Bank of America Corp Performing Well In The Financial Market

Bank of America is going forward with a positive momentum which would also result in gaining their stocks

Bank of America Corp. is performing quite well in the market. In fact, the financial stocks were the main highlights in last day’s trade and were named as the biggest gainers of the day. The stocks of various big banks were being traded at a green whereas others gained when the market closed yesterday. But there was Federal Reserve which announced a decision regarding interest rate matter which affected the market to some extent. A few stocks in United States significantly increased in the S&P 500 Index, Nasdaq, and Dow Jones Industrial Average.

However the sudden change did affect majority of the stocks but financial stocks managed to sustain in the market. Bank of America was also in the list of the biggest gainers last day where it added 5 percent more to its values. Not only yesterday but the company managed to keep up the good performance when the markets opened today. Currently, the BAC stocks have peaked and are trading at a high of $17.44. Furthermore, it is believed that more than 147 million shares were traded.  The 30 day average of shares trading is around 86 million.

Moreover, the stocks significantly increased after the announcement of Federal Reserve’s decision regarding interest rate matter. However the authority has planned to stay put on the interstate situation for the time being after hearing the decision of the Federal Open Market Committee.  According to a source, “Counting on the expansion of the global economy, Federal Reserve seeks additional signs of strengths in the economy before introducing a hike while preventing any global risks affect US economy.”

It is known that banks and financial institutions would be in favor of the Federal Reserve’s decision to increase the interest rates in the coming times. Increased rates will benefit the banks to improve their net interest income as well as net interest margin. However yesterday it was decided that the interest rates would not increase and it will be kept on hold. This has resulted in the banks and investors losing interest in the deal.

Analysts believe that with the momentum Bank of America is doing its business right now it will likely take the stocks of the business higher than usual. Currently, the banks are focused on the meeting to be held in December that would decide if the Federal Reserve wants to increase the interest rate or not. Most likely, rates will increase.  

Pacific Crest Reiterates Overweight Rating On T-Mobile Stock

Pacific Crest provides detailed review of T-Mobile earnings, while reiterating an Overweight rating

On Wednesday, in a research note T-Mobile US Inc. third quarter FY15 earnings release was reviewed by Pacific Crest. The sell side firm reiterated a target price of $47 along with an Overweight rating and believes that the company reported strong results for the quarter ended on September 30. The firm told the stock is a buy on weakness.

The revenue for the company came in at $7.85 billion and was unable to beat the $8.31 billion mark estimated by the analysts, because of lower revenue from equipment caused by T-Mobile’s JUMP on Demand leasing program. Pacific Crest also noted that the average revenue per unit also dell year over year and is expected to be a concern for investors. However, low average revenue per unit caused from promotions and on the contrary improved average revenue per account 4.8% year over year.

The telecom company also increased its postpaid subscriber estimates to 3.8 to 4.2 million, similar to the sell side firm expectations, but shareholders were supposing more as strength in broadband remains to indicate a stoppage in addition to postpaid subscribers. The company continues to put its investment in network aggressively, which can be seen by the coverage of its LTE network now at around 300 million PoPs and the disposition of its 700 MHz A Block spectrum, which is most likely to cover around 350 markets by the end of current year.

The firm thinks that offering a broad and reliable network is significant for complying with the requirements of the customers. The firm also believes that the company’s development should cause greater addition in customers and enhanced churn in the upcoming period. The sell side firm believes that the shareholders reaction to lower average revenue per unit and marginally fewer additions in postpaid is overdone as the T-Mobil stock closed in red by 5.7% after the announcement of the quarterly earnings. The firm still expects the company to report robust additions in postpaid next year, which might continue to be caused by Un-Carrier initiatives.

John Legere, T-Mobile Chief Executive Officer said during the earnings announcement. "We've had 10 quarters in a row with over 1 million net new customers. Our momentum is strong and our incredible customer growth is translating directly into solid financial growth which makes it crystal clear that putting customers first is just good business."

T-Mobile stock news reveals that the stock closed down at $39.31 after going green by 0.74% on Wednesday October 28.

AT&T Inc. Third Quarter Earnings Preview

The article takes a look at what the earnings whispers have to say about AT&T Inc.’s upcoming quarterly results

AT&T Inc. is scheduled to report its earnings for the third quarter of fiscal year 2015 on Thursday October 29 after market close. As per earningswhispers.com, the telecom company will beat the analysts’ expectations polled by Bloomberg. The earnings whisper expects the company to post earnings of 69 cents per share, surpassing analysts’ estimates by $0.01. The analysts are expecting earnings of approximately 68 cents.

In the previous quarter, AT&T surpassed revenue and earnings estimates. The company was in a position to report $33.01 billion in revenue with a slight upbeat of nearly 0.04%. The analysts were expecting roughly $33 billion in revenue. On the contrary, earnings per share for the third quarter came in at $0.63 surpassing analysts’ expectations by 8.49% margin.

In the comparable quarter previous year, third quarter fiscal year 2015, the company missed on both EPS and revenues estimates. Revenue for the period came in at $32.95 missing by a slight margin of around 0.75%. Earnings per share for the period amounted to $0.63, while analysts believed the EPS to be around $0.63 cents.

“We now have integrated solutions that are unlike any competitor in the market,” Randall Stephenson, chairman and CEO of the company said in a statement “With our national wireless and video capabilities, as well as our extensive broadband network, we now have assets that make us a unique competitor and the first scaled, fully-integrated U.S. service provider."

The Dallas based company has a satisfactory record in beating analyst revenue and earnings estimates. In the preceding eight quarters, AT&T has managed to surpass earnings expectations 5 times in the past eight quarters. On the other hand, the company missed revenues four times in the past eight quarters.

On the event of the announcement of the financial earnings, analysts at Argus Research has provided the highest target price of $42 along with a Buy rating, while HSBC has assigned the lowest price target of $30 while reaffirming its bearish outlook on AT&T stock.

Out of 40 analysts who cover the company’s stock, 19 gave it a buy, while 18 gave it a hold. The twelve month average target price is $37.77, reflecting an upside potential of around 12.3% over the current share price of $33.81 in the trading session.

AT&T stock news reveals that the stock was up 0.03% to $33.75 at market close on Friday October 24. The company has 52 weeks high and low of $36.45 and $30.97, respectively.

Fords Reported Third Quarter FY15 Earnings

The auto making company has reported a very strong quarter this time again and analysts believe the giant is on the right track, despite the criticism being thrown its way by politician Donald Trump

Fords Motors, which is one of the most dominant auto makers in Detroit has recently reported earnings for the quarter ending on September 30,  they have not come up to the high expectations of the analysts who seem to constantly compare the giant with its rival General Motors. 

Ford reported $2.7 billion in adjusted revenues, which is approximately $1.5 billion more than the prior year quarter. The earnings came in at 45 cents and failed to surpass estimated EPS of 46 cents, however

The one penny difference that was made to the EPS estimated and the one that was reported was due it was $0.21 better than the similar quarter last year.to the expectation of tax deduction rate to 32% by the Wall Street analysts, where the actual tax rate that was presented by the company was 33%.

Analysts in the industry are talking about the kind of strength that was shown by smart car and trucks manufacturers, where the net income turned out to be $1.1 billion more than before, and $1.9 billion in totality. On a completely different side, analysts have also pointed out at the fact that despite the constant criticism that was faced by the luxury car makers coming in from politician Donald Trump, the auto giant has still managed to report so much strength on the index.

Ford Chief Executive Officer and President Mark Fields said during the earnings announcement, "The Ford team delivered an outstanding quarter — with record third quarter profit, best quarter ever for North America, higher wholesales, higher revenue, higher market share and improved margin,"

Trump has been making critical and cynical remarks about the way Fords business has been making large investments in Mexico and this has put off the company on many levels. In a press interview, CEO Mark Fields commented on how the politicians in the country might not be dealing with the right kind of facts and how his company only considers what is right and profitable for it and does not pay attention to rumors and opinions that might harm the giant in any way. 

Ford stock was down 0.14% to $14.72 on Wednesday October 28 as of 09:40 AM EDT.  

Uber Regulated In Australia

Uber has received good news from Australian region. The NRMA stated that the taxi enterprise is “here to stay” and is influencing state authorities to govern all ride sharing facilities as the Australian capital city ‘Canberra’ has become the first dominion to proclaim laws for prospective cab operators. The apex checking body in the city and New South Wales stated that the market was varying rapidly and the transportation company required to enter into the fold, though cabs should become more reasonable.

Uber news stated that the government should accredit drivers, driving and criminal history checks, when the cab company reaches there in 30 days. A rule would be launched in two stages. From October 30, drivers would require to be endorsed and enumerated, authorize criminal and driving history authorizations, and have security checks on their vehicles. They must be drug and alcohol free. Booking services need to employ consumer complaint apparatuses and surged pricing should be banned during emergencies.

Uber news today revealed that a second stage of ruling would need operators to have mandatory third party and property insurance. There would be teaching requirements and riders will not be permitted to pay cash unless security cameras are installed in cars. Licensing fees for taxi operators would be cut down by 50% on October 30, from $20,000 to $10,000.The fee would be reduced to $5000 in 2017. Hire-care licensing charges would be decreased from $4600 to $100.

Uber technologies informed that potential drivers for the company or other taxi facilities would need to pay $150 each year in license and endorsement costs, including charges for car examinations and background checks.

ACT transport minister, Shane Rattenburg, stated, “These reforms are a win for Canberrans and those travelling to the territory, improving access to diverse transport options and competitive pricing.”

Unions cautioned they would be scrutinizing the new rules to ensure that rights of drivers – both for the company and cab networks – were not battered. The NSW and Victorian governments are also interested in governing the cab company.

The President of the NRMA, Kyle Loades, believes that a more reasonable and supportable industrial sector could be developed. Kyle stated, “The reality that we face today is that Uber is popular and here to stay.”

It is probable that the recent development would not only play a significant role in motivating Uber’s workforce but also set precedence for other regions. Rules and regulations would be essential for managing taxi services. 

Lyft Defeats Uber In Las Vegas

Lyft becomes the first cab company to officially operate at McCarran International Airport.

A cab service provider, Lyft, has defeated the American app-based taxi company, Uber, which is currently offering its services at the McCarran International Airport in Las Vegas. It has become the first ride-sharing organization to do so. This development has taken place one week after the Clark County Commission issued a statement that both taxi services could initiate the application process for provisional permits at MCIA and after about 30 days, licenses were given to them by the Nevada Transportation Authority to work in the city.

Uber news affirmed that a Lyft representative stated, “We’re proud to be the first ridesharing partner of McCarran International Airport, Lyft’s launch in Vegas was one of our biggest yet, and collaborating with key stakeholders like LAS is an important part of continuing to grow the Lyft Las Vegas community.”

Uber news today exclaimed that it rival is offering clients a discount worth $5 for two separate rides either from or to the airfield. Commissioners would probably endorse permanent authorize provisions in an order anticipated to be considered next month. Clients could avail the discount by using the code FLYLAS when hiring the cab. McCarran’s officials have not only placed provisional signage at the airfield but also have made information staff available to guide the ride-sharing platform’s clients to designated pickup areas in the parking garage.

Uber technologies informed that the transporter’s customers arriving at the airport would be allowed to drop at the passenger pickup location on Level 1 or at the departures curb near carrier ticket counters. Clients would meet their cab drivers once a ride is ordered and confirmed at the designated pickup areas in the parking garage.

Uber, offering services in Nevada, is negotiating with the airport’s management and would probably share its views about its airport operations status on Monday. An official of Uber Nevada stated, "Uber is dedicated to serving riders and drivers at McCarran and to continuing a thorough process with airport officials. Our priority is to reach a resolution that ensures rider and driver safety along with the best user experience, as quickly as possible." 

One of the final problems that Lyft had to solve was to harmonize with the McCarran’s “geophone” technology, which is known for sensing when its automobiles make a proper entrance into the airport’s territory either at Terminal 3, McCarran ‘Rent a Car’ facility south of the airport or Terminal 1. It could be assumed that its success would demotivate Uber’s driving partners, as it tends to damage its interests in the competitive market.

Will BP plc Will be Affected By Canadian Oil Sands Operation

Exploration Head at BP plc. said at a conference held in Banff, Alberta that developing cost of oil sands in Canada is dropping quickly.

Richard Herbert, Exploration Head at BP plc. said at a conference held in Banff, Alberta that developing cost of oil sands in Canada is dropping quickly, as per Bloomberg. Canada’s oil sands are mixture of sand, water, clay, and bitumen in Alberta.
Oil reserves of Alberta are the third biggest crude reserve all over the globe, after Saudia Arabia and Venezuela. It has approximately 170 billion barrels of oil. Mr. Herbert said that crude oil cost of production in Alberta has decreased by nearly 15% to 20% due to Canadian dollar depreciation and deflation. This happened very first time that the cost have dropped in the last 15 years during that time the costs had soared by threefold. Presently, Canadian currency stands at 76 cents in United States dollar terms, as affirmed by BP stock analysis.
The British oil giant expects that by the year 2035, energy consumption might increase by nearly 41% and oil sand reserve in Alberta can then be utilized to meet the energy demand of the world. Mr. Herbert thinks that however huge savings can be generated from falling costs; they have not reached a price that can boost BP’s oil sand project in Alberta. It looks like that the company is confident that cost will fall further.
Since last year summers, prices of crude oil have dropped by over 50%. Various oil giants including, Total SA, Royal Dutch Shell plc and Exxon Mobil Corp. are reducing their capital spending to maintain themselves failing market conditions. Over 150,000 jobs have been reduced in the last one year. This cut in costs of producing and developing crude oil is going to favor the London oil company.
Like other oil firms, BP was also bearish regarding the oil market. It thinks that prices are not going to recover their momentum in the near term. The falling Asian market chaos and Chinese economy is going to maintain crude at its low.
In BP stock news related to the company, the Azerbaijan Republic State Oil Company and BP plc will endure its job as field operator at Azeri Chirag Gunashli even after the expiration of contract in 2024. The London oil majors was made field operator in the year 1994, when 30 year-long production sharing deal contract was signed by the companies.

Earlier, there had been some issues between the Oil Company and government of Azerbaijan. Although, this deal renewal shows that they have solved the issues. ACG field, which is situated 120 km away from the Azerbaijan coast, contains approximately 5.4 billion barrels of oil. Numerous big oil firms including Exxon Mobil, Hess Corp. and Statoil ASA have taken ownership in the field.

What Does Tesla Need to Ensure Great Revenue Growth?

The smart car making company currently needs to make sure it starts making revenue out of the operations it has already established, so that it does not need more investments to go forward

Tesla Motors is going to report its earnings for the third consecutive financial quarter of the current year in the first week of November and analysts have begun to analyze how the auto making company could be preparing for the investors to be announced in the report, and where it could go from there. Analysts have deemed this particular earnings call as a very important one, as it currently the car making company seems to be facing some issues while carrying out huge plans of production of not only its vehicles, but also of batteries. This call has also turned out to be coming in much later than it should originally come as, as the giant started its fourth quarter a month back.

Tesla stock analysis suggest that analysts also believe that there are a couple of more important factors for Tesla cars, apart from its revenue generation and EPS that should be taken into consideration for the determination of its success over the past three month time period. The fact is that the hybrid car makers are currently seen to be putting in large amounts of money into huge projects like the production of Model S and Model X, along with the establishment of Gigafactory that has been deemed as one of the biggest investments that the giant has made in any of its other projects. All of this seems great on the giant’s part but the fact remains, that there are a lot of cash flow issues now that the investments are being made in such huge figures. Presently, the giant is looking for more investments and a cash flow that is more on the positive side as compared to how it is now.

The smart car making company needs to start making its cash flow come in from its operations more than expecting it to come from new investments, according to analysts. Once it makes sure that this is done, only then it will be able to ensure the investors and the shareholders that it is capable of maintaining a stable position in the market without being constantly in pressure of more and more loans. Since the expenditures of capital are being done in a huge numbers, the electric car maker needs to carry this out perfectly in order to make its investors satisfied.

On the other hand, Tesla’s energy department seems to be working in a positive manner and analysts have emerged to be quite bullish about the future it could bring to the company. By the year 2016, the luxury car makers could actually result in making a revenue growth that leaves all of the analysts and investors in surprise. 

Tesla stock was up 0.78% to $211.72 at market close on Thursday October 22.

Uber Enters Croatia Despite Vows To Revolt

The American high-tech cab company would offer its ride- sharing service in Croatia despite taxi drivers' vow to revolt.

Commuters in Croatia’s capital city would now be able to use another travel option launching on Thursday – an Uber ride-sharing service. Launching at noon, the service would only be offered in its UberX version at first. As per the company’s official webpage, the ride would cost eight HRK ($1.20) with each extra kilometer offered for four HRK ($0.60) and minute 0.5 HRK ($0.07). The minimum fare for a ride is 10 HRK ($1.5), and the cancellation charge is 15 HRK ($2.20)

Uber news exclaimed that the introduction of the most highly valued startups in the EU member state has been whispered since April, with discussion strengthening after the organization listed jobs for various executive posts in Zagreb in July. Still, its launch is quite surprising, as many natives held the belief that the ride-sharing platform would be given a tough time by the state’s disreputably challenging bureaucracy and professed opposition from local cab companies.

Tportal.hr reported that Radio Taxi Zagreb Association’s president, Jozo Kovačević, pledged in April to “fight with all we can” against the transporter’s entrance. The company seems to have shunned those issues by working carefully and silently to legalize its service in Croatia. 

Uber technologies informed that UberPop – a service known for letting almost anyone owning a car to become an Uber operator – is not being offered in the Croatian region, as it would probably be declared illegitimate.

However, UberX, which only hires authorized motorists, is justified. As per reports of Netokracija, the transporter was cooperating with Zagreb, the Croatian Ministry of Finance and Ministry of Transport prior to the introduction of the service.

The organization might face some difficulties ahead. Uber news today revealed that a Croatian industrialist, Saša Cvetojević, who would be the firm’s first rider, told Mashable, "Uber has grown beyond merely transporting people from place A to B. To be for or against Uber today means to be for or against new business models or preserving the status quo. This is why Uber is a thorn in the side of everyone who wants to keep existing, often obsolete business models."

Saša also indicated that the transporter’s media push in the capital would be of less importance than anticipated due to Uber operators’ fear of rebel from local cabs. "I'm not sure if it (the first ride) will be televised", he stated. Still, its launch in the country is a significant move for the whole region, where a lot of cities and states are not only waiting for it, but for an inexpensive cab service in general.

Qualcomm Inc Gets Downgraded By UBS Analysts

The wireless giant is now being expected to have a price target of $64 from analysts at UBS

Qualcomm Inc has recently received a cut on the target share price by the analysts at UBS, who ran overresearch on the financials of the company in a note which was released in the market on Tuesday, October 20. The previous price that was expected by the company to reach was noted down at $71 whereas the new target has come around at $64. This cutting down of the target has come to the attention ofindustry analysts as it has been carried out right before the telecom company announces its earnings for the third quarter of the year.

Analyst Stephen Chin, who is the one at UBS covering the Qualcomm stock, has observed a ‘neutral’ rating for the wireless business. This particular rating which has been suggested by him is due to the a number of issues which the chip making company seems to be facing in the present times. According to the note, a decision is yet to be made by the firm which is related to some important strategic alignment which is to be carried out by the giant before the current year ends. Since the decision has not yet been made, it has erupted the feeling of uncertainty among not only the analysts but also in the investors which are not ready to suggest a bullish rating on the giant till it clears out its issue with its strategies. Apart from that issue, the company is also waiting to resolve the issue of proper and correct collection of the total sales it carried out in China when it sold out QTL and QCT in the Asian region, both which are sectors related to technology.

As per the rating given by Mr. Chin to the Qualcomm chip making company, the ratings are seen to be on the low specifically due to the increasing uncertainty and lower than expected figures coming from the OCT collection of sales that are still estimated to be on the lower side due to the amounting pressure on it. On the other hand, the analyst also discussed how the giant firm could be thinking about making a huge split between its two important subsidiaries, namely QCT and QTL, which can bring about a big change in the business it will carry out in the future. However, when the company was questioned about such changes being made, the rumor was dismissed right away by the management as this idea was indeed being considered in the past but it not being thought about anymore.

Former Microsoft CEO Bought 4% Of Twitter Stock

Steve Ballmer, ex-CEO of Microsoft bought 4% stake in Twitter last week

The social media giant has good news when it comes to its stocks. According to Bloomberg reports, ex-CEO of Microsoft’s, Steve Ballmer, has managed to attain 4% of stocks of Twitter, which is even more then the company’s own chief executive, Jack Dorsey, who has 3% of shares and another co-founder Ev Williams has 6.8% of shares.

The former CEO of Microsoft tweeted, “Good job @twitter, @twittermoments innovation, @jack Ceo, leaner, more focused. Glad I bought 4% past few months. Like @alwaleedbinT move too”, on October 16, early morning, which was a clear statement and evidence of him being happy for buying the shares. He even appreciated the recently re-appointed CEO, Jack Dorsey for making the company better and, according to him, ‘more focused’.

Mr. Ballmer appreciated the fact that the social media giant has been making remarkable attempts to keep users motivated and even get attention of new users by launching new products on the site recently. He mentioned the Project Lightning or the new Moments feature in his tweet, which is similar to Snapchat’s live stories, so that users can get more insight on what is happening around the world.

An unverified account of Mr. Ballmer tweeted about the 4% shares. Hence, the claim has not yet been verified if he actually has 4% of shares in the company. There are speculations about the account being hacked as well but a tweet by the ex-chief executive earlier this month leads to the conclusion that the account does belong to him.

The 4% of shares, which are approximately $800 million, of the company might have made a good impression on its market altogether and gave it a boost of much-needed confidence. Twitter Inc. Also made the announcement not so long ago about trimming its workforce down by 8%.

Steve Ballmer’s intentions on buying the shares are being speculated. The microblogging platform has lost in the game of keeping its users attracted and has been attempting to change that. Bloomberg reported that an analyst, Kames Cakmak, said that Microsoft’s former CEO might be interested in becoming a part of Twitter’s board of directors and since he is the owner of the LA Clipper basketball team, he thinks he can provide Twitter important sports-related insight and business by getting authentic information regarding events. According to Bloomberg, Steve Ballmer has a net worth of $21.4 billion.

Twitter stock closed at $31.15 on October 16.