According to a Bloomberg report, the Alibaba IPO price could be 22% lower than most analyst valuations when the company goes public later this year - but the reason is actually good for investors.
A discount would not signify weakness in the IPO – rather, it would be Alibaba’s attempt to avoid a flop like the one Facebook experienced during its initial public offering, when it ended up losing half its market value in four months as investors worried about slowing growth.
Here's how a more modest valuation will actually help Alibaba investors...
According to a Bloomberg report, the Alibaba IPO price could be 22% lower than most analyst valuations when the company goes public later this year - but the reason is actually good for investors.
A discount would not signify weakness in the IPO – rather, it would be Alibaba’s attempt to avoid a flop like the one Facebook experienced during its initial public offering, when it ended up losing half its market value in four months as investors worried about slowing growth.
Here's how a more modest valuation will actually help Alibaba investors...
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There's nothing we like better than discovering a "back" way into the current hot deal.
It's just so gratifying to find that sorta-secret way to bag profits from the IPO or merger that's dominating the headlines and that everyone you work with is so excited to talk about.
We did that for you with the Alibaba Holdings Inc. initial public stock offering (IPO). In our special research report, How to Make a Fast 153% from the Alibaba IPO, we give you three "backdoor" ways to profit from the upcoming stock offering of the China Internet giant.
Today we're coming back with a different "backdoor-profit-play" strategy.
This strategy offers an alternate way to profit from the already-announced $67.1 billion bid that AT&T Inc. has made for DirecTV.
It's also a way to profit from the surprisingly strong tech sector that's emerging right next door... Full Story
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The year is nearly half over, and the mainstream media continues to obsess over a whipsaw stock market that's been cutting highflyers down to size.
The sullen outlook has lots of retail investors dumping tech stocks and running for the "safety" of the sidelines. That's a mistake no one should be making.
But tech stocks - and especially biotech stocks - are poised to do very well in the last half of 2014.
And there are four big reasons why…
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An endless stream of impenetrable reports comes from the bankers in New York and our elected leaders in Washington, but most Main Street investors lack the knowledge to “decode” these reports, so they can’t respond in a constructive manner.
But I’ve identified the three specific economic reports that matter – and have deciphered what they mean.
These are the only three investing “secrets” you really need...
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As a tech analyst, I spent my early years in Detroit, and I know a lot about the Rust Belt.
In fact, when I moved to the West Coast in the mid-1980s, I drove a Honda that had already started rusting. Every once in a while, some wag would come up and ask if I was from the Midwest.
No doubt, rust like that was obvious. But in my more than three decades of working with Silicon Valley companies, I've found high-tech "rust" may be a lot less obvious and much more insidious.
The good news is that while this "rust" often takes down companies, it happens to be setting up three cash-generating firms that are handing us a big opportunity now... Full Story
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The growing rivalry between the Xbox One and PlayStation 4 is becoming one of the biggest battles in tech today.
Gamers and industry analysts alike are parsing all sorts of stats to say one platform or the other is truly ahead.
But we've found a way to make money no matter which ultimately becomes the top seller.
And it’s about as close to a “sure thing” as you’ll find in tech investing…
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In his first “report card” since taking the reins of Microsoft Corp. in February, CEO Satya Nadella showed why he was exactly the right choice to get MSFT stock moving again.
Microsoft beat expectations in when it reported earnings Thursday mostly on the strength of its cloud computing products – Nadella’s area of expertise, and the single most promising business segment for the Redmond-Wash.-based tech giant.
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If you're like most Americans, you're being eaten alive by zooming food prices.
Thanks to a three-year drought in California - the state that accounts for between 85% and 99% of most of this country's fresh produce - every trip to the supermarket has turned into a financial flogging for U.S. consumers. In fact, vegetable prices have jumped 50% in the past month alone.
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According to a Reuters report this week, Alibaba could file for an initial public offering as soon as Monday, April 21, meaning an IPO date for the Chinese e-commerce company is just months away.
As interest in Alibaba grows, companies that are affiliated with the e-commerce giant are seeing short term gains based on Alibaba news.
Here are three stocks that will keep basking in that glow right up until the Alibaba IPO...
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It usually pays to heed the advice of Money Morning Capital Wave Strategist Shah Gilani when looking for stocks to buy now.
Since Gilani, a retired hedge-fund manager who runs the Capital Wave Forecast and Short Side Fortunes advisory services here at Money Map Press, first recommended Microsoft Corp. (Nasdaq: MSFT) stock last summer, MSFT is up about 16%.
But Gilani believes MSFT can get all the way to $100 a share.
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Now that all the key deadlines for Obamacare have finally taken effect, a lot of tech investors are busy trying to figure out how this will affect their portfolios.
It's easy to see why. This is the largest and most fundamental change to hit the healthcare sector in decades.
Not only that, but Wall Street is currently trying to pick the winners from the losers - and frankly isn't doing a particularly good job of it.
Fact is, Obamacare is at least partly responsible for some of the biotech sector's recent sell-off... Full Story
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We're sharing this edition of Private Briefing with you because it contains some of Bill's best insight into what turns good companies into great ones - and how you can profit from them. Bill's readers profit from analysis like this all the time...
During the 30 years I've spent as a business journalist and financial columnist, I've developed a long list of personal axioms that have helped me identify "Best of Breed" investments.
These axioms touch on such topic areas as finance, marketing, intellectual property, and even competitive threats. But some of the most important of my personal investment aphorisms have to do with leadership and a company's management team.
And leadership starts with the CEO.
As one of my precepts holds, "A good CEO can create a very strong company. But a great CEO can create an empire."
Just like these... Full Story
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Tech stocks have been hit hard in the last week, and the Nasdaq Composite is down nearly 4% in the month of April. The index took another dive today, down 2.7% by 1 p.m.
Big names in the tech sector have been hit particularly hard. Netflix Inc. (Nasdaq: NFLX) is down 4% this month, Amazon.com Inc. (Nasdaq: AMZN) has dropped 5% in April, and Tesla Motors Co. (Nasdaq: TSLA) has dipped almost 6% this week.
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In Plato's Republic, protagonist Socrates takes the Delphic aphorism "Know Thyself" as his personal motto.
It's a great motto... especially for investors.
As a market veteran of many years, I can tell you that this is one of the biggest weaknesses most investors have.
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There's an old French proverb that says: Achetez aux canons, vendez aux clarions. That's "buy on the cannons, sell on the trumpets."
As a dyed-in-the-wool Contrarian investor, I'm a firm believer in the precept. In fact, back in the late 1990s, when New York money manager Anthony M. Gallea and I penned our book Contrarian Investing: Buy and Sell When Others Won't and Make Money Doing It, one of the opening lines was "Gloom makes us glad."
Bad news, you see, can create some of the biggest profit plays that you're going to find. Most retail investors just about stampede their way out of "bad-news" stocks. Those stocks get hammered down to ridiculously cheap levels.
For shrewd investors, this kind of situation creates a double-barreled winner because...
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