Category Archives: stocks

Cars Will Drive Themselves By 2019, Says Mobileye Chairman

The chairman of high-tech auto supplier Mobileye ( MBLY ) says the company has made deals with two automakers to create fully self-driving cars by 2019. The Wall Street Journal reported in an interview with Amnon Shashua  late Thursday that 2019 will be an “inflection point” for the auto industry, as it shifts from semi-autonomous to fully autonomous vehicles. Shashua, who is also Mobileye’s chief technology officer, didn’t name the two automakers in question, but a number of companies have been working in the field, from traditional automakers like General Motors ( GM ) and Ford ( F ) to the electric-vehicle startup Tesla ( TSLA ), which Mobileye already supplies with driver-assistance technology. Mobileye stock was up 2% in early trading on the stock market today , near 37.50. After last week’s Q1 earning report , the stock retains its highest-possible IBD EPS Rank of 99, but its Accumulation/Distribution grade has been getting worse, now down to a D+, which indicates institutional investors are mostly selling, not buying, shares.

Facebook Chief To Meet With Conservatives Over Liberal Bias Fire

Facebook ( FB ) CEO Mark Zuckerberg responded to a report suggesting that contractors working on the social network’s “Trending Topics” feature suppressed stories from conservative media outlets from appearing on its influential “Trending” news section. “We take this report very seriously and are conducting a full investigation to ensure our teams upheld the integrity of this product,” Zuckerberg wrote in a Facebook post . The report from Gizmodo , published Monday, says the claims were made by a former contractor, who was described as politically conservative and who worked with Facebook. The contractor said stories on conservative topics were prevented from appearing in the Trending section on Facebook, even though they were organically trending among the site’s users, allegations that Facebook denied. Some conservatives reacted angrily to the report, prompting calls for a congressional inquiry from U.S. Sen. John Thune, R.-S.D., who chairs the Senate Commerce Committee. “If true, these allegations compromise Facebook’s ‘open culture’ and mission ‘to make the world more open and connected,’ ” Thune wrote in a letter to Zuckerberg. “We have found no evidence that this report is true,” Zuckerberg wrote. “If we find anything against our principles, you have my commitment that we will take additional steps to address it.” Zuckerberg said in the coming week he’ll be inviting leading conservatives and people from across the political spectrum to share their points of view. On Tuesday, Facebook Vice President of Global operations, Justin Osofsky, also responded to the allegation. “The Trending Topics team is governed by a set of guidelines meant to ensure a high-quality product, consistent with Facebook’s deep commitment to being a platform for people of all viewpoints,” he wrote. Facebook stock, meanwhile, is trading near record highs after breaking out April 28 at a 117.09 buy point. Shares were down a fraction, near 120, in early trading in the stock market today , after touching a record high of 121.08 on Wednesday. It is an IBD Leaderboard stock.

Big Profit Gains Ahead For 3 Top Tech Stocks?

Internet stocks aren’t dominating the Tech Leaders list as they might have in years past. But three online content plays have strong earnings growth, behind them and up ahead. Facebook ( FB ) profit soared 83% to 77 cents a share in Q1, topping views by 15 cents, for its best gain in seven quarters. Revenue grew 52% to $5.26 billion, also well ahead of forecasts. The social network fired on all cylinders, with a 16% increase in daily active users, 15% higher monthly active users, and a 21% jump in mobile monthly active users. Mobile advertising revenue made up 82% of total ad sales, up from 73% in the year-earlier quarter. Analysts expect solid EPS gains to continue in Q2 and Q3 at 62% and 53%, respectively. The stock is still in buy range from a 117.09 cup-with-handle buy point it gapped past April 28 on its earnings report. With the market uptrend still under pressure, Facebook hasn’t been able to gain much upside traction but has held nearly all its gains. WebMD Health ( WBMD ) has posted 33% or higher quarterly earnings growth for the past three years. Analysts expect the pace to slow to a perfectly respectable 25% in Q2 and to 38% in Q3. WebMD’s 96 Composite Rating is second-best in the Internet content group, behind Facebook’s 98. The stock is extended from a 58.35 buy point cleared in March, but it is in buy range from a pullback to the 10-week moving average. Shares have rallied more than 30% so far this year, far outperforming the Nasdaq composite. Weibo ( WB ) (87 Composite) reported its first full-year profit, covering 2015, with consensus estimates targeting a 59% jump this year and 67% the next. The Chinese microblogging service’s Q1 EPS surged by triple digits, although it was just 7 cents from a year-earlier profit of a penny a share. Analysts expect an 80% increase in Q2 and a 60% gain in Q3. Shares are extended from a 19.20 cup-with-handle buy point which they blew past on April 6. Those who haven’t yet locked in gains could consider doing so, given the market uncertainty.