995 days ago
The average purchase price of buyouts in the fourth quarter of 2020 was 12 times earnings, eclipsing a full-year record of 11.5X set in 2019. The stamps.com deal will put the company's debt-to-earnings ratio at more than 8X, more leverage than banks regulated by the Federal Reserve, FDIC and Office of the Comptroller of the Currency are typically comfortable guaranteeing.
996 days ago
Wharton Research Data Services counted 3,790 stocks and ETFs that traded continuously over the 10 years that ended May 31, 2021. Only 14% earned total returns that exceeded 17.5% annually. Fully 22% earned negative returns. In short, investors were more likely to lose money than to compound it by at least 17.5% a year.
996 days ago
US tech and internet stocks have returned to favor on Wall Street and keep fetching ever higher valuation. As the S&P 500 Information Technology Index is up 16% this year, Morgan Stanley sees current valuations as extreme and notes that the price to sales is at 7.4, even higher that during the dotcom bubble.
996 days ago
Chinese stocks rose the most in three months as there was an official approval for a Tencent Holdings acquisition which gave hope to investors regarding Beijing's recent regulatory crackdown. The Hang Seng Tech Index jumped 2.7%, its biggest gain since June, and Tencent climbed as much as 5.3%.
997 days ago
If in April, 91% of S&P 500 stocks were sitting above their 50-day moving average, this percentage has drastically decreased to 54%. Back to normal or buying opportunity?
