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February 2019

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The general stance of Facebook is bullish, while only a few houses feel the stock is overvalued

Yesterday, TheCountryCaller discussed the views of Citron analyst Andrew Left, who has a bearish stance on Facebook Inc. (NASDAQ:FB) and said that the company is facing tough competition from rival Snapchat. Andrew argued that the social media industry is highly disruptive and Facebook may not be able to sustain its position. While he may be having his own views with regards to the company, we will try to examine Facebook from both a technical and fundamental perspective and determine if a short position in the stock is worth it.

On technical grounds, Facebook Inc. has a Relative Stability Index (RSI) of 40, which means that the stock is currently in a Neutral position, though sellers are relatively strong. The stochastic RSI, which is a more realistic indicator than RSI, highlights that the stock is in the oversold region. That being said, yesterday’s low range of Facebook was near its support level which indicates that buying was done at that level. So as far as the technical indicators say, Facebook is a Buy technically.

Moving on to the fundamentals, the company is trading at a P/E multiple of more than 70. Facebook has impressive profit margins and a decent ROI. The company is also efficient in its operations and has also been investing into growth opportunities for the future. The 12-year-old social networking giant has a market cap of more than $330 billion, which indicates its charm among investors.

Now let’s take a look at the main influencers for investors, the street houses. There is a generally bullish stance by brokerage analysts on the stock. SunTrust and Piper Jaffrey have recently given “Buy” rating to the stock with TP of $135 and $170, respectively. Meanwhile, only a few analysts such as Simon Baker of Societe Generale Bank agree that the stock is highly overvalued and its fair value should be $71. Let’s see if it can regain in today’s trading session. Shares of Facebook were down 0.3% to $114.60, with a volume of 10 million shares traded in yesterday’s session.

The silicon maker might essentially be looking for a buyer for its security division as part of an attempt to focus on the Cloud computing market and IoT in the coming decade

Intel Corporation (NASDAQ:INTC) is reportedly meeting investors and bankers looking to broker a sale of its security business in order to cut down on costs and revamp the company into a more cloud and IoT-based focus. The Silicon giant has been trying to find firmer footing as it attempts to deal with the reality of a shrinking or stagnating PC market as well as the limitations of advancements it can make to silicon-based chips for PCs in the foreseeable future.

Intel has essentially moved away from Moore’s Law, something that governed as a rough indicator of technological advancements over the past few decades. It has also come to terms with the fact that the biggest gains it can make currently are not performance based, but rather power consumption and efficiency related. It has since conducted 2 waves of layoffs, and the third is primarily focused towards its sales and marketing departments, a safe bet considering the position it currently is in with a virtual monopoly in most of its CPU markets. It has made significant cuts to its underperforming mobile device business as well as cut down on product lines over time.

Intel purchased McAfee in 2010 for about $7.6 billion and continued to build it into an asset with additional resources from the semiconductor giant itself. The division was rebranded to Intel Security over time and it continued offering the slew of products McAfee did as a standalone operator as well as building in some of its security measures at a hardware level on its chips. The fact that it is contemplating a sale could indicate how far the silicon-maker has come when it comes to exploring new avenues for growth as it remains extremely bullish on the cloud server market as well as the IoT market.

According to analysts, Intel might not be selling out all of its assets in the security division, citing the need for IoT security as a new avenue for revenue. Instead, Intel could be disposing off assets it feels are no longer paramount to its long term goals or important to its core business interests. Irrespectively, Intel, as a cheaper play in computing thanks to its restructuring, could usher in a new batch of investors in the long term. The silicon maker is cutting as many as 1200 jobs up to mid-2017 as it attempts to transition towards the general market push for data centers and smaller chips thanks to the cloud and IoT.

Investopedia reports that Samsung and Intel may seal an official deal soon

It has only been a couple of days since we reported that Samsung Electronics will presumably be the only company licensed to produce Qualcomm Inc’s (NASDAQ:QCOM) Snapdragon 830 chips. Now reports are surfacing that Intel Corporation (NASDAQ:INTC) is in the process of affiliation with the South-Korean giant for the chip manufacturing of its next generation of smartphones. Investopedia reports that both these companies may seal an official deal in the coming times.

While that may be of use to Intel, it is in not very good news for the San Diego-based Qualcomm, whose stock recently hit a new 52-week high level. The affiliation with Samsung is not quite old, as both the companies joined hands at the beginning of this year, and it seemed that the deal would help the $100 billion company in the long run.

Despite some heavy blows relating to the Galaxy Note 7 replacement, Samsung is not giving up on any of its core businesses, as it looks for alternatives other than Qualcomm. That being said, it would indeed be the second biggest blow for the chipmaker this year, as Apple has previously rewarded partial contract of its iPhone 7’s to Intel earlier in June. It is important to note here that both Apple and Samsung account for over 85% of high-end smartphone chip sales.

Qualcomm has been experiencing a decline in its revenues lately; however the strong financial management of the company did outweigh the drop. The company recently declared a dividend of $0.53, which shows that it creates value for its shareholders. We expect a bear wave to plummet Qualcomm stock in the coming sessions; however we persist on our bullish views, given the company’s expansion on multiple fronts. We believe Intel stock will follow a bullish wave after the recent news.

The Country Caller shares an insight into some of the best deals on Amazon

With online sales on a surge across the globe, Amazon.com Inc (NASDAQ:AMZN) plans to kick-off its Black Friday deals from today, November 14. The sales day officially commences on November 25, but the e-commerce giant is slashing the prices on numerous products from today and plans a 13-day sales event.

As the Halloween hangover ends, shoppers around the world have set their sights on the biggest retail day of the year—Black Friday. Although, many people still rely on brick and mortar retailers, such as Wal-Mart Stores, Target Corporation, and Macy’s Inc., to receive substantial discounts on a huge array of products, the e-commerce companies now offer a cut-throat competition. Online sales are growing on a global level, and the e-commerce sales turned out to be higher than physical store sales in 2015. This year, a hike in Internet sales is expected as well.

Being the number one retailer in the world, Jeff Bezos’ company is considered to be the possible leader in the Black Friday sales. The Country Caller shares a few of the top-of-the-line sales discounts offered by Amazon on its products.

Buyers can avail a discount of $40 on Amazon Echo. This is a cloud based 360-degree smart speaker, which comes with 7 built-in microphones and can be controlled through voice commands. It is offered at $139.99 at the company’s website.

The Echo Dot is now priced at $39.99, after Amazon slashed $10 from the product’s regular price. Echo Dot is referred to as Echo’s mini-me, and is capable of doing everything a standard iteration of Echo does, but has just one small speaker.

The amazing Amazon Fire TV Stick is available at $29.99 and comes with the Alexa Voice Remote. The TV stick can be plugged into any HDTV to use world’s best streaming services, such as Netflix, Hulu, and Pandora. The product is priced at $10 lesser than its regular retail price.

In order to compete with the online giant, the brick and mortar dominant, Wal-Mart and Target, have beefed up their e-commerce inventory to avoid running out of stock. The companies have also planned to announce and commence sales deals before the planned date. At their physical stores, the sales would commence at 6:00 PM on the Thanksgiving Day.

GoPro Inc (GPRO) stock’s short interest has tripled in six months’ time

GoPro Inc (NASDAQ:GPRO) is recently facing a lawsuit threat by investors for misleading them about the actual position of the company. The basis of the lawsuit includes misrepresentation by GoPro to develop and/or bring to market a drone product to house its cameras. Moreover, the company misguided the investors about the sales of HERO4 Session cameras. Investors believe that the projected guidance for the third and fourth quarter of fiscal year were unrealistic.

Despite the downturn in the company’s stock price and the upcoming challenges GoPro might face, there are a few factors which make some market analysts believe that the company’s stock might start climbing again and they have a bullish case for GoPro stock. Since last week, the company’s share has gained 13.86% market value and market is expecting that it will maintain its momentum in the future. Moreover, short interest of GoPro has tripled in the last six months and market analysts predicts that any further increase in short interest along with some positive news about the company will escalate the stock price by a double digit.

GoPro stock soared by 10.3% on February 09, as the company’s management announced about signing off a collaborative patent license agreement with Microsoft Corporation (NASDAQ:MSFT).  However, the performance of the stock is not much pleasing lately as it has lost around 34.76% of its market value year-to-date (YTD), while Dow Jones and S&P 500 index are down by 5.38% and 5.23%, respectively in the same period. GoPro’s stock has an average daily trading volume of 8.97 million and a 52-week range of $9.01-65.49. The company’s stock is trading at $11.75 in pre-market hours on February 25.

Creative Planning has recently increased its stake in GoPro by 86.71% as per a recent filing with the Security and Exchange Commission (SEC). Creative Planning now holds 310,633 shares which are worth$5,595,000.

There are no recent changes in ratings of the company’s stock. The market analysts have a price target suggestion ranging from $7 to $21 as per Zack’s Research firm data. GoPro stock has an average rating of a Hold and a consensus price target of $12.363.

According to media reports, GM is pushing for Indiana residents to push for a bill that would ban Tesla from selling its electric vehicles directly to the general public

It seems Tesla Motors Inc (NASDAQ:TSLA) is up against a new competitor in its battle with auto dealership lobbies across various states: the country’s largest automaker, General Motors Company (NYSE:GM).

According to a report from Auto Blog, GM is supporting a bill that will put an end date on licenses for automakers that sell vehicles directly to consumers in the state. The bill will be up for debate at the Indiana state legislature this week.

Although Tesla does not have direct evidence to suggest GM authored the bill, the company’s spokesperson clearly mentioned – to AutoBlogGreen – that Tesla believes GM supports the bill as a means to outplay Tesla in the emerging competition in mass market electric vehicles, setting stage next year.

Tesla is planning to roll out a smaller 200 mile-range $35,000 electric Model 3 sedan next year while GM is launching a mid-range Chevrolet Bolt electric vehicle also in 2017, with travel range and price tag comparable to Tesla’s Model 3.

While Tesla at large compares poorly to GM in terms of unit sales and size of operations, analysts believe the competition will be legitimate given that over the past three years or so, Tesla has pioneered an electric vehicles revolution not only in the US but several other key markets for clean energy vehicles like Europe and Asia.

According to Ars Technica, GM has been touting Tesla fans and vehicle owners in Indiana to favor the bill it believes supports the broader market for autos in the state. Talking in favor of a diverse network of independent auto dealerships, GM in a statement to Ars Technica said, “A benefit of a nationwide network of thousands of dealerships is that General Motors customers never have to worry about driving to another state to buy service or support their vehicles.”

But Tesla has its own defense ready. CEO Elon Musk claims independent dealerships offer inconsistent service, portray the brand poorly and function with an inherent conflict of interest that arises from higher inventories of traditional vehicles compared to electric vehicles.

Tesla has noticeably turned sour recently towards states barring it from selling its vehicles directly. The company even skipped the all-important North American Auto Show this year protesting such a ban in Michigan. In Indiana alone where Tesla currently is allowed to sell vehicles, Tesla claims it has spent over $42 million on the state through supplier contracts and is also mulling building a sizeable 26,000 square foot Tesla Service Station in the state which may be put on hold if the bill does get passed.

 

Panasonic plans to double its automotive battery sales to $4 billion by March 2019, which would be the first full production year for Tesla Model 3

Tesla Motors Inc (NASDAQ:TSLA) has planned to offer its first mass-market offering, the Model 3, for $35,000 by substantially bringing down its battery costs via large-scale production at the Gigafactory, along with its battery partner, Panasonic Corporation. While the automaker owns and operates the gigantic battery plant, the battery-maker is responsible for producing battery cells at the factory.

After seeing high level of Model 3 reservations, the Japanese company expects to double its battery sales over to $4 billion for the next three years, which would be the first full production year for the Model 3, Reuters reported.

Panasonic VP of Automotive & Industrial Systems Company, Kenji Tamura, said that the annual car battery sales will likely expand to JPY 400 million ($3.97 billion) by March 2019, up from JPY 180 billion by the year ended March 2016. Last month, Tesla CEO Elon Musk revealed that Panasonic would remain exclusive battery cell supplier for the Model 3, as well as the Model S/X, under their existing agreement at the Gigafactory.

The electronic behemoth seems to spend as much as $1.6 billion at the Gigafactory, about one-third of the total estimated cost of the plant. It will largely invest in equipment for battery cell production. The first manufacturing line worth $51 million will likely be completely by the end of this month, according to a building permit at Buildzoom.

Mr. Musk recently called Panasonic’s production equipment at the Gigafactory “impressive machines” and expected the production rate of battery cells to be fast. The Japanese battery-maker plans to start production ahead of schedule at the factory by November 2016, after it held a big hiring event last month for advanced manufacturing positions.

The Gigafactory is expected to operate at full capacity by 2020, when it will be fully constructed. Tesla’s compact sedan will have a new taller and bigger cell format, which could also be used in Model X and Model S to streamline production. The company already produces battery packs at the plant for Tesla Energy products: the Powerwall and Powerpack.

Think you’re leveling up too slow in The Division? Well, no more

The latest title from Ubisoft, The Division was just released a week ago and it has already garnered a community spanning thousands of players. The game has received rave reviews from most sources, and the company is hard at work to improve the game even further by asking for feedback from users on Reddit and the Ubisoft forums and then implementing the changes suggested by users. One of the main aspects of the game is the player level, in which a lot of the gameplay depends. For obvious reason, players are always looking for faster ways to level up. Well, here’s one way you can really speed up your rate of leveling up.

Unbeknownst to a lot of users, some of the equippable gear in the game can boost the XP you gain by killing enemies by up to 70 percent which obviously makes a huge difference in terms of leveling up. And the best part? The advantages gained from the gear are applicable in the Dark Zone as well. If you have any PvE credits, be sure to utilize them for calibrating your armor, as that can get you significantly better extra XP gain percentages. So how does this translate in terms of the actual gameplay? For example, if you’ve equipped the right gear, when you were getting 165 XP normally, you’d get up to 280 XP with gains. Now, if it takes 5000XP to level up from a specific level, it would normally take killing 31 enemies to level up a notch, however with the gains, you’d only need to get rid of 18 enemies, which is a far easier task.

Furthermore, to expedite your progress even further, you should purchase the Gold Spec Ops Pads from the Phoenix Coin Vendor in your BoO to add 25% to scaving and EXP. This will increase the XP you gain along with increasing the frequency and quality of the drops received.

And that’s it. With this simple trick, you can immensely speed up your leveling up process in the game, and a testament to that fact are the numbers mentioned above. Please let us know your feedback in the comments below.

This year’s iteration is about to overtake Nicki Minaj’s Anaconda as the most hated trailer on YouTube

It has been exactly one week since Activision Blizzard, Inc. (NASDAQ:ATVI) released the debut trailer for this year’s Call of Duty: Infinite Warfare installment. Between frustration for the unavailability of Call of Duty: Modern Warfare Remastered as a standalone purchase and the recent announcement of Battlefield 1 by Electronic Arts Inc. (NASDAQ:EA), there has been a great surge in the amount of dislikes for Infinity Ward’s upcoming game.

At the time of writing, the Infinite Warfare’s YouTube trailer has amassed over 13 million (13,253,251) views, out of which more than 1 million (1,083,008) are dislikes. This puts Infinite Warfare’s preview as the eighth most hated trailer on YouTube, just behind Nicki Minaj’s Anaconda, which currently has 1,159,337 dislikes. At the current rate, it will just take another day (or two) for Infinite Warfare to cross that abysmal showcasing of music, as well as Miley Cyrus’s We Can’t Stop (1,240,353 dislikes), to land in the list of the top five most hated/disliked videos on the global video-sharing platform.

Infinity Ward has its work cut out since the most disliked video on the planet, as of now, is Justin Bieber’s Baby with over 6 million dislikes. The developer, though, is hardly fazed and is confident that Call of Duty: Infinite Warfare is going to sell a lot of copies, despite the current public display of scorn.

Call of Duty: Infinite Warfare is scheduled for a release on November 4 for PlayStation 4, Xbox One, and PC. The game’s special editions are going to come bundled with Call of Duty: Modern Warfare Remastered.

 

 

 

Here’s everything you may or may not know about Tesla Motors’s upcoming mass-market sedan, the Model 3

In roughly 36 hours, the world will see Tesla Motors Inc.’s (NASDAQ:TSLA) biggest ever event, the Model 3 unveiling.  Based on Tesla officials’ spilt beans, Bloomberg issued a report on 17 secrets regarding Model 3, covering everything we may or may not know about the vehicle and its event.

Spacious

The mass-market sedan will be 20% smaller than the premium sedan, roughly Audi A4’s size, according to CEO Elon Musk. Since it is an EV, it doesn’t require transmission tunnel and backseat riders might have extra leg room. It would be interesting to see what Tesla does with Model 3’s front trunk, which is usually empty for storage in Model S and Model X.

Working Prototype

According to the Model 3 event’s invitations, guests may get their hands on a working prototype of the vehicle. Mr. Musk had previously specified that Tesla might not show the full vehicle, whose deliveries will start late 2017.

Mini Model S

Only a handful of people in Tesla’s top management know about the Model 3 design. A Tesla insider has confirmed that Model 3 looks like a smaller Model S.

Reservations

Mr. Musk has already opened Model 3 reservations for Tesla and SpaceX employees and reservations for customers will begin 10 pm local time on March 31 for $1,000 refundable deposit. At 8:30 PT, online reservation will be opened.

Priority

Tesla has already stated that the existing Model S and Model X owners will get priority ahead of other customers in terms of deliveries. Existing owners and reservation holders of top-of-the-line Model 3 will get their deliveries first.

No Signature Series

Unlike the Model S/X, Model 3 may not have a Signature Series but Tesla may offer upgrades, like advanced battery, Autopilot, and Ludicrous mode. The company aims to keep its promise to promote the vehicle as a $35,000 EV, even if customers end up paying $50,000.

Long Range

Tesla has vowed that its mass-market car will have range of at least 200 miles. If Tesla offers Model 3 60 kWh like Bolt EV, it could provide more range considering it’s a compact size and performance of premium Teslas.

Mass-Market SUV

Although the company has said that the event will focus on just Model 3 sedan, there have been rumors that a mass-market SUV might also be unveiled at the event. Global Equities Research’s Trip Chowdhry believes a mini SUV might be revealed in October.

All-New Platform

Model 3 will be the third car platform after the Roadsters and Model S/X. The vehicle includes new battery architecture, new motor-tech, and new structure to produce it in efficiently, quickly, and with ease. Mr. Chowdhry expects the vehicle to be made of steel and weigh 3,900 pounds.

Battery Cost

Tesla has been working Gigafactory’s first cell production scheduled for 2016-end. This will significantly reduce the battery cost.

Price Tag

Model 3 will be priced at $35,000 excluding incentives, which could vary from $7,500-13,000 in the US. The federal incentive of $7,500 will exhaust after total US sales hits 200,000 which are expected to be in 2018.

Fewer Bells-And-Whistles

Since the vehicle will be a mass-market product, consumers should not be expecting many bells and whistles with the Model 3. It might not have several features that Model S and Model X have.

New Factories

Tesla is considering building new factories in Europe and China exclusively for Model 3 by 2018. The company already has Fremont Factory and Gigafactory.

Autopilot

Since Mr. Musk expects all the new vehicles fully-autonomous in 10-15 years, Autopilot program might be extended to the Model 3. However, additional fee might be charged.

Long Warranty

Like its predecessors, the vehicle will have eight-year (infinite-mile) warranty, which will indeed be transferable.

Not Model III

Although Model 3’s logo has three equal horizontal lines, the vehicle is not Model III. According to the CEO, the horizontal-lines imply a stylized E in the logo. Since Tesla couldn’t get Model E trademark from Ford, it found a new way to complete Model S-E-X.

Entry-Level Luxury Market

Although Model 3 will be competing against automobile behemoths, it will perform well in the lower-end luxury market, like Model S outperformed in premium sedan market. The vehicle will be cheaper than most of its competitors even without incentives, it will have the bling-bling factor that ever Tesla car have with superior driving experience, safety, comfort, style, and the Autopilot.