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    Stocks - r/Stocks Daily Discussion & Fundamentals Friday Oct 23, 2020

    October 23, 2020

    Stocks - r/Stocks Daily Discussion & Fundamentals Friday Oct 23, 2020

    r/Stocks Daily Discussion & Fundamentals Friday Oct 23, 2020

    Posted: 23 Oct 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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    iPhone 12 launches in China to strong demand despite stiff competition for Apple in 5G smartphones

    Posted: 23 Oct 2020 04:09 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.

    Thanks for the awards.

    submitted by /u/coolcomfort123
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    Tesla is recalling almost all Model S/Model X sent to China over suspension issue

    Posted: 23 Oct 2020 08:11 AM PDT

    https://electrek.co/2020/10/23/tesla-recallingl-model-s-model-x-china-suspension-issue/

    Is this an issue only for chinese vehicles?

    Heres a snippet from the article that makes me wonder if this could be larger: "Interestingly, NHTSA did investigate a very similarly described alleged defect in the Model S suspension in 2016, but the government agency determined that there was no defect at the time. Now it definitely raises an eyebrow following this news out of China."

    submitted by /u/Chango812
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    Here is a Market Recap for today Friday, October 23, 2020. Please enjoy!

    Posted: 23 Oct 2020 01:16 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, 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

    • Intel (INTC) sold off more than 10% after the company unexpectedly posted a quarterly decline in data center chip sales, driven by a near-halving of revenue from enterprise and government clients during the pandemic.
    • Today, remdesivir, Gilead's (GILD) antiviral treatment, became the first drug to receive formal approval by the FDA to treat Covid-19. The drug was used as part of President Trump's treatment after his diagnosis earlier this month.
    • Tesla (TSLA) plans to recall more than 29,000 of its Model S and Model X vehicles from China after problems with the cars' front and rear suspension were discovered.
    • Wells Fargo (WFC) is reportedly planning to sell its asset management business for around $3 billion.
    • AstraZeneca (AZN) reported that its COVID-19 vaccine trial will resume in the U.S. The Phase 3 clinical trial for the vaccine candidate that the company is developing with the University of Oxford was placed on hold in multiple countries over concern about an unexplained illness. The trial has already been restarted in the U.K.
    • Remark Holdings (MARK) jumped 39% in late-afternoon trading on Friday after the company tweeted that for the first time, the company is selling its technologies in partnership with Intel (INTC)
    • Joe Biden's remarks Thursday that he would seek to phase out oil stoked concerns among some oil and gas executives that a Democratic administration would further weigh down an industry hard hit by the coronavirus pandemic.
    • Salesforce.com (CRM) had a price target raised by Barclays from $264 to $315 at OVERWEIGHT. The stock is at $250 so implies a 25% upside! Very bullish call
    • Datadog (DDOG) had a price target raised by Barclays from $126 to $136 at OVERWEIGHT. Stock is at $102 so a 33% upside implied.
    • Discover Financial Services (DFS) had a price target raised by Deutsche Bank from $55 to $74 at HOLD, by Royal Bank of Canada from $61 to $75 at OUTPERFORM, and by BMO Capital from $76 to $80 at OUTPERFORM.
    • Danaher (DHR) had a price target raised by Royal Bank of Canada from $250 to $273 at OUTPERFORM, and by Robert W. Baird from $205 to $252 at OUTPERFORM
    • Southwest Airlines (LUV) received some love today from analysts. The following raised price targets: Raymond James from $45 to $49 at STRONG BUY, Credit Suisse from $46 to $51 at OUTPERFORM, Cowen from $43 to $46 at OUTPERFORM, UBS Group from $48 to $52, and Morgan Stanley the most bullish from $56 to $59 at OVERWEIGHT. This chart looks so good! Believe there's an opportunity here.
    • Service Now (NOW) received a price target raised from $465 to $560 and from POSITIVE to OUTPERFORM. We really like this one, and its chart currently!
    • Microsoft (MSFT) received a price target raise from Barclays from $234 to $249 at OVERWEIGHT. We like this one.
    • The Boston Beer (SAM) has been nothing short of spectacular this year! Had a price target raised by Deutsche Bank from $835 to $996 at HOLD, and Smith Barney Citigroup raised the target from $1,015 to $1,150. This is a crazy one as analysts can't seem to keep up with the stock!
    • Slack Technologies (WORK) received a price target raise from Barclays from $31 to $36 at OVERWEIGHT. The stock is at $28 so implies a 25% upside.

    "There are some things you learn best in calm, and some you learn best in a storm" -Willa Cather

    submitted by /u/psychotrader00
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    How are capital gains taxed?

    Posted: 23 Oct 2020 12:17 PM PDT

    I was under the impression that once a stock is sold within 12 months of purchase, you pay your income tax rate. If sold after 12 months, then a 15% tax rate.

    A co-worker is a trader and said that you only pay taxes on your gains if you either move it to your bank or don't reinvest it within 3 months of selling.

    Is there any truth to this and maybe provide a source?

    Thanks.

    Edit: He trades on Ameritrade if that makes a difference.

    submitted by /u/Charmander360
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    SQ

    Posted: 23 Oct 2020 09:47 AM PDT

    I like Square as a company and see a lot of people are bullish about it. However, a few things stop me from investing. Be interested to hear thoughts but at the moment I am a Square bear.

    Management

    Jack Dorsey is a visionary. I don't think this is controversial. However, his track record at Twitter is worrying for shareholders. Be it daily active user growth, ambition with acquisitions but ultimately failure to monetise a fantastic platform where you have big corporations, celebrities and even the President reaching out to 200m daily active users for free. With Square, the closed loop business model of businesses and consumers is again a fantastic concept that could break the power of Visa/Mastercard. Execution remains to be seen, of course.

    Competition

    Square operate in a highly competitive field for consumers and businesses. Let's take consumers based on Square's fast-growing Cash App. It offers things a normal bank does like deposits, ATM access, money transfer. If it becomes a fully-fledged bank offering loans, credit; it is competing against the likes of big incumbents (e.g. JP Morgan, Bank of America). Granted they're dinosaur firms but they already have a huge customer base that are older and, therefore, have more money and deposits. This means it is much easier for them to monetise their customers resulting in high ARPU. Why would these lucrative customers, en-masse, want to uproot their finances to Square when their existing providers will be providing the same service by copying Square, as JP Morgan have done this week? Link

    For businesses, Square's provides software offering (invoicing, PoS, online store) but face strong competition from the likes of Shopify who are taking a fully integrated service approach to SMEs which allows them to take their business online but also manage all their backend processes, including payments. This is a highly convenient service for entrepreneurs. Shopify already has 6% share of the online retail market. Square also provides hardware products which make it easy for SMEs, in particular, to take payments. However, there is evidence that retail is facing a more permanent shift in the US vs. the rest of the world with 60% less footfall today than a year ago Link. 58% of Square's GPV is from food/drink, retail and professional services. Square may have good market share but it is a shrinking industry.

    And as a final piece, competitors in both spaces are generally in very healthy financial shape: Paypal, Shopify, Global Payments, Western Union and big banks are well-capitalised.

    Valuation

    Perhaps you can get over the above with the fact that Square has strong network effects and are able to win customers cheaply. However, in my opinion, Square is priced for perfection. Simply looking at a price/sales metric, it is trading 13x LTM. This is high but maybe relatively reasonable for a fast-growing business. However, 25% of Square's revenue is accounted by Bitcoin "revenue". This brings little value to Square (2% gross profit) and even Square themselves discount this revenue in their KPIs because it is "out of their control and not reflective of Square's performance".

    Now onto profits. It is not fair to be too hard on Square's profitability. After all, it is in high growth phase and its marketing costs were its highest opex line item at roughly 35% for YTD. However, a cursory look at it is Enterprise Value / EBITDA (forward look to Dec2020), it is 242x. If we give credit for Square's business plan for a further two years, today's Enterprise Value over broker consensus forecast EBITDA for 2022, it is still a heady 77x. This is when Square is supposed to have EBITDA of $1bn which is three times more than it is forecast for Dec 2020. Priced to perfection.

    If you compare it to Paypal, it is trading at 39x and 27x EV / EBITDA for Dec 2020 and 2022.

    Conclusion

    Square has formidable backers like Ark Invest. I am also not a great believer in "dumb retail" overvaluing a stock for a prolonged period of time. But for reasons above, I am cautious with Square and yet it keeps climbing so please tell me what I am missing…

    submitted by /u/dellywally
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    Microsoft's Xbox chief hints at TV streaming sticks for xCloud. Also teases new tiers of Xbox Game Pass, and confirms an iOS solution is on the way

    Posted: 23 Oct 2020 05:22 AM PDT

    Microsoft's head of gaming and Xbox, Phil Spencer, has hinted that the company is planning TV streaming sticks for its xCloud cloud gaming service. In an interview with Stratechery, Spencer discusses the potential for additional tiers of Xbox Game Pass, which could include a free bundled TV stick to play xCloud games.

    "I think you're going to see lower priced hardware as part of our ecosystem when you think about streaming sticks and other things that somebody might want to just go plug into their TV and go play via xCloud," says Spencer. "You could imagine us even having something that we just included in the Game Pass subscription that gave you an ability to stream xCloud games to your television and buying the controller."

    Spencer also teases the potential for an "Xbox Game Pass Platinum" with guaranteed access to new Xbox hardware. Microsoft has been bundling Xbox subscriptions and hardware together in something called Xbox All Access, which includes access to Xbox Game Pass and the latest Xbox Series X and Series X consoles. It's a bundle that Spencer is obviously keen to experiment with in the future.

    Source

    submitted by /u/detectiveluis
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    These are the stocks to short when a COVID vaccine is ready, says JPMorgan

    Posted: 23 Oct 2020 11:45 AM PDT

    Strategists at JPMorgan have put together a list of companies that are at risk of steep drops. They are at the "upper echelon of momentum and have crowded positioning, that could see the second derivative of their profit growth decrease as consumer / corporate activity normalizes," said the JPMorgan team. Some of the names, like Zoom Video Communications ZM, -2.08%, are obvious,

    Source

    submitted by /u/GypsyPhoto
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    SNAP price alert

    Posted: 23 Oct 2020 12:36 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!

    submitted by /u/Muted-Acadia-2826
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    What do people think about $SPCE long-term?

    Posted: 23 Oct 2020 01:04 PM PDT

    Stock has dipped a bit in last few days, is it a good time to invest long-term? I'm willing to deal with volatility but where do you guys think it will be in 5 or 10 years?

    If the company has long-term potential, now seems like a nice time to jump in after a dip over the last few days.

    submitted by /u/RushClovisIGBC
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    Hold strong my fellow Intel holders

    Posted: 22 Oct 2020 02:19 PM PDT

    when they dropped to the mid 49 per share i dropped about 10k (roughly around when the CEO bought some as well) and then saw the slow rise to about 54, feeling pretty good about myself.

    Then they beat earnings, barely, and i lost it all in 3 minutes haha. Just remember, you are LONG on Intel. What happens today doesnt matter its just numbers. You wont sell and you will hold!

    Sorry, sometimes I myself need a peptalk and hoping that this works for at least one other person.

    submitted by /u/Dylan-Jupp
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    Long/Short ETFS help me understand

    Posted: 23 Oct 2020 12:37 PM PDT

    What are they in layman's terms? From what I can gather there's a lot of risks and the top performing etfs in this category. Don't really seem to be performing well at all. Would I be better off just putting that money in a large blend?

    submitted by /u/TubGrubber
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    Brookfield Asset Management (BAM) and it's subsidiaries

    Posted: 23 Oct 2020 06:27 AM PDT

    What's everyone's opinion on BAM and their subsidiaries? Mostly interested in BAM, BIP, and BEP as I feel BPY and BBU are pretty weak. I'm having a hard time deciding which to invest in, and would like to hear your thoughts. All 3, just BAM, just BIP and BEP? I can see a reason for each.

    submitted by /u/GorshKing
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    Thoughts on my 30 year plan?

    Posted: 23 Oct 2020 12:16 PM PDT

    I have been investing for nearly a year now with basically no strategy, so I have decided it's time to clean up my portfolio and try to come up with some sort of plan. It would be great to hear some of your opinions please!

    About me: 31 years old, home owner with secure job. Will be investing 25% of my take home per month. My risk appetite is currently high, and will be medium/high over the long term.

    Goal: Even though this is a 30 year plan, ideally I would like to build up enough to retire early (55-60). By my calculations I would need an EAR of between 7 - 8% to achieve my goal. —————————————-

    Plan Summary: A 30-year plan with 3-year cycles, starting aggressive, but becoming more defensive over time by adding bonds exponentially each cycle, replacing the high risk assets. At the beginning of each cycle I will rebalance to the desired blend.

    Initial allocation is split into 2 categories:

    Diversified Equities (total 60%):

    60% VWRL ETF (All-World Index)

    High-Risk Assets (total 40%):

    18% INRG ETF (iShares Clean Energy)

    10% Individual Stocks (HASI/TSLA/NIO/SQ/MSFT...list may change)

    7% ESPO ETF (VanEck Esports)

    4% Bitcoin

    1% Ethereum

    ———————————————

    Timeline:

    Year 3: 2% Bonds, 60% Diversified Eq, 38% High-Risk

    Year 6: 5% Bonds, 60% Diversified Eq, 35% High-Risk

    Year 9: 9% Bonds, 60% Diversified Eq, 31% High-Risk

    Year 12: 14% Bonds, 60% Diversified Eq, 26% High-Risk

    Year 15: 20% Bonds, 60% Diversified Eq, 20% High-Risk

    Year 18: 27% Bonds, 60% Diversified Eq, 13% High-Risk

    Year 21: 35% Bonds, 60% Diversified Eq, 5% High-Risk

    Year 24: 44% Bonds, 56% Diversified Eq

    Year 27: 54% Bonds, 46% Diversified Eq

    Year 30: 65% Bonds, 35% Diversified Eq

    submitted by /u/marcosa89
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    Vuzix small cap with a history of dilution

    Posted: 23 Oct 2020 02:03 PM PDT

    Considering adding Vuzix to my portfolio as a long term play as the rise of Ar/VR technology seems to be a given almost now if the 5g hype is to be believed. Big competitors such as Microsoft, Google exist with enough resources (money and tech) to give it tough competition but what's concerning is the history of dilution. Is anyone else on the fence with this stock?

    submitted by /u/Zealousideal-Juice16
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    Why did $X pop 10% today?

    Posted: 23 Oct 2020 10:13 AM PDT

    I made some money selling X in 2019 but decided to hold about half of my shares. That position has been in red ever since and I regret not selling all. X started moving yesterday and popped 10% today. Can't find any info online about why. Earnings report expected Oct 29.

    submitted by /u/J_P_Olofsson
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    Beating expectations is meeting expectations

    Posted: 23 Oct 2020 05:34 AM PDT

    Found this quick article on yahoo finance that I think is worth leaving here.

    Link

    Consider this before posting "I own X stock, they beat earnings by $0.05/share and went down 3%, why?"

    Corporate earnings are beating expectations at a record rate. Investors are hardly impressed.

    Third quarter earnings season is in full swing.

    And some early trends are emerging.

    For starters, companies are crushing expectations.

    According to data from Bespoke Investment Group's Earnings Explorer tool, some 97 companies through Thursday morning had reported earnings that topped analyst estimates for both revenue and earnings per share since the start of last week. Of these, 22 have not only topped expectations for the third quarter but have also raised their forecasts for the current quarter or year ahead.

    Over the last three months, 77.5% of companies reporting results have topped Wall Street forecasts for earnings per share, increasing what was already a record share of companies reporting better-than-expected profits. To say that corporate earnings are faring better than feared is an understatement.

    But investors are also growing more reticent to reward these results. And have become quick to punish companies that fall short of expectations. Even modestly.

    On Thursday, shares of Chipotle (CMG) fell more than 4.5% after the company said Wednesday that restaurant level operating margins in the third quarter fell to 19.5% from 20.8% in the same quarter last year. And this margin hit coming as same-store-sales turned positive in the third quarter, rising 8.3% after a 9.8% drop in the second quarter.

    Of course, we must note that Chipotle has been one of the big winners in the fast food space during the pandemic: from the March 23 market lows through Wednesday's close the stock rose 141% against a 49% increase for the S&P 500. But embedded in this rally is future earnings growth, and Wednesday's quarter makes the future appear less rosy than previously believed.

    And dynamic investors were quick to react to.

    Another high-flying pandemic winner, Netflix (NFLX), also saw its stock similarly punished earlier this week. Shares of the streaming giant fell more than 6% on Wednesday after the company said subscriber growth slowed more than expected in the third quarter.

    And both of these stock reactions track what Bespoke's data suggests. Which is that amid an earnings period of strong results, investors are punishing earnings misses harshly. Just six companies since the start of the month have reported worse-than-expected earnings and revenue, according to Bespoke. Shares of these companies have declined by an average of 4.8% the next day.

    In contrast, companies reporting better-than-expected earnings and revenue have seen shares rise by an average of 1.7%. Notably, companies also raising guidance along with besting top and bottom line forecasts are faring even worse, rising an average of just 0.25% during the day after these results.

    And an even better outline of just how lukewarm investors have been towards companies that merely meet expectations can be seen in the stock reaction to firms that offer guidance that is in-line with expectations.

    Twelve firms have offered in-line guidance and just one of these companies missed on EPS while just two missed on revenue. Results in the most recent quarter for this group, in other words, have been quite strong.

    And yet the average one-day stock performance among this group — which includes Netflix, Procter & Gamble (PG), and UnitedHealthcare (UNH) — is a decline of 1.66%.

    And so in a market environment during which investors have quickly and enthusiastically looked past a brief but severe recession, a future full of high hopes is coming at the market fast.

    submitted by /u/peon2
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    Digital dollar and visa/mastercard

    Posted: 23 Oct 2020 03:33 AM PDT

    Background:

    Digital dollari is coming

    So, what will happen to duopoly called visa and mastercard if there will be new centralized payment hosted by fed? Companies and merchants dont need to use visa or mastercard for transactions.

    Also, do you think wechat or square kind of solutions will overtake mastercard?

    submitted by /u/zomgomg123
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    FDA Approves Gilead's Remdesivir For Treatment Of Hospitalized COVID-19 Patients

    Posted: 22 Oct 2020 07:38 PM PDT

    KuberSpeaks powered by Benzinga

    https://m.benzinga.com/article/18024797

    Post this news GILD is up 7% after hours Earnings for Q3 is on October 28th. Is this a good time to get in and buy options Is the recommendation to take profits or invest for long as their profits will grow at least for next 6-12 months. Over $3000 for one dosage of Remdesvir Anyone has any idea how many dosages would have been sold in last 3 months and in future 1 Millions will amount to 1 Billion worth of Revenue

    Any comments will be appreciated

    submitted by /u/stockmarketstar
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    Tesla Earnings Reactions: How 15 Wall Street Analysts Responded

    Posted: 23 Oct 2020 02:34 PM PDT

    Electric-vehicle pioneer Tesla  reported earnings Wednesday evening. Earnings were better than expected, and the company's fifth straight quarterly profits. That could be a recipe for stock market fireworks. The most surprising thing about the earnings "print," however, might be the investor reaction. The stock did nothing.

    Tesla stock (ticker: TSLA) closed with a gain of less than 1%. Shares, over the prior five quarterly reports, on average moved about 10%, up or down, in response.

    With investors yawning, the biggest reaction to the quarterly news came from Wall Street analysts, many of which took up their target prices following the quarterly release.

    Here's what 15 analysts did:

    • RBC analyst Joseph Spak took his target to $339 from $290, up almost $50. He still, however, rates Tesla stock at Sell.

    • Baird analyst Ben Kallo took his target to $488 from $450, up $38. He upgraded shares to Buy Thursday.

    • JMP Securities analyst Joe Osha established a new $516 price target. He upgraded the stock to Buy as well. He didn't have a price target going into earnings, but the last time he had one, in July, it was $300 a share.

    • Oppenheimer analyst Colin Rusch increased his price target to $486 from $451. He rates shares at Buy.

    • Goldman Sachs analyst Mark Delaney made a smaller adjustment. He took his target to $455 from $450. He remains Hold-rated.

    • J.P. Morgan analyst Ryan Brinkman took his target to $80 from $75. He has a Sell rating on Tesla stock.

    • Not every analyst, of course, raised target prices. New Street Research analyst Pierre Ferragu left his target at $578, the highest among large brokers and research firms. He rates Tesla stock at Buy, as do Deutsche Bank analyst Emmanuel Rosner, Jefferies analyst Phillippe Houchois, and Piper Sandler analyst Alex Potter. They also left their price targets unchanged at $500, $500, and $515, respectively.

    • Morgan Stanley's Adam Jonas, Credit Suisse's Dan Levy, and Wedbush's Dan Ives all rate Tesla shares Hold. Their unchanged target prices remain $333, $400, and $500, respectively.

    • Bernstein analyst Toni Sacconaghi's price target stayed at $180. He rates shares Sell. Barclays analyst Brian Johnson rates shares at Sell, too. He left his price target unchanged at $125.

    Broadly speaking, Tesla now has nine price targets from major brokerages which are above the current stock price. That isn't typical. Analysts, generally speaking, have a hard time keeping up with Tesla stock. And all target price from Buy-rated analysts are now above where the stock trades. As odd as it sounds, that also isn't typical for Tesla stock recently.

    Overall, the average analyst price target moved up roughly $15 on Thursday, or 5%, to $340. That's still more than 20% below where shares trade.

    Wall Street still struggles to recommend the stock. Even with two Thursday upgrades, only about one-third of analysts covering the company rate shares at Buy. The average Buy-rating ratio for stocks in the Dow Jones Industrial Average is about 58%.

    Caution hasn't hurt shares though. Tesla stock is now up 409% so far in 2020, crushing the 6.9% rise in the S&P 500 index.

    Source: Barron's

    submitted by /u/coolcomfort123
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    Will the millions of recent iPhone 12 sales be included in Apple’s upcoming earnings report?

    Posted: 23 Oct 2020 10:42 AM PDT

    I am thinking about adding to my position before the upcoming earnings report on 10/29 and i'm wondering whether or not the huge amount of iPhone 12 sales we've seen in recent weeks will be included in that earnings report. If anybody does know for sure, I'm also wondering where the cut off is for what gets reported and what does not. I will most likely add to my position regardless but i'm curious.

    submitted by /u/Headline123
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    LLNW - What to do now?

    Posted: 23 Oct 2020 10:34 AM PDT

    Shares dropped by 30%(!!) after yesterday's ER. The company managed to beat the consensus revenue estimate, but the actual EPS turns out to be -$0.03, compared to consensus estimate of $0.02, and -$0.02 at same quarter last year. The culprit seems to be the "surprise" $1.7M interest expense related to the convertible notes issued during Q3.

    Since this issuance was widely reported, how has the analyst EPS target remain so bullish at $0.02? Even beating the revenue estimate wasn't enough to turn out a positive earnings.

    I am deeply disappointed by this company; I have bought in based on the thinking that this is an industry with strong tailwinds, and the conditions are perfectly set up for this company to thrive. Compared to its peers it seemed like a good value play. Sadly the future doesn't look any better as the interest expense seems like it's continuing for a while.

    I'm currently at a 45% loss - should I just admit my mistake and sell, or is there still a bull case here?

    submitted by /u/daymare9
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    International Markets To Return More In The Future?

    Posted: 23 Oct 2020 01:17 AM PDT

    With the FED providing liquidity, the domestic market right now seems to be poised for some slower years after this liquidity craze ends.

    Dollar is likely to weaken which should boost most of the companies' earnings, but I think the earnings boost would not be enough to counter the foreign exchange loss especially for foreign investors.

    Plus, investors could be looking to comparatively cheaply valued stocks in Europe, Japan, China, South Korea, Taiwan etc as market fundamentals are in their favour.

    Add to that the trade war and other uncertainties, US stocks(especially the tech stocks, these are the ones that are actually distorting price of VOO or similar ETFs) may have a meh decade ahead of it just as foreign stocks have had a meh decade in the 2010s.

    Moreover, as the dollar's position as the global reserve currency gets chipped away slowly, this could add fuel to the fire in the decline.

    TL;DR: Foreign stocks(excl UK) could outperform domestic stocks.

    submitted by /u/nafizzaki
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