Micron Technologies is a blue-chip tech stock trading at a deep value. The company’s weak guidance may already be priced into the stock.  Micron Technologies has a healthy balance sheet and is well-positioned for a slowdown.  Shares of Micron Technology (NASDAQ:MU) are down nearly 50% from their post-pandemic highs, driven by the same malaise as […] Micron Technologies is a blue-chip tech stock trading at a deep value. The company’s weak guidance may already be priced into the stock.  Micron Technologies has a healthy balance sheet and is well-positioned for a slowdown.  Shares of Micron Technology (NASDAQ:MU) are down nearly 50% from their post-pandemic highs, driven by the same malaise as other parts of the market, and now presenting a very memorable time to buy. if (typeof jQuery == 'undefined') { document.write(''); } .first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important} form.ebook-styles .error, form.ebook-styles #error { color:#d00; } form.ebook-styles .formfields h1, form.ebook-styles .formfields #mg-logo, form.ebook-styles .formfields #mg-footer { display: none; } form.ebook-styles .formfields { font-size: 12px; } form.ebook-styles .formfields p { margin: 4px 0; } Get The Full Series in PDF Get the entire 10-part series on Charlie Munger in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues. (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true); Q2 2022 hedge fund letters, conferences and more   Find A Qualified Financial Advisor Finding a qualified financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you're ready to be matched with local advisors that can help you achieve your financial goals, get started now. At these levels, near $50, the stock is valued at a mere 6X its earnings and this is a blue chip tech stock fundamental to the global economy we’re talking about. Even Intel (NASDAQ:INTC) trades at nearly twice the value and it’s no flashy name itself, not one worth such a large premium in the face of a slumping market anyway. The takeaway is that the shares of Micron are trading at a firm level of support, the company is outperforming expectations, and is well-positioned for the downturn in business and so attractively priced at these levels.  Micron Circles The Wagon Following Mixed Quarter  Micron had a tough quarter but not one without good news although the good news was sparse. The company reported $6.64 billion in revenue for a decline of 19.7% versus last year and missed the consensus by 200 basis points which are not good news. The downturn was driven by a decline in demand versus last year’s pandemically-driven peak that is expected to extend into next year. The NAND and DRAM markets are well-supplied at this time and undergoing an inventory correction that has been brewing for the last two quarters or so.  The margin is also a source of bad news but not quite as bad as expected, which is the good news. The company reported a contraction in the GAAP and adjusted margin at the gross and operating levels due in large part to deleveraging in the face of slowing sales. Operating expenses held relatively flat on a sequential and YOY basis (up in both comparisons but slightly) which cut deep into the bottom line. The good news is that adjusted EPS of $1.45 came in $0.08 better than expected although it is down about a dollar from last year and the guidance isn’t awesome.  Micron is guiding FQ1 to revenue of $4.25 billion plus or minus a quarter billion. This is not only down sequentially and YOY but the weakest quarterly outlook in many years, since well before the pandemic, and more than 2500 basis points below the current consensus. The revenue weakness is going to lead to earnings of $0.04 to $0.10 as well, which is another big whiff. Micron’s Balance Sheet Is Ready For The Slowdown  Micron has a very healthy balance sheet that includes $11 billion in cash and securities and a net-cash position of $4.15 billion which is enough to support the dividend and the buyback plan over the next year with no changes.  As it is, the company bought back $2.43 billion in fiscal 2022 and started paying a dividend. The yield is worth 0.85% but comes with an ultra-low payout ratio and a very healthy balance sheet so there is a positive outlook for distribution increases although maybe not this year.  The Technical Outlook: Micron Moves Up From Support  Shares of Micron gained nearly 3.0% in early trading and look like they may be putting in a bottom. The near-term outlook is bullish but may be capped at the short-term moving average so caution is due. A move above the EMA would be bullish and could lead to a fuller reversal but general market conditions may put a lid on that for the foreseeable future. Longer-term, if the stock can put in a solid bottom a reversal is likely in the back half of 2023 once the memory-chip market restabilizes and production begins to ramp again.  Should you invest $1,000 in Micron Technology right now? Before you consider Micron Technology, 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 Micron Technology wasn't on the list. While Micron Technology currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here Article by Thomas Hughes, MarketBeat.....»»

For weekend reading, Gary Alexander, senior writer at Navellier & Associates, offers the following commentary: Indexes are setting new annual lows. In my previous column, I predicted (based on the history of mid-term election year markets) that we would likely see lower lows in the fall, if history is any guide. It may happen sometime […] For weekend reading, Gary Alexander, senior writer at Navellier & Associates, offers the following commentary: Indexes are setting new annual lows. In my previous column, I predicted (based on the history of mid-term election year markets) that we would likely see lower lows in the fall, if history is any guide. It may happen sometime in early to mid-October, but then we’re likely to see a dramatic year-end rally – probably starting before the actual November 8 election results are in. After all, markets tend to anticipate news. .first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important} form.ebook-styles .error, form.ebook-styles #error { color:#d00; } form.ebook-styles .formfields h1, form.ebook-styles .formfields #mg-logo, form.ebook-styles .formfields #mg-footer { display: none; } form.ebook-styles .formfields { font-size: 12px; } form.ebook-styles .formfields p { margin: 4px 0; } Get The Full Ray Dalio Series in PDF Get the entire 10-part series on Ray Dalio in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true); Q2 2022 hedge fund letters, conferences and more   Find A Qualified Financial Advisor Finding a qualified financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you're ready to be matched with local advisors that can help you achieve your financial goals, get started now. Below is a month-by-month look at the last 15 fourth quarters of mid-term election years, since 1962. Going into this study, I thought that the late-year gains would be strongest in November, after the election results were in, but that was not the case. As you can see from this table, the majority of the gains came in October, before the elections. What’s more, October was the best-performing fourth-quarter month in 8 of the last 15 mid-term cycles: There are some interesting stories here. Among double-digit fourth-quarter gains, these four lead the pack: In 1962 (+12.1%), the Cuban Missile Crisis was resolved in late October, which gave JFK an election boost. His Party lost only two seats (-4 in the House and +2 in the Senate) after pundits once expected he would lose far more. In addition, November delivered a nice double-digit 10.2% market gain. In 1982 (+16.8%), we still suffered from our worst postwar recession, and the once-popular Ronald Reagan sported a 42% approval rating, but Fed Chair Volcker had broken the back of inflation and was busily lowering interest rates by giant steps, so that delivered an 11% market boost in October. In 1998 (+20.9%), October gained 8% even though President Clinton was subject to impeachment investigations. His popularity soared to 65% and stayed there through the mid-term election, as most people thought the charges were fairly trivial. After the previous 10 Presidents (going back to FDR) had lost seats in mid-term elections, Clinton actually gained 5 House seats and lost no Senate seats. 2010 (+10.2%) is the most recent double-digit gain, when Tea Party voters delivered what columnist Charles Krauthammer called a “restraining order” to the Obama Administration’s ambitious plans. The 2010 election resulted in the largest swing since 1938: +63 House seats and +6 Senate seats. This table from Bespoke Investment Group shows a summary of the mid-term election results since 1946: Will 2022 Be An "Inflation Election" or Will We See an October Surprise? Last April, The Wall Street Journal called the coming mid-terms, “The Inflation Election”. Since then, each time the Biden team says inflation has peaked, some uncomfortably high inflation numbers emerge, partly caused by Biden’s blunders, like limited fossil fuel exploration or pushing more costly electric vehicles (EVs). We are already suffering from electricity shortages, even with a small percentage of EVs on the road. In the last 12 months, through August 31, electricity prices are up 15.8% and utility prices, including natural gas, are up 33%. Groceries are up 13.5%, which is the fastest rise since 1979. Wages aren’t keeping up, as real average hourly earnings are down 2.8% from August 2021 to August 2022, so inflation remains the #1 issue for most voters this year. Each of the past four Presidents suffered a reversal of their Party’s Congressional majority during a mid-term election: Clinton in 1994, Bush in 2006, Obama in 2010, and Trump in 2018 – two Democrats and two Republicans. President Biden has a much narrower margin in both Houses than the previous four Presidents, and he has a low popularity rating, so he will likely suffer the same fate this November. With Democrats barely holding 50-50 in the Senate and 51-49 in the House, that’s the narrowest plurality going into a first-time mid-term, and Biden’s latest approval rating is the same 42% as Trump’s in 2018. The Fed isn’t doing the President any favors. Following the Federal Reserve’s latest hawkish inflation-fighting game plan, we’re liable to see a 0.75% rate increase just six days before the election, so a big swing in Congress this fall – how much is anyone’s guess – is a likely bet. The current real-money odds in Las Vegas are about 6-to-1 (put up $6 to win $1) that the Republicans will take control of the House. The war in Ukraine is important, but out of touch to most Americans. Inflation in food and energy prices – exacerbated by that war (but not caused by it) – are closer to home for most voters. With inflation stubbornly higher than the “transitory” predictions of the Fed last year, and only one more monthly data point to report for the Consumer Price Index (CPI) before the elections, there is not much time for the Biden team to turn around inflation expectations among millions of voters suffering these high prices. There’s always the chance for an October or early November surprise, like a sudden solution to the war in Ukraine, but even in that arena, the blundering Biden team seems more intent on unconditional surrender and regime change in Russia than in negotiations. There’s also talk of more regulations and higher taxes, while flooding the economy with cash-machine, vote-buying schemes like college loan debt forgiveness. Incumbents seldom win re-election for their Party when they take a bustling 6.3% GDP economy down to “stagflation” (zero growth plus inflation), even if they come up with spending plans disguised as Inflation Reduction Acts, so get ready for Gridlock, unless the Biden team can pull a miracle out at the last minute......»»

The largest cryptocurrency by market capitalization rose over $20,000 at one point in choppy trading; ether ticks upward. Market Wrap is CoinDesk’s daily newsletter diving into what happened in today's crypto markets......»»

By Brandon Polakoff It feels like yesterday that COVID-19 struck our nation, sending the real estate markets into a frenzy. What would the next week, 6 months, year, or even multiple years look like? While very few investors decided to double down, most remained on the sidelines because they were... The post Q3 2022 – Remain Active When Others Are Greedy…And Active When Others Are Fearful… appeared first on Real Estate Weekly. By Brandon Polakoff It feels like yesterday that COVID-19 struck our nation, sending the real estate markets into a frenzy. What would the next week, 6 months, year, or even multiple years look like? While very few investors decided to double down, most remained on the sidelines because they were certain more cracks would lead to better opportunities. Of note, these “better” opportunities never came to fruition. We hit a perceived bottom, and the investment sales market effectively came to a halt. By last summer, effectively a year after the initial COVID-19 scare, we battled back with rallying cries of “don’t bet against NYC!” ringing across the market (most coming from buyers who sat on their hands for 12 months). As buyer sentiment grew strong, investors started competing in masses, pushing pricing and sales velocity back to normalized levels. As conveyed in Avison Young’s Fourth Quarter 2021 Property Sales Report, for the first time in two years, the Manhattan investment sales market recorded quarterly sales activity at pre-pandemic levels. More specifically, in the fourth quarter of 2021, Manhattan had 100 transactions for just over $6.2 billion in total dollar volume. This represented increases over the trailing 4-quarter average of 117% and 307%, respectively. Furthermore, this was the highest quarterly dollar volume since Q3 2018 and largest for total transaction count since Q4 2018. Well, here we go again…thanks inflation! The inflation rate is currently ~8.3%, running around its highest level in 40+ years. To reduce inflation down to a benchmark target rate of 2%, the Federal Reserve is committed to fighting back with endless “jumbo” fed rate hikes. While different from the “fed” rate, which is the cost banks charge each other to borrow money, real estate investors are experiencing a trickle-down effect in the way of higher “mortgage” rates. This higher cost of borrowing is diminishing cash flow after debt service as well as predictions about exit cap rates (which I would argue becomes an overly inflated assumption tied to negative sentiment). And herein lies the opportunity. While Warren Buffet is a brilliant investor, far above any level of sophistication I will achieve in my lifetime, I happen to find his famous quote “befearful when others are greedy, and greedy when others are fearful” to be misleading. In fact, Warren Buffet is a longtime advocate of dollar-cost averaging in volatile markets marked by price discovery. “The concept of dollar-cost averaging is simple: Pick some stocks, figure out how much you can afford to invest, and then commit to buying shares at preset intervals. The idea behind dollar-cost averaging is that while you might overpay for shares some weeks, you’ll also underpay other weeks. All told, things should all work out in your favor so that you’re ultimately paying a lower price per share all in.” (Maurie Backman, USA Today) I fully recognize that the stock market is different than the real estate market, but I do believe there are basic investment principles that apply to both. It is incredibly difficult to time the bottom of the market. Things can flip almost immediately, and then you’re too late. The cracks are here, but they won’t necessarily last as long as you think. Just like we saw in the summer of 2021 as we started emerging from COVID-19, things turn as soon as sentiment improves. Rent rolls were still very low (with extensive vacancy) when contracts began to get signed in rapid clips. However, assumptions about the future were optimistic again, pushing pricing levels higher and higher. Over the next 3-6 months (at least) I expect sales volume to dip to very low levels. The reason being investors are both greedy and fearful. A good opportunity needs to be great (typically in the form of an expected call back from a seller that never surfaces…deeper pain is coming…). This is a flawed strategy. I have seen it time and time again. These investors do not buy anything until the market recovers and it is too late. Why not undercut the greedy and fearful, and smile when they eventually buy a similar asset at a much higher basis due to an improved exit assumption? Sure, your cash flows will be negatively impacted today by higher interest rates and the hold period may be longer. However, when the market turns, which it will, your ultimate profit (via sale) should far exceed the diminished monthly income. Some examples include a property we sold to a buyer in May of 2020 in Greenwich Village. Prior to Covid-19, we had contracts out in the mid $30M range. In the blink of an eye, buyers smelled blood in the water and began offering $15-20M. There was a single buyer that recognized an opportunity and moved lighting speed to simultaneously sign a contract and close all cash at $22M. While money was spent to renovate the asset, the current value has eclipsed $50M. Buyers who backed off now wish they could go back in time. The same could be said about a client that purchased an almost entirely vacant portfolio in Hell’s Kitchen for $26M in May 2020. Zero renovations were completed across the portfolioafter the acquisition. After selling one of the four assets for $16.3M after the market quickly improved, their basis in the three remaining assets dropped to ~$10M. The current value for these properties exceeds $20M, in a high interest rate environment. Once again, an investor saw a good opportunity and acted on this intuition. While it is easy to look back on these acquisitions and forget the boldness required, when everything transpired it felt like the world was going to end. Of course, today, buyers tell me why this time is different, and the better opportunities will come. Everyone has very short memories when fear strikes. With that being said, it certainly goes both ways. Over the last 5-6 months a lot of my clients have chased the market down. When very strong offers came in, greed took over and we did not issue contracts (…things will get better). Months later we are scratching and clawing to bring those offers back to the table. However, blood is already in the water and the ship has sailed. My advice? If you are 100% selling, do not ask a price that is far too difficult to achieve. Do not expect to hang around and pick off a unicorn over time. As mentioned above, most buyers are on the sideline waiting for the great opportunity that never surfaces. Be quick to catch the attention of buyers that are smart enough to acton the very good opportunities, create real competition to maintain leverage, and strike. If you are not 100% selling, now is probably not the best time to list or quietly shop your property. You only have one chance to make a first impression, and word travels quickly. Additionally, it is imperative that investment sales brokers become extremely educated and not promise owners they can achieve pricing that is not achievable. You are hurting the client by delivering a stale product, not to mention elongating the price discovery process across the market. Another thing for sellers to consider is that they do not need to hit a home run on every sale. The best strategy may be redeploying capital into properties with more long-term upside versus trying to time the market with your current, maxed out investment (whether repositioned or idle without the wherewithal to execute a business plan). If someone is paying you a price that is above market, but not where you penciled your exit, that does not mean you cannot take advantage of an even better 1031 opportunity in a down market. It’s very important to weigh the trade, and not just the sale price. The post Q3 2022 – Remain Active When Others Are Greedy…And Active When Others Are Fearful… appeared first on Real Estate Weekly......»»

Shares of Duke Energy Corp. fell 1.8% in afternoon trading Friday, after the utility company said while 430,000 of its customers in Florida are still without power because of Hurricane Ian, it has already restored power to about 650,000 customers. The North Carolina-based company, which serves 1.9 million customers in Florida, said it has 10,000 people working to restore power in Florida, many who were brought into Florida from other states before the hurricane. The current estimated time for restoration (ETR) of power for Florida's Highlands, Polk and Volusia counties is about 6 p.m.; the ETR for 90% of customers in the Pasco and Pinellas counties is no later than 11:59 p.m. on Saturday; and the ETR for 90% of customers in Lake, Orange, Osceola and Seminole counties is no later than 11:59 p.m. on Sunday. Duke's stock has lost 12.9% over the past three months, while the Dow Jones Utilities Average has lost 8.2% and the Dow Jones Industrial Average has given up 6.1%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Oil futures declined Friday, contributing to their losses for the month and quarter as concerns over a potential recession raised expectations for a slowdown in demand. Still, oil supply will get tighter in the winter and "now that most of the crude demand destruction has been priced in, prices should stabilize going into the year-end," said Edward Moya, senior market analyst at OANDA. November WTI crude fell $1.74, or 2.1%, to settle at $79.49 barrel on the New York Mercantile Exchange, with front-month prices still up nearly 1% for the week. For the month, prices lost 11%, and ended the quarter down almost 25%, according to Dow Jones Market Data. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Stocks traded near session lows with less than an hour left in Friday's session, leaving the S&P 500 on track to end at another 2022 low as major indexes headed for hefty monthly losses. The Dow Jones Industrial Average was down 300 points, or 1%, while the S&P 500 fell 0.8% and the Nasdaq Composite shed 0.7%. The Dow was on track for a monthly loss of 8.3%, while the S&P 500 was off 8.8% and the Nasdaq declined nearly 10%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

U.S. stocks end sharply lower Friday, closing out a brutal month of September and posting their worst skid in the first 9-months of a year in two decades as higher rates and recession fears grip investors. The Dow Jones Industrial Average tumbled about 495 points Friday, or 1.7%, ending near 28,730 as heavy selling intensified into the closing bell. The S&P 500 index [s:spx] shed 1.5%, while the Nasdaq Composite Index finished down 1.5%. Losses for the week and month were far worse. The Dow led the major stock indexes lower with a 2.9% weekly skid, to end September down 8.8%. But the S&P 500 and Nasdaq recorded bigger monthly losses of 9.3% and 10.5%, respectively, according to FactSet data. The Federal Reserve's unwavering stance in September on raising rates until inflation finds a path down to its 2% target has been blamed for the sharp selloff. The task has been complicated by a roaring labor market and soaring home prices, which keep pressure on shelter costs. Home prices have only begun to show signs of a retreat after gaining 45% nationally during the pandemic, which will keep focus on next week's jobs update for August. For the year so far, the Dow fell 21%, the S&P 500 skid 24.8% and the Nasdaq shed 32.4%, which marked their worst first 9-month fall in a year since 2002, according to Dow Jones Market Data. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Cal-Maine Foods Inc. on Friday said it named Sherman Miller as its new chief executive, a move that took hold immediately. Miller, who most recently served as the egg producer's president and chief operations officer, will replace Dolph Baker at the helm. Baker will stay on as chairman of Cal-Maine's board and remain an executive officer "actively involved" in managing the company. Baker, in a statement, said Miller was a "proven leader in managing our operations through the various market cycles that are characteristic of our industry." Miller joined Cal-Maine in 1996. Shares of Cal-Maine finished 5.3% lower during regular trading. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Lockheed Martin Corp. said late Friday its board approved a 7% hike to the aerospace and defense company's dividend. The company said it will pay a $3-a-share dividend, up from a previous $2.80 a share, on Dec. 30, to shareholders of record as of Dec. 1. Shares of Lockheed Martin are up 8.7% for the year, compared with a 25% decline on the S&P 500 index . Lockheed Martin not only makes the High Mobility Artillery Rocket Systems, or HIMARS, but partners with Raytheon Technologies Corp. to make the Javelin anti-tank missile system, both of which have been supplied to Ukraine by the U.S. to defend itself from Russian invasion.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Robinhood Markets Inc. said late Friday it will take higher-than-expected restructuring charges as it exits leases on office space that it is not using. In a Securities and Exchange Commission filing Friday, the online broker said it expects to take charges of $90 million to $105 million in the third quarter, up from a previous estimate between $45 million to $60 million, in restructuring charges as a result. In August, the company said it was cutting 23% of its full-time staff, following cuts announced in April, which led it to re-evaluate its real-estate portfolio. Robinhood said it decided to partially or completely close five more offices, with four of those leases on office space that has never been occupied. The closures will not result in further layoffs, the company said.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

S&P Global Ratings on Friday moved its outlook on the U.K.'s AA sovereign credit rating to "negative" from "stable," citing concerns about the country's fiscal outlook. The British pound tumbled and yields on British government bonds, or gilts, soared after Treasury chief Kwasi Kwarteng on Sept. 23 unveiled a mini-budget plan that included 45 billion pounds in unfunded tax cuts. The Bank of England this week stepped in to buy gilts in an effort to stabilize the bond market. S&P, in a statement, said it now expects the U.K. government deficit to widen by an average 2.6% of gross domestic product annually through 2025, while net general government debt will continue on an upward trajectory, "in contrast to our previous expectation of it declining as a percentage of GDP from 2023." The ratings firm said the U.K. "continues to face balance-of-payment risks stemming from its persistently large current account deficit, which we forecast will widen to 6% of GDP this year, in part driven by higher costs of energy imports."Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

  “Are we there yet?” is not just a line from the kids the in the back of the car. It’s a question that investors, speculators, and professional traders have been asking themselves. The tl:dr is almost. We are almost there – down ~25% this year (so far). I wouldn’t call this an orderly sell-off,… Read More The post 7th Inning Stretch appeared first on The Big Picture.   “Are we there yet?” is not just a line from the kids the in the back of the car. It’s a question that investors, speculators, and professional traders have been asking themselves. The tl:dr is almost. We are almost there – down ~25% this year (so far). I wouldn’t call this an orderly sell-off, but it also hasn’t been the sort of collapse associated with true crashes like the 2000 tech wreck or the subprime mortgage/derivatives crisis. Still, we’re getting close to the levels that make my inner contrarian sit up and pay attention. For context, think about the times when all of the stars lined up and a major reversal was fairly obvious. Events such as the tech/dotcom implosion, the double low in Oct 2002 and March 2003, the Great Financial Crisis in late 2007/early 2008, the lows in March 2009, and more recently, the 2020 pandemic. These appeared as real-time, higher-probability trades if you were looking in the right places at the right time. Consider the chart (top) via Batnick. As he correctly points out, the Nasdaq has always been higher a year later when more than 90% of the NDX 100 are trading below their 200-day moving average. What makes this so challenging is that you very often have to go lower before you go higher. If you look where those NDX signals are given, it is before – and sometimes way before – the bottom. Hence, it’s why it’s more of a heads-up and not a bottom indicator. When markets begin to fall apart, I hear from folks looking for suggestions as to attractive entry spots. Picking tops and bottoms is an art when you do it for fun, but a fool’s errand if you run money professionally. But if you want to speculate as to the lows, rather than try to nail the bottom, consider scaling in over time. Break up your buys into 5-10 or so pieces. Buy down 25%, down 30ish%, 40something, and definitely +50%. But once the rally starts,1 continue buying by pyramiding your winning positions, add to them as they work out. Which of these two approaches do you suspect is more likely to work out for you? Genius bottom tick (2007-09):     Buying on the way down and on the way up (2007-09):     There are anecdotal examples all around: Consider the Noble Absolute Return ETF (symbol: NOPE). It is a new Long/Short ETF that was launched this week and currently has just 4 holdings: Cash (84%), Proshares Short Nasdaq QQQs (6%) Short Cathie Wood’s ARK Innovation ETF (5%), and Short S&P500 (4%). Ask yourself if Wall Street is more likely to introduce products of this sort at market tops or after a big move down, and much closer to the bottoms…     See also: Washout (Irrelevant Investor, September 27, 2022) Some Thoughts on Bear Markets (Carlson, March 11, 2022)   Previously: Countertrend? (August 15, 2022) Hindsight Capital (April 27, 2022) One-Sided Markets (September 29, 2021) End of the Secular Bull? Not So Fast (April 3, 2020) Don’t Panic! (with apologies to Douglas Adams) (March 9, 2020)     _________________ 1. Look for a classic volume and breadth thrust… The post 7th Inning Stretch appeared first on The Big Picture......»»

"Full-Fledged Ice Age": Semiconductor Companies Slash Output On Supply Glut Samsung Electronics, the world's largest memory chipmaker, provided more insight into the worsening slowdown for semiconductors and the bust in global PC markets.  Korea Economic Daily reported Samsung "lowered its semiconductor sales forecast for the second half of the year by more than 30%." The newspaper attributed slumping semiconductors demand "as the economy froze due to central bank rate hikes caused by global inflation."  The paper warned: "As the semiconductor industry has entered a full-fledged ice age, there are many forecasts in the industry that the recession will continue until the first half of next year when semiconductor inventories are eliminated."  Earlier this week, Samsung's Device Solutions division said they "lowered our sales guidance for the second half of this year (the company's internal forecast) by 32% from our April forecast." None of this should be a surprise as we recently outlined PC Demand Suffers' Steepest Decline In Years' As Chip Shortage Turns To Glut.  "Both DRAM and NAND flash suppliers and customers are holding too many semiconductor inventories," an official told Korea Economic Daily.  Another top semiconductor company, Japan's Kioxia Holdings Corp, announced it would slash wafer production starts by 30% next month, according to Bloomberg. "The deep cuts stem from weakening demand for computers and smartphones, and the wider semiconductor industry is likely to follow the trend. "Hard times are ahead for the industry, except for a few," said Kazunori Ito, an analyst with Morningstar.  These souring developments in the global semiconductor market come as the largest US manufacturer of memory chips, Micron, reported revenue that missed (despite a slight beat on EPS and margins), but it was the forecast that again was a total disaster.  Micron offered one of the most significant recession warnings so far from a large corporation: "results were impacted by rapidly weakening consumer demand and significant customer inventory adjustments across all end markets." It added that due to the sharp decline in near-term demand, it expects "supply growth to be above demand growth in calendar 2022." "Yes, we have a challenging market environment, but we're responding rapidly with actions ... fiscal 2023 is, of course, an unprecedented environment, but the long-term drivers are intact," Micron CEO Sanjay Mehrotra said in an interview.  But it's just not memory chips. We pointed prices of graphics processing units (GPUs) have plunged to their lowest levels ever in China, and chip deflation was already washing ashore in the US.  The iShares Semiconductor ETF (SOXX) has fallen 40% since peaking in late 2021, and the weekly 200-day moving average is being tested.  Earlier this week, Bloomberg reported Apple ditched plans to increase iPhone production due to a lack of demand. Weeks ago, FedEx warned that the global economy is "going into a worldwide recession." If both the semi-industry and top shippers are warning about economic turmoil ahead, then it's probably time to start preparing for a possible recession in 2023. Meanwhile, the Federal Reserve continues to hike into a slowdown aggressively -- this is a recipe for an epic policy error.  On the bright side, now, or at least in the months ahead, it might make sense to build a computer as it seems components, such as memory chips, GPUs, and CPUs, could be heavily discounted.  Tyler Durden Fri, 09/30/2022 - 18:40.....»»

Foot Locker's (FL) robust strategic efforts and the digital business are boosting results. Also, management is focused on enhancing presence internationally. Foot Locker, Inc. FL seems to be a good pick, thanks to its robust business strategies. Management has been investing significantly in reinforcing its digital presence and the direct-to-consumer (DTC) operations. FL is focused on improving performance through its operational and financial initiatives. Shares of this athletic footwear and apparel company have appreciated 30.3% over the past three months against the industry’s 2.1% decline.Let’s Delve DeeperFoot Locker is effectively managing inventory, investing in digital platforms and improving supply-chain efficiencies. The retailer has been augmenting its e-commerce platform, growing DTC operations, tapping into underpenetrated markets and opening Power Stores for a while. Management remains committed to the omni-channel progress.In second-quarter fiscal 2022, FL’s digital sales penetration rate was 16.9%, up from 14.3% seen in fiscal 2019. In the first week of the fiscal third quarter, Foot Locker completed the global rollout of its new e-commerce platform via implementations in Singapore and Malaysia. Management had earlier activated a Shop My Store feature on its website. It also added Apple Pay and Google Pay to digital payment options for providing greater flexibility, and convenience to customers. FL’s buy online and pickup in-store capabilities along with an updated mobile-app experience appear encouraging.Foot Locker is constantly accelerating its efforts, including greater diversification of merchandise and vendor mix, rollout of the important growth banners, advancement of omnichannel endeavors and implementation of the cost-savings program. FL announced a cost-optimization initiative, expecting the program to deliver $200 million of annual savings after being completely executed with the benefits starting in the fiscal third quarter and building into the fourth quarter.Image Source: Zacks Investment ResearchInternational expansion is another major catalyst. Foot Locker continues to progress with its expansion strategy within Asia by penetrating the untapped markets via licensing arrangements. It is also advancing well with the membership program FLX, inspiring customers to remain within the Foot Locker portfolio of banners.During the fiscal second quarter, the FLX program continues exhibiting momentum and helping Foot Locker serve customers efficiently. It has six key countries in Europe on the FLX platform. On its last earnings call, management informed that it captured above 70% of sales through its members in the United States, comparing favorably with the 50% witnessed two years ago.Foot Locker anticipates capital expenditures of approximately $275 during fiscal 2022, directed toward store openings as well as technology and omnichannel investments. In fiscal 2022, management expects to open roughly 100 stores, including 40 community and power outlets, plus 20 WSS stores and two atmos stores, while shutting down nearly 190 stores.Wrapping up, Foot Locker appears to be well-poised well for growth, based on all the aforementioned strengths. An impressive long-term expected earnings growth rate of 32.3% coupled with a Value Score of A shows the potential of this current Zacks Rank #3 (Hold) stock.Solid Picks in RetailSome better-ranked stocks are Designer Brands DBI, Buckle BKE and Capri Holdings CPRI.Designer Brands, the leading footwear and accessories designer, presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for Designer Brands’ fiscal 2022 sales and earnings per share (EPS) suggests growth of 6.9% and 23.5%, respectively, from the corresponding year-ago levels. DBI has a trailing four-quarter earnings surprise of 55.1%, on average.Buckle, a leading retailer of apparel, footwear and accessories has a Zacks Rank #2 (Buy) at present. BKE has a trailing four-quarter earnings surprise of 8.3%, on average.The Zacks Consensus Estimate for Buckle’s fiscal 2022 sales and EPS suggests growth of 6.8% and 4.5%, respectively, from the year-ago corresponding figures.Capri Holdings, a global fashion luxury group of iconic brands like Versace, Jimmy Choo and Michael Kors, carries a Zacks Rank of 2 at present.The Zacks Consensus Estimate for Capri Holdings’ current financial-year sales and EPS suggests growth of 3.3% and 10.1%, respectively, from the corresponding year-ago tallies. CPRI has a trailing four-quarter earnings surprise of 32.4%, on average. This Little-Known Semiconductor Stock Could Be Your Portfolio’s Hedge Against Inflation Everyone uses semiconductors. But only a small number of people know what they are and what they do. If you use a smartphone, computer, microwave, digital camera or refrigerator (and that’s just the tip of the iceberg), you have a need for semiconductors. That’s why their importance can’t be overstated and their disruption in the supply chain has such a global effect. But every cloud has a silver lining. Shockwaves to the international supply chain from the global pandemic have unearthed a tremendous opportunity for investors. And today, Zacks' leading stock strategist is revealing the one semiconductor stock that stands to gain the most in a new FREE report. It's yours at no cost and with no obligation.>>Yes, I Want to Help Protect My Portfolio During the RecessionWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Foot Locker, Inc. (FL): Free Stock Analysis Report Buckle, Inc. The (BKE): Free Stock Analysis Report Capri Holdings Limited (CPRI): Free Stock Analysis Report Designer Brands Inc. (DBI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Lindsay (LNN) banks on the rising farm income, which will drive demand for its irrigation equipment. Solid momentum in its infrastructure business also bodes well. Lindsay Corporation LNN is well-poised to gain from improving farm dynamics in the United States on the back of higher commodity prices. Its Infrastructure segment is benefiting from higher sales of road-safety products and Road Zipper System project sales. A strong balance sheet, focus on introducing technologically-advanced products, and investment in organic growth and acquisitions will drive growth.Irrigation Demand to Remain RobustLindsay is witnessing robust demand for its irrigation equipment in North America, driven by strong agricultural commodity prices. The USDA (U.S Department of Agriculture) projects a net farm income of $147.7 billion for 2022, the highest since 2013 and up 5.2% year over year. Cash receipts for agricultural commodities are expected at record levels.Receipts for soybeans are expected to be up 30.6%, corn 16.7% and wheat 33.7% from the respective prior-year levels, all led by higher prices. Combined receipts for corn, soybeans and wheat are forecast to increase $30.7 billion, accounting for most of the rise in crop cash receipts. The upbeat outlook for corn and soybeans, the most important grains for cash-crop farming, bodes well for farmer sentiment and will likely translate into improved order levels for Lindsay.Increased food-security concerns due to the pandemic and the Russia-Ukraine conflict are driving growth in LNN’s international markets. Lindsay is benefiting from a combination of increased selling prices and higher unit sales volumes in most international irrigation markets, including Australia, New Zealand, Western Europe and Brazil. Brazil remains a very competitive market, with strong prospects in terms of volume and price realization.Infrastructure Business Shows Solid ProspectsThe Infrastructure segment is benefiting from higher sales of road-safety products and Road Zipper System project sales.  LNN began delivering a $9-million Road Zipper project in Australia in the third quarter of fiscal 2022. Another $24-million barrier replacement project in Massachusetts is already approved and expected to be awarded in the fiscal fourth quarter.The Road Zipper System is expected to be a key catalyst for the segment. It is a highly differentiated product that positively addresses key infrastructure needs, such as reducing congestion, lowering carbon emission and increasing driver safety, which led to its global popularity.Demand for Lindsay’s transportation-safety products is highly dependent on government spending on road construction. The signing of the Infrastructure Investment and Jobs Act (IIJA) into law on Nov 15, 2021, will act as a tailwind for the infrastructure business. This legislation introduced $110 billion in incremental federal funding to repair roads and bridges and support other transformational projects, which will fuel higher demand for LNN’s transportation-safety products. The IIJA includes a five-year $370-billion reauthorization of Fixing America’s Surface Transportation (Fast Act).Investment in Technology to Boost Competitive EdgeFocus on bringing technologically-advanced products to the market will bolster Lindsay’s top line. In April 2020, LNN completed the buyout of Net Irrigate, LLC, which expanded the number of irrigated acres managed under LNN’s FieldNET platform. This acquisition strengthened LNN’s market position in remote-monitoring capabilities. LNN is witnessing strong growth in technology penetration, which will drive performance in the days ahead.Solid Balance SheetBacked by balance sheet strength, Lindsay continues to invest in organic growth, makes synergistic acquisitions and enhances shareholder returns. At the end of the fiscal third quarter, LNN has available liquidity of $146 million, with $96 million in cash, cash equivalents and marketable securities, and another $50 million available under the revolving credit facility.Lindsay’s total-debt-to-total-capital ratio was 0.23 as of May 31, 2022, lower than the industry’s total-debt-to-total-capital ratio of 0.71. The times interest earned ratio is 17, much better than the industry's 9.8.Price PerformanceImage Source: Zacks Investment ResearchLindsay’s shares have decreased 7% in the past year compared with the industry’s decline of 3.1%.Zacks Rank & Other Stocks to ConsiderAt present, Lindsay carries a Zacks Rank #2 (Buy). Some other top-ranked stocks in the Industrial Products sector are Tenaris TS, CECO Environmental CECE and W.W. Grainger Inc. GWW. While TS flaunts a Zacks Rank #1 (Strong Buy), CECE and GWW carry a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.Tenaris delivered a trailing four-quarter earnings surprise of 34%, on average. Earnings estimates have increased 8% for fiscal 2022 in the past 60 days. The TS stock has risen 18% in the past year.CECO Environmental delivered a trailing four-quarter earnings surprise of 29.1%, on average. Earnings estimates have increased 17% for fiscal 2022 in the past 60 days. The CECE stock has gained 23% in the past year.Grainger’s earnings surprise in the last four quarters was 7.9%, on average. In the past 60 days, its earnings estimates have increased 4% for 2022. The GWW stock has gained 22% in the past year. This Little-Known Semiconductor Stock Could Be Your Portfolio’s Hedge Against Inflation Everyone uses semiconductors. But only a small number of people know what they are and what they do. If you use a smartphone, computer, microwave, digital camera or refrigerator (and that’s just the tip of the iceberg), you have a need for semiconductors. That’s why their importance can’t be overstated and their disruption in the supply chain has such a global effect. But every cloud has a silver lining. Shockwaves to the international supply chain from the global pandemic have unearthed a tremendous opportunity for investors. And today, Zacks' leading stock strategist is revealing the one semiconductor stock that stands to gain the most in a new FREE report. It's yours at no cost and with no obligation.>>Yes, I Want to Help Protect My Portfolio During the RecessionWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lindsay Corporation (LNN): Free Stock Analysis Report W.W. Grainger, Inc. (GWW): Free Stock Analysis Report CECO Environmental Corp. (CECE): Free Stock Analysis Report Tenaris S.A. (TS): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Highlights for the Fiscal Year Ended June 30, 2022 11.5% Revenue Increase YoY to $27.1 Million 73% Increase YoY in Sales of Intelligent Pet Products 100% Increase YoY in Income Per Basic and Diluted Share 241% Increase YoY in Balance of Cash and Short-Term Investments PLANO, Texas, Sept. 30, 2022 /PRNewswire/ -- Dogness (International) Corporation ("Dogness" or the "Company") (NASDAQ:DOGZ), a developer and manufacturer of a comprehensive line of Dogness-branded, OEM and private label pet products, today announced its audited financial results for the fiscal year ended June 30 2022. Silong Chen, Chairman and Chief Executive Officer of Dogness, commented, "We continue to benefit from our priority focus of resources on the production and promotion of sales of our higher margin intelligent pet products. With both our existing models and the newly launched models of our smart products, we delivered a 73% increase in sales of our intelligent pet products in the fiscal year ended June 30, 2022, compared to the year ago period. We also continue to upgrade our production lines for traditional pet products to improve the productivity and lower the production costs. This has allowed us to lower our average unit selling price for our traditional pet products, while still maintaining desirable profit margins. Our sales strategy for traditional pet products has helped us to successfully retain our customers and attract new customers, which we have leveraged to increase awareness for our intelligent pet products. To mitigate the impact caused by COVID-19, we expanded our sales channels to more proven online shopping platforms, such as Amazon, Chewy, JD, Tmall, Costco.com, QVC.com and the live streaming sales platforms hosted by influencers, as well as maintaining the existing online and instore channels. These ecommerce sales normally have higher profit margin than traditional sales channels." "With the continued strong demand and pet culture growth in China and worldwide, more and more young consumers have become pet owners. Dogness is well positioned to benefit from this growth, which is serving as a sales catalyst for our intelligent pet products, including App-controlled smart pet food feeders, pet water fountains, pet tracking devices and smart pet toys. In addition, our sales and distribution channel has been further diversified due to the rapid change of technology and lifestyle. Younger generations are more tech savvy and more willing to purchase products from popular online shopping sites, including Amazon, Chewy, JD, Tmall and Taobao, and from live streaming sales platforms hosted by influencers. As a result, we strategically increased our marketing activities and sales efforts in the domestic market, especially on those online shopping sites and channels." "As we look forward we are even more excited about our growth potential led by our continued development of innovative, differentiated pet products and services, which allow us to build strong relationships with our customers, build brand loyalty, enhance our market position, increase transaction size and further enhance operating margins. Taken together, we believe Dogness is on track to further improve our sales, profitability and return on investment for our stockholders in the near future." Financial Results for the Fiscal Year Ended June 30, 2022 Revenues increased by approximately $2.8 million, or 11.5%, to approximately $27.1 million for the year ended June 30, 2022, compared to $24.3 million in the year ended June 30, 2021. The increase in revenue was primarily attributable to the increased sales of the Company's intelligent pet products, which have much higher average selling price than our traditional pet products. Revenue from the Company's intelligent pet products increased by approximately $5.7 million or 73.0%, from approximately $7.8 million in fiscal 2021 to approximately $13.5 million in fiscal 2022, primarily reflecting a higher selling price and increased sales volume. Revenue from traditional pet products decreased by approximately $2.9 million or 20.2% from approximately $14.3 million in fiscal 2021 to approximately $11.4 million in fiscal 2022, primarily reflecting a decreased average selling price per unit. Total sales in international markets increased by approximately $3.9 million or 36.8% to $14.5 million in the year ended June 30, 2022 from approximately $10.6 million in the year ago period. Domestic sales decreased by approximately $1.1 million or 8.3% from approximately $13.7 million in the year ended June 30, 2021 to approximately $12.6 million in the year ended June 30, 2022. The Company has seen a sharp increase in consumer demand in the U.S., Australia, Japan and other Asian countries because of the stimulus plan and the strong recovery of the economy. Sales to the U.S. increased by approximately $2.0 million or 32.4% to approximately $8.0 million in the year ended June 30, 2022 from approximately $6.0 million for the year ended June 30, 2021. Sales to Japan and other Asian countries and regions market increased by approximately $1.7 million or 131.0% to approximately $3.0 million for the year ended June 30, 2022 from approximately $1.3 million for fiscal 2021. Cost of revenues increased by approximately $1.8 million, or 11.8%, from approximately $15.2 million in the year ended June 30, 2021 to approximately $17.0 million in the year ended June 30, 2022. Gross profit increased by approximately $1.0 million or 10.7%, to approximately $10.1 million in the year ended June 30, 2022 from approximately $9.2 million in the year ago period due to the continued upgrading of the Company's production lines for both traditional and intelligent pet products, which led to improved productivity and lower production costs. Overall gross profit margin was 37.4% for the year ended June 30, 2022, as compared to 37.6% for the year ended June 30, 2020. Net income attributable to Dogness increased to $3.2 million or $0.10 per basic and diluted share for the year ended June 30, 2022 , compared to $1.5 million or $0.05 per basic and diluted share for the year ended June 30, 2021. The Company recognized a $3.2 million foreign currency translation loss for the year ended June 30, 2022, compared to a gain of $4.9 million in the year ago period. The Company had a balance of cash and short-term investments of approximately $16.7 million as of June 30, 2022, compared to approximately $4.9 million as of June 30, 2021. About Dogness Dogness (International) Corporation was founded in 2003 from the belief that dogs and cats are important, well-loved family members. Through its smart products, hygiene products, health and wellness products, and leash products, Dogness' technology simplifies pet lifestyles and enhances the relationship between pets and pet caregivers. The Company ensures industry-leading quality through its fully integrated vertical supply chain and world-class research and development capabilities, which has resulted in over 200 patents and patents pending. Dogness products reach families worldwide through global chain stores and distributors. For more information, please visit: ir.dogness.com. Forward Looking Statements No statement made in this press release should be interpreted as an offer to purchase or sell any security. Such an offer can only be made in accordance with the Securities Act of 1933, as amended, and applicable state securities laws. Certain statements in this press release concerning our future growth prospects are forward-looking statements regarding our future business expectations intended to qualify for the "safe harbor" under the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding lingering effects of the Covid-19 pandemic on our customers' businesses and end purchasers' disposable income, our ability to raise capital on any particular terms, fulfillment of customer orders, fluctuations in earnings, fluctuations in foreign exchange rates, our ability to manage growth, our ability to realize revenue from expanded operation and acquired assets in China and the U.S., our ability to attract and retain highly skilled professionals, client concentration, industry segment concentration, reduced demand for technology in our key focus areas, our ability to successfully complete and integrate potential acquisitions, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings. These filings are available at www.sec.gov. Dogness may, from time to time, make additional written and oral forward-looking statements, including statements contained in the Company's filings with the Securities and Exchange Commission and our reports to shareholders. In addition, please note that any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of the date of this press release. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.   DOGNESS (INTERNATIONAL) CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) 2022 2021 2020 For the Years Ended June 30, 2022 2021 2020 Revenues- third party customers $ 24,882,618 $ 23,112,435 $ 18,261,707 Revenues – related parties 2,212,579 1,207,686 909,651 Total Revenues 27,095,197 24,320,121 19,171,358 Cost of revenues – third party customers (15,654,952) (14,501,166) (16,146,856) Cost of revenues – related parties (1,301,180) (663,742) (633,132) Total cost of revenues (16,956,132) (15,164,908) (16,779,988) Gross Profit 10,139,065 9,155,213 2,391,370 Operating expenses: Selling expenses 2,077,174 1,815,771 2,336,229 General and administrative expenses 6,742,687 4,941,036 5,746,812 Research and development expenses 917,227.....»»

The latest issue of ‘The Globe’, Eurizon’s publication describing the Company’s investment view. In this issue, a focus is dedicated to “inflation is the culprit.” Scenario Government bond yields on the rise across maturities, most markedly on the short end of the curve, in a context of still high inflation, resilient growth, and aggressive Central […] The latest issue of ‘The Globe’, Eurizon’s publication describing the Company’s investment view. In this issue, a focus is dedicated to “inflation is the culprit.” Scenario Government bond yields on the rise across maturities, most markedly on the short end of the curve, in a context of still high inflation, resilient growth, and aggressive Central Bank actions. Fed funds futures now point to rates peaking in the 4.7% area next spring, from 3% at present, and subsequently dropping back. Similar course for ECB rates, now at 1.25% and forecast at over 3% by mid-2023. These expectations anticipate a drop in inflation and a contraction in growth between the end of 2022 and the opening months of 2023. if (typeof jQuery == 'undefined') { document.write(''); } .first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important} form.ebook-styles .error, form.ebook-styles #error { color:#d00; } form.ebook-styles .formfields h1, form.ebook-styles .formfields #mg-logo, form.ebook-styles .formfields #mg-footer { display: none; } form.ebook-styles .formfields { font-size: 12px; } form.ebook-styles .formfields p { margin: 4px 0; } Get The Full Henry Singleton Series in PDF Get the entire 4-part series on Henry Singleton in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true); Q2 2022 hedge fund letters, conferences and more   The moderation would be welcome, although until there is clear evidence in this direction the Central Banks will not be prepared to slow their tightening process. However, on a positive note, the price of oil has been dropping stably since June, and the natural gas prices have also recently dropped. The outcome of the Italian election was in line with pre-vote expectations. The spread, that had already risen over previous months following the ECB’s change in stance, was subject to no further tensions, neither before nor after the vote, thanks to an election campaign in which euro-scepticism was reduced to a minimum. In China, the economy is reaccelerating after slowing sharply due to the lockdowns imposed in the second quarter of the year, and anticipation is mounting ahead of the Congress of the Chinese Communist Party on 16 October. Macro Economy US inflation is moderating thanks to the energy component, although core items are still rising at sharp rates. The global economy is proving more resilient to rate hikes than expected (for now). Fed fund futures are pricing in further rate hikes worth 170 basis points, with a peak at 4.7% in the spring of 2023. The ECB envisages a further 200 basis points worth of hikes, and a peak at 3.2% in mid-2023. Asset Allocation The autumn should bring signals of a downturn of inflation and/or of a macro slowdown, to the advantage of a stabilization of medium and long-term yields. Overweight position confirmed on the government bonds of the United States and Germany, exposure to stocks lowered to neutral. FixedIncome Overweight position confirmed of US and German government bonds, that could benefit both from easing inflation and the slowdown in growth. Among spread bonds, a preference goes to Investment Grades, while the picture remains uncertain for High Yield and Emerging bonds. Neutral positions on Italian government bonds. Equity Stock market valuations have dropped to historically appealing levels but could be confirmed volatile in case of a sharp macroeconomic slowdown. On the other hand, a swifter recovery could materialize in case of signals of easing inflation. Currencies The Fed’s hawkish turn has widely been priced in by the dollar, that could take a breather in the upturn observed since the beginning of 2021. However, for the euro to recover, the energy crisis will necessarily have to improve. Investment View The baseline scenario contemplates further Central Bank rate hikes, in waiting for more evident signals of an easing of inflation. As the monetary restriction continues, so will the downward revision of economic growth forecasts. In this context, medium and long-term rates should stabilize on fears of a slowdown. However, uncertainty on the resilience of the economic growth should in any case extend volatility on the stock markets. Asset Classes compared Government bond yields on the rise to new year-to date highs. Sharp inversion of the curve in the US, flat curve in Germany. Stocks back down to the lows hit in June. Spreads stable at high levels for peripheral Eurozone bonds and credits (Investment Grade, High Yield, Emerging Markets). Dollar strong against all the other currencies, at 0.98 against the euro. Theme Of The Month - Inflation Is The Culprit The (negative) trend of the markets in the course of this year may be explained by a single variable: the flare up of inflation, a true bane for investors, that have to tackle rising rates and falling stock indices. Going forward, the good news is that inflation is starting to drop. The bad news is that the decline is not enough for the time being to allow the Central Banks to declare victory against surging prices. At least two of the three components of inflation are on the decline. The supply-side bottlenecks that took shape during post-Covid reopenings are easing, as made evident by the drop of international forwarding prices, nonetheless still higher than they were before Covid. Commodity-induced inflation is declining: industrial metals prices have actually been falling since March, the price of oil has dropped below 80 dollars per barrel, after stopping just short of 115 dollars in June, and the price of natural gas, one of the main drivers of inflation in Europe, is also decreasing. However, second level effects are still in place, as price increases are being transferred downstream by the business sectors affected, fueling core inflation. This is the reason for which, at their September meetings, the Fed and ECB not only hiked rates again, by 75 basis points, but confirmed their intention to proceed in this direction in the months ahead. For the time being, near-term Fed funds futures are pricing in yields of between 4.5% and 5% by the spring of 2023 followed by a 100 basis points decline to contain the economic slowdown once inflation will have been reined. The ECB envisages a point of arrival at above 3%. Short-term yields at these levels are already being priced in on the medium and long ends of the curve. In the United States, the 2-year yield has grown to 4.3%, close to the level priced in by Fed funds as the point of arrival. The 10-year yield has risen to 3.8% and, with an inverted curve, is starting to price in the fact that the monetary tightening will not only bring inflation back under control, but also slow growth. In its present configuration, the US curve seems to have reached its maximum inversion (the 10-year yield is 50 basis points lower than the 2-year rate) since the early 1980s. At the moment, the upward movements of the 2-year rate have managed to also drag up the 10-year yield, although the release of weak macro data could result in a further inversion of the curve (as a result of the decline of the 10-year rate). On the other hand, lower than expected inflation data would stop the inversion of the curve, while shifting it downwards across maturities. Similar considerations apply to the euro curve, flat from the 2-year maturity onwards at 3%, the point of arrival envisaged for ECB rates. For what concerns the stock markets, this year’s decline has not been due to endogenous market factors. Businesses have kept achieving earnings growth, and equity return has risen in line with bond rates. The volatility of stocks has been historically low compared to the decline incurred by prices. All these elements support the view that the weakness of the stock markets has been entirely imported from the repricing of the bond markets, in turn destabilisedby inflation. Therefore, the stabilisationof bond rates is essential for stocks. If the upward path of rates is halted by a drop in inflation, the recovery of the stock markets may be immediate and swift. If on the other hand rate hikes are interrupted by a sharp drop in economic activity, the recovery of stocks could be delayed, in waiting to verify the impact on earnings. In this case as well, however, it is reassuring to note that analysts have already started reviewing their expectations, effectively anticipating the potential macro slowdown......»»

For the third quarter, the S&P 500 gave up 6%, while the Nasdaq lost nearly 5%, and the Dow sank more than 7%. Spencer Platt/Getty US stocks fell Friday, closing out steep losses for the week, month, and third quarter. The Fed's preferred inflation gauge increased 4.9% in August from a year ago, up from 4.7% in July. For the third quarter, the S&P 500 gave up 6%, while the Nasdaq lost nearly 5%, and the Dow sank more than 7%. US stocks fell Friday as fresh inflation data pointed to more hawkish monetary policy, closing out steep losses for the week, month, and third quarter.The Federal Reserve's preferred inflation gauge — the core personal consumption expenditures price index — increased 4.9% in August from a year ago, up from 4.7% in July and above forecasts. Markets have been selling off as central bankers reinforce their intent to keep policy tight until inflation cools sufficiently, while soaring bond yields have heightened turmoil across global markets, most recently in the UK.For the week, the S&P 500 and Dow lost 3%, and the Nasdaq dipped 0.3%. For the month of September, the S&P 500 and the Dow plunged more than 9%, and the Nasdaq tumbled 10%. For the third quarter, the S&P 500 gave up 6%, while the Nasdaq lost nearly 5%, and the Dow sank more than 7%. Here's where US indexes stood as the market closed at 4 p.m. ET on Friday: S&P 500: 3,585.65, down 1.51% Dow Jones Industrial Average: 28,725.51, down 1.71% (500.10 points)Nasdaq Composite: 10,575.62, down 1.51% Here's what else is going on today: A Chinese regulator told several investment banks, including JPMorgan and Goldman Sachs, to avoid publishing politically sensitive research ahead of the Communist Party's National Congress summit next month, according to the Wall Street Journal.Wharton professor Jeremy Siegel dismissed warnings of a "lost decade" in the stock market, predicting annualized returns of 6% net of inflation.Nike stock tumbled as much as 14% after the athletic gear giant reported an inventory spike and warned margins will be squeezed. The pound fell further against the dollar as emergency talks in the UK over new budget and tax cut proposals failed to calm markets.Long-time bull Ed Yardeni warned that aggressive Fed moves to sharply raise interest rates could crush asset prices further and spark a deep recession. In commodities, bonds, and crypto:Oil prices slipped, with West Texas Intermediate down 2% to $79.64 a barrel. Brent crude, the international benchmark, inched 0.7% lower to $87.90 a barrel.Gold ticked up 0.1% to $1,670.50 per ounce.The 10-year yield climbed 4.7 basis points to 3.794%.Bitcoin rose 1.6% to $19,712.Read the original article on Business Insider.....»»

We Will Now Find Out What Putin Does When It Is "Sovereign Russia" That Is Being Attacked By Michael Every of Rabobank Really Trussing Up Yesterday saw stocks slump and key bond yields rise slightly, the US dollar remain on the back foot, and commodities --or at least oil-- fail to go anywhere. We also got some market-moving events and statements: we just haven’t seen the matching moves happen yet. Russia announced it will annex parts of Ukraine today. This will then introduce a global split between the likely small number of states that will recognise this decision, given the doors it opens to other contested borders being changed by force, and the entire western world, which will reject the move. Then we find out what Russia will do when it is “sovereign Russia” that is being attacked. Risk is unlikely to be on as a result, especially into a weekend. Far from unrelated, the EU saw major developments in its energy crisis. Even if the Twitterfication of it might have been unfairly reductive, how about: “EU official: President of the EU Council Michel believes the EU needs to tackle high gas prices and electricity prices; it’s up to the experts to figure out the details.” Such royal hand-waving unlinked to how reality works is how we got into this mess in the first place. But things were figured out. Not, as former BOE Governor Carney said of the UK, a needed rush for nuclear power. Rather, Germany --where inflation hit 10.9%, and the government warned the energy crisis is becoming a broader social crisis-- offered a EUR200bn “protective shield” to keep the price of electricity down. That means massive state subsidies and debts; for years; with no energy rationing in place; as the country starts to run dreaded twin deficits; and as the ECB raises rates. Those Europeans talking about Schadenfreude looking at the UK should be aware that while Nos. 10 and 11 are acting like the Mad Hatter and March Hare at the Tea Party, Europe is also living in Wünderland. In fact, it’s hard to make an argument that the EU is not risking becoming the UK with a lag. To hammer home the point, the ESRB regulators report the EU faces ‘severe risks’ to its financial system, with the Ukraine war possibly (only possibly?!) creating a combination of slow growth, falling prices, and market stress. I don’t think the dollar will be down, or the EUR up, for long. Of course, the same is true for GBP. More so when Pill yesterday claimed the BOE did not intervene in the Gilts market to push yields lower (as 30-years collapsed 106bp!), and will not do QE or Yield Curve Control; and neither will it fund the government, or MMT. The only logical function left is a bailout: except that is supposed to be on Bagehot terms: “Lend without limit, to solvent firms, against good collateral, at high rates.” I didn’t see that – did you? As if that was not enough UK “More Tea! More Tea!”, and as suggested earlier this week, PM Truss is now going to push for aggressive state spending cuts to show markets that she is serious about fiscal discipline. So, tax cuts for the rich remain and bankers’ bonuses are back, etc., but we will see huge real-terms declines in social spending across the board into a recession, and even on “geoliberalism” UK soft power like the BBC World Service. In the ultimate marketplace of ideas, democracy, Labour is now up between 17 and 33 points up in the polls, which would imply the Tories will be entirely wiped off the political map. Following the lead of using Macron as a verb in Russian (“Macronit” meaning to talk a lot and then do nothing useful), yesterday saw market chatter of how “to Truss” or to “Truss up” might be used in idiomatic English. (“They really Trussed that up, didn’t they?”) All I would add is that it also works with a Germanic “Truß” – with a lag.   Meanwhile, the Fed sent the message rates are going to keep rising regardless, even if we see a recession, that UK wobbles have as little to do with it as the UK claims its budget has to do with its wobbles, and whispers are that may include only a hairshirt “the discount window is available if you need it” Bagehot safety net ahead. This is revolutionary stuff for markets coddled with liquidity since Greenspan. Are they Trussing up too? Larry Summers, who is being mentioned so often it surely cannot be a coincidence, is saying he sees the present backdrop looking like August 2007. Some think August 2008. In either case, the PBOC is now leaning back towards bubbles again regardless, allowing nearly two dozen cities to lower mortgage rates for purchases of a primary property. The problem is that everyone can see that aside from a few hotspots, property is over-priced and over-supplied, and prices are going to fall anyway now the mania has faded – so why rush to buy? The other problem is that if the PBOC succeed, it means inflation for everyone else. The PMI reading of 50.1 today, up from 49.4, is neither here nor there, but the private Caixin PMI at 48.1 vs. 49.5 expected was there not here. As Mexico just hiked rates 75bp to 9.25%, Bloomberg also notes the RBA faces an uphill battle to not be as hawkish as everyone else. (And does not note “because housing.”) It quotes there are “some lingering issues around credibility and communication,” which reminds me of the quip from Gandhi: “What do you think of Western civilisation?” “I think it would be a good idea.” Of course, the BOJ is still doing its own sweet thing, boosting regular bond purchases this morning to try to cap upwards pressure on yields – which can only mean downwards pressure on JPY. I would write more, but it’s been a hell of a week for me personally, and I am too Trussed up to do so. End of the month, end of the quarter, end of our tethers. Tyler Durden Fri, 09/30/2022 - 15:45.....»»