Streaming Services Hit a Crossroad

2020 was a great year for streaming service companies, as quarantined populations turned to binge watching shows old and new. With the economy reopening, however, more options are available to consumers, who want to get out of the house. That creates a challenge for streaming companies to keep their subscribers. For instance, in its latest earnings on Tuesday, Netflix (NFLX) reported lighter-than-expected subscriber growth, the key metric for streaming companies. However, Netflix is already working to develop gaming. While some feared this ...
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Is Big Blue Finally a Buy?

What’s old can often be new again in tech. Case in point? International Business Machines (IBM). The tech giant is starting to show some signs of life as it pivots away from computer mainframes and more towards software and services. That allowed the company to see a 3 percent rise in revenue compared to a year ago. Compared to its history of losses over the past few years, it looks like a start in the right direction. However, despite those solid headline ...
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This Original Silicon Valley Giant Might Jump to New Heights

Wall Street loves nothing more than a good rumor. Rumors about a potential merger often involve multiple companies. That includes the two companies that might merge, as well as any competitors or big institutions that might be investing. Last week, a rumor broke that Intel (INTC) is looking to buy GlobalFoundries, a privately held firm. If that’s the case, shares might end up going on a winning streak once again. That’s because GlobalFoundries is a big player in manufacturing semiconductors, which would ...
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Meme Trade Absurdity Strikes Again

Shares of GameStop (GME) dropped heavily last week, adding to weeks of sagging since its last earnings report. One potential culprit? Netflix (NFLX), which announced that it hired a former executive from the video game space to develop video games for the streaming giant. Shares of both companies ended up falling the day the news was announced. Many analysts have questioned the move, given the high development costs of video games from scratch. With rising competition in the streaming space, it’s clear ...
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Strong Airline Earnings Point to Solid Future Returns

The airline industry is back. Earnings season is still unfolding, but the airlines, which looked like they may be facing years of challenge ahead at the start of the pandemic, are already at or near profitability. Delta Airlines (DAL) has led the way with earnings so far. The company earned $1.02 per share, excluding special items on its earnings. The move comes as domestic travel rebounds to pre-pandemic levels. Given that Delta was expected to lose $1.33 per share, the results are ...
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Global Trends Point to This Low-Cost App Giant

Pandemic restrictions are ending globally, which points to a potential revival, however slowly, of global travel. While some may be wary of international travel, others may be sick of staying at home or traveling domestically. Either way, those trends bode well for the larger travel and tourism industry. With business picking up, the fundamentals of many companies will likely improve, leading to higher share prices for those stocks. One big potential winner here is Airbnb (ABNB). Many who resume traveling may want ...
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This Return-to-Normal Trend Points to Further Big Profits

The entertainment industry has been hit hard thanks to the pandemic. While many areas are resuming in-person forms of entertainment once again, the best gauge for how the industry is faring is by looking at box office receipts. While movies have declined somewhat in the past few years thanks to video games and streaming, it’s starting to show signs of a return to a pre-pandemic life. Case in point? The Walt Disney Company (DIS). The company just reported its latest release, Black ...
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Big Tech Has Unlocked the Secret to Staying Big— Or Even Getting Bigger

Historically, most companies focused on one product or service. That eventually saturates the market. Today’s tech companies, particularly software ones, are able to break that cycle with new products or better upgrades to existing software. Companies that also pivot to other opportunities can create big value for themselves and shareholders as well. That’s why so many of today’s big tech names have continued to increase in value, even as some of them have become multi-trillion-dollar companies. One up-and-comer for this club is ...
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