Archive for the ‘Wall Street’ Category

Chipotle Needs Beano

May 6, 2014

What’s Wrong With Chipotle?

James Covert writing for The New York Post:

“Proxy advisory firm ISS … blasted lavish pay packages for the Mexican-food chain’s two CEOs, who together earned $58 million last year, capping a a three-year run in which they’ve pocketed a combined $300 million.”

Two CEOs.

$58 million in a year.

On top of that, Chipotle is raising your prices.

Per CNBC:

“Getting a steak burrito bowl? That’ll be 8.3 percent more in New York City. While you’re at it, be prepared to fork over 11.1 percent more for guacamole.”

So, the bosses get more.

And get to charge you more.

What do investors think?

 

Chipotle Stock Pain

That “blue box”? Pain. Investors waiting to break even.

 

Unless you sold Chipotle in February, you’re in pain.

Its stock is broken technically.

Bearish below its 50MA on a daily chart.

Any “long” investor in that “blue box” holds Chipotle stock at a loss.

CEO pay, aside.

Price hikes, aside.

I’m talking business.

And reputation management.

Chipotle’s chart is broken.

$110 off its high.

Chipotle, a Colorado business, needs Beano.

Eat that.

But want to invest?

Consult your advisor.

 

 


Twitter: @schwartznow

Digital Hubs:  Here or Here

 

#AmazonCart – Listening Wall Street?

May 6, 2014

Twitter, Amazon team to boost ‘now commerce’

Teaming up: Amazon and Twitter.

Benny Evangelista writing for The Chronicle:

“The two tech giants said … Amazon members can automatically save items to their online shopping carts by replying to any tweet containing an Amazon product link and writing the hashtag #AmazonCart.”

And if you use that hashtag?

The ultimate word-of-mouth. Why?

Because the world can see:

“…on its website, Amazon also notes that ‘most content is public on Twitter,’ so any replies with #AmazonCart ‘will be visible to whomever you replied, to those viewing the conversation, and on your own Timeline (unless your Twitter account is set to private).'”

So, using the #AmazonCart hashtag is public.

Intended or not, becomes a public endorsement.

Not bad, if you’re a celebrity.

Perhaps one paid to tweet your purchases?

Me? If buying something, I want to do so quickly.

Two clicks, maximum.

Privately.

Because an order of Omaha Steaks for clients is not viral.

Same with California wine or Oregon fruit for family.

Or Legal Sea Foods crab cakes for myself.

Investors?

They reacted “meh” to the Amazon-Twitter partnership:

Amazon Twitter #AmazonCart

Amazon daily chart bearish technically: below 50, 200MAs

Twitter?

Twitter Amazon Partnership #AmazonCart

Twitter stock remains below its IPO low

 

One thought.

Amazon, behind Jeff Bezos, has sweet CIA business.

In short, people in the know, trust Amazon to be in the know.

Secure, too.

What happens when one can buy stocks with a hashtag?

Who needs TD Ameritrade, Fidelity, E-Trade?

Ten shares of Apple, please, hashtag #AmazonCart.

Just musing aloud.

 

 


Twitter: @schwartznow

Digital Hubs:  Here or Here

 

Anadarko’s Business Clarity Rewarded

April 3, 2014

Anadarko Reaches $5.15B Settlement in Tronox Case

“’This settlement agreement with the litigation trust and the U.S. government eliminates the uncertainty this dispute has created, and the proceeds will fund the remediation and cleanup of the legacy environmental liabilities and tort claims,’ Anadarko chairman and CEO Al Walker said.”

That’s a CEO speaking legal-speak.

Except  for three, key words:

“…eliminates the uncertainty.”

Wall Street, investors do not like uncertainty.

They like clarity.

How much so?

Anadarko Stock Up After Settlement

Anadarko stock up 14.5%

With legal certainty added, Anadarko’s stock soared some 14.5 percent.

It hit a record high.

Investors rewarded the business clarity.

Clarity garners stakeholder credibility.

Credibility is all about your reputation.

What uncertainty can your firm “clear up”?

How will it be communicated?

Potential rewards await.

 


Twitter: @schwartznow

Digital Hubs:  Here or Here

 

 

Tesla: Apple’s Next Thing?

February 17, 2014

Apple exploring cars, medical devices to reignite growth

Elon Musk may have met with Apple M&A Chief Adrian Perica.

Thomas Lee and David R. Baker writing for The San Francisco Chronicle:

“A source tells The Chronicle that Perica met with Tesla CEO Elon Musk in Cupertino last spring around the same time analysts suggested Apple acquire the electric car giant.”

Why would Apple and Tesla “dance”?

Analyst Andrea James, (whose $200 price target on Tesla was spot on,) said:

“‘They’d get access to deep pockets, but Tesla’s got access to Wall Street right now,’ said Andrea James, who covers Tesla for the Dougherty & Co. investment bank. ‘I could see a partnership more than a takeout.'”

Tesla Weekly Stock Chart

For now, it appears communications lines are open.

Listen.

Hear that?

Sounds like, innovation ahead.

Update – Analyst James raised her price target to $325, after Tesla’s 4Q earnings report on Feb. 19, 2014, soundly beat Wall Street estimates.

Sell Your Stocks

June 25, 2013

Oppenheimer’s Carter Worth: Sell

“Sell”: Note from Oppenheimer’s Carter Worth

Mr. Worth is Oppenheimer’s Chief Market Technician.

Frequent guest on CNBC.

He’s succinct.

Wall Street’s Trading Terror

May 23, 2013

American Electric Power’s Strange, Fast 54% Drop

Bloomberg’s Whitney Kisling:

American Electric Power fell as much as $26.31 to $22.28 a share as the market opened today, according to data compiled by Bloomberg. The shares rebounded, trading down 1.6 percent to $47.82 as of 10:21 a.m.

Odd flash-crash on a chart. See it?

Zap! AEP’s morning-flash crash

NextEra also crashed in the first minute of trading:

NEE stock slammed in first minute

The New York Stock Exchange will let the odd trading stand, per Reuters:

The share drops were the latest such incidents for the market since the May 6, 2010, “flash crash,” a computer-driven trading glitch that caused a sudden afternoon tumble in the major U.S. indexes. Last week, the NYSE canceled trades in Anadarko Petroleum Corp. after a blip in trading cut the market value of the company by 99 percent.

NextEra’s CFO reacted strongly:

‘This is naturally a concern for all our shareholders and potential shareholders,’ said Moray Dewhurst, vice chairman and chief financial officer of NextEra Energy. ‘This type of market behavior is not what we would expect from a well-functioning and well-regulated exchange.’

Three ways to look at this:

  1. Glorious — buying AEP, a $48 stock, or NEE, a $78 stock, at half off.
  2. Painful — selling these two utility stocks at a 50 percent loss in a blink.
  3. Baffling — comprehending how the NYSE fails to disallow these wild trades.

Reports say a fix to avoid such strangeness is on its way.

But huge sums of investor monies were involved.

Raising even larger credibility issues.

Look at those two charts, again.

Those long, thin lines.

They represent mere seconds of trading terror … happening as fast as a gasp.

Reputations and confidence can be lost quickly.

So, NYSE and the SEC, that’s you, your leadership.

Because, ultimately, it’s about us, people’s investments.

Unless, however, you want Wall Street to be viewed as the Wild West.

Just a couple of flash-crashes, right?

Not a comforting thought.

UPDATE:
CNBC’s Bob Pisani reports the trades will indeed stand, but be “removed from the tape.” Still count. But you won’t see them. The worst trades will be hidden.

Still not comforting.

Twitter’s Extra Security

May 23, 2013

Login Verification Program

Twitter has been criticized for not having this option, especially following recent breaches of Twitter accounts belonging to major news organizations and other companies.

That quote is from a story by The Associated Press.

A hacking of AP’s Twitter account lead to a U.S. stock market crash.


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