All the latest news from Investing Port https://www.investingport.com Intel Reports Narrower-Than-Expected Q4 LossKey Highlights:Revenue: $14.3 billion (-7% YoY), beating analyst estimates from Visible Alpha.Net Loss: $100 million (3 cents per share), compared to a profit of $2.7 billion (63 cents per share) a year ago. Analysts had anticipated a loss of $728 million (14 cents per share).Foundry Revenue: $4.5 billion, surpassing expectations.Q1 Guidance: Revenue of $11.7 billion to $12.7 billion, below the $12.9 billion consensus.Performance Summary:Intel (NASDAQ: INTC) reported a narrower-than-expected loss for the fourth quarter, signaling some progress in the chipmaker’s turnaround efforts. Revenue declined 7% year-over-year to $14.3 billion, but it exceeded analyst expectations.The company reported a net loss of $100 million, or 3 cents per share, compared to a profit of $2.7 billion, or 63 cents per share, in the same period last year. Analysts had expected a much steeper loss of $728 million, or 14 cents per share.Intel's foundry business, which manufactures chips for other companies, delivered $4.5 billion in revenue, also topping estimates.Management Commentary:Interim co-CEOs Michelle Johnston Holthaus and David Zinsner credited the quarterly performance to cost-cutting measures, which they said are starting to yield results. Zinsner added during the earnings call that part of the revenue upside might have been driven by customers hedging against potential tariffs, though this is “difficult to quantify.”The results mark the first quarterly report since former CEO Pat Gelsinger stepped down last month. Intel has not yet named a permanent successor, sparking speculation about potential candidates for the role.Takeover Speculation:Intel has also been the subject of takeover rumors recently. Citi analysts identified Broadcom (NASDAQ: AVGO) as the “most likely” buyer, suggesting that Broadcom might divest Intel's foundry business if a deal materializes.Guidance and Market Reaction:For Q1 2025, Intel projected revenue between $11.7 billion and $12.7 billion, falling short of the $12.9 billion analyst consensus. The company also forecasted a wider-than-expected loss of 27 cents per share, compared to analyst expectations of a 13-cent loss.Zinsner attributed the weaker outlook to seasonal factors, macroeconomic uncertainties, competitive pressures, and ongoing inventory adjustments.Despite the cautious guidance, Intel shares rose nearly 4% in after-hours trading following the earnings release. However, the stock has lost more than 50% of its value over the past 12 months as of Thursday’s close.]]> Fri, 31 Jan 2025 05:45:21 EST https://www.investingport.com/intel-reports-narrower-than-expected-q4-loss/ https://www.investingport.com/intel-reports-narrower-than-expected-q4-loss/ Apple Beats Earnings Expectations Despite Sluggish iPhone and China SalesKey Highlights:Apple surpassed Wall Street’s earnings and revenue forecasts but missed expectations for iPhone and Greater China sales.Shares rose more than 3% in pre-market trading following the report.Apple plans to roll out more AI-driven features and new product launches in the coming months.Quarterly Financial Performance:Apple (AAPL) reported fiscal Q1 earnings after market close on Thursday, exceeding top and bottom-line expectations. However, iPhone revenue and sales from Greater China fell short of forecasts.Earnings Per Share (EPS): $2.40, beating analysts’ expectations of $2.35.Revenue: $124.3 billion, slightly above the $124.1 billion anticipated.Segment Performance:iPhone Revenue: $69.1 billion, below estimates of $71 billion and down slightly from $69.7 billion in the prior year.Services Revenue: $26.3 billion, in line with Wall Street expectations.Greater China Revenue: $18.5 billion, missing forecasts of $21.5 billion.Challenges in China:Apple’s sales in Greater China have been a persistent issue, declining 8% in 2024 to $66.9 billion and 2% in 2023. Contributing factors include a weak renminbi, as well as lower iPhone and iPad demand.Despite these challenges, Apple retains a significant market presence, though its Q4 iPhone market share fell by 1% to 23%, according to IDC and Canalys, while the broader smartphone market grew 3%.AI Push and New Product Releases:In October, Apple launched its Apple Intelligence initiative, introducing AI-driven features designed to enhance the iPhone user experience and encourage upgrades to its iPhone 16 lineup. However, analysts have expressed concerns that these updates have not provided the anticipated boost to sales.Apple plans to expand its AI capabilities throughout the year, including functions allowing users to gather information from multiple apps through a single interface.Additionally, new products are on the horizon, including:A new entry-level iPhone SE.Updated iPads and MacBook Airs.Stock Performance:Apple shares have climbed 24% over the last 12 months, comparable to Google (GOOG, GOOGL), which rose 27%. Nvidia (NVDA), by comparison, has surged 102%, despite recent concerns over competition from China’s DeepSeek AI platform, which may reduce demand for advanced AI chips.]]> Fri, 31 Jan 2025 05:41:35 EST https://www.investingport.com/apple-beats-earnings-expectations-despite-sluggish-iphone-and-china-sales/ https://www.investingport.com/apple-beats-earnings-expectations-despite-sluggish-iphone-and-china-sales/ Economy News for WednesdayU.S. benchmark equity indexes closed lower on Wednesday as the Federal Reserve maintained its benchmark lending rate and highlighted that inflation remains "somewhat elevated."Federal Reserve UpdateThe Federal Open Market Committee (FOMC) kept interest rates within the 4.25% to 4.50% range, aligning with Wall Street expectations after three consecutive rate cuts.The FOMC dropped its December reference to progress toward the 2% inflation target, signaling a cautious stance.Labor Market: The Fed noted that the unemployment rate has stabilized at low levels and labor market conditions remain strong.Fed Chair Jerome Powell stated that policymakers are not in a rush to adjust the current policy stance.Key Rates:The 10-year U.S. Treasury yield fell by 1.5 basis points to 4.53%.The 2-year yield rose 1.7 basis points to 4.22%.Market Performance and Company NewsNvidia: Shares of the chipmaker dropped 4.1%, marking the steepest decline on both the Dow and Nasdaq. The fall came after reports from Bloomberg suggested that the Trump administration is considering additional restrictions on Nvidia chip sales to China.Commodities UpdateCrude Oil: West Texas Intermediate crude fell 1.1% to $72.95 per barrel, as government data showed U.S. commercial crude stockpiles increased more than expected last week.Gold and Silver: Gold edged up 0.1% to $2,771.30 per troy ounce, while silver surged 2.2% to $31.57 per ounce.Economic NewsMortgage Applications: Mortgage activity in the U.S. declined last week, largely due to weaker refinancing activity across conventional and government loans, according to the Mortgage Bankers Association.The day highlighted continued caution in monetary policy, volatile commodity markets, and sector-specific challenges, particularly in technology and energy. Thu, 30 Jan 2025 01:32:55 EST https://www.investingport.com/economy-news-for-wednesday/ https://www.investingport.com/economy-news-for-wednesday/ Spotify Reports $10 Billion Contribution to the Music Industry in 2024Spotify announced on Tuesday that it contributed $10 billion to the music industry in 2024, bringing its total payouts to nearly $60 billion since its inception.Driving Factors for GrowthThe company credited its success to innovative features such as:AI DJ: Enhances user engagement through personalized music experiences.Spotify Wrapped: A popular year-end feature that boosts user retention.Curated Playlists: Converts free-tier users into paying subscribers by improving music discovery.Spotify's strategic focus on emerging markets, including India, Brazil, and Nigeria, has also contributed to significant user base growth.Key Artist and Industry MilestonesOver 10,000 artists now earn more than $100,000 annually from Spotify.In comparison, back in 2014, only 10,000 artists earned $10,000 or more.Spotify generates over half of independent labels' streaming revenue, further solidifying its role as a major player in the music industry.Financial Performance in 2024Monthly Active Users (MAUs): Increased by 14 million to 640 million in Q3.Net Subscribers: Grew by 6 million, reaching 252 million, exceeding expectations.Revenue: Climbed 21% year-over-year to $4 billion, with premium revenue rising 24%.Challenges and CriticismDespite its strong growth, Spotify continues to face scrutiny.The National Music Publishers' Association filed a complaint with the Federal Trade Commission (FTC), alleging that Spotify's bundle practices harm royalty payments.The complaint accused Spotify of increasing profits at the expense of the music royalty system and consumer trust.Future OutlookDavid Kaefer, Spotify's Vice President for Music Business, shared the company's ambitious goal:Next Target: To achieve one billion paying listeners globally.Spotify's impressive financial performance and industry contributions underline its dominant position in the music streaming landscape, even as it navigates challenges.]]> Thu, 30 Jan 2025 01:28:58 EST https://www.investingport.com/spotify-reports-10-billion-contribution-to-the-music-industry-in-2024/ https://www.investingport.com/spotify-reports-10-billion-contribution-to-the-music-industry-in-2024/ Equities Market Summary for January 29th TradingS&P 500 OverviewThe S&P 500 declined by 0.5% on Wednesday, Jan. 29, closing at 6,039.3.Other major indices followed suit: the Nasdaq Composite fell 0.5% to 19,632.3, and the Dow Jones Industrial Average dropped 0.3% to 44,713.5.Sector PerformanceTop Gainers: Communication Services and Consumer Staples sectors led the gains.Top Loser: Real Estate posted the steepest decline among sectors.Market HighlightsThe Federal Reserve kept its benchmark interest rate unchanged, signaling a "wait and see" approach to evaluate the economic impact of upcoming government policies. This contributed to investor caution as markets also anticipated major tech earnings reports.Top GainersF5 (FFIV)Gain: +11.4%Performance Driver: F5 reported better-than-expected quarterly sales and profits, reaching an all-time high. The company raised its full-year guidance, citing strong demand fueled by stabilized IT spending and alignment with key industry trends.Starbucks (SBUX)Gain: +8.1%Performance Driver: The coffee giant beat quarterly sales and profit estimates despite year-over-year declines. CEO Brian Niccol highlighted progress on the "Back to Starbucks" turnaround plan, including reducing menu items to streamline order times.T-Mobile US (TMUS)Gain: +6.3%Performance Driver: T-Mobile exceeded forecasts for net income, revenue, and subscriber additions. The telecom firm also reported its lowest-ever churn rate for postpaid phone subscribers, reflecting strong customer retention.Top LosersPackaging Corporation of America (PKG)Loss: -9.8%Performance Driver: Despite surpassing revenue estimates, PKG missed adjusted earnings expectations and issued weak profit guidance. Increased operating expenses and seasonal factors weighed on the stock.Danaher (DHR)Loss: -9.7%Performance Driver: A mixed earnings report dragged Danaher shares lower. Revenue exceeded forecasts, but a weaker diagnostics segment led to a bottom-line miss and forecasted sales declines for the current quarter.Moderna (MRNA)Loss: -9.4%Performance Driver: Goldman Sachs downgraded Moderna to "neutral" from "buy," citing reduced visibility in its respiratory vaccine business. High operating expenses and limited revenue guidance revisions further weighed on the stock.Key TakeawaysThe Federal Reserve's decision to maintain interest rates created a cautious trading environment.Cloud solutions provider F5 emerged as the top performer, while Packaging Corporation of America led the losses.Investors remain watchful ahead of major tech earnings, which could shift market sentiment in the coming days.]]> Thu, 30 Jan 2025 01:18:28 EST https://www.investingport.com/equities-market-summary-for-january-29th-trading/ https://www.investingport.com/equities-market-summary-for-january-29th-trading/ Tesla Misses Earnings Estimates but Projects Delivery Growth for 2025Tesla (TSLA) reported fourth-quarter revenue and adjusted profit that fell below analysts' expectations on Wednesday. Following the announcement and subsequent conference call, the stock initially declined but later rose by about 4% in after-hours trading.Earnings and Revenue PerformanceTesla posted net income of $2.32 billion, or $0.66 per share, on revenue of $25.71 billion. Analysts surveyed by Visible Alpha had projected net income of $2.33 billion, or $0.66 per share, on revenue of $27.35 billion. Adjusted earnings per share (EPS) came in at $0.73, missing estimates by 5 cents.The results come after Tesla reported lower-than-expected fourth-quarter deliveries and production figures earlier this month. The company recorded its first year-over-year decline in deliveries, falling to 1.79 million vehicles in 2024 from 1.81 million in 2023.Outlook and New Product PlansDespite the delivery dip, Tesla remains optimistic about future growth. The company stated that vehicle sales are expected to rebound in 2025. Additionally, Tesla confirmed that plans for a more affordable vehicle model are on track for production in the first half of the year. However, details regarding the pricing or design of the new model have not yet been disclosed.Advancements in Self-Driving and Robotaxi InitiativesTesla highlighted significant progress in its Full Self-Driving (FSD) technology, aiming to launch the supervised version in Europe and China later this year. CEO Elon Musk announced that the unsupervised version of FSD software is set to begin use at Tesla's Austin, Texas factory in June, with a potential public rollout later in 2025.The company also revealed plans to launch its autonomous "Cybercab" taxi in select U.S. markets by the end of the year, contingent on achieving safety benchmarks. A broader rollout is anticipated in 2026.Policy and Market ImpactTesla’s proximity to U.S. President Donald Trump, who recently secured reelection, has influenced analyst sentiment, with many raising their price targets as Tesla shares have climbed approximately 60% over the past year. However, CFO Vaibhav Taneja noted lingering uncertainty around proposed tariffs, which could impact Tesla’s profitability due to its reliance on parts sourced from other countries.Stock PerformanceTesla shares ended Wednesday’s regular session down more than 2% at just over $389, more than double their price from a year ago. Despite short-term challenges, Tesla remains well-positioned for growth as it continues to advance its EV and autonomous driving technologies.]]> Thu, 30 Jan 2025 01:07:31 EST https://www.investingport.com/tesla-misses-earnings-estimates-but-projects-delivery-growth-for-2025/ https://www.investingport.com/tesla-misses-earnings-estimates-but-projects-delivery-growth-for-2025/ Microsoft Stock Falls as Intelligent Cloud Revenue Misses ExpectationsMicrosoft (MSFT) shares dropped over 5% in after-hours trading on Wednesday after the company reported fiscal second-quarter results, with its Intelligent Cloud revenue falling short of analyst expectations.Strong Overall Performance but Cloud Revenue MissesMicrosoft's total revenue increased 12% year-over-year to $69.63 billion, surpassing analyst projections from Visible Alpha. Earnings rose to $24.11 billion, or $3.23 per share, up from $21.87 billion, or $2.93 per share, in the same period last year. Both figures beat expectations for the quarter ending December 31.However, the Intelligent Cloud segment, which includes the Azure cloud computing platform, delivered $25.54 billion in revenue—up 19% year-over-year but slightly below projections. Azure's total revenue for the quarter approached $41 billion, Microsoft reported.Stock Performance and Forward OutlookMicrosoft's stock, which also declined during the regular trading session, had gained around 5% in 2025 through Wednesday's close before the extended-hours dip. Looking ahead, CFO Amy Hood projected Intelligent Cloud revenue for the third quarter to range between $25.9 billion and $26.2 billion, exceeding the pre-earnings consensus of $25.76 billion.AI and Competitiveness in FocusCEO Satya Nadella highlighted the company's growing AI revenue, which reached a run rate of $13 billion. Additionally, daily usage of Microsoft's Copilot AI assistant doubled quarter-over-quarter.The results come amid heightened competition in AI technology. Microsoft-backed OpenAI faced scrutiny this week after the launch of DeepSeek's app, powered by an AI model claiming to rival U.S. competitors at significantly lower costs. Analysts from Raymond James and Bank of America suggested that such advancements could drive U.S. tech giants, including Microsoft, Alphabet (GOOGL), and Amazon (AMZN), to accelerate their AI initiatives.Microsoft announced that DeepSeek’s R1 model is now available on its Azure AI Foundry platform, and customers will soon have the option to run it locally on Copilot+ PCs.Despite solid overall earnings, the slight miss in cloud revenue and competitive pressures weighed on Microsoft’s stock.]]> Thu, 30 Jan 2025 01:04:20 EST https://www.investingport.com/microsoft-stock-falls-as-intelligent-cloud-revenue-misses-expectations/ https://www.investingport.com/microsoft-stock-falls-as-intelligent-cloud-revenue-misses-expectations/ Sterling Bank Accuses Miden Systems of Court Ruling Violations, Petitions IGPSterling Bank Limited has taken legal action against Miden Systems Limited and its director, Dr. Brendan Usoro, over allegations of harassment and attempts to bypass a court-mandated debt settlement. The bank has petitioned Inspector-General of Police Kayode Egbetokun, citing misuse of law enforcement agencies and the National Assembly to frustrate debt repayment efforts.Background: A Long-Standing Debt DisputeThe conflict between Sterling Bank and Miden Systems Ltd dates back to October 18, 2021, when the Federal High Court ruled in favor of the bank, confirming the debtor’s liability and mandating repayment. However, according to Sterling Bank’s Chief Marketing Officer, Maurice Igugu, Miden Systems and Dr. Usoro have engaged in a deliberate campaign of noncompliance, using political influence and legal maneuvers to stall enforcement.“Despite the clear judgment and the debtor’s acknowledgment of substantial outstanding debt, Miden Systems Ltd has resorted to misappropriating loan funds, shielding assets through corporate restructuring, and abusing legal channels to delay justice,” Igugu stated.Allegations Against Miden Systems & Police InterventionMiden Systems Ltd had earlier petitioned the House of Representatives Committee on Public Petitions, making severe allegations against Sterling Bank, the Central Bank of Nigeria (CBN), and Shell Petroleum. The company accused these entities of fraudulent debits, money laundering, and mismanagement of funds in its account.Sterling Bank, however, refuted these claims, labeling them as diversionary tactics aimed at evading legitimate debt obligations. The bank further alleged that Dr. Usoro and his associates have:• Exploited political connections to obstruct enforcement of the court ruling.• Used the Police Force Criminal Investigation Department (CID) to intimidate Sterling Bank executives.• Diverted loan funds for personal use while defaulting on obligations.• Engaged in fraudulent restructuring of company ownership to shield assets from creditors.Legal Actions Taken by Sterling BankIn response to these developments, Sterling Bank submitted a formal petition to the Inspector-General of Police on December 10, 2024, through its legal counsel, Kunle Ogunba, SAN. The petition detailed multiple financial misconduct allegations against Miden Systems and Dr. Usoro, including:• Loan diversion and asset misappropriation.• Illegal restructuring of company shareholding to avoid liability.• Attempts to manipulate law enforcement to evade debt settlement.Additionally, on November 20, 2024, the Federal High Court dismissed an appeal by Miden Systems Ltd and Dr. Usoro seeking to overturn the original debt ruling, citing abuse of judicial process. This reaffirmed Sterling Bank’s legal standing and reinforced the binding nature of the court-approved settlement terms.Sterling Bank’s Position and Call for Public SupportSterling Bank insists that Miden Systems’ debt deductions were conducted lawfully, based on a consent judgment signed by both parties on June 10, 2021. The bank has called on stakeholders and the public to disregard unverified accusations and recognize the situation as an attempt to avoid legitimate financial obligations.“We remain committed to protecting our reputation and the interests of our customers. This is a clear case of debt evasion through political interference. We trust that law enforcement will ensure justice is served,” Igugu concluded.What’s Next?With Sterling Bank escalating the matter to the IGP, the case now hinges on how law enforcement will respond to the alleged misuse of power. The outcome could set a precedent for corporate debt enforcement in Nigeria, especially concerning the role of political influence in legal disputes.]]> Wed, 29 Jan 2025 11:09:03 EST https://www.investingport.com/sterling-bank-accuses-miden-systems-of-court-ruling-violations-petitions-igpi/ https://www.investingport.com/sterling-bank-accuses-miden-systems-of-court-ruling-violations-petitions-igpi/ NGX Trading Summary – Wednesday, January 29, 2025At the close of today’s trading session on the Nigerian Stock Exchange (NGX), the market experienced a mix of gains and declines across key indicators.Market Performance OverviewA total of 417.62 million shares were traded in 16,253 deals, amounting to a market value of NGN 13.48 billion. The overall market capitalization stood at NGN 64.5 trillion.Compared to the previous trading day (Tuesday, January 28), today’s session recorded a 23% decline in trading volume, a 1% drop in market turnover, but a 4% increase in the number of deals, indicating higher trading activity despite the lower volume of shares exchanged.Market Breadth – 125 Stocks TradedOut of the 125 equities that participated in trading, 26 stocks gained, while 38 stocks declined. The remaining stocks closed at their previous prices. This suggests a slightly bearish market sentiment, as more stocks lost value than gained.Top GainersAradel Holdings led the gainers, recording a 10% increase, closing at NGN 594.00 per share. Chellarams followed closely with a 9.98% gain, while Stanbic IBTC Holdings and University Press also recorded strong performances with 9.92% and 9.64% price increases, respectively.Top LosersOn the losing side, Caverton Offshore Support Group experienced the biggest drop, losing 10% to close at NGN 2.07 per share. McNichols also recorded a 10% decline, while Thomas Wyatt Nigeria and Veritas Kapital Assurance lost 9.8% and 9.79%, respectively.Most Actively Traded Stocks (By Volume)Universal Insurance recorded the highest trading volume for the day, with 33.6 million shares exchanged. Fidelity Bank followed with 31.9 million shares, while FCMB Group and Japaul Gold & Ventures saw trading volumes of 23.1 million and 20.2 million shares, respectively.Key Takeaways from Today’s MarketThe market recorded a lower trading volume compared to the previous session, but the increase in the number of deals suggests that more investors were actively participating. The insurance sector continued to see high trading activity, with Universal Insurance leading in volume.While Aradel Holdings and other select stocks recorded strong gains, the overall market sentiment remained slightly bearish, as more stocks declined than gained.Market OutlookAs investors navigate earnings reports and macroeconomic trends, key areas to watch include:• The upcoming earnings season, which could drive further market movements.• The insurance and banking sectors, which have continued to attract significant investor interest.• Global and local economic factors, which may influence investor sentiment in the coming weeks.The market remains dynamic, and investors should stay informed to make well-guided decisions. Stay tuned for more updates!]]> Wed, 29 Jan 2025 10:15:01 EST https://www.investingport.com/ngx-trading-summary-wednesday-january-29-2025/ https://www.investingport.com/ngx-trading-summary-wednesday-january-29-2025/ T-Mobile Stock Surges After Strong Q4 Earnings BeatKey TakeawaysT-Mobile (TMUS) shares jumped after reporting better-than-expected Q4 results.The company exceeded estimates on revenue, profit, and subscriber growth.AT&T (T) and Verizon (VZ) also topped estimates in their Q4 reports last week.Q4 Earnings Beat ExpectationsT-Mobile reported $2.98 billion in net income ($2.57 per share) on $21.87 billion in revenue, surpassing analyst projections of $2.63 billion ($2.26 per share) on $21.31 billion in revenue.CEO Mike Sievert highlighted the company's record-low churn rate and continued subscriber growth. T-Mobile added 903,000 postpaid phone customers and 428,000 net internet customers, both exceeding expectations.2025 OutlookFor 2025, T-Mobile expects to gain 5.5 million to 6 million net new customers but did not provide a profit forecast due to uncertainties around tax and interest expenses.Stock PerformanceT-Mobile shares rose over 6% in premarket trading Wednesday and have gained 35% over the past year.]]> Wed, 29 Jan 2025 09:57:24 EST https://www.investingport.com/t-mobile-stock-surges-after-strong-q4-earnings-beat/ https://www.investingport.com/t-mobile-stock-surges-after-strong-q4-earnings-beat/