My Investing Muse

There are several stock buybacks recently.  Does this mean that we should buy the stocks of these companies that performed stock buybacks?   Here is a news extract from CNBC on 19th August 2022: With low-interest rates boosting profits and values, S&P 500 companies bought back a record $881.7 billion of their own stock in 2021, up from $519.8 billion in 2020, according to S&P Global data. A significant percentage comes from a handful of so-called “buyback monsters,” with five companies — Apple , Google parent Alphabet, Facebook parent Meta, Microsoftand Bank of America — making up one-quarter of the dollar value of stock buybacks over the past year.  Source:  https://www.cnbc.com/2022/08/19/what-stock-buybacks-are-and-how-a-new-tax-affects-your-portfolio.html This is a post from Twitter user "21stCentValue" dated 7 Oct 2022. META - a poorly-executed buyback program. $48B spent in the past year at avg. price of $303. Stock is currently $133. And buyb...

News extract from CNBC: Screenshot of news from CNBC dated 28 July 2022 SGT Facebook parent Meta reported a steeper-than-expected drop in revenue, missed on earnings and issued a surprisingly weak forecast, pointing to a second consecutive decline in year-over-year sales. The shares dropped 3.8% in extended trading. Here’s how the company did: Earnings: $2.46 per share vs. $2.59 per share expected, according to Refinitiv Revenue: $28.82 billion vs. $28.94 billion expected, according to Refinitiv Daily Active Users (DAUs): 1.97 billion vs 1.96 billion expected, according to StreetAccount Monthly Active Users (MAUs): 2.93 vs 2.94 billion expected, according to StreetAccount Average Revenue per User (ARPU): $9.82 vs. $9.83 expected, according to StreetAccount Meta shares have lost about half their value since the beginning of the year, underscoring investor concern about the health of the company’s core online advertising business. That unit has been hurt by Apple’s iOS privacy update la...

Big Tech signals a pending collapse by Gordon Johnson (extracted from his tweets on 26 July 2022) Source : https://threadreaderapp.com/thread/1551959500428640257.html I have highlighted some key parts and shall conclude with my thoughts.  These are his original text and no edits have been done to keep its authenticity. 1/13 Is Big Tech signaling a pending collapse in the office market, as well as the job market? Let's explore; firstly, $AMZN recently announced it's halting construction on 5 office towers in Bellevue WA, w/ a 6th that was planned for construction canceled . $AMZN also put...  2/13... on hold an office tower in Nashville, TN. They also slashed plans on addtl office space in Hudson Yards in Manhattan, after reporting their 1st loss in yrs in Q1. All in, it looks like $AMZN will be shedding 10-30mn sq ft. of excess warehouse space it took on during...  3/13... the pandemic it no longer needs. In fact, in late Jun it emerged that $AMZN delayed or canceled 13...

With the ending of 2022 Q2, let us take a look at the portfolios of the super investors.  Let us know and understand their biggest purchases and sales from Q1/2022. As always, I encourage all of us to do our own due diligence before investing.  As always, do not leverage, spend within your means and invest what you can afford to lose. Cloning of super investors? We should not blindly copy the trades of these super investors. I suggest that we use this list as a filter, from which we qualify each stock of interest.  Our homework will bring the necessary conviction and resolve - helping us to decide on buying, holding or selling at times of panic and euphoria.  As we each have different risk-reward tolerance, investing time horizons and different expertise with different sectors, let us be disciplined to invest within our domains (Charlie Munger & Warren Buffett would call this "circle of competence").   This list is only based on what is reported via the...

‌Tesla ‌is a sustainable business because it is green and is also self-sustained through the profits made. Regarding ‌Twitter, Tesla investors have expressed concerns that Elon may be dividing his attention and time between the different businesses . Will Elon be spreading himself too thin?  Hopefully, this distraction does not slow down the progress and development of various businesses.  However, most Tesla investors would be too familiar with both his brilliance and the volatility that he bring.  His passion had brought success and they would expect no less for the "new" Twitter business.    The recent news exposure has driven up both interest and user usage. Tesla is an engineering marvel & case study and Twitter is a different beast in social media. Elon's experience with Giga press, 4680 batteries and production capacity does not seem to provide any relevant headstart.  Yet his cult-like status & faithful following should lend an edge as ...

The biggest companies grew to become bigger in 2021.  CNBC's diagram below demonstrated the growth experienced by the various players.  The growth rates from end of 2020 to Dec 2021 are: Apple +30% Microsoft +50% Alphabet +65% Amazon +6% Tesla +58% Meta (former Facebook) +20% While many businesses struggled during the pandemic, these companies grew at mind boggling rates between 6 to 65% in 2021.   Extract from CNBC news on 27Dec21 showing growth from end 2020 to 23 Dec 2021    Some quotes extracted from the CNBC 27Dec2021 news article : “Tech companies getting into the $1 trillion club is almost viewed like a cup of coffee in Silicon Valley now,” Dan Ives, a tech analyst at Wedbush Securities, tells CNBC Make It. “It’s not the mega event that it was just two or three years ago. It shows that Big Tech is in an unmatched position coming out of the pandemic .”   "Apple, Microsoft, Alphabet, Amazon, Tesla and Facebook added a combined $2.9 trillion to their c...