Disaster for Didi: China considers stronger crackdown

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CNBC Television 22 July, 2021 - 05:18pm 47 views

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Analysis: The door is closing on Chinese tech IPOs on Wall Street

CNN 22 July, 2021 - 09:00pm

Updated 4:41 AM ET, Thu July 22, 2021

Asia-Pacific stocks mixed as China tech shares in Hong Kong fall amid renewed regulatory fears

CNBC 22 July, 2021 - 06:40pm

SINGAPORE — Shares in Asia-Pacific were mixed in Friday morning trade as investors monitored Chinese tech stocks in Hong Kong after regulatory concerns resurfaced.

In early trading on Friday morning, Hong Kong-listed shares of Chinese tech firms fell. Kuaishou plunged 6.13% while Tencent slipped 0.83% and Meituan dropped 1.36%. The broader Hang Seng Tech index declined 0.8%.

Hong Kong's Hang Seng index overall fell 0.37%.

Bloomberg News reported that Beijing is considering harsh penalties on ride-hailing giant Didi. The penalties being planned range from a fine likely bigger than the record $2.8 billion Alibaba paid earlier this year to even a forced delisting after Didi's IPO last month.

Shares of Didi stateside plunged more than 11% on Thursday. Earlier in July, the firm was forced to stop signing up new users and also had its app removed from Chinese app stores due to alleged collection and use of personal data.

That development came as Beijing continues its months-long crackdown on China's tech behemoths, targeting issues from anti-trust to data regulation.

The broader Asia-Pacific markets struggled for direction. In mainland China, the Shanghai composite declined 0.23% while the Shenzhen component shed 0.393%.

South Korea's Kospi rose 0.28%. In Australia, the S&P/ASX 200 hovered above the flatline.

MSCI's broadest index of Asia-Pacific shares outside Japan traded largely flat.

Markets in Japan are closed on Friday for a holiday.

Overnight stateside, the Dow Jones Industrial Average edged 25.35 points higher to 34,823.35 while the S&P 500 gained 0.2% to 4,367.48. The Nasdaq Composite rose 0.36% to 14,684.60.

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 92.795 — off levels above 93 seen earlier in the week.

The Japanese yen traded at 110.16 per dollar, weaker than levels below 109.6 seen against the greenback earlier this week. The Australian dollar changed hands at $0.7385, above levels below $0.732 seen earlier in the trading week.

Oil prices were lower in the morning of Asia trading hours, with international benchmark Brent crude futures down fractionally to $73.74 per barrel. U.S. crude futures slipped 0.13% to $71.82 per barrel.

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China Weighs Unprecedented Penalty for Didi After U.S. IPO

Yahoo Finance 22 July, 2021 - 03:22pm

Regulators see the ride-hailing giant’s decision to go public despite pushback from the Cyberspace Administration of China as a challenge to Beijing’s authority, the people said, asking not to be named because the matter is private. Officials from the CAC, the Ministry of Public Security, the Ministry of State Security, the Ministry of Natural Resources, along with tax, transport and antitrust regulators, began an investigation on-site at the company’s offices, the cyberspace watchdog said in a statement.

Regulators are weighing a range of potential punishments, including a fine, suspension of certain operations or the introduction of a state-owned investor, the people said. Also possible is a forced delisting or withdrawal of Didi’s U.S. shares, although it’s unclear how such an option would play out.

Deliberations are at a preliminary phase and the outcomes are far from certain. Beijing is likely to impose harsher sanctions on Didi than on Alibaba Group Holding Ltd., which swallowed a record $2.8 billion fine after a months-long antitrust investigation and agreed to initiate measures to protect merchants and customers, the people said.

“It’s hard to guess what the penalty will be, but I’m sure it will be substantial,” said Minxin Pei, a professor of government at Claremont McKenna College in California.

Didi shares dropped 11% to $10.20 at the close in New York. The IPO offer price was $14.

Didi, the CAC, the China Securities Regulatory Commission and the Ministry of Industry and Information Technology didn’t respond to requests for comment.

Didi’s IPO looked at first like a great success, raising $4.4 billion after several troubled years. It turned co-founder Cheng Wei into a billionaire and rewarded long-time backers SoftBank Group Corp., Tiger Global Management and Temasek Holdings Pte.

But the CAC pounced just days later, announcing a cybersecurity review because of the company’s data practices and then banning Didi’s app from the country’s app stores. Its shares quickly plunged below the offering price.

China’s regulators largely supported the idea of an IPO, but they expressed concerns about Didi’s data security practices since at least April, the people said. In one example of concern, Didi had disclosed statistics on taxi trips taken by government officials, one of the people said, although it’s not clear whether that specific issue was raised with the company.

Regulators urged Didi to ensure the security of its data before proceeding with the IPO or to shift the location to Hong Kong or mainland China where disclosure risks would be lower, the people said. Regulators didn’t explicitly forbid the company from going public in the U.S., but they felt certain Didi understood the official instructions, they said.

One person involved in the meetings, when asked why Didi didn’t act on suggestions from regulators, referred to a proverb that you can’t wake a person pretending to sleep.

The CAC itself has come under scrutiny because of the Didi IPO, with a top Party official having questioned why the agency hadn’t blocked the company’s offering, one of the people said.

Some regulatory officials expressed in private that they think Didi may have rushed its IPO out before China unveiled a new web security law, which could have hurt its valuation, one of the people said. Just days after the offering, China proposed new rules that would require nearly all companies seeking to list in foreign countries to undergo a CAC cybersecurity review.

“Beijing wants the internet sector to understand that cybersecurity and data security are now among the government’s top priorities, and individual companies’ profit can be sacrificed when cybersecurity and data security may be exposed to risks,” said Feng Chucheng, an analyst with consultancy Plenum in Beijing.

Xi Jinping’s government is trying to strike a delicate balance between reining in the power of China’s tech giants without inflicting serious damage on a critical sector that has bolstered economic growth. The crackdown began last year when Beijing forced Jack Ma’s Ant Group Co. to call off what would have been the world’s largest-ever IPO.

That was followed by antitrust investigations into giants from food-delivery pioneer Meituan to Alibaba, also founded by Ma. Beijing has said it wants to stop powerful tech companies from abusing their power and crushing innovative upstarts.

Didi began discussing IPO plans with its bankers at Goldman Sachs Group Inc., Morgan Stanley and JPMorgan Chase & Co. late last year, said people directly involved. The company weighed whether to go public in Hong Kong or the U.S., and was seeking a valuation of as much as $100 billion.

By March, they had homed in on the U.S. because the listing rules were more amenable and the company expected a better valuation from investors familiar with its American counterpart, Uber Technologies Inc. The Hong Kong exchange also questioned Didi’s compliance with Chinese regulations. It didn’t have licenses to operate in certain cities and many of its drivers lacked a household registration, or hukou, for the cities where they lived, part of municipal requirements for providing on-demand ride-hailing services there.

The process turned unusually chaotic in June as Didi and its bankers raced to the finish line, said people directly involved. As the company prepared to make its first public filing with the Securities & Exchange Commission, its own bankers weren’t sure when the documents would land. The filing ultimately hit about 3:45 a.m. China time the morning of June 11.

Didi’s government relations team handled discussions with the CAC and its regulators, and management relayed the content of those talks to its bankers, the people said. Didi knew the CAC had concerns about its data practices, but executives did not think the agency had forbidden them to proceed, the people said.

Cheng, President Jean Liu, investors and their bankers faced the choice of erring on the side of caution or proceeding with an offering that would fill the company’s coffers and enrich all of them. On June 28, they gave the green light.

Didi told its bankers it was allowed to go public provided the company keep a very low profile, one of the people said, adding that the bookrunners were told by the company there would be no press release to announce the IPO. Didi didn’t even publicize to its own employees its impending New York listing -- a landmark for the still-young company -- until the last minute. Near midnight on June 30, the company posted an announcement on an internal forum, another person said.

On Thursday, July 1, Didi’s shares surged about 16%, signaling robust investor demand. By Friday, Didi’s management began to relax and celebrate.

That evening, after 7 p.m. China time, the CAC posted a notice on its website: The agency would begin an investigation into Didi to safeguard national security and protect the public interest.

Later that night, Didi issued a public statement saying it would fully cooperate with the government review.

(Updates with Didi shares in the sixth paragraph)

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Regulators view Didi's decision to go public despite pushback from the Cyberspace Administration of China (CAC) as a challenge to Beijing's authority, the report https://www.bloomberg.com/news/articles/2021-07-22/china-is-said-to-weigh-unprecedented-penalty-for-didi-after-ipo quoted sources as saying. Didi did not immediately respond to a Reuters request for comment. The CAC last week said officials from at least seven departments sent on-site teams to conduct a cybersecurity review of Didi.

Didi Global ADRs (NYSE:DIDI) fell over 5% in Thursday’s premarket trading following a report that authorities in China are considering slapping “serious, perhaps unprecedented” penalties on the company. Its troubles with the Chinese authorities became public soon after. According to a report in The Wall Street Journal last month, China’s cybersecurity watchdog had suggested Didi delay its initial public offering and urged it to conduct a thorough self-examination of its network security.

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A dark cloud hanging over Chinese stocks listed in the U.S. could lead to a storm that washes away investors' funds, even those who are invested passively through mutual funds.

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Opinion: This is your final warning — Chinese stocks listed in the U.S. are dangerous to hold

MarketWatch 22 July, 2021 - 01:24pm

This, however, could be your final warning — a dark cloud hanging over Chinese stocks listed in the U.S. could lead to a storm that washes away investors’ funds, even those who are invested passively through mutual funds.

Recent moves from both the Chinese and U.S. governments could have Chinese stocks trading in the U.S. barreling toward delisting in the next three years. If that happens — and that remains a big if — experts say typical American investors could be left holding the bag when the music ends.

Legislation passed by congress late last year requires that foreign companies listed in the U.S. agree to an auditing inspection within the next three years or face delisting by American stock exchanges, part of a multiyear effort in Washington, D.C. to address the issue of the lack of rights U.S. investors have in these stocks.

If China moves bring down Didi’s share price and it forces new investors on the company, it would look a lot like the scenario that Jesse Fried, a professor of law at Harvard University, laid out to MarketWatch early last week. Basically, he sees the opportunity for China to drive down the price of these companies before having rich Chinese investors take them private at a lower price.

“Chinese companies that list here often end up going private. The people who control a company they plan to take private may release bad news and withhold good news so the stock goes down, and then buy back the firm’s stock at a very low price,” Fried said. “This happens not only with Chinese go-privates, but also with American ones too. It won’t happen with a company like Alibaba BABA, which is too big to take private, but it can happen with smaller companies.”   

One example he gave was Qihoo 360, which like most Chinese IPOs was domiciled in the Cayman Islands with a structure that gave U.S. shareholders no real voice. In late 2015, the company announced a deal to be taken private by a group of investors led by its CEO Zhou Hongyi, who had a 61% majority stake. The go-private deal valued Qihoo at about $9.3 billion, but after it relisted in Shanghai, its shares soared to a $56 billion valuation in 2017. Fried noted in this article in the Harvard Law School Forum on Corporate Governance that Quihoo’s CEO made $12 billion alone in relisting the company.

That is far from a full list, however. As of May 5, according to the U.S.-China Security Review Commission, there were 248 Chinese companies listed on these U.S. exchanges with a combined market capitalization of $2.1 trillion. In the first half of 2021, according to Dealogic, 37 Chinese companies went public in the U.S., surpassing the 36 deals for all of 2020.

Many experts on China, including Fried, believe there will be more negotiation between the two countries to stave off the worst-case scenario for investors from happening.

“My gut sense is that China will try to reach some accommodation with the U.S. government. For now, China wants to keep the U.S. markets open and available for these young Chinese companies, which China’s undeveloped capital markets cannot adequately support,” Fried said. “And even though Congress likes to shake the anti-China rattle, there is a lot of interest on Wall Street in keeping this pipeline open, because of the huge IPO fees. “

The brinkmanship has accelerated in the battle between U.S. and China in recent years, however, and the two sides have very different motivations in this fight. China, a totalitarian Communist regime that wants to control every aspect of daily life in the world’s most populous country, is also clearly looking to halt the money fest in the U.S. of Chinese public offerings, and somehow get a piece of the pie.

“There are two things going on here,” Harry Broadman, a managing director at the Berkeley Research Group, wrote in an email recently, before the latest Didi news. “Beijing is concerned about data security but not because they want to protect the populations’ data or privacy, but because Beijing wants to maintain their monopoly on data of the people. Information is power and Beijing does not want other people to have those kinds of data that in principle could be used to engender unrest.”

But now, since the U.S. passed the legislation sponsored by Sen. John Kennedy (R, Louisiana) late last year requiring foreign companies that went public in the U.S. to allow audit inspections in the next three years, the clock is ticking. It also represents an opportunity for U.S. investors to get out while they can.

“Since the Kennedy bill has passed, there is this other clock ticking,” said Lynn Turner, a senior adviser at Hemming Morse LLP and former chief accountant at the Securities and Exchange Commission. The Holding Foreign Companies Accountable Act will require the SEC to prohibit trading of securities of foreign companies in the U.S. markets after three consecutive years of non-inspection, if the Public Company Accounting Oversight Board (PCAOB) determines it cannot inspect a company’s audit work papers. That, though, is the worst-case scenario that many don’t expect.

“There are unlikely to be any de-listings of China-based issuers until 2025, with 2022 to be deemed the first non-inspection year,” said Shaswat Das, a lawyer at King & Spalding in Washington, D.C. who was chief negotiator for the PCAOB with the Chinese regulators from 2011-2015, in an email. “Despite the escalating tension between the U.S. and China in a number of areas, the passage of the legislation and its implementation by the SEC and the PCAOB may actually bring both parties…back to the bargaining table once again. There is too much to lose on both sides.”

But China’s ultimate goal appears to be twofold: to have the stocks of the big important growth companies trading back at home, under the watch of the Communist Party, and to better regulate or anticipate sketchy companies or frauds like Luckin Coffee LKNCY that went public here.

At some point in the future, Fried believes, “The Chinese government will stop letting the PCAOB inspect, or come up with another plan to herd all these companies back to China, once China’s own capital markets are sufficiently developed.”

He noted that if the Chinese government does refuse to cooperate with the PCAOB, some companies will probably go private and then probably relist elsewhere, like on the exchanges in Singapore, Hong Kong or London.

While many retail investors have been excited about the Chinese market and the potential in these stocks, passive investors could also get hurt, since China is an important emerging market for many fund managers.

“We have always identified that there are risks out there with these companies that some accountants don’t understand, that some regulators don’t understand and that some investors don’t understand,” said Jeff Mahoney, general counsel of the Council for Institutional Investors, or CII. “Our members are largely passively invested. For the most part they invest in companies through index investing.” CII issued a white paper explaining the risks to investors in the structures of Chinese companies going public in the U.S. in 2017.

Turner noted that the CII has been warning investors about the issues with these companies for years, but because of the huge returns, large asset managers aren’t too concerned about the risks.

“I talked to some of the largest ones, and asked them why are you investing in these things, sooner or later the chicken is going to come home to roost,” he said. “Their view is until that happens, and we are making enough money, we will continue to do it. We will make a lot of fees on it, and when it goes upside-down, it won’t be our problem.”

Turner said he believes most major investment funds have exposures to Chinese listings in the U.S., from Fidelity Investments to Vanguard. “Those funds need to be pressed very hard on what their strategy is for getting out of the Chinese companies that face delisting, if things don’t change,” he said.

Turner believes there is too much risk for investors in this area. “I think American investors would be wise to hold back and not invest in any new Chinese companies, until we see this develop more in the next few years.”

With the new U.S. law in effect, and the potential threat of delisting looming, investors may have up to three years to examine their portfolios and take their profits. But even if the Chinese and the U.S. come to an agreement where auditors are able to look at the books of U.S.-listed companies, it isn’t necessarily going to stop the next Luckin Coffee from happening. The wisest move may be to get out while you still can.

Didi Joins China’s Worst U.S. IPOs After New Regulatory Pressure

Yahoo Finance 22 July, 2021 - 12:06pm

Didi shares tumbled nearly 10% Thursday in New York, extending their decline to 26% below the initial public offering price set less than a month ago after Bloomberg reported Chinese regulators are considering harsher measures.

Thirty-seven companies domiciled in China and Hong Kong listed shares in New York this year at a record breaking pace, raising nearly $13 billion. But the returns have yet to match the flurry of activity. The shares are trading an average of 9.1% below their IPO prices, according to data compiled by Bloomberg.

The worst performing among deals to raise at least $500 million, RLX Technology Inc., a vaping firm based in Hong Kong, is down about 50% from its IPO price in January. Didi is next, followed by software maker Full Truck Alliance Co Ltd., which is trading 17% below the June 22 IPO price.

Didi’s travails, amid a broader crackdown by Chinese regulators on technology companies, has already started to sour the outlook for further China listings in the U.S. this year. For some, including Loop analyst Rob Sanderson, the weakness in the stocks will probably fade over time.

“While the event path is unclear and not without further downside risk, we think this period of uncertainty will prove to be a buying opportunity for the sector overall,” he wrote in a note on Thursday.

The underlying issue with China’s regulatory crackdown is about data sovereignty, Loop added, rather than a preferred listing venue.

Read more: Didi Crackdown Sours Record Year for China U.S. IPOs: ECM Watch

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Regulators view Didi's decision to go public despite pushback from the Cyberspace Administration of China (CAC) as a challenge to Beijing's authority, the report https://www.bloomberg.com/news/articles/2021-07-22/china-is-said-to-weigh-unprecedented-penalty-for-didi-after-ipo quoted sources as saying. Didi did not immediately respond to a Reuters request for comment. The CAC last week said officials from at least seven departments sent on-site teams to conduct a cybersecurity review of Didi.

Didi Global ADRs (NYSE:DIDI) fell over 5% in Thursday’s premarket trading following a report that authorities in China are considering slapping “serious, perhaps unprecedented” penalties on the company. Its troubles with the Chinese authorities became public soon after. According to a report in The Wall Street Journal last month, China’s cybersecurity watchdog had suggested Didi delay its initial public offering and urged it to conduct a thorough self-examination of its network security.

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Didi Shares Plummet As China Mulls Hefty Fines

pymnts.com 22 July, 2021 - 11:35am

Regulators investigating Didi include the Ministry of Public Security, the Ministry of State Security, the Cyberspace Administration of China, the Ministry of Transport and the Ministry of Natural Resources.

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About The Study: Superconnected consumers use a variety of connected devices to interact, shop and pay online, but say password-based authentication slows them down. PYMNTS surveyed 2,127 consumers and found that these highly connected, highly desirable customers want financial institutions (FIs) and merchants to ditch the password and provide a better and more secure way to authenticate themselves online.

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Didi shares drop on report China is planning unprecedented penalties

CNBC 22 July, 2021 - 07:09am

Chinese ride-hailing giant Didi came under pressure again on Thursday amid a report that Beijing is considering harsh penalties from a massive fine to even a forced delisting after its IPO last month.

Shares of Didi fell more than 10%, bringing its month-to-date losses to 27%. Bloomberg News reported Chinese regulators are planning a slew of punishments against Didi, including a fine likely bigger than the record $2.8 billion that Alibaba paid earlier this year.

The penalties could also include suspension of certain operations, delisting or withdrawal of Didi's U.S. shares, the report said, citing people familiar with the matter. Didi didn't immediately respond to CNBC's request for comment.

Didi shares have dropped about 25% since its market debut on June 30 when it started trading at $14 a share.

The Cyberspace Administration of China alleged that Didi had illegally collected users' data.

Beijing is stepping up its oversight on the flood of Chinese listings in the U.S., which are overwhelmingly tech companies. The State Council said in a recent statement that the rules of "the overseas listing system for domestic enterprises" will be updated, while it will also tighten restrictions on cross-border data flows and security.

— Click here to read the original Bloomberg News story.

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Hong Kong's status as a financial center seems safe

Yahoo News 22 July, 2021 - 04:00am

Why it matters: Beijing's increasing control and influence over Hong Kong is seen by many banks and investors as more of a feature than a bug. While there are certainly downsides to staying, for the time being, the upside seems to be even greater.

As Asia Group principal Kurt Tong wrote in a recent essay for Foreign Affairs, "Politics only narrowly affects the core incentives that guide financial and business decisions."

The big picture: Hong Kong has been a gateway to mainland China for centuries. As China begins its crackdown on companies raising foreign capital and listing on foreign exchanges, that's only going to strengthen Hong Kong's hand as the go-to place where shares of Chinese companies can be traded in a fully convertible currency.

Where it stands: Western investment banks are hiring thousands of new employees in Hong Kong, many of them hailing from mainland China.

They're very unlikely to make any kind of pro-democracy waves, after seeing what happened to local banking giant HSBC when it fell afoul of the Chinese Communist Party.

Hong Kong has already seen $27.4 billion of IPOs in the first half of this year, per EY's latest global IPO report, making it the third most popular IPO venue in the world. (That's nothing new: It's been in the top 3 every year since 2013.)

At this pace, Hong Kong is going to set a new IPO proceeds record this year, especially given the fact that, as EY Asia-Pacific IPO chief Ringo Choi notes, "geopolitics and tightened regulatory oversight encourage Chinese companies to switch from the U.S. to Hong Kong for their IPO."

The other side: Recent moves by Beijing are weakening some of the core transparency tenets that have provided a foundation for Hong Kong's financial services sector.

What they're saying: "I do not see why journalists should have the privilege” of using the official registry of companies, Hong Kong chief executive Carrie Lam said in March.

Threat level: Hongkongers and foreign bankers are openly talking about leaving the country, for fear of the new national security law or just of not receiving a balanced and honest education for their children.

In a recent American Chamber of Commerce survey, 42% of members said they were considering moving away.

The pandemic didn't just hurt Hong Kong's economy; it also closed many international borders, making it much harder for Hongkongers to leave. Once countries like Australia reopen, expect a pickup in emigration from Hong Kong.

At the same time, however, there's no shortage of highly qualified mainland Chinese eager to take their place.

The bottom line: Hong Kong has comfortably retained its top-tier status as a global financial center s0 far — it's in fourth place in the latest Z/Yen ranking, behind only New York, London and Shanghai.

"So long as there’s money to be made here, money’s going to come here," says Michael Schuman, the Hong Kong-based author of Superpower Interrupted. "The finance center can run perfectly nicely here being run primarily by mainlanders."

Visit by deputy secretary of state Wendy Sherman on Sunday follows reported standoff over diplomatic protocol The US deputy secretary of state, Wendy Sherman, speaks during a news conference in Tokyo this week. She will continue her Asian tour in China. Photograph: Rodrigo Reyes Marin/ZUMA Press Wire/REX/Shutterstock Amid escalating diplomatic tensions, the US deputy secretary of state, Wendy Sherman, will travel to China this Sunday to meet with senior Chinese diplomats in the highest-level vis

China’s military has blasted a dam to release floodwaters threatening one of its most heavily populated provinces, as the death toll in widespread flooding rose to at least 25.

BEIJING (Reuters) -China rejected on Thursday a World Health Organization (WHO) plan for a second phase of an investigation into the origin of the coronavirus, which includes the hypothesis it could have escaped from a Chinese laboratory, a top health official said. The WHO this month proposed a second phase of studies into the origins of the coronavirus in China, including audits of laboratories and markets in the city of Wuhan, calling for transparency from authorities. "We will not accept such an origins-tracing plan as it, in some aspects, disregards common sense and defies science," Zeng Yixin, vice minister of the National Health Commission (NHC), told reporters.

Hong Kong police have arrested five trade union members and a court has denied bail for four editors and journalists on charges of endangering national security, part of a widening crackdown on dissent in the city

The 2019 attack in Yuen Long was captured by victims and bystanders on phones and shocked the city.

The well-known ETF money manager is making the most of the market correction in some of her more-dynamic growth stocks. Let's check out her shopping list.

If you're hunting for stocks that could gain 100% relatively quickly, one of the best places to look is among those that already have.

The 2021 stock market rally hasn't been kind to every successful business. While financial and tech stocks dominate the return rankings through mid-July, Wall Street left many blue chip companies out of this year's surge.

D.R. Horton’s earnings were above expectations, even though the stock fell. Housing starts in June rose about 6% compared with May and are up almost 30% year over year, also exceeding economist projections. Earnings from (DHI) and existing home sales data were released Thursday—and they’re both sending the same message about the housing market: Things are fine, even if the market looks a little disappointed.

Unlike many companies in the cannabis industry, these two are posting strong numbers on both their top and bottom lines.

(Bloomberg) -- The blank-check company seeking to buy electric-car startup Lucid Motors Inc. made a last-minute appeal for retail shareholders to vote for the deal amid signs that it’s struggling to win their approval.Churchill Capital Corp. IV, the special purpose acquisition company started by investment banker Michael Klein, adjourned its Thursday shareholder meeting that was to determine the fate of the merger, pushing the decision back to the following day. It also appealed again in a new s

A dark cloud hanging over Chinese stocks listed in the U.S. could lead to a storm that washes away investors' funds, even those who are invested passively through mutual funds.

Despite big changes in the stock market over the past 50 years, indexing is still the only sure way to get superior returns, he says.

Big market declines are the perfect opportunity for long-term investors to put their capital to work.

WeWork founder Adam Neumann and an entity he controls received more than $1 billion, which he used to fund a lavish lifestyle, "The Cult of We" says.

This REIT has more than doubled over the past year, but it is still unloved on Wall Street. That could change as dividend growth comes back.

With the market favoring higher-growth -- and riskier -- electric vehicle (EV) names Wednesday, two high-profile stocks gained ground. Shares of Chinese EV maker NIO (NYSE: NIO) and aspiring electric semi-truck maker Nikola (NASDAQ: NKLA) closed the session up 6% and 3.9%, respectively. There was no company-specific news out from either NIO or Nikola Wednesday, but both have been making progress on plans to grow their respective businesses.

Shares of AT&T have struggled for many months. In the daily bar chart of T, below, we can see we can see a lot of intense activity the past five months. The moving averages have been little help in this wide swinging sideways market.

Are stocks heading up again? Or is momentum about to stall once more? After losing some ground recently, the past couple of sessions have witnessed a resumption of the upwards curve for the main indices. However, reading which way the market will turn next is no simple task right now. So, what’s an investor to do? A tried and trusted strategy is to follow the top analysts’ picks – especially those primed for some serious gains. With this in mind, the analysts at Canaccord Genuity, the largest in

These three stocks are all trading below $100 per share but with real potential to trade above that level going forward.

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