Tag Archives: technology

Zillow Group Stock Turbocharged By High-Spending ‘Super Agents’

Zillow Group ( Z ) stock jumped on Tuesday after the leading online real estate listings company got a price target boost and rating upgrade from RBC Capital Markets, which cited strong online traffic trends. Zillow stock was up almost 3% in afternoon trading in the stock market today , near 24, off earlier highs of the session. RBC upgraded Zillow to outperform from sector perform. The investment bank increased its price target on Zillow stock to 34 from 21. Zillow holds an IBD Composite Rating of just 46 out of a possible 99 at moment. The stock has been trading above its 50-day moving average since late February, but by Tuesday afternoon it was only at the level where it closed 2015. RBC analyst Mark Mahaney wrote in an industry report on Tuesday that 40% of agents in their latest survey indicated they would increase their spending on Zillow, compared to 34% on Realtor.com and 33% on Zillow-owned Trulia. The percentage of real estate agents who advertise online using Zillow rose to a record-high 38% in 2016, up from 27% a year earlier and 32% in 2014, according to RBC’s 4 th Annual Online Real Estate Agent Survey, according to Mahaney. “Trulia’s share slipped modestly (29% from 32% in 2015), while Realtor.com maintained a leading 50% position,” Mahaney said. Zillow also scored well with high-spending “super agents,” he said, with Zillow’s share of agents who shell out more than $500 per month in online advertising coming in at 57%. “Further, a large majority (62%) of $500 monthly spenders plan to increase spend on Zillow,” Mahaney said. Seattle-based Zillow completed its $2.5 billion purchase of top competitor Trulia in February 2015. The union put the two most-visited real estate websites under the same ownership and formed the Zillow Group in a move designed to expand reach, forge efficiencies and cut costs. Both the Zillow and Trulia websites remain in operation and attract homebuyers and renters, as well as real estate agents who pay to advertise alongside the home listings on the sites. Move Inc. is the parent of rival online real estate site Realtor.com, which is an official website of the National Association of Realtors. Media empire News Corp. ( NWS ) bought Move in 2014. New ad products, including video ads, could bring $40 million to $90 million to 2016 revenue, JMP Securities analyst Ronald Josey wrote in an industry research report on Oct. 21, 2015. The new ad products “can drive pricing gains into 2017,” he said. A record high 44% of U.S. buyers found their home using the Internet in 2015 vs. 43% in 2014, said RBC, citing National Association of Realtors trade group research.

Tesla Up 20% This Month: What Does Short Seller Citron Think Now?

Loading the player… With Tesla Motors ( TSLA ) now trading at its highest levels this year, Citron Research’s short position in the electric-car maker’s stock has not been successful so far. Citron said on March 1 that Tesla had “supply AND demand problems,” which “should take down” the stock to 100 by the end of the year. Shares are currently trading around 235. Shares reversed fractionally higher in light turnover on Tuesday, building on its seven straight daily gains. Citron sent out its tweet one session after the stock hit resistance at its 50-day line. But Tesla was able to retake that level soon after and recently recaptured the 200-day line too. The stock has risen about 23% since the Citron tweet. Other Citron shorts, including GoPro ( GPRO ), Ambarella ( AMBA ) and Mobileye ( MBLY ), have not fared as well. GoPro is trading 80% below its 52-week high, while Ambarella is 68% below its 52-week peak. Mobileye is about 44% below its high reached last August. Tesla Unveiling Model 3 Soon Tesla shares could be getting a boost from the upcoming launch of its mass-market Model 3, which will be unveiled next Thursday. But with gas prices still at very low levels and Tesla struggling to ramp up production, some remain skeptical. Many of the top automakers are rushing out their own EVs. Tesla’s $35,000 car is set to compete with mainstream car brand offerings, most notably the Chevy Bolt from General Motors ( GM ). Tesla has made its mark in the luxury electric car space and has been a leader in implementing autonomous driving features with its Autopilot software. Other notable companies working on self-driving cars include Alphabet ( GOOGL )-owned Google and China’s Baidu ( BIDU ). Even Apple ( AAPL ) is reportedly doing work on its own car, dubbed “Project Titan.” Alphabet, Baidu and Apple shares were up a fraction Tuesday, while General Motors edged down.

Microsoft, Apple, Alphabet Stand Strong As Technology Kings Of Cash

If cash is king, then Microsoft ( MSFT ) gets the crown among companies in the S&P 500, ending last year with $102.6 billion in cash and short-term equivalent on its balance sheet. But Apple ( AAPL ) leads when including long-term cash equivalents, holding a whopping $215.7 billion at year’s end, according to an analysis from FactSet Research. Long-term equivalents are investments that take more than one year to turn into cash. Following Microsoft in terms of cash and short-term equivalents is Google-parent Alphabet ( GOOGL ) at $73 billion. Next come General Electric ( GE ) at $70.5 billion, Cisco Systems ( CSCO ) at $60.4 billion, and Oracle ( ORCL ) at $52.3 billion. The information technology sector had the largest cash balance among the S&P 500’s 10 sectors, with $580.2 billion at the end of Q4, FactSet said. That’s been the norm over the past 10 years, it said. The tech sector’s holding were up 15% over Q4 2014, making it the only industry sector to increase its cash and short-term investments year over year. Following Microsoft, Alphabet, Cisco and Oracle in the IT sector, in terms of cash and short-term equivalents, is Apple at $38 billion, then Intel ( INTC ) at $25.3 billion. Big companies with lots of cash are in a strong position to make acquisitions. And companies with large balances of long-term investments, such as Apple, also demonstrate a greater degree of financial stability and flexibility. Following Apple and General Electric as having the biggest money horde overall, when including long-term equivalents, are Microsoft at $114.1 billion, Alphabet at $79.6 billion, and Cisco at $65.2 billion.