Netflix to Raise Another $2 Billion Through Debt to Fund Massive Content Spending

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this business model is absurd

someroastedbeef

They could also stop paying Adam Sandler $250 million for 4 crappy movies…that’d probably help a little

mneal228

They need the content…not sure how it’ll all pan out. I’m cautiously avoiding their stock.

pulsed19

This is great news. I watch Netflix but I don’t own it

Horsebucketcarrot

With all these different subscriptions moving towards original content, it all becomes like tv but on the internet.

Long $ pirating.

Wanderer1692334

With 74 companies reported the s&p earning growth is -3%

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It’s not the same as GDP. Earnings is profits.

flamethrower2

Expectations were for -5% so I suppose -3% seems to be a beat so far. Time will tell. Clearly the extremely low interest rates have us in an equity bubble. That doesn’t mean that the bubble will pop, but it sure makes it seem like very long term equity returns will have a head wind based on how long it takes to get interest rates back to a more normal range.

pkincy

That means stock market has far more room to go up once this number goes positive

WentBrokeDec2018

YoY or sequentially? Any logical trade war explanations for the former (e.g. – Q3’18 was excessively strong b/c demand pulled forward due to the trade war)? Could be some seasonality if it’s the latter.

mn_sunny

Because expectations are set so low, any slight beat will moon the s&p.

Sinadins

Recession announcements delays

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>3. The NBER announces, at some point, that we’ve been in a recession for the past year, we just didn’t know it then. But now we know.

Since the definition of recession is generally 2 consecutive quarters of negative GDP growth, this is the only way it can happen. Nobody can say that a recession started a month ago… well you could, but that’d just be a guess.

Even if you go by some other definition, they all have in common that it’s something that has been going on for a while.

akkuj

OMG! ARE YOU SAYING THE RECESSION ALREADY STARTED AND NO ONE TOLD ME!?!??!

PapaCharlie9

Could we hold off on the recession for another year or so? I’ve been factoring my OT into my budget and it would hurt to lose that, or you know my job. Thanks all!

nkplague

That’s it, I just moved everything into BTC and gold.

Fiat-Libertas

Got it. Spy $190 puts it is.

Wanderer1692334

In which SEC filing can an investor see how much voting power a shareholder has?

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Schedule 13-D

schrothj2

>Because if he doesn’t have then he could be fired as both the CEO and Chairman by Capital Research & Management Co. who currently owns 20%

Votes usually go by majority. So even if they had 49% of the voting rights they would still need another 2% to fire the CEO.

deliverthefatman

A CEO can only be fired by the board of directors, not an individual shareholder.

Members of the board of directors are typically elected by a plurality vote, that is, those who get the most votes win, even if not a majority.

The annual meeting proxy statement (found on the SEC EDGAR web site) has some information on stock ownership.

foosion

The Q’s and Annual Report show the number of common and preferred shares outstanding as well as the ownership of five percent or more, and the voting rights ascribed to each. The company’s founding documents are informative, too and can be pulled from the web site of the Secretary of State in which the company is incorporated.

newleafkratom

This subreddit is retarded.

nerderflerder

German government lowers 2020 GDP growth forecast to 1% – source

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Sometimes I can’t tell if I’m in /investing or /socialism

MSemperLiberi

Optimistic.

They have pristine debt situation tho, so if it gets very bad they can do serious fiscal stimulus without damaging govt credit rating.

Can’t say the same about the US where Trump launches large stimulus (tax cuts) while, supposedly, the economy is doing great.

MakeoverBelly

Uh oh, how long before they invade France?

PDXoriginal

Even at negative rates their economy cant properly grow. Keep churning out more regulations EU. Each one may not make a big difference but cumulatively its the death of your economy by a thousand cuts.

reposado

Wait till Erdogan opena the refugee gates and floods Germany with another 3 million freeloaders.

Isnt socialism grand?

Wanderer1692334

Why do some investors take companies private?

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If you think a company is worth $10M but the market only values it at $5M you might buy some shares.

If a PE firm sees a struggling company that the market values at $5M, but they think with their managerial expertise, capital to invest, and patience, they can raise the valuation to $50M, they might just buy the entire company and do that.

hairyblackhole

An example is that Dell wen private in 2013. Dell was founded when computers were often sold at 40% margin in the 90s. By the end of the 2010s computer makers were in a “race to the bottom” with razor thin margins on $300 consumer PCs. If Dell kept competing that way they wouldn’t be able to please their shareholders every quarter so they took the company private. Dell was in a unique position to go private because Michael Dell wanted to do it and had billions in wealth he could use to do so. He only had to get an investment firm to put up the other 25% of the value.

Michael Dell returned as CEO and made changes to the workforce and organization. While they were private they invested in new product, moved their B2B business to channel-based rather than direct sales, and focused on servers and business computers. They also bought EMC during this period. These projects took a lot of time and cash that investors would not have been patient with. We know Dell felt that way because after completing these projects and returning profit and growth, they went public again.

Given_to_the_rising

> I have read somewhere that when a company is taken private it can focus on long term goals instead of quarterly earnings

If the company is privately owned, they can do whatever they want. If they want to run the company into the ground and then spin off the dried out husk, there will be no shareholder backlash.

You will see that a lot (not all) companies that go private are already profitable, and are bought as investments by private equity firms that have billions and billions of dollars to spend. Capital is not an issue.

Bohnanza

Others have made great points, but I feel the greatest advantage is that they don’t need to jerkoff their shareholders. This is particularly valuable if the company or CEO or industry is a lightning rod for controversy. I feel apologizing to your shareholders over bullshit can be distracting. Having them constantly harrass over because they are afraid of public opinion would likely be obnoxious. You might still have to deal with randoms being upset with your company, but being private let’s you legit say “they aren’t important enough or they won’t impact our bottom line” whereas investors may disagree

CreepySteveEnt

You’re assuming that if there are less requirements for financial statements then there will no financial statements. That is not true.

If a PE group spends 30 bucks on a public company which they take private, they are most certainly going to maintain financial statements.

t_per

US imposes record $7.5 billion tariffs on EU goods, targeting wine and Airbus

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So if Britain leaves the EU, does that mean scotch prices will go back down?

space_spider

Wait, why are we putting tariffs on Europe? wtf?

gmod916

The Trump Tax increases continue.

Everyone gushes over the tax cuts usually associated with GOP leadership, but we’ve had a huge change in that trend with this president.

Edit: I’m going to start calling this the largest regressive tax change in US history. Massive income tax cuts covering corporations and the wealthy and massive tax increases on consumer goods.

mwbbrown

So now I have to pay more for scotch AND WINE!?

How am I going to afford to drink to forget our shitty administration?

Edit: No tariffs on Russian Vodka, guess it’s back to mules.

Ineedthenews

Assuming this applies to A320 aircraft, it would seem now is a bad time for airlines looking to expand/replace their fleets given that they haven’t recertified the 737MAX yet. Given that narrow body 737s and a320s make up a big chunk of the US domestic jet routes, I wonder what’s going on in airline boardrooms right now.

MondayMonkey1

China says its economy grew 6% in the third quarter, slower than expected

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They lie on their data like everything else.

cokezero556

Why don’t these articles ever mention the fact that the data is most likely false?

RealWest321

oh THAT’S why futures dipped by about…… 5 basis points

market is getting better and better about shrugging off bad news, feel good about S&P 500 @ 4,000 next year

WentBrokeDec2018

Having zero respect for human lives is good for your economy appareantly

waituntilthis

Is it safe to say that with the projections and statements coming from China, we should give them a 40% haircut and that’s where the truth (hopefully) falls under?

PM_Me_Your_Nacho

Salesforce founder Marc Benioff says ‘capitalism as we know it is dead’, Corporate earnings are often tepid, yet stocks in those same companies are soaring, thanks in part to stock buybacks that fatten executive compensation but do little to help the business.

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Capitalism as we know it is currently crony capitalism. Fed pumps loans and cheap money in the system. Companies have no place to deploy it, so they buy back stock.

Pmmenakedbitcoin

Stock buybacks are a tax-efficient distribution to the shareholders. If they fatten executive compensation it is incidental but certainly that’s not the point of them.

peaceloveguns

Stock buy backs are literally just redistributing company profits to share holders. Assuming there done not using debt then by definition of being able to conduct large share buy backs then the company is doing well.

Also similarly, the question of share buy backs or investing in the business is silly, one is exiting capital out of the business, the other is keeping it in, there unrelated. However if company’s aren’t investing enough in themselves then that’s an issue that has nothing to do with share buy backs and it most certainly won’t be fixed in any way by attacking or even banning share buy backs.

Lelele11

I hate this billionaire woke philanthropy nonsense.

robertito42

Benioff lives in San Francisco where millions of people literally hate him and wish him death for the obvious immorality of being a billionaire businessman. He has to play the woke capitalism game for his own survival and to be able to go out in public.

Let’s not forget he also runs a fucking sales software company. Literally the most unsexy boring pure money seeking type of product on earth. He has to convince talent in San Francisco to work for him somehow. He will snag some portion of gullible people with his salesman software = “changing the world” dog and pony show.

pynoob2

Schwab, in Bid for Younger Clients, to Allow Investors to Buy and Sell Fractions of Stocks

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M1 Finance?

panconquesofrito

Interesting. It makes sense. Many brokers allow fractional share ownership through DRIP. Allowing for the purchase of fractional shares would be the next logical step.

However since they are offering commission free trades what is business point of offering this? Lets be honest, those of us with the account size interested in fractional purchasing aren’t going to be having the funds on the side they make money from to warrant this being worth it.
Maybe they were tired of market share being taken from the investing app companies like Acorn and RobinHood

Jairlyn

I am glad I transferred my Robinhood account to Schwab

Aesin

Reminds me of Merrill Lynch’s Sharebuilder program. Back in the 70’s I was able to buy fractional shares with dividends reinvested. This program also allowed me to buy silver in dollar amounts. They did charge a commission, either 4 of 5%.

When they discontinued the program I sold the fractional shares and took most of the rest in paper shares. I still have a couple dozen paper certificates and have been doing dividend reinvestments directly with the companies. I couldn’t take delivery of the silver, though.

For me, a pretty young investor at that time, MLPF&S’s Sharebuilder program did set me on a path of life-long investing which I’ve much enjoyed and profited from.

Jandurin

Is the IRS making special rules to cover this? I’m imagining if I buy 10% of AMZN, Schwab buys one share and just remembers I “own” part of it. And when I sell, Schwab might decide to sell the backing share. But who pays the capital gains tax? Does schwab pay their gain when it sells the backing share, or I pay my gains on the 10%? If we both pay wouldn’t the IRS be collecting the tax twice?

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