You’d be forgiven for thinking that Bernie Sanders and Marco Rubio will never really see eye to eye on a political issue. But the two senators, who both ran for president on opposite sides of the aisle in 2016, have found common ground, strangely, in the idea that corporate stock buybacks–when a company pays a shareholder cash for their shares–are a bad thing. For the past several decades, the goals of American businesses has become benefitting shareholders. Given that just 10% of the wealthiest Americans own 84% of all corporate stocks, this “shareholder primacy” model tends to benefit those who already have means. On February 3, Sanders and Senator Chuck Schumer published a call for limits and regulation around buybacks, and Rubio added his support this week. This groundswell of bipartisan opposition comes as something of a surprise to Lenore Palladino, senior economist at the progressive economics think tank The Roosevelt Institute, though not an … [Read more...] about Is it time to end corporate stock buybacks?
Marley Jay, Ap Markets Writer Updated 2:12 pm CDT, Wednesday, October 31, 2018 FILE- In this Oct. 23, 2018, file photo specialist Peter Mazza, center, and trader Michael Urkonis work on the floor of the New York Stock Exchange. The U.S. stock market opens at 9:30 a.m. EDT on Wednesday, Oct. 31. less FILE- In this Oct. 23, 2018, file photo specialist Peter Mazza, center, and trader Michael Urkonis work on the floor of the New York Stock Exchange. The U.S. stock market opens at 9:30 a.m. EDT on Wednesday, ... more Photo: Richard Drew, AP Photo: Richard Drew, AP Image 1 of / 1 Caption Close Image 1 of 1 FILE- In this Oct. 23, 2018, file photo specialist Peter Mazza, center, and trader Michael Urkonis work on the floor of the New York Stock Exchange. The U.S. stock market opens at 9:30 a.m. EDT on Wednesday, Oct. 31. … [Read more...] about US stocks climb again as a painful month comes to a close
Published September 25, 2018 Markets Motley Fool Facebook Twitter Comments Print What happened Shares of Sonic Corporation (NASDAQ: SONC) jumped today on news that the drive-in fast-food chain would be acquired by Inspire Brands, the parent of chains including Arby's, Buffalo Wild Wings, and Rusty Taco. Inspire said it would pay $43.50 a share for Sonic, or $1.57 billion, in a deal valued at $2.3 billion including Sonic's debt. Shares of the burger slinger were up 18.4% to $43.35 as of 11:55 a.m. EDT on Tuesday. Continue Reading Below So what That the stock is trading just a few cents below the buyout price indicates a high degree of confidence among investors that the deal, which is still subject to shareholder approval, will go through as negotiated. The buyout price represents a 19% premium to Sonic's closing price on Monday and a 21% premium to its 30-day moving average. Paul Brown, CEO of Inspire Brands, said: "Sonic is a highly differentiated … [Read more...] about Why Sonic Corporation Stock Surged Today
Investors really like the sound of IntriCon this year. The company, getting traction on a multiyear quest to disrupt a hearing aid market dominated by five huge firms, also operates a larger, fast-growing microcomponent business that supplies Medtronic and other medical-device makers. Analyst Jonathan Block, in a recent update titled, “Can You Hear Me Now,” extolled better than projected first-half results for the global designer and maker of tiny, body-worn microelectronic devices. IntriCon, the best Minnesota public company to own so far in 2018 with a return of over 200 percent, has run from about $6 per share in 2016 to a high of $69.50 per share earlier this month. “The company has a tremendous amount of momentum in both its medical and hearing businesses,” Block wrote to investors after IntriCon reported second-quarter results. “And we believe the runway for both opportunities reaches beyond 2020.” Some longtime shareholders have taken profits … [Read more...] about IntriCon’s reincarnation has made it Minnesota’s best stock to own since 2017
Published August 06, 2018 Markets Motley Fool Facebook Twitter Comments Print What happened Shares of MannKind Corporation (NASDAQ: MNKD) were down 13.9% as of 3:31 p.m. EDT on Monday. The drop followed a 23% plunge on Friday after the biotech announced its second-quarter results on Thursday evening. Continue Reading Below Those results were pretty dismal. Net revenue for MannKind's only approved product, Afrezza, was $3.8 million. While that was up 142% year over year, it still wasn't nearly enough to meet the $4.8 million revenue estimate from the one analyst who covers the stock. On a positive note, though, MannKind's Q2 net loss of $22.7 million, or $0.16 per share, was a little better than the expected $0.20 loss. At the end of the first quarter, MannKind estimated that its full-year 2018 net sales for Afrezza would be between $25 million and $30 million. The biotech now thinks that sales for the year will be between $22 million and $25 million. … [Read more...] about Why MannKind Corporation Stock Is Tanking Again Today