tech


Ping An Technology CEO expects 'exponential' growth in fintech

Financial technology has reached a tipping point for China’s Ping An Technology and future growth in that area is set to be exponential, according to CEO Ericson Chan.

Years of investment and research into fintech is paying off, Chan told CNBC’s “Squawk Box” on Thursday.

“I think we are just hitting a tipping point because of all the investments … and the pie is getting bigger also — the growth is not linear, it’s going to be exponential,” he said. “A lot of the capability that we’ve built over the years is exciting right now.”

Ping An Technology is a wholly owned subsidiary of Ping An Group, a major finance conglomerate in China that does business in insurance, banking, investment and technology. Ping An Technology’s focus is on applying various technologies in areas such as finance, health care and smart cities.

In the first nine months of 2018, the fintech and health tech businesses contributed to about 6.3 percent of Ping An Group’s operating profit, up from only 0.9 percent a year ago. Ping An does not break down the numbers individually for financial tech and health tech but it comprises results from subsidiaries including Lufax Holding, Ping An Good Doctor, OneConnect, Ping An Healthcare Technology and Autohome.

Both fintech and health care are equally important to Ping An, according to Chan.

On Wednesday, Ping An Group said it expects to invest about $15 billion in technology research and development over the next decade to try and consolidate its leadership in the financial services industry.

“We focus on five different ecosystems, but when we invest, we first invest in the core technology,” Chan said. Those core technologies include artificial intelligence, blockchain and cloud, which he said will “cut across horizontally on all sectors.”

The five so-called ecosystems where Ping An will invest are finance, health care, automobile, smart city initiatives and housing.

When asked how Ping An plans to tackle competition in the cloud sector from the likes of Alibaba, Chan said his company’s approach to that technology “will be quite different.”

“We develop our own cloud technology out of a necessity,” he said. “Because we have so much technology built, we need to have a strong foundation ourselves. So this is why we build ourselves. When it is good enough for ourselves, we start to share with others.”


Company: cnbc, Activity: cnbc, Date: 2018-11-08  Authors: saheli roy choudhury, getty images
Keywords: news, cnbc, companies, exponential, financial, cloud, fintech, ceo, growth, ping, technology, invest, finance, expects, health, chan, tech


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Hugo Boss expects strong year end after weather dents profits

German fashion house Hugo Boss expects a significant improvement in sales and earnings in the fourth quarter after higher markdowns to shift unsold stock in an unseasonally long summer dented profits in the last three months. Known for its smart men’s suits, Hugo Boss has been introducing more casual and sportswear styles to appeal to a younger audience and investing heavily in its online offer. Shares in Hugo Boss fell 2.3 percent in early Frankfurt trade. However, Hugo Boss said a positive bus


German fashion house Hugo Boss expects a significant improvement in sales and earnings in the fourth quarter after higher markdowns to shift unsold stock in an unseasonally long summer dented profits in the last three months. Known for its smart men’s suits, Hugo Boss has been introducing more casual and sportswear styles to appeal to a younger audience and investing heavily in its online offer. Shares in Hugo Boss fell 2.3 percent in early Frankfurt trade. However, Hugo Boss said a positive bus
Hugo Boss expects strong year end after weather dents profits Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: getty images
Keywords: news, cnbc, companies, earnings, hugo, strong, sales, quarter, end, weather, million, online, expects, boss, summer, markdowns, dents, profits


Hugo Boss expects strong year end after weather dents profits

German fashion house Hugo Boss expects a significant improvement in sales and earnings in the fourth quarter after higher markdowns to shift unsold stock in an unseasonally long summer dented profits in the last three months.

Known for its smart men’s suits, Hugo Boss has been introducing more casual and sportswear styles to appeal to a younger audience and investing heavily in its online offer.

On Tuesday, it announced a new partnership with online retailer Zalando to strengthen its digital sales, which jumped 38 percent in the third quarter.

Overall, group sales were flat at 710 million euros ($810 million), while earnings before interest, taxation, depreciation and amortization (EBITDA) before special items fell 12 percent to 126 million, both missing average analyst forecasts.

Shares in Hugo Boss fell 2.3 percent in early Frankfurt trade.

It said the fall in profitability was mainly due to markdowns to respond to the late start to sales of higher price fall and winter garments due to the long summer in Europe, as well as negative currency effects of 5 million euros.

However, Hugo Boss said a positive business development in October underlined its expectation for a recovery in the fourth quarter, traditionally its strongest in terms of sales, and it reiterated its full-year sales and earnings forecast.

“I’m convinced that we will return to sustainable profitable growth in the coming year,” Chief Executive Mark Langer said in a statement.

Luxury stocks had been under pressure due to concern about a U.S.-China trade spat, but they have rallied in recent days on optimism about a resolution to the dispute and updates from the likes of Kering, showing no signs of slowdown in China.

Hugo Boss said quarterly sales in China grew 7 percent, while profits in the Asia/Pacific region jumped 37 percent.


Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: getty images
Keywords: news, cnbc, companies, earnings, hugo, strong, sales, quarter, end, weather, million, online, expects, boss, summer, markdowns, dents, profits


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Here’s what Wall Street expects from the election and how to play it

Wall Street’s investment banks are advising clients on what to expect from the 2018 midterm elections and how to invest around those outcomes. While most of the banks still expect the Democrats to take back the House of Representatives and split Congress, some analysts suggest chances are increasing for a Republican or Democratic sweep. Bank of America Merrill Lynch, for example, told clients “we still think a split Congress is the most likely outcome but the probability of a ‘blue wave’ electio


Wall Street’s investment banks are advising clients on what to expect from the 2018 midterm elections and how to invest around those outcomes. While most of the banks still expect the Democrats to take back the House of Representatives and split Congress, some analysts suggest chances are increasing for a Republican or Democratic sweep. Bank of America Merrill Lynch, for example, told clients “we still think a split Congress is the most likely outcome but the probability of a ‘blue wave’ electio
Here’s what Wall Street expects from the election and how to play it Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: thomas franck, stephen maturen, getty images
Keywords: news, cnbc, companies, midterm, house, play, clients, elections, wall, 2018, banks, split, heres, expect, election, street, congress, expects


Here's what Wall Street expects from the election and how to play it

Wall Street’s investment banks are advising clients on what to expect from the 2018 midterm elections and how to invest around those outcomes.

While most of the banks still expect the Democrats to take back the House of Representatives and split Congress, some analysts suggest chances are increasing for a Republican or Democratic sweep.

Bank of America Merrill Lynch, for example, told clients “we still think a split Congress is the most likely outcome but the probability of a ‘blue wave’ election in the House appears to have diminished.”

Goldman Sachs suggested investors keep an eye on pharmaceutical stocks, which could rally if Congress ends up divided, the bank speculates. The firm’s strategist contends a split Congress reduces the likelihood of an agreement to reduce drug prices.

Others highlighted the importance of trade policy and implications for U.S.-Chinese relations.

Here’s what Wall Street is telling clients going into the 2018 midterm elections:


Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: thomas franck, stephen maturen, getty images
Keywords: news, cnbc, companies, midterm, house, play, clients, elections, wall, 2018, banks, split, heres, expect, election, street, congress, expects


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CVS tops earnings, revenue estimates, says it expects Aetna acquisition to close before Thanksgiving

An improving pharmacy retail business helped CVS Health beat analysts’ third-quarter earnings and revenue expectations. The company also said Tuesday it anticipates its acquisition of health insurer Aetna to close before Thanksgiving. Excluding items, CVS earned $1.73 per share, above the $1.71 per share expected by analysts surveyed by Refinitiv. For the business unit that includes CVS’ retail pharmacy operations, revenue increased to $20.86 billion, up nearly 7 percent from the $19.59 billion


An improving pharmacy retail business helped CVS Health beat analysts’ third-quarter earnings and revenue expectations. The company also said Tuesday it anticipates its acquisition of health insurer Aetna to close before Thanksgiving. Excluding items, CVS earned $1.73 per share, above the $1.71 per share expected by analysts surveyed by Refinitiv. For the business unit that includes CVS’ retail pharmacy operations, revenue increased to $20.86 billion, up nearly 7 percent from the $19.59 billion
CVS tops earnings, revenue estimates, says it expects Aetna acquisition to close before Thanksgiving Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: angelica lavito, andrew harrer, bloomberg, getty images, source
Keywords: news, cnbc, companies, close, cvs, revenue, share, pharmacy, health, aetna, retail, earnings, thanksgiving, business, tops, billion, analysts, company, acquisition, expects, estimates


CVS tops earnings, revenue estimates, says it expects Aetna acquisition to close before Thanksgiving

An improving pharmacy retail business helped CVS Health beat analysts’ third-quarter earnings and revenue expectations. The company also said Tuesday it anticipates its acquisition of health insurer Aetna to close before Thanksgiving.

Shares of the company rose about 2 percent.

Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:

Earnings per share: $1.73, adjusted, vs. $1.71 expected

Revenue: $47.3 billion vs. $47.2 billion expected

CVS reported fiscal third-quarter net income of $1.39 billion, or $1.36 per share, up from $1.29 billion, or $1.26 per share a year earlier. Excluding items, CVS earned $1.73 per share, above the $1.71 per share expected by analysts surveyed by Refinitiv.

Revenue rose 2.4 percent to $47.3 billion, surpassing expectations of $47.2 billion. For the business unit that includes CVS’ retail pharmacy operations, revenue increased to $20.86 billion, up nearly 7 percent from the $19.59 billion in the year-ago quarter, driven by an 8.4 percent surge in pharmacy revenue.

The company’s retail business showed signs of improvement, with revenue from the so-called front store, which includes products like makeup and vitamins, increasing 2 percent from last year. Same-store sales, a closely watched metric, were up 0.8 percent. While the trends improved, they were up against easy comparisons.

“While this is a shallow gain, it is most definitely a step in the right direction,” said Neil Saunders, managing director of GlobalData Retail. “However, our outlook on the retail side remains cautious, and we are split as to whether this represents the start of a new upside for CVS’ retail operation, or whether it is just an anomaly.”

Like other drugstores, CVS is searching for ways to lure shoppers who are increasingly shopping online. One solution might be CarePass, a membership program CVS is piloting in Boston.

To shake up its business model, CVS is in the midst of acquiring health insurer Aetna for roughly $69 billion. CVS received preliminary approval from the Department of Justice in October to move forward with the deal. The company still needs a handful of states to clear the deal, including New York, where state officials are considering blocking parts of it.

CVS on Tuesday said it has received approval from 23 of the 28 states it has filed with and is “well down the line” with the remaining five. The company expects to close the deal before Thanksgiving.

The company backed its full-year forecast of adjusted earnings of $6.98 to $7.08 per share. Analysts polled by Refinitiv expect $7.04 per share.

WATCH:Will Apple replace your family doctor?


Company: cnbc, Activity: cnbc, Date: 2018-11-06  Authors: angelica lavito, andrew harrer, bloomberg, getty images, source
Keywords: news, cnbc, companies, close, cvs, revenue, share, pharmacy, health, aetna, retail, earnings, thanksgiving, business, tops, billion, analysts, company, acquisition, expects, estimates


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Tesla expects to invest up to $6 billion over next two years

Tesla expects to spend up to $6 billion on factories and equipment over the next two years as it ramps up production and develops new vehicles, the company said in a regulatory filing Friday. The electric car maker said it expects to spend just under $2.5 billion in capital investments for 2018 and $2.5 billion to $3 billion annually over the next two years. Gigafactory 2 is its solar power plant in Buffalo, New York. It also is attempting to build a business in rooftop solar power systems. In 2


Tesla expects to spend up to $6 billion on factories and equipment over the next two years as it ramps up production and develops new vehicles, the company said in a regulatory filing Friday. The electric car maker said it expects to spend just under $2.5 billion in capital investments for 2018 and $2.5 billion to $3 billion annually over the next two years. Gigafactory 2 is its solar power plant in Buffalo, New York. It also is attempting to build a business in rooftop solar power systems. In 2
Tesla expects to invest up to $6 billion over next two years Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-02  Authors: robert ferris, david butow, corbis, getty images
Keywords: news, cnbc, companies, billion, china, company, filing, tesla, expects, power, planning, production, invest, solar, model


Tesla expects to invest up to $6 billion over next two years

Tesla expects to spend up to $6 billion on factories and equipment over the next two years as it ramps up production and develops new vehicles, the company said in a regulatory filing Friday.

The electric car maker said it expects to spend just under $2.5 billion in capital investments for 2018 and $2.5 billion to $3 billion annually over the next two years.

Tesla is also planning to build a factory in China, which it is calling Gigafactory 3, where it hopes to eventually produce 3,000 of its popular Model 3 sedans a week. The filing cautioned that the time frame on its production targets was “subject to a number of uncertainties, including regulatory approval, supply chain constraints, and the pace of bringing the factory online.”

Gigafactory 1 is the company’s plant near Clark, Nevada, where it makes batteries and parts of the Model 3 drive train. Gigafactory 2 is its solar power plant in Buffalo, New York.

Tesla is planning to start producing Model 3s in Shanghai to reduce the impact of tariffs. Because Tesla currently exports all of its vehicles to China, it has been hurt by stiff tariffs, some of which result from the trade war between China and the U.S.

Shares of Tesla were flat Friday morning.

In the filing, the company also revealed that the Justice Department and SEC are investigating Model 3 production targets.

The company has been burning through cash as it ramps up production and deliveries of its Model 3 midsize sedan, and it has big plans for the years ahead. Tesla unveiled an electric semi-truck last year but has not said much since then about when and how the company will produce the vehicles.

It is also planning a crossover sport utility vehicle called the Model Y; a pickup truck; and a second-generation version of the Tesla Roadster that CEO Elon Musk has said will be quicker and faster than any other car on the road.

It also is attempting to build a business in rooftop solar power systems. In 2016, Musk revealed a planned roof tile that could collect solar power, but the company has so far shipped only a few systems.


Company: cnbc, Activity: cnbc, Date: 2018-11-02  Authors: robert ferris, david butow, corbis, getty images
Keywords: news, cnbc, companies, billion, china, company, filing, tesla, expects, power, planning, production, invest, solar, model


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