agip wrote:
hah - now it's clear why Tesla sold all those credits...this makes a 4th straight Q of profitability, which clears a hurdle to allow it to be included in the SP500.
Hundreds of new billions of dollars will come into the stock now, via those monster SP500 funds.
Just Elon's way of stomping on the shorts yet another way.
Joke really, acceptable in this environment like shenanigans in the late 1990s:
https://twitter.com/TESLAcharts/status/1286083711533015041/photo/1Ghost of Igloi wrote:
la gente esta muy loca wrote:
Transfer of Intangible Properties. In the fourth quarter of fiscal year 2019, in response to the TCJA and recently issued regulations, Microsoft transferred certain intangible properties held by its foreign subsidiaries to the United States and Ireland. The transfers of intangible properties resulted in a net $2.6 billion tax benefit recorded in the fourth quarter of fiscal year 2019, as the value of future tax deductions exceeded the current tax liability from foreign jurisdictions and United States Global Intangible Low-Taxed Income (GILTI) tax.
So the tax benefit contributed .34 to EPS; $1.37 - $1.71 in the 4th quarter 2019.
Another point, MSFT is not an overleveraged corp. There are only 2 AAA rated companies left - JNJ and MSFT. They have $136.527 billion cash on hand, up $2.708 billion from last year despite returning $38.105 billion to shareholders. Debt reduced; $72.178 to $63.327 billion.
Incidentally, this is not meant to be a buy recommendation.
- Minus 15% GAAP EPS was a Q2 2020 to Q2 2019 comparison
-Total liabilities $184 Billion, leverage high at 2.8 times versus information technology average of 1.9
-AAA ratings were given to mortgage back securities last cycle
MSFT fiscal year ends in June; Q2 2020 ended in December, the -15% is a Q4 2019 ending 6/2019 to Q4 2020 ending in 6/2020. Leverage is now 2.5, interest coverage is over 21. What were the total losses on AAA Subprime MBS out of $980 billion?
Ghost of Igloi wrote:(1) I am posting interesting points that run counter to the Bullish narrative.
(2) You and other investors think there is some magic in technology and are willing to pay a high multiple for it. That is all.
(1) You didn’t make a point, you posted a link with no context, leaving us to guess what point you were making.
(2) I don’t know how we could be discussing a topic for so long that you still have no idea what I’m trying to say.
So I guess we are both communicating poorly; I’ve no idea what you mean and I’m obviously not conveying my thoughts clearly. I AM still expecting to win your dignity come 31 December... ?
Poor Igy. He’s really taking it on the chin today...again.
la gente esta muy loca wrote:
Ghost of Igloi wrote:
- Minus 15% GAAP EPS was a Q2 2020 to Q2 2019 comparison
-Total liabilities $184 Billion, leverage high at 2.8 times versus information technology average of 1.9
-AAA ratings were given to mortgage back securities last cycle
MSFT fiscal year ends in June; Q2 2020 ended in December, the -15% is a Q4 2019 ending 6/2019 to Q4 2020 ending in 6/2020. Leverage is now 2.5, interest coverage is over 21. What were the total losses on AAA Subprime MBS out of $980 billion?
July 22, 2020 — Microsoft Corp. today announced the following results for the quarter ended June 30, 2020, as compared to the corresponding period of last fiscal year:
• Revenue was $38.0 billion and increased 13%
• Operating income was $13.4 billion and increased 8%
• Net income was $11.2 billion and decreased 15% GAAP (up 5% non-GAAP)
• Diluted earnings per share was $1.46 and decreased 15% GAAP
Good thing the Fed took care of the interest rate issue on all that MSFT debt.
What happened to GE’s AAA?
the idiot on the tablet wrote:
Ghost of Igloi wrote:(1) I am posting interesting points that run counter to the Bullish narrative.
(2) You and other investors think there is some magic in technology and are willing to pay a high multiple for it. That is all.
(1) You didn’t make a point, you posted a link with no context, leaving us to guess what point you were making.
(2) I don’t know how we could be discussing a topic for so long that you still have no idea what I’m trying to say.
So I guess we are both communicating poorly; I’ve no idea what you mean and I’m obviously not conveying my thoughts clearly. I AM still expecting to win your dignity come 31 December... ?
You can thank the Fed $Trillions for any short term savings to your dignity.
#maga2020 wrote:
Poor Igy. He’s really taking it on the chin today...again.
I took nothing on the chin, in fact I delivered the blows. ThIs market is pumped up with PEDs, and the fan boys are enamored with a bunch phony muscles.
'Microsoft and Apple together represent more than 11 per cent of the S&P 500 — a level of concentration that has not been seen in nearly four decades. In 1982, IBM and AT&T made up a similar proportion of the benchmark.'
That didn’t workout too well today.
Ghost of Igloi wrote:
#maga2020 wrote:
Poor Igy. He’s really taking it on the chin today...again.
I took nothing on the chin, in fact I delivered the blows. ThIs market is pumped up with PEDs, and the fan boys are enamored with a bunch phony muscles.
OMG Igy’s delirious. I think he’s been concussed!
?
Ghost of Igloi wrote:
VS-SJW-IR-TS idiot wrote:
I'm also curious what point you're trying to make.
You're basically confirming what I "predicted" (if that's the right word) from near the beginning of the pandemic, namely that big tech would outperform, given current global pressures, since we need to innovate our way through the crisis.
I suspect you're trying to say something different than that, maybe along the lines that investing either in big tech or the market as a whole is a bad (risky) idea?
I am posting interesting points that run counter to the Bullish narrative. For example, Tesla made more from selling energy credits than profitability. Five companies are performing better on speculation than the other 495. The reality of MSFT, NFLX, and TSLA earnings is they are not performing any better than Kimberly Clark, a maker of toilet tissue. You and other investors think there is some magic in technology and are willing to pay a high multiple for it. That is all.
Pretty sure the recession is canceled :
https://www.autoblog.com/2020/07/22/1988-bmw-m3-e30-250000-bring-a-trailer/
This is just the tip of the iceberg too. There's an '88 sh!t bucket worthless Toyota FJ Cruiser that's currently been bid up to almost $70k lol.
These sorts of markets are the first things to crater in actual downturns and it's been absolutely insane lately
^You’re dreaming.
Classic cars are bought by people with money. I have no handle on that market. One of my friends collects big V-8 2010s Cadillacs, and has noted falling prices. Art, pre-1900 is considerably cheaper than five years ago. Some of that is taste. Of course asking price and sale price are not the same, as you know.
The man that believes what everybody else does, has bought what Wall Street will sell him.
—the Igy
Ghost of Igloi wrote:
July 22, 2020 — Microsoft Corp. today announced the following results for the quarter ended June 30, 2020, as compared to the corresponding period of last fiscal year:
• Revenue was $38.0 billion and increased 13%
• Operating income was $13.4 billion and increased 8%
• Net income was $11.2 billion and decreased 15% GAAP (up 5% non-GAAP)
• Diluted earnings per share was $1.46 and decreased 15% GAAP
Good thing the Fed took care of the interest rate issue on all that MSFT debt.
What happened to GE’s AAA?
What interest rate issue, MSFT hasn't issued any debt since 2017 and has repaid any debt that has come due since then. Low rates are actually a headwind as about $40 billion of their $136.527 billion cash holdings are for 1 year or less, e.g., CP and CDs. Unlike GE, they aren't a huge conglomerate with a large financial subsidiary. Also to compare Nadella to Immelt, I don't think so, though to be fair to Immelt, Welch did build the GE house of cards. I would rather compare Nadella's turnaround of MSFT to that of Gertsner at IBM in the 90s.