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Dutch hyperloop center aims to advance futuristic transport technology 2024-03-26 17:32:47+00:00 - VEENDAM, Netherlands (AP) — A 420-meter (quarter-mile) white steel tube running alongside a railway line in the windswept northern Netherlands could usher in a new era in the transportation of people and freight. The tube is the heart of the new European Hyperloop Center that opens Tuesday and will be a proving ground in coming years for developers of the evolving technology. Hyperloop, once trumpeted by Elon Musk, involves capsules floating on magnetic fields zipping at speeds of arund 700 kph (435 mph) through low-pressure tubes. Its advocates tout it as far more efficient than short haul flights, high-speed rail and freight trucks. But since Musk unveiled the concept that he said could shuttle passengers the nearly 400 miles (645 kilometers) between Los Angeles and San Francisco in 30 minutes, it has progressed at a much slower pace from the drawing board toward the real world. “I expect by 2030 you will have the first hyperloop route, maybe five kilometers (three miles) in which people will actually be transporting passengers,” said the center’s director, Sascha Lamme. “Actually there’s already preparations being done for such routes in for example Italy or India.” Not everybody is as optimistic about Hyperloop’s future. “This is just another example of policy makers chasing a shiny object when basic investment in infrastructure is needed,” Robert Noland, distinguished professor at the Bloustein School of Planning and Public Policy at Rutgers University, said in comments emailed to The Associated Press. “It costs too much to build,” he added. Lamme said skeptics should come and take a look for themselves. “We built the European Hyperloop Center and from what we have built, we know that we can be competitive with high-speed rail,” he said. “And then we have not even included all the cost optimizations that we can do in the coming decade to reduce that even further.” The test center’s tube is made up of 34 separate sections mostly 2½ meters (more than eight feet) in diameter. A vacuum pump in a steel container next to the tube sucks out the air to reduce the internal pressure. That reduces drag and allows capsules to travel at such high speeds. A test capsule built by Dutch hyperloop pioneer Hardt Hyperloop will take part next month in the first tests at the center that is funded by private investment as well as contributions from the provincial government, the Dutch national government and European Commission. A unique feature of the Veendam tube is that it has a switch — where it splits into two separate tubes, a piece of infrastructure that will be critical to real-life applications. “Lane switching is very important for hyperloop, because it allows vehicles to travel from any origin to any destination,” said Marinus van der Meijs, Hardt’s technology and engineering director. “So it really creates a network effect where you sort of have a highway of tubes and vehicles can take an on and offramp or they can take a lane switch to go to a different part of Europe or to a different destination.” While testing continues in Veendam, hyperloop developers hope that destinations for their technology are forthcoming. “Really the main challenge is finding government commitments to build routes and, on the other hand, finding new funding to realize the necessary test facility and technology demonstration that you need to do to make this happen,” Lamme said.
Biden says Baltimore bridge rebuild should be paid for by the federal government after collapse 2024-03-26 17:23:00+00:00 - WASHINGTON — President Joe Biden said he wants the federal government to pay to rebuild the Baltimore bridge that collapsed early Tuesday after a large cargo ship sailed straight into one of the bridge's support pillars. "We’re going to work with our partners in Congress to make sure the state gets the support it needs. It’s my intention that the federal government will pay for the entire cost of reconstructing that bridge, and I expect the Congress to support my effort," Biden said in brief remarks from the White House before he left for North Carolina. Biden said that it will take "some time" to rebuild the Francis Scott Key Bridge, which transverses the Patapsco River, but that he told Maryland Gov. Wes Moore, a Democrat, that he's directing the federal government to "move heaven and earth" to reopen the port and rebuild the bridge "as soon as humanly possible." He said he also plans to visit Baltimore as "quickly" as he can. "Our prayers are with everyone involved in this terrible accident and all the families — especially those waiting for the news of their loved one right now," Biden said. "I know every minute in that circumstance feels like a lifetime. You just don’t know. It’s just terrible." Biden said that a search and rescue operation is the top priority and that ship traffic and the Port of Baltimore have been suspended until further notice. The Port of Baltimore, one of the largest shipping hubs in the U.S., is the top port in America for both imports and exports of automobiles and light trucks, Biden said, noting that 850,000 vehicles are moved through the port annually. "We’re going to get it up and running again as soon as possible. ... Fifteen thousand jobs depend on that port, and we’re going to do everything we can to protect those jobs and help those workers," he said. He also said that the bridge is "critical for travel," not just for Baltimore but for the Northeast Corridor, saying more than 30,000 vehicles cross it daily. Several vehicles plunged into the water when the collision occurred at 1:30 a.m. ET. At least six people were still believed to be missing, Moore said at a news conference. Sonar used by rescue crews also detected at least five vehicles in the water, he said: three passenger cars, a cement truck and another vehicle. Moore said the ship, the Dali, which had just left the Port of Baltimore en route to Sri Lanka, notified authorities about a "power issue" on board and issued a mayday moments before the crash. Moore credited that call with saving people's lives.
British Gas owner doubles boss’s pay to £8m – despite qualms over previous rise 2024-03-26 17:20:00+00:00 - The boss of the British Gas owner, Centrica, has seen his earnings nearly double to £8.2m, despite having admitted that his smaller pay packet the previous year was “impossible to justify”. Chris O’Shea earned a basic salary of £903,000, which was topped up by cash and share bonuses worth an extra £7.3m. The chief executive’s total remuneration ballooned largely thanks to a £5.9m bonus scheme that rewarded him for hitting targets linked to the company’s share price, profits, cashflow and measures such as safety and customer satisfaction. Centrica’s share price has risen steadily in the past two years, partly coinciding with the surge in global gas prices after Russia’s invasion of Ukraine. But the company insisted that O’Shea’s performance was behind the rise. The details of O’Shea’s pay deal emerged in Centrica’s annual report, which was published on Tuesday, a month after the company reported bumper profits. Profits at British Gas, which supplies energy to UK households and businesses, jumped to £751m in 2023, up from £72m a year earlier. The big increase came after the regulator, Ofgem, raised the industry price cap and allowed the company to recoup some of the costs of having to sell energy below wholesale prices to its 10 million customers during the energy crisis. O’Shea said earlier this year that there was “no point” in trying to argue in support of his pay deal, which came in at £4.5m. “You can’t justify a salary of that size,” O’Shea told the BBC. “It’s a huge amount of money; I am incredibly fortunate. I don’t set my own pay; that’s set by our remuneration committee.” But on Tuesday, Centrica tried to justify a package nearly twice the size, laying out the rationale for this year’s £8.2m deal in a dedicated section in its annual report. The company’s pay committee, chaired by the boardroom veteran Carol Arrowsmith, said it had concluded that a £5.9m share bonus linked to the company’s performance between 2021 and 2023 had not been unduly boosted by any “windfall” gains. Two-thirds of the bonus was linked to the company’s share price, which has more than doubled during the period, which includes the invasion of Ukraine and its aftermath, including surging gas prices. The committee reviewed O’Shea’s overall £8.2m pay-plus-bonus package, saying the 82% year-on-year rise was “due to continued improvements in underlying performance and substantial share price growth”. 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 The pay committee said that the sum “appropriately reflects the performance of Chris O’Shea and the business over the relevant period. It is worth noting that the single figure of total remuneration for the group chief executive over the next two years is likely to be lower”, the company said, citing reductions in scale of share-based bonuses it offered executives. In practice, O’Shea’s total pay could end up being worth less or more, depending on the changing value of his bonus shares, which he will be allowed to sell over the next three years. Luke Hildyard, executive director for the High Pay Centre, said: “As Mr O’Shea himself admitted a few weeks ago, it’s not really credible to argue the work that he does is at all proportionate to a pay award even half this size, nor is it necessary to the success of the company. It’s a major governance failure and by extension a policy failure.” Arrowsmith said: “We need to ensure Centrica is set up for success in the long term and that means attracting and retaining high-performing executives who can lead this large and complex business. Our CEO’s pay is based on the terms he was appointed on. The structure of the package was approved by our shareholders, and it is consistent with similar companies.” In the same section of the annual report detailing O’Shea’s remuneration, Centrica said it had spent £140m on supporting customers struggling to pay their energy bills.
McDonald's to start selling Krispy Kreme donuts, with national rollout by 2026 2024-03-26 17:19:00+00:00 - CosMc's opens first DFW location CosMc's opens first DFW location 00:42 McDonald's will begin selling Krispy Kreme donuts at its fast food locations this year as part of a phased rollout that will bring the baked goods to its restaurants nationwide by the end of 2026. Under a partnership announced Tuesday, Krispy Kreme will deliver three versions of its donuts — glazed, chocolate iced with sprinkles and chocolate iced with a cream filling — to McDonald's locations each morning. Customers can buy the donuts individually or in a box of six. The rollout, which will begin in the second half of 2024, comes after the companies tested the partnership at 160 McDonald's locations in Kentucky and Indiana last year. Demand exceeded both companies' expectations, Krispy Kreme CEO Josh Charlesworth told CNBC. The partnership could help McDonald's bolster its breakfast and coffee sales, especially as the company competes with Starbucks and Dunkin' for consumers willing to open their wallets for hot or iced drinks. The deal will also significantly expand Krispy Kreme's footprint in the U.S., as the donut chain currently has 377 locations, mostly in California and the South. McDonald's has about 13,500 locations in the U.S., with about 95% operated by independent franchisees. Franchise owners will decide whether their locations will offer the donuts. The deal will more than double the locations where Americans can buy Krispy Kreme products, the companies said. Shares of Krispy Kreme surged $3.66, or 29%, to $16.12 in Tuesday early afternoon trading. McDonald's shares were little changed at $279.01. Free donuts on Tuesday On Tuesday, Krispy Kreme will give one free glazed donut to anyone who visits a location between 5 p.m. and 9 p.m. to mark the McDonald's partnership. "The top request we receive from consumers every day is, 'please bring Krispy Kreme to my town'," Krispy Kreme CEO Charlesworth said in a statement Tuesday. For McDonalds, the Krispy Kreme deal marks a revamp of its breakfast bakery offerings after the chain discontinued selling blueberry muffins and apple fritters last year. The pastries — marketed as McCafé Bakery — launched in October 2020, but customer interest waned in the following years, a McDonald's spokesperson said at the time. Earlier this year, McDonald's opened a new chain called CosMc's that focuses on coffee and other drinks as it challenges Starbucks and Dunkin' as a place for a quick pick-me-up. Adding Krispy Kreme donuts gives McDonald's "a chance to unlock new business opportunities in the breakfast category and throughout the day," Tariq Hassan, chief marketing officer for McDonald's USA, said in a statement. The Kentucky and Indiana locations will continue selling Krispy Kreme under the expanded partnership — which is a one-year deal with an option to renew annually, Krispy Kreme said in a regulatory filing. The McDonald's-Krispy Kreme deal isn't unique in the fast food industry. Wendy's last month said it is selling Cinnabon treats nationwide, while Pizza Hut began selling Cinnabon-branded mini rolls in 2018.
3 Stocks With Unusual Call Option Activity 2024-03-26 17:10:00+00:00 - Key Points Call option buying sprees in these three stocks could point to higher prices, and traders could be justified. Buffett is behind Pulte's construction boom, and a takeover bid could send Spirit AeroSystems higher. Hims & Hers Health stock just reaced profitability, and analysts think EPS could still be higher. 5 stocks we like better than Citigroup When traders stampede into call options, it typically means they expect an event to come, pushing the underlying stock higher soon. Because options expire at a given date, these traders must get their thesis right before expiration or risk losing their entire investment. Today, three stocks show unusual call option activity, which could lead investors to reverse engineer these decisions and find out why stocks like Spirit AeroSystems Holdings Inc. NYSE: SPR, Hims & Hers Health Inc. NYSE: HIMS, and even PulteGroup Inc. NYSE: PHM can outperform the market in the coming months. Get Citigroup alerts: Sign Up While part of entirely different industries, these stocks share one common tailwind created by the Federal Reserve (the Fed) and the potential interest rate cuts that could hit the market as soon as May or June 2024. Investors can watch trader expectations of these cuts following the FedWatch tool at the CME Group Inc. NASDAQ: CME. All Part of One Machine Because the Fed could cut interest rates later this year, analysts at The Goldman Sachs Group Inc. NYSE: GS expect a breakout in the U.S. manufacturing sector, so fat, they have been right in their 2024 macro outlook report. According to export readings, which expanded by 6.4% in the February ISM manufacturing PMI index, foreign nations expect a lower dollar to make American goods more attractive for purchase. Increased economic activity is synonymous with job creation and rising corporate earnings, which is where Warren Buffett expected a construction boom as he bought stocks like PulteGroup. In the Medical field, 66,700 jobs were added last month, when the entire economy created 275,000 jobs in total. A hiring spree could help stocks like Hims & Hers, and a construction boom may be one of the reasons traders sided with Buffett in his PulteGroup play, but what about Spirit? Spirit AeroSystems: A Special Situation After a recent scandal regarding a Boeing Co. NYSE: BA 737 MAX 9 incident, media outlets blamed Spirit for a faulty piece of equipment. However, Boeing quickly realized that the company wasn’t really at fault but rather a factory in Malaysia. Looking to lock in one of its most considerable supplies, Boeing is now ‘in talks’ to create a takeover bid and buy Spirit, news that sent the stock on a 25% rally in March 2024. While still speculative ‘talks,’ chances are that Boeing could actually pull through with an offer. Now that airline stocks like Southwest Airlines Inc. NYSE: LUV provided lower guidance for the year due to delays in Boeing jet orders, the company may look to consolidate its supply chain and avoid further conflicts. In January 2024, analysts at Citigroup Inc. NYSE: C saw a valuation of up to $39 a share for Spirit stock. Considering this price target still stands today, investors could expect Boeing to send an offer around that valuation, which is 11% higher than today’s prices. Wall Street wants to see 466% earnings per share (EPS) growth from Spirit this year, which could still make Boeing reconsider an even higher bid. In either case, the evidence stacked up for traders to justify a call option buying spree. Hims & Hers is On Its Way After reporting its first profitable quarter, Hims & Hers stock rallied hard, but traders believe it can rally even harder. After a run of up to 85% since the earnings announcement, the stock could be positioned to keep delivering the type of results that other medical stocks just can’t provide. Known for being low-beta, medical stocks typically don’t move that much. Because it is a $3.4 billion company, Hims & Hers could carry a much higher ceiling now that the company has proven to be profitable in the marketplace, especially so with analysts projecting 130% EPS growth this year. Compared to the sector, Hims & Hers stock trades at a price-to-book ratio of 9.8x, a 177% premium to the 4.5x multiple seen in the sector. There must be a good reason for investors to be willing to overpay for the stock’s book, and that reason could be expected future growth now that the company reached profitability. Citigroup analysts see the stock going higher to $16 a share, where before February they only had a $12 valuation. Now that the company is delivering on its promises, investors could expect to see even higher price targets ahead, supporting their call option positions. Before you consider Citigroup, 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 Citigroup wasn't on the list. While Citigroup currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Trump Media & Technology Group Soars on Market Debut 2024-03-26 17:05:00+00:00 - Key Points Trump Media & Technology Group's IPO experienced a surge in stock price on its opening day. The company faces challenges in profitability and legal proceedings, notably reliant on former President Trump's persona. Investors must carefully weigh the risks and rewards amidst uncertainty in the social media landscape. 5 stocks we like better than Trump Media & Technology Group Trump Media & Technology Group NASDAQ: DJT, the parent company behind the social media app Truth Social, has made a resounding entrance into the stock market, capturing the attention of investors and analysts worldwide. With its highly anticipated initial public offering (IPO), the company experienced a remarkable surge in Trump Media & Technology Group’s stock price on its opening day. Will the newly minted stock be able to sustain this momentum? Get DJT alerts: Sign Up Trump Media & Technology Group IPO Unveiled Trump Media & Technology Group, the entity overseeing the social media company Truth Social, made its public debut via a merger with the SPAC company Digital World Acquisition Corp. A SPAC, or special purpose acquisition company, is a specialized vehicle designed for acquisitions and is considered an alternative to the traditional IPO. This strategic maneuver facilitated the company's inclusion in the Nasdaq stock exchange, reflecting the personal brand of former President Donald J. Trump. Through this merger, Trump Media & Technology Group leveraged the SPAC structure, which allows private entities to go public through acquisition by a publicly traded shell company. This route circumvents the traditional IPO process, offering a quicker and more streamlined path to market entry. The Nasdaq listing provides Trump Media & Technology Group with increased visibility and access to a broader investor base, positioning the company for enhanced liquidity and growth opportunities in the competitive landscape of social media technology. Truth Social's Profitability in Perspective Former President Donald Trump initiated the development of Truth Social in response to his banishment from most major social media platforms, including Facebook NASDAQ: META and Twitter, in the aftermath of the January 6 U.S. Capitol riot. Launched in February 2022, Truth Social sought to carve out a niche in the social media landscape by providing a platform for Trump's supporters and other conservative voices. Despite its ideological underpinnings, Truth Social's financial performance has been scrutinized by analysts in the social media sector. Trump Media & Technology Group, the parent company of Truth Social, reported a substantial loss of $49 million, set against the modest revenue of $3.4 million. This financial discrepancy underscores the challenges faced by the platform in monetizing its user base and sustaining profitability amid intensifying competition within the social media sector. As Truth Social endeavors to navigate the complexities of the digital landscape, its success hinges upon its ability to capitalize on its ideological appeal while concurrently addressing operational inefficiencies to achieve sustainable growth and financial viability. Analyzing Truth Social's IPO Surge Amid Valuation Skepticism Following the public debut of Truth Social's IPO, market dynamics witnessed a blend of anticipation and caution. Trump Media & Technology Group's stock experienced a notable surge on its inaugural trading day, indicating substantial investor interest and demand. The stock initially jumped to about $78 before falling back to about $65 all happening within minutes. This led to trading being suspended for ten minutes due to volatility, a common move when the price of a stock moves so fast. This surge and subsequent volatility reflect investor optimism surrounding the potential of Truth Social's entry into the digital market sector. In addition to concerns about the company's valuation, investors are keenly aware of the intense competition within the social media sector. Truth Social faces formidable adversaries entrenched within the market, including established platforms like Facebook NASDAQ: META and Twitter and emerging competitors in the "alt-tech" space such as Parler and Gettr. Understanding the competitive dynamics of the social media sector is essential for evaluating Truth Social's ability to carve out a sustainable niche and achieve profitability amidst fierce competition. As Truth Social endeavors to establish its foothold in the digital ecosystem, its volatile performance underscores the intricacies and uncertainties inherent in its journey toward market success. While the surge in stock price signals initial investor confidence, the road ahead necessitates strategic maneuvering and effective execution to translate market enthusiasm into tangible business growth and value creation. The Truth About the Future Outlook and Potential Risks Examining Trump Media & Technology Group's future trajectory unveils an organization fraught with challenges and potential risks. Despite boasting a dedicated user base and the staunch support of former President Trump, the company is confronted with inherent vulnerabilities that merit attention. Foremost among these challenges is the company's substantial dependence on Donald Trump's popularity and presence. While Trump's loyal following and influential persona have bolstered Truth Social's appeal, this reliance on a single individual poses a significant vulnerability. Any shifts in Trump's involvement or public perception could have profound implications for the company's fortunes, potentially impacting user engagement, investor sentiment and overall market performance. Furthermore, Trump Media & Technology Group finds itself involved in the web of legal proceedings regarding the former president. These ongoing legal battles introduce additional uncertainty and risk to the company's outlook. Adverse outcomes in these legal matters could reverberate across the organization, affecting operational dynamics, financial stability and investor confidence. As a controlling stockholder in the company, Donald Trump wields considerable influence over strategic decisions and corporate governance. However, this concentration of power also presents potential pitfalls. Trump's actions and decisions may not always align with the broader interests of shareholders, potentially exacerbating conflicts of interest and volatility in the stock. Navigating these challenges necessitates a cautious and strategic approach from Trump Media & Technology Group's leadership. The company must diversify its sources of value, mitigate reliance on individual personalities, fortify its legal defenses and institute robust governance mechanisms to safeguard shareholder interests and foster long-term sustainability in an evolving and unpredictable market sector. The IPO of Trump Media & Technology Group has undoubtedly captured the attention of investors worldwide. However, amidst the excitement, investors must approach this opportunity with caution. While Truth Social represents a unique entry into the social media landscape, its path to profitability remains to be determined. As such, investors must carefully weigh the risks and rewards associated with investing in Trump Media & Technology Group, considering the dynamic nature of the market and the ever-changing regulatory landscape. Before you consider Trump Media & Technology 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 Trump Media & Technology Group wasn't on the list. While Trump Media & Technology Group currently has a "hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Revealed: CBI uses gagging clauses to prevent discussion of sexual misconduct claims 2024-03-26 17:00:00+00:00 - The CBI has used gagging clauses to prevent staff from discussing their experiences of sexual misconduct and bullying at the organisation, the Guardian can reveal. Up to 10 non-disclosure agreements (NDAs) have been signed in the past year after the lobbying group’s sexual misconduct scandal, in which more than a dozen staff alleged they had been victims of sexual harassment, assault and rape. Those agreements have been accompanied by substantial financial settlements from the CBI. Sources told the Guardian that the total bill could be as much as £1m, accounting for legal fees, settlement deals and pension agreements. The CBI refused to confirm or deny the figure. The use of NDAs is increasingly controversial after they were used to silence victims of repeat harassers or offenders in a number of prominent cases of workplace misconduct. MPs on the Treasury committee investigating Sexism in the City recently called for the use of NDAs to be banned in such cases, saying they had the effect of “silencing the victim of harassment and forcing them out of an organisation, while protecting perpetrators”. Advisers to the CBI, as well as current and former staff, said that in their view, its use of gagging clauses was deeply problematic for an organisation trying to overhaul its culture. They said it called into question the CBI’s commitment to fostering a so-called “speak up” culture. The Guardian’s investigation last year involved more than 30 staff disclosing concerns about problematic management and cultural issues. Many said they chose to speak to the Guardian because of concerns about how complaints were handled internally. View image in fullscreen Rain Newton-Smith, CEO of the CBI. Photograph: Christian Sinibaldi/The Guardian Speaking to the Guardian, the CBI’s chief executive, Rain Newton-Smith, defended the use of NDAs and said she did not believe the agreements would prevent staff from taking complaints to the police. “To the best of my knowledge anything we have signed in the past 11 months allows individuals to raise issues with the police,” Newton-Smith said. The Guardian understands the NDAs relate to allegations dating back to before she rejoined the organisation. The group claims to speak on behalf of 170,000 businesses, a number largely composed of other membership bodies which are in turn CBI members, such as the National Farmers’ Union, which has 46,000 members in its own right. Prior to the scandal, which led to an exodus of fee-paying members, it was described as the most powerful business lobbying group in the UK. The CBI has sought to rehabilitate itself to win back members and regain access to top politicians, such as the chancellor, Jeremy Hunt, and the shadow chancellor, Rachel Reeves. Newton-Smith said more than 30 companies, such as accountancy firm PwC, have joined or rejoined since the start of the year. She said that it has put in place a turnaround plan based on recommendations from a legal investigation into the misconduct allegations, as well as advice from a business ethics consultancy. This includes training for senior management and advice for all staff on how to report concerns and new mechanisms to do so, including a specialist app, as well as changing the makeup of its senior leadership teams. Newton-Smith said that recent staff survey results showed that employees felt happy with the body’s culture and that they knew how to raise concerns about misconduct. “We’ve had a really difficult year and I think everyone in this organisation has shown tremendous courage over the past year in implementing a huge programme of change,” she said. However, alongside its reform efforts the CBI has spent hundreds of thousands of pounds to ensure the silence of former staffers. The CBI refused to put a figure on the total cost of the agreements. Its precarious finances forced it to lay off one-third of its 300 staff in the past year. Some of the agreements prevent the signatories from sharing their experiences with other people who have worked at the CBI, sources said. MPs have warned NDAs such as these prevent people from spotting patterns of problematic behaviour. Newton-Smith, who rejoined the CBI last year having previously worked there for eight years, said that she had not read all of the NDAs but insisted their use was acceptable, especially in preventing staff from sharing commercially sensitive information. “I’ve seen some but not all,” she said. “You know, it’s important that NDAs – I’m just trying not to use that terminology – but any confidentiality clauses, do not prevent individuals from raising further issues of sexual misconduct.” She said the CBI would continue to use NDAs but would keep their use under review and reflect “best practice”. Newton-Smith said that the confidentiality agreements since she took over at the CBI were mutually beneficial for the individuals and the organisation. Still, she did not dispute that they prevented open discussion of experiences. Lawyers told the Guardian that alleged victims of sexual harassment or assault often have to rely on the testimony of others to establish patterns of workplace behaviour. This can be impossible if other alleged victims have signed NDAs that prevent discussing experiences with current and former staff at an organisation or the media. This is why their use has been criticised for having a “chilling effect” that can avoid detection of repeat offenders, one lawyer said. Newton-Smith said the NDAs do not stop staff from talking to the police, which opened an investigation into allegations related to the CBI last year. In March and April last year, the Guardian spoke to more than 35 current and former CBI staff in which they alleged the body had a troubled culture that had become toxic. Several sources said they took concerns about the culture and complaints of harassment and misconduct to Newton-Smith herself, who – prior to becoming chief executive – was the body’s most senior female manager. Despite these conversations, which happened before she became the body’s leader in April, Newton-Smith told BBC Radio 4’s Woman’s Hour in February this year: “I didn’t recognise that description of the CBI as having a toxic culture.” The CBI has a long history of using NDAs in bullying and harassment cases dating back at least a decade. One ex-staffer, whose NDA was signed before Newton-Smith took charge, said that their deal with the organisation had stopped them from speaking about their experiences with peers – something they believe might have prevented harm to others. They told the Guardian that they were “horrified” that such deals were still being used by the body.
People in the US: have you been borrowing more money recently than you used to? 2024-03-26 16:25:00+00:00 - We’re interested to hear from people in the US how they feel about their levels of personal consumer debt. Has your borrowing increased in recent months or years, and if so, what are the reasons? How does your debt affect your life, household, or family members, and your plans? We’d like to hear about it.
Boots to offer Covid vaccines in England for nearly £100 a jab 2024-03-26 15:41:00+00:00 - Boots is to offer Covid vaccinations for almost £100 a shot, making it the latest provider to sell the jabs to those not eligible for a booster through the NHS. The company has confirmed it will offer the Pfizer/BioNTech vaccine to healthy customers in England aged 12 and over from next week, at a cost of £98.95 a jab. Boots is the latest company to capitalise on the decision by manufacturers to sell the vaccinations privately: last month, Pharmadoctor announced it would be offering Covid jabs to eligible customers through partner pharmacies in the UK. While Pharmadoctor notes each pharmacy sets its own prices, it suggests the Pfizer/BioNTech jab will set customers back £75-£85, while the latest Novavax jab will cost about £45-£55. According to Graham Thoms, the chief executive of Pharmadoctor, more than 1,000 patients have already been privately vaccinated using the Pfizer/BioNTech jab, with Novavax jabs expected to begin from 22 April. The announcement by Boots comes as vaccination services gear up for the spring booster campaign, in which people aged 75 years and older, residents in care homes for older people, and people aged six months and over with a weakened immune system will be offered another Covid jab free on the NHS. However, with eligibility for this and previous campaigns limited, most healthy people have not had a booster jab since late 2021, and experts warn their protection will have waned over time. A spokesperson at Boots said: “We are launching a private Covid-19 vaccination service for people who are not eligible for an NHS vaccination but still want the option to protect themselves from the virus. “Our private service builds on our existing delivery of Covid-19 vaccinations for the NHS and we are pleased we can now offer Covid-19 vaccinations both on behalf of the NHS and privately, as we have done with flu vaccinations for many years.” Boots said it was working hard to make sure the jabs were as affordable as possible, stating that the near-£100 price tag allowed the company to cover the cost of the vaccine and other operational costs involved in delivering the service. However, the price is several times higher than the cost of a private flu vaccination, which cost £19.95 at Boots last winter. While experts have previously welcomed the move to make Covid jabs available to those not eligible for a booster through the NHS, they have warned high prices could limit their accessibility. Dr Simon Williams, a behavioural scientist at Swansea University, said the cost of the Boots service was likely to be prohibitive for many people. “The price of the Covid vaccines at £99 is regressive in that it will mean only those wealthy enough to afford it will be able to. Moreover, it is unlikely that even many of those who can afford it will do so at that price point,” he said. Williams noted that expensive vaccines were also a concern given Covid tended to have worse outcomes among lower-income populations. “Apart from government subsidisation, one potential way to make [Covid jabs] more affordable is for organisations and employers [to] think about offering boosters, like flu vaccines, to help employees protect their health – it could ultimately also prove cost-effective if it means less of the workforce lost to sickness, including via long Covid,” he said. Prof Adam Finn of the University of Bristol said the high prices were not a surprise given businesses tended to charge what they thought people would pay, adding that in general costs tended to be held down by competition, which at present may be limited.
Concert arenas urged to add £1 ticket levy to help small UK venues 2024-03-26 15:29:00+00:00 - Concert arenas should impose a £1 levy on gig tickets to create a fund that helps prop up grassroots live music, with industry figures telling MPs that rising costs are creating a “crisis” for smaller venues. The culture, media and sport committee heard from promoters, artists and representatives from industry bodies, nearly all of whom backed the call for a levy to be placed on tickets, which would then be distributed to smaller venues, 125 of which were forced to shut during 2023. Mark Davyd, the chief executive of Music Venue Trust, advocated for a French-style system where there is a centralised pot of about €200m (£172m) that venues, artists and promoters can apply for, which is funded by a levy on the gross value of tickets sold at big venues. MVT has been lobbying for a levy since December 2023, when the historic small venue Moles in Bath was forced to close, joining about 16% of grassroots spaces that permanently shut during 2023. MVT suggested a charitable organisation be set up to direct the fund, which would have a board made up of industry figures, rather than be run by government. On Tuesday the MVT posted an image of this year’s Leeds and Reading festival lineup without the artists who started at grassroots venues. Only five acts remained. The Music Venue Trust’s annual report in January showed that 38% of UK grassroots venues posted a financial loss, while the whole sector recorded a slim 0.5% profit margin, despite increased demand for tickets. There were various opinions on who should pay the £1 levy – ticket buyers, who are already charged booking fees, or the arena venues themselves. John Drury, the chair of the National Arenas Association, said if the arenas were forced to pay the £1 levy, “the impact would be something like 20% of our profit”. Drury told the committee that the “Enter Shikari model” – the band that donated £1 from every ticket sold to their OVO Arena Wembley show in February 2024 – would be the NAA members’ favoured approach to relieving pressure on grassroots venues. View image in fullscreen Many of the artists who perform at Reading festival started at grassroots venues. Photograph: Joseph Okpako/WireImage Kwame Kwaten, vice-chair of the Music Managers Forum, said the levy on arena ticket sales needed to be compulsory rather than voluntary. He said: “If you give people the chance to back away, they’ll take it. Not everyone is as generous as Enter Shikari.” Other witnesses called for an English football-style fan-led review of grassroots music, while some suggested a reduction in VAT on tickets, which stands at 20% – far higher than in France, Italy or Germany. The MPs also heard that smaller venues are under increasing pressure from planning applications and noise complaints, such as the case of Night & Day cafe in Manchester’s Northern Quarter, which had its future threatened after complaints from one resident whose flat abuts the venue. Davyd said: “The Northern Quarter, one of the most well-known cultural districts in the country, has been described as a ‘mixed-use’ area, effectively placing 14 other music venues in Manchester at risk of a resident complaint.” Jon Collins, chief executive at Live, the industry body that represents live music and entertainment business, said he had similar concerns about the Baltic Triangle in Liverpool, where developers have started to build residential projects near or next to venues. He said that the “agent of change” principle – whereby new developments are required to adapt to existing businesses in the area, such as paying for soundproofing – at present was too weak and didn’t protect live music venues. “We’ve already got venues that are under pressure [in the Baltic Triangle], fundamentally we all welcome ‘agent of change’ but it needs more teeth,” he said. Davyd said that about 50% of the cases MVT are helping with are related to financial troubles, with another 20% about planning and development issues. The warnings about small venues come on the same day research commissioned by the British Academy suggests that live performing arts could face “existential threat from a range of potential global shocks” unless they become more resilient. The research, which looked into the impact of the Covid-19 pandemic on the sector, said that there needs to be a “clear resilience strategy” for performing arts backed by national and local government.
McCormick & Company Stock Isn’t Cheap, But It Is Undervalued 2024-03-26 14:28:00+00:00 - Key Points McCormick & Company had a solid quarter and reaffirmed guidance: the market thinks guidance is cautious. Cash flow is robust and allows for reinvestment and dividends while paying down debt. Analysts have the stock pegged at Reduce but may quickly change their tune now that results and guidance are in. 5 stocks we like better than McCormick & Company, Incorporated McCormick & Company NYSE: MKC stock may not be cheap, trading at 22X this year’s and 20X next year’s earnings, but it is undervalued. The company is among the highest-quality consumer staples on the market, trading below its historical norms and near the middle of the group’s range. Because the company’s leaning toward growth and margin improvement produces results, the rebound will likely continue and may gain momentum. Among the catalysts for this market are the analysts. The analysts have yet to issue revisions to their outlook, but they are coming because the group grossly underestimated McCormick’s positioning and the impact of its efforts. Get MKC alerts: Sign Up The consensus rating fell to Reduce from Hold over the last year, and the price target was cut by 6% because of fears growth would slow and earnings power evaporate. Now, with growth still in the forecast and margin widening, it is likely that revisions will be positive and may include significant upgrades and price target revisions. As it is, the consensus aligns with the post-release price surge and may cap gains in the near term. McCormick Outpaced Consensus and Guided Higher; Share Prices Followed McCormick & Company had a solid quarter with top-line growth despite shuttering and divesting some low-margin businesses last year. The company reported $1.6 billion in net revenue, a gain of 3% over last year. The revenue is important to note because it is up in the one-, two-, three-, and four-year comparisons and up 33% since Q1 2020, while share prices remain depressed. Revenue also outpaced the Marketbeat.com consensus by 320 basis points, driven by strength in both segments compounded by an FX tailwind. Organically, volume and mix were flat; on a reported basis, a 3% price increase was offset by a 1% decline in volume related to divestiture and repositioning. Segmetnally, Consumer sales grew by 1% and were led by a 4% gain in Flavor Solutions. Margin and cash flow are other strengths of McCormick. The company widened its gross, operating, and cash flow margins driven by revenue leverage, cost control, and pricing actions. The net result is a 140-basis-point improvement in the gross margin that led to a 35% increase in cash flow. Regarding earnings, GAAP and adjusted earnings outpaced the consensus, with adjusted earnings up by 7%, outpacing the revenue growth by 400 bps. The adjusted earnings outpaced the consensus by 860 bps. McCormick’s Guidance Is The Spice Analysts Were Looking For McCormick did not raise its guidance but reaffirmed the previous outlook. That includes an expectation for flat FX-neutral growth and widening margins, compounded by favorable commentary. The takeaway is that guidance is likely cautious given the momentum seen in Q1 and may be increased mid-year. If not, McCormick is set up to outperform consensus regardless of caution, and the market is moving higher because of it. McCormick’s cash flow is crucial because it helps the company maintain a fortress balance sheet while paying dividends. At the end of Q1, the balance sheet highlights an improved cash position, assets up, liabilities down, long-term debt down, and equity up 3%. The dividend is worth about 2.4% with shares near $76, and the distribution is growing semi-aggressively at a high-single-digit pace. Institutions Bought The Dip In McCormick Stock Institutions were buying McCormick stock all the way down from its peak in 2022 to the bottom in 2023, and their purchasing spiked in Q1 this year. That put a solid floor in the market, confirmed with the post-release action, and now a full reversal is in play. Post-release action has the market up nearly 10%, trading above critical resistance and showing support at the 150-day EMA. Because the market is melting up on good news and is near the middle of an established range, it will likely continue moving higher to retest the range’s top. That puts the market near $82.50. Before you consider McCormick & Company, Incorporated, 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 McCormick & Company, Incorporated wasn't on the list. While McCormick & Company, Incorporated currently has a "Reduce" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
The U.S. Investors Caught in the Scrum Over TikTok 2024-03-26 13:56:35+00:00 - For years, the U.S. investors who backed ByteDance, the Chinese internet company that owns TikTok, have wrestled with the complexities of owning a piece of a geopolitically fraught social media app. Now it’s gotten even more complicated. A bill to force ByteDance to sell TikTok is winding its way through the Senate after sailing through the House this month. Questions about whether TikTok’s Chinese ties make it a national security threat are mounting. And U.S. investors including General Atlantic, Susquehanna International Group and Sequoia Capital — which collectively poured billions into ByteDance — are facing increased pressure from state and federal lawmakers to answer for their investments in Chinese companies. Last year, a House committee began examining U.S. investments in Chinese companies. The Biden administration has curbed U.S. investments in China. In December, a Missouri pension board voted to divest from some Chinese investments, after political pressure from the state treasurer. And Florida passed legislation this month to require the state’s Board of Administration to sell off its stakes in Chinese-owned companies. All of this comes on top of existing issues with owning a piece of ByteDance. The Beijing-based company has grown into one of the world’s most highly valued start-ups, worth $225 billion, according to CB Insights. That’s a boon, at least on paper, for U.S. investors who put money into ByteDance when it was a smaller company.
3 Cheap Stocks That Shouldn’t Be Cheap for Long 2024-03-26 13:49:00+00:00 - Key Points Wall Street is looking for high-growth stories trading at discounts, and they may have found three good candidates. All running on the same tailwinds, potential interest rate cuts could bring double-digit upside to investors. Analysts like them and institutions saw enough in them to start buying. 5 stocks we like better than The PNC Financial Services Group Earnings growth typically drives stock prices. Three stocks are set to grow at double and even triple-digit rates this year, yet their prices stay at more than 30% discounts from their 52-week highs. Whether underrated or just forgotten, they are cheap stocks that shouldn’t be so. The names to keep in mind for your ‘growth at a discount’ watchlist can include Hecla Mining NYSE: HL, Wayfair Inc. NYSE: W, and even Mobileye Global Inc. NASDAQ: MBLY. Combining tailwinds in the global economy on top of above-average earnings per share (EPS) growth can allow investors to grow their portfolios by double digits in this new cycle. Get PNC alerts: Sign Up Professional traders use a process called ‘top-down’ analysis to understand the macro developments at play. By understanding what is about to happen in the economy, investors can better decide where their money could see better returns. Get Ready for a Money Shift Analysts at The Goldman Sachs Group Inc. NYSE: GS gave Main Street an insight into their 2024 strategy. In their macro outlook report, it is clear that the investment bank expects to see a breakout in the manufacturing sector of the U.S. economy. Their expectations became evident after the ISM manufacturing PMI index reported a 6.4% jump in new export orders, the highest expansionary reading for the month of February. This means that demand for precious metals, home furnishings, and even original equipment manufacturers (OEM) could go higher. Of course, Goldman is betting that potential interest rate cuts by the Federal Reserve (the Fed) will revive manufacturing. So far, they are right. As the PMI shows, lower interest rates could lower the dollar, making U.S. exports more attractive to foreign nations. But the buck doesn’t stop there; lower interest rates could create more demand for luxury goods (silver), spur homebuying activity (furniture), and stimulate car loan financing (need for OEM parts). Precious Metals Are in Play After rallying to all-time highs, gold prices also gave way for other precious metals to go higher. For silver, this meant a rally of 23% from the fourth quarter of 2023 until now. While investors could take the risk and bet on futures contracts to profit from rising silver prices, there is a better way to beat the market. Mining stocks tend to follow – and even amplify – the price action in the commodity they mine. This is why Hecla mining analysts see up to 700% EPS growth in the next 12 months. As a silver miner, the company will sell more expensive silver and report the profits in the coming quarterly reports. Because the stock trades at only 61% of its 52-week high, institutions like Vanguard increased their position in the stock by 0.6%, calling for a $1.6 million transaction. More than that, Hecla’s forward P/E valuation of 53.3x forward P/E makes it 252% more expensive than the mining industry’s 15.2x average valuation. There must be a good reason for the market to overpay for this stock; now investors know that reason. Lower interest rates make the dollar weaker, and silver is quoted in dollars, so it could be a no-brainer investment to keep expecting higher silver prices ahead. Furnishing Homes at Double-Digit Growth For Wayfair, another major trend is helping Wall Street identify the potential upside in its stock. As Warren Buffett spotted an opportunity in real estate stocks coming soon, others affected by this boom – like furniture – could also benefit. The overall cost of buying a home could be much lower now that interest rates could bring mortgage costs lower, and the National Association of Realtors (NAR) just changed how agents get paid commissions. Homebuying activity spurs could be why analysts at Morgan Stanley NYSE: MS see a price target of $80 for Wayfair. Calling for a 27% upside, the valuations come as a result of the 176% EPS growth projected for this year. These assumptions could only be justified by the winds blowing in the real estate market, which could call Wayfair to furnish newly bought homes. Cars Are Next, so Are Parts As lower interest rates also stimulate new car financing, retail companies must restock their OEM inventory, where Mobileye comes into play. There must be a good reason why The PNC Financial Services Group Inc. NYSE: PNC and Vanguard both upped their exposure to Mobileye stock, especially last quarter when the stock rallied by 36%. Trading at 66% of its 52-week high prices makes the stock a cheap growth story today. Expecting 358% EPS growth this year, analysts are correct in their 42% upside projections with a $44.3 share price target. After all, its 42.7x forward P/E valuation puts it 324% above the industry average of 10.1x valuation. Again, “It must be expensive for a reason,” and investors are starting to figure out what that reason could be. Before you consider The PNC Financial Services 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 The PNC Financial Services Group wasn't on the list. While The PNC Financial Services Group currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Video captures terrifying moment Francis Scott Key Bridge collapses after ship collision in Baltimore 2024-03-26 13:39:00+00:00 - Baltimore’s Francis Scott Key Bridge, which had stood strong for nearly 50 years, collapsed into pieces in mere seconds early Tuesday after a cargo ship collided into one of its support pillars. Dramatic video shows the moment the 948-foot, Singapore-flagged container ship, named the Dali, hit the bridge, which carries Interstate 695 over the Patapsco River. The Coast Guard received a report at 1:27 a.m. that the vessel had made impact with the structure, triggering a response team. The disaster unfolded in seconds. At 1:24 a.m. the ship’s lights appeared to turn off and flicked back on a second later; dark black smoke appeared to billow from its chimney. At 1:26 a.m. the ship appeared to turn and its lights shut off and on again. At 1:28 a.m. the ship made impact and, seconds later, the portion of the bridge above it crumbled and plummeted toward the Patapsco River. The cargo ship that struck the Francis Scott Key Bridge is surrounded by wreckage Tuesday. Rob Carr / Getty Images Follow live updates here. It took about seven seconds for the ripple effects to carry across the 1.6-mile length of the bridge. Some parts of the massive structure were sent underwater. An expansive search and rescue effort is underway for at least seven people in the river. Two have been rescued so far. Daylight photos of the wreckage show wrangled pieces of the bridge on the head of the cargo ship. Not all parts of the bridge are underwater, some pieces of the continuous through truss bridge remain above water, some parts laying sideways. via WBAL / Sky Team 11 All 22 crew members on board the ship, including two pilots, have been accounted for and no injures were reported, Synergy Marine Group, the managing company of the ship told NBC News. The Dali container ship was bound for Sri Lanka. The company said the exact cause of the incident is yet to be determined. The loss of the bridge is emotional for locals. Chantel DeBord, who lives in Baltimore, told NBC News correspondent George Solis on Tuesday morning: “That was one of the proud things — that we built that and it’s still standing and just being able to say that our port is one of the reasons why the East Coast over here gets a lot of their product.” “The amount of money that we’re going to lose in our crabbing, our fishing industry, our taxes are going to go up, the commute is going to get really bad … the amount of devastation,” she added. “It makes me sad to know people lost their lives and now people are going to lose their livelihoods," DeBord said. No fatalities have been confirmed thus far. As of Tuesday morning, there's heavy Coast Guard presence around the wreckage site as search and rescue efforts continue.
Arm Holdings Stock Elevating on AI, Cloud, Automotive Tailwinds 2024-03-26 13:05:00+00:00 - Key Points Arm Holdings designs processor architecture, patents them, licenses and collects royalties from the world's largest chip makers, including Taiwan Semiconductor, Intel, Nvidia, Apple and Samsung. Its major clients are also strategic investors, and Softbank owns 90% of Arm Holdings stock. AI, cloud computing and automotive tailwinds continue to drive royalties as Arm Holdings is transitioning to a subscription-based licensing model called Arm Total Access (ATA), which has already grown to 27 of the largest semiconductor companies in the world. 5 stocks we like better than ARM Arm Holdings plc NASDAQ: ARM is a British semiconductor company with a virtual lock on most mobile computer chips produced worldwide. Estimates indicate that Arm has a 90% market share in mobile processors used in smartphones, tablets and smartwatches. Arm is continuing to grow its market share in servers, laptops and internet-of-things (IoT) devices driven by artificial intelligence (AI), cloud computing and automotive tailwinds. Arm’s intellectual property (IP) focuses significantly on energy-efficient CPUs used in portable devices. Since they don’t have the expenses of manufacturing chips or owning fabs, Arm is an asset-light, high-margin, capex and profitable business in the computer and technology sector. Get ARM alerts: Sign Up Legacy License and Royalty Model While Arm is a semiconductor company, it doesn't actually manufacture or produce computer chips. It designs and patents processor architecture licenses intellectual property (IP) to semiconductor companies and collects royalties. The license is a one-time upfront fee, and the royalties are payments made to Arm-based on every chip sold that uses the licensed architecture. Some of its well-known customers include Advanced Micro Devices Inc. NASDAQ: AMD, Qualcomm Inc. NASDAQ: QCOM, Broadcom Inc. NASDAQ: AVGO and Huawei. Migration to Subscription Licensing Model Like so many technology companies, including Pure Storage Inc. NYSE: PSTG and C3.ai Inc. NYSE: AI, that have adopted the subscription model, Arm is also transitioning to a subscription-based licensing model called Arm Total Access (ATA) license. The company has 27 ATA licensees, up from 22 in the previous quarter. V9 royalties are expected to generate twice as much revenue as its V8 designs. This is attributed to higher average rate increases of 3% to 5%, greater number of cores and higher average selling prices (ASPs). Check out the sector heatmap on MarketBeat. Surviving Locking Expiration Arm had its first lock-up expiration on March 11, 2024. Shares didn’t drop too much. SoftBank Co. OTCMKTS: SOBKY owns a 90% stake in Arm, and they haven't indicated being a material seller. Other investors consist mostly of strategic investors that are also customers, including Nvidia Co. NASDAQ: NVDA, Apple Inc. NASDAQ: AAPL, Taiwan Semiconductor Manufacturing Ltd. NYSE: TSM, Samsung Electronics Co. Ltd. OTCMKTS: SSNLF and Intel Co. NASDAQ: INTC. Swing and a Homerun On February 7, 2024, Arm reported fiscal Q3 2024 EPS of 29 cents, beating consensus analyst estimates of 25 cents by 4 cents. Revenue rose 13.8% YoY to $824 million versus $762.5 million consensus estimates. Raised Guidance for Arm Holdings Arm issued upside guidance for fiscal Q4 2024 EPS of 28 cents to 32 cents versus 20 cents consensus analyst estimates. Revenues are expected between $850 million to $900 million versus $778.83 million consensus estimates. The Virtuous Monopoly Cycle Drives Market Share Growth Royalty revenues will drive growth as demand for compute continues to grow as the performance requirements of computers and electronic devices rise. AI tailwinds became very apparent in the quarter as demand for anything that assists chips with AI acceleration skyrockets. As more Arm-based chips go into more products, more software is written for them, which in turn drives more demand for Arm-based chips. This compounding effect grows market share and raises royalty revenues. Arm V9 technology contributes 15% of total royalty revenue, up from 10% in the previous quarter. CEO Comments Arm CEO Rene Haas commented, “Arm has the most fundamental, foundational pervasive compute platform really in the history of digital design. Over 280 billion units in the 30 plus years that Arm has been a company have been built. And that has underpinned a software ecosystem and hardware ecosystem like no other.” Hass continued, “And given the fact that a CPU design is really driven by the hardware and the software, it creates a flywheel for continuous development. That is the more hardware that exists on Arm, the more software that's written for Arm, the more software that's written for Arm, the more popular the hardware.” Gamechanger for AI Data Center Processors Arm unveiled details of two Neoverse Compute Subsystems that can cut down the time to develop data center chips to less than a year. Compute Subsystems (CSS) are complete finished blocks of designs put together for end customers, saving them significant amounts of time validating their engineering work and time-to-market. The Arm Neoverse CSS V3 has a 50% improvement in performance, and Neoverse CSS N3 provides 20% higher performance per watt than its earlier version. Both are built on the third-gen Neoverse IP. The new compute subsystems can handle the massive processing loads required to operate AI applications. Arm Holdings analyst ratings and price targets are at MarketBeat. Arm Holdings peers and competitor stocks can be found with the MarketBeat stock screener. Daily Pennant Pattern The daily candlestick chart on ARM illustrates a pennant pattern. The pennant is comprised of lower highs and higher lows, with the descending upper trend line meeting the ascending lower trendline at the apex point. A break of either trend line triggers the breakout or breakdown. While this sounds like a symmetrical triangle, a pennant has a flagpole comprised of a sharp parabolic rise that precedes the symmetrical triangle. ARM commenced its flagpole at the $46.50 swing on October 23, 2023, rising to a swing high of $164.00 on February 12, 2024, preceding the pennant. The daily relative strength index (RSI) is attempting to rise through the 60-band. Pullback support levels are at $121.38, $102.09, $94.00 and $77.71. Before you consider ARM, 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 ARM wasn't on the list. While ARM currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Co-operative Bank to axe 400 jobs in bid to cut costs 2024-03-26 10:28:00+00:00 - The Co-operative Bank has unveiled plans to cut 400 jobs as part of the lender’s largest cost-cutting and restructuring programme since it was bailed out by hedge funds in 2017. The job cuts aim to reduce the size of its 3,000-strong workforce by about 12% Redundancies will affect staff across the business, including at its 50 branches. A spokesperson said the decision was unrelated to ongoing takeover talks with Coventry Building Society, which is considering buying the Co-operative Bank from its hedge fund owners and has been locked in talks over a potential deal since November. It comes just weeks after the Co-operative Bank reported that annual profits had nearly halved to £71.4m for 2023, due primarily to one-off costs. That includes £29m to cover the costs of a redress scheme meant to compensate mortgage customers affected by changes to its standard variable mortgage rate back in 2011 and 2012. The Co-operative Bank said the cuts were part of “next phase of its transformation plan”, having spent the past three years trying to “simplify and transform” the lender and create a business that would deliver sustainable growth. That included spending £100m on a new IT system. “Today, we have announced a series of changes across the bank which are essential for the delivery of the next phase of the strategic plan,” the lender said in a statement. “These include the commencement of a consultation on a proposed operating model restructure which is expected to result in a net reduction of approximately 400 roles (12%) across the bank,” the statement added. “The decision has not been made lightly, and the bank will continue to work closely with our trade union and to support impacted colleagues.” Staff, who were notified of the job cuts on Tuesday morning, will enter into a consultation period running until 7 May. The timing means staff will be gone by the end of August. The bank is continuing exclusive talks with Coventry. While the exclusivity period does not technically have a deadline, an extension beyond the end of March will require an informal agreement from both lenders. A potential deal would return the ethical bank to member ownership and create a high street challenger with almost 5 million customers. 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 The bank traces its origins to the 1872 establishment of the Co-operative Wholesale Society, the body that would become the Co-operative Group, and was meant to provide financial services to the wider co-operative movement in Britain, in which member-owned businesses worked for the common good. However, it ran into trouble in 2013 when a £1.5bn hole was discovered in its accounts after its disastrous takeover of the Britannia building society in 2009. The problem resulted in the bank separating from the Co-operative Group and being rescued by the consortium of hedge funds, which took full control in 2017. Its reputation also suffered after the former chair, the ex-Labour councillor and Methodist church minister Paul Flowers – nicknamed the “Crystal Methodist” – pleaded guilty to possession of cocaine, crystal meth and ketamine in 2014. The bank returned to profit for the first time in a decade in 2022 and was able to triple its bonus pot for bankers, just in time for its 150th anniversary, before one-off costs depressed bottom-line earnings for 2023.
Carnival Stock Has 29% Upside, According to 1 Wall Street Analyst 2024-03-26 05:18:00+00:00 - Conflict and piracy in and around the Red Sea have thrown a monkey wrench into the travel plans of cruise ship companies that operate there. Carnival Corp. (NYSE: CCL), in particular, suffered a minor setback on Monday, when analysts at Susquehanna International Group said they would tweak their price target lower, to $22 per share. As the analyst explained in a note covered on TheFly.com, "certain itineraries" around the Red Sea have been rerouted, and others canceled outright. Despite this setback, Susquehanna's $22 price target still implies that Carnival stock will gain about 29% over the next year -- not bad for a stock that already nearly doubled over the last year. Is Carnival stock a buy? Susquehanna's note focuses on the short-term implications of Red Sea events for Carnival's Q1 earnings results, tempering optimism about the company's performance during the upcoming "2024 Wave Season" -- i.e. "Summer," or "Q3" to investors. But the story surrounding this cruise line stock's comeback is a whole lot bigger than just one quarter. After eking out an existence despite the pandemic, Carnival has come roaring back, recording significant revenue gains in 2022, setting a new record for revenue in 2023, and coming within a whisker of earning a profit as well. (Carnival lost just $74 million last year, according to S&P Global Market Intelligence data, after losing $10 billion in 2020). By all accounts, 2024 should be the year Carnival completes its recovery. Analysts on average forecast another revenue-record-setting year ($24.6 billion) and nearly $1 a share in profits (giving the stock a modest P/E ratio of 18). And things are likely to only get better from there. Over the next five years, Carnival sales are expected to grow 11% annually, while its earnings rise more than double to $2.53 per share. Granted, debt is still a problem -- Carnival owes $29.5 billion net of cash on hand -- and the company needs to keep making progress paying that down. But bankruptcy fears seem behind Carnival for well and good now, and sunnier seas lie ahead. Story continues Should you invest $1,000 in Carnival Corp. right now? Before you buy stock in Carnival Corp., consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Carnival Corp. wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Stock Advisor provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. The Stock Advisor service has more than tripled the return of S&P 500 since 2002*. See the 10 stocks *Stock Advisor returns as of March 25, 2024 Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends S&P Global. The Motley Fool recommends Carnival Corp. The Motley Fool has a disclosure policy. Carnival Stock Has 29% Upside, According to 1 Wall Street Analyst was originally published by The Motley Fool
New Rule Change Could Be 'Worst Thing Ever' for Realtors And Great News For Homebuyers, With This Real Estate Stock Seen As A 'Beneficiary' 2024-03-26 05:00:00+00:00 - In a recent settlement, the National Association of Realtors agreed to change its rule so that anyone who lists a home for sale on any of its databases can no longer offer commission to the buyer's agent. If the court approves the settlement, the rule change would take place in mid-July. This could bring about a future where the seller would no longer be paying for the buyer's agent, leading to more buyers being their own agents. The changes would "decouple" the commissions owed to the buyer and seller agents, allowing more flexibility in negotiation, according to Stephen Brobeck, a senior fellow at the Consumer Federation of America. Don't Miss: Executives and founders of Uber, Facebook and Apple are bullish on this wellness app that you can co-invest in at $1.15 per share. US military-backed AI robotics company announces new equity raise for regular investors, here’s how to buy shares and potentially own a stake. He estimates that over time, a home being sold for $500,000 would save $10,000 in commission costs, potentially lowering the price of homes being sold. However, not everyone is convinced that buyers will benefit from the rule change, at least in the short term. Lei Wedge, an associate professor specializing in real estate and investments at the University of South Florida, told Yahoo! Finance that "it's going to be worse for the buyer" because "buyers will [probably] end up paying more money for the home because now they have to come up with a commission to pay their buyer agent because this is a seller’s market." Trending: Fortnite’s creator company greenlights partial ownership for up to 100 accredited investors in the upcoming series. Even with those concerns, Wedge remains optimistic that over the longer term, it'll bring progress in lowering costs as "[in] the rest of the world, the commission to sell a property is 2% to 3% ... there’s no reason the average cost of selling a property in the United States is 5.49%." Story continues Markets have already started to price in the prospect of a major shake-up to the commission structure that occurs in today's real estate transactions. Before the settlement was determined, financial services firm Morningstar singled out CoStar Group Inc. (NASDAQ:CSGP), which owns homes.com, as a beneficiary, saying, "Homes.com should be largely unaffected from the direct implications of this lawsuit as it aims to monetize just one side of the transaction by selling advertisement products to enhance the exposure of seller listings on its platform." Meanwhile, Morningstar argued that "real estate portals like Zillow and Realtor.com stand to lose the most from the impacts of this decision as they make most of their revenue by routing buyer leads to real estate agents that buy its advertising products. Since the lawsuit mainly targets the buyer-side brokerage commission, therefore it can have a significant impact on Zillow (NASDAQ:Z) and Realtor.com." The stocks of CoStar and Zillow have diverged accordingly, with CoStar up about 18% in the past month compared to Zillow down over 3%. Regardless of how the situation plays out, it's left those in the real estate industry with significant uncertainty. According to Belinda Tucker, a Realtor who owns a firm in North Carolina, the changes will either "turn out to be a good thing" or "could turn out to be the worst thing ever." Read Next: This startup coined “eBay for gamers” with a breathtaking track record has opened up a window to invest in its future growth . On a hunt for a future startup unicorn? Don’t forget Peter Thiel’s startup investing principles. "ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now! Get the latest stock analysis from Benzinga? This article New Rule Change Could Be 'Worst Thing Ever' for Realtors And Great News For Homebuyers, With This Real Estate Stock Seen As A 'Beneficiary' originally appeared on Benzinga.com © 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Former Lululemon CEO Slams Current Leadership For DEI Initiatives, 'Some Women's Bodies Just Actually Don't Work...You Don't Want Certain Customers' 2024-03-26 04:30:00+00:00 - Lululemon (NASDAQ:LULU) shares dropped 11% in after-hours trading Thursday after the company released its 2023 Q4 report and 2024 predictions. The company reported a 19% increase in year-over-year revenue growth, up $9.6 billion in 2023 including a 12% increase in America. However, the 2024 forecast painted a more conservative picture, with projected net revenue ranging between $10.700 billion to $10.800 billion, falling short of analyst expectations of $10.9 billion. Don't Miss: Executives and founders of Uber, Facebook and Apple are bullish on this wellness app that you can co-invest in at $1.15 per share. US military-backed AI robotics company announces new equity raise for regular investors, here’s how to buy shares and potentially own a stake. Q3 revenue in America exhibited a 9% uptick compared to the previous year, a decline from the 29% growth recorded in the corresponding quarter of the previous year. "As you've heard from others in our industry, there has been a shift in the U.S. consumer behavior of late and we're navigating what has been a slower start to the year in this market," CEO Calvin McDonald said on the company's earnings call. He also noted that a lack of sizing and color options had led to lower traffic and conversions in the U.S. market. In addition to evolving market dynamics, Lululemon found itself embroiled in controversy following derogatory remarks by its founder and former CEO, Chip Wilson, regarding the company’s Diversity and Inclusion (DEI) initiatives earlier this year. Trending: Fortnite’s creator company greenlights partial ownership for up to 100 accredited investors in the upcoming series. Wilson criticized Lululemon’s approach in an interview with Forbes, stating, “They’re trying to become like the Gap, everything to everybody. And I think the definition of a brand is that you’re not everything to everybody... You’ve got to be clear that you don’t want certain customers coming in.” Story continues This isn’t the first instance of Wilson making disparaging comments targeting consumers. In 2013, he faced backlash for remarks suggesting that “some women’s bodies just actually don’t work,” prompting accusations of fatphobia. Subsequently, amidst the fallout from his remarks, Wilson stepped down from his position as Chairman. "I REMAINED CHAIRMAN UNTIL 2013 WHEN I LOST CONTROL OF THE CULTURE AND PRODUCT DEVELOPMENT. AT ODDS WITH A BOARD OF DIRECTORS WHO DID NOT WANT TO INVEST IN THE FUTURE, I DEPARTED IN 2013," says Wilson on his website. Since 2013, Lululemon has been committed to enhancing its DEI initiatives and broadening its appeal. This includes establishing a DEI committee with an annual budget of $5 million, bolstering training programs and fostering greater diversity within its workforce. "Our goal is to reach 40% racially diverse representation for our stores, and 30% racially diverse representation of our directors and assistant store managers and above by 2023. The funding and launch of a global internship and global mentorship programs will support our commitments to attract and retain more diverse talent," according to Lululemon's website. Read Next: This startup coined “eBay for gamers” with a breathtaking track record has opened up a window to invest in its future growth . On a hunt for a future startup unicorn? Don’t forget Peter Thiel’s startup investing principles. "ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now! Get the latest stock analysis from Benzinga? This article Former Lululemon CEO Slams Current Leadership For DEI Initiatives, 'Some Women's Bodies Just Actually Don't Work…You Don't Want Certain Customers' originally appeared on Benzinga.com © 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
In France, the Future Is Arriving on a Barge 2024-03-26 04:00:35+00:00 - As pale morning light flickered across the Seine, Capt. Freddy Badar steered his hulking river barge, Le Bosphore, past picturesque Normandy villages and snow-fringed woodlands, setting a course for Paris. Onboard were containers packed with furniture, electronics and clothing loaded the night before from a cargo ship that had docked in Le Havre, the seaport in northern France. Had the cargo continued by road, 120 trucks would have clogged the highways. Using Le Bosphore and its crew of four prevented tons of carbon emissions from entering the atmosphere. “The river is part of a wider solution for cleaner transport and the environment,” Captain Badar said, his eyes scanning other vessels carrying wares up and down the Seine. “But there’s much more that we could be doing.” As the European Union steps up its battle against climate change, it needs to decarbonize freight transport, responsible for a quarter of global greenhouse gas emissions.