HelloFresh barely clears low hurdles 21 Nov 2017 The German meal-kit service delivered soaring revenues and better margins for its first results as a listed company. Shares are down 2 percent since flotation. That is hardly a runaway success but better than shelved listings in Britain and U.S. rival Blue Apron’s public mauling.
Half-a-trillion-dollar Tencent is market headache 21 Nov 2017 The Chinese tech giant’s market value briefly hit $535 bln, making it bigger than Facebook. While Tencent has helped push Hong Kong’s Hang Seng index to near-record highs, the gains flatter a weaker wider market. Any correction would hit a multitude of investors.
Alibaba deal guides grocers to checkout 20 Nov 2017 The e-commerce goliath is buying over a third of Chinese supermarket owner Sun Art for $2.9 bln. It underscores how food marks a pivotal retail battleground. And for Alibaba to secure the stake at a 24 pct discount suggests its brick-and-mortar rivals see the writing on the wall.
Wal-Mart flexes its muscle in Amazon fight 16 Nov 2017 The $268 bln retailer increased its third-quarter revenue as more people visited its stores. Online, the firm kicked out an impressive 50 percent increase in sales. Even grocery sales improved. The Bentonville, Arkansas giant is worth keeping a close eye on in Seattle.
Tencent’s overseas strategy is name of the game 15 Nov 2017 Big hits like "Honour of Kings" helped power quarterly sales up 61 pct, to $10 bln. The pace of Chinese gaming growth is likely to slow, however, and quickly. Tencent's investments abroad have been a mess so far. It'll take sharper plans to justify trading at 40 times earnings.
Amazon surrenders cheapest bit of Chinese cloud 14 Nov 2017 A local partner will buy the hardware associated with the U.S. web giant’s cloud-services business. Onerous new security rules – or, for critics, Beijing’s protectionist tendencies – are behind the sale. Amazon and other Western tech firms may yet have to give up more.
Online lending defaults could soon go viral 13 Nov 2017 Peer-to-peer loans in the United States are going bad at double-digit rates, eerily like subprime mortgages a decade ago. Although the sector is small, the trend coincides with rising bank credit-card losses. These are classic late-cycle signs of stress among American consumers.
China’s JD-Alibaba rivalry enters new phase 13 Nov 2017 A jump in third-quarter sales and a surprise net profit show the $57 bln JD.com is reining in costs while keeping up with its larger e-commerce rival. But Alibaba is muscling in on key JD.com domains like logistics and food. This will add volatility to already thin margins.
Hummus maker offers cautionary tale of IPO greed 10 Nov 2017 Bakkavor pulled its UK listing only to return a week later with a lower price. After a string of disappointing initial public offerings, the message has finally sunk in that restraint is of the essence. Flip-flopping, though, will leave an unappealing aftertaste.
Singles’ Day is shop window for Alibaba’s new toys 10 Nov 2017 Jack Ma's $480 bln behemoth is set for its annual shopping festival. That means lots of free PR and huge transaction volumes. Ma’s stunts will also show how supermarkets, augmented reality and mobile payments fit together. That will help sell his "new retail" idea to investors.
Investors scramble for a slice of almost-Tencent 9 Nov 2017 Chinese search engine Sogou, which just listed in the U.S., is the No. 3 in its home market. The reason to invest, though, is its connection to the owner of near billion-user chat app WeChat. If ties with Tencent get closer, Sogou might merit its $5.1 billion valuation.
Cox: Lisbon turns Tatooine for tech Rebel Alliance 9 Nov 2017 If the internet world can be likened to Star Wars, its dominant companies are the Death Star – and EU competition enforcer Margrethe Vestager is Princess Leia. But the insurgents descending on Portugal's capital are mostly finding ways to live with, not overthrow, the empire.
Yahoo ex-boss shows everyone’s in dark on hacks 8 Nov 2017 Marissa Mayer told senators she still doesn’t know who was behind a 2013 data theft affecting 3 bln users. Equifax’s CEO said the same of a breach involving 145 mln consumers. And Congress struggles to draft cyber rules. Amid such cluelessness, the epidemic can only get worse.
Tencent and Snap send short message to Facebook 8 Nov 2017 The owner of China’s killer app WeChat now owns 12 pct of its struggling vanishing-photo peer. Even though the shares are non-voting, Snap has reason to embrace a powerful new friend. And Tencent will be slightly better positioned should Facebook get an entry visa from Beijing.
Broadcom faces down ghost of chip LBOs past 6 Nov 2017 The $111 bln soon-American-again chipmaker offered $105 bln for Qualcomm. If the unsolicited bid goes anywhere, borrowing nearly $90 bln would send debt-to-EBITDA ratios towards leveraged buyout territory. Two former chip LBOs – Freescale and NXP – give pause for thought.
Sina’s board wins Yahoo-like prize 3 Nov 2017 Bosses of the $8 bln Chinese web outfit thwarted a U.S. hedge fund's quest to add two directors. Sina's big problem is that it's worth less than its big stake in Weibo. As Yahoo laid bare, it can be hard to run a company whose value sits elsewhere – regardless of who's in charge.
Alibaba splurges to impress China’s store owners 2 Nov 2017 Sales are soaring at Jack Ma's $477 bln e-commerce giant. But it is investing heavily in experimental supermarkets and malls that show off its payments, logistics and marketing prowess to others. It's a costly way to keep Alibaba’s technology and services revenue growing.
BT leaves decisive dividend call on hold 2 Nov 2017 The UK telecoms group kept its interim payout flat and raised the prospect of investment in pricey full-fibre networks. Increasing the dividend while pleasing regulators may prove tricky. But ducking the trade-off for now means shareholders will have to dial up the uncertainty.
Facebook’s long-term problem just got shorter 1 Nov 2017 Mark Zuckerberg vowed to do more to combat fake content in response to the fallout from Russia-backed ads. He warned profitability will take a hit just as the social network added almost $5 bln to the bottom line. As government scrutiny grows, the $500 bln firm has little choice.
BT’s dividend signal faces interference 1 Nov 2017 The British telco has pledged to keep lifting payouts to shareholders despite the burden of pension payments, rising capex and sports rights. Dividends could suck up almost all its free cash over the next three years. A 6 percent yield suggests investors think it’s at risk.