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Plug Power forecasts $3 billion in annual sales by 2025

Growing demand for fuel cells, electrolyzers and hydrogen produced through renewable electricity have prompted the Latham manufacturer to increase sales forecasts as it introduces more applications and expands its presence around the world......»»

Category: topSource: bizjournalsOct 14th, 2021

4 Funds to Rally on Cloud Computing"s Steller Growth

The robust growth in cloud computing is slated to continue as end-user spending on public cloud services increases. Cloud computing has been booming since the 2010s. Businesses have been adopting and migrating operations to the cloud to get a competitive edge. The pandemic played a huge role in boosting cloud adoption in the past year, as the remote working trend forced organizations to shift computing power. This helped companies to distribute models over the Internet and facilitate employees in working from home.Even with the robust growth in cloud computing, only 33% of the workload uses cloud technology, according to Dan Ives, senior technology analyst of Wedbush. However, Ives forecasts that by 2022, usage of cloud technology may hit 55%. And why not? Cloud computing services offer flexible costs, scalability, and efficiency. This has enticed companies that were earlier hesitant in transitioning to the digital space.Per Gartner forecasts, global end-user spending on public cloud services is expected to grow 23.1% this year to a total $332.3 billion, up from $270 billion in 2020. Driving the growth of cloud spending is emerging and cutting-edge technologies like containerization, virtualization and edge computing. As these technologies become more mainstream and businesses focus on rich data visualization, growth in the cloud space will continue.Additionally, initial public offerings are boosting the cloud space. In April, UiPath, a cloud-based enterprise SaaS solution company, made its debut on the NYSE and rose 23% on the first trading day, bringing in $1.34 billion. On Oct 18, cloud storage provider Backblaze filed for IPO and could value it at around $1 billion. Backblaze targets smaller companies, providing them with cloud storage space currently offered by giants like Amazon.According to Research and Markets reports, the global market for cloud computing services is projected to reach $937.5 billion by 2027, at a CAGR of 17%, while cloud Infrastructure as a Service is expected to see a CAGR of 18.4% and reach $449.3 billion.4 Top PicksWe have, therefore, selected four mutual funds that carry a Zacks Mutual Fund Rank #1 (Strong Buy) and invest in cloud computing and related companies. These funds have returned more than 30% to investors on a year-to-date basis. In addition, the minimum initial investment is within $5,000.We expect these funds to outperform peers in the future. Remember, the goal of the Zacks Mutual Fund Rank is to guide investors to identify potential winners and losers. Unlike most fund-rating systems, the Zacks Mutual Fund Rank is not just focused on past performance but also the likely future success of the fund.The question here is why should investors consider mutual funds? Reduced transaction costs and portfolio diversification without several commission charges associated with stock purchases are primarily why one should be parking money in mutual funds (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).Fidelity Select Technology Portfolio FSPTX aims for capital appreciation. The fund invests primarily in equity securities, especially common stocks of companies engaged in offering, using, or developing products, processes, or services that will provide or benefit significantly from technological advances and improvements.This Zacks Sector – Tech product has a history of positive total returns for more than 10 years. Specifically, FSPTX has returned 28.5% and 29.7% in the past three and five years, respectively. To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.FSPTX is a non-diversified fund with an annual expense ratio of 0.69%, which is below the category average of 1.05%. Some of the fund’s top cloud computing stock holdings are Nvidia, Microsoft, Cloudflare and Salesforce.T. Rowe Price Global Technology Fund PRGTX aims for long-term capital growth. The fund invests most assets in the common stocks of companies that its managers expect will generate a majority of revenues from the development, advancement and use of technology.This Zacks Sector – Tech product has a history of positive total returns for more than 10 years. Specifically, PRGTX has returned 34.8% and 28.1% in the past three and five years, respectively. To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.PRGTX is a non-diversified fund with an annual expense ratio of 0.86%, which is below the category average of 1.05%. Some of the fund’s top cloud computing stock holdings are ServiceNow, Alibaba, Workday and Salesforce.Janus Henderson Global Technology and Innovation Fund Class T JAGTX aims for long-term growth of capital. The fund invests a majority of assets in securities of companies that the fund managers believe will significantly benefit from advances in technology.This Zacks Sector – Tech product has a history of positive total returns for more than 10 years. Specifically, JAGTX has returned 27.5% and 28.8% in the past three and five years, respectively. To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.JAGTX has an annual expense ratio of 0.92%, below the category average of 1.05%. Some of the fund’s top cloud computing stock holdings are Microsoft, Tencent Holdings, Adobe and salesforce.com.Franklin DynaTech Fund Advisor Class FDYZX aims for capital appreciation. The fund invests primarily in equity securities, especially common stocks of companies that the fund manager believes are leaders in innovation and takes advantage of new technologies.This Zacks Sector – Tech product has a history of positive total returns for more than 10 years. Specifically, FDYZX has returned 26.4% and 27.3% in the past three and five years, respectively. To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.FDYZX has an annual expense ratio of 0.60%, below the category average of 0.99%.  Some of the fund’s top cloud computing stock holdings are Microsoft, Amazon, DocuSign and ServiceNow.Want key mutual fund info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week.Get it free >> Zacks’ Top Picks to Cash in on Artificial Intelligence This world-changing technology is projected to generate $100s of billions by 2025. From self-driving cars to consumer data analysis, people are relying on machines more than we ever have before. Now is the time to capitalize on the 4th Industrial Revolution. Zacks’ urgent special report reveals 6 AI picks investors need to know about today.See 6 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Get Your Free (PRGTX): Fund Analysis Report Get Your Free (FSPTX): Fund Analysis Report Get Your Free (JAGTX): Fund Analysis Report Get Your Free (FDYZX): Fund Analysis Report To read this article on Zacks.com click here. Zacks Investment Research Want 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.....»»

Category: topSource: zacksOct 20th, 2021

Toyota (TM) Bets High on U.S. Electric Future With $3.4B Investment

Toyota's (TM) latest investment will likely usher an era of more affordable EVs for the U.S. consumers. Toyota Motor TM recently announced the decision to invest $3.4 billion (380 billion yen) for automotive battery development and production in the United States through 2030.The investment, which comes through Toyota’s North American arm, also involves the plan to establish a new company and build an automotive battery plant in the United States, in collaboration with Toyota Tsusho. The plant, anticipated to enter production in 2025, involves an outlay of $1.29 billion for expansion until 2031, resulting in the creation of 1,750 new jobs.The venture will initially focus on producing batteries for hybrid electric vehicles (EVs). The new company's activities will also include aiding Toyota in enhancing its local supply-chain network and production expertise related to lithium-ion automotive batteries. Specific details of the project, including the location, production capacity and business structure, are yet to be revealed by the automaker. With the aggravating climate-change concerns, automakers across the globe have been revving up their EV efforts in order to roll out more environmental-friendly vehicles on the road. The development of batteries used to power EVs has become crucial in order to decarbonize the global economy. Global automakers have enhanced their investments in battery production as they compete with the EV behemoth Tesla TSLA. General Motors GM is committed to its goal of providing completely carbon-free transportation, and has pledged to invest $35 billion in EVs and autonomous vehicles by 2025. Last month, Ford F announced plans to spend a whopping $11.4 billion with South Korea’s SK Innovation to build battery and EV plants in Tennessee and Kentucky.Amid this changing scenario, Toyota has also been a pioneer in the mass production of solid-state batteries, revolutionizing the EV space. The latest investment is part of the global total of $13.5 billion (1.5 trillion yen) earmarked by the Japanese auto biggie last month for investment in battery development and production through 2030. Moreover, the latest project is expected to help Toyota advance its climate goals to achieve carbon neutrality in a sustainable manner.  Also, the investment is expected to usher an era of more affordable EVs for U.S. consumers.Toyota’s Electrification PushToyota has been the king of hybrid vehicles since the introduction of its popular Prius compact vehicle. It has also been investing in fuel-cell vehicles like the Mirai, and sells the UX300e in Europe and China. However, the auto giant has been relatively slower in the adoption of EVs into its line-up, and has no pure-electric offerings at the moment. Nonetheless, the automaker is set to roll out its first all-electric line-up next year in an attempt to quell criticism that it has been slow to shift to electric cars. The automaker plans to build about 70 hybrid or electric models by 2025, of which 15 will be fully electric. Also, Toyota targets to sell 8 million partially or fully electrified vehicles by 2030, of which about 2 million will be battery-powered cars and fuel-cell vehicles, while the other 6 million will be gasoline-electric hybrids or plug-in hybrids.The auto giant also intends to slash the cost of its batteries by 30% or more. It anticipates to achieve this goal by working on the raw materials used in the production of batteries and the way the battery cells are structured. The automaker also plans to optimize the power consumption of these batteries by 30%, starting with its upcoming compact SUV model — Toyota bZ4X. It aims to set up a total of 70 EV battery lines by 2030, capable of producing 200-gigawatt hours of battery power.  Further, to cater to the surging demand for clean energy vehicles in the United States, this Zacks Rank #3 (Hold) company targets EVs to account for nearly 70% of its U.S. sales by 2030, up from almost 25% currently. The company expects it will sell as many as 1.8 million electrified vehicles in the United States by 2030, including the zero-emission models.You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Zacks' Top Picks to Cash in on Artificial Intelligence In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.See 3 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Ford Motor Company (F): Free Stock Analysis Report Toyota Motor Corporation (TM): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksOct 19th, 2021

Stellantis (STLA) & LG Energy Partner to Set Up Battery Plant

Stellantis (STLA) and LG Energy ink deal to build lithium-ion battery factory in North America to step up EV capabilities. Stellantis N.V. STLA and LG Energy Solution have entered into a memorandum of understanding to jointly produce battery cells and modules for North America.Per the deal, both companies together will build a new factory having an annual capacity of 40 gigawatt-hours that will be functional by the first quarter of 2024. The astounding capacity build-up puts it on par with the massive Panasonic-Tesla gigafactory in Sparks, NV.Stellantis will get a supply of the batteries produced at the factory and use them in the production of plug-in hybrids to full battery electric vehicles at its assembly plants in the United States, Canada, and Mexico.The transaction is awaiting regulatory approvals and is subject to agreement on definitive documentation and customary closing conditions. However, neither the associated cost nor the location of the factory has yet been disclosed. The companies have been working together since 2014 when Stellantis (then Fiat Chrysler Automobiles) was supplied lithium-ion battery pack system and controls by LG Energy Solution for the Chrysler Pacifica Hybrid. The new venture aims to further strengthen the partnership.Stellantis plans to invest more than €30 billion throughout 2025 in electrification and software development so that it can offer EV options for every model that it produces in the United States. The joint venture forms part of this plan. It targets generating 40% of its sales through EVs by 2030.Stellantis stated that the gigafactory will help it to achieve 260 gigawatt-hours of capacity by 2030 and is proof of its aggressive electrification drive.LG Energy is equally enthusiastic about the deal and believes that it can gradually emerge as an important provider of battery solutions to its prospective customers in the region.Shares of Stellantis have climbed 88.5% over a year, outperforming the industry’s 85.7% riseImage Source: Zacks Investment ResearchStellantis — which shares space with auto giants like General Motors GM, Ford F, and Volkswagen VWAGY — currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. Zacks' Top Picks to Cash in on Artificial Intelligence In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.See 3 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Ford Motor Company (F): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Volkswagen AG (VWAGY): Free Stock Analysis Report Stellantis N.V. (STLA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksOct 19th, 2021

Futures Slide On Renewed China Slowdown, Rate Hike Fears

Futures Slide On Renewed China Slowdown, Rate Hike Fears US equity futures and world shares drifted lower following poor Chinese macro data which saw the country's GDP slide to a weaker than expected 4.9%, and as surging energy prices and inflation reinforced bets that central banks will be forced to react to rising inflation and hike rates faster than expected. Calls by China’s President Xi Jinping on Friday to make progress on a long-awaited property tax to help reduce wealth gaps also soured the mood. With WTI crude rising to a seven-year high, and Brent back over $85, investors remain concerned that living costs will be driven higher. The economic recovery also remains uneven with China’s gross domestic product slowing more than expected in the third quarter, increasing aversion to riskier assets. The dollar rose against all of its Group-of-10 peers as concerns about an acceleration in inflation damped risk appetite, while bircoin traded above $61K and just shy of an all time high ahead of the launch of the Proshares Bitcoin ETF on Tuesday. An MSCI gauge of global stocks was down 0.1% by 0808 GMT as losses in Asia and a weak open in Europe erased part of the gains seen last week on a strong start to the earnings season. U.S. stock futures were also lower with S&P 500 e-minis last down 0.2%, while Dow and Nasdaq e-minis were both down 0.3%. China’s gross domestic product grew 4.9% in the July-September quarter from a year earlier, its weakest pace since the third quarter of 2020. The world’s second-largest economy is grappling with power shortages, supply bottlenecks, sporadic COVID-19 outbreaks and debt problems in its property sector. Additionally, industrial output and fixed investment also missed expectations, while retail sales beat modestly (more here). Not even the latest attempt by China to ease Evergrande contagion fears was enough to offset worries about China's economy: on Sunday, PBOC Governor Yi Gang said authorities can contain risks posed to the Chinese economy and financial system from the struggles of China Evergrande Group. Because of course he will say that. Oil prices extended a recent rally amid a global energy shortage with U.S. crude touching a seven-year high while Brent was set to surpass its 2018 highs just above $86, as Russia kept a tight grip on Europe’s energy market, opting against sending more natural gas to the continent even after President Vladimir Putin said he was prepared to boost supplies. “The lingering energy crisis, while benefiting miners and other oil & gas related stocks, is otherwise weighing on the overall sentiment,” said ActivTrades’ Pierre Veyret. Investors will stay focused on macro news this week with major Chinese and U.S. releases as well as new monetary policy talks from Jerome Powell, he said. Investors continue to grapple with worries that energy shortages and supply-chain disruptions will drive up living costs in most economies. At the same time, the recovery remains patchy and central bankers are inching closer to paring back stimulus. U.S. consumer sentiment fell unexpectedly in early October, but retail sales advanced. “We are starting to see some cracks in the transitory narrative that we’ve been hearing for quite some time,” Meera Pandit, global market strategist at J.P. Morgan Asset Management, said on Bloomberg Radio. “Rates will continue to ground higher from where we are. But I don’t think from a Fed perspective, when you think about the short end of the curve, that they are going to move much earlier than 2023. They are going to be a little bit more patient than the market expects right now.” And then there were rates: the global bond selloff gathered pace, with U.K. yields surging after Bank of England Governor Andrew Bailey warned on the need to respond to price pressures. Rate-hike bets have also picked up in the U.S., Australia and New Zealand, where inflation accelerated to the fastest pace in 10 years. Ten-year Treasury yields extended a climb , rising as high as 1.62%. Mohammed El-Erian, the chief economic adviser at Allianz SE and a Bloomberg columnist, said investors should prepare for increased market volatility if the Federal Reserve pulls back on stimulus measures set in motion by the Covid-19 pandemic. On the other side of the argument, Goldman's flow trading desk said odds of a November meltup are rising as a result of a relentless appetite for stocks and an upcoming surge in stock buybacks. In any case, Virgin Galactic Holdings Inc. shares fell 3% in U.S. premarket, extending losses from Friday that came after the firm pushed back the start of commercial flights further into next year after rescheduling a test flight. Here are some of the other notable U.S. pre-movers today: Baidu (BIDU US) shares erased earlier losses and climbed as much as 4.3% in Hong Kong, as China debates rules to make hundreds of millions of articles on Tencent’s WeChat messaging app available via search engines like Baidu’s. Crypto-related stocks in action as Bitcoin leaps as much as 5.3% and is just shy of a fresh six- month high. Riot Blockchain (RIOT US), Marathon Digital (MARA US) and Coinbase (COIN US) are all up Tesla (TSLA US) shares rise 0.2% in premarket trading Monday, poised for 50% rally from a March 8 low, ahead of its third-quarter results on Wednesday Dynavax (DVAX US) shares rise as much as 10% in U.S. pretrading hours after the biopharmaceutical company announced that Valneva reported the trial of inactivated, adjuvanted Covid-19 vaccine candidate VLA2001 met its co-primary endpoints Disney (DIS US) drops in premarket trading after Barclays downgrades to equal-weight as the company faces a “tough” task to get to its long-term streaming subscription guidance NetApp (NTAP US) slips 2.2% in premarket trading after Goldman Sachs analyst Rod Hall cut the recommendation on NetApp Inc. to sell from neutral European stocks traded on the back foot from the open, with the benchmark Stoxx 600 Index down 0.4%, led by losses in retail stocks. The Euro Stoxx 50 dropped as much as 0.9%, FTSE 100 outperforms slightly. Mining stocks were among Europe's only gainers thanks to the ongoing metals rally: the Stoxx Europe 600 basic resources sub-index climbs for a third day for the first time since early September as the record rally of base metals is extended. The gauge rose 0.6%, outperforming main benchmark which trades 0.4% lower. Notable movers: Glencore +1.2%; BHP +1%; Norsk Hydro +2.5%; ArcelorMittal +0.9% Rio Tinto +0.3%. Offsetting these gains, European luxury stocks slipped after a Chinese Communist Party journal published a speech of President Xi Jinping that includes advancing legislation on property taxes. Here are some of the biggest European movers today: Playtech shares rise as much as 59% in London after the British gambling software developer agreed to be bought by Australia’s Aristocrat for $3.7 billion. Valneva SE shares rise as much as 42% as its experimental Covid-19 vaccine elicited better immunity than AstraZeneca Plc’s shot in a clinical trial that will pave the way for regulatory submissions. Shares of hydraulics manufacturer Concentric rise as much as 14%, the most since April 2020, after Danske Bank upgraded the stock to buy from hold, calling the company a strong performer in a difficult market. THG shares jump as much 12%, most since May 11, after founder and CEO Matthew Moulding confirmed his intention to cancel his special share rights. The removal of the special share points to the e-commerce company’s “willingness to engage on shareholder concerns,” according to Jefferies. Rational AG shares rise as much as 6.1%, the most since Aug. 5, after the German kitchen machinery maker is upgraded to buy from hold at Berenberg, which considers the shares “inexpensive” despite stretched multiples. Atrium European Real Estate share rises as much as 7.6% to the highest since March 2020 after controlling shareholder Gazit Globe raises the offer price to EU3.63 per Atrium share from EU3.35. Earlier in the session, Asian equities fell, putting them on track to snap a three-day rally, as China’s economic growth slowed and prospects of higher bond yields weighed on some tech shares. The MSCI Asia Pacific Index fell as much as 0.4%, with tech and consumer staples shares setting the pace for declines. TSMC and Sony Group were among the biggest drags. Official data showed that China’s economy weakened in the third quarter amid tighter restrictions on the property market and China Evergrande Group’s debt crisis. For Asia stock traders, the concerns about China are adding to persistent inflation worries and energy shortages, which are sending bond yields higher. While inflation worries are “alive and well,” Asian markets will be predominantly focused on China data today, Jeffrey Halley, senior market analyst at Oanda Asia Pacific, wrote in a note. The weak data print “will lift expectations of an imminent PBOC RRR rate cut,” he added. China’s benchmark underperformed as the country explored property- and consumption tax-related changes and international funds sold shares of Kweichow Moutai Co., the country’s largest stock by market value. Tencent, Meituan and Alibaba pared losses prompted by the Chinese government saying it will introduce more regulations on the tech sector. China is considering asking media companies from Tencent Holdings Ltd. to ByteDance Ltd. to let rivals access and display their content in search results, according to people familiar with the matter. India’s Sensex index bucked the regional trend and is on track to rise for the seventh day, the longest such streak since January, helped by easy money. Japanese equities declined, paring last week’s rally, weighed down by losses in electronics makers. The Topix dipped 0.2%, following a 3.2% gain last week. The Nikkei 225 fell 0.2%, with M3 Inc. and KDDI the biggest drags. Almost 30% of respondents to a Kyodo weekend poll said they plan to vote for the ruling Liberal Democratic Party in the proportional representation section of Japan’s Oct. 31 election. U.K. rates steal the limelight amid a violent selloff that saw 2y gilt yields rise as much as 17bps to trade close to 0.75%. Weekend comments from BOE’s Bailey triggered a snap lower in short-sterling futures and bear-flattening across the gilt curve. MPC-dated OIS rates price in ~20bps of hiking by the November meeting. Bunds and Treasuries follow gitls lower, peripheral spreads widen to core with Italy underperforming. Australian stocks closed higher as miners and banks advanced. The S&P/ASX 200 index rose 0.3% to close at 7,381.10, led by miners and banks. Nickel Mines surged after a subsidiary signed a limonite ore supply agreement with PT Huayue Nickel Cobalt. Domino’s was among the worst performers, closing at its lowest since Aug. 17. In New Zealand, the S&P/NZX 50 index fell 0.1% to 12,998.51. In FX, the Bloomberg Dollar Spot Index advanced as the dollar traded higher versus all of its Group-of-10 peers Traders pulled forward rate- hike bets after BoE governor Bailey said the central bank “will have to act” on inflation. U.K. money markets now see 36 basis points of BoE rate increases in December and are pricing 15 basis points of tightening next month. Traders are also now betting the BoE’s key rate will rise to 1% by August, from 0.1% currently. The euro struggled to recover after falling below the $1.16 handle in the Asian session; money markets are betting the ECB will hike the deposit rate to -0.4% in September as expectations for global central-bank policy tightening gather pace. Resilience in the spot market and a divergence with rate differentials in the past sessions has resulted in a flatter volatility skew for the euro. Commodity-linked currencies such as the Australian dollar and the Norwegian krone underperformed after Chinese data including third-quarter growth and September factory output trailed economists’ estimates. The kiwi rose to a one-month high versus the dollar, before giving up gains, and New Zealand’s bond yields rose across the curve after 3Q annual inflation rate surged, beating estimates. The yen steadied around a three-year low as U.S. yields extended their rise in Asian trading; the Japanese currency still held up best against the dollar among G-10 currencies, after performing worst last week. In rates, treasuries were under pressure led by belly of the curve as rate-hike premium continues to increase in global interest rates. Yields, though off session highs, remain cheaper by nearly 5bp in 5-year sector; 2s5s30s fly topped at -12.5bp, cheapest since 2018; 10-year is up 2.8bp around 1.60% vs 3.4bp increase for U.K. 10-year. Belly-led losses flattened U.S. 5s30s by as much as 5.4bp to tightest since April 2020 at around 86.1bp; U.K. 5s30s curve is flatter by ~8bp after its 5-year yield rose as much as 14bp. Gilts led the move, with U.K. 2-year yield climbing as much as 16.8bp to highest since May 2019 as money markets priced in more policy tightening after Governor Andrew Bailey said the Bank of England “will have to act” on inflation. With latest moves, U.S. swaps market prices in two Fed hikes by the end of 2022. In commodities, WTI rose 1%, trading just off session highs near $83.20; Brent holds above $85. Spot gold drifts lower near $1,762/oz. Most base metals are in the green with LME lead and tin outperforming. Looking at today's calendar, we have industrial production, US September industrial production, capacity utilisation, October NAHB housing market index. Fed speakers include Quarles, Kashkari. Market Snapshot S&P 500 futures down 0.2% to 4,451.75 STOXX Europe 600 down -1.6% to 467.76 MXAP down 0.2% to 198.11 MXAPJ little changed at 650.02 Nikkei down 0.1% to 29,025.46 Topix down 0.2% to 2,019.23 Hang Seng Index up 0.3% to 25,409.75 Shanghai Composite down 0.1% to 3,568.14 Sensex up 1.0% to 61,918.22 Australia S&P/ASX 200 up 0.3% to 7,381.07 Kospi down 0.3% to 3,006.68 Brent Futures up 0.9% to $85.65/bbl Gold spot down 0.3% to $1,762.70 U.S. Dollar Index up 0.17% to 94.10 German 10Y yield rose 3.5 bps to -0.132% Euro down 0.1% to $1.1586 Brent Futures up 0.9% to $85.65/bbl Top Overnight News from Bloomberg Germany’s prospective ruling coalition is targeting about 500 billion euros ($580 billion) in spending over the coming decade to address climate change and will seek loopholes in constitutional debt rules to raise the financing The ECB is exploring raising its limit on purchases of debt issued by international bodies such as the European Union from the current cap of 10%, the Financial Times reported, citing four ECB governing council members The ECB should keep some of the flexibility embedded in its pandemic bond-buying program for post-crisis stimulus measures, Governing Council member Ignazio Visco said People’s Bank of China Governor Yi Gang said authorities can contain risks posed to the Chinese economy and financial system from the struggles of China Evergrande Group A more detailed look at global markets courtesy of Newsquawk Asia-Pac stocks traded cautiously after disappointing Chinese GDP and Industrial Production data, while inflationary concerns lingered after the recent firmer than expected US Retail Sales data, a continued rally in oil prices and with New Zealand CPI at a decade high. Nonetheless, the ASX 200 (+0.1%) bucked the trend on reopening optimism with curbs in New South Wales to be further eased after having fully vaccinated 80% of the adult population and with the Victoria state capital of Melbourne set to lift its stay-at-home orders this week. Furthermore, the gains in the index were led by outperformance in the top-weighted financials sector, as well as strength in most mining names aside from gold miners after the precious metal’s retreat from the USD 1800/oz level. Nikkei 225 (-0.3%) was subdued after a pause in the recent advances for USD/JPY and with criticism of Japan after PM Kishida sent an offering to the controversial war shrine which sparked anger from both China and South Korea. Hang Seng (-0.5%) and Shanghai Comp. (-0.4%) were subdued after Chinese Q3 GDP data missed expectations with Y/Y growth at 4.9% vs exp. 5.2% and Industrial Production for September fell short of estimates at 3.1% vs exp. 4.5%, while the beat on Retail Sales at 4.4% vs exp. 3.3% provided little consolation. There was plenty of focus on China’s property sector with PBoC Governor Yi noting authorities can contain risks posed to the Chinese economy and financial system from the struggles of Evergrande, and with its unit is said to make onshore debt payments due tomorrow. However, attention remains on October 23rd which is the end of the grace period for its first payment miss that would officially place the Co. in default and it was also reported on Friday that China Properties Group defaulted on notes worth USD 226mln. Finally, 10yr JGBs were lower amid spillover selling from T-notes which were pressured after the recent stronger than expected Retail Sales data and higher oil prices boosted the inflation outlook, with demand for JGBs is also hampered amid the absence of BoJ purchases in the market today. Top Asian News Tesla Shares Roaring Back, Set for 50% Gain From March Lows Kishida’s Offering to Japan War Shrine Angers Neighbors Baidu Jumps as China Said to Weigh More Access to WeChat Content AirAsia X Proposes Paying Creditors 0.5% of $8 Billion Owed European equities (Eurostoxx 50 -0.7%; Stoxx 600 -0.4%) have kicked the week off on the backfoot as market participants digest disappointing Chinese GDP metrics, a continued rally in energy prices and subsequent inflationary concerns which has seen markets price in more aggressive tightening paths for major global central banks. Overnight, Chinese Q3 GDP data missed expectations with Y/Y growth at 4.9% vs exp. 5.2% and Industrial Production for September fell short of estimates at 3.1% vs exp. 4.5%, while the beat on Retail Sales at 4.4% vs exp. 3.3% provided little consolation. Stateside, index futures have conformed to the downbeat tone with the ES softer to the tune of -0.3%, whilst the RTY narrowly lags with losses of 0.4%. In a note this morning, JP Morgan has flagged that investor sentiment remains that “the upcoming reporting season will be challenging, given the combination of the activity slowdown, significant supply distortions impacting volumes, and the energy price acceleration that is seen to be hurting profit margins and consumer disposable incomes”. That said, the Bank is of the view that investors are likely braced for such disappointments. In Europe, sectors are mostly lower with Retail names lagging post-Chinese GDP as Kering (accounts for 28.7% of the Stoxx 600 Retail sector) sits at the foot of the CAC with losses of 3.2%; other laggards include LVMH (-2.7%) and Hermes (-2.3%). To the upside, Banking names are firmer and benefitting from the more favourable yield environment, whilst Basic Resources and Oil & Gas names are being supported by price action in their respective underlying commodities. In terms of individual movers, THG (+7.6%) sits at the top of the Stoxx 600 after confirming that it intends to move its listing to the 'premium segment' of the LSE in 2022; as part of this, CEO & Executive Chairman Moulding will surrender his 'founders share' next year. Finally, Umicore (-4.5%) sits at the foot of the Stoxx 600 after cutting its FY21 adj. EBIT outlook. Top European News Traders Ramp Up U.K. Rate-Hike Bets on Bailey Inflation Warning Nordea Equity Research Hires Pareto Analyst for Tech Team ECB’s Visco Says Flexible Policy Should Remain Part of Toolkit Scholz Coalition Eyes $580 Billion in Spending on German Reboot In FX, the broader Dollar and index has waned off its 94.174 pre-European cash open high but remains underpinned above 94.000 by risk aversion and firmer yields, with the US 10yr cash now hovering around 1.60%. Stateside, US President Biden confirmed that the reconciliation package will likely be less than USD 3.5trln, although this was widely expected in recent weeks. Aside from that, the Greenback awaits further catalysts but until then will likely derive its impetus from the yield and risk environment. From a tech standpoint, a breach of 94.000 to the downside could see a test of the 21 DMA (93.865) – which has proven to provide some support over the last two trading sessions, with Friday and Thursday’s lows at 93.847 and 93.759 respectively. The upside meanwhile sees the YTD high at 94.563, printed on the 12th of Oct. CNH - The offshore is relatively flat on the day in a contained 6.4265-4387 range following a set of overall downbeat Chinese activity metrics. GDP growth momentum waned more than expected whilst industrial production was lower than expected, largely impacted by the electricity crisis and local COVID outbreaks during Q3. Retail sales meanwhile rebounded more than expected – albeit due to reopening effects, with inflation a concern heading forward. The Chinese National Bureau of Stats later hit the wires suggesting that major economic data are seen in reasonable ranges from Q1-Q3. The PBoC governor meanwhile downplayed the current risks of spillover from default fears. AUD, NZD, CAD - The overall cautiousness across the market has pressured high-betas. The AUD fails to glean support from the firmer base metal prices and the surge in coal prices overnight, with overall downbeat Chinese data proving to be headwinds for the antipodean. The NZD is more cushioned as inflation topped forecasts and reinforced the RBNZ’s hawkishness, whilst AUD/NZD remains capped at around 1.0500. AUD/USD fell back under its 100 DMA (0.7409) from a 0.7437 peak, whilst NZD/USD hovers around 0.7050 (vs high 0.7100), with the 100 DMA at 0.7021. The Loonie narrowly lags as a pullback in oil adds further headwinds. USD/CAD aims for a firmer footing above 1.2400 from a 1.2348 base. EUR, GBP- The single currency and Sterling are relatively flat on the day and within tight ranges of 1.1572-1.1605 and 1.3720-65 respectively. The latter was unreactive to weekend commentary from the BoE governor, sounding cautious over rising inflation but ultimately labelling it temporary, although suggesting that monetary policy may have to step in if risks materialise. From a Brexit standpoint, nothing major to report in the runup to negotiations on the Northern Ireland protocol. Across the Channel, FT sources suggested that four ECB GC members would support upping the PSPP share of APP from the current 10% - with the plan to be discussed across two meetings next month and requiring a majority from the 25 members. All-in-all, the EUR was unswayed ahead of a plethora of ECB speakers during the week and as the clock ticks down to flash PMIs on Friday. JPY, CHF - The traditional safe-havens have fallen victim to the firmer Buck, with USD/JPY extending on gains north of 114.00 as it inches closer towards 114.50 – which also matches some highs dating back to 2017. The Swiss Franc is among the laggards after USD/CHF rebounded from its 50 DMA (0.9214) as it heads back towards 0.9300, with the weekly Sight deposits also seeing W/W increases. In commodities, WTI and Brent front-month futures have drifted from best levels as the cautious risk tone weighs on prices, but nonetheless, the complex remains overall firmer with the former within a USD 82.55-83.06 range and the latter in a 84.93-85.31 intraday parameter. Fresh catalysts remain quiet for the complex, while there were some comments over the weekend from Iraq's Oil Ministry which noted that prices above USD 80/bbl are a positive indicator. Elsewhere on the supply-side, Iran is to resume nuclear negotiations on October 21, an Iranian lawmaker said Sunday, although it is unclear how far talks will go as the US and Iran affirm their stances. It is also worth noting that a fire was reported at Kuwait's Mina al-Ahmadi (346k BPD) refinery, but refining and export operations are unaffected. UK nat gas futures meanwhile are relatively flat in a tight range, although prices remain elevated on either side of GBP 2.5/Thm. Elsewhere, spot gold and silver trade sideways amid a lack of catalysts, although the firmer found some support at 1,760/oz - matching its 21 DMA. Over to base metals, LME copper remains supported around USD 10,250/t. Overnight, Shanghai zinc and Zhengzhou coal hit a record high and limit up respectively, with some citing supply constraints. US Event Calendar 9:15am: Sept. Industrial Production MoM, est. 0.2%, prior 0.4%; Capacity Utilization, est. 76.5%, prior 76.4% Manufacturing (SIC) Production, est. 0.1%, prior 0.2% 10am: Oct. NAHB Housing Market Index, est. 75, prior 76 2:15pm: Fed’s Kashkari Discusses Improving Financial Inclusion 4pm: Aug. Total Net TIC Flows, prior $126b DB's Jim Reid concludes the overnight wrap Straight to China this morning where the monthly data dump has just landed. GDP expanded in Q3 by +4.9% on a year-on-year basis, which is a touch below the +5.0% consensus expectation and a shift down from the +7.9% expansion back in Q2. That’s come as their economy has faced multiple headwinds, ranging from the property market crisis with the issues surrounding Evergrande group and other developers, an energy crisis that’s forced factories to curb output, alongside a number of Covid-19 outbreaks that have led to tight restrictions as they seek to eliminate the virus from circulating domestically. Industrial production for September also came in beneath expectations with a +3.1% year-on-year expansion (vs. +3.8% expected), though retail sales outperformed in the same month with +4.4% year-on-year growth (vs. +3.5% expected), and the jobless rate also fell back to 4.9% (vs. 5.1% expected). That data release alongside continued concerns over inflation has sent Asian markets lower this morning, with the Shanghai Composite (-0.35%), Hang Seng (-0.36%), CSI (-1.40%) KOSPI (-0.01%), and the Nikkei (-0.16%) all trading lower. Speaking of inflation, there’ve also been fresh upward moves in commodity prices overnight, with WTI up a further +1.58% this morning to follow up a run of 8 successive weekly moves higher, which takes it to another post-2014 high, whilst Brent crude is also up +1.14%. Furthermore, data overnight has shown that New Zealand’s CPI surged to a 10-year high of +4.9% in Q3, which was some way above the +4.2% expected. Looking forward, equity futures in the US are pointing lower, with those on the S&P 500 down -0.11%. Another interesting weekend story comes again from the Bank of England, which seems to be using the weekends of late to prime the markets for imminent rate hikes. Governor Bailey yesterday said inflation “will last longer and it will of course get into the annual numbers for longer as a consequence… That raises for central banks the fear and concern of embedded expectations. That’s why we, at the Bank of England have signalled, and this is another signal, that we will have to act. But of course that action comes in our monetary policy meetings.” It’s difficult to get much more explicit than this and it’ll be interesting to see if we get even more priced into the very immediate front end this morning. For now, sterling has seen little change, weakening -0.13% against the US dollar, but markets were already pricing in an initial +15bps move up to 0.25% by the end of the year before the speech. Now the big China data is out of the way we’ll have to wait until Friday for the main releases of the week, namely the global flash PMIs. Outside of that, there’s plenty of Fedspeak as they approach the blackout period at the weekend ahead of their November 3rd meeting where they’re expected to announce the much discussed taper. On top of this, earnings season will ramp up further, with 78 companies in the S&P 500 reporting. Early season positive earnings across the board have definitely helped sentiment over the last few days. 18 out of 19 that reported last week beat expectations across varying sectors. As examples, freight firm JB Hunt climbed around 9% after beating, Alcoa over 15% and Goldman Sachs nearly 4%. So much for inflation squeezing margins. My view remains that we’re still seeing “growthflation” and not “stagflation”, particularly in the US even if there are obvious risks to growth. For now, there is still a buffer before we should get really worried. On the back of the decent earnings, the S&P 500 had its best week since July last week and is now only less than -1.5% off its record high from early September. Given that earnings season has made a difference the 78 companies in the S&P 500 and 58 from the Stoxx 600 will be important for sentiment this week. In terms of the highlights, tomorrow we’ll get reports from Johnson & Johnson, Procter & Gamble, Netflix, Philip Morris International and BNY Mellon. Then on Wednesday, releases include Tesla, ASML, Verizon Communications, Abbott Laboratories, NextEra Energy and IBM. On Thursday, there’s Intel, Danaher, AT&T, Union Pacific and Barclays. Lastly on Friday, well hear from Honeywell and American Express. It’ll also be worth watching out for the latest inflation data, with CPI releases for September from the UK, Canada (both Wednesday) and Japan (Friday). The UK is by far and away the most interesting given the recent pressures and likely imminent rate hike. This month is likely to be a bit of calm before the future storm though as expectations are broadly similar to last month. Given the recent rise in energy prices, this won’t last though. In terms of the main US data, today’s industrial production (consensus +0.2% vs. +0.4% previously) will be a window into supply-chain disruptions, particularly in the auto sector. Outside of that, you’ll see in the day-by-day week ahead guide at the end that there’s a bit of US housing data to be unveiled (NAHB today, housing starts and permits tomorrow). Housing was actually the most interesting part of the US CPI last week as rental inflation came in very strong, with primary rents and owners’ equivalent rent growing at the fastest pace since 2001 and 2006, respectively. The strength was regionalised (mainly in the South) but this push from recent housing market buoyancy into CPI, via rents, has been a big theme of ours in recent months. The models that my colleague Francis Yared has suggest that we could be at comfortably above 4% inflation on this measure by next year given the lags in the model. Rents and owners’ equivalent rent makes up around a third of US CPI. So will a third of US inflation be above 4% consistently next year before we even get to all the other things? Moving to Germany, formal coalition negotiations are set to commence soon between the SPD, the Greens and the FDP. They reached an agreement on Friday with some preliminary policies that will form the basis for talks, including the maintenance of the constitutional debt brake, a pledge not to raise taxes or impose new ones, along with an increase in the minimum wage to €12 per hour. There are also a number of environmental measures, including a faster shift away from coal that will be complete by 2030. The Green Party voted in favour of entering the formal negotiations over the weekend, with the SPD agreeing on Friday, and the FDP is expected to approve the talks today. Reviewing last week now and strong earnings, along with the rather precipitous decline in long-end real yields drove the S&P 500 +1.82% higher over the week (+0.75% Friday), while the STOXX 600 gained +2.65% (+0.74% Friday). No major sector ended the week lower in Europe, while only communications (-0.52%) were down in the U.S. Interest rate sensitive sectors were among the outperformers in each jurisdiction. The 2s10s yield curve twist flattened -11.7bps over the week, as investors brought forward the timing of an increase to the Fed’s policy rate, driving the 2-year +7.8bps higher (+3.5 bps Friday), whilst the 10-year declined -4.2 bps (+6.0bps Friday). This is consistent with our US econ team bringing forward their call for the Fed lift-off to late 2022. Markets are actually pricing in a 50/50 likelihood of a hike by June. Particularly notable was the decline in long-end real yields, with 10yr real yields finishing the week -9.5bps lower, and at one point closed beneath the -1.00% mark for the first time in a month. Hence breakevens were up +5.4bps to 2.565%, leaving them right around their year-to-date highs last reached in May. The curve flattening trend was a global one last week, with 2-year gilts yields up +3.7bps whilst the 10-year fell -5.2bps. The bund curve flattened mildly as well, with 2-year bunds increasing +2.6 bps and the 10-year -1.6 bps. 10-year breakevens increased +7.9 bps in the UK, and +7.3 bps in Germany, which marks the highest reading since 2008 in the UK and the highest in Germany since 2013. The increases in inflation compensation were matched by commodities. WTI and Brent futures increased +3.69% and +3.00%, respectively last week, whilst metals also posted strong gains, with copper up +10.62% and aluminium +6.93% higher on the week. On the data front, September retail sales were much stronger than expectations, with the prior month’s components being revised higher across the board as well. The University of Michigan consumer survey saw sentiment and 5yr inflation expectations dip, while year ahead inflation expectations inched up to 4.8%. Friday’s strong data brought a brief reprieve from the curve flattening exhibited the rest of the week. Tyler Durden Mon, 10/18/2021 - 07:41.....»»

Category: worldSource: nytOct 18th, 2021

Plug Power forecasts $3 billion in annual sales by 2025

Growing demand for fuel cells, electrolyzers and hydrogen produced through renewable electricity have prompted the Latham manufacturer to increase sales forecasts as it introduces more applications and expands its presence around the world......»»

Category: topSource: bizjournalsOct 14th, 2021

EV Roundup: General Motors (GM) Steals the Show With Important Updates

While General Motors (GM) generates the maximum buzz with its electrification strides, pure EV players like TSLA and NKLA also draw attention with major announcements. The electric vehicle (EV) revolution is speeding up, with companies leaving no stone unturned to establish a strong foothold in this domain. Legacy automakers are stepping up e-mobility investments and setting ambitious targets to electrify their fleet. To this end, U.S. auto giant General Motors GM hogged the maximum limelight last week with the announcement of various strategic agreements to step up its e-mobility game.It entered into a strategic agreement with Wolfspeed to develop and supply silicon carbide power device solutions for the automaker’s future EV programs. The automaker also signed a non-binding memorandum of understanding with GE Renewable Energy to evaluate the opportunities for enhancing supplies of heavy and light rare earth materials as well as magnets. A secure, sustainable and resilient local supply chain for EV materials is the key to achieving General Motors’ vision of an all-electric future. (General Motors Strikes Deals With Wolfspeed and GE)General Motors also set the stage for battery tech innovation with the announcement of establishing a new research facility in Michigan. The facility — named Wallace Battery Innovation Center — will help the U.S. auto giant to speed up the manufacture, and commercialization of long-range and more affordable EVs. The capability to build large-format, prototype lithium-metal battery cells would be the main attraction of the new facility. Also, it is expected to manufacture batteries with energy density within 600-1200 watt-hours per liter. That translates to a range of around 500-600 miles on a single recharge, up from 400 miles initially claimed by the company for its Ultium battery architecture. (General Motors' New Battery Lab to Step Up EV Strides)In the Investor Day event held last week, General Motors stated that it projects annual EV revenues to scale from $10 billion in 2023 to $90 billion by the decade-end. The firm’s own modular battery platform, the Ultium Drive system, will aid in the transition to an all-electric portfolio down the road. The array of Ultium-powered EVs will include popular models, including a $30,000 Chevrolet crossover, Buick crossovers, Chevrolet trucks, GMC Hummer EV and Cadillac Lyriq crossover EV. The company will also offer an electric version of GMC’s Sierra pickup truck. Other Key Stories of the Week1.Tesla TSLA increased the price of both the Model 3 Standard Range Plus and Performance. The price of the base rear-wheel drive Model 3 Standard Range Plus is hiked to $41,990 from $39,990. The starting price of the Model 3 Performance has also been increased from $56,990 to $57,990, while the price of the Model 3 Long Range remains unaltered at $49,990. The Model Y Long Range got a price bump from $52,990 to $54,990. The higher-level Model Y Performance is now priced at $61,990 compared with the earlier price of $60,990. Meanwhile, at its annual shareholder meeting on Oct 7, Tesla CEO Elon Musk announced the decision to shift the company’s headquarters to Austin, TX from Palo Alto, CA. (Tesla Raises Model 3 & Y Prices, Moves Headquarters to Texas)2. BYD Co., Ltd. BYDDY joined forces with Levo Mobility — a joint venture between vehicle-to-grid (V2G) specialist Nuvve, and capital investors Stonepeak and Evolve — for the deployment of 5000 electrified fleets in the United States over the next five years. The alliance seeks to integrate Nuvve’s V2G proprietary technology into a variety of BYD’s vehicle mix including transit buses and coaches, last-mile delivery vehicles, school buses, tractors as well as refuse trucks. Nuvve would also offer related charging infrastructure, and energy maintenance and other services to customers with no upfront costs. Levo plans to purchase up to 5,000 medium and heavy-duty V2G-enabled electric vehicles via a preferred financing partnership with BYD. (BYD & Levo Tie Up for Electrification of U.S. Fleets)3. Allison Transmission ALSN is ramping up the development of its electrification technology for integration into the U.S. Army’s ground combat vehicle fleet, which includes tracked Infantry Fighting Vehicles and the Main Battle Tank. Allison will be working on an end-to-end development of a motor/generator and inverter system to be attached to a tracked vehicle transmission in coordination with the Army’s Ground Vehicle Systems Center. Allison’s portfolio of defense electrification also offers the Transmission Integral Generator, which has been developed jointly with Leonardo DRS and has qualified in the stringent testing procedures of the Ground Vehicle Systems Center. (Allison to Offer E-Transmission Solutions to US Army Fleet)4. Nikola NKLA inked a deal with TC Energy for the construction and operation of large-scale hydrogen production centers in the United States and Canada. The collaboration is aimed at creating the infrastructure necessary to supply low-cost, low-carbon hydrogen at volume. Also, both the firms intend to build hubs in major geographic regions to expedite the adoption of heavy-duty zero-emission fuel cell electric vehicles (FCEVs) and hydrogen throughout industrial segments. The primary goal of the partnership is to build hubs capable of generating more than 150 tons of hydrogen daily across heavily trafficked truck corridors in order to meet Nikola's anticipated requirement of hydrogen to fuel Class 8 FCEVs over the next five years.5. Stellantis STLA announced plans to invest $229 million in three plants in Indiana in order to accelerate the development of EVs. The investment will revamp three Kokomo plants in Indiana to produce electrified, eight-speed transmissions and retain 662 jobs. The next-generation transmissions can be integrated into internal combustion, mild hybrid or plug-in hybrid vehicles. This is in sync with the automaker's strategy of producing a mix of traditional combustion engine vehicles, hybrid vehicles and all-electric vehicles in a quest to attain 40% low-emission vehicle sales in the United States by 2030. In another development, Stellantis’ Alfa Romeo intends to roll out a new model each year until 2026, starting with the Tonale SUV next year. Further, starting from 2027, all Alfa Romeo new vehicles would be electric vehicles.Price PerformanceThe following table shows the price movement of some of the major EV players over the past week and six-month period.Image Source: Zacks Investment ResearchIn the past six months, all stocks have decreased, apart from Tesla, XPeng and Li Auto. Lordstown bore the maximum brunt, with shares declining 54.4%. The past week also displayed a mixed price trend, with Lordstown Motors being the worst performer and Li Auto registering the maximum gains.What’s Next in the Space?Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry. Time to Invest in Legal Marijuana If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027. After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%. You’re invited to check out Zacks’ Marijuana Moneymakers: An Investor’s Guide. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.Today, Download Marijuana Moneymakers FREE >>Want 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 General Motors Company (GM): Free Stock Analysis Report Tesla, Inc. (TSLA): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Byd Co., Ltd. (BYDDY): Free Stock Analysis Report Nikola Corporation (NKLA): Free Stock Analysis Report Stellantis N.V. (STLA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksOct 12th, 2021

Nuclear Energy Could Bridge The Energy Transition Gap

Nuclear Energy Could Bridge The Energy Transition Gap By Felicity Bradstock of OilPrice.com Small scale nuclear companies are picking up pace, following the example of bigger nuclear firms looking for their place in future of renewables, as nuclear power finally makes a comeback following years of criticism and fear of power stations. Two companies in Poland, KGHM and Synthos, are looking to get small-scale modular SMR nuclear reactors up and running in a bid to stake their claim to the future of Europe’s nuclear power. To date, over 70 companies around the world are involved in SMR nuclear reactor projects, with the popularity of small-scale nuclear business quickly expanding.  Both KGHM and Synthos are planning to work with American companies familiar with the SMR technology to advance their independent projects in Poland, in line with European Union expectations for net-zero carbon emissions within the next few decades.  Critics of the small-scale projects suggest that opponents of nuclear energy will use the same arguments as those of larger nuclear projects, that because of the cost and safety concerns around nuclear power, alternatives such as wind and solar energy projects are far more useful to invest in and will be more technologically advanced in a shorter timeframe. In addition, much of the small-scale technology still requires extensive testing to ensure its safety. However, small nuclear plants may be able to bridge the gap in energy output that wind and solar energy production faces. When there is a lull in renewable energy production, small-scale nuclear power could plug the gap in a way that is not possible for larger nuclear projects to do due to their high cost to energy value.  The next step is for countries developing the technology, such as the U.S., the U.K., and Canada, to work alongside the International Atomic Energy Agency (IAEA) and national regulators to continue testing the safety of SMR reactors and agree upon international protocols and safety procedures.  But companies like KGHM and Synthos are simply following the examples of countries like the U.K., the U.S. and France, which have been proponents of nuclear power for years and continue to back nuclear energy despite criticism over safety and potentially life-threatening failures.                                                Many countries are highlighting nuclear power as a necesity in a zero-carbon future, with the U.K. announcing this week that it is planning for a fossil fuel-free power grid by 2035 through the use of nuclear energy. Nuclear energy will be used by the U.K. as a back-up for renewable energy production during the energy transition period. To drive this transition, Prime Minister Boris Johnson has promised the construction of at least one large-scale nuclear project by 2025. As some of the world’s energy leaders are showing their support for large-scale nuclear projects, some popular names are also backing the new small-scale technology. Bill Gates’ Terrapower, for example, is planning for a nuclear plant in Wyoming to be made up of small reactors that are better suited for a smaller grid system.  A major appeal of SMR reactors is that they can be factory-built and then shipped, adding more as energy demand rises. These reactors have an output of anything between 50 and 300 megawatts but can be combined to form a powerplant of up to 1,000 megawatts. Furthermore, if one of the modules breaks, it can be repaired without completely stopping operations. This reduces the environmental risk as well as the cost of the project – which is often criticized by energy companies and opponents of nuclear power.  The backing of nuclear energy by several governments, companies, and leading energy names around the world is largely due to the desire to move away from fossil fuels towards renewable alternatives and the lack of scope currently available for renewable energy production. While wind, solar, hydro, and other renewable energies have come a long way, there is still a significant road to track before the scale of these projects can meet the energy demand of 7.9 billion people worldwide.  But it’s important to remember that nuclear energy still has a bad rep. After the monumental failures of Fukushima and Chernobyl, several countries swore off nuclear power completely. Many people around the world oppose nuclear power for fear of safety issues, fighting governments who want to build new nuclear plants. But many now question if the safety concerns, for both people and the environment, are any worse than those we face because of continued oil and gas use. As the energy transition becomes unavoidable, proponents of nuclear power are likely to remind us of this comparison and the need for something beyond renewable energy projects to bridge the gap.  Yet, while some small companies and major governments are welcoming nuclear power once again, others continue to reject it. Nuclear power, it seems, is not for everyone - even in regions that are in dire need of sustainable electricity sources such as California. The Diablo Canyon nuclear powerplant, based in San Luis Obispo County, California, is currently in the middle of a ten-year decommissioning project, which will entirely strip the state of nuclear power. This is a questionable decision for a state that has experienced severe electricity cuts in the face of annual heatwaves. Some of the arguments against nuclear power in California include the risk of earthquakes potentially leading to failures in the plants, utility companies in the region that are not willing to buy nuclear power, and the cost involved in the development of nuclear power plants compared to other energy options such as wind and solar power. So, while nuclear power could provide the low-carbon energy production so direly needed in California, the risks are deemed too costly.  There seem to be mixed messages when it comes to nuclear power. Advocates believe that nuclear energy is necessary if we hope to meet the world’s energy demand as we transition away from fossil fuels, as well as being more environmentally friendly – providing rigorous international safety guidelines are met. However, not everyone agrees. Whether for the cost or for fear of failure, some governments may never get on board. What we may start to see, however, is the development of small-scale nuclear projects that support renewable energy advances over the next decade, providing competition to larger energy companies that do not want to get involved.  Tyler Durden Fri, 10/08/2021 - 12:50.....»»

Category: blogSource: zerohedgeOct 8th, 2021

A Look At Tesla’s Relatively Tiny Numerical Sequential Sales Growth

Stanphyl Capital’s commentary for the month ended September 30, 2021, discussing their short position in Tesla Inc (NASDAQ:TSLA). Q2 2021 hedge fund letters, conferences and more We remain short the biggest bubble in modern stock market history, Tesla Inc. (TSLA), which currently has a diluted market cap of $868 billion, roughly equal to the $870 […] Stanphyl Capital’s commentary for the month ended September 30, 2021, discussing their short position in Tesla Inc (NASDAQ:TSLA). if (typeof jQuery == 'undefined') { document.write(''); } .first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important} form.ebook-styles .error, form.ebook-styles #error { color:#d00; } form.ebook-styles .formfields h1, form.ebook-styles .formfields #mg-logo, form.ebook-styles .formfields #mg-footer { display: none; } form.ebook-styles .formfields { font-size: 12px; } form.ebook-styles .formfields p { margin: 4px 0; } Get Our Activist Investing Case Study! Get the entire 10-part series on our in-depth study on activist investing in PDF. Save it to your desktop, read it on your tablet, or print it out to read anywhere! Sign up below! (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true); Q2 2021 hedge fund letters, conferences and more We remain short the biggest bubble in modern stock market history, Tesla Inc. (TSLA), which currently has a diluted market cap of $868 billion, roughly equal to the $870 billion (non-diluted) combined market caps of Toyota ($253 billion), VW ($141 billion), Daimler ($96 billion), GM ($76 billion), BMW ($65 billion), Stellantis ($60 billion), Ford ($57 billion), Honda ($53 billion), Hyundai ($49 billion) and Nissan ($20 billion), despite annualized sales for Tesla of around 800,000 cars a year to their over 50 million. The core points of our Tesla short thesis are: Tesla has no “moat” of any kind; i.e., nothing meaningfully proprietary in terms of electric car technology, while existing automakers—unlike Tesla­—have a decades-long “experience moat” of knowing how to mass-produce, distribute and service high-quality cars consistently and profitably, as well as the ability to subsidize losses on electric cars with profits from their conventional cars. Excluding sunsetting emission credit sales Tesla is barely profitable. Growth in sequential unit demand for Tesla’s cars has slowed to a crawl. Elon Musk is a pathological liar who under the terms of his SEC settlement cannot deny having committed securities fraud. Tesla's Expected Q3 Sales Growth Latest estimates are that Tesla is expected to report around 29,000 more deliveries for Q3 vs. Q2 (approximately 230,000 vs. Q1’s 201,000), a rounding error for an auto company trading at even one-tenth of Tesla’s valuation. If in any quarter GM or VW or Toyota sold 2.55 million vehicles instead of 2.58 million or 2.525 million, no one would pay the slightest bit of attention to the difference. Well guess what? Seeing as Tesla is being valued at more than eleven GMs, it’s time to start looking at its relatively tiny numerical sequential sales growth, rather than Wall Street’s sell-side hype of “percentage off a small base.” In other words, if you want to be valued at a giant multiple of “the big boys,” it’s time you were treated as a big boy! Meanwhile in July, thanks to an suspiciously high gross margin and very “non-growthy” reduced R&D expense, Tesla reported an improved Q2 2021, claiming to have earned $788 million excluding $354 million of pure-profit emission credit sales (excluded because they’ll almost entirely disappear some time next year when other automakers will have enough EVs of their own). However, that earnings number also includes what I estimate to be around $300 million in unsustainably low warranty provisioning, and after adjusting for that plus the credit sales, I believe Tesla earned a sustainable .43/share, which annualizes to $1.72. An auto industry PE multiple of 10x would thus make TSLA worth around $17/share (admittedly, more than the “$0” I previously expected). A “growth multiple” of 20x would value it at $34, which is more than a 95% discount to September’s closing price of $775. And before you tell me that a 100% premium to the industry’s PE ratio isn’t enough, keep in mind that—as noted earlier—Tesla’s sequential unit growth is an auto industry rounding error. In fact, one could argue that Tesla’s multiple should carry a discount, considering the massive legal and financial liabilities continually generated by its pathologically lying CEO. Meanwhile, on the Q2 earnings call Musk admitted that the so-called “Full Self Driving” he’s been selling for five years (and that Consumer Reports calls outright dangerous) doesn’t work, and he said it again in August following an “AI Day” in which he tried to cover up the Tesla’s autonomy cluelessness with an inert plastic statue of a robot and a man dancing in a unitard. (You had to see it to believe it and then you still wouldn’t believe it!)  In a saner regulatory environment Tesla’s selling of “Full Self Driving” for five years now would be considered “consumer fraud,” and indeed in August two U.S. Senators finally demanded an FTC investigation while the NHTSA opened yet another safety investigation. (For all known Tesla deaths see TeslaDeaths.com.) Will there be major write-downs and refunds given, killing the company’s slight “profitability”? Stay tuned! And remember, the 2021 overview from Guidehouse Insights rates Tesla dead last among autonomous competitors: The Chinese Government's Love Affair With Tesla Is Over Another favorite hype story from Tesla fans has been “the China market.” Sadly, that government’s love affair with Tesla is over and Q2 Tesla sales there were down 10% from Q1 while Q3 looks to be down approximately 10% more. In July Tesla sold just 8621 cars in China (with the balance of that month’s production exported to Europe) and in August only 12,885. This an absolute disaster for Tesla, as massive July price cuts on both the Model Y and the Model 3 meant that in August in China it was supposed to sell around 30,000; instead it had to export all that excess capacity. (It still may sell around 50,000 in China in September, but so what? With insignificantly small sequential growth for three quarters now, Tesla’s Chinese “hypergrowth” story is over.) Remember when Musk claimed Tesla would have so much domestic Chinese demand that it would need multiple factories there to satisfy it? Ah, the good old days! Another favorite Tesla hype story has been built around so-called “proprietary battery technology.” In fact though, Tesla has nothing proprietary there—it doesn’t make them, it buys them from Panasonic, CATL and LG, and it’s the biggest liar in the industry regarding the real-world range of its cars. A recent story has been the supposedly imminent arrival of a new “4680” design that Teslemmings and their sell-side Wall Street shills claim will allow Tesla to “leapfrog” the batteries of its competitors. Sadly for them though, in a June interview with the CEO of Tesla’s primary battery supplier Panasonic, we learned that not only are these cells still in the “production testing” phase (and thus nowhere near ready for commercial production), but that if they *do* work, Panasonic will sell them to anyone.  And then news broke that Tesla extended its current battery supply deal with CATL until the year 2025, and in August it revealed it will even be using those Chinese-made batteries in the U.S. If those great proprietary 4680s were coming any time soon, why would Tesla need to do that? Obviously it wouldn’t, which explains why in the Q2 earnings press release (and on the call) Musk admitted they don’t know how long (if ever) it will take to get those 4680 batteries into production. Oh well… I guess it’s on to the next nonsensical stock pump! Meanwhile, the quality of the Model Y—is awful, and that car faces current (or imminent) competition from the much better built electric Audi Q4 e-tron, BMW iX3, Mercedes EQA, Volvo XC40 Recharge, Volkswagen ID.4, Ford Mustang Mach E, Nissan Ariya, Hyundai Ioniq 5 and Kia EV6. And Tesla’s Model 3 now has terrific direct “sedan competition” from Volvo’s beautiful Polestar 2 and the premium version of Volkswagen’s ID.3 (in Europe), and later this year from the BMW i4, plus multiple local competitors in China. And in the high-end electric car segment worldwide the Audi e-tron and Porsche Taycan outsell the Models S & X (and the newly updated Tesla models with their dated exteriors and idiotic shifters & steering wheels won’t change this), while the spectacular new Mercedes EQS and Audi e-Tron GT make any Tesla look like a Yugo, while the extremely well reviewed new BMW iX does the same to the Tesla Model X. And oh, the joke of a “pickup truck” Tesla previewed in 2019 (and still hasn’t shown in production-ready form) won’t be much of “growth engine” either, as it will enter a dogfight of a market; in fact, in May Ford formally introduced its terrific new all-electric F-150 Lightning which now has over 150,000 reservations and Rivian’s pick-up has gotten fantastic early reviews. Also, the Tesla semi-truck  has been delayed until at least 2022 (and possibly forever, as it depends on the aforementioned “4680” batteries that don’t exist). Meanwhile, Tesla quality ranks 30th among 33 brands in the most recent J.D. Power dependability survey… …and second-to-last in the most recent Consumer Reports reliability survey: …while the most recent What Car? survey shows similar results with Tesla finishing #29 out of 31, and now quality is slipping in China. Flawed Autopilot System Regarding safety, as noted earlier in this letter, Tesla continues to deceptively sell its hugely dangerous so-called “Autopilot” system, which Consumer Reports has completely eviscerated; God only knows how many more people this monstrosity unleashed on public roads will kill, despite the NTSB condemning it. Elsewhere in safety, in 2020 the Chinese government forced the recall of tens of thousands of Teslas for a dangerous suspension defect the company spent years trying to cover up, and now Tesla has been hit by a class-action lawsuit in the U.S. for the same defect. Tesla also knowingly sold cars that it knew were a fire hazard and did the same with solar systems, and after initially refusing to do so voluntarily, it was forced to recall a dangerously defective touchscreen. In other words, when it comes to the safety of customers and innocent bystanders, Tesla is truly one of the most vile companies on Earth. Meanwhile the massive number of lawsuits of all types against the company continues to escalate. So here is Tesla’s competition in cars... (note: these links are regularly updated) Porsche Taycan Porsche Taycan Cross Turismo Porsche Macan Electric SUV Officially Coming in 2023 Volkswagen ID.3 Headlines VW's Electrified Future Volkswagen ID.4 Electric SUV Volkswagen ID 6 to arrive with 435-mile range in 2023 Volkswagen Aero B: new electric Passat equivalent spied VW’s Cupra brand counts on performance for Born EV Cupra, VW brand to get entry-level battery-powered cars Audi e-tron Audi e-tron Sportback Audi E-tron GT Audi Q4 e-tron Audi Q6 e-tron confirmed for 2022 launch Audi previews long-range A6 e-tron EV Audi TT set to morph into all-electric crossover Hyundai Ioniq 5 Hyundai Ioniq 6 spotted ahead of 2022 launch Hyundai Kona Electric Genesis reveals their first EV on the E-GMP platform, the electric GV60 crossover Genesis aims to go all-electric from 2025 Kia Niro Electric: 239-mile range & $39,000 before subsidies Kia EV6: Charging towards the future Kia EV4 on course to grow electric SUV range Jaguar’s All-Electric i-Pace Jaguar to become all-electric brand; Land Rover to Get 6 electric models Daimler will invest more than $47B in EVs and be all-electric ready by 2030 Mercedes EQS: the first electric vehicle in the luxury class Mercedes EQS SUV takes shape Mercedes-Benz unveils EQE electric sedan with impressive 400-mile range Mercedes EQC electric SUV available now in Europe & China Mercedes-Benz Launches the EQV, its First Fully-Electric Passenger Van Mercedes-Benz EQB Makes Its European Debut, US Sales Confirmed Mercedes-Benz unveils EQA electric SUV with 265 miles of range and ~$46,000 price Ford Mustang Mach-E Available Now Ford F-150 Lightning electric pick-up available 2022 Ford set to launch ‘mini Mustang Mach-E’ electric SUV in 2023 Ford to offer EV versions of Explorer, Aviator, ‘rugged SUVs' Volvo Polestar 2 Volvo XC40 Recharge Volvo C40 electric sedan to challenge Tesla Model 3, VW ID3 Polestar 3 will be an electric SUV that shares its all-new platform with next Volvo XC90 Chevy updates, expands Bolt EV family as price drops Cadillac All-Electric Lyriq Available Spring 2022 GMC ALL-ELECTRIC SUPERTRUCK HUMMER EV GM to build electric Silverado in Detroit with estimated range of more than 400 miles GMC to launch electric Hummer SUV in 2023 GM will offer 30 all-electric models globally by 2025 GM Launches BrightDrop to Electrify the Delivery of Goods and Services Nissan vows to hop back on EV podium with Ariya Nissan LEAF e+ with 226-mile range is available now BMW leads off EV offensive with iX3 BMW expands EV offerings with iX tech flagship and i4 sedan 2022 BMW iX1 electric SUV spied BMW 3-series EV coming Rivian R1T Is the Most Remarkable Pickup We’ve Ever Driven Renault upgrades Zoe electric car as competition intensifies Renault Dacia Spring Electric SUV Renault to boost low-volume Alpine brand with 3 EVs Renault's electric Megane will debut new digital cockpit Stellantis promises 'heart-of-the-market SUV' from new, 8-vehicle EV platform Alfa Romeo is latest Stellantis brand to get all-electric future Peugeot e-208 PEUGEOT E-2008: THE ELECTRIC AND VERSATILE SUV Peugeot 308 will get full-electric version Citroen compact EV challenges VW ID3 on price Maserati to launch electric sports car Mini Cooper SE Electric Toyota steps up electric vehicle push with plans for 15 new models Opel sees electric Corsa as key EV entry 2021 Vauxhall Mokka revealed as EV with sharp looks, massive changes Skoda Enyaq iV electric SUV offers range of power, battery sizes Electric Skoda Enyaq coupe to muscle-in on Tesla Model 3 Skoda plans small EV, cheaper variants to take on French, Korean rivals Nio to launch in five more European countries after Norway BYD will launch electric SUV in Europe The Lucid Air Achieves an Estimated EPA Range of 517 Miles on a Single Charge Bentley converting to electric-only brand Rolls-Royce is working on EV called 'Silent Shadow' Aston Martin will build electric vehicles in UK from 2025 Meet the Canoo, a Subscription-Only EV Pod Coming in 2021 Two new electric cars from Mahindra in India; Global Tesla rival e-car soon Former Saab factory gets new life building solar-powered Sono Sion electric cars Foxconn aims for 10% of electric car platform market by 2025 And in China… How VW Group plans to dominate China's EV market VW Goes Head-to-Head With Tesla in China With New ID.4 Crozz Electric SUV Volkswagen’s ID.3 EV to be produced by JVs with SAIC, FAW in 2021 2022 VW ID.6 Revealed With Room For Seven And Two Electric Motors China-built Audi e-tron rolls off production line in Changchun Audi Q2L e-tron debuts at Auto Shanghai Audi will build Q4 e-tron in China Audi in cooperation company for local electric car production with FAW FAW Hongqi starts selling electric SUV with 400km range for $32,000 FAW (Hongqi) to roll out 15 electric models by 2025 BYD goes after market left open by Tesla with four cheaper models for budget-conscious buyers BYD said to launch premium NEV brand ‘Dolphin’ in 2022 Top of Form Bottom of Form Daimler & BYD launch DENZA electric vehicle for the Chinese market Geely announces premium EV brand Zeekr Geely, Mercedes-Benz launch $780 million JV to make electric smart-branded cars Mercedes styled Denza X 7-seat electric SUV to hit market Mercedes ‘makes mark’ with China-built EQC BMW, Great Wall to build new China plant for electric cars BAIC Goes Electric, & Establishes Itself as a Force in China’s New Energy Vehicle Future BAIC BJEV, Magna ready to pour RMB2 bln in all-electric PV manufacturing JV Toyota, BYD will jointly develop electric vehicles for China Lexus to launch EV in China taking on VW and Tesla GAC Aion about to start volume production of 1,000-km range AION LX GAC Toyota to ramp up annual capacity by 400,000 NEVs GAC kicks off delivery of HYCAN 007 all-electric SUV Nio – Ready For Tomorrow Nio steps up plans for mass-market brand to compete with VW, Toyota Xpeng Motors sells multiple EV models SAIC-GM to build Ultium EV platform in Wuhan Chevrolet Menlo Electric Vehicle Launched in China Buick Launches VELITE 6 PLUS MAV Electric Vehicle in China Buick Velite 7 EV And Velite 6 PHEV Launch In China Dongfeng launches the all-electric Voyah  PSA to accelerate rollout of electrified vehicles in China SAIC, Alibaba-backed EV brand IM begins presale of first model L7 Hyundai Motor Transforming Chongqing Factory into Electric Vehicle Plant Polestar said to plan China showroom expansion to compete with Tesla Jaguar Land Rover's Chinese arm invests £800m in EV production Renault reveals series urban e-SUV K-ZE for China Renault & Brilliance detail electric van lineup for China Renault forms China electric vehicle venture with JMCG Honda to roll out over 20 electric models in China by 2025 Geely launches new electric car brand 'Geometry' – will launch 10 EVs by 2025 Geely, Foxconn form partnership to build cars for other automakers Fiat Chrysler, Foxconn Team Up for Electric Vehicles Baidu to create an intelligent EV company with automaker Geely Leapmotor starts presale of C11 electric SUV on Jan. 1 2021 Changan forms subsidiary Avatar Technology to develop smart EVs with Huawei, CATL WM Motors/Weltmeister Chery Seres Enovate China's cute Ora R1 electric hatch offers a huge range for less than US$9,000 Singulato JAC Motors releases new product planning, including many NEVs Seat to make purely electric cars with JAC VW in China Iconiq Motors Hozon Aiways Skyworth Auto Youxia CHJ Automotive begins to accept orders of Leading Ideal ONE Infiniti to launch Chinese-built EV in 2022 Human Horizons Chinese smartphone giant Xiaomi to launch electric car business with $10 billion investment Lifan Technology to roll out three EV models with swappable batteries in 2021 Here’s Tesla’s Competition In Autonomous Driving... Waymo ranked top & Tesla last in Guidehouse leaderboard on automated driving systems Tesla has a self-driving strategy other companies abandoned years ago Fiat Chrysler, Waymo expand self-driving partnership for passenger, delivery vehicles Waymo and Lyft partner to scale self-driving robotaxi service in Phoenix Volvo, Waymo partner to build self-driving vehicles Jaguar and Waymo announce an electric, fully autonomous car Renault, Nissan partner with Waymo for self-driving vehicles Cruise and GM Team Up with Microsoft to Commercialize Self-Driving Vehicles Cadillac Super Cruise Sets the Standard for Hands-Free Highway Driving Honda Joins with Cruise and General Motors to Build New Autonomous Vehicle Honda launching Level 3 autonomous cars Volkswagen moves ahead with Autonomous Driving R&D for Mobility as a Service Volkswagen teams up with Microsoft to accelerate the development of automated driving VW taps Baidu's Apollo platform to develop self-driving cars in China Ford's electric Mustang will offer hands-free driving technology in 2021 ARGO AI AND FORD TO LAUNCH SELF-DRIVING VEHICLES ON LYFT NETWORK BY END OF 2021 Hyundai and Kia Invest in Aurora Toyota, Denso form robotaxi partnership with Aurora Aptiv and Hyundai Motor Group complete formation of autonomous driving joint venture Amazon’s Zoox unveils electric robotaxi that can travel up to 75 mph Nvidia and Mercedes Team Up to Make Next-Gen Vehicles Daimler's heavy trucks start self-driving some of the way SoftBank, Toyota's self-driving car venture adds Mazda, Suzuki, Subaru Corp, Isuzu Daihatsu  Continental & NVIDIA Partner to Enable Production of Artificial Intelligence Self-Driving Cars Mobileye and Geely to Offer Most Robust Driver Assistance Features Mobileye Starts Testing Self-Driving Vehicles in Germany Mobileye and NIO Partner to Bring Level 4 Autonomous Vehicles to Consumers Lucid Chooses Mobileye as Partner for Autonomous Vehicle Technology AutoX, backed by Alibaba Nissan gives Japan version of Infiniti Q50 hands-free highway driving Hyundai to start autonomous ride-sharing service in Calif. Pony.ai raises $462 million in Toyota-led funding Baidu kicks off trial operation of Apollo robotaxi in Changsha Toyota to join Baidu's open-source self-driving platform Baidu, WM Motor announce strategic partnership for L3, L4 autonomous driving solutions Volvo will provide cars for Didi's self-driving test fleet BMW and Tencent to develop self-driving car technology together BMW, NavInfo bolster partnership in HD map service for autonomous cars in China GM Invests $300 M in Momenta to deliver self-driving technologies in China FAW Hongqi readies electric SUV offering Level 4 autonomous driving Tencent, Changan Auto Announce Autonomous-Vehicle Joint Venture Huawei teams up with BAIC BJEV, Changan, GAC to co-launch self-driving car brands GAC Aion, DiDi Autonomous Driving to co-develop driverless NEV model BYD partners with Huawei for autonomous driving Lyft, Magna in Deal to Develop Hardware, Software for Self-Driving Cars Xpeng releases autonomous features for highway driving Nuro Becomes First Driverless Car Delivery Service in California Deutsche Post to Deploy Test Fleet Of Fully Autonomous Delivery Trucks ZF autonomous EV venture names first customer Magna’s new MAX4 self-driving platform offers autonomy up to Level 4 Groupe PSA’s safe and intuitive autonomous car tested by the general public Mitsubishi Electric to Exhibit Autonomous-driving Technologies in New xAUTO Test Vehicle Apple acquires self-driving startup Drive.ai Motional to begin robotaxi testing with Hyundai Ioniq 5 in Los Angeles JD.com Delivers on Self-Driving Electric Trucks NAVYA Unveils First Fully Autonomous Taxi Fujitsu and HERE to partner on advanced mobility services and autonomous driving Here’s where Tesla’s competition will get its battery cells… Panasonic (making deals with multiple automakers) LG Samsung SK Innovation Toshiba CATL BYD Volkswagen to Build Six Electric-Vehicle Battery Factories in Europe How GM's Ultium Battery Will Help It Commit to an Electric Future Ultium (General Motors & LG joint venture) GM to develop lithium-metal batteries with SolidEnergy Systems Ford, SK Innovation announce EV battery joint venture BMW & Ford Invest in Solid Power to Secure All Solid-State Batteries for Future Electric Vehicles Daimler joins Stellantis as partner in European battery cell venture ACC Renault signs EV battery deals with Envision, Verkor for French plants Nissan to build $1.4bn EV battery plant in UK with Chinese partner UK companies AMTE Power and Britishvolt plan $4.9 billion investment in battery plants Toyota's game-changing solid-state battery en route for 2021 debut Freyr Verkor Farasis Microvast Akasol Cenat Wanxiang Eve Energy Svolt Romeo Power ProLogium Hyundai Motor developing solid-state EV batteries Daimler Morrow Here’s Tesla’s Competition In Charging Networks... Electrify America is spending $2 billion building a high-speed U.S. charging network GM, EVgo partner to expand U.S. charging network Circle K Owner Plans Electric-Car Charging Push in U.S., Canada 191 U.S. Porsche dealers are installing 350kw chargers ChargePoint to equip Daimler dealers with electric car chargers GM and Bechtel plan to build thousands of electric car charging stations across the US Ford introduces 12,000 station charging network, teams with Amazon on home installation Shell Plans To Deploy Around 500,000 Charging Points Globally By 2025 Petro-Canada Introduces Coast-to-Coast Canadian Charging Network Volta is rolling out a free charging network Ionity Europe E.ON and Virta launch one of the largest intelligent EV charging networks in Europe Volkswagen plans 36,000 charging points for electric cars throughout Europe Smatric has over 400 charging points in Austria Allego has hundreds of chargers in Europe PodPoint UK charging stations BP Chargemaster/Polar is building stations across the UK Instavolt is rolling out a UK charging network Fastned building 150kw-350kw chargers in Europe Aral To Install Over 100 Ultra-Fast Chargers In Germany Deutsche Telekom launches installation of charging network for e-cars Total to build 1,000 high-powered charging points at 300 European service-stations NIO teams up with China’s State Grid to build battery charging, swapping stations Volkswagen-based CAMS launches supercharging stations in China Volkswagen, FAW Group, JAC Motors, Star Charge formally announce new EV charging JV BMW to Build 360,000 Charging Points in China to Juice Electric Car Sales BP, Didi Jump on Electric-Vehicle Charging Bandwagon Evie rolls out ultrafast charging network in Australia Evie Networks To Install 42 Ultra-Fast Charging Sites In Australia And here’s Tesla’s competition in storage batteries… Panasonic Samsung LG BYD AES + Siemens (Fluence) GE Bosch Hitachi ABB Toshiba Saft Johnson Contols EnerSys SOLARWATT Schneider Electric Sonnen Kyocera Generac Kokam NantEnergy Eaton Nissan Tesvolt Kreisel Leclanche Lockheed Martin EOS Energy Storage ESS UET electrIQ Power Belectric Stem ENGIE Redflow Renault Primus Power Simpliphi Power redT Energy Storage Murata Bluestorage Adara Blue Planet Tabuchi Electric Aggreko Orison Moixa Powin Energy Nidec Powervault Kore Power Shanghai Electric Schmid 24M Ecoult Innolith LithiumWerks Natron Energy Energy Vault Ambri Voltstorage Cadenza Innovation Morrow Gridtential Villara Elestor Thanks and stay healthy, Mark Spiegel Updated on Oct 1, 2021, 11:05 am (function() { var sc = document.createElement("script"); sc.type = "text/javascript"; sc.async = true;sc.src = "//mixi.media/data/js/95481.js"; sc.charset = "utf-8";var s = document.getElementsByTagName("script")[0]; s.parentNode.insertBefore(sc, s); }()); window._F20 = window._F20 || []; _F20.push({container: 'F20WidgetContainer', placement: '', count: 3}); _F20.push({finish: true});.....»»

Category: blogSource: valuewalkOct 1st, 2021

3 Great Blue-Chip Stocks to Buy at Discounts in October and Hold

Here are three blue-chip stocks from totally different industries investors might want to consider buying at discounts in October to anchor their portfolios for years to come... Stocks tumbled to start the final week of the third quarter and continued to fall Thursday in what’s been an up and down period. Wall Street’s attention remains on the Fed and what’s next for the U.S. economy as supply chain setbacks and the delta variant disrupt what was a booming comeback.Economists and big Wall Street banks have lowered their 2021 GDP forecasts, citing supply chain logjams, rising prices, and the delta variant’s impact on sectors such as travel and leisure. These impacts are real, but the longer-term bullish case remains. For instance, August retail sales were surprisingly solid, highlighting resilience heading into the holidays.The overall S&P 500 earnings and margin outlook is still strong. Plus, even when the Fed raises rates, we could still be years away from a return to pre-financial crisis levels. It’s worth stressing that the 10-year U.S. Treasury yield has rarely and barely moved above 3% in the last decade and with 2% or higher inflation, Wall Street will likely continue chasing returns in equities (also read: Previewing the Q3 Earnings Season).The S&P 500 has climbed 16% in 2021 and there could certainly be more selling on the horizon, even though the benchmark index is currently down around 5% from its early September records. That might sound scary, but selling is a part of well-functioning markets (see nearby chart).Timing the market is difficult and long-term investors are often best served buying strong stocks whenever there’s a pullback, even if there is more selling or volatility ahead. Given this backdrop, here are three blue-chip stocks from totally different industries investors might want to consider buying at discounts in October to anchor their portfolios for years to come…Image Source: Zacks Investment ResearchAdobe ADBEAdobe created the PDF and went public in the mid-1980s. These days it’s a cloud software powerhouse, with a portfolio full of the most important creative and design software on the market. The firm’s subscription-based offerings include Photoshop, InDesign, Premiere, and newer software geared to the digital media age.ADBE’s subscription-based model helps create stable growth and its creative cloud suite is invaluable to countless businesses, schools, and creatives. The company also boosted its business-focused portfolio to include e-signature, documents, marketing, and more. Adobe’s diversified and relatively unique solutions provide a sturdy moat in a crowded and sometimes redundant SaaS space.Adobe’s FY20 revenue climbed 15% and it topped our Q3 estimates on Sept. 21, with sales and adjusted earnings both up around 22%. Zacks estimates call for its revenue to surge 22.5% this year and jump another 15% higher to $18.2 billion in FY22 and extend its streak of around 15% or stronger top-line growth to eight years running. Meanwhile, its adjusted earnings are expected to climb 23% and 14%, respectively.ADBE outclimbed Microsoft MSFT and Apple AAPL over the last five years, up 430%. The stock has cooled off in the last year to lag well behind the benchmark and recent profiting-taking around earnings—and the larger downturn—sets up an enticing buying opportunity. Adobe is down 15% from its records and its quick drop pushed it from overbought RSI levels (70 or higher) in early September to oversold (30 or under) at 25.Adobe lands a Zacks Rank #3 (Hold) right now and Wall Street is extremely high on the stock, with 18 of the 19 brokerage recommendations Zacks has resting at “Strong Buys.” The company also continues to repurchase its stock and its subscription software offerings aren’t going out of style anytime soon.Caterpillar CATAlong with big tech, diversification and dividends are key aspects to any portfolio. Caterpillar fits the bill and it’s a straightforward way to play economic growth, including continued infrastructure spending. CAT and its iconic yellow machines are synonymous with every corner of construction. The company is also plugged into various resource industries through mining equipment and more, as well the energy and transportation sectors.Along with the huge equipment the average person might see on a daily basis, Caterpillar produces everything from marine diesel engines to gas generators. The Illinois-based firm in recent years has also introduced a services segment to help smooth the sometimes-bumpy road caused by economic boom and bust cycles.CAT is also rolling out IoT-connected machines that enable customers to know when repairs and spare parts are needed for various equipment that can cost millions of dollars. And Caterpillar’s executive team is prepared to embark on the massive energy transition in the U.S. and elsewhere.CAT began to break out of a several-year slump after the market hit its coronavirus lows with shares now up 60% in the past two years to easily outpace its industry. Luckily, it has pulled back after it got overheated following a long, post-election run. The stock now trades 20% below its May records and hovers close to oversold RSI levels at 36.CAT is trading at a 30% discount to its own year-long median at 17.2X forward earnings, which marks value vs. its industry. Caterpillar is also a dividend aristocrat and its 2.30% yield tops the 30-year Treasury’s roughly 2.1% and its industry’s 1% average.Caterpillar currently lands a Zacks Rank #3 (Hold), alongside “B” grades for Value and Growth in our Style Scores system and it returns value to shareholders through buybacks.Zacks estimates call for CAT’s adjusted FY21 earnings to skyrocketed 54% on 22% higher revenue. The industrial power is then projected to follow up this strong showing with another 19% earnings growth and 12% strong sales that would see it pull in around $57 billion. The company is set to report its Q3 financial results on Oct. 28.Walmart WMTWalmart posted a banner year in 2020 (FY21), with sales up 7% and comps 9% higher. The retail giant’s e-commerce revenue skyrocketed 80%, driven by beefed-up delivery and pick-up options. WMT also last year launched its subscription service dubbed Walmart+ to compete directly against Amazon AMZN Prime. The service costs $98 a year and offers unlimited free deliveries, discounts on fuel, access to new-age in-store checkout offerings, and more.On top of that, etail titan has expanded its customer base through diversification, including teaming up with secondhand e-commerce clothing firm ThredUp, partnering with Shopify SHOP to bring more small businesses to its own third-party marketplace, and more.Walmart’s digital advertising business is also on track to be a multi-billion-dollar-a-year segment. WMT is set to improve its financial services offerings and eventually roll out telehealth services around the country to complement its in-person Walmart Health centers.Despite coming up against its best performance in years, Zacks estimates call for WMT’s revenue to climb another 1% this year and 2.2% higher next year to reach $578 billion. Plus, its adjusted earnings are projected to jump 16% and 5%, respectively.Investors should also note that analysts have raised their EPS estimates for the stock recently and it’s crushed our bottom-line estimates in the past two periods. This positivity helps Walmart land a Zacks Rank #2 (Buy) right now, alongside its overall “A” VGM grade.The firm’s Retail – Supermarkets space is in the top 17% of over 250 Zacks industries and Wall Street analyst are largely high on the stock. And its 1.59% dividend yield tops the recently-rising 10-year U.S. Treasury.Like its peers on the list, Walmart stock has fallen recently, down over 6% in the past month and nearly 10% from its records. The recent selling sent it into oversold RSI levels at 26. Therefore, now could be a solid entry point for the stock that’s climbed 100% in the past five years to nearly double its industry. Zacks’ Top Picks to Cash in on Artificial Intelligence This world-changing technology is projected to generate $100s of billions by 2025. From self-driving cars to consumer data analysis, people are relying on machines more than we ever have before. Now is the time to capitalize on the 4th Industrial Revolution. Zacks’ urgent special report reveals 6 AI picks investors need to know about today.See 6 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Amazon.com, Inc. (AMZN): Get Free Report Apple Inc. (AAPL): Get Free Report Microsoft Corporation (MSFT): Get Free Report Caterpillar Inc. (CAT): Get Free Report Walmart Inc. (WMT): Get Free Report Adobe Inc. (ADBE): Get Free Report Shopify Inc. (SHOP): Get Free Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 30th, 2021

G-III Apparel (GIII) Shines on Digital Gains and Brand Power

G-III Apparel's (GIII) brand strength and robust business strategies appear encouraging. The company's digital business also looks good. G-III Apparel Group, Ltd. GIII ranks among the recognized players in the Zacks Textile – Apparel industry, which is in the top 2% of all the Zacks Classified industries.Shares of this New York-based company have increased 26.6% in the year-to-date period, outperforming the industry’s 13.1% growth. This presently Zacks Rank #1 (Strong Buy) company’s bullish run on the bourses is justified by its robust business strategies including digital progress and brand strength. You can see  the complete list of today’s Zacks #1 Rank stocks here.Delving DeeperG-III Apparel is focused on growing its digital business with expansion in the distribution channel. Digital sales of the company’s products have been accelerating for a while now. Management is on track to launch the revamped websites of DKNY and Karl Lagerfeld Paris. These sites are likely to offer an immersive brand content to engage consumers, thus facilitating conversion to sales tools, such as virtual selling.It is steadily investing in data analytics capabilities to better know its customers across channels and boost their shopping experiences. Management informed that the company is partnering with GEODIS, its logistics provider, to aid the direct-to-consumer capabilities. We believe that G-III Apparel’s digital business will continue to make significant contributions ahead.Image Source: Zacks Investment ResearchRegarding brand strength, the company is armed with a robust portfolio of recognized brands. Management remains optimistic about its five global power brands, namely DKNY, Donna Karan, Calvin Klein, Tommy Hilfiger and Karl Lagerfeld Paris. It expects the annual net wholesale sales potential for these five brands to be $4 billion.In addition, it is witnessing continued strength in casual categories. These categories have a potential growth opportunity with expansion into the outdoor and sports market. Also, its broader lifestyle categories, such as dresses, more polished sportswear and wear-to-work clothing are impressive. The shoes and handbag categories also continue to grow while the jeans category is a bright spot too.Recently, management announced that the company agreed to acquire an iconic European luxury fashion brand Sonia Rykiel. Collaboration with this brand will enable G-III Apparel to further reinforce its global footprint in the luxury space. Sonia Rykiel is among the recognized figures of Parisian fashion who developed an iconic brand that defines the spirit of the modern woman. G-III Apparel intends to accelerate the relaunch of this brand during the fall of next year with collections across several categories, mainly in Europe.With respect to athleisure and sportswear, the company is consistently expanding its collections to cash in on the consumers' growing demand. It had also successfully unveiled the Karl Lagerfeld Paris women's brand across 75 doors at Macy's M. It remains on track to triple the distribution of its sportswear line to 250 doors by the end of fiscal 2022 and introduce a dress line to 75 doors by spring.Wrapping UpGiven all the aforesaid tailwinds, we believe, G-III Apparel will continue to perform well and retain its solid momentum on the bourses. In addition, the Zacks Consensus Estimate for 2022 sales and earnings is currently pegged at $2.68 billion and $3.18, respectively. These estimates suggest corresponding growth of about 30% and 342% from the respective year-ago reported figures.Don’t Miss These Solid Bets TooColumbia Sportswear COLM has a long-term earnings growth rate of 33.5% and a Zacks Rank #1, currently.Hanesbrands HBI has a Zacks Rank of 1 and a long-term earnings growth rate of 8.5%, presently. Zacks’ Top Picks to Cash in on Artificial Intelligence This world-changing technology is projected to generate $100s of billions by 2025. From self-driving cars to consumer data analysis, people are relying on machines more than we ever have before. Now is the time to capitalize on the 4th Industrial Revolution. Zacks’ urgent special report reveals 6 AI picks investors need to know about today.See 6 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Macys, Inc. (M): Get Free Report Columbia Sportswear Company (COLM): Get Free Report Hanesbrands Inc. (HBI): Get Free Report GIII Apparel Group, LTD. (GIII): Get Free Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 30th, 2021

Spain"s Inflation Levels Hit 13-Year High Driven By Increasing Energy Costs

Spain's Inflation Levels Hit 13-Year High Driven By Increasing Energy Costs Authored by Katabella Roberts via The Epoch Times, Inflation levels in Spain surged to a 13-year-high in September driven by increasing energy costs, among other things, data from the National Statistics Institute (INE) showed on Wednesday. The flash indicator prepared by the INE (pdf) showed that national consumer prices rose 4.0 percent year-on-year, the highest reading since September 2008, when the rate was 4.5 percent. The increased inflation levels are mainly attributed to rising electricity prices, although tourist packages prices falling more in 2020 than this year, and the cost of fuel and oil for personal vehicles rising also play a role, according to INE. Spain is just one of several European countries facing soaring energy bills as gas prices have risen more than 35 percent in the past month amid lower supplies and a surge in demand as pandemic-hit economies around the world reopen, prompting fears that there is simply not enough gas stored up for the winter if temperatures were to be particularly cold in the northern hemisphere. In Europe, supply levels are 16 percent below the five-year average, a record low for this time of year. Spain’s government confirmed Sept. 14 that it will introduce a series of short-term temporary “shock measures” in an effort to cut spiraling energy bills. The measures intend to bring “an immediate halt to the effect that the electricity price is having on other sectors of the economy,” it said in the State Gazette. Such measures include limiting the profits that hydropower and other renewable power generators can make from surging electricity prices, and redirecting billions of euros to consumers. The government said it expects to channel some 2.6 billion euros ($3.07 billion) from companies to consumers in the next six months and the measure will stay in place until the end of March, when natural gas prices are expected to stabilize. The country will also use an extra 900 million euros it expects to raise from sales through auctioning carbon emission permits this year to reduce bills, which will also be allocated to reduce consumer bills. The government cited high market prices as the reason for the additional funds. Spain will also limit regulated price increases for natural gas at 4.4 percent in the third quarter, versus forecasts for a 28 percent increase. Elsewhere, the INE data showed that the annual rate of Spain’s Harmonised Index of Consumer Prices rose by 4.0 percent in September up from 3.3 percent in August, signifying a 13-year record. The latest INE report comes as the OECD said it expects consumer prices in leading economies, including the United States, to rise faster than previously anticipated before settling at above pre-pandemic levels. The headline rate of consumer price inflation is projected at 3.7 percent in 2021 on average in the Group of 20 leading economies, before rising to 3.9 percent in 2022, the Paris-based organization said in its September economic outlook (pdf). Tyler Durden Thu, 09/30/2021 - 03:30.....»»

Category: blogSource: zerohedgeSep 30th, 2021

TransAlta (TAC) Unfolds Renewable Plans, Hikes 2022 Dividend

TransAlta (TAC) unveils plans to lower emissions by 70% within 2030 from its 2005 levels and become carbon-neutral by 2050. Also, it ups 2022 dividend by 11%. TransAlta Corporation TAC announces its strategic growth plans that will position it as a leader in delivering clean electricity. It aims to add 2 Gigawatt (GW) of capacity to its portfolio by developing, constructing and acquiring assets via investments worth $3 billion by the end of 2025.The company has a customer-centered renewable electricity and storage plan in place. It aims to expand its storage by enhancing its 3 GW development pipeline and further increasing it to 5 GW by 2025 to double the renewable fleet within 2030. Currently, it has a development pipeline of 1.2 GW in the United States, nearly 2 GW in Canada and 270 megawatt (MW) in Australia.It announced building new projects and undertaking buyouts worth 300 MW capacities and has 500 MW of electricity in advanced-stage development. Also, the utility’s already announced acquisition of solar projects with 122- MW capacity in North Carolina, expected to close in mid-October, will be another significant addition to its renewable portfolio.Zero-Carbon Emission GoalA clear transition is evident in the utility space with the operating participants making changes to their generation portfolio to cut down on emission. The focus is on using more clean renewable sources and trimming the usage of coal to generate electricity.TransAlta is also undertaking necessary steps to retire the old generating power units and restructure its portfolio. After proper evaluation, it determined that increasing costs, regulatory risks, changes in supply and demand along with power price forecasts in the Alberta market make the Sundance Unit 5 repowering project unsuitable. Hence, it decided to suspend its operations, and use its capital to fund other renewable projects.Based on the future market conditions, the company’s focus on renewable energy solutions and the age of the facilities, the utility will retire the Keephills Unit 1 on Dec 31, 2021 and the Sundance Unit 4 effective Apr 1, 2022. Besides, it provided a retirement notice to the Alberta Electric System Operator. Its efforts include ceasing all coal-fired generation in Canada by the end of the current year and across its entire fleet by the late 2025.TransAlta aims to reduce emissions by 70% within 2030 from its 2005 base levels and reach full carbon-neutrality by 2050. Other utilities that already decided to curb 100% carbon emissions by 2050 from their operations include Alliant Energy LNT, Exelon Corporation EXC and FirstEnergy Corp. FE.Dividend UpdateThe utility also raised its dividends by 11% to reach an annual tally of 20 cents per share, marking the third dividend hike in the past two years. The new quarterly dividend of 5 cents per share is payable Jan 1, 2022 to its shareholders of record on Dec 1, 2021.Price PerformanceShares of this utility have gained 10.1% in the past six months against the industry’s decline of 2.1%.Six Months Price PerformanceImage Source: Zacks Investment ResearchZacks RankThe stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Zacks' Top Picks to Cash in on Artificial Intelligence In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.See 3 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Exelon Corporation (EXC): Free Stock Analysis Report FirstEnergy Corporation (FE): Free Stock Analysis Report Alliant Energy Corporation (LNT): Free Stock Analysis Report TransAlta Corporation (TAC): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 29th, 2021

3 High-Potential MedTech Stocks With More Than 50% Growth YTD

Stocks like West Pharmaceuticals Services (WST), Maravai LifeSciences (MRVI) and Option Care Health (OPCH) have gained stupendously year to date. The more-than-one-and-a-half year-long COVID-19 pandemic has created unprecedented mayhem across the United States. Nevertheless, it presented an opportunity for healthcare companies to dig the best out of it. In particular, the MedTech sector has displayed significant strength since the beginning of 2021 by exhibiting recovery based on the mass vaccination mission.Even amid the recent surge in the highly transmissible Delta variant that has thrown a set of new nationwide challenges to the investment world, market watchers are currently focused on the MedTech space, recognized as one of the most stable business sectors.  Not to forget, the sector showed remarkable resilience last year despite the pandemic-induced disruption. Thus, it would be prudent to capitalize on the space now.Let us delve deeper.MedTech Resilience to ContinueThe pandemic has transformed the health care infrastructure, with companies’ receptiveness toward virtualized, remote-operated business models for medical care that, in turn, have helped them recover and attain pre-COVID-19 levels.Rapid developments in artificial intelligence (AI) technology, device connectivity and virtual monitoring have enabled healthcare companies to effectively respond to the growing demand for critical products such as personal protective equipment (PPE) and ventilators. By quickly scaling up R&D and manufacturing efforts, the sector has been making significant efforts in reducing the pressure on healthcare systems.Additionally, the President recently released a mandate asking federal employees to ensure vaccination and large and small private sector businesses to get their staff fully vaccinated and regularly tested. This is expected to bode well for MedTech stocks by increasing hospital and patient office visits and motivating people to opt for non-COVID elective Medtech procedures.MedTech Space: Opportunities to GrowIncreasing adoption of telemedicine or the option of digitally availing of medical advice has become a major choice for contactless healthcare services amid surging coronavirus infections. Frost & Sullivan forecasts seven-fold growth in telehealth by 2025 – a five-year compound annual growth rate of 38.2%. This opens up enormous opportunities for the MedTech space.In terms of digital acceleration, during the fiscal third-quarter earnings update, Walgreens Boots Alliance WBA noted that Walgreens Find Care platform usage increased to more than 135 million visits, driven mainly by COVID-19 testing and vaccinations. Also, Walgreens Boots completed the nationwide deployment of its SAP S/4HANA front-of-store technology platform.Also, the longer screen times and the resulting rise in eye fatigue have necessitated the use of vision correction and anti-fatigue glasses. This has enabled optical care companies to capture higher sales of anti-fatigue and blue light canceling lenses, thereby resulting in overall market growth within the MedTech space.Moreover, the President's latest mandate aimed at curtailing the surge in COVID-19 infections signals a sharp rise in testing. This is expected to help diagnostics companies witness significant growth in the coming months.Quest Diagnostics Incorporated DGX recently raised its full-year projection significantly in line with the rise in testing demand. The company also noted that it expects the Delta-driven surge to be stronger than anticipated, with Quest Diagnostics now assuming average volumes of at least 40,000 molecular tests daily for the second half of the year versus the previous guidance of 20,000.Stocks Gaining More Than 50% YTDGoing by the aforementioned discussions, investors can choose to invest in fundamentally-strong stocks that have shown tremendous promise despite challenging market conditions.Here are a few MedTech companies with a Growth Score of A or B. Our research shows that stocks with a Growth Score of A or B, when combined with a Zacks Rank #1 (Strong Buy) or 2 (Buy), offer the best upside potential. These stocks scored 50% or more in terms of share price appreciation through 2021. You can see the complete list of today’s Zacks #1 Rank stocks here.West Pharmaceutical Services, Inc. WST – The company exited second-quarter 2021 on a strong note with solid organic sales growth in both of its base businesses and improving demand for products related to COVID-19 vaccines. It continues to witness strong uptake of HVP components, including Westar, FluroTec, Envision and NovaPure offerings, and Daikyo’s Crystal Zenith. Moreover, the raised financial outlook for 2021 instills further optimism in the stock.Image Source: Zacks Investment ResearchThis Zacks Rank #2 stock has a Growth Score of B. Year to date, shares of the company have surged 50.9% compared with the industry’s growth of 15.3%.Maravai LifeSciences Holdings, Inc. MRVI – The company had an incredibly strong first half of 2021. Revenues for the second quarter surged 364.3% year over year driven by robust growth across Nucleic Acid Production and Biologic Safety Testing businesses. The company witnessed continued strong demand for the proprietary CleanCap analogs as COVID-19 vaccine manufacturers scale production. The company entered into a definitive agreement to sell Vector Laboratories -- its Protein Detection business segment -- to Thompson Street Capital Partners, a St. Louis-based private equity firm. The company intends to use its net proceeds from the sale for general corporate purposes, including organic growth investments and potential M&A opportunities.Image Source: Zacks Investment ResearchThis Zacks Rank #2 stock has a Growth Score of B. Year to date, shares of the company have surged 68.5% compared with the industry’s 3.2% growth.Option Care Health, Inc. OPCH -- Option Care Health reported a solid second quarter while investing in future growth. During the second quarter of 2021, the company completed the BioCure acquisition. The company also recently announced the technology collaboration with AlayaCare -- one of the existing trusted technology partners to co-develop market-leading patient engagement and clinical management software. The company also invested in an additional infusion suite capacity and is aggressively moving to open 10 to 15 other stand-alone infusion centers by the end of 2021. Moreover, the company has raised its full-year 2021 guidance, which is indicative of the continuation of this bullish trend.Image Source: Zacks Investment ResearchThis Zacks Rank #2 stock has a Growth Score of A. Year to date, shares of the company have surged 54.2% against the industry’s fall of 34.9%. Zacks' Top Picks to Cash in on Artificial Intelligence In 2021, this world-changing technology is projected to generate $327.5 billion in revenue. Now Shark Tank star and billionaire investor Mark Cuban says AI will create "the world's first trillionaires." Zacks' urgent special report reveals 3 AI picks investors need to know about today.See 3 Artificial Intelligence Stocks With Extreme Upside Potential>>Want 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 Quest Diagnostics Incorporated (DGX): Free Stock Analysis Report West Pharmaceutical Services, Inc. (WST): Free Stock Analysis Report Walgreens Boots Alliance, Inc. (WBA): Free Stock Analysis Report Option Care Health, Inc. (OPCH): Get Free Report Maravai LifeSciences Holdings, Inc. (MRVI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 29th, 2021

FactSet Reports Strong Growth in Fourth Quarter and Full Year 2021

NORWALK, Conn., Sept. 28, 2021 (GLOBE NEWSWIRE) -- FactSet ("FactSet" or the "Company") (NYSE:FDS) (NASDAQ:FDS), a global provider of integrated financial information, analytical applications, and industry-leading service, today announced results for its fourth quarter ended August 31, 2021. Fourth Quarter Fiscal 2021 Highlights Revenue increased 7.4%, or $28.3 million, to $411.9 million compared with $383.6 million for the same period in fiscal 2020. The increase was primarily due to higher sales of analytics, content and technology solutions (CTS) and research. Organic revenues grew 6.7% to $410.1 million during the fourth quarter of fiscal 2021 from the prior year period. Annual Subscription Value (ASV) plus professional services was $1.7 billion at August 31, 2021, compared with $1.6 billion at August 31, 2020. Organic ASV plus professional services, which excludes the effects of acquisitions and dispositions completed within the last 12 months and foreign currency movements, was also $1.7 billion at August 31, 2021, up $112.1 million from the prior year at a growth rate of 7.2%. The incremental ASV of over $100 million represents a new record for the Company. Organic ASV plus professional services increased $68.4 million over the last three months. The primary contributors to this growth were higher sales of research and CTS solutions. Please see the "ASV + Professional Services" section of this press release for details. Operating margin increased to 28.9% compared with 25.7% for the same period last year. The prior year period included a non-cash expense from the impairment of an investment in a company. Adjusted operating margin decreased to 31.6% compared with 33.2% in the prior year period primarily as a result of higher compensation expense including increased performance-based compensation arising from the acceleration in ASV. Diluted earnings per share (EPS) increased 14.8% to $2.63 compared with $2.29 for the same period in fiscal 2020. Adjusted diluted EPS remained flat at $2.88 compared with the prior year period, primarily due to higher revenues offset by higher operating expenses and an increased tax rate. The Company's effective tax rate for the fourth quarter increased to 14.7% compared with 7.3% a year ago, primarily due to lower tax benefits associated with stock-based compensation in the current quarter and a tax benefit related to finalizing prior year tax returns compared with the three months ended August 31, 2020. FactSet provided its annual outlook for fiscal 2022. Please see the "Annual Business Outlook" section of this press release for details. "We delivered a record fourth quarter, driving 200 bps of ASV growth for the fiscal year," said Phil Snow, CEO, FactSet. "As we planned, two years of accelerated investment in content and technology is paying dividends. We enter next fiscal year with momentum and believe our strategy to scale our content refinery and create personalized workflow solutions will increase our market share." Key Financial Measures* (Condensed and Unaudited) Three Months Ended     Twelve Months Ended   Latest   August 31,     August 31,   FY 2021 (In thousands, except per share data) 2021 2020 Change   2021 2020 Change Guidance GAAP revenues $ 411,894   $ 383,590   7.4 %   $ 1,591,445   $ 1,494,111   6.5 % $1.570 - $1.585b Organic revenues $ 410,133   $ 384,209   6.7 %   $ 1,592,337   $ 1,498,303   6.3 %   Operating income $ 119,176   $ 98,577   20.9 %   $ 474,041   $ 439,660   7.8 %   Adjusted operating income $ 130,384   $ 127,379   2.4 %   $ 517,694   $ 503,403   2.8 %   Operating margin 28.9 % 25.7 %     29.8 % 29.4 %   29.5% - 30.5% Adjusted operating margin 31.6 % 33.2 %     32.5 % 33.6 %   32.0% - 33.0% Net income $ 101,062   $ 89,079   13.5 %   $ 399,590   $ 372,938   7.1 %   Adjusted net income $ 110,874   $ 112,034   (1.0 )%   $ 432,049   $ 420,122   2.8 %   Diluted EPS $ 2.63   $ 2.29   14.8 %   $ 10.36   $ 9.65   7.4 % $10.05 - $10.45 Adjusted diluted EPS $ 2.88   $ 2.88   — %   $ 11.20   $ 10.87   3.0 % $10.75 - $11.15 * See reconciliation of U.S. GAAP to adjusted key financial measures in the back of this press release. "Excellent execution across the entire organization has resulted in record revenue and a strong finish to our fiscal year," said Helen Shan, CFO and Chief Revenue Officer (CRO), FactSet. "We implemented our growth and capital allocation strategy to plan and generated high returns for shareholders. Our guidance reflects our confidence in a solid and varied pipeline, and we believe we can deliver ongoing operational and cost discipline while expanding wallet share with clients." Annual Subscription Value (ASV) + Professional Services ASV at any given point in time represents the forward-looking revenues for the next twelve months from all subscription services currently supplied to clients. Professional services are revenues derived from project-based consulting and implementation. ASV plus professional services was $1,688 million at August 31, 2021 compared with $1,564 million at August 31, 2020. Organic ASV plus professional services was $1,678 million at August 31, 2021, up $112.1 million from the prior year at a growth rate of 7.2%. Organic ASV, which excludes the effects of acquisitions and dispositions completed within the last 12 months and foreign currency movements, plus professional services, increased $68.4 million over the last three months. Buy-side and sell-side ASV growth rates for the fourth quarter of fiscal 2021 were 6.5% and 12.0%, respectively. Buy-side clients, who primarily include asset managers, asset owners, wealth managers, hedge funds and corporate firms, accounted for approximately 83% of organic ASV while the remainder was derived from sell-side firms that primarily include broker-dealers, banking and advisory, private equity and venture capital firms. Supplementary tables covering organic buy-side and sell-side ASV growth rates may be found on the last page of this press release. Organic ASV plus professional services from FactSet's workflow solutions at August 31, 2021 was as follows: Research ASV was $683 million, representing 5.7% growth versus the same period a year ago. Analytics & Trading ASV was $596 million, growing 6.3% year over year. CTS ASV was $218 million, increasing 15.7% year over year. Wealth ASV was $181 million, increasing 6.0% from the prior year. Segment Revenue and ASV ASV from the Americas region was $1,039.4 million compared with ASV in the prior year period of $956.6 million. Organic ASV increased 7.4% to $1,029.2 million. Americas revenues for the quarter increased to $261.9 million compared with $245.4 million in the fourth quarter last year. Excluding the effects of acquisitions and dispositions completed in the last 12 months, the Americas region organic revenue growth rate was 6.0%. ASV from the EMEA region was $450.0 million compared with ASV in the prior year period of $426.0 million. Organic ASV increased 5.6% to $451.3 million. EMEA revenues were $109.6 million compared with $101.8 million in the fourth quarter of fiscal 2020. Excluding the effects of acquisitions and dispositions completed in the last 12 months and foreign currency impacts, the EMEA region organic revenue growth rate was 6.8%. ASV from the Asia Pacific region was $174.7 million compared with ASV in the prior year period of $156.5 million. Organic ASV increased 12.3% to $174.6 million. Asia Pacific revenues were $40.4 million compared with $36.4 million in the fourth quarter of fiscal 2020. Excluding the effects of acquisitions and dispositions completed in the last 12 months and foreign currency impacts, the Asia Pacific region organic revenue growth rate was 11.6%. Segment ASV does not include professional services, which totaled $24.1 million at August 31, 2021. Operational Highlights – Fourth Quarter Fiscal 2021 Client count as of August 31, 2021 was 6,453, a net increase of 281 clients in the past three months, primarily driven by an increase in corporate and wealth management clients as well as third party data providers. The count includes clients with ASV of $10,000 and above. User count increased by 5,928 to 160,932 in the past three months, primarily driven by an increase in research and wealth solutions users. Annual ASV retention was greater than 95%. When expressed as a percentage of clients, annual retention improved to 91% year over year. Employee count was 10,892 as of August 31, 2021, up 3.9% over the last twelve months. Excluding the 2021 acquisitions, headcount grew by 3.3%, primarily driven by increased hiring in the Company's content and product development organizations. Net cash provided by operating activities increased to $185.0 million compared with $159.4 million for the fourth quarter of 2020. Quarterly free cash flow increased to $171.2 million compared with $144.7 million a year ago, an increase of 18.3%, primarily due to higher net income, improved collections and the timing of certain tax items. Capital expenditures decreased to $13.8 million, compared with $14.7 million a year ago, primarily due to a reduction in capitalized labor and benefits associated with the development of internal use software. A quarterly dividend of $30.8 million, or $0.82 per share, was paid on September 16, 2021 to holders of record of FactSet's common stock at the close of business on August 31, 2021. FactSet announced the appointment of Linda Huber as Chief Financial Officer. Huber will join FactSet in early October 2021. Huber brings over 30 years of experience in the financial services industry, including 15 years as a public company CFO. She will lead FactSet's global finance organization and report to FactSet CEO Phil Snow. The Company also named Kristina Karnovsky as Chief Product Officer (CPO). As CPO, Karnovsky will oversee the Company's entire product portfolio, focusing on solutions tailored to client workflows. She has over 20 years' experience at FactSet, most recently as Global Head of Research Solutions. FactSet acquired BTU Analytics, a leading provider of North American renewables, power, oil, and natural gas data and analytics. The acquisition furthers the Company's industry-specific, or deep sector, content strategy and strengthens its position in the energy space. Select BTU content is already available within the FactSet workstation with further integration expected over the coming months. The Company also acquired Cabot Investment Technology, an analytics platform that generates behavior-based insights and skills quantification for asset managers and asset owners. Cabot's proprietary technology helps equity portfolio managers and research analysts better understand their skills, investment processes, and behavioral tendencies so they can refine the ways they buy, sell, and size assets. The Company launched Truvalue Lab's ESG content in the Japanese market by integrating it into Smartplus' Wealth Wing, one of the leading Japanese wealth management platforms. The integration will allow Wealth Wing's retail clients to screen for ESG factors when selecting stocks and build more ESG-conscious portfolios. FactSet furthered its wealth management business with multiple wins, including being selected by Raymond James Ltd. as its market data provider for financial advisors in Canada. FactSet's Wealth Workstation will also be used to integrate Raymond James Ltd.'s internal model portfolios and approved lists, strengthening collaboration with front and middle office teams. The Company furthered its ESG efforts by signing the UN Global Compact and Principles for Responsible Investing. The decision to join the UN Global Compact and PRI follows other actions FactSet has taken, including participating in the World Economic Forum's ‘Measuring Stakeholder Capitalism' initiative; launching the Truvalue Labs® SDG Monitor to help investors and others view the alignment of corporations around the globe to the UN Sustainable Development Goals (SDGs); publishing Company-wide diversity figures in its yearly Corporate Responsibility report and on its website; and joining the Management Leadership for Tomorrow's latest cohort of companies that have committed to becoming MLT Black Equity at Work Certified. Full Year 2021 Highlights Revenues increased 6.5% to $1.59 billion, up 6.3% on an organic basis, marking the 41st consecutive year of revenue increase for the Company. Organic ASV plus professional services rose to $1.68 billion, up 7.2%. Diluted EPS increased 7.4% to $10.36. Adjusted diluted EPS increased 3.0% to $11.20. 2021 marks the 25th consecutive year that FactSet has increased its adjusted diluted EPS. Net cash provided by operating activities totaled $555.2 million. Free cash flow increased 15.3% to $493.9 million. Client count increased by 9.8% or 578 during the year, while users grew by 14.0% or 19,796 from the prior year. In May 2021, FactSet increased its quarterly dividend by $0.05 or 6.5% per share to $0.82, marking the 22nd consecutive year the Company has increased dividends, highlighting its continued commitment to return value to shareholders. The Company returned $382.6 million to shareholders in the form of share repurchases and dividends during the 2021 fiscal year, representing a return of 69% as a percentage of free cash flow and proceeds from employee stock plans. FactSet garnered multiple awards in 2021, with honors spanning multiple workflows, including research, risk, performance, trading, and wealth management. FactSet's expanding suite of datasets stood out, most notably in the ESG and alternative categories, for its depth and innovation in delivery mechanisms. FactSet was recognized by over thirty industry awards and rankings reports, including winning three categories in WatersTechnology's 2021 Inside Market Data & Inside Reference Data awards: best alternative data provider, best ESG data provider, and best overall data or service provider for 2021. FactSet also launched new data and technology solutions, including an integration with Microsoft Teams and the availability of FactSet Concordance Service on Snowflake. Other highlights include the acquisition of ESG data company Truvalue Labs, the appointment of FactSet's first Chief Diversity Equity and Inclusion Officer, and FactSet's selection by the Royal Bank of Canada to be the primary market data and technology provider for its entire wealth management organization. Share Repurchase Program FactSet repurchased 265,526 shares of its common stock for $92.5 million at an average price of $348.34 during the fourth quarter under the Company's existing share repurchase program. As of September 28, 2021, $199.9 million is available for share repurchases under this program. Annual Business Outlook FactSet is providing its outlook for fiscal 2022. The following forward-looking statements reflect FactSet's expectations as of today's date. Given the risk factors, uncertainties, and assumptions discussed below, actual results may differ materially, particularly with the ongoing uncertainty surrounding the duration, magnitude, and impact of the novel coronavirus pandemic. FactSet does not intend to update its forward-looking statements prior to its next quarterly results announcement. Fiscal 2022 Expectations Organic ASV plus professional services is expected to increase in the range of $105 million to $135 million over fiscal 2021. GAAP revenue is expected to be in the range of $1,705 million to $1,720 million. GAAP operating margin is expected to be in the range of 31% to 32%. Adjusted operating margin is expected to be in the range of 32.5% to 33.5%. FactSet's annual effective tax rate is expected to be in the range of 14.5% to 15.5%. GAAP diluted EPS is expected to be in the range of $11.60 to $11.90. Adjusted diluted EPS is expected to be in the range of $12.00 to $12.30. Both GAAP operating margin and GAAP diluted EPS guidance do not include certain effects of any non-recurring benefits or charges that may arise in fiscal 2022. Please see the back of this press release for a reconciliation of GAAP to adjusted metrics.                                                                                                 Conference Call The Company will host a conference call today, September 28, 2021, at 11:00 a.m. Eastern Time to discuss its fourth quarter results. The call will be webcast live at FactSet Investor Relations. The following information is provided for those who would like to participate: U.S. Participants: 833.726.6487       International Participants: 830.213.7677       Passcode: 9771799       An archived webcast with the accompanying slides will be available at FactSet Investor Relations for one year after the conclusion of the live event. The earnings call transcript will also be available via the FactSet workstation or web. An audio replay of this conference will also be available until October 5, 2021 via the following telephone numbers: 855.859.2056 in the U.S. and 404.537.3406 internationally using passcode 9771799. Forward-looking Statements This news release contains forward-looking statements based on management's current expectations, estimates, forecasts and projections about industries in which FactSet operates and the beliefs and assumptions of management. All statements that address expectations, guidance, outlook or projections about the future, including statements about the Company's strategy for growth, product development, revenues, future financial results, anticipated growth, market position, subscriptions, expected expenditures, trends in FactSet's business and financial results, are forward-looking statements. Forward-looking statements may be identified by words like "expects," "believes, " "anticipates," "plans," "intends, " "estimates, " "projects," "should," "indicates," "continues," "may" and similar expressions. These statements are not guarantees of future performance and involve a number of risks, uncertainties and assumptions. Many factors, including those discussed more fully elsewhere in this release and in FactSet's filings with the Securities and Exchange Commission, particularly its latest annual report on Form 10-K and quarterly reports on Form 10-Q, as well as others, could cause results to differ materially from those stated. Forward-looking statements speak only as of the date they are made, and FactSet assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance. About Non-GAAP Financial Measures Financial measures in accordance with U.S. GAAP including revenue, operating income and margin, net income, diluted earnings per share and cash provided by operating activities have been adjusted. FactSet uses these adjusted financial measures both in presenting its results to stockholders and the investment community and in its internal evaluation and management of the business. The Company believes that these adjusted financial measures and the information they provide are useful to investors because they permit investors to view the Company's performance using the same tools that management uses to gauge progress in achieving its goals. Investors may benefit from referring to these adjusted financial measures in assessing the Company's performance and when planning, forecasting and analyzing future periods and may also facilitate comparisons to its historical performance. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Adjusted revenues exclude the impact of the fair value of deferred revenue acquired in a business combination. Organic revenues exclude the effects of acquisitions and dispositions completed in the last 12 months and foreign currency movements in all periods presented. Adjusted operating income and margin, adjusted net income and adjusted diluted earnings per share exclude intangible asset amortization, the impact of the fair valuing of deferred revenue acquired in a business combination and non-recurring items. The Company believes that these adjusted financial measures better reflect the underlying economic performance of FactSet. The GAAP financial measure, cash flows provided by operating activities, has been reduced by capital expenditures to report non-GAAP free cash flow. FactSet uses this financial measure both in presenting its results to stockholders and the investment community and in the Company's internal evaluation and management of the business. Management believes that this financial measure is useful to investors because it permits investors to view the Company's performance using the same metric that management uses to gauge progress in achieving its goals and is an indication of cash flow that may be available to fund further investments in future growth initiatives. About FactSet FactSet (NYSE:FDS, NASDAQ:FDS) delivers superior content, analytics, and flexible technology to help more than 160,000 users see and seize opportunity sooner. We give investment professionals the edge to outperform with informed insights, workflow solutions across the portfolio lifecycle, and industry-leading support from dedicated specialists. We're proud to have been recognized with multiple awards for our analytical and data-driven solutions and repeatedly scored 100 by the Human Rights Campaign® Corporate Equality Index for our LGBTQ+ inclusive policies and practices. Subscribe to our thought leadership blog to get fresh insight delivered daily at insight.factset.com. Learn more at www.factset.com and follow us on Twitter: www.twitter.com/factset. FactSet Media & Investor Relations Contact:                         Rima Hyder                                        +1.857.265.7523                                rima.hyder@factset.com Consolidated Statements of Income (Unaudited)             Three Months Ended   Twelve Months Ended   August 31,   August 31, (In thousands, except per share data) 2021   2020   2021   2020 Revenues $ 411,894     $ 383,590     $ 1,591,445     $ 1,494,111   Operating expenses               Cost of services 197,532     183,568     786,400     695,446   Selling, general and administrative 95,186     101,445     331,004     359,005   Total operating expenses 292,718     285,013     1,117,404     1,054,451                   Operating income 119,176     98,577     474,041     439,660                   Other income (expense)               Interest expense, net (1,712 )   (1,826 )   (6,394 )   (9,829 ) Other income (expense), net 979     (607 )   (30 )   (2,697 ) Income before income taxes 118,443     96,144     467,617     427,134                   Provision for income taxes 17,381     7,065     68,027     54,196   Net income $ 101,062     $ 89,079  .....»»

Category: earningsSource: benzingaSep 28th, 2021

EV Roundup: F Partners With Redwood, LI Trims Q3 Delivery Guidance & More

While Ford (F) ties up with Redwood Materials for EV battery recycling, Li Auto (LI) cuts delivery view for the third quarter of 2021 amid chip crisis. The electric vehicle (EV) revolution is accelerating, with companies leaving no stone unturned to establish a strong foothold in this domain. Consumers are demanding more electric options and manufacturers are also rising to the occasion. While EV makers are getting all charged up, countries, states, and cities are also stepping up their clean energy targets, turning the future in favor of e-mobility. The pressure for legacy automakers to make a transition from conventional fossil fuel vehicles has been mounting. In fact, last week, BMW AG and Daimler AG DDAIF were sued by a German environmental group for refusing to strengthen their carbon emission goals. While the car giants have plans to shift from petrol and diesel vehicles to green modes of transportation, the plaintiffs contend their strategies are inadequate to meet the global climate targets and are of the opinion that the companies need to set more ambitious goals, including terminating the sale of fossil-fuel cars by 2030. Rundown of the Week’s Most Important StoriesDaimler announced that it has joined forces with Stellantis and TotalEnergies in an EV battery venture in Europe to secure supplies for Mercedes-Benz. The auto biggie is set to hold a 33% interest in battery manufacturer Automotive Cells Company (ACC) — a joint venture established by Stellantis and TotalEnergies in 2020. The entire project is expected to be worth more than 7 billion euros to achieve a capacity of at least 120 gigawatt hours in Europe. By the end of the decade, Daimler’s investment in the battery facility venture is not likely to exceed $1.2 billion or 1 billion euros, starting with a mid-three-digit-million spending next year. ACC is set to commence supplying batteries for Mercedes-Benz by mid-decade.Ford F announced that it is partnering with Redwood Materials — a leading battery materials company — to make EVs more sustainable and economical for customers by building a domestic battery supply chain, creating recycling options for end-of-life vehicles, and enhancing battery production. The collaboration with Redwood will help ensure that the right infrastructure is in place to cost-effectively recycle the end-of-life Ford batteries for creating a solid pool of domestic raw materials and thus, making EVs economical. The U.S. auto giant has invested $50 million in Redwood to support the latter’s expansion in the United States.Li Auto LI lowered its third-quarter 2021 delivery guidance. The China-based EV maker now expects to deliver 24,500 vehicles in the third quarter, down from the previous projection of vehicle deliveries between 25,000 and 26,000 units. Amid heightened pandemic-induced concerns in Malaysia, the production of chips dedicated for Li Auto’s millimeter-wave radar supplier has been severely disrupted. This prompted the company to slash its delivery guidance for the third quarter. Li Auto currently carries a Zacks Rank #4 (Sell).Volkswagen AG VWAGY announced that it is commencing the construction of a production plant for battery systems in Hefei, China. The plant, named VW Anhui Components Company, will be the first of its kind to be fully owned by the China wing of the company and will begin production in second-half 2023. The Germany-based auto biggie presently operates an EV production plant together with JAC in Hefei, known as Volkswagen Anhui, and the new plant will be set up in its vicinity. The automaker plans to invest more than $164 million in the new plant by 2025. The initial capacity will be 150,000-180,000 battery systems annually for the company’s Anhui EV facility.Allison Transmission ALSN entered into a strategic collaboration partnership agreement with Jing-Jin Electric (“JJE”) to accelerate the development of best-in-class electrified powertrain solutions for global commercial vehicles. The collaboration aims to bank on JJE’s dominance in electric motor and inverter development, and its robust foothold in the commercial vehicle electrified powertrain market in China, while exploiting Allison’s expertise in fully electric and electric hybrid commercial duty propulsion systems. Additionally, Allison has pledged to provide debt financing to back on JJE North America’s efforts for commercial vehicle electric drive product development, testing and manufacturing.Blink Charging BLNK made two announcements that will expand its distribution channels and ease out the access of its sustainable EV charging stations. It announced that Sourcewell, a self-sustaining government organization offering contract purchasing solutions, has awarded it with a cooperative purchasing contract in the Electric Vehicle Supply Equipment category. The purchasing contract will make its EV chargers accessible to a broad range of entities. In another development, Blink signed an agreement with the city of San Antonio to install its first publicly accessible EV charging station at the San Antonio Zoo. The deal paves way for the deployment of 202 Level 2 charging stations and three DC fast-chargers across the city.Honda Motor HMC announced that it is targeting initial annual sales of 70,000 units for the all-new electric Prologue sport utility vehicle (SUV) when it first hits the U.S. market in 2024. The Honda Prologue SUV will be the first volume battery-electric vehicle for North America. In addition to Honda Prologue, the company will also unveil an all-electric Acura SUV in 2024 in North America. Both Honda Prologue SUV and Acura SUV will utilize General Motors’ Ultium-branded EV architecture and battery system. Honda currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.General Motors GM unveiled three new electric motors for Ultium-based EVs at the 2021 Mackinac Policy Conference. The motors — a 180-kilowatt front-drive motor, a 255-kW rear and front-drive motor, and a 62-kW all-wheel-drive assist motor — will power the automaker’s future EVs and debut on the 2022 GMC Hummer EV. These are designed in-house by General Motors. Additionally, the company has developed the software for Ultium Drive’s motor controllers, which, per the auto biggie, is crucial for catering to the propulsion needs of various vehicle types with a minimal set of components. This new controller is also going to be first integrated into the GMC Hummer EV. In a separate development, General Motors announced an investment of $300 million in China’s autonomous driving startup Momenta.Price PerformanceThe following table shows the price movement of some of the major EV players over the past week and six-month period.Image Source: Zacks Investment ResearchIn the past six months, all stocks have decreased apart from Tesla, XPeng and Li Auto. Lordstown bore the maximum brunt, with shares declining more than 33%. The past week also displayed a mixed price trend, with Canoo registering the maximum gain.Li Auto was the worst performer of the past week, with its shares sliding 10.2%. In fact, close peers XPeng and NIO also dipped 9.4% and 5.6%, respectively. The big dip in these companies was sparked amid fears that the highly indebted China-based real-estate developer Evergrande Group could possibly collapse, resulting in a wave of defaults in China's bloated property market.What’s Next in the Space?Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry. Also, watch out for September delivery updates from NIO, Li Auto and XPeng that are set to be reported later this week. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want 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 Ford Motor Company (F): Free Stock Analysis Report Daimler AG (DDAIF): Free Stock Analysis Report Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report General Motors Company (GM): Free Stock Analysis Report Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report Blink Charging Co. (BLNK): Get Free Report Volkswagen AG (VWAGY): Free Stock Analysis Report Li Auto Inc. Sponsored ADR (LI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 27th, 2021

Small-Cap ETFs Looking Good to Bet On: Let"s Explore

Considering the upbeat scenario around small-cap ETFs, let's glance through some funds for investors to bet on. Wall Street has got a reason to cheer up amid the September dullness. The Federal Reserve led to market rallies by not hinting on any immediate move to taper the bond purchasing program and keeping the benchmark interest rates unchanged. The Dow Jones Industrial Average was up about 1% on Sep 22, seeing its first positive session in five and best day since Jul 20. Going on, the S&P 500 index was also up 0.95%, after losing for four consecutive days. The broad market index also registered the best-performing day since Jul 23. The Nasdaq Composite also rose 1.02% on the same day.The small-cap centric index, the Russell 2000, outperformed by gaining 1.48% on Sep 22. This upside is being largely aided by the small-cap companies that are closely tied to the U.S. economy and are, therefore, well positioned to outshine when the economy improves.Let’s discuss the factors keeping investors optimistic and creating a favorable environment for parking money in small-cap ETFs in details:The FDA has approved emergency use of a booster dose of the Pfizer Inc. (PFE) and BioNTech SE (BNTX) COVID-19 vaccine. President Joe Biden has also outlined a very effective plan to accelerate the vaccination rate and control the coronavirus outbreak. He has made it mandatory for the federal employees to get the COVID-19 vaccination, per a CNBC article. The Biden government will also issue guidelines to the Labor Department for imposing vaccine mandates for employers with more than 100 employees or run weekly tests.The latest retail sales data has pleasantly surprised investors. The metric inched up 0.7% sequentially in August 2021 against the market expectations of a 0.8% decline, per a CNBC article. Online retail sales rose 5.3% last month after dipping 4.6% in July, per a Reuters article. There was an increase in the sales at clothing stores as well as for the building material and furniture in the previous month. Encouragingly, the core retail sales rebounded 2.5% in August from a downward revision of 1.9% in July, according to the Reuters article. The metric highlights the spending component of GDP.The U.S. consumer sentiment also marginally improved despite the heightening concerns about the surging coronavirus cases and the rising inflationary levels. The University of Michigan’s preliminary consumer sentiment has inched up to 71 in September from 70.3 last month, per a BloombergQuint article.The latest ISM Manufacturing Purchasing Managers' Index (PMI) data for the United States paints a rosy picture for the industrial sector. The metric rose to 59.9 in August from 59.5 in July and surpassed forecasts of 58.6, per a Reuters article. Any reading above 50% indicates an expansion in U.S. manufacturing activities. Notably, the manufacturing sector, which makes up 11.9% of the U.S. economy, saw the reading expanding for the 15th consecutive month.Moreover, the Fed’s continued support with easy monetary policies and fiscal stimulus support are strengthening hopes of a rapid recovery from the pandemic-led slump. Commenting on  the Federal Reserve’s move, Peter Boockvar, chief investment officer at Bleakley Advisory Group has said that “While a taper announcement, maybe, is coming in November, that they didn’t do so today just reflects a still uber dovish committee,” according to a CNBC article.Red-Hot Small-Cap ETFs to ConsiderFor investors looking to capitalize on this opportunity, the following small-cap ETFs could be strong pure plays:Vanguard Small-Cap Growth ETF VBKThis fund follows the CRSP US Small Cap Growth Index. The product manages assets worth $16.21 billion, and charges 7 basis points (bps) in annual fees and expenses (read: Fed Likely to Remain Dovish: ETFs to Buy).iShares Russell 2000 Growth ETF IWOThis fund tracks the Russell 2000 Growth Index and offers exposure to small-cap companies that have earnings growth expectations above the average rate relative to the market. The product manages assets worth $11.82 billion, and charges 24 bps in annual fees and expenses (read:  U.S. Dollar to Gain Ahead? ETFs to Gain/Lose).iShares S&P Small-Cap 600 Growth ETF IJTThis product tracks the S&P SmallCap 600 Growth Index. It manages assets worth $6.15 billion, and charges 18 bps in annual fees and expenses.SPDR S&P 600 SmallCap Growth ETF SLYGThis ETF follows the S&P SmallCap 600 Growth Index, which comprises stocks that exhibit the strongest growth characteristics based on sales growth, earnings change to price and momentum. The product manages assets worth $2.32 billion and charges 15 bps in annual fees and expenses. More Stock News: This Is Bigger than the iPhone! It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.Click here for the 4 trades >>Want 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 iShares Russell 2000 Growth ETF (IWO): ETF Research Reports iShares S&P SmallCap 600 Growth ETF (IJT): ETF Research Reports Vanguard SmallCap Growth ETF (VBK): ETF Research Reports SPDR S&P 600 Small Cap Growth ETF (SLYG): ETF Research Reports To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 23rd, 2021

The Zacks Rank Explained: How to Find Strong Buy Oils and Energy Stocks

Wondering how to pick strong, market-beating stocks for your investment portfolio? Look no further than the Zacks Rank. Building a successful investment portfolio takes skill and hard work, no matter if you're a growth, value, income, or momentum-focused investor.How do you find the right combination of stocks that will generate returns that could fund your retirement, or your kids' college tuition, or your short- and long-term savings goals?Enter the Zacks Rank.What is the Zacks Rank?The Zacks Rank, which is a unique, proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, that makes building a winning portfolio easier.There are four main factors behind the Zacks Rank: Agreement, Magnitude, Upside, and Surprise.Agreement is the extent to which all brokerage analysts are revising their earnings estimates in the same direction. The greater the percentage of analysts revising their estimates higher, the better chance the stock will outperform.Magnitude is the size of the recent change in the consensus estimate for the current and next fiscal years.Upside is the difference between the most accurate estimate, which is calculated by Zacks, and the consensus estimate.Surprise is made up of a company's last few quarters' earnings per share surprises; companies with a positive earnings surprise are more likely to beat expectations in the future.Each factor is given a raw score, which is recalculated every night and compiled into the Zacks Rank. Utilizing this data, stocks are put into five different groups: Strong Buy, Buy, Hold, Sell, and Strong Sell.The Power of Institutional InvestorsThe Zacks Rank also allows individual investors, or retail investors, to benefit from the power of institutional investors.Institutional investors are responsible for managing the trillions of dollars invested in mutual funds, hedge funds, and investment banks. Research has shown that these investors can and do move the market due to the large amount of money they deal with, and thus, the market tends to move in the same direction as them.In order to figure out the fair value of a company and its shares, these investors will build valuation models focused on earnings and earnings expectations. Because if you raise estimates for the bottom line, it creates a higher fair value for a company.Institutional investors then act on these changes in earnings estimates, typically buying stocks with rising estimates and selling those with falling estimates; an increase in earnings estimates can translate into higher stock prices and bigger gains for the investor.Since it can often take weeks, if not months, for an institutional investor to build a position (given their size), retail investors who get in at the first sign of upward earnings estimate revisions have a distinct advantage over these larger investors, and can benefit from the expected institutional buying that will follow.Not only can the Zacks Rank help you take advantage of trends in earnings estimate revisions, but it can also provide a way to get into stocks that are highly sought after by professionals.How to Invest with the Zacks RankThe Zacks Rank is known for transforming investment portfolios. In fact, a portfolio of Zacks Rank #1 (Strong Buy) stocks has beaten the market in 26 of the last 32 years, with an average annual return of +25.41%.Moreover, stocks with a new #1 (Strong Buy) ranking have some of the biggest profit potential, while those that fell to a #4 (Sell) or #5 (Strong Sell) have some of the worst.Let's take a look at Ovintiv (OVV), which was added to the Zacks Rank #1 list on September 23, 2021.Ovintiv Inc. is an independent energy producer, which explores and churns out oil and natural gas from diverse assets located in the United States and Canada. Previously known as Encana, the company rebranded and shifted its corporate domicile from Calgary, Canada to Denver, U.S.  Three analysts revised their earnings estimate higher in the last 60 days for fiscal 2021, while the Zacks Consensus Estimate has increased $0.50 to $5.03 per share. OVV also boasts an average earnings surprise of 24.3%.Earnings are forecasted to see growth of 1337.1% for the current fiscal year, and sales are expected to increase 25.4%.Additionally, OVV has climbed higher over the past four weeks, gaining 12.6%. The S&P 500 is down 0.9% in comparison.Bottom LineWith a #1 (Strong Buy) ranking, positive trend in earnings estimate revisions, and strong market momentum, Ovintiv should be on investors' shortlist.If you want even more information on the Zacks Ranks, or one of our many other investing strategies, check out the Zacks Education home page.Discover Today's Top StocksOur private Zacks #1 Rank List, based on our quantitative Zacks Rank stock-rating system, has more than doubled the S&P 500 since 1988. Applying the Zacks Rank in your own trading can boost your investing returns on your very next trade. See Today's Zacks #1 Rank List >> More Stock News: This Is Bigger than the iPhone! It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.Click here for the 4 trades >>Want 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 Ovintiv Inc. (OVV): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 23rd, 2021

Why Sohu.com (SOHU) is a Top Value Stock for the Long-Term

The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage. It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.Zacks Premium includes access to the Zacks Style Scores as well.What are the Zacks Style Scores?The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.The Style Scores are broken down into four categories:Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.How Style Scores Work with the Zacks RankThe Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.#1 (Strong Buy) stocks have produced an unmatched +25.41% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.That's where the Style Scores come in.To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.Stock to Watch: Sohu.com (SOHU)Sohu.com is a leading provider of online advertising, media and gaming services in China. The company reported revenues of $749.9 million in 2020.SOHU is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 9; value investors should take notice.One analysts revised their earnings estimate upwards in the last 60 days for fiscal 2021. The Zacks Consensus Estimate has increased $1.78 to $2.43 per share. SOHU boasts an average earnings surprise of 211.2%.With a solid Zacks Rank and top-tier Value and VGM Style Scores, SOHU should be on investors' short list. More Stock News: This Is Bigger than the iPhone! It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 77 billion devices by 2025, creating a $1.3 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 4 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2022.Click here for the 4 trades >>Want 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 Sohu.com Inc. (SOHU): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksSep 23rd, 2021

Suncor Energy reports third quarter 2021 results

Unless otherwise noted, all financial figures are unaudited, presented in Canadian dollars (Cdn$), and have been prepared in accordance with International Financial Reporting Standards (IFRS), specifically International Accounting Standard (IAS) 34 Interim Financial Reporting as issued by the International Accounting Standards Board. Production volumes are presented on a working-interest basis, before royalties, except for production values from the company's Libya operations, which are presented on an economic basis. Certain financial measures referred to in this news release (funds from operations, operating earnings (loss) and free funds flow) are not prescribed by Canadian generally accepted accounting principles (GAAP). See the Non-GAAP Financial Measures section of this news release. References to Oil Sands operations exclude Suncor Energy Inc.'s interest in Fort Hills and Syncrude. CALGARY, Alberta, Oct. 27, 2021 (GLOBE NEWSWIRE) -- "In the third quarter of 2021, Suncor generated funds from operations of $2.6 billion, underpinned by strong results from the Refining & Marketing business and including the significant planned turnaround at Oil Sands Base," said Mark Little, president and chief executive officer. "Since the start of 2021, we have returned $2.6 billion to our shareholders through share repurchases and dividends and have reduced net debt by $3.1 billion, demonstrating significant progress towards fortifying our balance sheet and meeting our capital allocation targets for the year." Funds from operations increased to $2.641 billion ($1.79 per common share) in the third quarter of 2021, compared to $1.166 billion ($0.76 per common share) in the prior year quarter. Cash flow provided by operating activities, which includes changes in non-cash working capital, was $4.718 billion ($3.19 per common share) in the third quarter of 2021, compared to $1.245 billion ($0.82 per common share) in the prior year quarter. The company recorded operating earnings(1) of $1.043 billion ($0.71 per common share) in the third quarter of 2021, compared to an operating loss of $338 million ($0.22 per common share) in the prior year quarter. The company had net earnings of $877 million ($0.59 per common share) in the third quarter of 2021, compared to a net loss of $12 million ($0.01 per common share) in the prior year quarter. Refining and Marketing (R&M) delivered $947 million in funds from operations in the current period, marking the third highest results for third quarter funds from operations on record. The increase in funds from operations in the third quarter of 2021, compared to $594 million in the prior year quarter, was a result of the improving business environment and strong refinery utilizations of 99%, and was achieved despite Canadian gasoline and diesel demand estimated to be 7%(2) below the comparable period in 2019. R&M funds from operations included a first-in, first-out (FIFO) inventory valuation gain of $84 million after-tax in the third quarter of 2021, compared to $164 million in the prior year quarter. Suncor's total upstream production increased to 698,600 barrels of oil equivalent per day (boe/d) in the third quarter of 2021, compared to 616,200 boe/d in the prior year quarter, due to continued strong performance from the company's In Situ assets and increased production volumes at Syncrude, partially offset by the impact of the significant planned turnaround at Oil Sands Base plant Upgrader 2 and planned maintenance at Firebag, which was completed in the quarter. Suncor successfully assumed the role of operator of the Syncrude asset on September 30, 2021, a critical step towards driving greater integration, efficiencies and competitiveness across all Suncor- operated assets in the region. Suncor and the co-owners of the Terra Nova project finalized an agreement to restructure the project ownership and move forward with the Asset Life Extension (ALE) project, which is expected to extend production life by approximately 10 years. Suncor, together with eight Indigenous communities, announced the formation of Astisiy Limited Partnership (Astisiy), which has signed agreements to acquire a 15% equity interest in the Northern Courier Pipeline. The pipeline, which connects the Fort Hills asset to Suncor's East Tank Farm, will be operated by Suncor and is expected to provide the eight Indigenous communities with reliable income for decades. In the third quarter of 2021, the company returned $1.0 billion to its shareholders through $704 million in share repurchases and payment of $309 million of dividends, and reduced net debt(3) by $2.0 billion. Since the beginning of 2021, Suncor has reduced net debt by $3.1 billion and repurchased $1.7 billion of its common shares since the start of its normal course issuer bid program (NCIB) in February 2021, representing approximately 63 million common shares at an average price of $26.39 per common share, or the equivalent of 4.1% of Suncor's issued and outstanding common shares as at January 31, 2021. The company is on track to exceed its previously communicated debt reduction and share repurchase targets for the year. Subsequent to the third quarter of 2021, the company completed the sale of its 26.69% working interest in the Golden Eagle Area Development for after-tax proceeds of US$250 million net of closing adjustments and other closing costs, and future contingent consideration of up to US$50 million. The effective date of the sale was January 1, 2021. Subsequent to the third quarter of 2021, Suncor's Board of Directors (the Board) approved a quarterly dividend of $0.42 per share, which represents an increase of 100% over the prior quarter dividend, reinstating the dividend to the 2019 level. The Board also approved an increase to the company's share repurchase program to approximately 7% of Suncor's public float as at January 31, 2021 and concurrently, the Toronto Stock Exchange (TSX) accepted a notice to increase the maximum number of common shares the company may repurchase pursuant to its NCIB to 7% of the company's public float. The acceleration of share repurchases, dividend increase and expected net debt reductions, compared to the company's previously announced targets demonstrate the progress made during the year and management's confidence in the company's ability to generate cash flow and its commitment to increased shareholder returns. Financial Results Operating Earnings (Loss) Suncor's operating earnings increased to $1.043 billion ($0.71 per common share) in the third quarter of 2021, from an operating loss of $338 million ($0.22 per common share) in the prior year quarter. The increase in operating earnings was primarily related to higher crude oil and refined product realizations reflecting the improved business environment, higher crude production and refinery crude throughput, and lower depreciation, depletion and amortization (DD&A) and exploration expenses. Operating earnings were partially offset by an increase in operating expenses and royalties associated with Suncor's increased production in the third quarter of 2021. The prior year quarter operating earnings were negatively impacted by the unprecedented decline in transportation fuel demand, partially offset by lower operating costs. Net Earnings (Loss) Suncor's net earnings were $877 million ($0.59 per common share) in the third quarter of 2021, compared to a net loss of $12 million ($0.01 per common share) in the prior year quarter. In addition to the factors impacting operating earnings (loss) discussed above, net earnings for the third quarter of 2021 were impacted by a $257 million unrealized after-tax foreign exchange loss on the revaluation of U.S. dollar denominated debt, a non-cash after-tax impairment reversal of $168 million against the Terra Nova assets, a $60 million after-tax loss for early repayment of long-term debt and a $17 million after-tax unrealized loss on risk management activities. The net loss in the prior year quarter included a $290 million unrealized after-tax foreign exchange gain on the revaluation of U.S. dollar denominated debt and a $36 million after-tax unrealized gain on risk management activities. Funds from Operations and Cash Flow Provided by Operating Activities Funds from operations were $2.641 billion ($1.79 per common share) in the third quarter of 2021, compared to $1.166 billion ($0.76 per common share) in the third quarter of 2020. Funds from operations were influenced by the same factors impacting operating earnings (loss) noted above. Cash flow provided by operating activities, which includes changes in non-cash working capital, was $4.718 billion ($3.19 per common share) for the third quarter of 2021, compared to $1.245 billion ($0.82 per common share) in the prior year quarter. In addition to the factors noted above, cash flow provided by operating activities was further impacted by a greater source of cash associated with the company's working capital balances in the current period compared to the prior year quarter. The source of cash in the third quarter of 2021 was primarily due to an increase in accounts payable and accrued liabilities and the receipt of the company's 2020 federal income tax refund. Operating Results Suncor's total upstream production increased to 698,600 boe/d in the third quarter of 2021, compared to 616,200 boe/d in the prior year quarter, reflecting continued strong performance from the company's In Situ assets and increased production volumes at Syncrude, partially offset by the impact of the significant planned turnaround at Oil Sands Base plant Upgrader 2 and planned maintenance at Firebag, which was completed in the quarter. The company's net synthetic crude oil production was 405,500 barrels per day (bbls/d) in the third quarter of 2021 compared to 410,800 bbls/d in the prior year quarter. In the third quarter of 2021, the company completed its five-year planned turnaround at Oil Sands Base plant Upgrader 2, and subsequent to the quarter the asset ramped up to normal operating rates. Syncrude upgrader utilization was 91% in the third quarter of 2021, compared to 78% in the prior year quarter. The prior year quarter was impacted by planned turnaround maintenance at both Oil Sands operations and Syncrude, and an operational incident at the secondary extraction facilities at Oil Sands Base plant. The company's non-upgraded bitumen production increased to 199,600 bbls/d in the third quarter of 2021 from 108,200 bbls/d in the prior year quarter due to continued strong performance from the company's In Situ assets and the impact of the significant planned turnaround at Oil Sands Base plant Upgrader 2, resulting in less Firebag volumes being processed at the upgrader and therefore increased non-upgraded bitumen being sold to market. The increase in production was partially offset by planned maintenance at Firebag in the third quarter of 2021. Production at Fort Hills increased during the third quarter of 2021, compared to the prior year quarter. During the third quarter of 2021, significant progress on the mine ramp up strategy was achieved and Fort Hills continued to manage overburden removal and build ore inventory according to plan. Fort Hills is expected to transition to a two-train operation and operate at full production rates by the end of the year. Exploration and Production (E&P) produced 93,500 boe/d during the third quarter of 2021, compared to 97,200 boe/d in the prior year quarter. The decrease was primarily due to natural production declines, partially offset by higher production at the Golden Eagle Area Development and liftings in Libya in the third quarter of 2021 compared to no liftings in the prior year quarter. Refinery crude throughput increased to 460,300 bbls/d and refinery utilization was 99% in the third quarter of 2021, compared to refinery crude throughput of 399,700 bbls/d and refinery utilization of 87% in the prior year quarter, reflecting strong utilizations across all refineries comparable to the same periods in 2018 and 2019, despite Canadian gasoline and diesel demand estimated to be 7% below the comparable period in 2019. The prior year quarter reflected reduced rates due to the completion of an eight-week planned turnaround at the Edmonton refinery and lower demand for refined products. Refined product sales in the third quarter of 2021 increased to 551,500 bbls/d, compared to 534,000 bbls/d in the prior year quarter. Strong utilizations during the quarter, increased demand and secured sales channels positioned the company to capture the improved business environment. "We continue to execute on our commitment to operational excellence across our assets. During the third quarter of 2021, Suncor once again outperformed the Canadian refining average, achieving 99% utilization at our refineries, and capturing funds from operations that exceeded the comparable 2019 levels in the downstream business," said Little. "In 2021, we completed the largest annual maintenance program in the company's history, including the completion of the significant turnaround at Oil Sands Base and planned maintenance at Firebag during the quarter, enabling us to return to normal production rates across our asset base in the fourth quarter." The company's total operating, selling and general expenses were $2.768 billion in the third quarter of 2021, compared to $2.235 billion in the prior year quarter. The increase was primarily due to higher crude production and refinery crude throughput, a significant increase in natural gas prices and lower costs in the prior year quarter. The increase was partially offset by cost reductions related to the company's strategic initiatives. Increased production in the quarter resulted in higher absolute costs but lower cash operating costs per barrel at Oil Sands operations and Syncrude. The prior year quarter reflected lower costs related to specific measures taken by the company to reduce operating costs in response to the COVID-19 pandemic. In the first nine months of 2021, the company's total operating, selling and general expenses were $8.388 billion, which included one-time costs associated with restructuring and integration charges. While the company has made progress on its cost reduction initiatives, it currently estimates that fourth quarter operating, selling, and general expenses will be in line with the year-to-date run rate due to the planned increase in upstream production volumes in the fourth quarter and the expected increase in natural gas input prices. The company's exposure to higher natural gas costs is partially mitigated by increased revenue from power sales. Strategy Update Suncor remains focused on operational excellence and its capital allocation strategy; fortifying the balance sheet through debt reductions and increasing the return to its shareholders in the form ...Full story available on Benzinga.com.....»»

Category: earningsSource: benzinga3 hr. 35 min. ago

Soaring Gas Prices: Best State To Switch To An EV

Gas prices are climbing and it’s possible they might continue to rise as the end of the year approaches. There are only 2 states left with average gas prices under $3 per gallon! And in California, the state average for a gallon of gasoline is $4.52! Q3 2021 hedge fund letters, conferences and more Best […] Gas prices are climbing and it’s possible they might continue to rise as the end of the year approaches. There are only 2 states left with average gas prices under $3 per gallon! And in California, the state average for a gallon of gasoline is $4.52! if (typeof jQuery == 'undefined') { document.write(''); } .first{clear:both;margin-left:0}.one-third{width:31.034482758621%;float:left;margin-left:3.448275862069%}.two-thirds{width:65.51724137931%;float:left}form.ebook-styles .af-element input{border:0;border-radius:0;padding:8px}form.ebook-styles .af-element{width:220px;float:left}form.ebook-styles .af-element.buttonContainer{width:115px;float:left;margin-left: 6px;}form.ebook-styles .af-element.buttonContainer input.submit{width:115px;padding:10px 6px 8px;text-transform:uppercase;border-radius:0;border:0;font-size:15px}form.ebook-styles .af-body.af-standards input.submit{width:115px}form.ebook-styles .af-element.privacyPolicy{width:100%;font-size:12px;margin:10px auto 0}form.ebook-styles .af-element.privacyPolicy p{font-size:11px;margin-bottom:0}form.ebook-styles .af-body input.text{height:40px;padding:2px 10px !important} form.ebook-styles .error, form.ebook-styles #error { color:#d00; } form.ebook-styles .formfields h1, form.ebook-styles .formfields #mg-logo, form.ebook-styles .formfields #mg-footer { display: none; } form.ebook-styles .formfields { font-size: 12px; } form.ebook-styles .formfields p { margin: 4px 0; } Get The Full Henry Singleton Series in PDF Get the entire 4-part series on Henry Singleton in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues (function($) {window.fnames = new Array(); window.ftypes = new Array();fnames[0]='EMAIL';ftypes[0]='email';}(jQuery));var $mcj = jQuery.noConflict(true); Q3 2021 hedge fund letters, conferences and more Best State To Switch To An EV For those looking for a way to save on driving costs during this time, or for those who would like to minimize their carbon footprint anyway, there is a solution: an electric vehicle. But to switch to an electric vehicle there are a lot of factors to consider so Bumper, a leading vehicle history reports company, ranked all 50 states to find out where it makes sense to switch to an EV. In their Best States for Electric Cars study, Bumper ranked financial incentives by metrics like the number of rebates and tax incentives found in each state, gas prices, EV prices, average commute times, and more. They then ranked each state's infrastructure by metrics like the number of new charging stations, the number of power ports on each charging station, and the amount of other EVs. Washington is the best state for owning an electric vehicle; Alaska, the worst. The top states include Washington, Utah, Colorado, Massachusetts and California. On the other end of the spectrum, Alaska, Alabama, South Carolina, Mississippi and South Dakota are the worst states. Some states like Kentucky have recharge costs of nearly half that of California. 1,000 miles of driving in an EV costs $28.70 in Kentucky, compared with $56.30 in California! This makes Kentucky an ideal state to buy an EV in. California and New York are leading the growth for the total number of new EV charge stations. From January 2017 through August 5, 2021, the leader in new EV stations is by far California (11,833), followed by New York (2,273), Florida (1,901), Texas (1,771) and Massachusetts (1,662). The states with the fewest EV stations opening since 2017 are South Dakota (30), Alaska (33), Wyoming (37), Montana (42) and North Dakota (49). Figuring Out Your Charging Plan When thinking about switching to an EV you should figure out your charging plan. For example, some states did poorly in Bumper's study because of a lack of public charging stations. Kentucky has built only 7.5 charging stations per 100k people between 2017 and 2021, only Mississippi and Lousianna had built fewer. Most people charge at home but you may need to refuel at public charging stations near work so find out where they are. And if you are thinking of buying an EV to avoid rising gas prices or for any other reason, you should think outside of buying a Tesla. For example, Ford's EVs, especially the upcoming F-150 Lightning, could be more practical for you. Ford is investing $30 billion through 2025 in R&D, new plants, and worker training, as it believes 40% of US car volume will be electric by 2030. But apart from factors like infrastructure highlighted in Bumper’s report, the biggest reason why everyone is not buying an EV is the price. It is a valid concern when an electric car is still $7-14k more than an internal combustion equivalent. But this is a temporary situation and one that looks like it will be gone in a few years time. Richard Gargan, Consumer Advocate for Bumper said: "If you can't afford an EV or can't live with the lack of charging stations in your state, consider buying a plug-in hybrid. You can plug it into your normal wall outlet, and wait for infrastructure to improve and hopefully your next vehicle will be fully electric." Demand for oil is soaring globally with an energy crunch overseas where natural gas and coal are booming. Oil has recently hit a three-year high above $86 a barrel, driven by tight supply and a global energy crunch. Crude and fuel inventories have tightened, with crude inventories falling to a three-year low. One thing is for certain, as US President Joseph Biden has called for half of all new vehicles to be electric or hybrid-electric cars by 2030, it won't be just those of us sick of gas prices who will be switching to an EV, most of us will be. Updated on Oct 27, 2021, 3:02 pm (function() { var sc = document.createElement("script"); sc.type = "text/javascript"; sc.async = true;sc.src = "//mixi.media/data/js/95481.js"; sc.charset = "utf-8";var s = document.getElementsByTagName("script")[0]; s.parentNode.insertBefore(sc, s); }()); window._F20 = window._F20 || []; _F20.push({container: 'F20WidgetContainer', placement: '', count: 3}); _F20.push({finish: true});.....»»

Category: blogSource: valuewalk6 hr. 36 min. ago