The internet retailer’s stock trades at 112 times next year’s earnings, even though it barely turns a profit. A $126 mln Q2 loss, with worse to come, has investors worried. They wiped out $16.5 bln of value after hours, more than six times Amazon’s net income since its 1997 IPO.
The bank tapped Credit Suisse’s former client kingpin Adebayo Ogunlesi to be new lead director. Though he has never led a public company, he runs a private firm. His 30 years of investment banking experience also will come in handy. If only Goldman saw fit to call him chairman.
Breitburn and QR are probably just the first of several tiddler explorers to tie the knot. Such small companies only have a few wells each, leaving them prey to painful disruption if there’s a problem. Bulking up should ensure the steadier income MLP investors crave.
The M&A adviser and fund manager’s bumper Q2 makes larger rivals look staid. Cost cuts are paying off, return on equity is running at an eye-popping 68 pct, and its business isn’t under the regulatory pressure being applied to big lenders. Mega-banks must feel a touch of envy.
The automaker aims to lift pre-tax income by up to 75 pct over the next few years. With U.S. sales now close to a historic peak, it puts a bigger onus on the overseas operations, which aren’t yet fully up to speed. That may leave Ford’s hopes resting squarely on its F-150 truck.
The mogul’s Fox empire is poised to sell pay-TV arms in Italy and Germany to BSkyB, his UK satellite affiliate. There’s strategic logic to the asset shuffle and proceeds could help sweeten the $80 bln U.S. bid. How Murdoch treats many non-Murdoch owners involved is the linchpin.
The automaker is still feeling the financial pain of its faulty ignition fiasco, adding another $1.3 bln of charges in the second quarter. But car sales are holding up well, with incentives low. That’s good news for CEO Mary Barra and gives her breathing room to fix GM’s culture.