Stock Market - Wall Street Week Ahead for the trading week beginning October 26th, 2020 |
- Wall Street Week Ahead for the trading week beginning October 26th, 2020
- Here is a Market Recap for today Friday, October 23, 2020. Please enjoy
- iPhone 12 launches in China to strong demand despite stiff competition for Apple in 5G smartphones
- TSLA price alert
- Day Trading: Why is American Airlines not following the same trend of Delta, Spirit, and Alaskan Airlines?
- Trading for others legally
- Interactive Brokers, but with a better interface?
- Watchlist: 10/23 The Stimulus Carrot
- Significant Insider Trading Activity (Last 7 Days)
- Question about Options Trading (Robinhood).
- Is Snowflake Stock Overvalued?
- Advice on portfolio
- New Study Proves Beyond Any Shadow of a Doubt That Day-Trading For a Living Is IMPOSSIBLE!
- What is Bearish Rounding Top?
- SNAP price alert
- [SAM] Beats Estimates Will sector Follow?
- ZM, Aroon Indicator entered an Uptrend on Oct 22, 2020.
- Significant Activist Hedge Fund Activity (Last 7 Days)
- Sprout Social (SPT) Analysis
- The Great Merger Movement: 1895–1905
- HUGE GILD STOCK NEWS! | FDA APPROVAL TO TREAT COVID-19
- Intel Shares Tumbled After Reported Weaker Server Cpu Revenue
- Investing in emerging market small cap equities
- Any Entrepreneurs turned in to Traders ? I am in transition. What do you think of my hypothesis ?
Wall Street Week Ahead for the trading week beginning October 26th, 2020 Posted: 23 Oct 2020 01:51 PM PDT Good Friday evening to all of you here on r/StockMarket. I hope everyone on this sub made out pretty nicely in the market this past week, and is ready for the new trading week ahead. Here is everything you need to know to get you ready for the trading week beginning October 26th, 2020. There's a big week ahead for the market with an earnings deluge, GDP data and stimulus negotiations - (Source)
This past week saw the following moves in the S&P:(CLICK HERE FOR THE FULL S&P TREE MAP FOR THE PAST WEEK!)Major Indices for this past week:(CLICK HERE FOR THE MAJOR INDICES FOR THE PAST WEEK!)Major Futures Markets as of Friday's close:(CLICK HERE FOR THE MAJOR FUTURES INDICES AS OF FRIDAY!)Economic Calendar for the Week Ahead:(CLICK HERE FOR THE FULL ECONOMIC CALENDAR FOR THE WEEK AHEAD!)Percentage Changes for the Major Indices, WTD, MTD, QTD, YTD as of Friday's close:(CLICK HERE FOR THE CHART!)S&P Sectors for the Past Week:(CLICK HERE FOR THE CHART!)Major Indices Pullback/Correction Levels as of Friday's close:(CLICK HERE FOR THE CHART!Major Indices Rally Levels as of Friday's close:(CLICK HERE FOR THE CHART!)Most Anticipated Earnings Releases for this week:([CLICK HERE FOR THE CHART!]())(T.B.A. THIS WEEKEND.) Here are the upcoming IPO's for this week:(CLICK HERE FOR THE CHART!)Friday's Stock Analyst Upgrades & Downgrades:(CLICK HERE FOR THE CHART LINK #1!)(CLICK HERE FOR THE CHART LINK #2!)(CLICK HERE FOR THE CHART LINK #3!)
STOCK MARKET VIDEO: Stock Market Analysis Video for Week Ending October 23rd, 2020(CLICK HERE FOR THE YOUTUBE VIDEO!)STOCK MARKET VIDEO: ShadowTrader Video Weekly 10.25.20([CLICK HERE FOR THE YOUTUBE VIDEO!]())(VIDEO NOT YET POSTED.) Here are the most notable companies (tickers) reporting earnings in this upcoming trading week ahead-
([CLICK HERE FOR NEXT WEEK'S MOST NOTABLE EARNINGS RELEASES!]())(T.B.A. THIS WEEKEND.) (CLICK HERE FOR NEXT WEEK'S HIGHEST VOLATILITY EARNINGS RELEASES!)Below are some of the notable companies coming out with earnings releases this upcoming trading week ahead which includes the date/time of release & consensus estimates courtesy of Earnings Whispers:
DISCUSS!What are you all watching for in this upcoming trading week? I hope you all have a wonderful weekend and a great trading week ahead r/StockMarket. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Here is a Market Recap for today Friday, October 23, 2020. Please enjoy Posted: 23 Oct 2020 01:14 PM PDT PsychoMarket - Friday, October 23, 2020 Stocks once again traded very choppily, with the market pulling back before reversing intraday to finish mixed. Market participants continue to closely monitor developments around stimulus talks, rising coronavirus infections, and the final presidential debate last night. The S&P 500 (SPY) performed the best today, finishing the day 0.29% up. The tech-heavy Nasdaq (QQQ) rose 0.2%, and the Dow Industrial Average (DIA) fell a modest 0.11%. It appears almost certain that there will not be additional stimulus before the November election, a mere eleven days away. House Speaker Pelosi still thinks it's possible for a bill to pass before the election, but says it's up to President Trump. She said, "We put pen to paper… we are writing the bill, and hopefully we will be able to resolve it… we could do that before the election if the president wants to." Any additional stimulus will likely include a new round of checks and more money for unemployment benefits, schools, state, and local governments. This morning, White House economic advisor Larry Kudlow told Bloomberg TV that "the ball's not really moving much right now" in discussions, and that he "doesn't want to make any predictions about the timing of an agreement." Unfortunately, in the US, around 71,600 new cases were recorded yesterday, according to data from John Hopkins. According to CBS News that is the fourth-highest number of new infections reported in the country since the pandemic began and the highest number reported since July. During the debate candidate Joe Biden warned of a "dark winter coming" and once again urged the public to wear masks and follow federal social distancing guidelines. President Trump, on the other hand, incorrectly claimed that the virus was "going away" and that the US is "rounding the corner." These statements were meant with severe criticism from health officials and are simply not true from a number's perspective, the country is averaging more than 50,000 new infections a day and it appears to be climbing. In Europe, governments and health officials are scrambling to deal with a surge of infections across the continent, with many fearing a second wave. Millions across Europe are now facing tougher coronavirus restrictions. Italy, France, Spain, Germany and elsewhere are introducing curfews in large regions of the country in a bid to stem the recent spike in cases. In England, the government has imposed restrictions in the capital of London and in cities in the Northern parts of the country. Highlights
"There are some things you learn best in calm, and some you learn best in a storm" -Willa Cather [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
iPhone 12 launches in China to strong demand despite stiff competition for Apple in 5G smartphones Posted: 23 Oct 2020 06:28 AM PDT https://sg.news.yahoo.com/iphone-12-launches-china-strong-073637889.html Compared with last year's iPhone 11 line of phones, the iPhone 12 line is showing strong demand in China. The country is estimated to account for 35 to 45 per cent of global demand for the iPhone 12 Pro, according to a recent report from TF Securities International analyst Kuo Ming-Chi, who is known for his Apple analysis. There were between 7 million and 9 million pre-orders of the iPhone 12 and iPhone 12 Pro globally during the first weekend of sales, according to Kuo. The new iPhones have also proven to be a hot commodity on Chinese e-commerce sites. The available stock on JD.com sold out within 30 seconds after pre-orders started on October 16. And Alibaba, the parent company of the South China Morning Post, said that about 30 million users have searched for the new iPhones over the last 30 days on its Tmall marketplace. That is twice the search volume for the iPhone 11 in the same period last year. Sales of the iPhone 12 could be aided by the fact that it is the first iPhone to support 5G after Apple skipped the feature last year. Sales of the iPhone 12 and 12 Pro reached an estimated 1.7 to 2 million units globally in the first 24 hours of pre-orders. The three iPhone 11 models only saw 500,000 to 800,000 units sold in the same period after pre-orders opened in September last year, according to the report from Kuo. iphone demand in China is still strong, initial preorder data indicate that Apple will be gaining back more share in China. People are spending money in China to buy iphone because China is more 5g coverage available. These are bullish trend for apple stock. Thanks for the award. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 09:14 AM PDT Tesla currently trading a little below its 50 SMA. Based on previous price patterns this is the stock's support level. Rn might be a good time to think about entering/adding to your position and that's exactly what I did earlier today. Happy trading u all! [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 12:43 PM PDT We had a pretty good assumption that airline stocks would fall this morning, after having a good day yesterday, and then rise throughout the day. Delta, Spirit and Alaskan Airlines all followed this trend, except for American Airlines. Why is that? I understand that all the companies are different, but as far as seeing a trend in the sector, American Airlines just didn't seem to follow that trend. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 02:47 PM PDT I have been offered $50,000 to trade in the stock market on someone else's behalf, but know it's illegal to blatantly do so Why can't he pay me $50000, have him pay my taxes on it, then trade in the stock market for 3 years, and then give him the proceeds? [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interactive Brokers, but with a better interface? Posted: 23 Oct 2020 05:39 PM PDT I love IBKR's tools, margin rates, offerings, and API access, but their interface and support are an absolute clusterfuck. They just need to make everything a bit more "Soigné" Do any other brokers match them in features, but have a better interface? [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Watchlist: 10/23 The Stimulus Carrot Posted: 23 Oct 2020 05:14 AM PDT Market Notes:We are in the home stretch of the election cycle. One full week of campaigning to go and the weekends on either side. New jobless claims are still high. The market was fairly choppy yesterday but end the day higher. The trend is still down. We continue to have elected leaders dangle the carrot of a stimulus package. But talks keep breaking down too. I'm not convinced we will get a stimulus. If we do it could be a buy the rumor sell the news situation. Futures are up. I'll give it 15-mins after the open to see what way the market decides to more. Watchlist:KBSF is a low float, watching for a setup above $4 NVFY is a low float on watch CLPS is a low float, support at $4.75 ZDGE is a low float, support at $1.75 TC is a low float, on watch GME watching for a setup above $15 CBAY has support at $8.70 VLRS has support at $9 EVRI has support at $9.50 MGNI key level is at $9.60 PBI key level at $7.40 CNX has resistance at $12 RRC has support at $9.30 CLF has support at $8.20 F has support at $8 [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Insider Trading Activity (Last 7 Days) Posted: 23 Oct 2020 11:28 AM PDT This is a list of the top 20 companies that experienced the largest change in insider shares in the last seven (7) days. The SEC defines an insider as any officer, director or 10% shareholder. It is not illegal for these people to buy or sell their own shares. In fact, since most of them get paid in stock options, it is expected. However, it is illegal for them to trade on inside information that has not been made public. So for example if there are drug trial results that are bad and not public, insiders cannot dump shares. That said, many people have observed that insiders - in general - seem to have a good track record at timing their purchases. All trades that are marked as part of a 10b5 plan are excluded from this report. Largest Insider Buying (Last 7 Days)Largest Insider Selling (Last 7 Days)
Count column is number of transactions. Source: Fintel.io/insiders [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Question about Options Trading (Robinhood). Posted: 23 Oct 2020 02:40 PM PDT Hey guys and gals! So I have a little $cha-ching$ to spend. I've spent on long-term stocks (YOLO Tesla) and looking to spend on CALL options, sometime next year. I had a couple of questions that I was hoping the best community in the world could help me with:
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Is Snowflake Stock Overvalued? Posted: 23 Oct 2020 01:44 PM PDT Cloud data-warehousing company has been one of most-followed IPOs of 2020, started trading at an opening price of $245 the largest public-debut of this year Snowflake's revenue for Q2 FY21 was $133 million. A year ago, the number had been $60 million, and for the six months ended July 31 and 2020, revenue was $104.0 million and $242.0 million, respectively. It meant a YoY growth of 133%. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 09:29 AM PDT Canadian investor withba tfsa, currently own the following 2 sharss MSFT 4 shares AAPL 4 shares AMD 5 shares ARKW 5 shares SPWR 4 shares ARKK 4 shares NET 2 shares BCE 3 shares BLX 2 shares CNR 2 shares ICLN 10 shares WELL 13 shares XBC 2 shares CRSR my portfolio is around tech/clean energy/future innovation. I was heavily thinking of just selling everything else and putting it into long term etfs liks VTI and then putting into individual sectors like arkk, arkw, icln etc should i just keep the things i have right now?, all look promising, will gradually buy every month or two a few more shares of etfs or blue chips like msft Im still relatively new to this, started late september and im 18. Put some money that was laying around doing nothing to maybe benefit me during the later years. If i wanted long term just sell everything and buy etfs??? Or dump more into etfs while still attiaing current stocks [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
New Study Proves Beyond Any Shadow of a Doubt That Day-Trading For a Living Is IMPOSSIBLE! Posted: 23 Oct 2020 01:12 PM PDT Have you been dreaming of quitting your day job to trade stocks? If you have, it looks like you might have to put those early retirement plans to rest, because according to a new Brazilian study conducted on thousands of individuals over a period of two years, you simply can't day trade long term anymore. It is literally impossible. Why? Today, you're playing against thousands of artificially intelligent supercomputers! The study concluded that you have a 3% chance of success, which translates into a 97% rate of failure. EDIT: Just to get an idea of what your up against when you day trade, check out this video of Google's new artificially intelligent chess program, Deep Mind. You don't even need to play chess to understand the brilliance. It's skynet...(used to be an avid chess player online, so trust me when I say this: it is literally.. skynet) [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 12:42 PM PDT Rounding top is also known as "reversed saucer", it has a U-shaped peak. The peak is round like in a "U" , with a flat bottom. ⠀ [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 12:37 PM PDT Snapchat is currently trading at a daily RSI of 92. Going off that, this is a good time to start entering a short position on SNAP for a quick swing trade. If you are currently holding SNAP, right now is a good time to lock in some profits. The ROI should be at least 10% based on trading patterns of similar stocks that made such huge jumps in a short period of time. A good exit point would be when the daily RSI drops to around 65. For the traders out there with higher risk tolerance you can start buying some short period put options. Just remember to take a position with which you are comfortable and have good risk management. Happy trading! [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[SAM] Beats Estimates Will sector Follow? Posted: 23 Oct 2020 07:54 AM PDT Per the title, what are the thoughts on the sector. I was/am expecting it to be flat, SAM would just be an outlier. Also expect the current and next quarter to be bad. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
ZM, Aroon Indicator entered an Uptrend on Oct 22, 2020. Posted: 23 Oct 2020 11:39 AM PDT
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Significant Activist Hedge Fund Activity (Last 7 Days) Posted: 23 Oct 2020 11:28 AM PDT These are the latest Schedule 13D forms filed by activist investors in the last 7 days. Activist investors are investors that make an investment with the intention of influencing management in some way. There is evidence that following activist investors into investments can generate excess returns. Schedule 13G forms, in contrast, are filed by significant investors with no intention of influencing management (such as Index funds). There is always a lot of interest in insider trades, but what a lot of people probably don't realize is that hedge fund activity is probably more predictive of future returns than insider activity. The reason is that hedge funds (a) have large research budgets, and (b) have a choice where to put their money. In contract, insiders have no choice where to put their money, but only when to time their transactions. New FilingsThis table lists new 13D filings in the last week. A new filing does not necessarily indicate a new position, as investors frequently accumulate in advance before reaching the filing threshold. Amended FilingsThis table lists amended filings in the last week, and is useful for monitoring changes in existing investments or when a fund closes a position. I have eliminated all filings with less than a 5% change in ownership. Source: Fintel.io/activists [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Posted: 23 Oct 2020 07:36 AM PDT Hi all, Here's my deep-dive on Sprout. Happy to discuss and please let me know why you think I'm wrong ;) Investment Thesis Sprout is a growing technology company operating in the content management industry. They have seen significant growth in revenues, with an increase of 75.43% and 30.43% in core revenues for 2018 and 2019 respectively. We expect their revenues to grow at a slightly slower rate as the market for social media content software matures, and market entrants are able to take market share. Sprout has been unable to maintain an effective moat, keeping it unable to reach profitability. Thesis: Because of Sprout's inability to differentiate itself through either product or target market, their spend on marketing and advertising will continue to outpace its revenue growth and keep it from profitability. For these reasons, we believe Sprout is significantly overvalued. Company Overview Sprout Social was founded and had its first round of funding for $1 million in 2010. The product, Sprout 2.0, was launched the following year. Since then, Sprout has grown to nearly $103 million in annual sales as of 2019. Sprout has come about in a competitive industry and struggled to establish an effective moat. However, the brand is well known by users and potential customers. It is easily identifiable by its leaf logo. Sprout operates as a content management system for social media sites. The site offers easy-to-use software and visually appealing dashboards and reports. Also offered is analytics for marketing campaigns on the social sites. The software allows for content management across Twitter, Facebook, Instagram, Pinterest, LinkedIn, Google, and Youtube. It allows for post scheduling, engagement, and analytics across all platforms. Having a centralized location for all of these features for a marketing team allows for stronger review of the effectiveness of social media campaigns and easier collaboration for marketing teams. Sprout offers its products on a per-user basis and opens up plenty of opportunity to upsell either additional features, or add on users. In addition to subscription revenue, Sprout also generates revenue from professional services fees. These are primarily implementation costs by Sprout's technical teams. The company has not done much in the way of finding a niche. However, it does have different offerings for small businesses and larger enterprises on its site. Sprout seems to want to appeal to all sizes of companies as it grows. Given the competitive industry, this may not be an effective strategy long-term. Industry Overview The industry that Sprout operates in – social media content management- is relatively new on the scene. Sprout was one of the earlier contenders in the space and managed to grow to a respectable size. Like all those in the social media space, Sprout's dashboards are sleek and their software is easy-to-use. Because of this, it's had high user scores and customer retention. These are definitely points for a higher valuation for Sprout, but there is nothing that Sprout has that is unique to them in this sense. All the points that Sprout maintains for strong user experience, their competitors do too. It is simply expected of the companies in the industry now, not a standout feature. Sprout has many competitors, but their most notable ones would be Hootsuite and Hubspot. Of these, Hubspot appears to be best for smaller companies. Their starting price point is much lower than Hootsuite at $50/month compared to Hootsuite's $190/month. Despite this, Hootsuite claims to cater to smaller and medium-sized companies. Sprout targets both large and small companies, but because they have not identified a niche, they are likely to lose market share to Hootsuite in the small business market with their lower entry price point. Also troubling for Sprout is their lack of transparency. Of the three, Sprout is the only one that does not offer a minimum price on their website. Again, this could cause a loss in the small business market. But it would be less likely to lose market share in the more sophisticated large business market, where potential users would be more willing to ask for a consultation for pricing and customization. Strengths Sprout has a strong balance sheet and cash position. This strength, however, points to a hidden weakness. The company is about ten years old, and in that time, it is still funded primarily through rounds of equity funding, not positive operating cash flow. This means it has not reached profitability yet, and its cash burn reflects that. Despite the negative operating and investing cash flows, Sprout's 2019 IPO funding should keep its balance sheet and cash position stable for at least a few more years, even if it cannot reach positive cash flows. Another strength of Sprout's is its revenue growth rate. High growth is expected for a new technology company, however. Its core revenues grew a staggering 75.43% and 30.43% for years 2018 and 2019, respectively. Weaknesses For Sprout's weaknesses, we can compare operating results to competing companies to see where they may be underperforming in the broader industry. Sprout's gross profit appears strong, with a gross margin hovering around 25% over years 2017-2019. It increases slightly from year to year. Cost of revenue consists primarily of hosting costs and providing support to customers on the platform. While this margin would be very admirable for a company offering a tangible product, software companies are generally expected to maintain lower gross profit margins. For comparison, Hubspot's gross profit margin is 19.26% for 2019. This leads us to believe Hubspot is more efficient in offering its products and services to its customers than Sprout is. Hubspot's average annual growth rate in its core revenues hovers around 30-40%. Although this rate is slightly lower than Sprout posted in 2018 of 75.43%, it controls significantly more market share. Hubspot's 2019 revenues were $674 million, compared to Sprout's $103 million. Given that Sprout is significantly smaller than Hubspot, we would expect Sprout's revenues to be growing at a faster rate than Hubspot since there is more market share available for Sprout to take. This leads us to believe there are inefficiencies in the marketing department for Sprout that are hampering its growth potential. It also appears there are operational inefficiencies reducing its ability to improve its profit margin. Opportunities The industry is expected to grow at a CAGR of 14.1%, and we forecasted Sprout's revenues at a generous range of growth from 50% to 17% CAGR over a ten year period. Sprout's primary opportunities will come from the growth in the industry around it. The other opportunity it should benefit from is its age and the benefits that it affords. This will primarily come from its contacts at larger companies. Sprout should see sufficient cross-selling opportunities in the companies it already transacts with. And the fact that it utilizes a per-user pricing model means that as a client of theirs grows, the more users it may need to license. Customer build-up and increased user licenses means customer retention will be increasingly important. Luckily for Sprout, this is already one of their strong points. Out of 1,326 reviews, Sprout has maintained a user score of 4.3 / 5 stars. Customer retention should over time reduce marketing and sales spending, as this is such a large component of their total expenses. In 2019, marketing and sales spending represented more than 45% of total expenses. Keeping this amount in check over time should significantly increase the chance of profitability. Threats Sprout's primary threat is its inability to gain significant market share. Its marketing spend appears to be less effective than its competitor Hubspot. Hubspot expands its selling and marketing expenses by roughly 25-30% per year, whereas Sprout's expands at roughly 50% per year. Despite this, Hubspot is growing at a comparable rate to Sprout even though it controls roughly 6x as much market share. If Sprout is unable to gain more market share in a reasonable time period going forward, profitability will be out of reach. Their cash burn rate for 2019 was nearly 33%, and without more rounds of funding they could be facing a liquidity problem within a few years. Valuation We forecasted Sprout's growth rate at a rate from 50% declining down to 17% CAGR over the next ten years. Because of the information above, marketing and advertising were kept at a high CAGR as well. We then discounted free cash flows back to present at a 15% rate to account for Sprout's volatility as a young and unprofitable company. This gave us a NPV of $3.23 per share, significantly lower than its current share price as of 10/22/2020 ($49.46). We encourage you to do your own valuation and compare. Thanks for reading! [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
The Great Merger Movement: 1895–1905 Posted: 23 Oct 2020 10:57 AM PDT (Wikipedia) "The Great Merger Movement was a predominantly U.S. business phenomenon that happened from 1895 to 1905. During this time, small firms with little market share consolidated with similar firms to form large, powerful institutions that dominated their markets, such as the Standard Oil Company, which at its height controlled nearly 90% of the global oil refinery industry. It is estimated that more than 1,800 of these firms disappeared into consolidations, many of which acquired substantial shares of the markets in which they operated". Read more [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
HUGE GILD STOCK NEWS! | FDA APPROVAL TO TREAT COVID-19 Posted: 22 Oct 2020 11:46 PM PDT Gilead Sciences will rocket after this news, especially with the covid 2nd wave! if ya want here is an analysis, earnings are 28th btw: https://www.youtube.com/watch?v=_qDtdWzuc_c [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intel Shares Tumbled After Reported Weaker Server Cpu Revenue Posted: 23 Oct 2020 03:05 AM PDT Intel Corp. shares slumped after reported its server CPU unit's enterprise and government sales fell 47%, more than offsetting higher sales to cloud and telco clients. On Thursday afternoon, the chip giant reported Q3 revenue of $18.33 billion (down 4% annually) and non-GAAP EPS of $1.11. Revenue slightly topped an $18.24 billion FactSet consensus, while EPS was in-line with consensus, the stock tumble post-earnings for the second quarter in a row [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investing in emerging market small cap equities Posted: 23 Oct 2020 07:54 AM PDT Hi guys, i am trying to build up long-term equities based on high-risk/high-reward equities. I trying to invest in areas that i think will be winners in the future (+10 year perspective). Besides investing in ETF's and specific companies in specific sectors, i also want to invest in emerging markets with a mix of amongst other, small cap stocks and ETF's. So my question is, what ressources, online communities, websites, news sources, twitter profiles etc would you recommend for, an admittedly new beginner, in the field of the subjects i have raised. I have already found some courses and other material for the basic stuff, so dont recommend reading the intelligent investor or Investopedia. [link] [comments] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Any Entrepreneurs turned in to Traders ? I am in transition. What do you think of my hypothesis ? Posted: 23 Oct 2020 07:21 AM PDT So upon launching 3 failed businesses and one successful in the past 7 years, I figured out I am not a good fit in managing people because I am very raw and doesn't like to go around the bushes. People don't like that since it hits their ego. So I created more enemies than friends and my energy has been depleting. However, I've also learned that I am very hard worker, ambitious, risk taker (and risk manager), and very patient. I love maths, physics, finance(crypto too), can code well and love to make money. Last but not least, I tend to be very peaceful in most situations. So I was experimenting with trading the past 2 years(5hrs/week) and feels like I deal with THE MARKET (which has some sort of patterns) compared to dealing with multiple individuals in business (whose patterns can't be determined). So far thing has been okay since I was just investing little money but now need to make a slow but steady moves to add more to my portfolio. Cons Pros All I am seeking is peaceful work while making good $$ !! [link] [comments] |
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