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    Stocks - r/Stocks Daily Discussion & Fundamentals Friday Aug 21, 2020

    Stocks - r/Stocks Daily Discussion & Fundamentals Friday Aug 21, 2020


    r/Stocks Daily Discussion & Fundamentals Friday Aug 21, 2020

    Posted: 21 Aug 2020 01:06 AM PDT

    This is the daily discussion, so anything stocks related is fine, but the theme for today is on fundamentals, but if fundamentals aren't your thing then just ignore the theme and/or post your arguments against fundamentals here and not in the current post.

    Some helpful day to day links, including news:


    Most fundamentals are updated every 3 months due to the fact that corporations release earnings reports every quarter, so traders are always speculating at what those earnings will say, and investors may change the size of their holdings based on those reports. Expect a lot of volatility around earnings, but it usually doesn't matter if you're holding long term, but keep in mind the importance of earnings reports because a trend of declining earnings or a decline in some other fundamental will drive the stock down over the long term as well.

    See the following word cloud and click through for the wiki:

    Market Cap - Shares Outstanding - Volume - Dividend - EPS - P/E Ratio - EPS Q/Q - PEG - Sales Q/Q - Return on Assets (ROA) - Return on Equity (ROE) - BETA - SMA - quarterly earnings

    If you have a basic question, for example "what is EBITDA," then google "investopedia EBITDA" and click the Investopedia article on it; do this for everything until you have a more in depth question or just want to share what you learned.

    Useful links:

    See our past daily discussions here. Also links for: Technicals Tuesday, Options Trading Thursday, and Fundamentals Friday.

    submitted by /u/AutoModerator
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    I bought Tesla Yesterday. Caved in.

    Posted: 21 Aug 2020 06:54 AM PDT

    Listen, I've been eyeing Tesla since it hit 1,000 and I resisted to buy it because part of it is hype. Months later and there's no signs of slowing down. I caved in and bought it at 2,000. Don't want to regret it if it hits 2500 plus. Who's in the same boat as I am? New Battery, Stock splits, and China Market are all positive things for the future.

    submitted by /u/ulisesmetal
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    Tesla has soared 50% since announcing its stock split — last week

    Posted: 21 Aug 2020 12:04 PM PDT

    New York (CNN Business)Tesla is preparing to split its stock, making it more affordable for average investors. It may need to do another one pretty soon if its shares keep surging.Tesla (TSLA) has skyrocketed 50% since announcing the stock split on August 11. It now trades at nearly $2,100 a share.Once the split goes into effect on August 31, current Tesla investors will get five shares for each one they own. That will cut the price by a fifth, to almost $420 a share. The market value of Tesla, now hovering around $390 billion, will remain the same.But does Tesla deserve to trade at such a high valuation? While the Elon Musk-led company is generating consistent profits, its sales are dwarfed by the major auto giants.Tesla is expected to generate nearly $30 billion in annual revenue this year. That's nothing to sneeze at. But Fiat Chrysler (FCAU) is estimated to report $100 billion in sales for 2020. GM (GM) and Ford (F) are each forecast to post annual revenue of more than $110 billion.Still, Tesla's market value is now more than four times the combined market caps of Detroit's Big 3.

    A majority of Wall Street analysts are betting against Tesla. Of the 33 that officially track the stock, only eight have a buy rating on Tesla while 15 have it rated a hold and 10 are recommending a sell on it.Only three of the Tesla analysts currently have a price target for it above $2,000. The consensus target is just under $1,300 — almost 40% below its current price.Tesla continues to be a big target of short sellers, investors who borrow the stock and sell it with the hopes of eventually buying it back at a lower price.Of course, Tesla fans can correctly point out that analysts have been consistently wrong and that Wall Street will eventually have to raise its earnings forecasts and price targets on the stock.Tesla may also get a further boost if it is finally added to the blue-chip S&P 500 index — a move that could soon happen now that the company has posted a consistent run of profitable quarters.

    Full article: http://pioret.com/tesla-has-soared-50-since-announcing-its-stock-split-last-week

    submitted by /u/glaknight
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    Microsoft: We’re Not Trying To Sell More Consoles Than Sony And The PS5, We’re Doing Something Else

    Posted: 21 Aug 2020 07:00 AM PDT

    What's your take on this? I'm bullish on MS, and I think it is a good approach to distance them self from the stupid 'console war'. But at the end the series x is not free to make, so they need to bring a profit, will services outsell the hardware?.

    Source: https://www.forbes.com/sites/davidthier/2020/08/16/microsoft-were-not-trying-to-sell-more-consoles-than-sony-and-the-ps5-were-doing-something-else/

    submitted by /u/ruizufase
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    Universal Shifting to Microsoft’s Azure Cloud Platform for Live-Action, Animation Production

    Posted: 21 Aug 2020 10:44 AM PDT

    Old stock from great-grandmother, trying to find out if it’s worth anything.

    Posted: 21 Aug 2020 12:38 PM PDT

    My great-grandma is in possession of 551 shares of a company called "St. Paul Securities, Inc." Unfortunately due to her age my great-grandma is no longer completely mentally with us, my grandmother found this stock among her mothers possessions and asked me to look into it to see if it's worth anything. I've attempted to do some research online, when I look up the name of the company the results come up with a company called "The St. Paul Companies, Inc." which merged with Traveler's insurance in the early 2000's. I'm unsure if these are the same companies as the stock I'm in possession of says "Securities" whereas the other says "Companies". Unfortunately the signature of the transfer agent is illegible (it rivals the handwriting of a doctor). I have been unable to find any current or past company that exactly matches the name on the stock certificate. Any help or advice as to what to do is greatly appreciated! If any more info is needed just let me know.

    submitted by /u/GondorianArcher
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    Microsoft plans cloud contract push with foreign governments after $10 billion JEDI win

    Posted: 21 Aug 2020 02:19 PM PDT

    https://www.cnbc.com/2020/08/21/microsoft-plans-cloud-push-with-foreign-governments-after-jedi-win.html

    A cloud contract effort designed for governments outside the U.S. could launch later this year.

    The launch would come after Microsoft won a U.S. defense contract for cloud computing, which is on hold during a legal challenge from rival Amazon.

    Microsoft's share of revenue from outside the U.S. has grown in recent years.

    submitted by /u/coolcomfort123
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    Apple stock is approaching fair value now.

    Posted: 21 Aug 2020 09:32 AM PDT

    This is one stock in the market that is not in a bubble at all, even with the massive run up. The P/E before was 13 and the company was priced like a one trick iphone pony, the market failed to realise the recurring stream of revenue that apple would generate from services and wearables. This caused a massive rerating in the stock to a 35-40 P/E, which is fair for the company, since it is in several new growing industries.

    To anyone calling Apple a bubble, you need to learn valuation, Tesla is in a bubble, Apple is not.

    submitted by /u/saibaba90
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    Tesla Battery Day 9/22

    Posted: 21 Aug 2020 09:21 AM PDT

    What are your predictions for the news that will be released on this day? Elon is always giving out subtle clues about the future of Tesla via social media

    Will the battery maybe last 9 hours and 22 minutes? 🧐

    submitted by /u/Mikey_g2
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    The posts on the sub lately...

    Posted: 21 Aug 2020 02:47 PM PDT

    I am baffled by the posts on the sub lately. Literally people coming here asking what is a stock without even looking up Google, a dictionary or the FAQ of the sub. Even better, some coming here not knowing what a stock is but having already downloaded RH and bought one.

    That and the countless posts on TSLA and AAPL splits. At least we should have a consolidated thread. The same questions are asked 100 times a day

    I am all for being nice and helping new people but this trend lately is concerning...

    submitted by /u/_Flipside_
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    Biden promises to tax the Largest company who escaped it so far. What does this mean for investors

    Posted: 21 Aug 2020 05:24 AM PDT

    So I absolutely agree that large companies should pay taxes just like every other company and small businesses. Not running to a tax haven while operating around the globe.

    So politics aside, Biden is a candidate. So what will this mean for our stocks. Which large companies are currently not paying full tax?

    Is Apple, Google, Microsoft and so on paying taxes in the US? I would ask Tesla, but they barely have any profit to pay taxes lol, though they get cash from selling the CO2 paper afaik

    submitted by /u/Cattaphract
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    AMD long term?

    Posted: 21 Aug 2020 12:15 PM PDT

    So I've held AMD for some time now and it takes up a sizable portion of my portfolio. I bought in as they were coming out with some pretty great products I believed in, and I thought they could take over intel, and maybe reach NVDA in the future.

    Now that I've over doubled my money I'm not sure wether to sell or stay in. I'm leaning towards staying in, and probably will, but just wanted to hear what others were thinking about AMD as a long term investment.

    submitted by /u/Sure_Economics
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    Did I miss the boat on the market gains?

    Posted: 21 Aug 2020 05:13 AM PDT

    Have around 10k to invest, seeing all the gains, hate to even get in right now

    I saw the havoc and declines when rona started, I stated studying and reading a lot, now I am well versed in the market, but with my money on the sidelines, kinda bummed out

    submitted by /u/Hywaystar74
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    INTC Stock Undervalued

    Posted: 21 Aug 2020 08:13 AM PDT

    I bought some Intel INTC stock this week thinking it would go through the roof. Not only has it not, but has fallen considerably over the past while.

    Intel is currently valued at $60 per share which also ties into the value of shares Intel recently bought back 166 million shares for 10 billion.

    Why isn't this stock going up...???

    Intel news

    submitted by /u/E00IE
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    IPO WEBSITES?

    Posted: 21 Aug 2020 02:33 PM PDT

    Hello reddit fam, i was wondering if there are any websites you use to find out list of IPOs that will be released?

    I have been looking to invest in IPOs but there must be an easier way to track them down... right?

    If you will suggest a brokerage, i live in Canada. So maybe something that works here too please.

    submitted by /u/hthaya
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    Parents lost my gifted stocks

    Posted: 21 Aug 2020 12:22 PM PDT

    As a very young child, my grandparents very generously gifted me 45 Disney stocks (put in my/my dad's name). The issue is that I didn't know about it until this year when my parents told me they saw unclaimed property in the newspaper in my name. I went through the claims process and the stock was all liquidated. I received around $1700, which is about $4000 less than they would have been worth today. They were defaulted to the state in the early 2000s when I was under 10 - I think because the address was never updated and they couldn't deliver dividends - and I assume liquidated many years ago while I was still a minor. I'm frustrated that my parents didn't even attempt to keep track of it, and that I wasn't given the opportunity to do so myself. I assume there's nothing I can do about this but I appreciate any last resort advice.

    submitted by /u/kindaclutch
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    Assuming Arks White Paper on $CRSP is Correct... What’s The Potential Market Cap in 10 Years?

    Posted: 21 Aug 2020 04:30 AM PDT

    Assuming Arks White Paper on $CRSP plays out and they are correct in their assumptions, what market cap could we be looking at for $CRSP in a base case scenario and the bull case scenario over the next 10 years?

    Possible to hit 600b market cap bull case? 300b base case?

    submitted by /u/starwarscapital
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    Leaked S-1 screenshots show Palantir losing $579M in 2019

    Posted: 21 Aug 2020 09:14 AM PDT

    https://techcrunch.com/2020/08/21/leaked-s-1-screenshots-show-palantir-losing-579m-in-2019/

    "
    Gross profit for 2019 was roughly $500 million, about 16% higher than in 2018. The company's big expense is around sales and marketing, which was roughly $450 million for both years and represented 61% of revenue in 2019.
    "

    Wonder what the growth prospects for 2020 looks like....

    submitted by /u/FutureBayStreeter
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    Consumer staple stocks to diversify tech heavy portfolio

    Posted: 21 Aug 2020 11:17 AM PDT

    Any suggestions in terms of particular companies or ETFs?

    I am worried that this may not be the best move given that even some well known consumer staple ETFs like VDC are at their pre March 2020 levels.

    Thanks.

    submitted by /u/PeleMaradona
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    Should I sell my PM and Altria Stock and put the money into a mutual fund?

    Posted: 21 Aug 2020 02:51 PM PDT

    When I was born my dad put some money away in Phillip Morris which then spun off into Altria. All dividends were set up to be reinvested in more shares. He ended up passing away and the accounts have increased in value (roughly 80K each). I know the stock price is pretty low right now and it is expected to increase. I was wondering if I should sell the stock and take the capital gains tax hit and reinvest it into the market or hold onto it.

    submitted by /u/Appropriate_Factor_4
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    Plays for next week?

    Posted: 21 Aug 2020 12:25 PM PDT

    What stocks are you guys looking into for next week? I was thinking AMC would be a good play for next week since they just opened up some theaters

    submitted by /u/breezy__7777
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    For everyone hating California for Uber, they aren’t alone

    Posted: 21 Aug 2020 10:43 AM PDT

    They are screwed no matter what, they just broke too many laws everywhere

    https://www.reuters.com/article/uber-california-factbox/factbox-california-is-just-one-legal-challenge-for-uber-around-the-world-idUSL1N2FM1E9

    Aug 20 (Reuters) - Uber Technologies Inc and Lyft Inc are preparing to suspend their ride-hailing services in California beginning on Friday morning unless a last-minute court ruling prevents them from being forced to treat their drivers as employees, rather than independent contractors. Here are some of the other major legal challenges Uber faces around the world:

    FRANCE France's top court in March recognized the right of an Uber driver to be considered an employee, a ruling that could upend the U.S. firm's business model and potentially require it to pay more taxes and benefits such as paid holidays. The Cour de Cassation upheld a previous decision by a court of appeal, saying the Uber driver could not qualify as a self-employed contractor because he could not build his own clientele or set his own prices, making him a subordinate of the company.

    UNITED KINGDOM In 2017, Transport for London removed Uber's license in the capital, citing failings in its approach to reporting serious criminal offenses and background checks on drivers. reut.rs/34pGlje In 2018, it was given a 15-month license in London after making changes to improve relations with city authorities. reut.rs/2Om8dPD The firm's roughly 45,000 drivers in London can continue to take rides until the appeals process is exhausted, which may last months or years.

    UNITED STATES In November, a New York court dismissed Uber's lawsuit challenging a city law limiting the number of licenses for ride-hailing services. Uber sought in September to get a new rule overturned that limits how much time drivers can spend cruising busy Manhattan streets without passengers. A U.S. judge in May ordered Uber to face a lawsuit claiming its illegal predatory pricing and other anticompetitive practices stifled competition, and drove rival Sidecar Technologies Inc out of business. As U.S. lawmakers threaten tighter regulation, Uber and Lyft skipped a U.S. congressional hearing in October 2019 on the industry's safety, labor and congestion. In September 2019, an Uber driver sued the company for misclassifying its drivers as independent contractors. In March of last year, the company paid $20 million to settle a long-running lawsuit brought by drivers claiming they were employees and entitled to certain wage protections.

    BRAZIL A Brazilian higher court for labor in February ruled there was no employment relationship between Uber and its drivers, siding with the ride-hailing company against a Sao Paulo driver.

    AUSTRALIA In May 2019, a law firm filed a class action on behalf of thousands of taxi and chartered drivers, accusing the company of operating illegally and harming them financially.

    GERMANY Germany's highest court ruled in December 2018 that a defunct limousine service offered by Uber but taken out of service in 2014 was illegal, a setback for the company in Europe's largest economy.

    NETHERLANDS In March of 2019, Uber paid around 2.3 million euros ($2.5 million) to settle a case that found it had offered unlicensed taxi services in 2014-2015. British and Dutch regulators in 2018 fined Uber for failing to protect customers' personal information during a 2016 cyber attack involving millions of users.

    INDIA In November 2018, the country ruled that ride-sharing firms Uber and Ola did not break price-fixing rules following a complaint about their pricing strategy.

    AUSTRIA Uber was suspended for two days in 2018 due to a local taxi firm's lawsuit, but resumed operations after making concessions. (Compiled by Edward Tobin with Indranil Sarkar and Tanishaa Nadkar; Editing by Tom Brown)

    submitted by /u/rp_ush
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    BABA stock thoughts?

    Posted: 21 Aug 2020 10:22 AM PDT

    I have a few shares of BABA stock, and am considering buying more as there seems to be huge potential for the company. It's the amazon of China and has shown huge profits that continue to grow. What are people's thoughts on potential rise? Worth it, or is a Chinese stock risky?

    submitted by /u/granolaboiii
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    Cloudflare ($NET) Chief Security Officer charged with covering up data breach when he was at Uber

    Posted: 20 Aug 2020 07:13 PM PDT

    https://reut.rs/3hbCV9Y

    Seems like he's a pretty well known executive, used to be in charge of security at Facebook etc. his lawyers claim that disclosures was up to legal team and not him.

    Any thoughts on how this might affect stock price for tomorrow? It's a big day for options holders.

    For the record I am long NET 🚀

    submitted by /u/Unbiasedtruth2016
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