ZTE shares spiked more than 20% on Thursday after the US government announced the Chinese company will soon clear the last major hurdle to removing a crippling ban.
ZTE (ZTCOF), which makes smartphones and telecommunications equipment, has been in crisis mode since the US Commerce Department blocked American companies from selling it vital components in April. The move forced it to halt almost all of its operations and fueled tensions between the Chinese and American governments.
After Beijing intervened, the Trump administration reached a deal with ZTE to lift the ban in exchange for a series of other punishments, including the company overhauling its top management, bringing in an American monitoring team and paying a $1 billion fine.
The deal also requires ZTE, which employs around 75,000 people, to put $400 million in an escrow account.
The Commerce Department said Wednesday that it had signed the escrow agreement with ZTE, and once it receives the money, it will allow ZTE to resume buying parts from American companies. ZTE paid the hefty fine last month and appointed a new CEO and other executives last week.
Top 5 Low Price Stocks To Buy Right Now: Deutsche Bank AG(DB)
Deutsche Bank Aktiengesellschaft provides investment, financial, and related products and services. The company?s Corporate and Investment Bank division engages in the origination, sale, structuring, and trading of bonds, equities and equity-linked products, exchange-traded and over-the-counter derivatives, foreign exchange, money market instruments, securitized instruments, and commodities to sovereign countries and multinational organizations; and medium-sized companies and multinational corporations. It also offers mergers and acquisitions advisory, corporate finance, and transaction banking, as well as trade finance, cash management, and trust and securities services for financial institutions and other companies. The company?s Private Clients and Asset Management division provides mutual funds and alternative investment products; manages real estate and infrastructure investments and private equity funds; offers advisory and portfolio management services to insurance companies; and provides investment solutions to institutional customers, high net worth individuals, and families. This division also offers a range of banking products and services, including current accounts, deposits and loans, and investment management and pension products to private and self-employed individuals, and small to medium-sized businesses. Its Corporate Investments division?s principal investment activities comprise private equity and venture capital investments, corporate real estate investments, a minority stake in Deutsche Postbank AG, credit exposures, and other non-strategic investments. As of December 31, 2010, the company operated 3,083 branches in approximately 74 countries worldwide, including 2,087 in Germany. Deutsche Bank Aktiengesellschaft was founded in 1870 and is headquartered in Frankfurt am Main, Germany.
- [By Garrett Baldwin]
Now, here’s a closer look at today’s Money Morning insight, the most important market events, and stocks to watch.
The Top Stock Market Stories for Tuesday
Today, investors will watch earnings season kick into high gear. A busy day of reports started today with a solid one from UnitedHealth Group Inc. (NYSE: UNH). The health insurance giant’s stock could jump up to 3% after topping Wall Street expectations, while Johnson & Johnson (NYSE: JNJ) could gain another 2% thanks to a solid report.
The U.S. Federal Reserve could hold interest rates in place until late 2020, according to one prominent member of the central bank. On Monday, Chicago Fed President Charles Evans said that the Fed can hold off on raising rates until around the election. Evans said that holding off will help “support the inflation outlook.” Keep a close eye on Apple Inc. (NASDAQ: AAPL), whose shares are dancing with the $200 level. With Netflix Inc. (NASDAQ: NFLX) set to report earnings, Walt Disney Co. (NYSE: DIS) launching its own streaming service, and Hulu losing a major investor, all eyes are on Tim Cook’s company and its plans to enter the highly competitive content wars. Last week, AAPL stock received a price target upgrade from Wedbush, $215 to $225 per share. But if you’ve been following us, you’d know that $225 is our long-term outlook for one of the world’s top companies.
Stocks to Watch Today: NFLX, DIS, CMCSA, T, CSX
Earnings season is in full swing, and investors will keep an eye out later for Netflix Inc. (NASDAQ: NFLX). The global streaming giant reports earnings today. Prior to its earnings report, Deutsche Bank AG (NYSE: DB) upgraded its stance from a “Hold” to a “Buy” and expects stronger subscriber growth on top of higher monthly subscription costs. The German bank set a price target of $400 per share. NFLX stock is up 30% so far this year, but the stock faces increasing competition from a variety of challengers.
Brace Yourself: The 5G revolution is unleashin
- [By Garrett Baldwin]
It’s not all good news on the trade front. Shares of Caterpillar Inc. (NYSE: CAT) fell nearly 1% after the company received a downgrade from German financial giant Deutsche Bank AG (NYSE: DB). The bank slashed its price target for CAT stock from $152 to $128 on concerns that “synchronized global growth has collapsed, [and] the China Land Cycle is rolling over.” The bank added that “Europe is slowing more than expected and the U.S. is oversaturated with construction equipment.” Global growth concerns continue to accelerate and raise worries that the international economy is slipping into a recession. Central banks are tapped out on debt and have limited stimulus options.
Brent crude prices pushed toward $70 per barrel. This is the fourth consecutive day of gains as markets continue to project a tightening balance between global supply and demand. U.S. WTI crude prices were moving toward $63 per barrel as cuts by OPEC, American sanctions against Iran and Venezuela, and reduced shipments to Asia support prices. However, oil could see a bit of pressure today after the American Petroleum Institute announced a surprise uptick in domestic crude inventories. The U.S. Department of Energy will release the official report on U.S. inventory levels later today.
Stocks to Watch Today: GME, NFLX, PLAY
Shares of GameStop Corp. (NYSE: GME) plunged more than 12.2% in pre-market hours after the retail firm fell well short of earnings expectations. The company offered a weak outlook, saying it doesn’t anticipate an increase in sales this year. In fact, it expects sales to fall by 5% to 10% this year. The stock fell to its lowest level since 2005. The company is facing added pressure from Apple Inc. (NASDAQ: AAPL) and Alphabet Inc. (NASDAQ: GOOGL), two Silicon Valley giants that plan to launch their own video game streaming services in the future.
SIT THIS ONE OUT and you could miss an American economic revolution that could send three little pot stocks soaring up to 1
- [By Garrett Baldwin]
LEGAL WAVE: Barriers to marijuana could be tumbling in Mexico and Thailand, but it’s here in the U.S. where legalization could spark a “Green Rush” in certain stocks. Click here to learn about three of them…
Two Stocks to Watch Today: BKE, FB
Shares of Buckle Inc. (NYSE: BKE) were off 0.7% after the firm received a downgrade from German investment bank Deutsche Bank (NYSE: DB). The firm downgraded BKE stock from a “Hold” to a “Sell” and set a price target of $16 per share. Shares of Facebook Inc. (NASDAQ: FB) were off 1.2% after The New York Times reported that the social media giant is under criminal investigation. According to the newspaper, the firm offered “broad access to view information on Facebook users” sometimes without those users’ permission. This is a story that we’ll continue to monitor heading into next week.
John Boehner Just Revealed Why He’s Going ALL IN on Marijuana (Did You Miss It?)
Former Speaker of the House John Boehner – once the cannabis industry’s most staunch opponent – just revealed an UNCENSORED prediction about America’s most controversial, misunderstood, and what’s quickly becoming our most lucrative industry. If you missed seeing this historic announcement live, go here for a special rebroadcast.
Top 5 Low Price Stocks To Buy Right Now: Nuveen Mortgage Opportunity Term Fund(JLS)
Nuveen Mortgage Opportunity Term Fund (the Fund) is a non-diversified closed-end registered investment company. The Funds’ investment adviser is Nuveen Fund Advisors, LLC. The Fund’s investment objective is to generate attractive total returns through opportunistic investments in mortgage backed security (MBS). The Fund seeks to achieve its investment objective by investing primarily in non-agency residential mortgage-backed securities (RMBS) and commercial mortgage-backed securities (CMBS). The Fund also invests up to 20% of its managed assets in other permitted investments, including cash and cash equivalents, the United States treasury securities, non-mortgage related asset-backed securities, inverse floating rate securities, municipal securities, interest rate futures, interest rate swaps and swaptions, non-MBS credit default swaps, and other synthetic mortgage-related exposure, including equity investments in mortgage real estate investment trusts. Advisors’ Opinion:
- [By Joseph Griffin]
Nuveen Mortgage Opportunity Term Fund (NYSE:JLS) declared a monthly dividend on Wednesday, August 1st, NASDAQ reports. Shareholders of record on Wednesday, August 15th will be given a dividend of 0.113 per share on Tuesday, September 4th. This represents a $1.36 annualized dividend and a yield of 5.72%. The ex-dividend date is Tuesday, August 14th.
Top 5 Low Price Stocks To Buy Right Now: Chiasma, Inc.(CHMA)
Chiasma, Inc., incorporated on April 12, 2001, is a biopharmaceutical company. The Company is engaged in developing and commercializing oral forms of therapies that are available only by injection. Using its Transient Permeability Enhancer (TPE) technology platform, the Company is developing oral therapies. The Company has completed a Phase III clinical trial of its TPE platform-based product candidate, oral octreotide capsules (trade named as MYCAPSSA) for the treatment of acromegaly, a condition that results in the body’s production of excess growth hormone. Octreotide is an analog of somatostatin, a natural inhibitor of growth hormone secretion.
The Company’s TPE technology enhances the absorption through the intestinal wall of drugs. Using its TPE technology, the Company can transiently and reversibly open the so-called tight junctions between the cells lining the inner intestinal wall, enabling drug molecules to be absorbed intact. Its TPE formulation is a suspension of water-soluble particles containing a precise combination of medium-chain fatty acid salts and drug substance in a fat-soluble medium. The Company is developing octreotide capsules as a liquid-filled solid gelatin capsule formulation, which is intended to be taken over twice a day. The Company has initiated a Phase III multi-center, open-label, baseline-controlled clinical trial to evaluate the safety and efficacy of octreotide capsules in patients with acromegaly who responded to and tolerated treatment with somatostatin analogs. The Company also focuses on developing CH2 for Orphan indication.
- [By Shane Hupp]
Chiasma Inc (NASDAQ:CHMA) Director Scott Minick purchased 4,000 shares of the company’s stock in a transaction on Tuesday, September 18th. The stock was acquired at an average cost of $3.07 per share, for a total transaction of $12,280.00. Following the completion of the purchase, the director now owns 62,531 shares of the company’s stock, valued at approximately $191,970.17. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.
- [By Max Byerly]
Chiasma Inc (NASDAQ:CHMA) Director Scott Minick acquired 25,000 shares of Chiasma stock in a transaction dated Thursday, September 20th. The shares were purchased at an average price of $3.08 per share, with a total value of $77,000.00. Following the acquisition, the director now owns 62,531 shares of the company’s stock, valued at $192,595.48. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink.
Top 5 Low Price Stocks To Buy Right Now: Mackinac Financial Corporation(MFNC)
Mackinac Financial Corporation operates as the holding company for mBank that provides commercial and retail banking products and services. The company offers interest bearing and non-interest bearing deposit products, including commercial and retail checking accounts, negotiable order of withdrawal accounts, money market accounts, individual retirement accounts, regular interest-bearing statement savings accounts, and certificates of deposit. It also provides consumer loan products, such as installment, mortgages, and home equity loans, as well as residential mortgage loans, commercial and governmental lease financing, and direct and indirect consumer financing. In addition, the company offers title insurance services. It operates approximately 13 branch offices in the Upper Peninsula of Michigan and 4 branch offices in Michigans Lower Peninsula; and 20 automated teller machines. The company was formerly known as North Country Financial Corporation and changed its name to Mackinac Financial Corporation in December 2004. Mackinac Financial Corporation was incorporated in 1974 and is headquartered in Manistique, Michigan.
- [By Max Byerly]
Get a free copy of the Zacks research report on Mackinac Financial (MFNC)
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- [By Logan Wallace]
News headlines about Mackinac Financial (NASDAQ:MFNC) have trended somewhat positive this week, Accern reports. The research group identifies negative and positive news coverage by monitoring more than twenty million blog and news sources in real-time. Accern ranks coverage of publicly-traded companies on a scale of negative one to positive one, with scores nearest to one being the most favorable. Mackinac Financial earned a coverage optimism score of 0.07 on Accern’s scale. Accern also assigned news articles about the financial services provider an impact score of 46.7240712873041 out of 100, indicating that recent news coverage is somewhat unlikely to have an impact on the company’s share price in the next few days.
Top 5 Low Price Stocks To Buy Right Now: Nationstar Mortgage Holdings Inc.(NSM)
Nationstar Mortgage Holdings Inc., incorporated on May 9, 2011, provides servicing, origination and transaction based services principally to single-family residences throughout the United States. The Company operates through three segments: Servicing, Originations and Xome. The Company provides residential loan services in the United States. The Company also operate an integrated residential loan origination platform that is primarily focused on customer retention. Its Xome subsidiary offers an array of complementary services related to the purchase and disposition of residential real estate.
The Company provides residential mortgage services in the United States conducting operations through its Nationstar Mortgage and Champion Mortgage brands. Servicing primarily involves loan administration, payment processing, mortgage escrow account administration, collection of insurance premiums, response to homeowner inquiries, loss mitigation solutions, including loan modifications and supervision of foreclosures and property dispositions on behalf of the owners of the loans. Its servicing portfolio can be segregated as components, including mortgage servicing rights (MSRs)-Fair Value, subservicing and MSRs-lower of cost or market (LOCOM). MSRs-Fair Value consists of rights that the Company owns and records as assets to service traditional residential mortgage loans for others either as a result of a purchase transaction or from the sale and securitization of loans it originates. Subservicing consists of forward residential mortgage loans it services on behalf of others who are MSR or mortgage owners. MSRs-LOCOM consists of rights to service reverse residential mortgage loans, owned by Federal National Mortgage Association (Fannie Mae), Government National Mortgage Association (Ginnie Mae) and private investors.
The Company originates residential mortgage loans through both the Greenlight Financial Services (Greenlight) and Nationstar! Mortgage brands. The Company primarily markets mortgage products to existing servicing customers and customers of homebuilders, as well as participate in the correspondent market.
Xome is a residential real estate services and technology company created to perfect the residential real estate transaction experience for consumers and real estate professionals (including brokers and agents) through service offerings. Xome consists of approximately three business units, including Xome Exchange, a platform that manages and sells residential properties; Xome Services, which connects the major touch points of the real estate transactions process by providing title, valuation, settlement and closing services to consumer and financial institutions, and Xome Technology and Support, which provides connectivity for the entire residential real estate market through technology development, data analytics and customer relationship management tools. Xome Exchange services include traditional non-distressed sales, real estate owned (REO) auctions, short sales and foreclosure trustee sales. Xome Services includes Title365 branded offerings. Xome Technology contains a set of businesses, including Real Estate Digital (multiple listing service (MLS) data and broker tools), Quantarium (data analytics), GoPaperless (e-signature platform), Xome Signings (notary services), Cerulean (digital marketing) and Xome Labs (product/technology development incubation lab).
- [By Joseph Griffin]
News coverage about Nationstar Mortgage (NYSE:NSM) has trended somewhat positive on Saturday, according to Accern Sentiment. The research firm identifies positive and negative news coverage by analyzing more than twenty million blog and news sources in real-time. Accern ranks coverage of public companies on a scale of negative one to positive one, with scores nearest to one being the most favorable. Nationstar Mortgage earned a media sentiment score of 0.12 on Accern’s scale. Accern also gave media headlines about the financial services provider an impact score of 48.8354214982419 out of 100, indicating that recent news coverage is somewhat unlikely to have an effect on the company’s share price in the immediate future.
- [By Logan Wallace]
Eqis Capital Management Inc. purchased a new stake in Nationstar Mortgage Holdings Inc (NYSE:NSM) in the second quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor purchased 10,391 shares of the financial services provider’s stock, valued at approximately $182,000.