Uber CEO Dara Khosrowshahi has no regrets about taking the company public despite the stock’s poor debut and continued struggles. He said …
Uber CEO Dara Khosrowshahi has no regrets about taking the company public despite the stock’s poor debut and continued struggles. He said investors are misunderstanding the company as the shares plunged following a massive loss.
“I think we’ve got to do a better job in terms of telling our story to the markets. I think the company is executing very very well, and somehow it’s not getting through the noise,” Khosrowshahi told CNBC’s David Faber and Jim Cramer on Squawk on the Street on Friday.
Asked if he has any regrets about the Uber’s initial public offering, the CEO said “it was a great day as far as bringing in, getting the company public, getting us funded to that path to profitability as well.”
“At some points you just put your head down and you execute and the market short-term, while you can’t control the short-term, long-term the market will take care of itself,” he added.
Khosrowshahi said the company’s staggering loss in the second quarter is a “once-in-a-lifetime” hit as he tries to steer it toward profitability. He added that Uber is targeting 30% revenue growth in the back-half of the year.
Investors sold stocks in drove when China allowed its currency to slip, … major Chinese exposure and posting a less-than-stellar quarter, the host said.
Three issues triggered Wall Street’s deep decline on Monday and things won’t get better until they are addressed, CNBC’s Jim Cramer said Tuesday.
The major averages managed to recover more than 1% of its losses from the worst trading day of the year, but the “Mad Money” host says there’s more work to be done before the coast is clear. The Dow Jones Industrial Average bounced back by more than 311 points the day after plunging almost 770.
“Those three prongs of panic that crushed us yesterday — currency, yields and earnings — still have not been resolved, despite the nice bounce today,” Cramer said. “I think we’ve got more wood to chop before we can have a sustainable rally.”
Investors sold stocks in drove when China allowed its currency to slip, pushing the U.S. Treasury Department to call the country a currency manipulator. The Chinese yuan’s value versus the American dollar fell below a level unseen since 2008 on Monday. The People’s Bank of China raised the value the following day.
In addition, the 10-Year Treasury yield fell more than a quarter point from the week prior to 1.74%, which Cramer said is a measure that signals the economy is “headed into a recession.” Because of this, money managers ignored further context – that other countries have lower rates than the U.S. – and assumed the economy was cratering, he added.
“This is what happens when lots of money flows to the U.S. from overseas: rich foreigners … companies, trusts, they buy Treasurys, which sends prices up and pushes yields down,” Cramer said. “Don’t get me wrong, that’s not good. It creates a strong dollar, hurts American exporters, but it’s not necessarily a sign that we’re headed for a recession and it does make mortgage money cheaper.”
On top of those concerns, U.S. companies with foreign business, particularly Apple and Nike, are readying to “take a big earnings hit,” Cramer said.
Trade uncertainty between the U.S. and China makes it a tough market to read. White House economic advisor Larry Kudlow said Tuesday morning that trade talks between the world’s largest economies could resume in September. A new round of 10% tariffs on the remaining $300 billion worth of Chinese imports are scheduled to go into effect Sept. 1.
The market can climb again, even if the countries do not come to a trade agreement, Cramer said. In the meantime, dividend stocks are more attractive with lower interest rates, which explains one reason why shares of electronic equipment maker Emerson rallied more than 2% Tuesday, despite having major Chinese exposure and posting a less-than-stellar quarter, the host said.
Amazon, Alphabet and Facebook, who don’t rely heavily on China, all saw their stocks improve by as much as 1.53%.
“If you start buying stocks of high-quality companies where they’re already down 10% to 20% from their highs, I think you’ll be rewarded,” Cramer argued.
“I think we’re in much better shape in this trade war than the conventional wisdom would have you believe, and certainly the talking heads,” he said. “And even if it drags on, there are plenty of companies that will do just fine.”
CEO of crypto merchant bank Galaxy Digital Michael Novogratz said that vegetarian meat startup Beyond Meat reminds him of cryptocurrencies in …
CEO of crypto merchant bank Galaxy Digital Michael Novogratz said that vegetarian meat startup Beyond Meat reminds him of cryptocurrencies in 2017, in an interview with CNBC published on August 1.
Innovation brings speculation, creating bubbles
During the interview, Novogratz declared that Beyond Meat reminds him of the state of the crypto market in 2017, suggesting that the price is in bubble territory given its parabolic rise this summer.
He further provided an analysis of the phenomena and some grim predictions concerning the stock:
“I think big ideas grab the attention of people, you see. You get great bubbles on big ideas, this is a great bubble, I mean, it’s a ludicrous price, but everyone got sucked in. All the young guys on their Robinhood accounts are buying this, and this is their crypto […] And then reality does set in.”
Novogratz also cited the recent reports that the company’s CEO, Ethan Brown, decided to sell more stocks, which increased the float. He said that, as the float increases, “the lockup comes off and everyone else tries to sell and the price will” react to it.
Beyond Meat soars 250% in a few months
Crunchbase estimates Beyond Meat’s annual revenue to be about $67.3 million, and reports say that the company received $122 million in funding so far. CNBC also reported earlier today that the company’s shares lost 18.6% of their value since last Wednesday, and according to their data currently trades at $178.8 at press time.
CNBC data also show that Beyond Meat stock price peaked at the end of last month at over $239 dollars after trading at $65 in February. This is a 267.69% price in just a span of a few months.
Michael Novogratz, ex-hedge fund manager at Fortress Investment Group and former Goldman Sachs partner, tends to go with the market consensus, …
The Federal Reserve should be careful not to cut interest rates too many times because the stock market could overheat, according to a private equity chief whose firm oversees more than $140 billion.
“I think the risk when we’re talking about prolonged cuts is … asset values could outrun the economy,” Ares Management co-founder and CEO Michael Arougheti told CNBC on Thursday. His comments came a day after the Fed reduced the cost of borrowing money by 0.25% and central bank chief Jerome Powell signaled the move could be a one-and-done situation.
Powell didn’t necessarily make the wrong decision on rates, Arougheti said in a “Squawk Box” interview. “But in the communication, he could have been a little clearer.”
That confusion caused a sharp sell-off in stocks Wednesday, with the Dow Jones Industrial Average and S&P 500 posting their biggest one-session losses in two months. Investors remained cautious at the Thursday open on Wall Street. But by midmorning, stocks were taking off on hopes for more cuts, but turned lower by midafternoon.
Arougheti said the economy may warrant holding steady for a while. “We have 1,700 middle-market companies in our portfolio. We touch about 800,000 consumer loans. We probably touch 30,000 small businesses. And everything we’re seeing in our portfolio says the U.S. economy is on unbelievably strong footing.”
The markets, however, are not ready to give up on the notion of additional cuts, with 56% odds on another cut at the central bank’s September policy meeting and the chances increasing as the year progresses, according to the CME FedWatch tracker Thursday morning.
With venture funding from Sequoia Capital, Comcast Ventures, IVP, Innovation Endeavors, Causeway, General Catalyst Partners, Icon Ventures, and …
Former TuneIn CMO Tapped to Take the Company to the Next Phase of Growth
SAN FRANCISCO, July 31, 2019 /PRNewswire/ — TuneIn, the leading global live streaming and on-demand audio service, today announced the appointment of Juliette Morris as the company’s new Chief Executive Officer.
Since her arrival at TuneIn as Chief Marketing Officer in March of 2018, Morris has been instrumental in driving significant growth for the company. “We are fortunate to have a strategic leader like Juliette to guide the company toward fulfilling its tremendous potential,” said Sean Moriarty, Chairman of the Board at TuneIn. “We are more than confident that she, along with the executive team, will realize TuneIn’s vision.”
“I’m thrilled to have this amazing opportunity to lead such a talented group of people who I’m in awe of every day,” said Morris. “It’s such an exciting time in audio, and with TuneIn’s market position, capabilities and unique content offering, I am confident that we’re on the verge of exponential growth.”
Moriarty added, “As a successful media executive, Juliette understands the overall media landscape as TuneIn competes for share of audience and revenue and knows how to win in a competitive marketplace by driving sustainable growth and building long term value and brand loyalty.”
Prior to joining TuneIn, Morris held executive leadership and marketing positions at three of the top global media companies; HBO, Viacom, and most recently NBCUniversal, where she served as Executive Vice President of Marketing and Communications. In this role, she was responsible for the marketing business strategy with NBCUniversal distribution partners for a multi-billion dollar content portfolio consisting of top-rated networks including Bravo, CNBC, E!, Sprout, Syfy, NBCSN, MSNBC, USA, NBC and Telemundo stations, as well as NBC Sports Regional Sports Networks and the Olympics.
TuneIn brings together live sports, news, music and podcasts — hear what matters most to you! With live, on-demand and original content, we are one of the most widely used streaming audio platforms in the world with 75 million monthly active users. TuneIn broadcasts over 100,000 owned & operated and partner radio stations globally and more than 5.7 million podcasts, and is available for free across 200 platforms and connected devices — our listeners can always find what they love while discovering new things. Premium subscribers can listen to the NFL, MLB, NBA, and NHL, commercial-free top news networks like MSNBC, CNBC, and Fox News Talk, and a wide array of commercial-free music stations. With venture funding from Sequoia Capital, Comcast Ventures, IVP, Innovation Endeavors, Causeway, General Catalyst Partners, Icon Ventures, and Marker LLC, TuneIn is headquartered in San Francisco, California.