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U.S. attorney charges five with trying to bribe juror in Minnesota Feeding Our Future trial 2024-06-26 17:07:00+00:00 - Five people were charged Wednesday with the attempted bribery of a juror in Minnesota after authorities found on confiscated devices a “chilling” plan to give a juror more than $120,000 and specific instructions on how to convince other jurors to vote to acquit, federal prosecutors said. Three of the people charged were defendants in the federal fraud trial that ended in June, while the other two were recruited, U.S. Attorney Andrew Luger said at a news conference. One of them had been acquitted of all the crimes he had faced. The unidentified juror who was offered nearly $120,000 in cash in exchange for voting to acquit on the eve of deliberations was targeted because she was young and a person of color, Luger said. Abdiaziz Shafii Farah, Abdimajid Mohamed Nur, and Said Shafii Farah devised a “blueprint” instructing the juror to convince the rest of the panel to vote to acquit all of the defendants because prosecutors were racist, Luger said. “We are immigrants. They don’t respect or care about us,” the instruction manual said, according to Luger. “You alone can end this case.” Attorneys for the three defendants did not immediately respond to requests for comment. Luger said they had "studied" the juror, "followed her, and determined that she would succumb to their scheme." They “thought carefully” about what they wanted the juror to say to the rest of the jury, and their hopes were to “inflame the jury," he said. “This really is an attack on our system of justice,” Luger said. Abdiaziz Shafii Farah and Abdimajid Mohamed Nur were among the five of seven defendants found guilty this month of most of the crimes they faced related to a scheme in which they misused millions of dollars meant to feed children during the pandemic. Defendant Said Shafii Farah walks into the U.S. District Court with his attorneys during the first day of jury selection in the first Feeding Our Future case to go to trial in Minneapolis. Leila Navidi / Minneapolis Star Tribune via Reuters file Said Shafii Farah was one of two defendants acquitted of all the crimes they faced, including conspiracy to commit wire fraud and money laundering. Prosecutors said he provided the bribe funds to the juror and deleted from his phone a since-recovered video of the person delivering the bribe to that juror’s home. Abdiaziz Shafii Farah organized the alleged conspiracy and had deleted all of his phone contents in court after being instructed to turn it over in its current state, Luger said. The five people were charged Wednesday with multiple crimes related to bribing a juror. Abdiaziz Shafii Farah faces an additional charge of obstruction of justice for deleting his phone, Luger said. The juror said a woman delivered a gift bag full of cash and left it with a relative, according to an FBI search warrant affidavit. She said she was not home when the cash was delivered. The woman who delivered the cash was identified Wednesday as Ladan Ali. Luger said Abdimajid Mohamed Nur recruited her. She followed the juror from the courthouse to the juror's home and tracked the juror's movements "day and night," Luger said. Abdulkarim Shafii Farah, the brother to both Farah defendants, is accused of surveilling the juror "to learn more about her" and helping Ladan Ali the night she allegedly delivered the bribe. After the attempted bribe, the juror reported the incident to the court and police and was dismissed from deliberations. Luger praised her for those actions Wednesday. "She made a difference," he said. The federal fraud trial, which began April 22, was the first in an alleged $250 million scheme that prosecutors said was the largest of its kind. The defendants were among 70 people charged by the U.S. Attorney’s Office for the District of Minnesota in a massive fraud scheme involving the nonprofit Feeding Our Future. While the defendants had claimed to have fed millions of children with federal funds, prosecutors had said they used most of the money to buy multiple homes and properties and luxury vehicles.
Stock Impact: McDonald's Price War with Starbucks, Wendy's 2024-06-26 16:50:00+00:00 - The U.S. consumer is going through one of the most significant constraints in the economy of all its fast food with the growing burning hole at the bottom of their pockets. With fast food being higher than the Federal Reserve’s (the Fed) goal of 2%, employees at work won’t do it anymore to keep the same standard of living most people had just a year ago. That is why companies like Target Co. NYSE: TGT and even Walmart Inc. NYSE: WMT agreed – for the nation's sake – to lower prices on over 1,500 items recently. While this act could have been taken as a negative from the stock market since it will inevitably affect profits, Walmart has had a 30.4% run in the past six months. Target has finally recovered from its recent dip, pushing 2% in the past week. After a period that was arguably driven by corporate greed, fast food restaurants like McDonald’s Co. NYSE: MCD saw their net margins rise to all-time highs, outpacing the supposed rising labor and commodity inputs costs. Realizing that taking advantage of these trends wasn’t the best move, the brand has announced a $5 meal to start cleaning the mess it made. Get Coca-Cola alerts: Sign Up This move has started a price war for other fast food brands, as Wendy’s Co. NASDAQ: WEN and even Starbucks Co. NASDAQ: SBUX have joined in their own version of a price-driven combo. The question is, which brand stands the better chance to survive these cuts? McDonald's Leverages Its Market Size to Outlast Competitors in Price War Whether it was the right move or not, McDonald’s has pushed out the most inflation of all its fast-food peers in the consumer discretionary sector. Measures of inflation show that fast-food inflation rose faster than restaurant inflation, and McDonald’s led the way in that race. McDonald's Today MCD McDonald's $257.83 +0.45 (+0.17%) 52-Week Range $245.73 ▼ $302.39 Dividend Yield 2.59% P/E Ratio 21.89 Price Target $315.14 Add to Watchlist Investors can notice, looking at the company's financials, that the brand's pre-COVID net margin hovered between 24% and 27%. The post-COVID picture looks very different, as McDonald's net margins rose to over 32% to outpace inflation. Margins were driven by higher menu prices, justified by rising labor and food costs. However, if this were entirely true, then the net income margins would have remained close to their historical ranges or at least risen at a pace similar to inflation, and that wasn’t the case. However, McDonald's decided to be more flexible because the brand's frugal audience finally tapped out; choosing their budgets was more important than a trip to the Golden Arches. The problem with this $5 meal is that franchisees will now see their profits falter, which is where McDonald's size comes into play. Coca-Cola Co. NYSE: KO is subsidizing these franchisee losses since the brand knows that McDonald’s volumes also mean volumes for Coca-Cola products. Coca-Cola set aside $4.6 million to help cover the gap, and that’s why analysts still forecast 8.2% earnings per share (EPS) growth for McDonald’s. McDonald's Co. (MCD) Price Chart for Wednesday, June, 26, 2024 Consumer Focus Drives Wendy's Stock to Better Odds Wendy’s backlashed by launching its own – lower - $3 meal to its customers. These brands can go all day lowering prices until one of them breaks. The result that management wants, however, is not only to beat the competitor with a lower price point but to retain – and even expand – its market share. Wendy's Today WEN Wendy's $16.80 -0.06 (-0.36%) 52-Week Range $16.22 ▼ $22.42 Dividend Yield 5.95% P/E Ratio 16.97 Price Target $21.79 Add to Watchlist Looking into Wendy’s financials, investors can see that the pre and post-COVID net margin range remained the same; it even lowered in the post-COVID scene, opposite McDonald’s. This means that the company passed on short-term profit opportunities to keep its loyal customer base instead. Unexpectedly, analysts at Piper Sandler boosted their valuations for Wendy’s stock to $23 a share, calling for a 37% upside from where the stock trades today. This is an unlikely move considering the stock’s inferior net margins, which are set to keep falling on this $3 meal. Has Wall Street grown a conscience? It seems like the Vanguard Group boosted its stake in Wendy’s stock by 6.4% over the past quarter, while Price T Rowe Associates actually dumped 20.3% of their position in McDonald’s stock. The Wendy's Company (WEN) Price Chart for Wednesday, June, 26, 2024 Wall Street's Favorite Child: The Marketing Prowess of Starbucks Stock There’s a reason why analysts at Bank of America boosted their valuations for Starbucks stock up to $112 a share, daring it to rally by 42.6% from where it trades today. Starbucks Today SBUX Starbucks $79.15 -0.13 (-0.16%) 52-Week Range $71.80 ▼ $107.66 Dividend Yield 2.88% P/E Ratio 21.80 Price Target $95.00 Add to Watchlist Starbucks is offering a $5 coffee and pastry combo, which isn’t far from the typical coffee price the company already sells. In any case, hidden by brilliant marketing, this deal’s value is found in a free pastry, which costs the company virtually nothing after the massive margins they generate on a $5 coffee. Knowing this fundamental fact, institutions gave up $22.2 billion in capital to Starbucks stock over the past 12 months. More than that, now that the stock trades at only 74% of its 52-week high, its dividend payout of $2.3 a share translates into an annual dividend yield of nearly 3.0%. This dividend would have the highest yield since 2018, excluding COVID-19 sell-offs. There’s a reason why Starbucks stock has outperformed McDonald’s and Wendy’s by over 6% in the past month. (From Behind the Markets) (Ad) This one stock is redefining retirement
Ex-Fujitsu engineer knew in 2000 Horizon could be accessed remotely 2024-06-26 16:44:00+00:00 - A former engineer for the company responsible for developing the Post Office’s faulty Horizon IT system has said he knew the computer system could in theory be accessed remotely by its staff for nearly two decades before realising it was happening in practice. The former Fujitsu engineer Gareth Jenkins was giving his second day of evidence to the Post Office inquiry which is looking at why the state-owned institution prosecuted 900 operatives on the basis of alleged financial shortfalls in their branches when many of the discrepancies were caused by bugs, errors and defects in the Horizon IT system. Jenkins told the inquiry he knew that remote access to the Horizon IT system by Fujitsu staff was technically possible from about 2000, shortly after its introduction across branches, but said he believed at the time it was “controlled, recorded and visible” to post office operators. He did not realise it was being used in practice until 2018. Jason Beer KC, counsel to the inquiry, asked Jenkins when he first became aware that staff at the support service centre in Fujitsu’s offices in Bracknell, Berkshire, were able to remotely access branch accounts and insert transactions. “I always knew it was theoretically possible … until 2018 I did not realise [they] were actually doing it,” Jenkins replied, adding that he understood any interventions were not done “very frequently”. Beer proposed: “If they were doing it in the hours of business when a sub-postmaster was logged on, their work might be attributed to him or her?” “I accept that, yes,” Jenkins replied. Jenkins joined International Computers, which later became Fujitsu, in 1973 and retired in 2015 but was kept on as a consultant until 2022. He helped the Post Office in its defence in a high court case brought by Sir Alan Bates and 554 others that ultimately paved the way for the criminal convictions to be overturned. Jenkins said in his witness statement: “As a result of the civil proceedings in 2018-2019, and now this inquiry, I have also learned that there were rare occasions when Post Office were not told, and did not approve, Fujitsu’s use of substantive remote access, and that this was contrary to Fujitsu’s procedures. “This was inconsistent with my previous understanding that Post Office always approved each incidence of substantive remote access.” Jenkins, who gave evidence in the criminal prosecutions of more than a dozen Post Office operatives, was also questioned about whether he had understood his duties as an expert witness. skip past newsletter promotion Sign up to Business Today Free daily newsletter Get set for the working day – we'll point you to all the business news and analysis you need every morning Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion On his second day of evidence, Jenkins was shown a letter sent by the law firm Bond Pearce, acting for the Post Office, in November 2005 which he had received and which set out in clear language the main duties of an expert witness. However, he said: “I have no recollection of being briefed in this way. I had forgotten all about seeing this letter. I know I acted honestly at all times and therefore the only way I can explain that is that I had no recollection of this letter.” On Tuesday, his first day of giving evidence, Jenkins admitted he changed crucial expert court testimony at the request of the Post Office during wrongful prosecutions of branch operators. Jenkins was questioned about changes made to his draft witness statement in the criminal prosecution of the post office operator Noel Thomas when a Post Office investigator had struck out words which Jenkins had written about the system failures being “normal occurrences”. Jenkins accepted that the Post Office had “applied pressure” on him and was asked whether he thought it appropriate his language was “haggled over” and replied he was “happy with the wording we ended up with”. Jenkins, who is testifying all week, is part of a Metropolitan police investigation into possible perjury and perverting the course of justice. Before his testimony started this week, he was reminded of his privilege against self-incrimination by the judge leading the inquiry, Sir Wyn Williams.
Volkswagen recalls more than 271,000 SUVs because of faulty airbag 2024-06-26 16:39:00+00:00 - Volkswagen workers in Tennessee vote to join UAW Volkswagen workers in Tennessee vote to join UAW 06:31 Volkswagen is recalling more than 271,000 SUVs in the U.S. because the front passenger airbag may not inflate in a crash. The recall covers certain Atlas SUVs from the 2021 through 2024 model years, and some 2020 through 2024 Atlas Cross Sport SUVs. VW says in documents posted Wednesday by U.S. safety regulators that wiring under the front passenger seat can develop a fault. If that happens, it could deactivate the sensor that determines if a passenger is on board, disabling the airbag and increasing the risk of injury in a crash. If a fault happens, drivers would get a warning sound and an error message on the instrument panel. VW says in documents that owners should avoid use of the front passenger seat if possible until the recall repairs have been made. Dealers will replace the sensor mat and wiring harness at no cost to owners, who are expected to get letters starting August 16. VW said it has 1,730 warranty claims that could be related to the problem. Owners can direct any questions to Volkswagen's customer service at (866) 893-5298. Volkswagen's number for the recall is "69PZ." Owners may also contact NHTSA's safety hotline at (888) 327-4236 (toll-free at 1-800-424-9153) or go to www.nhtsa.gov for further information.
22 million Make It Mini toys recalled after dozens report skin burns, irritation 2024-06-26 15:54:00+00:00 - How the NYPD polices illegal fireworks in New York City How the NYPD polices illegal fireworks in New York City 03:58 About 22 million Make It Mini toy sets sold across the United States and Canada are being recalled because they contain resins that in liquid form can cause skin, eye and respiratory irritation, MGM Entertainment said Tuesday in notice posted by the Consumer Product Safety Commission. The recall involves 38 Miniverse Make It Mini Sets with unused liquid resins, including "Make It Mini Appliances," all models and series of "Make It Mini Food" and "Make It Mini Lifestyle." MGA has received 26 reports of incidents involving children and adults, including skin burns and irritation, respiratory irritation, and one instance in which a person's asthma was triggered, the Chatsworth, California-based company said. Image of recalled Miniverse Make It Mini Food set. U.S. Consumer Product Safety Commission The resins contain chemical agents in amounts prohibited in children's products by the Federal Hazardous Substances Act, according to the notice. Manufactured in China, the sphere sets were sold at Aldi, Dollar General, Family Dollar, Hobby Lobby, Target, Walmart and online from October 2022 through June 2024 for between $7 and $13 each. Sets were also sold in a box for about $14 to $52, depending on the model, MGA stated. Consumers should stop using any sets with unused resins and contact MGA to get a pre-paid label to return any unopened product or the unused resins and a photograph of units already opened to get a replacement or refund. MGA can be reached at (800) 222-4685 from 9 a.m. to 8 p.m. Eastern, Monday through Friday or 9 a.m. to 2 p.m. Eastern on Saturday, by email at mvcustomer_care@mgae.com or online at https://www.mgae.com/customer-care/recalls or mgae.com.
How much interest would a $5,000 CD earn in 3 years? 2024-06-26 15:42:00+00:00 - We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. Top 3-year CDs are offering impressive returns right now. Getty Images/iStockphoto With inflation cooling, today's high interest rate environment may start to cool, too. And, while that may be good news for borrowers, it could mean that savers earn smaller returns on the money they set aside. But, it doesn't have to, at least not for years to come. If you have $5,000 to save for the future and you don't want the returns on your money to be subject to potential near-term rate cuts then consider investing it into a 3-year certificate of deposit (CD). 3-year CDs make it possible to lock in today's returns for the next three years. Even if rates were to fall in the near term, your CD return rate will stay fixed. Of course, you'll have to agree to keep your money in the account for its entire term to lock today's high rates in, but that may be a good thing too. After all, early withdrawal penalties may be the driver that leads to you meeting your savings goals. Before acting, it helps to know how much money you'd make if you invested $5,000 into a 3-year CD. We did the math below. Compare some of the top-paying CDs on the market now. How much interest would a $5,000 CD earn in 3 years? Some of the best 3-year CDs on the market currently pay APYs ranging from 4.40% to just over 4.60%. Here's what that would add up to after your CD matures: $5,000 at 4.40% : If you open a 3-year CD at 4.40% with a $5,000 deposit, you can expect to earn $689.47 in interest. That would bring your total account balance to $5,689.47 upon maturity. : If you open a 3-year CD at 4.40% with a $5,000 deposit, you can expect to earn $689.47 in interest. That would bring your total account balance to $5,689.47 upon maturity. $5,000 at 4.60%: If you open a 3-year CD at 4.60% with a $5,000 deposit, you can expect to earn $722.23 in interest. That would bring your total account balance to $5,722.23 upon maturity. But, you don't have to deposit $5,000 into a 3-year CD to open one. There are plenty to choose from with low or no minimum deposit requirements. And, the insurance on these accounts typically covers you up to $250,000. So, you could theoretically enjoy all the benefits of CDs with deposits ranging from a few dollars to a quarter million dollars. Don't let these earnings slip by. Open your 3-year CD today. How much would other deposits earn in a 3-year CD right now? Since you can make a wide range of deposit amounts into a 3-year CD, you may be wondering how much you could make with larger and smaller deposits. Here are a few to consider: $1,000 deposit : You would earn $137.89 in interest at 4.40% or $144.45 in interest at 4.60% after three years. : You would earn $137.89 in interest at 4.40% or $144.45 in interest at 4.60% after three years. $2,500 deposit : You would earn $344.73 in interest at 4.40% or $361.11 in interest at 4.60% after three years. : You would earn $344.73 in interest at 4.40% or $361.11 in interest at 4.60% after three years. $10,000 deposit : You would earn $1,378.93 in interest at 4.40% or $1,444.45 in interest at 4.60% after three years. : You would earn $1,378.93 in interest at 4.40% or $1,444.45 in interest at 4.60% after three years. $15,000 deposit : You would earn $2,068.40 in interest at 4.40% or $2,166.68 in interest at 4.60% after three years. : You would earn $2,068.40 in interest at 4.40% or $2,166.68 in interest at 4.60% after three years. $20,000 deposit : You would earn $2,757.86 in interest at 4.40% or $2,888.91 in interest at 4.60% after three years. : You would earn $2,757.86 in interest at 4.40% or $2,888.91 in interest at 4.60% after three years. $50,000 deposit : You would earn $6,894.66 in interest at 4.40% or $7,222.27 in interest at 4.60% after three years. : You would earn $6,894.66 in interest at 4.40% or $7,222.27 in interest at 4.60% after three years. $100,000 deposit: You would earn $13,789.32 in interest at 4.40% or $14,444.53 in interest at 4.60% after three years. Get more out of your money with a 3-year CD now. The bottom line You could earn between $689.47 and $722.23 by depositing $5,000 into a 3-year CD. But, depositing $5,000 isn't the only way to earn a reasonable return with a 3-year CD. Whether you have less or more to deposit, you can lock in today's strong APYs for years to come. Compare leading 3-year CDs now.
Alex Morgan not going to Paris Olympics, left off roster of U.S. women's soccer team 2024-06-26 15:28:00+00:00 - Alex Morgan, one of the most decorated players in U.S. women's soccer history, was left off the American roster headed to the Olympics in France, the team announced Wednesday. Morgan was the most notable absence of the 18 players named to the squad of first-year coach Emma Hayes, who is seeking to return the Americans to their long-accustomed elite levels. The USWNT crashed out of last year's World Cup in the round of 16 and managed only a bronze at the Tokyo Olympics. Morgan started in all four of America's matches of the 2023 World Cup but did not score and recorded one assist. If this is the end of Morgan's international career, she'd leave with two World Cup titles on her resume and Olympic gold and bronze medals on her mantle. "Today, I’m disappointed about not having the opportunity to represent our country on the Olympic stage," Morgan said in statement posted on X. "This will always be a tournament that is close to my heart and I take immense pride any time I put on the crest. " “Making an Olympic roster is a huge privilege and an honor and there is no denying that it was an extremely competitive process among the players and that there were difficult choices, especially considering how hard everyone has worked over the past 10 months,” Hayes said in a statement. “Choosing an 18-player roster plus alternates involved many considerations, but I am excited for the group we have selected." Morgan scored one of the most famous goals in American soccer history, a 123rd-minute header in the semifinals of the 2012 Olympics at Old Trafford, giving the United States a 4-3 victory over Canada. That goal pushed America into the gold medal match days later, which the United States won, 2-1, over Japan. Morgan on Wednesday promised to root hard for her now-former teammates from back home. “In less than a month, I look forward to supporting this team and cheering them on alongside the rest of our country,” she said. The rest of the roster included: Goalkeepers Alyssa Naeher and Casey Murphy. Defenders Tierna Davidson, Emily Fox, Naomi Girma, Casey Krueger, Jenna Nighswonger and Emily Sonnett. Midfielders Korbin Albert, Sam Coffey, Lindsey Horan, Rose Lavelle and Catarina Macario. Forwards Crystal Dunn, Trinity Rodman, Jaedyn Shaw, Sophia Smith and Mallory Swanson. Goalkeeper Jane Campbell, midfielders Hal Hershfelt and Croix Bethune and forward Lynn Williams were all named as alternates. The team has two more exhibition games to prepare for the Olympics, against Mexico on July 13 in Harrison, New Jersey, and Costa Rica on July 16 in Washington, D.C. The Americans' Olympic opener is set for July 25 against Zambia in Nice, France. Hayes' squad is trying to avoid being the first U.S. women's soccer team to go three consecutive Olympics or World Cups without bringing home the top prize.
From psychological torture to pooing in a suitcase: why are the workplaces on TV so toxic? 2024-06-26 15:24:00+00:00 - In the first series of Slow Horses, MI5’s Jackson Lamb gives a motivational speech: “You’re fucking useless. The lot of you. Working with you has been the lowest point in a disappointing career.” This is actually fairly uplifting from a man who is as likely a contender for a “World’s Best Boss” mug as The Thick of It’s Malcolm Tucker. On TV, staff morale is at an all time low. From hellish hospitality to callous corporate overlords, going to work has never looked less appealing. Instead of bumbling idiots for bosses, we have tortured geniuses and masochistic maniacs. The daily grind is one of high stakes, long hours and limited rewards – with not an HR department in sight. View image in fullscreen Nightmare boss … Diana Taverner (Kristin Scott Thomas) and Jackson Lamb (Gary Oldman) in Slow Horses Photograph: Apple TV In Blue Lights and The Responder, police officers put in thankless shift after thankless shift, while ITV’s Breathtaking offers up more punishing public service, depicting the agonising pandemic experiences of NHS staff. WeCrashed, Super Pumped and The Dropout exposed the insidious insides of tech startups, while Succession dashed the hopes of media moguls everywhere. In Hacks, comedian Deborah Vance abandoned her writer, Ava, in the middle of the desert. In The White Lotus, a hotel manager was driven to defecate in a guest’s suitcase. It makes the offices of Mad Men and Veep look positively professional. This year, it’s probably going to get worse, with the return of three of TV’s most toxic employers: Industry’s ruthless investment bank Pierpoint, the nerve-shredding restaurant of The Bear and Severance’s brain-splitting Lumon Industries. Based on the real experiences of writers Konrad Kay and Mickey Down, Industry launched a fresh intake of banking wannabes into a lion’s den of public humiliation, power plays and sharp-suited sociopaths. Beyond the enormous pressure of holding your nerve while moving millions, Pierpoint is a place where inner demons thrive as outer ones descend. There’s substance abuse, psychosexual role play, insider trading and a Christmas party at which one pilled-up finance bro runs repeatedly and bloodily into a window. At the heart of it all is the most twisted mentor/mentee relationship since the Disgusting Brothers duo of Succession’s Tom and Greg. Baseball-bat-wielding MD Eric and tenacious newbie Harper might not be pelting each other with water bottles (yet), but they’ve stabbed each other in the back so many times that their Savile Row suits are in tatters. View image in fullscreen Harper (Myha’la Herrold) and Sally (Sarah Goldberg) in season 3 of Industry. Photograph: BBC/Bad Wolf Productions But while the line managers of Industry and Slow Horses might be horrible – Eric, impeccably; and Jackson, grotesquely – it’s the executives who are the real baddies. As Eric discovers, Pierpoint doesn’t give two hoots about years of sacrifice. He should count himself lucky: at MI5, top brass will actively try to kill you to save their own skin. Over at Chicago’s finest, the stakes are lower but no less vein-popping. Ostensibly, Carmy’s restaurant operation in The Bear is an antidote to the ritual abuse of Michelin-starred kitchens, but the pursuit of perfection is fraught with opportunities to belittle and berate – and it proves hard to shake off his programming. There is no time for niceties amid a proliferation of sharp blades, hot pans and boiling sauces. When sous-chef Sydney accidentally stabs her colleague Richie, the response from Carmy is not to launch an inquiry but instead to shout “probably fuckin’ deserved it”. By season two, they at least know how to say sorry in sign language, but Syd isn’t even being paid, her salary on “pause” while the business gets back on its feet. While the work is repetitive, the hours all-consuming and boundaries disintegrate before they have ever been established, perhaps the biggest red flag of all is when a business is run as one big family rather than … well, a workplace. In Severance, it’s not their time that employees surrender but their minds. Having undergone a procedure separating their work and home memories, they now operate with a dual consciousness: as “Innies”, who are only aware of the 9-5, and “Outies”, who have no recollection of the office. The concept of work-life balance has curdled and employment is considered so dreadful that literal brain surgery is the only way to cope, the severed staff whirring away in the cryptic Macrodata Refinement department with no idea what they are doing or why they are doing it. While Severance’s employees may not be taking their office horror stories home with them, things are no less horrific for it. With the Innies unable to escape the patronising perks (waffle parties or a “music dance experience”) nor the “Break Room” of psychological torture, the potential for abuse is terrifying. Who needs a legal team wielding NDAs when your employees can’t raise any alarm beyond the flimsy walls of their cubicles? skip past newsletter promotion Sign up to What's On Free weekly newsletter Get the best TV reviews, news and exclusive features in your inbox every Monday Enter your email address Sign up Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our Privacy Policy . We use Google reCaptcha to protect our website and the Google Privacy Policy and Terms of Service apply. after newsletter promotion There may still be hope. We await season two of Severance to discover whether the Innies’ attempted mutiny might succeed, and season three of The Bear to find out if Carmy and the gang are finally going to respect each other as much as they do a perfect spaghetti sauce. Don’t hold out for the Industry lot, though: their souls were vaporised the moment they walked through Pierpoint’s revolving doors.
What Happens to Biden’s Student Loan Repayment Plan Now? 2024-06-26 15:11:19+00:00 - President Biden’s new student loan repayment plan was hobbled on Monday after two federal judges in Kansas and Missouri issued separate rulings that temporarily blocked some of the plan’s benefits, leaving questions about its fate. The preliminary injunctions, which suspend parts of the program known as SAVE, leave millions of borrowers in limbo until lawsuits filed by two groups of Republican-led states challenging the legality of the plan are decided. That means the Biden administration cannot reduce borrowers’ monthly bills by as much as half starting July 1, as had been scheduled, and it must pause debt forgiveness to SAVE enrollees. The administration has canceled $5.5 billion in debt for more than 414,000 borrowers through the plan, which opened in August. If you’re among the eight million borrowers making payments through SAVE — the Saving on a Valuable Education plan — you probably have many questions. Here’s what we know so far, though the Education Department has yet to release its official guidance.
The 'funflation' effect: Why Americans are spending on travel and entertainment 2024-06-26 14:56:00+00:00 - Even while carrying $1.13 trillion in credit card debt, many Americans are still willing to splurge on travel and entertainment. But this summer it will cost even more thanks to “funflation,” a term economists use to explain the increasing price tags of live events as consumers hanker for the experiences they lost during the Covid years. “It’s hard to overstate the impact of the pandemic. It changed the way so many people view their spending, and the result is that people are more focused on the ‘right now’ than thinking about 40 years from now,″ said Matt Schulz, chief credit analyst at LendingTree and author of “Ask Questions, Save Money, Make More.” The price of ‘funflation’ Some ticket prices have surged in recent months, according to federal data. Admission prices for sporting events jumped 21.7% in May 2024 from a year earlier, according to the Bureau of Labor Statistics’ consumer price index data. The category saw the highest annualized inflation rate out of the few hundred that make up the inflation gauge. Admission to movies, theaters, and concerts rose a relatively modest 3% on an annualized basis. The CPI as a whole was up 3.3% in May from a year ago. The index gauges how fast prices are changing across the U.S. economy. It measures everything from haircuts to household appliances. Why Americans go all out on entertainment Despite rising costs, 38% of adults said they plan to take on more debt to travel, dine out and see live entertainment in the months ahead, according to a report by Bankrate. Meanwhile, 27% of those surveyed said they would go into debt to travel this year, while 14% would dip into the red to dine out and another 13% would lean on credit to go to the theater, see a live sporting event or attend a concert — including the European leg of Taylor Swift’s Eras Tour, Bankrate found. “There’s still a lot of demand for out-of-home entertainment,” Ted Rossman, senior industry analyst at Bankrate, recently told CNBC. “Some of that reflects a ‘you only live once’ mentality that intensified during the pandemic, and some of that is because many economic indicators — including GDP growth and the unemployment rate — are in favorable shape,” Rossman said. Younger adults, particularly Generation Z and millennials, were more likely to splurge on those discretionary purchases, Bankrate found. Although an increased cost of living has made it particularly hard for those just starting out, young adults are taking a more relaxed approach to their long-term financial security, other research shows. Nearly two out of five Gen Z and millennial travelers have spent up to $5,000 on tickets alone for destination live events, a recent study from Bread Financial found. And many say it’s well worth it. Rather than cut expenses to boost savings, 73% of Gen Zers between the ages of 18 and 25 said they would ultimately rather have a better quality of life than extra money in the bank, according to another Prosperity Index report by Intuit.
FedEx Stock Can Deliver a Fresh All-Time High This Year 2024-06-26 14:36:00+00:00 - FedEx Today FDX FedEx $296.19 +39.81 (+15.53%) 52-Week Range $224.69 ▼ $296.86 Dividend Yield 1.86% P/E Ratio 17.19 Price Target $310.74 Add to Watchlist FedEx’s NYSE: FDX focus on efficiency in the face of troubled operating conditions is why this stock can set a fresh high this year. The fiscal Q4 results delivered exactly what the market wanted and more, suggesting momentum is building and guidance is cautious. Takeaways from the report include a pivot back to growth, wider margins, and an expectation for continued improvement this year. Ultimately, the story driving this stock is rapidly improving leverage, setting it up for a leveraged earnings recovery as the year progresses. The company’s DRIVE program delivers results sooner than expected and promises to keep the cash flowing and capital return growing. Get FedEx alerts: Sign Up FedEx Rockets Higher on Tepid Results FedEx’s revenue result is not robust, barely outpacing the analyst's consensus, but it is growing, outpacing the consensus, and the guidance is favorable. The company reported $22.1 billion in net revenue for a gain of 0.9% over last year, beating consensus by 20 basis points. The critical detail is that revenue growth is due to volume growth in the core segment, reversing trends seen in F2024. Segmentally, volume growth in the Ground segment was offset by weaknesses in Freight and Express; all three segments contributed to margin improvement. FedEx MarketRank™ Stock Analysis Overall MarketRank™ 4.59 out of 5 Analyst Rating Moderate Buy Upside/Downside 5.7% Upside Short Interest Healthy Dividend Strength Moderate Sustainability -5.80 News Sentiment 0.65 Insider Trading Selling Shares Projected Earnings Growth 6.47% See Full Details The margin news is what has the analysts gushing. The company’s DRIVE program resulted in lower operating costs across segments and accelerated bottom-line growth. The GAAP earnings are down YoY due to one-offs and non-cash impairments; the adjusted earnings of $5.41 are up 9.5% compared to the 0.9% top-line advance and beat the MarketBeat.com consensus estimate by a nickel. Guidance is good and cautious. The company is guiding for low- to mid-single-digit revenue growth and for continued margin expansion. Revenue guidance may be on the mark, but earnings are where guidance may be cautious. Earnings may be cautious because of plans to continue maximizing profitability, including closing seven freight centers and optimizing the air fleet. Freight center closures are intended to realign capacity with freight demand and significantly improve the segment margin. Capex is another reason why the guidance may be cautious because of planned investments in modernization, technology, and efficiency. Analysts Lead FedEx Stock to a Fresh High The analysts' response to FedEx’s news is among the catalysts for higher share prices. The handful of analysts who issued revisions and updates the day after the release includes several upgrades and numerous price target increases. The single naysayer is Morgan Stanley, who cautioned that the surge in price action was due to short covering. However, Morgan Stanley also raised its price target, and short interest is low, so any lift associated with that is minimal. The highlights from the analysts’ chatter are that the DRIVE program delivers results faster than expected, and momentum is building. The company’s new CEO, Raj Subramaniam, is credited for the improvement and is giving FedEx a new identity, focused on profitable growth without relying on macroeconomic conditions to provide leverage. Regarding macroeconomic conditions, the longer-term outlook is for FedEx to sustain mid-single-digit growth in F2026 and margin improvement. The consensus rating for FedEx is a moderate buy with a price target near $308 or about 8% above the post-release price action. A move to the consensus is likely because the latest revisions lead to the range's high end. A move to the range's high end is worth another 10% to investors and would be a new all-time high when reached. A move to the range’s high end may come sooner rather than later because of the capital return guidance. UPS plans to increase its dividend by 10% this year and to repurchase $2.5 billion shares by year’s end, $1 billion in Q1. $2.5 billion is worth about 4% of the pre-release market cap. Before you consider FedEx, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and FedEx wasn't on the list. While FedEx currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Top 3 Stocks Fund Managers Pick: Realty Income, Starbucks, Boeing 2024-06-26 14:20:00+00:00 - Occasionally, Wall Street fund managers come down from their ivory towers and let the rest of Main Street into some of the plays they have been making. These institutions manage the nation’s pensions and other crucial investment vehicles, so when their insights are released, it pays to keep up with them, or at least behind their reasonings. Today, Morningstar released a list of ten stocks fund managers have been buying lately. However, some of them are just out of momentum and exposure to the technology sector, which has been getting all the attention thanks to NVIDIA Co. NASDAQ: NVDA and its splash in artificial intelligence. Sticking with fundamental analysis, the only discipline that never seems to go away, this is a better--potentially less volatile--curated list. Starting it all off comes Realty Income Co. NYSE: O, representing the real estate investment trust (REIT) space, a not-so-popular branch of the real estate sector as of late. Second on this list is consumer favorite Starbucks Co. NASDAQ: SBUX, being the beacon of value for the consumer discretionary sector. Last but not least, there is the controversial Boeing Co. NYSE: BA, which may be looking to close the gap left behind by its closest competitor. Get Airbus alerts: Sign Up Stagflation Defense: Lock in Realty Income's Reliable Dividends That’s right. The U.S. economy is now in one of the conditions economists dread the most: stagflation. Defined as low economic growth with high inflation, the U.S. GDP growth rate (revised down to 1.3%) remained below 3% inflation to fit this description. Realty Income Today O Realty Income $52.68 -0.24 (-0.45%) 52-Week Range $45.03 ▼ $64.18 Dividend Yield 5.98% P/E Ratio 48.78 Price Target $61.35 Add to Watchlist The best recipe for investors to beat stagflation is to pick stocks that are set to grow much faster than the economy or at least lock in a dividend payout that acts in the same way. Lucky for those looking to fill this list, shares of Realty Income fit the description. As the stock has sold off to 83% of its 52-week highs, its dividend payout of $3.15 a share would translate into an annual yield of nearly 6%, close to twice today’s inflation rate and above any GDP growth expected in the next decade. These fundamentals may cause analysts at KeyCorp to push their price targets on Realty Income stock up to $61 a share, daring it to rally by as much as 15.3% from its current level. More than that, the Vanguard Group (Realty Income’s largest shareholder) boosted its stake in the stock by 18.3% in the past quarter, bringing its already sizeable stake up to $7.3 billion today. Realty Income Co. (O) Price Chart for Wednesday, June, 26, 2024 Starbucks Stock Downturn Presents Double-Digit Upside Opportunity After Starbucks shares traded down to only 74% of their 52-week highs, analysts on Wall Street did the opposite of condemning the stock for its bearish performance. Instead, they reiterated that the stock could see a double-digit upside ahead. Starbucks Today SBUX Starbucks $79.15 -0.13 (-0.16%) 52-Week Range $71.80 ▼ $107.66 Dividend Yield 2.88% P/E Ratio 21.80 Price Target $95.00 Add to Watchlist Those at Goldman Sachs saw fit to slap a $100 price target on Starbucks stock, daring it to rally by 26.1% from its current level. Bank of America analysts took it a step further, bringing their valuations for Starbucks stock up to $112 a share, implying even more upside at 41.2%. As U.S. consumer sentiment readings fall again, some investors may be wary of investing in a consumer discretionary stock like Starbucks. However, most don’t realize that Starbucks has become more of a staple today. Regardless of the economy, consumers will likely be willing to make room in their budgets for a green Medusa cup. Speaking of which, there’s a reason nobody walks into a business meeting with a Dunkin’ branded cup or a Dutch Bros Inc. NYSE: BROS. This type of ‘social currency’ status keeps margins high at Starbucks, roughly 27.7% for gross margins. Starbucks Co. (SBUX) Price Chart for Wednesday, June, 26, 2024 Boeing's Rally Hinges on Rate Cuts: Timing is Everything As the Transportation Security Administration (TSA) reported a record number of daily passengers in May 2024, some analysts wondered what Boeing’s upside could look like once the consumer sentiment readings recover. Boeing Today BA Boeing $178.50 +3.40 (+1.94%) 52-Week Range $159.70 ▼ $267.54 Price Target $220.89 Add to Watchlist In addition, Federal Reserve interest rate cuts, which may come as soon as September 2024, according to the CME’s FedWatch tool, could significantly boost consumer activity and travel demand. Because Boeing has only one competitor, Airbus OTCMKTS: EADSY, investors can take advantage of Airbus’ lower management guidance, which is announced in the company’s latest quarterly earnings results. Instead, analysts at the UBS Group value Boeing stock at $240, daring it to rally by 37% from where it sits today. In the company’s latest quarterly earnings report, management states that Boeing’s total backlog value grew to over $529 billion, driven by 5,600 commercial airplanes. Now, why would backlogs and orders rise to these levels if customers in the airline industry didn’t expect to see busier times ahead? The Boeing Company (BA) Price Chart for Wednesday, June, 26, 2024 Before you consider Airbus, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Airbus wasn't on the list. While Airbus currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Supreme Court Rejects Challenge to Biden Administration’s Contacts With Social Media Companies 2024-06-26 14:19:25+00:00 - The Supreme Court handed the Biden administration a major practical victory on Wednesday, rejecting a Republican challenge that sought to prevent the government from contacting social media platforms to combat what it said was misinformation. The court ruled that the states and users who had challenged those interactions had not suffered the sort of direct injury that gave them standing to sue. The decision, by a 6-to-3 vote, left for another day fundamental questions about what limits the First Amendment imposes on the government’s power to influence the technology companies that are the main gatekeepers of information in the internet era. The case arose from a barrage of communications from administration officials urging platforms to take down posts on topics like the coronavirus vaccine and claims of election fraud. The attorneys general of Missouri and Louisiana, both Republicans, sued, along with three doctors, the owner of a right-wing website that frequently traffics in conspiracy theories and an activist concerned that Facebook had suppressed her posts on the supposed side effects of the coronavirus vaccine.
Contraception Is Free by Law. So Why Are a Quarter of Women Still Paying for It? 2024-06-26 14:06:10+00:00 - Last week, Senator Bernie Sanders of Vermont, chair of the Senate health committee, called on a government watchdog to investigate why insurance companies are still charging women for birth control — a move that thrust access to contraceptives back into the spotlight. In a letter to the Government Accountability Office, the senator noted that insurance companies were charging Americans for contraceptives that, under federal law, should be free — and that they were also denying appeals from consumers who were seeking to have their contraceptives covered. Some experts estimate that those practices could affect access to birth control for millions of women. Since 2012, the Affordable Care Act has mandated that private insurance plans cover the “full range” of contraceptives for women approved by the Food and Drug Administration, including female sterilizations, emergency contraceptives and any new products cleared by the F.D.A. The mandate also covers services associated with contraceptives, like counseling, insertions or removals and follow-up care. That means that consumers shouldn’t have any associated co-payments with in-network providers, even if they haven’t met their deductibles. Some plans might cover only generic versions of certain contraceptives, but patients are still entitled to coverage of a specific product that their providers deem medically necessary. Medicaid plans have a similar provision; the only exception to the mandate are plans sponsored by employers or colleges that have religious or moral objections.
Silvaco Stock: Consider Early Investment in New Semiconductor 2024-06-26 14:01:00+00:00 - Silvaco Group NASDAQ: SVCO is a small fish in the technology sector and semiconductor industry, with a market capitalization of less than $500 million. The firm could either see explosive growth or be destroyed by its larger competitors. The company provides software essential to designing and manufacturing semiconductors. The firm went public in early May and reported its first earnings last week. Get Silvaco Group alerts: Sign Up Exploring Silvaco Group's Lines of Business and Expertise Silvaco Group Today SVCO Silvaco Group $17.77 -0.08 (-0.45%) 52-Week Range $15.81 ▼ $21.59 Price Target $25.83 Add to Watchlist Silvaco Group has three main products: TCAD software, EDA software, and SIP solutions. TCAD and EDA software contribute most to the firm's revenue. TCAD (Technology Computer-Aided Design) software optimizes the semiconductor fabrication process to help reduce costs and increase chip performance. Designing chips requires EDA (Electronic Design Automation) software; cutting-edge chip design is nearly impossible without it. The United States government knows this. It's banned the export of EDA software to Chinese firms to help maintain the country's stranglehold on high-end chip design. SIP (Silicon Intellectual Property) solutions are standard chip designs that provide basic chip functions and allow for the creation of more complex designs. Silvaco competes against big players like ARM NASDAQ: ARM, Cadence NASDAQ: CDNS, and Synopsys NASDAQ: SNPS, which have market capitalizations of $80 billion or more. Analyzing Silvaco Group's Impressive Earnings Report The company went public at $19 per share. The shares dropped to a low of $16.34 but have increased to around $18 since reporting earnings on Jun. 20, 2024. Silvaco reported earnings per share (EPS) of 12 cents versus analyst estimates of 6 cents. The firm was in line with revenue expectations, coming in at $15.9 million. Let's dive deeper into these results to see where growth is coming from. Total revenue increased 11% from the prior year. TCAD and EDA software drove revenue growth, rising by $2.4 million. SIP sales declined by $0.7 million. TCAD revenue was up 21% from the previous year, EDA revenue was up 13%, and SIP was down 57%. This is a positive sign, as the avenues for innovation and growth lie in TCAD and EDA software, while SIP is a more commoditized space. It's good to see Silvaco continuing to make headway in these products. Silvaco Group, Inc. (SVCO) Price Chart for Wednesday, June, 26, 2024 The firm expects its SIP business to recover. The lapse of a critical licensing agreement in the fourth quarter of 2023 contributed to the decline in SIP revenue. Silvaco renewed the deal in 2024 and has since seen SIP bookings (contract signings) pick up. The firm increased its estimate of yearly bookings growth for the second quarter from 18% to 29%. The firm renewed the agreement for the next five years. This should create stability in the business for the foreseeable future. The firm was also able to increase its already impressive margins. Gross profit margin grew from 86% to 88% over the year, and non-GAAP operating margin increased from 21% to 15%. The firm is maintaining and growing its customer base. It renewed a contract with a key Japanese customer and added nine new customers over the quarter. Silvaco Group's Optimistic Financial Guidance and Strategic Partnership with Micron Silvaco provided encouraging guidance in its financial results. The firm expects revenue to increase by 16% to 22% over the full year compared to 2023. This is encouraging, as consensus estimates put the number at just over 17%, on the low end of the firm's guidance. It also expects non-GAAP operating income to increase between 82% and 150%. All six analysts covering the firm rate it a buy with an average forecasted price target of $25.83. This target implies an upside of 44%. Another encouraging sign is that Silvaco is receiving support from one of the most prominent players in the semiconductor industry, Micron Technology NASDAQ: MU. Silvaco announced a partnership with Micron that will expand the scope of the software it provides Micron and extend the term of the contract. The agreement expands the partnership for Silvaco's new software that helps optimize silicon wafer fabrication. This software allows wafer fabricators to run simulations that mimic the fabrication process. This will enable manufacturers to experiment with new designs without actually having to produce a physical wafer. This technology will reduce the time and the amount of material needed to create better wafers. Micron also made a $5 million investment in the technology through a convertible bond. Seeing big players in the industry partner with and invest in Silvaco's technologies is a good sign. Investors should consider getting in early on Silvaco Group, as the firm aims to make a name for itself in the semiconductor industry. Before you consider Silvaco Group, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Silvaco Group wasn't on the list. While Silvaco Group currently has a "Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Rampant Identity Theft Is Taxing the I.R.S. 2024-06-26 14:00:07+00:00 - Rampant identity theft has overwhelmed the Internal Revenue Service, resulting in a backlog of 500,000 unresolved fraud cases, leaving taxpayers without refunds and credits that they are due, the agency’s watchdog wrote in a report to Congress on Wednesday. The report by the National Taxpayer Advocate described the slow pace of addressing the identity theft cases as a “blemish” on the performance of the I.R.S., which is in the midst of a sweeping modernization campaign that aims to improve taxpayer services. While the I.R.S. was criticized by the watchdog for identify theft delays last year, the backlog has gotten only worse. The I.R.S. is taking nearly two years to resolve identity theft victims’ assistance cases and has an inventory of approximately 500,000 cases, up from 484,000 cases in September. “I.R.S. delays in resolving identity theft victim assistance cases are unconscionable,” Erin Collins, the taxpayer advocate, wrote in the report.
Microsoft Was Just Named a $600 Stock with a 33% Upside 2024-06-26 13:23:00+00:00 - Microsoft Today MSFT Microsoft $452.16 +1.21 (+0.27%) 52-Week Range $309.45 ▼ $453.60 Dividend Yield 0.66% P/E Ratio 39.15 Price Target $467.12 Add to Watchlist With its stock closing at another record high last night, around $450, it’s safe to say that Microsoft Inc NASDAQ: MSFT is having a great year so far. The tech titan is up more than 20% in 2024, with many gains coming in the past two months alone. For context, the benchmark S&P 500 index has only managed to tack on 16% over the same timeframe, while Apple Inc NASDAQ: AAPL has done even less. Indeed, when it comes to finding another $1 trillion-plus market cap tech company that’s outperformed Microsoft, you need to go to the likes of NVIDIA Corporation NASDAQ: NVDA, with its 140% gain this year, or Meta Inc NASDAQ: META with its 40% gain. Get Apple alerts: Sign Up Bullish Market: AI-Driven Gains and Hopes for Rate Cuts Broadly speaking, this year has seen a strong risk-on sentiment sweep across equities, with artificial intelligence (AI)- related stocks doing particularly well. In addition, inflation readings continue to trend down, and the market is licking its licks at the thought of an interest rate cut. That said, some valuation concerns are being raised about how lopsided this rally is, with NVIDIA and Meta alone accounting for much of the entire S&P 500’s gains. However, the good news for Microsoft investors is that the market expects the stock to continue rallying. Microsoft’s Market Position: Analysts Predict Strong Upside This was the sentiment of the team at Citi last week when they reiterated their Buy rating on the stock and upped their price target. Their bullish outlook is based on continuing positive news around the generative AI leader, OpenAI, in which Microsoft owns a significant stake. Recent reports have suggested that OpenAI’s revenue has more than doubled yearly to $3.4 billion. Citi analyst Tyler Tadke was also bullish on Microsoft’s internal revenue engine, with solid strength in its cloud computing platform, Azure, a key factor. Microsoft MarketRank™ Stock Analysis Overall MarketRank™ 4.66 out of 5 Analyst Rating Moderate Buy Upside/Downside 3.5% Upside Short Interest Healthy Dividend Strength Strong Sustainability -0.75 News Sentiment 0.55 Insider Trading Selling Shares Projected Earnings Growth 11.98% See Full Details Having previously had a price target of $495 on Microsoft shares, Tadke has upped this to $520. This points to an additional upside of around 15%, pushing the stock further into blue-sky territory. But that’s not even the most bullish price target that’s recently been printed. Take Tigress Financial, for example, who earlier this month put a price target of $550 on Microsoft shares, or New Street Research, which went straight to $570 when they initiated coverage with a Buy rating. For both of these teams and, indeed, almost all the analysts who’ve rated Microsoft bullishly this year, it’s all about AI. The company seems to have done a great job in positioning itself to capture large pieces of the market, and there’s every reason to think this leadership position will continue. High Expectations: Microsoft’s Stock Poised for Continued Gains This was also the sentiment from Truist Financial, which reiterated its Buy rating on the stock just last week. What was particularly noteworthy here, though, was the $600 price target they gave Microsoft, which immediately became the new street high. This points to a massive 33% upside from where the stock closed on Tuesday. For those of us on the sidelines who’ve missed out on the gains so far this year but who’ve been eager to get involved, this could be the buy signal we’ve been waiting for. It’s never easy buying into a stock that’s already at all-time highs, but with the sheer volume of analysts screaming for more gains, you can’t help but feel that Microsoft shares have a lot more in them. Look for the stock to continue rallying towards the $500 mark, with its next earnings report, due around the end of July, a key event on the calendar. Since this rally kicked off in early 2023, Microsoft has been doing everything right, and all the signs suggest this isn’t going to change anytime soon. Microsoft Co. (MSFT) Price Chart for Wednesday, June, 26, 2024 Before you consider Apple, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Apple wasn't on the list. While Apple currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
3 Options Strategies to Play a Stock’s Uptrend if Bullish 2024-06-26 13:12:00+00:00 - The bull market continues to rise, shrugging off negative news. However, most of those gains can be found in the computer and technology sector powered by the artificial intelligence (AI) revolution. The benchmark indexes are overweighted with the behemoth tech stocks. The top 3 holdings in the Nasdaq 100 index, NVIDIA Co. NASDAQ: NVDA, Microsoft Co. NASDAQ: MSFT and Apple Inc. NASDAQ: AAPL, have nearly a 25% weighting. This isn't to say the breadth can't expand. Often, when the leaders take a breather, the underperformers can play catchup. If you believe stocks will continue to rise but don't want to chase at these elevated levels, you can use stock options to mitigate some of the risks. Get Microsoft alerts: Sign Up Here are 3 options strategies that you can use to play a stock's uptrend in a rising market. We’ll use AI chip leader NVDA stock as an example for each of the strategies. The daily candlestick chart on NVDA surged post-split to a peak at $140.76 before triggering a sharp pullback to $118.04. NVDA staged a rebound as the daily RSI bounced off the 50-band. NVDA is trading around $126.09 on June 25, 2024. The options strategies will use July 12, 2024, expiration, which is 12 days away. Strategy #1: Buy a Long Call Option The simplest strategy is to buy a call option. You have to pick a strike price and an expiration date. If you want to have some intrinsic value, then you could pay more for an in-the-money (ITM) call option. If you are feeling extra bullish, you can buy an out-of-the-money (OTM) option for a cheaper price. Keep in mind that any long option, call or puts, suffers from Theta (time) decay. The longer you hold the option, the more time decay erodes the value. Theta speeds up in the final week before expiration. A long call option rises in value as the underlying stock price rises. The NVDA $130 call option costs $4.05. This means NVDA would have to rise to $134.05 on expiration to break even. With a -0.16 Theta, the option loses 16 cents daily in value as it currently has no intrinsic value since its OTM. Of course, you don't have to hold the option until expiration. The goal of a call option is to get the largest upside in the shortest time. With a 0.42 Delta, each $1 move in the stock should result in a 42-cent move in the option. The maximum loss is $405 if NVDA fails to close above $134.05 on expiration. The maximum profits are unlimited. Strategy #2: Sell/Short a Put Option This is normally called a naked put. However, it's always prudent to make it a cash-secured put. This means you have the capital to pay for the stock at the strike price if you happen to get assigned shares. Executing a cash-secured short put will result in a credit paid upfront. That is your maximum profit upfront. It can only go down from here. A short put option falls in value as the underlying stock price rises in value. They have an inverse or negative correlation. The NVDA $124 put will pay a $4.15 premium, resulting in a $415 credit per contract. That is the maximum profit paid upfront. If NVDA continues to rise and hold above $124 upon expiration, you'll keep the whole credit. If NVDA falls, there is a $4.15 buffer to the breakeven price of $119.85. If NVDA falls any lower, that is when you will start losing money all the way to a maximum loss of $11,985 if NVDA stock falls to zero. Strategy #3: Buy a Long Call Debit Spread A long call debit spread is also referred to as a bull call debit spread or a long call spread. This is a multi-leg strategy comprised of a long-call option and a sell/short-call option at a higher strike price. It's basically a combination of Strategy #1, Long Call and Short Call option at a higher price than the Long Call. Most brokers have a function to execute a call debit spread in a single transaction, in which the platform executes the 2 trades automatically. A call debit spread helps finance the long call, making the trade cheaper. However, the upside is limited, and the downside is also capped. This means rather than paying $4.15 for a long NVDA $130 call like Strategy #1 and risk losing $415 if NVDA fails to close above $134.15 on expiration, you can risk $68 with a call debit spread. The call debit spread is formed by selling an NVDA $132 call for $3.30 credit. This results in a debit or cost of $68. The maximum profit of $132 occurs if NVDA rises to $132 or higher on expiration. The breakeven level is $130.38 on NVDA. The maximum loss is the $68 cost of the trade. While the upside is limited, your downside is also limited and much less than the full cost of the call option. Determine Your Risk Comfort Level and Apply the Strategy That Fits Each of these strategies comes with various levels of risk. The long call strategy has the potential for a full loss on the trade of $4.15 if NVDA can't close above $134.15 on expiration. While this seems like the riskiest trade, losing 100% of your investment, the short put strategy has the "potential" to lose $11,985 if NVDA drops to zero (which is highly unlikely). However, the potential to lose more money than you put into the trade makes it the riskiest strategy of the 3. The call debt spread strategy has the least risk but that comes at the cost of limiting maximum profit. Use the strategy that fits your risk tolerance best. Remember that you can always close out your options position before expiration or roll your positions to give the trade more time to play out. Before you consider Microsoft, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Microsoft wasn't on the list. While Microsoft currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
YouTube dominates streaming, forcing media companies to decide whether it's friend or foe 2024-06-26 11:27:00+00:00 - In this article GOOGL NFLX WBD DIS Follow your favorite stocks CREATE FREE ACCOUNT watch now It's been almost 20 years since the founding of Alphabet's YouTube, and Hollywood still doesn't really know what to do with it. YouTube, which effectively invented user-generated content, claims a daunting share of overall media consumption. And it's no longer just dominating the internet, it's dominating the living room, too. YouTube made up 9.7% of all viewership on connected and traditional TVs in the U.S. in May — the largest share of TV for a streaming platform ever reported by Nielsen's monthly "The Gauge" report. Netflix ranked second, claiming 7.6% of viewership. Among streamers only, YouTube's total viewership was close to 25% market share. "We're not talking about your mobile phone, your laptop, that I'm sure you see your kids using all the time, but on the biggest screen in the house, the TV," said LightShed media analyst Rich Greenfield. "Every [media] executive has to be paying attention." But media companies such as Netflix, Disney and Warner Bros. Discovery aren't sure whether YouTube is friend or foe. Some media executives see YouTube as a companion platform to subscription streaming services and cable TV — an unwieldy behemoth of non-narrative, creator-led content with a social media slant that doesn't really fit the New York-Hollywood nexus of professional media. Others — even at times the same executives — view YouTube as an existential threat to the entertainment industry, stealing viewership from subscription streaming services and, with it, the cultural center of American youth. Those competing truths have led media and entertainment companies to concoct a wide array of strategies to combat the growing threat. Disney leaders discuss YouTube "every day" in strategic meetings and have considered adding user-generated content to Disney+, though it's not on the immediate roadmap, according to people familiar with the matter, who asked not to be named because the discussions are private. Netflix and Warner Bros. Discovery, on the other hand, have consciously chosen to focus on the other 90% of the TV viewing world that isn't YouTube. "I do think it snuck up on people that YouTube was as important a presence in people's lives and people's viewing experiences not just on the phone but in the living room," said Tara Walpert Levy, YouTube's vice president of Americas, in an interview. "When Nielsen first noted that YouTube was winning the streaming wars in terms of viewing, full stop, not just for ad-supported platforms, I had a ton of my friends from advertising, from media, who were like, 'Can you believe it?' It exceeded even our expectations," she said. YouTube's growing dominance Google's Tara Walpert Levy, now YouTube's vice president of Americas, speaks during a 2016 Advertising Week New York event, Sept. 28, 2016. John Lamparski | Getty Images Earlier this year, YouTube Chief Executive Officer Neal Mohan announced that users watch more than 1 billion hours of YouTube content on TV screens each day. More than 150 million Americans watch YouTube on connected TVs each month, according to the company. Ad dollars have followed. In 2023, YouTube took in $31.5 billion in advertising revenue, up 8% from 2022 and 271% from six years ago. In the first quarter of 2024, YouTube's ad revenue climbed 21% from a year earlier to $8.1 billion. YouTube, founded in 2005, sold to Google for $1.65 billion a year later. It's since ballooned in size as advertisers flocked to the platform. MoffettNathanson media analyst Michael Nathanson estimated in March that YouTube would be worth a whopping $400 billion as a standalone company — more than Disney and Comcast combined. "YouTube is still the 800-pound gorilla in this space, and I do believe they're a pretty unstoppable juggernaut," said Candle Media co-CEO Kevin Mayer, who previously ran Disney's streaming business and was briefly CEO of TikTok. Disney's YouTube focus Disney executives are particularly attuned to YouTube's rising dominance, given its grip on younger people, according to people familiar with the company's thinking. Disney has a legion of super-fans who flock to YouTube and other social media sites to promote and critique its parks, rides and merchandise, movies and TV shows. Integrating some of that content as shoulder programming to Disney's scripted series and movies could help keep users on Disney+. A Disney spokesperson declined to comment on conversations about adding original content to the platform. The company claims 11.4% of TV viewership, according to Nielsen's "The Gauge" report, when adding up cable and streaming, including Hulu and ESPN. You're betraying your audience. You're leaving YouTube to act, and then you're not posting online anymore, and you're asking them to wait on a project that's in development for what? A year, two years? People are going to forget about you, girl. That's how the internet works." Brittany Broski YouTube creator "I think what we're seeing from all of these traditional media companies is they don't have enough content, and it's too expensive to produce the types of premium content at scale that they need. And so maybe the [user-generated content] economy is a place they look ... not to create their competitor, but as a lower cost way to add content to their services," said LightShed's Greenfield. Disney is also considering putting more full episodes of Disney+ and Hulu series geared to older kids and adults directly on YouTube to entice an audience that isn't currently subscribing to its streaming platforms, said a person familiar with the matter. This is a strategy Disney has done with kids content for years, helping amplify hit animated series such as "Bluey," "Spidey and his Amazing Friends" and "Mickey Mouse Clubhouse." Cartoon characters from the children's show "Bluey" are displayed during the Brand Licensing Europe event at ExCel, in London, Oct. 4, 2023. John Keeble | Getty Images News | Getty Images "At the end of the day, Disney is a storytelling machine," said Mayer. "We used short-form video on YouTube as a promotional device for our content. But I don't think that we at Disney, nor have any other traditional media companies, leaned into YouTube as an original storytelling device the way they probably should have." According to internal research, Disney executives concluded that younger Americans use YouTube as an online encyclopedia, said one of the people familiar with the company's discussions. That's led the company to focus on the benefits of the platform's discovery functionality while also programming against it, the person said. Disney has made bespoke YouTube content for its new preschool series "Disney Junior's Ariel," which debuts June 27, to introduce the mermaid character to kids. It has also developed a series of "Winnie the Pooh" shorts so that it can research how the animated bear and his friends resonate with today's youth. The company is now considering making a full-length animated series on "Winnie the Pooh" based on the short-form video data, the person said. Netflix's muted response Netflix is taking on YouTube from a different angle. It doesn't view the platform as the same singular threat to viewership that some of its peers do. Netflix famously considers everything that could occupy a user's time, even sleep, as a long-term competitor. For the time being, Netflix executives consider YouTube as catering to a different consumer need. "We have built a hard-to-replicate combination of a strong slate, superior recommendations, broad reach and intense fandom, which drives healthy engagement on Netflix. Improvement in these key areas is the best way to delight our members and continue to grow our business," Netflix said in its most recent quarterly shareholder letter. Netflix has even found some success duplicating content on YouTube in specific instances. "Cocomelon," the animated toddler-geared short-form video series owned by Candle Media's Moonbug Entertainment, has become massively popular on both YouTube and Netflix. "Cocomelon" has 175 million subscribers to its English language YouTube channel, and "many more if you add in all languages," Mayer said. At the same time, "Cocomelon" frequently tops Netflix's most-watched list among kids shows. Posters showing "Blippi" and "Cocomelon" characters are displayed at the Moonbug Entertainment stand during the Brand Licensing Europe event at ExCel, in London, Oct. 04, 2023. John Keeble | Getty Images The more immediate YouTube threat for Netflix comes from an advertising perspective. Netflix is now going head-to-head with YouTube for marketing dollars after introducing its ad-supported tier in November 2022. Netflix said in May that it has 40 million global monthly active users for its advertising tier. That's a far cry from YouTube's more than 2 billion monthly active users. Netflix is even contemplating launching free versions of its service in certain international markets to court advertisers, though there's nothing concrete planned, Bloomberg reported earlier this week. Netflix declined to comment for this story. Other strategies Comcast -owned NBCUniversal has experimented with new ways to copy the rabbit-hole effect of YouTube Shorts, which force-feed users content based on interest, by offering curated clips of "Saturday Night Live" sketches, scenes from "The Office" or favorite Bravo show moments. If younger users are being conditioned to watch in a certain way, NBCUniversal's Peacock streaming service wants to give consumers that choice in addition to its long-form movies and TV shows. But simply curating feeds within a content vertical now feels like a "YouTube 1.0 strategy" given how TikTok, YouTube Shorts and Instagram Reels have redefined short-form viewing, according to Nathanson. "I don't think, at this point, there's a strategy in place among any of the traditional media players to create content for the YouTube generation that's more than just their branded strategy they're doing now," said Nathanson. "The future strategy is to use AI to deliver personalization for each of us. Today, none of the traditional media players has that. That's YouTube 2.0." Amazon is trying a more direct plan of attack — pay YouTube's biggest star to make a show for their own service. The company announced a deal earlier this year with MrBeast, whose real name is Jimmy Donaldson, to make a reality TV show, "Beast Games," that will pay the winner $5 million in cash. The format will largely borrow from previous MrBeast giveaway videos that pit many contestants against each other for cash, using a "fast-paced and high-production format," as Amazon has promised. MrBeast accepts the Favorite Male Creator award onstage during the 2023 Nickelodeon Kids' Choice Awards in Los Angeles, March 4, 2023. Monica Schipper | Getty Images MrBeast's YouTube channel has the most subscribers worldwide at 289 million and expects to take in a whopping $700 million in revenue in 2024, primarily through advertising and brand deals. But while MrBeast may have crossover appeal, there's skepticism among creators that YouTube celebrities will have success making shows for subscription streaming services. Moreover, the entire Hollywood system may operate too slowly for a younger generation that demands immediate content. YouTube's community The popularity of YouTube stems from the authentic relationship creators have with their fans, according to Brittany Broski, 27, whose YouTube channel has more than 2 million subscribers. "I still watch Netflix and HBO, where if I want a good fantasy series or whatever, I know where to go for that. But what YouTube is more concerned with is in this digital age, we've lost a sense of community and a sense of third spaces where we can go to hang out and meet new friends," Broski said. Broski's audience, which she described as Generation Z and young millennial women and members of the LGBTQ+ community, ballooned during the pandemic. Stuck at home with limited social options, hundreds of thousands of people found Broski as they searched for fresh, real-time content. That personal relationship is YouTube's secret sauce, and it doesn't translate when creators port to other services, Broski said. "You're betraying your audience," said Broski. "You're leaving YouTube to act, and then you're not posting online anymore, and you're asking them to wait on a project that's in development for what? A year, two years? People are going to forget about you, girl. That's how the internet works." Brittany Broski at VidCon 2022 in Anaheim, California, June 23, 2022. David Livingston | Getty Images Entertainment | Getty Images The business model of YouTube for successful creators incentivizes staying on the platform. YouTube has shared more than $70 billion with its creators over the last three years through its Partner Program, which shares advertising revenue with more than 3 million channels on the platform. "Why would I create a show and sell it to a network when I could just put it on YouTube?" Broski said. "You're self-funding, but if the money you're making from AdSense is going right back into your content to make more money, why do you even have to contact that third party?" YouTube also benefits from a low barrier to entry to create content and from instant feedback through comments from fans that often help shape future content immediately. That model can't be replicated in a scripted form, where full seasons of TV shows are premade and rolled out on specific schedules. "In the traditional industry, it's about proving to other people that the content deserves to be made, deserves to be seen, deserves a marketing campaign, deserves dollars behind it," said YouTube star and former professional cyclist Michelle Khare, 31, whose channel has more than 4.5 million subscribers. "With YouTube, if you have the drive, the ability, and in many cases, your phone, you can skip those steps and put it out into a democratic platform where the audience ultimately decides what rises to the top." Michelle Khare at The 2023 Streamy Awards in Los Angeles, Aug. 27, 2023. Gilbert Flores | Penske Media | Getty Images Aging out
The A.I. Boom Has an Unlikely Early Winner: Wonky Consultants 2024-06-26 09:01:47+00:00 - After ChatGPT came out in 2022, the marketing team at Reckitt Benckiser, which makes Lysol and Mucinex, was convinced that new artificial intelligence technology could help its business. But the team was uncertain about how, so it turned to Boston Consulting Group for help. Reckitt’s request was one of hundreds that Boston Consulting Group received last year. It now earns a fifth of its revenue — from zero just two years ago — through work related to artificial intelligence. “There’s a genuine thirst to figure out what are the implications for their businesses,” said Vladimir Lukic, Boston Consulting Group’s managing director for technology. The next big boom in tech is a long-awaited gift for wonky consultants. From Boston Consulting Group and McKinsey & Company to IBM and Accenture, sales are growing and hiring is on the rise because companies are in desperate need of technology Sherpas who can help them figure out what generative A.I. means and how it can help their businesses.