Archives for February 4, 2020

Facebook, Inc. (NASDAQ:FB) Shares Purchased by First Merchants Corp

by

First Merchants Corp boosted its holdings in Facebook, Inc. (NASDAQ:FB) by 63.7% in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 2,167 shares of the social networking company’s stock after purchasing an additional 843 shares during the quarter. First Merchants Corp’s holdings in Facebook were worth $444,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Abundance Wealth Counselors boosted its stake in Facebook by 26.7% in the 4th quarter. Abundance Wealth Counselors now owns 1,565 shares of the social networking company’s stock worth $321,000 after buying an additional 330 shares during the last quarter. Charter Research & Investment Group Inc. boosted its stake in Facebook by 2.4% in the 4th quarter. Charter Research & Investment Group Inc. now owns 9,596 shares of the social networking company’s stock worth $1,970,000 after buying an additional 225 shares during the last quarter. Rice Partnership LLC boosted its stake in Facebook by 3.9% in the 4th quarter. Rice Partnership LLC now owns 4,545 shares of the social networking company’s stock worth $933,000 after buying an additional 171 shares during the last quarter. First American Trust FSB boosted its stake in Facebook by 1.2% in the 4th quarter. First American Trust FSB now owns 18,511 shares of the social networking company’s stock worth $3,799,000 after buying an additional 219 shares during the last quarter. Finally, Emerald Mutual Fund Advisers Trust acquired a new stake in Facebook in the 4th quarter worth about $131,000. 63.86% of the stock is owned by hedge funds and other institutional investors.

Several equities analysts have recently weighed in on FB shares. Barclays set a $260.00 price objective on Facebook and gave the company a “buy” rating in a research note on Thursday. Pivotal Research lowered Facebook from a “buy” rating to a “hold” rating and reduced their price objective for the company from $245.00 to $215.00 in a research note on Thursday. BMO Capital Markets reaffirmed a “positive” rating and issued a $200.00 price objective on shares of Facebook in a research note on Tuesday, January 28th. Citigroup reaffirmed a “buy” rating and issued a $240.00 price objective on shares of Facebook in a research note on Tuesday, December 3rd. Finally, Robert W. Baird reaffirmed a “buy” rating and issued a $230.00 price objective on shares of Facebook in a research note on Thursday. Two analysts have rated the stock with a sell rating, three have given a hold rating, forty-four have assigned a buy rating and one has given a strong buy rating to the stock. Facebook has an average rating of “Buy” and an average price target of $246.29.

Shares of Facebook stock traded up $1.85 during trading on Monday, hitting $203.76. The stock had a trading volume of 8,622,702 shares, compared to its average volume of 13,397,070. The company has a debt-to-equity ratio of 0.09, a current ratio of 4.66 and a quick ratio of 4.66. The firm has a market cap of $575.80 billion, a P/E ratio of 31.64, a PEG ratio of 1.34 and a beta of 1.05. The business has a fifty day moving average of $211.43 and a two-hundred day moving average of $195.42. Facebook, Inc. has a fifty-two week low of $145.70 and a fifty-two week high of $224.20.

Facebook (NASDAQ:FB) last announced its quarterly earnings data on Wednesday, January 29th. The social networking company reported $2.56 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $2.53 by $0.03. The business had revenue of $21.08 billion during the quarter, compared to analyst estimates of $20.90 billion. Facebook had a return on equity of 20.59% and a net margin of 26.15%. The company’s revenue was up 24.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $2.38 earnings per share. As a group, research analysts forecast that Facebook, Inc. will post 9.3 earnings per share for the current year.

In other news, CAO Susan J.S. Taylor sold 1,133 shares of the business’s stock in a transaction on Wednesday, November 20th. The stock was sold at an average price of $198.58, for a total transaction of $224,991.14. Following the sale, the chief accounting officer now directly owns 1,505 shares of the company’s stock, valued at $298,862.90. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Mark Zuckerberg sold 122,855 shares of the business’s stock in a transaction on Wednesday, November 6th. The stock was sold at an average price of $192.22, for a total value of $23,615,188.10. The disclosure for this sale can be found here. Insiders have sold 267,358 shares of company stock worth $51,471,739 over the last ninety days. 14.53% of the stock is owned by insiders.

About Facebook

Facebook, Inc provides various products to connect and share through mobile devices, personal computers, and other surfaces worldwide. The company’s products include Facebook that enables people to connect, share, discover, and communicate with each other on mobile devices and personal computers; Instagram, a community for sharing photos, videos, and messages; Messenger, a messaging application for people to connect with friends, family, groups, and businesses across platforms and devices; and WhatsApp, a messaging application for use by people and businesses to communicate in a private way.

AT&T Inc. (NYSE:T) Shares Bought by Hamilton Wealth LLC

by

Hamilton Wealth LLC grew its holdings in AT&T Inc. (NYSE:T) by 1.8% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 105,146 shares of the technology company’s stock after purchasing an additional 1,845 shares during the quarter. AT&T comprises approximately 2.8% of Hamilton Wealth LLC’s portfolio, making the stock its 14th largest holding. Hamilton Wealth LLC’s holdings in AT&T were worth $4,109,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in T. Nuveen Asset Management LLC raised its position in shares of AT&T by 1,723.1% during the 2nd quarter. Nuveen Asset Management LLC now owns 46,051,038 shares of the technology company’s stock valued at $1,543,169,000 after buying an additional 43,525,113 shares during the period. California Public Employees Retirement System raised its position in shares of AT&T by 18.1% during the 3rd quarter. California Public Employees Retirement System now owns 28,020,401 shares of the technology company’s stock valued at $1,060,292,000 after buying an additional 4,292,231 shares during the period. State of Tennessee Treasury Department raised its position in shares of AT&T by 63.9% during the 3rd quarter. State of Tennessee Treasury Department now owns 5,692,964 shares of the technology company’s stock valued at $215,422,000 after buying an additional 2,220,433 shares during the period. Comerica Bank raised its position in shares of AT&T by 82.8% during the 3rd quarter. Comerica Bank now owns 3,762,792 shares of the technology company’s stock valued at $138,546,000 after buying an additional 1,704,159 shares during the period. Finally, Poplar Forest Capital LLC raised its position in AT&T by 233.3% in the third quarter. Poplar Forest Capital LLC now owns 1,459,076 shares of the technology company’s stock valued at $55,211,000 after purchasing an additional 1,021,371 shares during the period. 53.60% of the stock is currently owned by institutional investors and hedge funds.

Shares of AT&T stock traded down $0.66 during trading on Monday, hitting $36.96. The stock had a trading volume of 40,779,267 shares, compared to its average volume of 35,503,738. The company has a market capitalization of $269.99 billion, a PE ratio of 19.45, a P/E/G ratio of 2.33 and a beta of 0.62. AT&T Inc. has a 1 year low of $28.92 and a 1 year high of $39.70. The stock has a 50 day simple moving average of $38.60 and a 200 day simple moving average of $37.17. The company has a quick ratio of 0.74, a current ratio of 0.80 and a debt-to-equity ratio of 0.75.

AT&T (NYSE:T) last announced its quarterly earnings results on Wednesday, January 29th. The technology company reported $0.89 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.88 by $0.01. AT&T had a net margin of 7.67% and a return on equity of 13.37%. The firm had revenue of $46.82 billion for the quarter, compared to analyst estimates of $47.06 billion. During the same quarter in the previous year, the firm posted $0.86 EPS. The business’s revenue for the quarter was down 2.4% on a year-over-year basis. As a group, equities analysts expect that AT&T Inc. will post 3.63 earnings per share for the current fiscal year.

The company also recently declared a quarterly dividend, which will be paid on Monday, February 3rd. Stockholders of record on Friday, January 10th will be issued a dividend of $0.52 per share. This is a boost from AT&T’s previous quarterly dividend of $0.51. This represents a $2.08 annualized dividend and a dividend yield of 5.63%. The ex-dividend date of this dividend is Thursday, January 9th. AT&T’s payout ratio is 58.26%.

T has been the topic of a number of research analyst reports. Moffett Nathanson lowered AT&T from a “neutral” rating to a “sell” rating and set a $30.00 target price on the stock. in a research report on Tuesday, November 19th. Standpoint Research lowered AT&T from a “buy” rating to a “hold” rating in a research report on Friday, November 1st. SunTrust Banks boosted their price target on shares of AT&T to $36.00 and gave the stock a “hold” rating in a research note on Tuesday, October 29th. JPMorgan Chase & Co. boosted their price target on shares of AT&T from $39.00 to $42.00 and gave the stock an “overweight” rating in a research note on Friday, November 1st. Finally, Royal Bank of Canada restated a “hold” rating and issued a $38.00 price target on shares of AT&T in a research note on Thursday. Two equities research analysts have rated the stock with a sell rating, ten have issued a hold rating and nine have assigned a buy rating to the stock. The stock presently has a consensus rating of “Hold” and an average price target of $39.25.

AT&T Profile

AT&T Inc provides telecommunication, media, and technology services worldwide. The company operates through four segments: Communications, WarnerMedia, Latin America, and Xandr. The Communications segment provides wireless and wireline telecom, video, and broadband and Internet services; video entertainment services using satellite, IP-based, and streaming options; and audio programming services under the AT&T, Cricket, AT&T PREPAID, and DIRECTV brands to residential and business customers.

Teck targets 2050

by

Teck Resources sets target to be ‘carbon neutral’ by 2050

The Vancouver-based mining company proposing to build the massive Frontier oilsands mine in northeastern Alberta has set a target to be “carbon neutral” by 2050.

Teck Resources Ltd., which is awaiting a decision from the federal government on Frontier expected this month, says it will try to achieve its goal by first avoiding the production of emissions and then by minimizing or eliminating what it does produce.

It says it will look at alternative ways of moving materials at its mines, using cleaner power sources and implementing efficiency measures, while producing more metals including copper for electric vehicles and renewable power generation.

“Setting the objective to be carbon neutral by 2050 is an important step forward in our commitment to reducing emissions and taking action on climate change,” Teck CEO Don Lindsay said Monday in a news release.

“Climate change is a global challenge that our company and our industry need to contribute to solving.”

Lindsay wasn’t available for an interview.

At an investment conference last week in Banff, Lindsay said winning federal approval for the Frontier project doesn’t necessarily mean it will be built — the company will also need adequate pipeline access, the right commodity prices and a partner to share costs before proceeding.

He defended Teck’s environmental record at the event, noting money manager BlackRock Inc. is one of its top investors and it has the support of CEO Larry Fink, who wrote recently that “climate change has become a defining factor in companies’ long-term prospects.”

“We have carbon, no question about it. We have coal and we have oil,” Lindsay said in Banff.

“But the distinction is we have the good coal, not the bad coal. I talked to Larry Fink last week and BlackRock has made their announcements, but it’s about thermal coal. We have 99 per cent high-quality hard coking coal, steelmaking coal … that institution is one of our top five shareholders and they still are and they won’t be selling.”

Teck separately announced Monday it and its partners have signed a long-term power purchase agreement for their new copper mining project in Chile, which will result in about half of its operating needs being satisfied by renewable energy sources.

Teck’s ownership of 21.3 per cent of the Fort Hills oilsands mining project operated by Suncor Energy Inc., and its pursuit of the Frontier project makes its pledge hollow, said Greenpeace Canada campaigner Keith Stewart on Monday.

“If Teck is serious about this commitment, then they need to get out of the oil business,” he said in an email.

“You can’t promise to stop using internal combustion engines in your own operation as part of being zero-emissions, and then go out and invest $20 billion to build a new 260,000 barrels per day oilsands mine to put gas and diesel in other people’s vehicles for the next half-century.”

The Frontier mine north of Fort McMurray, Alta., is expected to produce about four million tonnes of greenhouse gas emissions per year for more than 40 years.

In a report on Monday, consulting firm Deloitte listed “The path to decarbonization” as one of 10 key challenges facing the mining sector in 2020 and beyond.

Teck’s pledge is the latest in a series of carbon-reduction promises from industrial companies.

Last month, oilsands producer Cenovus Energy Inc. said it will aim to achieve “net zero” greenhouse gas emissions by 2050. It added it will reduce its emissions per barrel by 30 per cent by 2030, while keeping its total emissions flat.

Spanish energy giant Repsol, which produces oil and gas in Canada, announced late last year it would try to achieve net zero emissions globally by 2050 through technology, increases in the production of biofuels and chemicals with low carbon footprint, and expansion of low-carbon electricity generation.

Torstar selling Spec building

by

Torstar Corp. selling Hamilton Spectator property for $25.5M

Torstar Corp. has signed a deal to sell the land and building used by the Hamilton Spectator newspaper for $25.5 million.

The sale follows a move by Torstar last spring to close its Hamilton printing and mailroom operations.

Torstar said last year that if the property was sold it expected the Spectator will continue to operate a head office in a new location in the Hamilton area.

The sale is subject to customary closing conditions and adjustments and is expected to be completed in the first quarter of this year.

Torstar publishes the Toronto Star as well as six regional daily newspapers in Ontario, including the Spectator, and more than 80 weekly community newspapers in Ontario.

Torstar holds an investment in The Canadian Press as part of a joint agreement with subsidiaries of the Globe and Mail and Montreal’s La Presse.

More Than Half of Americans Are in the Dark About This Important Retirement Factor

by

We’ve all heard that it’s a bad idea to put all your eggs in one basket, and the saying holds true for nest eggs as well. However, not everyone understands how the concept works when it comes to retirement saving, and that can be a costly mistake.

More than half (55%) of Americans don’t know how their retirement investments are allocated, according to a recent survey from Schroders. Even more worrisome, though, is that 43% of survey respondents say they don’t plan to adjust their asset allocation as they head into retirement.

Not understanding how your assets are allocated can result in being overly risky or overly conservative in your investments — both of which can be financially dangerous and hurt your long-term savings.

How should your retirement fund assets be allocated?

Asset allocation essentially refers to where, exactly, all your funds are invested. To protect your nest egg, you’ll want to diversify your investments as much as possible.

If you invest your life savings in a single stock and that stock plummets, you’ve suddenly lost a lot of cash. But if you diversify your investments and spread your cash across hundreds of different stocks and bonds, you’re less likely to lose a lot of money if some of those investments go south.

Also, your asset allocation shouldn’t be set in stone, because your risk tolerance will change as you get older. When you’re young and still have decades before you can even think about retiring, you’ll want to invest more heavily in stocks because you can afford to be riskier. The stock market can be bumpy in the short-term, but when your money has decades to grow, your savings will likely see a strong upward trend over time.

As you get older and closer to retirement age, your portfolio should be less focused on stocks and more heavily weighted toward bonds. Bonds are more conservative, so although your investment gains won’t be as significant, you’re less likely to see your savings crash and burn if the stock market takes a tumble.

However, it’s important to note that you should still invest at least a portion of your portfolio in stocks even as you enter retirement. Your investments won’t stop growing simply because you’ve retired, and you’ll want your money to last at least another decade or two (or three, depending on how long you live). If you’re too conservative with your investments, you won’t see the growth you need to make your savings last as long as they need to.

The target-date fund: A popular asset allocation solution

If the thought of managing all your investments is intimidating, you’re not alone — many workers don’t want to have to actively manage their savings and make sure all their money is allocated correctly. That’s why target-date funds are an attractive option for many investors.

A target-date fund is an investment option offered within most 401(k) and IRA plans. It allows you to simply input the year you intend to retire, and everything else is taken care of for you. The fund will automatically adjust your asset allocation year after year to get more conservative the closer you get to your target retirement date, so all you have to do is contribute your cash and let your investments do their thing.

That said, there are some potential drawbacks to target-date funds. For example, if you end up retiring sooner than you expected, perhaps due to unexpected health issues or job loss, your target date will no longer be accurate — and that could throw off your entire retirement plan. Also, target-date funds are typically made up of various mutual funds, some of which may charge high fees that can eat into your savings.

This isn’t to say that target-date funds are a bad investment. For many workers looking for a straightforward way to make sure their investments are diversified properly, this type of fund is the right way to go. But no investment is 100% hands-off, so it’s still wise to keep an eye on your goals and make adjustments to your retirement fund when necessary.

Even if you’re saving consistently for retirement, your money may not go as far as you think it will if you’re not investing in the right places. By making sure your assets are allocated well and your portfolio contains just the right amount of risk versus reward, you can ensure you’re making the most of every dollar.

These 3 common tax myths could actually hurt you

by

With tax season officially open as of Jan. 27, taxpayers may feel a familiar sense of anxiety. In fact, about 1 in 3 taxpayers told Credit Karma Tax in a recent survey they typically get anxious about prepping their taxes.

Tax anxieties are higher among younger Americans, with the survey finding that more than 40% of the millennial and Generation Z groups experience tax anxiety, compared with fewer than 30% of Generation X. The reason could be tied to experience, since Gen X – taxpayers between about 40 to 55 – have many more years of filing returns under their belt.

Fueling those anxieties are several common misconceptions that can hurt taxpayers, either by needlessly adding to their worries or even costing them money.

At the heart of the issue is a complicated tax system that the Bipartisan Policy Center – a think tank that integrates ideas from both Democrats and Republicans – says literally costs Americans $200 billion each year in time and money spent to prepare their returns. That estimate excludes tax payments, it says.

“A lot of the confusion around tax filing comes from a general lack of understanding of how taxes work,” says Dana Marineau, financial advocate at Credit Karma. “This was apparent in our last survey surrounding refunds, where we found that more than half of taxpayers don’t realize where their tax refunds come from.”

That can hurt taxpayers if they don’t understand their refunds reflect money they already paid to Uncle Sam. In other words, refunds are an interest-free loan to the U.S. government courtesy of taxpayers. While tax refunds can offer a chance to catch up on bills or buy something special, some consumers might be better off adjusting their withholding to avoid overpayment of taxes, some experts say.

Taxes don’t have to be so anxiety-laden, tax experts note. Clearing up several misconceptions can help.

Myth 1: A mistake on my taxes will affect my credit score

About one-third of taxpayers mistakenly believe that an error on your tax filing will hurt your credit score, Credit Karma Tax found in its recent survey. But that’s not the case, tax experts say.

“Everyone understands a credit score is important, but they may not understand what goes into it,” says Matt Sotir, a financial professional at Equitable Advisors. “It’s not irrational they would think it would impact it, but tax return liens are excluded from credit scores now.”

That change occurred in 2018, when the three national credit bureaus – Experian, TransUnion and Equifax – removed all tax liens, or debts owed to the IRS, from credit reports because of research indicating problems with accuracy.

In other words, consumers shouldn’t needlessly fret that an error on their tax returns will impact their credit score. Credit scores “are the credit bureaus’ best guess of whether you will pay your bills on time, and that has nothing to do with paying your state and federal taxes,” Marineau adds.

Myth 2: If I file a tax extension, I have until Oct. 15 to pay the IRS

Last year, more than 1 in 10 taxpayers requested a six-month extension for filing their taxes. A common misconception is that the extension also gives you more time to pay the IRS, but that’s not the case.

Typically, taxpayers request an extension if they need more time to gather documents or have complicated taxes that require more prep time. But the IRS still expects you to pay any owed taxes by April 15, which sometimes isn’t understood by taxpayers, says Luke Sotir, a financial professional at Equitable Advisors along with Matt Sotir, his brother.

“It doesn’t change your obligation to pay your taxes to the IRS,” Luke Sotir notes.

And take note: Penalties and interest can accrue if you fail to pay the IRS by April 15, regardless of whether you filed an extension.

Myth 3: I don’t need to adjust my tax withholding again

Under the first full year of the new tax law, taxpayers were encouraged by the IRS to adjust their withholding on the W-4s with employers. But even if you checked last year, you still may need to make an adjustment in 2020, especially if you’ve added side income through gig work or a second job.

In fact, the IRS redesigned the W-4 for 2020, and says that taxpayers with more than one job or households where both spouses have jobs may need to increase their withholding. Earning extra income through a second job, for example, can boost your income, putting you in a higher tax bracket. That places you at risk for underpayment of taxes unless you adjust your withholding.

Checking your withholding early in 2020 can help you prepare for the 2020 tax year and avoid unpleasant surprises next April.