80.99 +0.20 (0.25%)
After hours: 5:42PM EDT
|Bid||80.82 x 1000|
|Ask||80.99 x 1000|
|Day's Range||80.50 - 84.09|
|52 Week Range||32.33 - 87.25|
|Beta (5Y Monthly)||2.63|
|PE Ratio (TTM)||122.22|
|Earnings Date||Jul. 30, 2020 - Aug. 03, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||62.74|
In other words, this bear market is an opportunity to secure your financial freedom by putting your money to work in great businesses. Here are five top stocks that can help you in your quest for financial independence. One recipe for financial freedom is to load your portfolio with companies that offer game-changing potential.
The worldwide coronavirus crisis that have locked many citizens indoors is also rapidly diminished the allure of shiny trophy office towers.
In this episode of Industry Focus: Financials, host Jason Moser and Fool.com contributor Matt Frankel, CFP, take an in-depth look at the company and what investors need to know. Plus, hear Jason and Matt discuss why they're keeping an eye on Goldman Sachs (NYSE: GS) and Intuit (NASDAQ: INTU). To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center.
(Bloomberg) -- Facebook Inc. plans to hire more remote workers in areas where the company doesn’t have an office, and let some current employees work from home permanently if they’d like to.Chief Executive Officer Mark Zuckerberg said the company plans to “aggressively open up remote hiring” starting immediately with the U.S., particularly for engineering talent. Based on internal employee surveys, he believes remote workers could make up as much as 50% of Facebook’s workforce in the next five to 10 years.“We and a lot of other folks were very worried that productivity was going to really fall off a cliff,” Zuckerberg said in an interview. “It just hasn’t. We are at least as productive as we were before, and some people report being even more productive.”The social network, which closed its Menlo Park, California, offices in early March due to the coronavirus outbreak, has already told employees that they can work from home through the end of the year. Zuckerberg shared the remote hiring plans with workers Thursday. Facebook had more than 48,000 global staff at the end of March.“The vast majority of people at the company are working remotely anyway, so constraining ourselves to only hiring people who live near an office that’s not open anyways isn’t really that efficient,” he added.Facebook is the latest, and largest, tech company to announce a full or partial move to more permanent remote work amid the Covid-19 pandemic. Twitter Inc. and Square Inc., both run by CEO Jack Dorsey, have announced that their employees can work from home permanently if they’d like. Canadian e-commerce company Shopify Inc. said this week it will allow its 5,000 staff to work from home indefinitely.It’s a trend that could drastically change Silicon Valley and the San Francisco Bay Area, which has for decades been the mecca for high-paying technology jobs. Many of the world’s most valuable companies, including Facebook, Apple Inc. and Alphabet Inc.’s Google are headquartered just south of San Francisco, which has made the surrounding area one of the wealthiest and most expensive in the world.Facebook employees who wish to work remotely, and are approved to do so, will be paid based on their new location, Zuckerberg added. That means employees who move to areas with a lower cost of living than the Bay Area would likely take a pay cut. Employees currently working remotely who want to extend their remote work plans beyond the end of this year will need to alert Facebook for tax and payroll reasons.“We’ll localize everybody’s comp on January 1,” he said. “They can do whatever they want through the rest of the year, but by the end of the year they should either come back to the Bay Area or they need to tell us where they are.”Zuckerberg said his decisions aren’t driven by employee demand, but there are a number of other benefits to remote hiring. This will extend the “talent pool” of people Facebook can hire, he said, and could help Facebook increase the diversity of its workforce, both racially and ethnically, but also ideologically.There is also a potential environmental benefit, Zuckerberg said, pointing out that pollution and emissions have dipped as people have stopped traveling. “I’d rather have our employees teleporting to work with VR or video chat than sitting in a commute and kind of poisoning the atmosphere,” he said.There could be product advantages, too. Facebook’s mission is to create products that help people feel closer even when they are physically apart, Zuckerberg said. This would give the company a chance to put its own products to the test and “eat our own dog food,” he added.There are still some unknowns. Zuckerberg believes a change like this could impact some of what he calls “the softer stuff,” like social connections, group brainstorming and creativity. Companies like Facebook and Google have changed work culture by offering employees never-ending perks, like free food, shuttles to work and even laundry. Those elements of work cultures will undoubtedly be affected.“We don’t know yet how much we are drafting off of culture, relationships, strategy and direction that have been developed up until this point. We’re kind of just gliding forward,” he said. “We don’t know how hard it’s going to be to evolve.”Zuckerberg said the Covid outbreak and current plan to increase remote workers won’t change the company’s real estate ambitions – at least not in the short term. Facebook has been expanding its sprawling headquarters for years, and has other plans to expand East across the San Francisco Bay to Fremont. Facebook has also embarked on a major push in New York, where it last year signed a lease for more than 1.5 million square feet of space in the Hudson Yards development. The company had planned to start moving employees into the space this year.When some employees do return to work following the July 4 holiday, Facebook plans to keep office capacity at just 25%, so will need as much room as possible. “If anything we just don’t have enough office space,” Zuckerberg said.The virus “is going to be with us for a while, so we really need to get good at this,” Zuckerberg added. “I just don’t think there’s going to be a single day where it’s like, ‘OK, Covid is done.’”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
During market downturns like the recent coronavirus market crash, it's tempting for investors to spend most of their efforts sifting through beaten-down stocks in search of bargains. This is the case for Square (NYSE: SQ) -- a point-of-sale and financial technology company whose revenue growth has soared in recent years. Here's a closer look at why this growth stock is worth its premium price.
Many active investors buy stocks on the hope of scoring outsize returns by purchasing the next Apple or Tesla. They also might remember eras such as the dot-com bubble or the housing boom and assume that investing is a path to easy money.
Following an 11-year bull market, the past three months have been highly unnerving for investors. Since the broad-based S&P 500 hit an all-time closing high exactly three months ago, on Feb. 19, 2020, we've witnessed the highest volatility reading in the CBOE Volatility Index's history, and saw the S&P 500 decline 34% in just 33 calendar days. This was the fastest drop into bear market territory (as well as the quickest 30% decline) ever recorded.
Financial services company Square (NYSE: SQ) announced on Monday that it would permanently allow many of its employees to work from home, even after the pandemic ends. The move comes just a week after a similar announcement was made by social media platform Twitter (NYSE: TWTR). "We want employees to be able to work where they feel most creative and productive," a spokesperson for the fintech said.
"We want employees to be able to work where they feel most creative and productive," a Square spokesperson said in an emailed statement. Tech giants like Facebook Inc and Alphabet Inc's Google have allowed most of their employees to work remotely until the end of this year.
(Bloomberg) -- Bank of America double-downgraded payments stock Square Inc. to underperform from buy on concern small and medium businesses like restaurants, retailers and salons will struggle to stay afloat once they’ve spent government Covid-19 crisis funds.“A significant number” of small and medium outfits may struggle to survive, especially if the U.S. economy only partially reopens and firms are limited to 25% to 50% occupancy, analyst Jason Kupferberg wrote in a note.“The extent of SMB churn is hard to quantify, and likely won’t be known for perhaps another 6 months, but we note that 75% of Square’s payment volume comes from merchants with less $500,000 in annual card volumes,” he said.He also flagged Square’s 26% rally so far this year, which compares with a 9% decline for the S&P 500. The stock may have “moved too far and too fast relative to its near-term fundamental prospects,” he said.In the same note, Kupferberg also became the sole bear on payroll processor Automatic Data Processing Inc., cutting his rating to underperform from neutral due to “extreme stress on employment markets.” ADP is exposed to the current recession not just because of the number of employees on its clients’ payrolls, he said, but also in terms of client retention, new bookings and lower float income.He added that Paychex Inc.’s business update call on Tuesday may be a “negative catalyst” for ADP, as Paychex will probably pre-announce a guidance miss for the quarter ended May 31. Kupferberg rates Paychex underperform too, as 99% of its revenue comes from U.S. small and medium businesses averaging 16 employees.Square pared a decline of as much as 2.5% in early Monday trading, while ADP nearly erased a gain of as much as 2% and Paychex rose as much as 4%. Stocks rose across the board on optimism about an experimental vaccine, and as major economies took further steps toward re-opening and the Fed stressed it has more ammunition to combat a downturn.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
In this episode of Industry Focus: Financials, host Jason Moser and Fool.com contributor Matt Frankel, CFP, dive into the numbers that investors need to know. Then the pair answer a listener question on the seemingly irrational optimism in the stock market and discusses why they have Disney (NYSE: DIS) and Sony (NYSE: SNE) on their radar right now. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center.
In this episode of Motley Fool Money, Chris Hill and Motley Fool analysts Ron Gross, Andy Cross, and Jason Moser take a look at the latest headlines from Wall Street and go through earning reports of companies in a range of industries. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center. To get started investing, check out our quick-start guide to investing in stocks.
In this episode of MarketFoolery, Chris Hill chats with Motley Fool analyst Bill Barker about the latest earning releases. They first look at digital transactions and how they are growing as people move away from cash.
Square's (NYSE: SQ) stock recently rallied after the digital payments company posted its first-quarter earnings. Its revenue rose 44% annually to $1.38 billion, beating estimates by $80 million and exceeding its own guidance for 36%-40% growth.
The big reversal of fortune in the latter metric was due to a dramatic increase in reserves for transaction and loan losses. This has been a widespread trend among banks and financial-services providers lately, as defaults are expected to climb higher due to the economic damage wrought by the SARS-CoV-2 coronavirus. On average, analysts tracking Square stock had been estimating $1.29 billion on the top line for the quarter and an adjusted per-share net profit of $0.13.
(Bloomberg) -- Shares of PayPal Holdings Inc. rallied as much as 13%, reaching a record high in early trading on Thursday, with analysts zeroing in on the payments company’s strong April trends and growth in electronic transactions across the board.Square Inc. rose as much as 8.6% to the highest since early March, as it benefited from some of that, too. But worries about credit and its small-and-medium sized business market factored in as well.Both are outperforming the market so far this year, with PayPal soaring 34% and Square up 19%, even as the S&P 500 has shed 11%, stung by the economic impacts of the Covid-19 pandemic.Here’s a sample of the latest commentary:Morgan Stanley, James FaucetteFor PayPal, “April really took off,” Faucette wrote in a note, “as consumers settled into modified behaviors.”Surging online activity and changes in behavior mean there’s a chance the firm can boost offline acceptance, which is key to maintaining its “pole position in the development of digital wallet services,” he said. That’s along with a big jump in new account activations, which quickened the pace of existing business growth.On the other hand, the downturn “makes Square look like a bank,” Faucette said, with loss reserves wiping out profit. Plus, there’s a looming “bank-like fall in loans to merchant borrowers,” while Cash App, which offers consumers bank-like services, had good results. He added that the Paycheck Protection Program gave Square Capital revenues “minor relief.”Faucette rates PayPal shares overweight and Square equal-weight.MoffettNathanson, Lisa EllisEllis flagged PayPal’s disclosure that May 1 was the company’s single largest volume day in its history, topping last Black Friday and Cyber Monday, while April core checkout button volumes rose more 43%, more than double pre-crisis growth rates.“In a sea of quite depressing payments results,” with Visa Inc. and Mastercard Inc. global card volumes trending down 20% to 25% through April, “God Bless the PayPal Checkout Button,” she said. “How goes the Checkout Button, goes PayPal.” She rates shares buy, with a target price of $170.Compass Point, Michael Del GrossoPayPal’s “April update was all that mattered and it didn’t disappoint,” Del Grosso wrote. Also, management commentary pointing to “durable” consumer shifts to online spending bolstered his view that the “current crisis only accelerated the longer-term, secular, consumer shift to e-commerce.”Del Gross sees PayPal as a “longer-term winner post-Covid.”However, Square’s expenses were materially higher than forecast due to a higher loan loss provision, and April’s worse-than-expected gross payment volume update signaled “material deceleration.” Plus, April’s Cash App new user growth may be “transitory once the effects of stimulus payments wane,” he added.He rates PayPal shares buy, with a target of $150; rates Square sell, with a target of $50.Guggenheim, Jeff Cantwell“Payment flows are shifting to e-commerce and digital as the world economy reorganizes in response to Covid-19,” Cantwell wrote, leaving PayPal “extremely well-positioned to grow TPV rapidly.”Bullish developments included adding a record number of net new active users in April at 7.4 million and record levels of customer engagement on the platform. Cantwell raised his PayPal price target to $152 from $123 and rates shares buy.KBW, Sanjay Sakhrani“We believe the payments industry is a beneficiary of the post Covid-19 changes society will implement, which will include a diminishing dependence on cash and check usage,” Sakhrani wrote. “Within that paradigm, PayPal should be a disproportionate beneficiary.” He rates shares outperform and lifted his price target to $152 from $120.(Updates first through third paragraphs for trading.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Rosenblatt Securities analyst Kenneth Hill maintained a Hold rating on Square Inc (NYSE:SQ) on Wednesday, setting a price target of $67, which is approximately 5.20% above the present share price of $63.69.
(Bloomberg) -- Shopify Inc. has become Canada’s largest public company, soaring past the nation’s largest bank amid growing conviction the future of retailing lies online.The e-commerce company’s shares jumped 6.8% to a record, pushing its market value to C$121.6 billion ($86.1 billion). That nudged it past Royal Bank of Canada, which was up 0.1% to a market value of C$120.8 billion.Shopify’s soared Wednesday after reporting first-quarter revenue that topped analysts’ expectations as it brought more businesses online during the coronavirus pandemic.Sales grew by 47% to $470 million from the same quarter a year ago, Ottawa-based Shopify said in a statement Wednesday. Analysts had expected about $443 million, according to data compiled by Bloomberg.Shares of the company, which launched its Shopify platform in 2006, have doubled this year, making it the best-performing Canadian company on the S&P/TSX Composite Index. Shares of Royal Bank, incorporated in 1869, have dropped 17%.“We are working as fast as we can to support our merchants by re-tooling our products to help them adapt to this new reality,” Chief Executive Officer Tobi Lutke said in the quarterly release.The key metric of gross merchandise volume, which represents the value of all goods sold on the platform, increased 46% or $5.5 billion to $17.4 billion from a year earlier. Analysts were expecting a 40% increase on a year-over-year basis to $16.9 billion.Still, Shopify noted the drop in point-of-sale purchases from bricks-and-mortar stores and questioned the sustainability of some of the online switch.Shopify suspended its 2020 financial guidance in April. Today, it said it is closely monitoring the impact rising unemployment has on new shop creation on its platform and consumer spending, the rate at which consumer spending habits transition to online shopping and the ability of brick-and mortar retail merchants to shift sales online.Moving OnlineIt reported gross merchandise volume through its point-of-sale channel fell 71% between March 31 and April 24 as stores shut down through the pandemic. Companies also downgraded from its Shopify Plus plan to cheaper-priced options.Yet, the switch online appeared fairly painless for many. Shopify retailers managed to replace 94% of the volume with online sales, according to the company statement.“Retail merchants are adapting quickly to social-distance selling, as 26% of our brick-and-mortar merchants in our English-speaking geographies are now using some form of local in-store/curbside pickup and delivery solution, compared to 2% at the end of February,” Shopify said.Colin Sebastian, an analyst at Robert W. Baird, said the strong results reinforced his firm’s positive view of Shopify’s growth strategy. Its ability to adapt quickly was also a reflection of “strong product and engineering capabilities.” But sustainability of the recent sales growth and how that translated to revenues will be key, he added.In April, its Chief Technology Officer Jean-Michel Lemieux said the e-commerce company was seeing U.S. Black Friday-type of traffic as it adds “thousands” of businesses to its platform amid the coronavirus outbreak. Many brick-and-mortar businesses have used Shopify to keep their companies afloat as nationwide lockdowns force retail store closures across the world.Shopify offers tools to allow businesses to open their own digital stores across multiple channels, including social media. The company launched a redesigned point-of-sale service earlier this month that brings online and offline sales together, offers curbside pickup and local delivery options and greater flexibility to move inventory between various locations. Its rivals include tech giant Amazon.com Inc. and Square Inc.Even so, there has been a growing sense that Shopify’s stock rally may be overdone. Last week, Canaccord Genuity downgraded the stock, warning “we’re not entirely convinced” that gross merchandise volume “is as bulletproof as perceived.Read more: Shopify Too Hot to Handle for Some Analysts After Latest SurgeThe company said new stores created on it platform grew 62% between March 13 and April 24 versus the prior six weeks, driven by both first time and established sellers. But it added, “it is unclear how many in this cohort will sustainably generate sales, which is the primary determinant of merchant longevity on our platform.”Adjusted net income rose to $22.3 million, or 19 cents a share in the quarter from 6 cents a year earlier.(Updates with market values.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The stock market has been in turmoil for two months now, and investors are searching for companies that still have a lot of upside. Axon Enterprise (NASDAQ: AAXN), Shopify (NYSE: SHOP), and Square (NYSE: SQ) are all high-growth stocks, and there are reasons they will be even better off when the economy returns to normal. There are a lot of businesses that will be disrupted by COVID-19 in 2020, but law enforcement isn't one of them.