Alimama personal page - To The Moon

Alimama

No personal profile

0Follow

0Followers

0Topic

0Badge

04-10

$DBS Group Holdings(D05.SI)$

2022-12-24

Ok

Sorry, the original content has been removed

2022-10-23

So good?

Sorry, the original content has been removed

2022-10-19

Good

Apple Earnings Are Likely To Bomb Going Forward

2022-10-17

Good

Sorry, the original content has been removed

2022-10-13

Ok

SGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales

Go to Tiger App to see more news

{"i18n":{"language":"en_US"},"userPageInfo":{"id":"4127610775764162","uuid":"4127610775764162","gmtCreate":1664507686966,"gmtModify":1664507686966,"name":"Alimama","pinyin":"alimama","introduction":"","introductionEn":"","signature":"","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","hat":null,"hatId":null,"hatName":null,"vip":1,"status":2,"fanSize":0,"headSize":0,"tweetSize":6,"questionSize":0,"limitLevel":999,"accountStatus":4,"level":{"id":0,"name":"","nameTw":"","represent":"","factor":"","iconColor":"","bgColor":""},"themeCounts":0,"badgeCounts":0,"badges":[],"moderator":false,"superModerator":false,"manageSymbols":null,"badgeLevel":null,"boolIsFan":false,"boolIsHead":false,"favoriteSize":0,"symbols":null,"coverImage":null,"realNameVerified":"init","userBadges":[{"badgeId":"972123088c9646f7b6091ae0662215be-2","templateUuid":"972123088c9646f7b6091ae0662215be","name":"Master Trader","description":"Total number of securities or futures transactions reached 100","bigImgUrl":"https://static.tigerbbs.com/ad22cfbe2d05aa393b18e9226e4b0307","smallImgUrl":"https://static.tigerbbs.com/36702e6ff3ffe46acafee66cc85273ca","grayImgUrl":"https://static.tigerbbs.com/d52eb88fa385cf5abe2616ed63781765","redirectLinkEnabled":0,"redirectLink":null,"hasAllocated":1,"isWearing":0,"stamp":null,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2025.10.24","exceedPercentage":"80.32%","individualDisplayEnabled":0,"backgroundColor":null,"fontColor":null,"individualDisplaySort":0,"categoryType":1100},{"badgeId":"1026c425416b44e0aac28c11a0848493-2","templateUuid":"1026c425416b44e0aac28c11a0848493","name":"Senior Tiger","description":"Join the tiger community for 1000 days","bigImgUrl":"https://static.tigerbbs.com/0063fb68ea29c9ae6858c58630e182d5","smallImgUrl":"https://static.tigerbbs.com/96c699a93be4214d4b49aea6a5a5d1a4","grayImgUrl":"https://static.tigerbbs.com/35b0e542a9ff77046ed69ef602bc105d","redirectLinkEnabled":0,"redirectLink":null,"hasAllocated":1,"isWearing":0,"stamp":null,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2025.06.27","exceedPercentage":null,"individualDisplayEnabled":0,"backgroundColor":null,"fontColor":null,"individualDisplaySort":0,"categoryType":1001},{"badgeId":"44212b71d0be4ec88898348dbe882e03-3","templateUuid":"44212b71d0be4ec88898348dbe882e03","name":"President Tiger","description":"The transaction amount of the securities account reaches $1,000,000","bigImgUrl":"https://static.tigerbbs.com/fbeac6bb240db7da8b972e5183d050ba","smallImgUrl":"https://static.tigerbbs.com/436cdf80292b99f0a992e78750ac4e3a","grayImgUrl":"https://static.tigerbbs.com/506a259a7b456f037592c3b23c779599","redirectLinkEnabled":0,"redirectLink":null,"hasAllocated":1,"isWearing":0,"stamp":null,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2023.07.14","exceedPercentage":"93.56%","individualDisplayEnabled":0,"backgroundColor":null,"fontColor":null,"individualDisplaySort":0,"categoryType":1101},{"badgeId":"7a9f168ff73447fe856ed6c938b61789-1","templateUuid":"7a9f168ff73447fe856ed6c938b61789","name":"Knowledgeable Investor","description":"Traded more than 10 stocks","bigImgUrl":"https://static.tigerbbs.com/e74cc24115c4fbae6154ec1b1041bf47","smallImgUrl":"https://static.tigerbbs.com/d48265cbfd97c57f9048db29f22227b0","grayImgUrl":"https://static.tigerbbs.com/76c6d6898b073c77e1c537ebe9ac1c57","redirectLinkEnabled":0,"redirectLink":null,"hasAllocated":1,"isWearing":0,"stamp":null,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2023.02.01","exceedPercentage":null,"individualDisplayEnabled":0,"backgroundColor":null,"fontColor":null,"individualDisplaySort":0,"categoryType":1102},{"badgeId":"a83d7582f45846ffbccbce770ce65d84-1","templateUuid":"a83d7582f45846ffbccbce770ce65d84","name":"Real Trader","description":"Completed a transaction","bigImgUrl":"https://static.tigerbbs.com/2e08a1cc2087a1de93402c2c290fa65b","smallImgUrl":"https://static.tigerbbs.com/4504a6397ce1137932d56e5f4ce27166","grayImgUrl":"https://static.tigerbbs.com/4b22c79415b4cd6e3d8ebc4a0fa32604","redirectLinkEnabled":0,"redirectLink":null,"hasAllocated":1,"isWearing":0,"stamp":null,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2022.10.13","exceedPercentage":null,"individualDisplayEnabled":0,"backgroundColor":null,"fontColor":null,"individualDisplaySort":0,"categoryType":1100}],"userBadgeCount":5,"currentWearingBadge":null,"individualDisplayBadges":null,"crmLevel":12,"crmLevelSwitch":0,"location":null,"starInvestorFollowerNum":0,"starInvestorFlag":false,"starInvestorOrderShareNum":0,"subscribeStarInvestorNum":0,"ror":null,"winRationPercentage":null,"showRor":false,"investmentPhilosophy":null,"starInvestorSubscribeFlag":false},"baikeInfo":{},"tab":"post","tweets":[{"id":422746844033848,"gmtCreate":1744246780243,"gmtModify":1744246783356,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"<a href=\"https://ttm.financial/S/D05.SI\">$DBS Group Holdings(D05.SI)$&nbsp;</a>&nbsp;","listText":"<a href=\"https://ttm.financial/S/D05.SI\">$DBS Group Holdings(D05.SI)$&nbsp;</a>&nbsp;","text":"$DBS Group Holdings(D05.SI)$","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/422746844033848","isVote":1,"tweetType":1,"viewCount":1125,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9922401869,"gmtCreate":1671811444451,"gmtModify":1676538598034,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":8,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9922401869","repostId":"2293557321","repostType":4,"isVote":1,"tweetType":1,"viewCount":2023,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9981680662,"gmtCreate":1666491111856,"gmtModify":1676537761374,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"So good?","listText":"So good?","text":"So good?","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9981680662","repostId":"2277255340","repostType":2,"isVote":1,"tweetType":1,"viewCount":2016,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9983328555,"gmtCreate":1666156364178,"gmtModify":1676537715385,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Good","listText":"Good","text":"Good","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9983328555","repostId":"1163149585","repostType":4,"repost":{"id":"1163149585","kind":"news","pubTimestamp":1666188491,"share":"https://ttm.financial/m/news/1163149585?lang=en_US&edition=fundamental","pubTime":"2022-10-19 22:08","market":"us","language":"en","title":"Apple Earnings Are Likely To Bomb Going Forward","url":"https://stock-news.laohu8.com/highlight/detail?id=1163149585","media":"Seeking Alpha","summary":"SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. B","content":"<html><head></head><body><h2>Summary</h2><ul><li>Apple is going against astounding year-over-year comps from 2021&#39;s free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?</li><li>2021 was &#34;peak everything&#34; for consumers, with spending on consumer goods like Apple&#39;s products being a key bellwether.</li><li>Apple&#39;s U-turn on its planned iPhone production ramp is a clear early warning signal for earnings to decline, but few investors are listening.</li><li>Apple has also been a prime beneficiary of tax cuts, QE, and stimulus, while the underlying net income of its business looks more sluggish and cyclical.</li><li>While Apple is a decent business, you should not get sucked into paying high PE ratios for popular stocks with earnings at cyclical peaks, or your portfolio will likely suffer the consequences.</li></ul><p>Some buy-and-hold investors may consider this blasphemy, but since late 2019 Apple&#39;s (NASDAQ:AAPL) stock price has grown increasingly disconnected from the reality of its underlying business. Apple&#39;s stock is ground zero for investors that expect stimulus-fueled levels of consumer spending to last forever. In reality, investors are tripping over each other to pay a peak multiple for consumer discretionary stocks like AAPL at peak earnings. This is unlikely to succeed as an investing strategy. To this point, the present valuation of Apple is a gift to investors, who now have the opportunity to sell while the stock is overvalued and allocate money elsewhere.</p><p><img src=\"https://static.tigerbbs.com/c74fbc6467060e07ea0d8b8477c0a63f\" tg-width=\"635\" tg-height=\"417\" referrerpolicy=\"no-referrer\"/>Data by YCharts</p><h3>The Pandemic Didn&#39;t Fundamentally Change Apple&#39;s Business</h3><p>Of course, Apple is a profitable business. But the beauty of looking at Apple&#39;s income statement is that it can tell you why the company is making more money and whether the share price is increasing faster or slower than the business.</p><p>Apple&#39;s share price shows powerful gains, trading for about 5.9x more than it did 10 years ago.</p><p>EPS is up a lot over the last 10 years (3.8x), but not as much as the share price.</p><p>And EPS, in turn, is up a lot more than net income (2.4x).</p><p>When you subtract out corporate tax cuts and the benefit from lower interest rates, earnings are only 2.1x the levels of 10 years ago.</p><p>Moreover, nearly all of this growth has come recently during the pandemic. From 2012 to 2019, earnings before interest and taxes had only grown about 16%! The rest was all from tax cuts, lower interest rates, stimulus, and Apple&#39;s buyback. Not to discount the wisdom of buybacks in general- it was great when Apple was buying its shares back at like 10x earnings. But recently at 30x earnings? Not so much!</p><p>It&#39;s strange when you think about it, but Apple&#39;s story has been similarly borne out among thousands of companies with the same trend of Market Cap Growth &gt; EPS Growth&gt; Net Income Growth&gt; EBIT Growth. Valuations have risen faster than earnings, which in turn have been juiced by stimulus, falling interest rates, and deficit-financed corporate tax cuts. In the end, investors are getting a lot of sizzle and not much steak.</p><p>If you&#39;re buying Apple here, you really need a compelling reason why Apple&#39;s business has fundamentally improved since 2019. I don&#39;t see one, besides people getting free money from the government. iPhone sales have been higher post-pandemic than previously, but consider that the US government handed out approximately $10,000 per family in stimulus in 2021. That&#39;s tax-free cash in addition to wages 95% of people were making working in 2021, so it was generally pure profit to recipients. In addition, remember that consumers had limited choices for travel, entertainment, and events, which directed spending towards consumer goods like Apple&#39;s.</p><p>But what will happen to consumer spending this holiday season without $10,000 per family in free money and with raging inflation squeezing budgets? A massive miss in profits for consumer discretionary companies is the most likely outcome. Analysts are now slowly starting the process of revising Apple&#39;s earnings estimates down. The danger here is deceptive, as evidenced by the recent earnings misses of Adobe (ADBE), FedEx (FDX), and Restoration Hardware (RH) that reported off-cycle. Traders are excited because banks like Bank of America (BAC) reported higher profits from the Fed&#39;s interest rate hiking campaign. However, as the earnings cycle turns to consumer discretionary and tech there will likely be a bunch of stocks getting routed, with high-profile stocks like Apple and Amazon (AMZN) being likely victims.</p><h3>What To Expect From Apple&#39;s Earnings: Not Sustainable</h3><p>Apple reports quarterly earnings after the market closes on Thursday, October 27th. As always, Apple&#39;s report will be followed by their quarterly earnings call (and posted on Seeking Alpha shortly after). Analysts expect earnings of $1.27 for the quarter. Apple no longer gives earnings guidance- there&#39;s no requirement to do so even though they did so in the past. But this causes investors to get too excited about Apple&#39;s prospects rather than actually looking at the numbers. For investors to expect profits to simply level off with the rug pulled on stimulus is naive. Even before the recent revisions, Wall Street analysts had only projected mid-single-digit EPS growth for Apple over the next few years. That&#39;s not a huge vote of confidence. If you take these estimates at face value, Apple trades for over 22x next fiscal year&#39;s earnings with middling growth prospects. By contrast, the S&amp;P 500 currently trades for about 15.6x analyst earnings estimates and has roughly equal growth prospects. The long-running story for Apple of course has been growth in services revenue, but I expect that to slow dramatically as the amount they can squeeze Google (GOOG) dramatically slows. If Apple can tell TSMC (TSM) no on price increases, then Google can likely do the same for Apple.</p><p>This wouldn&#39;t be so bad except for the likelihood that earnings estimates are wildly inflated due to the massive stimulus in 2021. Once you account for the stimulus, I don&#39;t think there&#39;s much that fundamentally changed for Apple, its products, or its business prospects. In fact, people are likely to delay upgrading iPhones for years since they upgraded en masse in 2021 and early 2022. Apple is oddly out of step with the rest of the industry on this- they recently had to pull a U-turn on a planned 7% ramp in production. We can draw some clues on demand from the broader semiconductor market, with Micron (MU) and Nvidia (NVDA) acknowledging the slowdown in September, with Intel (INTC) announcing weak results and job cuts shortly after. Taiwan Semiconductor announced results a few days ago and warned of weakening demand. There&#39;s also the issue of the strong dollar, which eats away at Apple&#39;s US dollar profits on sales made outside the US. If past cycles are any guide, earnings for mature consumer-centric companies like Apple are likely to fall substantially. Without stimulus, AAPL&#39;s earnings could easily trend back to a bit above its pre-pandemic numbers, pushing the stock below $100 and likely below $75. There are severe, structural problems with the ability of consumers to continue to spend at the rate they are, and consumer discretionary companies are on the frontlines of this change. Raging inflation, lack of stimulus, declines in real earnings, etc., all have a hand in this. And when the hammer eventually drops on student loan forbearance, that&#39;s another 1% or more of the national income sucked back into the U.S. Treasury- equivalent to a fairly broad income tax hike.</p><h3>Mega Cap Tech Valuations: Signal And Noise</h3><p>There&#39;s a classic experiment in statistics where if you put a bunch of people&#39;s guesses together, the highest numbers are likely to be overestimated, while the lowest numbers are likely to be underestimated. For example, if we poll 100 people on how many jellybeans are in a jar or what the margin of victory will be for a candidate in the midterm elections, the highest estimates are likely to be wrong. The high estimates tend to have more noise in them than the ones in the middle. Financial markets aren&#39;t so different. Research shows companies that have the world&#39;s largest market caps tend to subsequently underperform. High P/E ratios combined with high-popularity stocks end up being far more noise than signal and are best avoided.</p><p>Apple is the world&#39;s most valuable company, and it has been this way for a while. But in contrast to my previous research on the disposition effect and Apple stock being worth more than the business as late as 2019, you simply can&#39;t justify the near tripling in price since then. By contrast, you can sell Apple and put your money in a basket of small-cap stocks (IJR) that are trading at similar valuations to 2019. Don&#39;t be fooled by stocks that see huge gains in share price without corresponding growth in the underlying business. History shows that doing this means you&#39;ll be consigned to years of low or negative returns.</p><h3>Bottom Line</h3><p>For a variety of reasons that are unlikely to prove sustainable, Apple has nearly tripled in price since the summer of 2019. Seeking Alpha&#39;s quant model gives the stock an F for valuation and a D+ for growth. This mirrors the lack of enthusiasm for Wall Street analysts on Apple&#39;s growth prospects. AAPL is now among the most overvalued large-cap names. Investors should consider selling and either allocating to Treasury bills that pay 4-4.5% annually, or to small-cap stocks that trade for less than half the valuation of Apple. Do you agree? Feel free to share your thoughts in the comments!</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Apple Earnings Are Likely To Bomb Going Forward</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nApple Earnings Are Likely To Bomb Going Forward\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-10-19 22:08 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?...</p>\n\n<a href=\"https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"AAPL":"苹果"},"source_url":"https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1163149585","content_text":"SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?2021 was \"peak everything\" for consumers, with spending on consumer goods like Apple's products being a key bellwether.Apple's U-turn on its planned iPhone production ramp is a clear early warning signal for earnings to decline, but few investors are listening.Apple has also been a prime beneficiary of tax cuts, QE, and stimulus, while the underlying net income of its business looks more sluggish and cyclical.While Apple is a decent business, you should not get sucked into paying high PE ratios for popular stocks with earnings at cyclical peaks, or your portfolio will likely suffer the consequences.Some buy-and-hold investors may consider this blasphemy, but since late 2019 Apple's (NASDAQ:AAPL) stock price has grown increasingly disconnected from the reality of its underlying business. Apple's stock is ground zero for investors that expect stimulus-fueled levels of consumer spending to last forever. In reality, investors are tripping over each other to pay a peak multiple for consumer discretionary stocks like AAPL at peak earnings. This is unlikely to succeed as an investing strategy. To this point, the present valuation of Apple is a gift to investors, who now have the opportunity to sell while the stock is overvalued and allocate money elsewhere.Data by YChartsThe Pandemic Didn't Fundamentally Change Apple's BusinessOf course, Apple is a profitable business. But the beauty of looking at Apple's income statement is that it can tell you why the company is making more money and whether the share price is increasing faster or slower than the business.Apple's share price shows powerful gains, trading for about 5.9x more than it did 10 years ago.EPS is up a lot over the last 10 years (3.8x), but not as much as the share price.And EPS, in turn, is up a lot more than net income (2.4x).When you subtract out corporate tax cuts and the benefit from lower interest rates, earnings are only 2.1x the levels of 10 years ago.Moreover, nearly all of this growth has come recently during the pandemic. From 2012 to 2019, earnings before interest and taxes had only grown about 16%! The rest was all from tax cuts, lower interest rates, stimulus, and Apple's buyback. Not to discount the wisdom of buybacks in general- it was great when Apple was buying its shares back at like 10x earnings. But recently at 30x earnings? Not so much!It's strange when you think about it, but Apple's story has been similarly borne out among thousands of companies with the same trend of Market Cap Growth > EPS Growth> Net Income Growth> EBIT Growth. Valuations have risen faster than earnings, which in turn have been juiced by stimulus, falling interest rates, and deficit-financed corporate tax cuts. In the end, investors are getting a lot of sizzle and not much steak.If you're buying Apple here, you really need a compelling reason why Apple's business has fundamentally improved since 2019. I don't see one, besides people getting free money from the government. iPhone sales have been higher post-pandemic than previously, but consider that the US government handed out approximately $10,000 per family in stimulus in 2021. That's tax-free cash in addition to wages 95% of people were making working in 2021, so it was generally pure profit to recipients. In addition, remember that consumers had limited choices for travel, entertainment, and events, which directed spending towards consumer goods like Apple's.But what will happen to consumer spending this holiday season without $10,000 per family in free money and with raging inflation squeezing budgets? A massive miss in profits for consumer discretionary companies is the most likely outcome. Analysts are now slowly starting the process of revising Apple's earnings estimates down. The danger here is deceptive, as evidenced by the recent earnings misses of Adobe (ADBE), FedEx (FDX), and Restoration Hardware (RH) that reported off-cycle. Traders are excited because banks like Bank of America (BAC) reported higher profits from the Fed's interest rate hiking campaign. However, as the earnings cycle turns to consumer discretionary and tech there will likely be a bunch of stocks getting routed, with high-profile stocks like Apple and Amazon (AMZN) being likely victims.What To Expect From Apple's Earnings: Not SustainableApple reports quarterly earnings after the market closes on Thursday, October 27th. As always, Apple's report will be followed by their quarterly earnings call (and posted on Seeking Alpha shortly after). Analysts expect earnings of $1.27 for the quarter. Apple no longer gives earnings guidance- there's no requirement to do so even though they did so in the past. But this causes investors to get too excited about Apple's prospects rather than actually looking at the numbers. For investors to expect profits to simply level off with the rug pulled on stimulus is naive. Even before the recent revisions, Wall Street analysts had only projected mid-single-digit EPS growth for Apple over the next few years. That's not a huge vote of confidence. If you take these estimates at face value, Apple trades for over 22x next fiscal year's earnings with middling growth prospects. By contrast, the S&P 500 currently trades for about 15.6x analyst earnings estimates and has roughly equal growth prospects. The long-running story for Apple of course has been growth in services revenue, but I expect that to slow dramatically as the amount they can squeeze Google (GOOG) dramatically slows. If Apple can tell TSMC (TSM) no on price increases, then Google can likely do the same for Apple.This wouldn't be so bad except for the likelihood that earnings estimates are wildly inflated due to the massive stimulus in 2021. Once you account for the stimulus, I don't think there's much that fundamentally changed for Apple, its products, or its business prospects. In fact, people are likely to delay upgrading iPhones for years since they upgraded en masse in 2021 and early 2022. Apple is oddly out of step with the rest of the industry on this- they recently had to pull a U-turn on a planned 7% ramp in production. We can draw some clues on demand from the broader semiconductor market, with Micron (MU) and Nvidia (NVDA) acknowledging the slowdown in September, with Intel (INTC) announcing weak results and job cuts shortly after. Taiwan Semiconductor announced results a few days ago and warned of weakening demand. There's also the issue of the strong dollar, which eats away at Apple's US dollar profits on sales made outside the US. If past cycles are any guide, earnings for mature consumer-centric companies like Apple are likely to fall substantially. Without stimulus, AAPL's earnings could easily trend back to a bit above its pre-pandemic numbers, pushing the stock below $100 and likely below $75. There are severe, structural problems with the ability of consumers to continue to spend at the rate they are, and consumer discretionary companies are on the frontlines of this change. Raging inflation, lack of stimulus, declines in real earnings, etc., all have a hand in this. And when the hammer eventually drops on student loan forbearance, that's another 1% or more of the national income sucked back into the U.S. Treasury- equivalent to a fairly broad income tax hike.Mega Cap Tech Valuations: Signal And NoiseThere's a classic experiment in statistics where if you put a bunch of people's guesses together, the highest numbers are likely to be overestimated, while the lowest numbers are likely to be underestimated. For example, if we poll 100 people on how many jellybeans are in a jar or what the margin of victory will be for a candidate in the midterm elections, the highest estimates are likely to be wrong. The high estimates tend to have more noise in them than the ones in the middle. Financial markets aren't so different. Research shows companies that have the world's largest market caps tend to subsequently underperform. High P/E ratios combined with high-popularity stocks end up being far more noise than signal and are best avoided.Apple is the world's most valuable company, and it has been this way for a while. But in contrast to my previous research on the disposition effect and Apple stock being worth more than the business as late as 2019, you simply can't justify the near tripling in price since then. By contrast, you can sell Apple and put your money in a basket of small-cap stocks (IJR) that are trading at similar valuations to 2019. Don't be fooled by stocks that see huge gains in share price without corresponding growth in the underlying business. History shows that doing this means you'll be consigned to years of low or negative returns.Bottom LineFor a variety of reasons that are unlikely to prove sustainable, Apple has nearly tripled in price since the summer of 2019. Seeking Alpha's quant model gives the stock an F for valuation and a D+ for growth. This mirrors the lack of enthusiasm for Wall Street analysts on Apple's growth prospects. AAPL is now among the most overvalued large-cap names. Investors should consider selling and either allocating to Treasury bills that pay 4-4.5% annually, or to small-cap stocks that trade for less than half the valuation of Apple. Do you agree? Feel free to share your thoughts in the comments!","news_type":1,"symbols_score_info":{"AAPL":0.9}},"isVote":1,"tweetType":1,"viewCount":1873,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9989218646,"gmtCreate":1666014573786,"gmtModify":1676537692357,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Good","listText":"Good","text":"Good","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9989218646","repostId":"2276507182","repostType":4,"isVote":1,"tweetType":1,"viewCount":2160,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9980953015,"gmtCreate":1665633208638,"gmtModify":1676537640016,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9980953015","repostId":"1116161119","repostType":2,"repost":{"id":"1116161119","kind":"news","pubTimestamp":1665185287,"share":"https://ttm.financial/m/news/1116161119?lang=en_US&edition=fundamental","pubTime":"2022-10-08 07:28","market":"sg","language":"en","title":"SGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales","url":"https://stock-news.laohu8.com/highlight/detail?id=1116161119","media":"smart investor","summary":"Welcome to this week’s edition of top stock market highlights where we bring you the latest news and","content":"<html><head></head><body><p>Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.</p><h2><b>Bank home loan rates</b></h2><p>The trio of local banks, namely <b>DBS Group</b>(SGX: D05), <b>United Overseas Bank Ltd</b>(SGX: U11), or UOB, and <b>OCBC Ltd</b>(SGX: O39), have once again raised the rates on their mortgage loan offerings.</p><p>The latest increase is in line withrising interest ratesas the US Federal Reserve hikes its benchmark policy rate to deal withsurging inflation.</p><p>Singapore’s largest bank, DBS, is raising its fixed-rate housing loan interest rate to 3.5% from the earlier 2.75%.</p><p>This new rate now applies to all four of the lender’s packages with tenors of between two to five years.</p><p>Meanwhile, UOB announced that its two-year and three-year fixed-rate home loans bear interest rates of 3.75% and 3.85%, respectively.</p><p>Not to be outdone, OCBC has revised its two-year fixed rate to 3.5%, up from 2.98% just a fortnight ago.</p><p>The bank is also re-launching its one-year fixed rate package at 3.35%.</p><p>With higher rates across the board, homeowners should be prepared to fork out more in interest payments when they refinance their housing loans.</p><h2><b>Singapore retail sales</b></h2><p>Retail sales continued to rise in Singapore in August, continuing the trend seen in July.</p><p>Sales increased 13% year on year in August, slightly lower than the 13.9% year on year chalked up in the previous month.</p><p>The latest increase did fall below the 15.4% that analysts had expected.</p><p>The estimated total retail sales value for August came in at S$3.8 billion, of which online sales took up a 12.5% share.</p><p>Despite the slightly weaker numbers, August’s retail sales still represented a fifth consecutive month of double-digit year on year growth.</p><p>At the same time, elevated core inflation could dampen consumer demand in the months to come.</p><p>Along with higher interest rates, more households may tighten their belts and cut back on spending to service higher mortgage payments.</p><h2><b>SATS Ltd (SGX: S58)</b></h2><p>SATS has seen its share price lose a fifth of its value since it announced theacquisition of Worldwide Flight Servicesfor almost S$1.64 billion.</p><p>Investors were concerned that the ground handler will finance the deal with a potential rights issue to raise the required S$1.7 billion to finance the purchase.</p><p>CEO Kerry Mok has come out to assure investors that the group is looking out for their interests and that a rights issue is one of four funding sources for the mega-deal.</p><p>He also acknowledged that SATS will have to scale down the size of the rights issue as in his own words: “the market does not like rights issues”.</p><p>In its original announcement for the acquisition, SATS had presented a funding plan that will involve the issuance of 609 million new shares at S$2.79 apiece.</p><p>The rights issue price was a steep discount of 28% to the food caterer’s then-closing price of S$3.87.</p><p>Other funding sources put forward include an acquisition bridge facility of €1.2 billion (around S$1.7 billion), internal cash resources, and new strategic investors.</p><p>The group may also tap into a mixture of the four sources to come up with an optimal plan to fund the acquisition.</p><p>Mok reiterated that investors should take a medium to long-term view of this deal as it will bring about tremendous benefits to SATS.</p></body></html>","source":"lsy1602567310727","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>SGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-10-08 07:28 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/><strong>smart investor</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.Bank home loan ratesThe trio of local banks, namely DBS Group(SGX: D05), United ...</p>\n\n<a href=\"https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"S58.SI":"新翔集团有限公司","STI.SI":"富时新加坡海峡指数"},"source_url":"https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1116161119","content_text":"Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.Bank home loan ratesThe trio of local banks, namely DBS Group(SGX: D05), United Overseas Bank Ltd(SGX: U11), or UOB, and OCBC Ltd(SGX: O39), have once again raised the rates on their mortgage loan offerings.The latest increase is in line withrising interest ratesas the US Federal Reserve hikes its benchmark policy rate to deal withsurging inflation.Singapore’s largest bank, DBS, is raising its fixed-rate housing loan interest rate to 3.5% from the earlier 2.75%.This new rate now applies to all four of the lender’s packages with tenors of between two to five years.Meanwhile, UOB announced that its two-year and three-year fixed-rate home loans bear interest rates of 3.75% and 3.85%, respectively.Not to be outdone, OCBC has revised its two-year fixed rate to 3.5%, up from 2.98% just a fortnight ago.The bank is also re-launching its one-year fixed rate package at 3.35%.With higher rates across the board, homeowners should be prepared to fork out more in interest payments when they refinance their housing loans.Singapore retail salesRetail sales continued to rise in Singapore in August, continuing the trend seen in July.Sales increased 13% year on year in August, slightly lower than the 13.9% year on year chalked up in the previous month.The latest increase did fall below the 15.4% that analysts had expected.The estimated total retail sales value for August came in at S$3.8 billion, of which online sales took up a 12.5% share.Despite the slightly weaker numbers, August’s retail sales still represented a fifth consecutive month of double-digit year on year growth.At the same time, elevated core inflation could dampen consumer demand in the months to come.Along with higher interest rates, more households may tighten their belts and cut back on spending to service higher mortgage payments.SATS Ltd (SGX: S58)SATS has seen its share price lose a fifth of its value since it announced theacquisition of Worldwide Flight Servicesfor almost S$1.64 billion.Investors were concerned that the ground handler will finance the deal with a potential rights issue to raise the required S$1.7 billion to finance the purchase.CEO Kerry Mok has come out to assure investors that the group is looking out for their interests and that a rights issue is one of four funding sources for the mega-deal.He also acknowledged that SATS will have to scale down the size of the rights issue as in his own words: “the market does not like rights issues”.In its original announcement for the acquisition, SATS had presented a funding plan that will involve the issuance of 609 million new shares at S$2.79 apiece.The rights issue price was a steep discount of 28% to the food caterer’s then-closing price of S$3.87.Other funding sources put forward include an acquisition bridge facility of €1.2 billion (around S$1.7 billion), internal cash resources, and new strategic investors.The group may also tap into a mixture of the four sources to come up with an optimal plan to fund the acquisition.Mok reiterated that investors should take a medium to long-term view of this deal as it will bring about tremendous benefits to SATS.","news_type":1,"symbols_score_info":{"STI.SI":0.9,"S58.SI":0.9}},"isVote":1,"tweetType":1,"viewCount":2057,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0}],"hots":[{"id":9922401869,"gmtCreate":1671811444451,"gmtModify":1676538598034,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":8,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9922401869","repostId":"2293557321","repostType":4,"isVote":1,"tweetType":1,"viewCount":2023,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9983328555,"gmtCreate":1666156364178,"gmtModify":1676537715385,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Good","listText":"Good","text":"Good","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9983328555","repostId":"1163149585","repostType":4,"repost":{"id":"1163149585","kind":"news","pubTimestamp":1666188491,"share":"https://ttm.financial/m/news/1163149585?lang=en_US&edition=fundamental","pubTime":"2022-10-19 22:08","market":"us","language":"en","title":"Apple Earnings Are Likely To Bomb Going Forward","url":"https://stock-news.laohu8.com/highlight/detail?id=1163149585","media":"Seeking Alpha","summary":"SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. B","content":"<html><head></head><body><h2>Summary</h2><ul><li>Apple is going against astounding year-over-year comps from 2021&#39;s free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?</li><li>2021 was &#34;peak everything&#34; for consumers, with spending on consumer goods like Apple&#39;s products being a key bellwether.</li><li>Apple&#39;s U-turn on its planned iPhone production ramp is a clear early warning signal for earnings to decline, but few investors are listening.</li><li>Apple has also been a prime beneficiary of tax cuts, QE, and stimulus, while the underlying net income of its business looks more sluggish and cyclical.</li><li>While Apple is a decent business, you should not get sucked into paying high PE ratios for popular stocks with earnings at cyclical peaks, or your portfolio will likely suffer the consequences.</li></ul><p>Some buy-and-hold investors may consider this blasphemy, but since late 2019 Apple&#39;s (NASDAQ:AAPL) stock price has grown increasingly disconnected from the reality of its underlying business. Apple&#39;s stock is ground zero for investors that expect stimulus-fueled levels of consumer spending to last forever. In reality, investors are tripping over each other to pay a peak multiple for consumer discretionary stocks like AAPL at peak earnings. This is unlikely to succeed as an investing strategy. To this point, the present valuation of Apple is a gift to investors, who now have the opportunity to sell while the stock is overvalued and allocate money elsewhere.</p><p><img src=\"https://static.tigerbbs.com/c74fbc6467060e07ea0d8b8477c0a63f\" tg-width=\"635\" tg-height=\"417\" referrerpolicy=\"no-referrer\"/>Data by YCharts</p><h3>The Pandemic Didn&#39;t Fundamentally Change Apple&#39;s Business</h3><p>Of course, Apple is a profitable business. But the beauty of looking at Apple&#39;s income statement is that it can tell you why the company is making more money and whether the share price is increasing faster or slower than the business.</p><p>Apple&#39;s share price shows powerful gains, trading for about 5.9x more than it did 10 years ago.</p><p>EPS is up a lot over the last 10 years (3.8x), but not as much as the share price.</p><p>And EPS, in turn, is up a lot more than net income (2.4x).</p><p>When you subtract out corporate tax cuts and the benefit from lower interest rates, earnings are only 2.1x the levels of 10 years ago.</p><p>Moreover, nearly all of this growth has come recently during the pandemic. From 2012 to 2019, earnings before interest and taxes had only grown about 16%! The rest was all from tax cuts, lower interest rates, stimulus, and Apple&#39;s buyback. Not to discount the wisdom of buybacks in general- it was great when Apple was buying its shares back at like 10x earnings. But recently at 30x earnings? Not so much!</p><p>It&#39;s strange when you think about it, but Apple&#39;s story has been similarly borne out among thousands of companies with the same trend of Market Cap Growth &gt; EPS Growth&gt; Net Income Growth&gt; EBIT Growth. Valuations have risen faster than earnings, which in turn have been juiced by stimulus, falling interest rates, and deficit-financed corporate tax cuts. In the end, investors are getting a lot of sizzle and not much steak.</p><p>If you&#39;re buying Apple here, you really need a compelling reason why Apple&#39;s business has fundamentally improved since 2019. I don&#39;t see one, besides people getting free money from the government. iPhone sales have been higher post-pandemic than previously, but consider that the US government handed out approximately $10,000 per family in stimulus in 2021. That&#39;s tax-free cash in addition to wages 95% of people were making working in 2021, so it was generally pure profit to recipients. In addition, remember that consumers had limited choices for travel, entertainment, and events, which directed spending towards consumer goods like Apple&#39;s.</p><p>But what will happen to consumer spending this holiday season without $10,000 per family in free money and with raging inflation squeezing budgets? A massive miss in profits for consumer discretionary companies is the most likely outcome. Analysts are now slowly starting the process of revising Apple&#39;s earnings estimates down. The danger here is deceptive, as evidenced by the recent earnings misses of Adobe (ADBE), FedEx (FDX), and Restoration Hardware (RH) that reported off-cycle. Traders are excited because banks like Bank of America (BAC) reported higher profits from the Fed&#39;s interest rate hiking campaign. However, as the earnings cycle turns to consumer discretionary and tech there will likely be a bunch of stocks getting routed, with high-profile stocks like Apple and Amazon (AMZN) being likely victims.</p><h3>What To Expect From Apple&#39;s Earnings: Not Sustainable</h3><p>Apple reports quarterly earnings after the market closes on Thursday, October 27th. As always, Apple&#39;s report will be followed by their quarterly earnings call (and posted on Seeking Alpha shortly after). Analysts expect earnings of $1.27 for the quarter. Apple no longer gives earnings guidance- there&#39;s no requirement to do so even though they did so in the past. But this causes investors to get too excited about Apple&#39;s prospects rather than actually looking at the numbers. For investors to expect profits to simply level off with the rug pulled on stimulus is naive. Even before the recent revisions, Wall Street analysts had only projected mid-single-digit EPS growth for Apple over the next few years. That&#39;s not a huge vote of confidence. If you take these estimates at face value, Apple trades for over 22x next fiscal year&#39;s earnings with middling growth prospects. By contrast, the S&amp;P 500 currently trades for about 15.6x analyst earnings estimates and has roughly equal growth prospects. The long-running story for Apple of course has been growth in services revenue, but I expect that to slow dramatically as the amount they can squeeze Google (GOOG) dramatically slows. If Apple can tell TSMC (TSM) no on price increases, then Google can likely do the same for Apple.</p><p>This wouldn&#39;t be so bad except for the likelihood that earnings estimates are wildly inflated due to the massive stimulus in 2021. Once you account for the stimulus, I don&#39;t think there&#39;s much that fundamentally changed for Apple, its products, or its business prospects. In fact, people are likely to delay upgrading iPhones for years since they upgraded en masse in 2021 and early 2022. Apple is oddly out of step with the rest of the industry on this- they recently had to pull a U-turn on a planned 7% ramp in production. We can draw some clues on demand from the broader semiconductor market, with Micron (MU) and Nvidia (NVDA) acknowledging the slowdown in September, with Intel (INTC) announcing weak results and job cuts shortly after. Taiwan Semiconductor announced results a few days ago and warned of weakening demand. There&#39;s also the issue of the strong dollar, which eats away at Apple&#39;s US dollar profits on sales made outside the US. If past cycles are any guide, earnings for mature consumer-centric companies like Apple are likely to fall substantially. Without stimulus, AAPL&#39;s earnings could easily trend back to a bit above its pre-pandemic numbers, pushing the stock below $100 and likely below $75. There are severe, structural problems with the ability of consumers to continue to spend at the rate they are, and consumer discretionary companies are on the frontlines of this change. Raging inflation, lack of stimulus, declines in real earnings, etc., all have a hand in this. And when the hammer eventually drops on student loan forbearance, that&#39;s another 1% or more of the national income sucked back into the U.S. Treasury- equivalent to a fairly broad income tax hike.</p><h3>Mega Cap Tech Valuations: Signal And Noise</h3><p>There&#39;s a classic experiment in statistics where if you put a bunch of people&#39;s guesses together, the highest numbers are likely to be overestimated, while the lowest numbers are likely to be underestimated. For example, if we poll 100 people on how many jellybeans are in a jar or what the margin of victory will be for a candidate in the midterm elections, the highest estimates are likely to be wrong. The high estimates tend to have more noise in them than the ones in the middle. Financial markets aren&#39;t so different. Research shows companies that have the world&#39;s largest market caps tend to subsequently underperform. High P/E ratios combined with high-popularity stocks end up being far more noise than signal and are best avoided.</p><p>Apple is the world&#39;s most valuable company, and it has been this way for a while. But in contrast to my previous research on the disposition effect and Apple stock being worth more than the business as late as 2019, you simply can&#39;t justify the near tripling in price since then. By contrast, you can sell Apple and put your money in a basket of small-cap stocks (IJR) that are trading at similar valuations to 2019. Don&#39;t be fooled by stocks that see huge gains in share price without corresponding growth in the underlying business. History shows that doing this means you&#39;ll be consigned to years of low or negative returns.</p><h3>Bottom Line</h3><p>For a variety of reasons that are unlikely to prove sustainable, Apple has nearly tripled in price since the summer of 2019. Seeking Alpha&#39;s quant model gives the stock an F for valuation and a D+ for growth. This mirrors the lack of enthusiasm for Wall Street analysts on Apple&#39;s growth prospects. AAPL is now among the most overvalued large-cap names. Investors should consider selling and either allocating to Treasury bills that pay 4-4.5% annually, or to small-cap stocks that trade for less than half the valuation of Apple. Do you agree? Feel free to share your thoughts in the comments!</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Apple Earnings Are Likely To Bomb Going Forward</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nApple Earnings Are Likely To Bomb Going Forward\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-10-19 22:08 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?...</p>\n\n<a href=\"https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"AAPL":"苹果"},"source_url":"https://seekingalpha.com/article/4547242-apple-earnings-are-likely-to-bomb-going-forward","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1163149585","content_text":"SummaryApple is going against astounding year-over-year comps from 2021's free-money/YOLO economy. But as the economy softens, are people really going to go out of their way to upgrade their iPhones?2021 was \"peak everything\" for consumers, with spending on consumer goods like Apple's products being a key bellwether.Apple's U-turn on its planned iPhone production ramp is a clear early warning signal for earnings to decline, but few investors are listening.Apple has also been a prime beneficiary of tax cuts, QE, and stimulus, while the underlying net income of its business looks more sluggish and cyclical.While Apple is a decent business, you should not get sucked into paying high PE ratios for popular stocks with earnings at cyclical peaks, or your portfolio will likely suffer the consequences.Some buy-and-hold investors may consider this blasphemy, but since late 2019 Apple's (NASDAQ:AAPL) stock price has grown increasingly disconnected from the reality of its underlying business. Apple's stock is ground zero for investors that expect stimulus-fueled levels of consumer spending to last forever. In reality, investors are tripping over each other to pay a peak multiple for consumer discretionary stocks like AAPL at peak earnings. This is unlikely to succeed as an investing strategy. To this point, the present valuation of Apple is a gift to investors, who now have the opportunity to sell while the stock is overvalued and allocate money elsewhere.Data by YChartsThe Pandemic Didn't Fundamentally Change Apple's BusinessOf course, Apple is a profitable business. But the beauty of looking at Apple's income statement is that it can tell you why the company is making more money and whether the share price is increasing faster or slower than the business.Apple's share price shows powerful gains, trading for about 5.9x more than it did 10 years ago.EPS is up a lot over the last 10 years (3.8x), but not as much as the share price.And EPS, in turn, is up a lot more than net income (2.4x).When you subtract out corporate tax cuts and the benefit from lower interest rates, earnings are only 2.1x the levels of 10 years ago.Moreover, nearly all of this growth has come recently during the pandemic. From 2012 to 2019, earnings before interest and taxes had only grown about 16%! The rest was all from tax cuts, lower interest rates, stimulus, and Apple's buyback. Not to discount the wisdom of buybacks in general- it was great when Apple was buying its shares back at like 10x earnings. But recently at 30x earnings? Not so much!It's strange when you think about it, but Apple's story has been similarly borne out among thousands of companies with the same trend of Market Cap Growth > EPS Growth> Net Income Growth> EBIT Growth. Valuations have risen faster than earnings, which in turn have been juiced by stimulus, falling interest rates, and deficit-financed corporate tax cuts. In the end, investors are getting a lot of sizzle and not much steak.If you're buying Apple here, you really need a compelling reason why Apple's business has fundamentally improved since 2019. I don't see one, besides people getting free money from the government. iPhone sales have been higher post-pandemic than previously, but consider that the US government handed out approximately $10,000 per family in stimulus in 2021. That's tax-free cash in addition to wages 95% of people were making working in 2021, so it was generally pure profit to recipients. In addition, remember that consumers had limited choices for travel, entertainment, and events, which directed spending towards consumer goods like Apple's.But what will happen to consumer spending this holiday season without $10,000 per family in free money and with raging inflation squeezing budgets? A massive miss in profits for consumer discretionary companies is the most likely outcome. Analysts are now slowly starting the process of revising Apple's earnings estimates down. The danger here is deceptive, as evidenced by the recent earnings misses of Adobe (ADBE), FedEx (FDX), and Restoration Hardware (RH) that reported off-cycle. Traders are excited because banks like Bank of America (BAC) reported higher profits from the Fed's interest rate hiking campaign. However, as the earnings cycle turns to consumer discretionary and tech there will likely be a bunch of stocks getting routed, with high-profile stocks like Apple and Amazon (AMZN) being likely victims.What To Expect From Apple's Earnings: Not SustainableApple reports quarterly earnings after the market closes on Thursday, October 27th. As always, Apple's report will be followed by their quarterly earnings call (and posted on Seeking Alpha shortly after). Analysts expect earnings of $1.27 for the quarter. Apple no longer gives earnings guidance- there's no requirement to do so even though they did so in the past. But this causes investors to get too excited about Apple's prospects rather than actually looking at the numbers. For investors to expect profits to simply level off with the rug pulled on stimulus is naive. Even before the recent revisions, Wall Street analysts had only projected mid-single-digit EPS growth for Apple over the next few years. That's not a huge vote of confidence. If you take these estimates at face value, Apple trades for over 22x next fiscal year's earnings with middling growth prospects. By contrast, the S&P 500 currently trades for about 15.6x analyst earnings estimates and has roughly equal growth prospects. The long-running story for Apple of course has been growth in services revenue, but I expect that to slow dramatically as the amount they can squeeze Google (GOOG) dramatically slows. If Apple can tell TSMC (TSM) no on price increases, then Google can likely do the same for Apple.This wouldn't be so bad except for the likelihood that earnings estimates are wildly inflated due to the massive stimulus in 2021. Once you account for the stimulus, I don't think there's much that fundamentally changed for Apple, its products, or its business prospects. In fact, people are likely to delay upgrading iPhones for years since they upgraded en masse in 2021 and early 2022. Apple is oddly out of step with the rest of the industry on this- they recently had to pull a U-turn on a planned 7% ramp in production. We can draw some clues on demand from the broader semiconductor market, with Micron (MU) and Nvidia (NVDA) acknowledging the slowdown in September, with Intel (INTC) announcing weak results and job cuts shortly after. Taiwan Semiconductor announced results a few days ago and warned of weakening demand. There's also the issue of the strong dollar, which eats away at Apple's US dollar profits on sales made outside the US. If past cycles are any guide, earnings for mature consumer-centric companies like Apple are likely to fall substantially. Without stimulus, AAPL's earnings could easily trend back to a bit above its pre-pandemic numbers, pushing the stock below $100 and likely below $75. There are severe, structural problems with the ability of consumers to continue to spend at the rate they are, and consumer discretionary companies are on the frontlines of this change. Raging inflation, lack of stimulus, declines in real earnings, etc., all have a hand in this. And when the hammer eventually drops on student loan forbearance, that's another 1% or more of the national income sucked back into the U.S. Treasury- equivalent to a fairly broad income tax hike.Mega Cap Tech Valuations: Signal And NoiseThere's a classic experiment in statistics where if you put a bunch of people's guesses together, the highest numbers are likely to be overestimated, while the lowest numbers are likely to be underestimated. For example, if we poll 100 people on how many jellybeans are in a jar or what the margin of victory will be for a candidate in the midterm elections, the highest estimates are likely to be wrong. The high estimates tend to have more noise in them than the ones in the middle. Financial markets aren't so different. Research shows companies that have the world's largest market caps tend to subsequently underperform. High P/E ratios combined with high-popularity stocks end up being far more noise than signal and are best avoided.Apple is the world's most valuable company, and it has been this way for a while. But in contrast to my previous research on the disposition effect and Apple stock being worth more than the business as late as 2019, you simply can't justify the near tripling in price since then. By contrast, you can sell Apple and put your money in a basket of small-cap stocks (IJR) that are trading at similar valuations to 2019. Don't be fooled by stocks that see huge gains in share price without corresponding growth in the underlying business. History shows that doing this means you'll be consigned to years of low or negative returns.Bottom LineFor a variety of reasons that are unlikely to prove sustainable, Apple has nearly tripled in price since the summer of 2019. Seeking Alpha's quant model gives the stock an F for valuation and a D+ for growth. This mirrors the lack of enthusiasm for Wall Street analysts on Apple's growth prospects. AAPL is now among the most overvalued large-cap names. Investors should consider selling and either allocating to Treasury bills that pay 4-4.5% annually, or to small-cap stocks that trade for less than half the valuation of Apple. Do you agree? Feel free to share your thoughts in the comments!","news_type":1,"symbols_score_info":{"AAPL":0.9}},"isVote":1,"tweetType":1,"viewCount":1873,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9981680662,"gmtCreate":1666491111856,"gmtModify":1676537761374,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"So good?","listText":"So good?","text":"So good?","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9981680662","repostId":"2277255340","repostType":2,"isVote":1,"tweetType":1,"viewCount":2016,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":422746844033848,"gmtCreate":1744246780243,"gmtModify":1744246783356,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"<a href=\"https://ttm.financial/S/D05.SI\">$DBS Group Holdings(D05.SI)$&nbsp;</a>&nbsp;","listText":"<a href=\"https://ttm.financial/S/D05.SI\">$DBS Group Holdings(D05.SI)$&nbsp;</a>&nbsp;","text":"$DBS Group Holdings(D05.SI)$","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/422746844033848","isVote":1,"tweetType":1,"viewCount":1125,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9989218646,"gmtCreate":1666014573786,"gmtModify":1676537692357,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Good","listText":"Good","text":"Good","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9989218646","repostId":"2276507182","repostType":4,"isVote":1,"tweetType":1,"viewCount":2160,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":9980953015,"gmtCreate":1665633208638,"gmtModify":1676537640016,"author":{"id":"4127610775764162","authorId":"4127610775764162","name":"Alimama","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","crmLevel":12,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4127610775764162","authorIdStr":"4127610775764162"},"themes":[],"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9980953015","repostId":"1116161119","repostType":2,"repost":{"id":"1116161119","kind":"news","pubTimestamp":1665185287,"share":"https://ttm.financial/m/news/1116161119?lang=en_US&edition=fundamental","pubTime":"2022-10-08 07:28","market":"sg","language":"en","title":"SGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales","url":"https://stock-news.laohu8.com/highlight/detail?id=1116161119","media":"smart investor","summary":"Welcome to this week’s edition of top stock market highlights where we bring you the latest news and","content":"<html><head></head><body><p>Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.</p><h2><b>Bank home loan rates</b></h2><p>The trio of local banks, namely <b>DBS Group</b>(SGX: D05), <b>United Overseas Bank Ltd</b>(SGX: U11), or UOB, and <b>OCBC Ltd</b>(SGX: O39), have once again raised the rates on their mortgage loan offerings.</p><p>The latest increase is in line withrising interest ratesas the US Federal Reserve hikes its benchmark policy rate to deal withsurging inflation.</p><p>Singapore’s largest bank, DBS, is raising its fixed-rate housing loan interest rate to 3.5% from the earlier 2.75%.</p><p>This new rate now applies to all four of the lender’s packages with tenors of between two to five years.</p><p>Meanwhile, UOB announced that its two-year and three-year fixed-rate home loans bear interest rates of 3.75% and 3.85%, respectively.</p><p>Not to be outdone, OCBC has revised its two-year fixed rate to 3.5%, up from 2.98% just a fortnight ago.</p><p>The bank is also re-launching its one-year fixed rate package at 3.35%.</p><p>With higher rates across the board, homeowners should be prepared to fork out more in interest payments when they refinance their housing loans.</p><h2><b>Singapore retail sales</b></h2><p>Retail sales continued to rise in Singapore in August, continuing the trend seen in July.</p><p>Sales increased 13% year on year in August, slightly lower than the 13.9% year on year chalked up in the previous month.</p><p>The latest increase did fall below the 15.4% that analysts had expected.</p><p>The estimated total retail sales value for August came in at S$3.8 billion, of which online sales took up a 12.5% share.</p><p>Despite the slightly weaker numbers, August’s retail sales still represented a fifth consecutive month of double-digit year on year growth.</p><p>At the same time, elevated core inflation could dampen consumer demand in the months to come.</p><p>Along with higher interest rates, more households may tighten their belts and cut back on spending to service higher mortgage payments.</p><h2><b>SATS Ltd (SGX: S58)</b></h2><p>SATS has seen its share price lose a fifth of its value since it announced theacquisition of Worldwide Flight Servicesfor almost S$1.64 billion.</p><p>Investors were concerned that the ground handler will finance the deal with a potential rights issue to raise the required S$1.7 billion to finance the purchase.</p><p>CEO Kerry Mok has come out to assure investors that the group is looking out for their interests and that a rights issue is one of four funding sources for the mega-deal.</p><p>He also acknowledged that SATS will have to scale down the size of the rights issue as in his own words: “the market does not like rights issues”.</p><p>In its original announcement for the acquisition, SATS had presented a funding plan that will involve the issuance of 609 million new shares at S$2.79 apiece.</p><p>The rights issue price was a steep discount of 28% to the food caterer’s then-closing price of S$3.87.</p><p>Other funding sources put forward include an acquisition bridge facility of €1.2 billion (around S$1.7 billion), internal cash resources, and new strategic investors.</p><p>The group may also tap into a mixture of the four sources to come up with an optimal plan to fund the acquisition.</p><p>Mok reiterated that investors should take a medium to long-term view of this deal as it will bring about tremendous benefits to SATS.</p></body></html>","source":"lsy1602567310727","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>SGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSGX Weekly Review: SATS, Singapore Bank Home Loan Rates and Singapore Retail Sales\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-10-08 07:28 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/><strong>smart investor</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.Bank home loan ratesThe trio of local banks, namely DBS Group(SGX: D05), United ...</p>\n\n<a href=\"https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"S58.SI":"新翔集团有限公司","STI.SI":"富时新加坡海峡指数"},"source_url":"https://thesmartinvestor.com.sg/top-stock-market-highlights-of-the-week-sats-elon-musk-twitter-singapore-bank-home-loan-rates-and-singapore-retail-sales/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1116161119","content_text":"Welcome to this week’s edition of top stock market highlights where we bring you the latest news and corporate events.Bank home loan ratesThe trio of local banks, namely DBS Group(SGX: D05), United Overseas Bank Ltd(SGX: U11), or UOB, and OCBC Ltd(SGX: O39), have once again raised the rates on their mortgage loan offerings.The latest increase is in line withrising interest ratesas the US Federal Reserve hikes its benchmark policy rate to deal withsurging inflation.Singapore’s largest bank, DBS, is raising its fixed-rate housing loan interest rate to 3.5% from the earlier 2.75%.This new rate now applies to all four of the lender’s packages with tenors of between two to five years.Meanwhile, UOB announced that its two-year and three-year fixed-rate home loans bear interest rates of 3.75% and 3.85%, respectively.Not to be outdone, OCBC has revised its two-year fixed rate to 3.5%, up from 2.98% just a fortnight ago.The bank is also re-launching its one-year fixed rate package at 3.35%.With higher rates across the board, homeowners should be prepared to fork out more in interest payments when they refinance their housing loans.Singapore retail salesRetail sales continued to rise in Singapore in August, continuing the trend seen in July.Sales increased 13% year on year in August, slightly lower than the 13.9% year on year chalked up in the previous month.The latest increase did fall below the 15.4% that analysts had expected.The estimated total retail sales value for August came in at S$3.8 billion, of which online sales took up a 12.5% share.Despite the slightly weaker numbers, August’s retail sales still represented a fifth consecutive month of double-digit year on year growth.At the same time, elevated core inflation could dampen consumer demand in the months to come.Along with higher interest rates, more households may tighten their belts and cut back on spending to service higher mortgage payments.SATS Ltd (SGX: S58)SATS has seen its share price lose a fifth of its value since it announced theacquisition of Worldwide Flight Servicesfor almost S$1.64 billion.Investors were concerned that the ground handler will finance the deal with a potential rights issue to raise the required S$1.7 billion to finance the purchase.CEO Kerry Mok has come out to assure investors that the group is looking out for their interests and that a rights issue is one of four funding sources for the mega-deal.He also acknowledged that SATS will have to scale down the size of the rights issue as in his own words: “the market does not like rights issues”.In its original announcement for the acquisition, SATS had presented a funding plan that will involve the issuance of 609 million new shares at S$2.79 apiece.The rights issue price was a steep discount of 28% to the food caterer’s then-closing price of S$3.87.Other funding sources put forward include an acquisition bridge facility of €1.2 billion (around S$1.7 billion), internal cash resources, and new strategic investors.The group may also tap into a mixture of the four sources to come up with an optimal plan to fund the acquisition.Mok reiterated that investors should take a medium to long-term view of this deal as it will bring about tremendous benefits to SATS.","news_type":1,"symbols_score_info":{"STI.SI":0.9,"S58.SI":0.9}},"isVote":1,"tweetType":1,"viewCount":2057,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0}],"lives":[]}