Why it matters to stock investors when corporate mergers fail

Another reason mergers and acquisitions fail: “dis-synergies” (a term you’ll never see in an acquisition press release).

When a company is acquired, the purchase price is negotiated during long dinners at fine restaurants and comes with a control premium that is higher than the latest stock quotation. When we purchase shares of a stock, we pay a price that is within pennies of the last trade.

Americans value a free gas fill-up over a cash giveaway — but that’s no comfort to risk-averse investors

He cautions, however, that “there is a higher level of uncertainty this year due to issues like trade with China, [the] situation in Venezuela” and production cuts pledged by members of the Organization of Petroleum Exporting Countries and other major oil producers.

“When given the choice, respondents would rather receive a free fill-up than find $20 cash on the street or get their dinner bill paid for,” the study said.

Facebook Could Pay Billions Over Privacy. Investors Aren’t Too Worried.

Facebook faces a record multibillion-dollar fine from the Federal Trade Commission, but investors don’t seem deeply concerned.

Shares of Facebook (ticker: FB) were down 1.3% to $161.77 on Friday afternoon following an article late Thursday saying the social-networking giant and FTC officials are in discussions to settle an agency investigation into Facebook’s privacy practices. The story, published by the Washington Post, made it clear that the payment could be much larger than had been expected.

Amazon Is a Risk for Almost Every Stock and Sector

For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.

The key to avoiding Amazon heartache may be to correctly identify which industries are most at risk and which could actually benefit from its growth. It’s as if investors need an Amazon-risk box to check before making any investment.

Uber posts $50 billion in annual bookings as profit remains elusive...

Uber Technologies Inc had $50 billion in total bookings for its ride-service and food-delivery businesses last year, a testament to the size and global reach of the company as it prepares to woo investors in one of the biggest public stock listings to date.

But, he said, Uber’s business still represents a fraction of global consumer spending on transportation, and “evidence that Uber is making significant inroads into changing behaviors” is critical to its long-term success.

Investors grab Brexit bargains among UK housebuilders

Daring investors are dipping their toes back into UK housebuilders, attracted by high dividend yields and low valuations even though they are seen as among the most vulnerable sectors in the event of a messy Brexit.

As Britain’s exit from the EU remains shrouded in fog, housebuilders have been top targets for short sellers betting on a fall in the shares, but recent data shows short positions have fallen and some investors are buying back in.

Lyft to woo investors with fast U.S. growth in IPO race with Uber

Lyft Inc will pitch investors on its fast growth in the United States as it seeks to beat out Uber Technologies Inc to become the first publicly listed ride-hailing company, according to people familiar with the matter.

Lyft plans to tell investors its U.S. market share is approaching 40 percent, up from 35 percent in early 2018, the people said. The company has pushed aggressively into smaller and mid-sized cities. Lyft currently serves more than 600 American and Canadian cities, three times more than in early 2017.

Nvidia bets on a big rebound, but should investors believe it?

Nvidia Corp. investors are going to have to make a big bet that the company’s forecast is going to pan out after a disappointing finish to 2018.

The news sparked a big gain for Nvidia stock in after-hours trading, with shares gaining more than 8% at times during the extended session. “As we leave the bottom and leave this inventory issue behind us, we’re super well-positioned,” Nvidia Chief Executive Jensen Huang confidently said on Thursday’s conference call.

Here’s Some Good Apple iPhone News, but There’s a Catch

That could be good news for Apple (ticker: AAPL) investors, though it doesn’t address demand issues in China that have been a major concern this year.

For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.

Should stock-market investors freak out over an ‘earnings recession’ These charts say no

The potential for a 2019 earnings recession — or two consecutive quarters or more of year-over corporate earnings declines—is providing another source of worry for investors uncertain about the durability of the stock market’s rebound from a December rout.

Instead, the S&P 500 posted an average gain of 3.9% in the three months ahead of the first quarterly earnings fall, and rose by an average 6.6% and 8.5%, respectively, in the six- and 12-month periods, with those returns even higher when economic recessions are taken out of the mix, Belski said.

The most popular stock market indicator just gave a buy signal — ignore it

• The indicator derives its power not from anything innate in the stock market, but from the legions of investors who believe in it.

Please see “If you own Apple, Amazon, Facebook or AMD, look out below.”. • In deciding whether to jump into the stock market based on this indicator, in my opinion, investors ought to pay more attention to the second chart linked above. Please see “You can bet that the U.S.-China trade deal won’t help stocks — here’s why.”. • Legions of investors who believe in the 200-day moving average will have an eye-opener if they were to look at the third chart linked above.

Classic cars you can buy shares in... just like a stock

Rally Rd. is new type of alternative investment platform that allows retail investors to buy shares in classic cars the company has identified with upside potential.

After a 90-day lockout period, trading windows open every month or so where stakeholders can resell their shares through a marketplace housed on the Rally Rd. app. When the company gets an offer on a car, or determines the time is right to sell, it polls shareholder interest and distributes the proceeds if it closes a deal.

Bullish stock investors ‘too sanguine’ about U.S.-China trade talks, warns fund manager

POTUS’s market-pleasing deadline squashiness may hinge a lot on how the next couple of days go between China Vice Premier Liu He, U.S. Trade Rep. Lighthizer and Treasury Secretary Steven Mnuchin:. No pressure guys, but investors seem to have a lot riding on the trade-optimism.

Onto our call of the day, from Ronald Temple, head of U.S. equity and co-head of multiasset at Lazard Asset Management, who worries investors are “too sanguine” about trade, as he flags another fast-approaching and overlooked deadline for negotiators.

Yelp barely lives up to revised promises, but it just promises more

Yelp grew revenue 10.8% to $943 billion last year — just slightly above its revised target for 2018 revenue — and projects growth will slow this year, yet promises that growth will accelerate in future years based on a vague plan.

Yelp Inc. made some moves to stave off a battle with one of its top investors Wednesday, but it did not do much to alleviate concerns about its future and continued its pattern of asking investors to believe it will hit its shifting goals.

Here’s why stocks have gone from record-low correlation to extreme highs since October

“We forecast a stable macro environment in the near term, characterized by steady U.S. economic activity and a patient Fed, which we believe has been priced in the market,” Hammond wrote, adding that given the nearly 10% advance staged by the S&P 500 SPX, +0.30%   year to date, U.S. stocks’ rise will be much more subdued for the remainder of the year, creating an environment that requires active stock selection to realize high returns.