Anatomy of a Down Year (Q1 Edition)

US equities are not off to the best start to the year, but not terrible either, with the S&P 500 ending Q1 down 1.2%. While we’re still bullish for 2018, this …

What Does Tesla Do Now?

Shares of Tesla are down 30% on the year, and its high yield bonds now pay over 7.5% versus less than 6.0% late last year. There is no one reason for …

For Sale: One Unicorn, Barely Used

With Dropbox’s successful trading debut likely spurring more technology companies to come public, we reviewed the performance of other IPOs of US tech unicorns over the past year. So far, Dropbox …

Apples and Oranges, Bitcoin and Stocks

I have never really understood why “Apples and oranges…” is supposed to mean, “Those two things are totally different!” Both are fruits. Both grow trees. Both are roughly round. Both make …

Value Investors – This One’s For You

The only good thing about stock market corrections and/or bear markets is that they eventually create notable opportunities for outsized future returns.Consider: Amazon was trading for $52 at the end …

Yes, Tech Sector Volatility Can Get Worse

The word “volatility” has an odd origin; in Latin volare means “to fly”. Over the last 2000 years it has taken a different meaning, of course – more about plummeting than …

Great Quarter (Point), Jay…

Economists may have found Fed Chair Jay Powell’s first press conference today a bit unfulfilling; equity analysts, by contrast, would have felt right at home. His answers felt straight out of …

Is It Still A Yield Curve When It’s Flat?

What’s flattest: Kansas, a pancake, or the US Treasury yield curve? Between the first two, the flapjack actually loses out to Dorothy Gale’s (Wizard of Oz) home state. Back in 2003, …

Facebook in 2018 = GM in 1992

Many readers know I covered the auto industry through the 1990s, and Facebook today reminds me a lot of General Motors circa 1992. Hard to believe, perhaps, but GM was a …

Subscribing to the Future

Ride sharing company Lyft is experimenting with a subscription service alongside its pay-per-ride model. Among the options are: $199/month for 30 rides. The value of an individual trip cannot exceed $15. …