Random thoughts going into the weekend ...
Is this "Top Pick" of Sandisk (SNDK) from Pacific Crest for real? The company had a huge beat for the second quarter three weeks ago, popped almost 20% the next day and is almost back to where it was before the huge beat. My take is that with Sandisk going into the sweet part of its year from a business point of view, the analyst at Pac Crest is onto something with his/her Top Pick.
Why did Tesla (TSLA) decide on such a small offering even after it boosted the number of shares for sale to 2.69 million from 2.1 million, thus raising about $650 million? At the rate Tesla burns through cash, it will require another raise in the first half of next year. Or, was it sending the Street and investors a message that this is it? After this raise, will there be no more need for secondary market financing in the foreseeable future?
Chatter is that Twitter (TWTR) is going to set up a triumvirate for the top job at the company and that Jack Dorsey will function as CEO of both Twitter and Square. At Twitter, he will be co-head honcho with Adam Bain (my pick for the sole CEO job) and Ev Williams, co-founder of Twitter. Twitter shares are up slightly as a result, but I fail to see how a somewhat cleaned-up Jack Dorsey replacing himself as the CEO is cause for celebration, do you? In addition, I bet the folks at Square are not too happy either. Lose-lose, anyone?
With today's economic data showing that producer prices came in at 0.2% in July versus expectations for a rise of 0.1%, and with wholesale prices excluding food and fuel rising 0.3% in July versus an expected 0.1%, is it all systems go for Janet "Rebel" Yellen and company for a rate hike in September?
So, is the Greece saga finally over and can the rest of the world finally move on? The Greeks signed off on austerity measures and are now ready to receive their $95 billion from the philanthropists in the eurozone. Love thy neighbor, indeed.
As usual, nary a week goes by when we don't have something to say about the Chinese authorities. This week they left the stock markets alone and even ignored the dastardly dark-side hordes (aka short sellers), but this time they decided to really stir the global pot. So, this past Tuesday they decided to devalue/re-calibrate/revise/tinker/adjust/whatever word one would like to use the pegged rate of the yuan lower by 1.9% against the U.S. dollar. How boring life would be without the fun folks in the quasi-communist Chinese politburo?
With that, I wish all of you a safe and fun-filled weekend.