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Farming Without Owning A Farm with Onyeka Akumah, CEO of @Farmcrowdy from @wandieville

Tue, 04/09/2019 - 6:00am  |  Timbuktu Chronicles
From Wandieville:
Wandie Kazeem interviewing Onyeka Akumah CEO of Farmcrowdy. A leading Nigerian agtech company that empowers rural farmers by providing them with agriculture inputs, extension services, finance, and a guaranteed off take market for their produce. They link farm investors to smallholder farmers in different parts of the country.

Prepaid card transactions will hit $396 billion by 2022 — and new players like Apple, Amazon, and Venmo are trying to gain share

Tue, 04/09/2019 - 2:01am  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

The US prepaid card ecosystem is huge, with 10.7 billion prepaid card transactions made in 2016 reaching $290 billion. And it’s shifting focus from low-income, un- and underbanked consumers toward millennials and higher-income adults.

But as the market evolves, legacy prepaid issuers, like Green Dot, are under threat. The market is becoming more competitive as tech companies like Apple, Square, and Venmo develop their own prepaid offerings, likely as part of a push to drive customers to engage with their core peer-to-peer (P2P) transfer or digital wallet apps. These players’ robust digital offerings and ability to offer prepaid services for lower, or no fees are undercutting legacy businesses. And on top of crowding, the Consumer Financial Protection Bureau (CFPB) is implementing regulations next year that could impact some issuers’ monetization strategies.

As a result, the US prepaid card market is becoming an increasingly complicated space for issuers to navigate, so prepaid issuers need to rethink their strategies to best attract consumers. Companies can attract a bigger user base if they target younger users from both low-income and high-income segments. They should also provide convenient offerings, that integrate digital features to make account information accessible, to cater to young consumers’ preferences.

Business Insider Intelligence has put together a detailed report that explores the evolving prepaid card industry, identifies how issuers can maintain profitability in a market that’s being challenged by new players and impending government regulations, and evaluates various paths to success.

Here are some key takeaways from the report:

  • There were 10.7 billion prepaid card transactions worth $290 billion in 2016, according to The Federal Reserve. Business Insider Intelligence expects that to grow to $396 billion by 2022. 
  • The prepaid space has historically been filled with incumbents like Green Dot. But new players, like Apple, Amazon, and Venmo, are trying to gain share, which is pushing large prepaid firms to merge or acquire one another to grow.
  • Issuers can adapt to the change in the space, and grow their share of the market, by providing convenient, multichannel access, and doing so in a way that facilitates profitability. Targeting younger consumers, both from the underbanked and high-income segments, as well as accessing users from physical as well as digital channels, can help facilitate this growth.

In full, the report:

  • Sizes the US prepaid card market and estimates its future trajectory.
  • Identifies industry leaders and the newcomers to prepaid that are threatening their market share.
  • Evaluates growth factors and inhibitors that are increasing competition in the space.
  • Issues recommendations and strategies that issuers can implement to stay ahead in such a rapidly shifting space.
Subscribe to an All-Access pass to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store

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AI IN BANKING AND PAYMENTS: How artificial intelligence can cut costs, build loyalty, and enhance security across financial services

Tue, 04/09/2019 - 1:06am  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here

Artificial intelligence (AI) is one of the most commonly referenced terms by financial institutions (FIs) and payments firms when describing their vision for the future of financial services. 

AI can be applied in almost every area of financial services, but the combination of its potential and complexity has made AI a buzzword, and led to its inclusion in many descriptions of new software, solutions, and systems.

This report from Business Insider Intelligence, Business Insider's premium research service, cuts through the hype to offer an overview of different types of AI, and where they have potential applications within banking and payments. It also emphasizes which applications are most mature, provides recommendations of how FIs should approach using the technology, and offers examples of where FIs and payments firms are already leveraging AI. The report draws on executive interviews Business Insider Intelligence conducted with leading financial services providers, such as Bank of America, Capital One, and Mastercard, as well as top AI vendors like Feedzai, Expert System, and Kasisto.

Here are some of the key takeaways:

  • AI, or technologies that simulate human intelligence, is a trending topic in banking and payments circles. It comes in many different forms, and is lauded by many CEOs, CTOs, and strategy teams as their saving grace in a rapidly changing financial ecosystem.
  • Banks are using AI on the front end to secure customer identities, mimic bank employees, deepen digital interactions, and engage customers across channels.
  • Banks are also using AI on the back end to aid employees, automate processes, and preempt problems.
  • In payments, AI is being used in fraud prevention and detection, anti-money laundering (AML), and to grow conversational payments volume.

 In full, the report:

  • Offers an overview of different types of AI and their applications in payments and banking. 
  • Highlights which of these applications are most mature.
  • Offers examples where FIs and payments firms are already using the technology. 
  • Provides descriptions of vendors of different AI-based solutions that FIs may want to consider using.
  • Gives recommendations of how FIs and payments firms should approach using the technology.
Subscribe to an All-Access membership to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store

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Looking to billionaires like Ray Dalio to fix inequality is like 'asking a fox to worry about hen protection,' says a prominent critic of the Davos set

Mon, 04/08/2019 - 6:02pm  |  Clusterstock

  • Anand Giridharadas is the author of "Winners Take All" and a prominent critic of elites in the US.
  • He commented on Ray Dalio's recent call to reform capitalism, criticizing the way society is so quick to embrace the words of a billionaire, even when self-critical.
  • Giridharadas said that for real reform to happen, Americans must stop relying on public-private partnerships where private individuals, even with good intentions, have outsized influence.
  • This article is part of Business Insider's ongoing series on Better Capitalism.
  • Visit Business Insider's homepage for more stories.

Bridgewater Associates founder Ray Dalio raised eyebrows this past weekend. As head of the world's largest hedge fund, Dalio is estimated to have a net worth of $18.4 billion, according to Forbes. And yet the billionaire declared on both "60 Minutes" and LinkedIn that current levels of inequality are "a national emergency," adding that "the American dream is lost."

Someone whose ears perk up whenever a billionaire starts talking about the state of the country is Anand Giridharadas, an editor-at-large for Time and the author of "Winners Take All." He's emerged as one of the most prominent critics of America's elite class since his book was published last August, and in January he told Business Insider that "we're all passengers in a billionaire hijacking" of the United States.

On Monday, Giridharadas said that Dalio can join the discussion of inequality, but would need to "become a traitor to his class" if he wants to see real change. Core to Giridharadas' argument for where the US should be heading is that America has become too reliant on elites (even those with the best intentions) to solve structural problems. Giridharadas sent Business Insider the following:

"What Ray Dalio needs to understand, which members of his class so often struggle to understand, is that the reason his class has too much money is because it also has too much power. Power in Washington. Power in an under-taxed, under-regulated economy. Power exerted through big philanthropy. Power lubricated by a cultural narrative that deifies wealth and marginalizes democratic solutions. Power to have his musings on inequality be aired on '60 Minutes' just because this fox suddenly has thoughts on hen protection, even though others who have been doing the work of narrowing the divides for decades would never get that kind of platform."

In his "60 Minutes" interview, Dalio said that "of course" the wealthy need to be taxed more, and that the concept of lowering taxes on the rich to increase productivity "doesn't make any sense to me at all." He also noted that the only way inequality of wealth, income, and opportunity can be changed on a meaningful level is through political leadership.

Ahead of the "60 Minutes" interview, Dalio announced he and his wife were making a $100 million donation to underserved Connecticut public schools. Giridharadas had thoughts on that, as well:

"It is fine to donate money to Connecticut. But Dalio's personal preferences should have zero influence on how the money is spent. This is the problem with the public-private-partnership model he venerates: It puts some rich guy and the State of Connecticut on an equal footing to negotiate a plan to enhance the general welfare. Why? You wouldn't ask an arsonist to lead the firefighting brigade, and you shouldn't ask those who have benefited most from a rigged system, and who have the most to lose from genuine reform, to lead the reformation of the system."

Giridharadas said that for all people in positions of power, whether as individual philanthropists or as leaders of corporations, the caveat to doing good must also be reducing harm done.

In his book "Winners Take All," he argues that when we are looking toward corporations and the rich to fix society, our system has failed and needs policy changes rather than philanthropic Band-Aids or "conscious capitalism."

And over the past few months, Giridharadas has been much harder on Starbucks' billionaire former CEO Howard Schultz, who has been flirting with the idea of running for president as a centrist Democrat. Unlike Dalio, Schultz has dismissed the idea of significantly raising taxes on the wealthy. As for the elites who are unwilling to make some drastic changes to the American economy, "these guys are, honestly, asking, begging, to be overthrown and they need to wake up to the moment they're in," Giridharadas said in January, after talking about Schultz and fellow billionaire Michael Bloomberg.

That's actually a point Dalio agrees with Giridharadas on, that if capitalism remains unreformed in America for much longer, there will be some form of revolt.

When asked whether it's necessary to have billionaires who call for similar fixes to society, even as he desires for the extent of their power to diminish, Giridharadas said that he is willing to have a dialogue with Dalio or any other powerful person who recognizes the need for change. For Giridharadas, the key word is "dialogue," where a billionaire is willing to step back and "live as one in a sea of equals, their voice no more or no less important than anyone's."

SEE ALSO: Hedge-fund billionaire Ray Dalio says 'the American dream is lost'

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Former Twitter exec Adam Bain explains why internet-connected in-home fitness startups like Tonal and Peloton are a hit with investors (TWTR)

Mon, 04/08/2019 - 5:44pm  |  Clusterstock

  • Adam Bain, Twitter's former chief operating officer, was an early investor in Tonal, a startup that specializes in at-home personalized strength-training equipment and videos.
  • Tonal announced it raised $45 million in series C funding last week led by the growth fund of L Catterton. The round also included new investment from Evolution Media in addition to existing investors Serena Ventures and Mayfield, among others.
  • In an email interview, Bain suggested that startups such as Tonal and Peloton are so popular with both consumers and investors because there's an unmet need for technology that actually makes it easier for users to live happier, healthier lives.

Last week, the internet-connected fitness startup Tonal announced a $45 million series C led by the consumer venture-capital firm L Catterton, bringing its total amount raised to $90 million since 2015.

Adam Bain, Twitter's former chief operating officer, joined the Tonal board in 2017 because he believes it is a “category-defining company,” he told Business Insider. Bain suggested that the boom in at-home internet-connected fitness training, such as Tonal and Peloton, is primarily driven by the consumer's need for convenience above all else.

“People value convenience and are willing to invest in their health at a level that I don’t think the market realized. You will see people making large investments in product like Tonal as long as the product inspires, and motivates you to stay consistent with fitness goals,” Bain said via email.

Tonal's weight-training system relies on electromagnetics to create “digital weight” that is personalized to the user’s fitness ability. Combined with Tonal’s on-demand video-training subscription ($49 per month), customers can essentially train with a dedicated personal trainer at home instead of virtually attending a class, as is the case with Peloton. The Tonal hardware costs about $3,000, priced above the $2,000 for the flagship Peloton bike.

On the subject of Peloton, Bain points to the popular exercise bike as proof that customers are willing to pay for a convenient fitness solution that delivers on its promise of making it easier to have a healthier lifestyle — which has made it a hit with investors, who valued Peloton at $4 billion last year. However, Bain said that Tonal is fundamentally different from Peloton because of the complexity that comes with strength training.

Read more: A leading investor in Peloton and Equinox reveals how his firm predicts the big trends in home fitness — and what he thinks will be next

“At a high level, people are realizing that only doing cardio is not how you see body transformation or results. Strength training is really important, especially as you age. Strength training actually makes you better at cardio and you are seeing that there is a new cultural awareness around the importance of strength training that Tonal is positioned to own,” Bain said via email.

Bain said that Tonal will continue to invest in new formats that make it easy for users to connect and train outside their homes. He said the company is also considering launching pop-ups and events to bring even more customers online and that personalization will always be key to the success of connected fitness technology.

“All the investors are incredibly excited about the technology, the ability for the product to continually improve from a software and personalization standpoint, and the ongoing cadence of content development puts Tonal on a path to becoming a true platform,” Bain said via email.

The new funding, Bain said, will also be used to shore up recruiting efforts in addition to expanding personalization features for customers, such as data visualizations and real-time workout feedback.

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Most people never think to try a stunningly simple way to cut down credit-card debt

Mon, 04/08/2019 - 5:14pm  |  Clusterstock

Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. We may receive a small commission from our partners, but our reporting and recommendations are always independent and objective.

  • Most people don't know you can call your credit-card issuer to ask for a reduced annual percentage rate (APR).
  • Eight in 10 credit-card holders who asked for a lower interest rate in the past year were successful, according to a new survey from CompareCards.com. The average reduction was 6 percentage points.
  • Credit-card companies may also be lenient when it comes to waiving fees and increasing credit limits — you just have to ask.

Credit-card issuers have more mercy to give than most people realize.

According to a new survey from CompareCards.com, a LendingTree company, eight in 10 credit-card holders who asked their bank or credit union for a reduced annual percentage rate (APR) in the past 12 months were granted one.

Nearly half of American households are in credit-card debt, carrying an average of $6,929, according to a NerdWallet analysis. But any amount of debt can feel suffocating when the average APR, the interest rate you're charged for borrowing money, is creeping toward 18%.

 

APRs are usually determined by your credit score, or your trustworthiness in paying back lenders. Carrying a balance on an account with a high APR can add hundreds of dollars to your debt load. A $7,000 balance on an account with 20% APR, for instance, will yield a $115 interest payment for the first billing cycle.

Of those who asked for a lower APR and were successful, rates dropped by 6 percentage points on average, CompareCards.com found. Only one in five cardholders who were surveyed asked for an APR reduction in the past year, and men were more likely to do so. Those who didn't ask said they weren't aware they could. The survey also found younger cardholders were more likely to be granted a reduced APR.

Looking for another strategy to reduce credit-card debt? Consider these offers from our partners:


The CompareCards.com writer Matt Schulz recommends researching competitors' APRs before calling your bank to ask for a lower rate. Here's one way Schulz suggested to phrase it: "I've had your card for many years, but it has a 24% APR and I've just been offered a card with an 20% APR. Would you be willing to match it?"

A lower APR can make a difference of hundreds of dollars in interest payments. As Schulz puts it, a $5,000 balance with a 24% APR and $250 monthly payments will take 26 months to pay off, plus you end up paying about $1,450 in interest. With a 6% rate reduction, you can pay off the same amount in 24 months and save more than $450 in interest.

 

It turns out banks are also lenient when it comes to fees and credit limits. CompareCards.com found 87% of people were successful in their request to waive a late fee, 79% of people were granted a higher credit limit, and 90% of people were able to get their annual fee waived or reduced just by calling to ask.

Taking these steps to pay off credit-card debt faster, improve your credit-utilization rate, and avoid late payments can be the difference between a good credit score and an excellent credit score. According to another LendingTree report, people with excellent credit have an average of nine open accounts, a credit-utilization rate under 6%, and no record of late or missed payments in the past four years.

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Tesla fired dozens of salespeople after its disappointing Q1 delivery report (TSLA)

Mon, 04/08/2019 - 4:24pm  |  Clusterstock

  • Tesla fired "several dozen" sales employees on April 4.
  • The cuts affected employees in Chicago; Brooklyn, New York; and Tampa, Florida.
  • A Tesla representative confirmed the firings to Business Insider and said the affected stores remain open.
  • Tesla announced a shift in its retail strategy in February that the company said would lead to layoffs.
  • Visit BusinessInsider.com for more stories.

Tesla dismissed "several dozen" sales employees on April 4, Bloomberg's Dana Hull first reported. The cuts affected employees in Chicago; Brooklyn, New York; and Tampa, Florida.

A Tesla representative confirmed the firings to Business Insider and said the affected stores remain open.

Read more: The biggest question for Tesla is whether the company can make steady profits on its cars

The electric-car maker said in February that it would close many of its stores and convert the remaining stores into galleries and information centers as it shifts to an online-only sales model. Tesla CEO Elon Musk said the move would lead to layoffs during a conference call that followed the announcement.

Tesla partially reversed the store closures in March, saying it would "keep significantly more stores open than previously announced." Musk later said in a March email to employees that the best-performing stores would remain open, while those that did not generate sufficient revenue would be closed, adding that Tesla would use a similar strategy to evaluate salespeople.

The April 4 cuts came the day after Tesla announced first-quarter delivery numbers that represented a 31% decrease from the prior quarter and fell below analyst estimates, but were a 110% increase from the first quarter of 2018.

Since late 2018, Tesla has made significant changes to the incentive plans for its salespeople. The company has undergone multiple rounds of layoffs over the past year.

Read Bloomberg's full story here.

Have you worked for Tesla? Do you have a story to share? Contact this reporter at mmatousek@businessinsider.com.

SEE ALSO: Tesla just updated its ‘Navigate on Autopilot’ feature — here’s what’s new

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NOW WATCH: Here's how Tesla's Model Y SUV is different from the Model X and Model 3

These 11 retailers have filed for bankruptcy or liquidation in 2019

Mon, 04/08/2019 - 3:33pm  |  Clusterstock

  • It's only April, but a number of major national retailers have already filed for bankruptcy this year.
  • Not all of these companies will cease to exist — some are just looking to restructure.
  • Check out which retailers have already filed for bankruptcy this year.

We're just a few months into 2019, but we've already seen a number of major retailers file for bankruptcy.

Some of these bankruptcies will allow companies to restructure and re-enter the fray. Others, like Payless and Charlotte Russe, will shut down entirely.

Read more: Yelp is using its data to evaluate the American economy — and it says these businesses are in a slump

Unfortunately, this means that thousands of stores will shutter and thousands of employees will lose their job. And, given that it's only April, these likely won't be the only bankruptcies we hear about in 2019.

Here's a list of the retail companies that have filed for bankruptcy so far:

SEE ALSO: The 7 richest retail billionaires in the world

DON'T MISS: 5 grocery chains that Americans love and respect

Beauty Brands

Beauty Brands filed for Chapter 11 bankruptcy on January 4.



Innovative Mattress Solutions

The Kentucky-based mattress company, which owns Mattress Warehouse, Mattress King, and Sleep Outfitters, filed for Chapter 11 bankruptcy on January 14.



Shopko

This Wisconsin-based retailer filed for Chapter 11 bankruptcy on January 16. On March 19, CBS reported that Shopko's 363 stores would close after the company failed to find a buyer.



See the rest of the story at Business Insider

Forget Amazon and Google. Apple could bring in $300 billion a year in healthcare, Morgan Stanley says (AAPL)

Mon, 04/08/2019 - 3:16pm  |  Clusterstock

Apple has been edging its way into healthcare for years. Morgan Stanley says investors aren't taking the move seriously enough.

Healthcare is a market where the tech titan can lead digital disruption, "armed with the Apple Watch and the iPhone," Morgan Stanley said in a recent report.

The healthcare industry could become an important driver of growth as smartphone demand plateaus, potentially bringing in anywhere from $15 billion to $313 billion in annual revenue for Apple by 2027, according to the report.

"Healthcare is both large — $3.5 trillion addressable US market — and nascent in its digital transformation," the analysts said.

"So, unlike recent announcements on news, gaming, video, and payments, where Apple is joining existing competitors, healthcare is a market where Apple has the potential to lead digital disruption — much like what iTunes did for music or the App Store for mobile services."

Investors aren't giving Apple much credit for its healthcare potential. When Morgan Stanley surveyed 30 investors and leading health and tech executives about tech companies' potential in the space, Apple got the least attention, according to the report.

But Apple's enormous user base, with 900 million iPhones and 23 million Apple Watches, can only be an advantage, the Morgan Stanley analysts said.

The team also sees a clear strategy underpinning Apple's recent moves in healthcare.

The company is building out "another ecosystem like the App Store," focused on tracking and accessing health data and information, the analysts said.

Read: Tim Cook says that improving people's health will be 'Apple's greatest contribution to mankind'

Connecting the dots on Apple's approach to healthcare

Apple has become iconic for its ability to create tech platforms where none existed, like the App Store, and iTunes for music.

But as anyone who has ever tried to get their lab-test records knows, the health industry has never been particularly easy for the average person to navigate.

Apple could change that. The tech giant already has the raw material in place to build the App Store of healthcare, Morgan Stanley argued.

That includes, for example, the Health app on every iPhone, software that medical researchers can use to conduct studies, and the Apple Watch, with its heart-health capabilities.

The company is also expanding into storing health records like prescriptions and lab results on the iPhone.

As part of those initiatives, the tech giant has partnerships with medical institutions, health insurance companies, and even the drugmaker Johnson & Johnson.

Why health could be a $300 billion revenue opportunity by 2027

Apple's healthcare play could put eye-popping revenue at stake: as much as $313 billion in annual revenue by 2027, per Morgan Stanley. The analysts based their calculation on estimates of how much waste there is in the US healthcare system and how much Apple might be able to reduce that waste.

Even a smaller figure of about $90 billion — in the middle of what the analysts see as the broad range of Apple's revenue opportunity — translates to about 35% of Apple's current revenue, the analysts said.

Apple's best shot at earning that amount is in wearables, they said, which could mean expanding into products that measure temperature, blood pressure, or glucose levels in the blood.

Announcements of that kind, for either the Apple Watch or medical-grade wearables, could ignite investor interest, the Morgan Stanley report said.

Selling health-data storage on iCloud to people is also promising, and so is selling data and tools to hospitals and doctors to make their processes more efficient.

Investors might also focus on Apple and healthcare if Apple got involved in something like the JPMorgan-Amazon-Berkshire Hathaway initiative, if the Apple Watch became covered by health insurance, or if Apple acquired a healthcare company, the Morgan Stanley report said.

Apple faces rival tech titans in healthcare

Of course, Apple is hardly the only tech giant to see an opening in healthcare.

Other large tech companies like Amazon and Google have signaled their interest, with Amazon's entry especially attracting attention.

Read more: How Alphabet, Amazon, Apple, and Microsoft are shaking up healthcare — and what it means for the future of the industry

The e-commerce giant acquired the digital pharmacy PillPack last year and recently added health skills like the ability to schedule doctor's appointments to its voice assistant, Alexa.

"It's still early days for Amazon's healthcare initiatives," the analysts wrote.

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Roku is tumbling after Citi gets nervous about its massive 110% rally this year (ROKU)

Mon, 04/08/2019 - 3:07pm  |  Clusterstock

  • Roku plunged on Monday after Citi downgraded the stock from "neutral" to "sell."
  • A triple-digit-percentage gain for the stock so far this year, rising competition in the streaming space, and what appear to be robust hiring plans at the company all contributed to Citi's downgrade.
  • The note comes days after the news outlet Cheddar reported Amazon was looking to expand its streaming offerings.
  • Watch Roku trade live.

A massive rally in Roku shares, an increasingly competitive streaming space, and what appears to be robust hiring plans fueled Citi's share-crushing downgrade of the stock on Monday.

Roku shares plunged as much as 8%, to a two-month low, after Citi analyst Mark May lowered his rating on the streaming-device company from "neutral" to "sell" and trimmed his price target from $53 to $50 a share.

"This is not necessarily a call on the Q1 earnings report," May said, referring to the company's yet-to-be-released quarterly report. "In fact, we acknowledge the general secular tailwinds in the OTT space and the potential risk from investors continuing to reward Roku with a premium multiple."

May cited a few factors behind his downgrade. First, Roku's stock had rallied nearly 110% through last Friday's closing price, causing its multiple to get a bit out of hand. While Roku is trading at 11 times enterprise value-gross profit, its competitors like Netflix, Twitter, Snap, and Facebook are trading just above 5 times. That ratio is just a fancy way of trying to assess what a stock is worth. 

Additionally, an increasingly competitive over-the-top (OTT) landscape could be a challenge for Roku, Citi said. Among other brands, the firm cited Apple's foray into streaming.

Notably, Citi also said what look like big hiring plans at the company could be an issue. Roku currently has the highest ratio of job openings to its current headcount, at 15%, of the companies May covers. That figure is 11% at Twitter and 10% for Facebook.

Citi's recent hiring forecast data shows "Roku has the highest number of job openings relative to its headcount of all companies in our coverage," May wrote. That was consistent with Roku's guidance for a decline in earnings this year.

Eric Savitz, a spokesperson for Roku, declined to comment on Citi's hiring forecast to Markets Insider.

Monday's report comes days after Cheddar said Amazon was looking to expand its streaming offerings. Cheddar reported that Amazon — which declined comment to the news outlet — sought to "include more ad-supported streaming channels to compete with Roku and Pluto TV." The report weighed on Roku shares last Wednesday.

Read more: Roku drops after report says Amazon is turning up the heat on streaming

Citi's investor note wasn't the first "sell" rating the stock garnered in recent weeks.

In March, shares of Roku plunged 14% after an analyst at Loop Capital downgraded it from "hold" to "sell." And like Citi's May, Loop Capital cited the stock's multiple. 

"We recognize that stocks can go from expensive to more expensive, but we can no longer justify a Hold rating on Roku at this price," said analyst Alan Gould. He called the stock's valuation "excessive."

Now read more markets coverage from Markets Insider and Business Insider:

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Why are Apple Pay, Starbucks’ app, and Samsung Pay so much more successful than other wallet providers?

Mon, 04/08/2019 - 2:59pm  |  Clusterstock

This is a preview of a research report from Business Insider Intelligence, Business Insider's premium research service. To learn more about Business Insider Intelligence, click here.

In the US, the in-store mobile wallet space is becoming increasingly crowded. Most customers have an option provided by their smartphone vendor, like Apple, Android, or Samsung Pay. But those are often supplemented by a myriad of options from other players, ranging from tech firms like PayPal, to banks and card issuers, to major retailers and restaurants.

With that proliferation of options, one would expect to see a surge in adoption. But that’s not the case — though Business Insider Intelligence projects that US in-store mobile payments volume will quintuple in the next five years, usage is consistently lagging below expectations, with estimates for 2019 falling far below what we expected just two years ago. 

As such, despite promising factors driving gains, including the normalization of NFC technology and improved incentive programs to encourage adoption and engagement, it’s important for wallet providers and groups trying to break into the space to address the problems still holding mobile wallets back. These issues include customer satisfaction with current payment methods, limited repeat purchasing, and consumer confusion stemming from fragmentation. But several wallets, like Apple Pay, Starbucks’ app, and Samsung Pay, are outperforming their peers, and by delving into why, firms can begin to develop best practices and see better results.

A new report from Business Insider Intelligence addresses how in-store mobile payments volume will grow through 2021, why that’s below past expectations, and what successful cases can teach other players in the space. It also issues actionable recommendations that various providers can take to improve their performance and better compete.

Here are some of the key takeaways:

  • US in-store mobile payments will advance steadily at a 40% compound annual growth rate (CAGR) to hit $128 billion in 2021. That’s suppressed by major headwinds, though — this is the second year running that Business Insider Intelligence has halved its projected growth rate.
  • To power ahead, US wallets should look at pockets of success. Banks, merchants, and tech providers could each benefit from implementing strategies that have worked for early leaders, including eliminating fragmentation, improving the purchase journey, and building repeat purchasing.
  • Building multiple layers of value is key to getting ahead. Adding value to the user experience and making wallets as simple and frictionless as possible are critical to encouraging adoption and keeping consumers engaged. 

In full, the report:

  • Sizes the US in-store mobile payments market and examines growth drivers.
  • Analyzes headwinds that have suppressed adoption.
  • Identifies three strategic changes providers can make to improve their results.
  • Evaluates pockets of success in the market.
  • Provides actionable insights that providers can implement to improve results.
Subscribe to an All-Access membership to Business Insider Intelligence and gain immediate access to: This report and more than 250 other expertly researched reports Access to all future reports and daily newsletters Forecasts of new and emerging technologies in your industry And more! Learn More

Purchase & download the full report from our research store

 

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Here are the Final Four picks of 17 Wall Street titans

Mon, 04/08/2019 - 2:36pm  |  Clusterstock

  • March Madness 2019 has one game remaing. Texas Tech will face off against Virginia in the national championship game.
  • Each year Bloomberg runs a celebrity bracket challenge in which participants donate $10,000 to charity and play for the cause of their choice.
  • Business Insider highlighted the Final Four picks of 17 Wall Street titans.

The NCAA national championship game take place on Monday evening with Texas Tech facing off against Virginia. Each year Bloomberg holds a bracket challenge in which celebrity contestants each donate $10,000 for charity and play for a cause of their choice. This year's challenge has 52 contestants playing for $520,000 that will be divvied up between the three most accurate brackets.

Of the 17 brackets from Wall Streeters highlighted by Business Insider, Duke was the most popular choice at nine.  Only five (Jim Chanos, Paul Tudor Jones, Ken Moelis, David Solomon, and Cliff Asness) chose Virginia to win the national championship and none took Texas Tech. Only two of the brackets (David Einhorn and Marc Lasry) chose Texas Tech to reach the Final Four.

Without further ado, here are the picks of 17 Wall Street titans:

Bill Ackman

Firm: Pershing Square 

Charity: First Robotics Competition

National champion: Michigan 

Runner-up: Kentucky

Other Final Four picks: Duke, Tennessee

 

Source: Bloomberg



Mike Novogratz

Firm: Galaxy Digital Holdings

Charity: The Bail Project

National champion: Duke

Runner-up: Houston

Other Final Four picks: Gonzaga, Tennessee

 

Source: Bloomberg



Jim Chanos

Firm: Kynikos Associates

Charity: Doctors of the World

National champion: Virginia

Runner-up: Michigan State

Other Final Four picks: Gonzaga, Auburn

 

Source: Bloomberg



See the rest of the story at Business Insider

After years of experimenting, I've figured out exactly what opening and closing credit cards does to your credit

Mon, 04/08/2019 - 2:35pm  |  Clusterstock

Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. Business Insider may receive a commission from The Points Guy Affiliate Network, but our reporting and recommendations are always independent and objective.

  • In 2011, author Eric Rosenberg discovered the world of travel hacking, and started opening credit cards to get sign-up or welcome bonuses in the form of points.
  • At first, he was a little wary of opening new cards, thinking they might hurt his credit — but they did just the opposite.
  • The trick to keeping his credit score high while opening and closing credit cards has been keeping careful track of his cards and making sure he never has unpaid balances.

I learned about the concept of travel hacking from Chris Guillebeau, author of "The Art of Non-Conformity" and many other great resources. This led me to one of his many projects, the Travel Hacking Cartel. I joined in June 2011 and stuck with it for a few months.

But what I learned there started me on a path to the dozen-plus credit cards club.

I would later learn that Chris is part of a wider community of “travel hackers” who look to credit card rewards and skillful bookings to get maximum travel on the minimum budget. That sounded like an incredible opportunity and something I definitely wanted to try.

Read More: The best credit card rewards, bonuses, and benefits of 2019

I was a bit off-put, however, when I first learned that the best way to get lots of points quickly is new credit card sign-up bonuses. Wouldn’t getting new credit cards hurt my precious credit score? I learned along the way, yes and no. But in the long-run, opening all of these credit cards drove my score upward!

And along the way, I’ve earned countless rewards miles and points that have taken me and my family to places like England, France, Holland, Israel, Spain, Portugal, Canada, and all over the United States. While traveling with miles and points isn’t free, it lets you go nearly anywhere for pennies on the dollar with good planning.

A system helps me manage all of my cards responsibly

With a bit of hesitation, I signed up for my first card solely with a goal of earning miles. My 100,000-point British Airways Visa Signature Card signup bonus (offer no longer available) was all I needed to get hooked on the travel hacking hobby. That bonus covered a trip to London, Paris, and Amsterdam with plenty of miles, now called British Airways Avios, left over.

Eventually, I added the Chase Sapphire Preferred Card, then another card, then another. All of a sudden, I was on my way to half a dozen cards. At this point, I realized I needed a system.

While there are many ways to do it, I keep all of my non-daily cards together in a safe place and monitor all of my balances, charges, and payments using a combination of tools. Free apps Mint and Clarity Money both work well for this purpose.

Read More: 7 reasons to open the Chase Sapphire Preferred — even though the card doesn't come with as many flashy perks as the Sapphire Reserve

As long as you pay off your cards in full each month before the due date, you’ll never pay any interest. I put a small subscription charge on a few old accounts each month with automatic payments so I don’t have to think about them. For cards I use just with specific airlines or hotels and daily use cards, I pay them manually but check the balances at least weekly in just a few seconds using the apps above.

If a card has an annual fee and I don’t see myself getting more value from the card than the cost, I try to downgrade it to a no-fee version. If that isn’t possible, I go ahead and close it. For cards with no annual fee or a good recurring value, I want to keep them open as long as possible.

I have to be careful how many cards I open, and when

When you apply for a new credit card, an inquiry shows up on your credit report that dings your score by a few points for up to two years. Opening a new credit account reduces the average age of your accounts, further bringing down your score. New credit, in the short-term, is bad for your credit score. There’s no question about it.

Further, if you plan to get a new mortgage or other important loan, lenders may look at a string of new credit accounts as risky behavior. Why would someone open a bunch of credit cards at once if they are not about to go into debt? While you know you plan to pay the cards off in full each month, the lenders can’t be certain about the risk.

Read More: The best way to build your credit is the same strategy people use to build wealth

But over time, adding new credit accounts improves your credit mix. More accounts with a perfect on-time payment history further increase your score. As the accounts age, so does your average age of credit, and if you keep your spending steady, your credit utilization rate decreases. In my experience, the temporary effects of opening new credit cards go away in around six months and turn into a positive. But that only works if you keep the balances near zero and always pay on time.

The biggest risk in opening and closing lots of credit cards is making a mistake. If you don’t keep close track of your accounts, it’s easy to make a late payment or overspend. Doing so can harm your credit score for years, so always be careful.

Read More: Here's exactly what it takes to have an excellent credit score

Also, keep in mind that credit card companies don’t really want you to open and close accounts quickly, so space things out and take it one step at a time.

For example, Chase is notorious among credit card travel hackers for its 5/24 rule. This rule states that, in most cases, you can’t open a new Chase credit card if you have opened five or more in the last 24 months with any card issuer. If you close an account too quickly, AmEx is known to claw back bonus rewards. But if you play by the rules, you should be in good shape.

I'm always looking at the long-term costs

The real reason I have so many credit cards is to travel as much as possible for the lowest possible cost. But if the cost of having those credit cards becomes more than my travel savings, it isn’t worth it. That’s why I am always looking at my balances and planning for my next moves.

Read More: This is the only rewards credit card most people will ever need to open

In the worst case, a serious misstep could damage your credit score and prevent you from buying a home with a mortgage. It could also lead to higher interest rates, which could cost tens or hundreds of thousands of dollars over the life of a home loan. Your credit is serious business, so you shouldn’t ever forget about its long-term consequences.

The best thing you can do for your credit in most cases is keep your balances low and avoid tinkering. But if fear of damage to your credit is all that’s holding you back from an excellent new card, you may be unnecessarily falling victim to a credit score myth.

When you're working to earn credit card rewards, it's important to practice financial discipline, like paying your balances off in full each month, making payments on time, and not spending more than you can afford to pay back. Basically, treat your credit card like a debit card.

Learn more about the British Airways Visa Signature Card from Business Insider's partner The Points Guy » Learn more about the Chase Sapphire Preferred Card from Business Insider's partner The Points Guy »

Join the conversation about this story »

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Here are the mega IPOs so far in 2019

Mon, 04/08/2019 - 2:25pm  |  Clusterstock

  • Initial public offerings have rebounded in early 2019 after a slow end to last year.
  • Levi Strauss, Lyft, and Tradeweb have already gone public while Uber and Pinterest are exploring IPOs.
  • Trading among the companies was mixed with Levi and Tradeweb up sharply with Lyft struggling to rise above IPO price.

Tradeweb last week was the third mega initial public offering in the US this year, raising nearly $1.1 billion. Of the three, Tradeweb and Lyft each raised more than $1 billion through the sale of stock while Levi raised over $600 million.

This year looks to be a banner one for the listing of so-called unicorns, or private tech companies with valuations over $1 billion. Pinterest began its IPO road show on Monday with a planned valuation of up to $11.3 billion —notably below the last private valuation ($12.3 billion) of the company. This could be due to wariness of "unicorn" valuations following the choppy trading of Lyft, which is currently below its IPO price.

In what is expected to be the largest IPO of 2019, Uber is expected to hit the public markets later this month with a valuation of over $100 billion.

Check out the details of three big US IPOs this year: 

Levi Strauss

Ticker: LEVI

Description: Iconic maker of denim jeans.

IPO Price: $17

Opening trade: $22.22

Opening premium to IPO price: 31% premium

Performance since IPO price: 25% increase

Valuation at IPO: $6.6 billion 

Amount raised in IPO: $623 million

 



Lyft

Ticker: LYFT

Description: Ride-sharing company.

IPO Price: $72

Opening trade: $87.24

Opening premium to IPO price: 21% premium

Performance since IPO price: 1% decrease

Amount raised in IPO: $2.7 billion

Valuation at IPO: $23.4 billion

 

 

[chart]



Tradeweb

Ticker: TW

Description: Electronic trading platform for bonds.

IPO Price: $27

Opening trade: $36.24

Opening premium to IPO price: 27% increase

Performance since IPO price: 42%

Valuation at IPO: $6.0 billion

Amount raised in IPO: $1.1 billion



See the rest of the story at Business Insider

United has followed in Delta's footsteps with a big change to its frequent-flyer program, and passengers are furious

Mon, 04/08/2019 - 2:23pm  |  Clusterstock

Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. Business Insider may receive a commission from The Points Guy Affiliate Network, but our reporting and recommendations are always independent and objective.

  • United Airlines is making major changes to its MileagePlus frequent-flyer program.
  • The airline will no longer publish an award chart outlining flight prices. Instead, award flights will be priced dynamically. The change takes effect immediately for new reservations made for travel on or after November 15.
  • Passenger reactions have been largely negative, and mileage prices on both economy and business-class international flights have begun to increase.
  • However, travelers with the most flexibility may ultimately come out ahead if they can choose less in-demand flights.

On Friday, United announced a major change to its MileagePlus frequent-flyer program. Following in the footsteps of Delta Air Lines, United is removing its mileage award chart and switching to dynamic pricing for mileage awards.

The move means that American Airlines remains the only legacy US airline to offer a tiered fixed-price frequent-flyer system.

In effect, the move to dynamic pricing means that beginning just before the holiday travel rush, United frequent flyers will no longer be able to predict how many miles they'll need to book a particular trip — and they'll likely need more miles for those tickets.

Read more: United's credit card is offering a huge sign-up bonus, but it's only around for a limited time

What are award charts?

Traditionally, airline frequent-flyer programs make seats available to book with miles at two different prices: "Saver" — a lower baseline price — and "Standard," "Anytime," or "Everyday," a more expensive but more widely available price. Regardless of how the cash price fluctuates, the mileage price floats between Saver and Standard, depending on when the airline chooses to release availability.

Travelers trying to get an award ticket for the best price will typically monitor for Saver availability, waiting to book until the price becomes lower on those dates. Alternatively, if that person has flexibility in their schedule, they'll plan a vacation around when they can find flights at the Saver cost.

This can lead to some solid deals, such as flying business class to Europe for just 57,500 miles.

Without an award chart, mileage pricing becomes harder to understand

Without an award chart, mileage pricing — both the minimum price and the maximum — becomes dynamic and opaque, similar to cash prices.

It also tends to change more often, trending both up and down based on demand. While this sometimes leads to lower prices on flights that are not heavily in demand, it often leads to higher prices for premium-cabin tickets.

Read more: The best credit card rewards, bonuses, and benefits of 2019

That's exactly what United said would happen as a result of this change. On a web page that United posted outlining the new system, the airline suggested that the new changes would be positive for travelers.

"Increasing award prices for the most in-demand flights allows us to offer lower prices on other flights. If your award travel is flexible, these updates will help you make the most of your miles," United wrote.

Delta removed its award chart and switched to a dynamic-pricing model several years ago, although flights seem to stick to a few different pricing tiers, and by searching over a few months, it's often possible to figure out the lowest "Saver" rate for flights. Unfortunately, Delta frequently raises that minimum price for award flights — the latest devaluation involved flights between the US and Europe in business class. 

United, by removing its award charts, seems to be on track to follow Delta's model

The new dynamic-pricing model takes effect immediately for new bookings for flights on or after November 15. New reservations made for travel before then will stick to the award chart.

Passenger reactions are overall skeptical of the idea that there will be any improvement for passengers.

The Twitter user @Rbakken described the move as a "disservice to loyal flyers and an affront to transparency." The user @trdraaron described the award chart's removal as causing a "likely possible devaluation in United miles."

Disappointed to see @united taking a major step backward by eliminating their award chart. A disservice to loyal flyers and an affront to transparency https://t.co/s9lKRBT3Pw #travel

— Rich Bakken (@Rbakken) April 5, 2019

 

Hey Frequent flyeres... @united is about to devalue your miles and remove transparency from its Mileage Plus redemption process...disappointing to say the least. @ZachHonig from @thepointsguy has more below. https://t.co/QMJAn3E0O8

— Kris Van Cleave (@krisvancleave) April 5, 2019

 

Ever since the announcement of dynamic pricing they've been trying to highlight these great things about the MP program. It's ridiculous! Who cares about 5k mile awards on super cheap tickets anyway!!!! MAJOR #fail and the qorse is yet to come.

— Ricardo Rivera (@Ricardo_FFlyer) April 7, 2019

 

very disappointed in you guys deciding to ditch the award chart. Will definitely be taking my business elsewhere

— Johnson Wu (@atojbk) April 5, 2019

 

@united Sad to see the award charts get hidden. My exodus from @United nearly complete. This will finish it. 1K for many years to 3k miles a year now . Next year maybe less. See ya!

— robert burns (@rjburnsva) April 8, 2019

 

@united We’re not idiots.These 5k fares are a great way to ease the pain of the elimination of your award chart. Right up until the time you start w/ the 500k one way redemptions like your friends at Delta. No reason to remain loyal to UA like I have for the past decade I guess.

— Lil' Suzy Greenberg (@suzy_greenberg) April 6, 2019

 

In other words, @united is raising mileage awards on 75% of its routes & removing mileage charts. This is just low hanging bait. Smoke & mirrors. Again, copying @delta for the umpteenth time. https://t.co/RrGlFfiiWe

— Cale Ramaker (@CaleRamaker) April 5, 2019

 

@united Disappointed to once again seeing UA blindly follow Delta into the Land of Screwing Frequent Flyers. Award charts help customers save for flights and keep the airline honest about devaluations. Stop pretending this is a feature.

— Doug Hess (@kdhess) April 5, 2019

 

This doesn't seem helpful, United:

For flights on or after November 15, 2019, we'll no longer publish an award chart listing the set amount of miles needed for each flight.

— Dan Berman (@DHBerman) April 5, 2019

 

Standard 'Everyday' prices are already going up

When searching for flights after the November 15 cutoff date, price increases were immediately evident.

For example, before the cutoff, flights from the Northeast to New Delhi in business class cost between 85,000 miles at the Saver rate and 180,000 miles at the Standard rate. While the lowest available cost on partner airlines remains 85,000 miles, Standard flights on United's own planes have gone up to 225,000 miles.

In other words, @united is raising mileage awards on 75% of its routes & removing mileage charts. This is just low hanging bait. Smoke & mirrors. Again, copying @delta for the umpteenth time. https://t.co/RrGlFfiiWe

— Cale Ramaker (@CaleRamaker) April 5, 2019

Similarly, Standard prices on business-class flights between certain cities, such as San Francisco and Hong Kong, have gone up from 180,000 miles to 210,000 miles, while increases on Standard flights for both economy and business class have gone up on flights between other regions.

What about Saver awards?

So far, there hasn't been a significant change to Saver-award pricing, although it's unclear if things will stay that way, or if Saver space will continue to be made available. 

Read more: 8 of the best credit card offers this month — including a Marriott bonus that's ending soon

In fact, there are a few areas where prices have decreased, although this seems to be primarily on short-haul domestic-economy routes. For example, flights between Los Angeles and San Francisco, which previously bottomed out at 10,000 miles, now cost as few as 5,000 miles.

However, if Delta's price increases and devaluations are any indication, the lack of a published award chart could allow United to raise baseline Saver prices at any point and frequency.

Undoubtedly, there's still significant value to be found in United miles, especially if you find Saver space or book with a partner. Another opportunity for value is when it's possible to earn increased credit-card bonuses. For example, United's co-branded credit card issued by Chase — the United Explorer Card has a limited-time offer of up to 60,000 miles — earns 40,000 miles after you spend $2,000 in the first three months and another 20,000 miles when you spend a total of $8,000 within the first six months.

Under the tiered system, in which more Saver seats could be found on less in-demand flights, travelers with more flexibility tended to snag the better deals. Under the new dynamic system, which United said would be based on demand, this will likely become even more true.

In an email to Business Insider, a United spokesperson suggested that to be the case: "Customers who can be flexible with their travel day and/or time will benefit significantly from this move to lower prices."

However, the spokesperson added: "For the busiest travel times of the year when demand is highest, there may be higher award prices than what people see today."

However, there was a bit of good news for United flyers, too. Beginning on November 15, United will no longer charge a $75 fee on award tickets booked within 21 days of travel. If a passenger can find a decent miles price on a last-minute trip, this should help with the redemption.

SEE ALSO: The best credit card rewards, bonuses, and benefits of 2019

Join the conversation about this story »

Pinterest is planning to set the range for its IPO at a price tag of $11.3 billion — below its latest private valuation

Mon, 04/08/2019 - 2:07pm  |  Clusterstock

  • Pinterest is planning to set the range for its initial public offering at between $15 and $17 a share, giving it a valuation of $11.3 billion at the upper end of the range.
  • The social-media company was valued at $12.3 billion in its most recent round of private funding.
  • Shares will trade on the New York Stock Exchange under the ticker PINS.

Pinterest is planning to set the range of its initial public offering at a value below that of its latest round of private fundraising.

The social-media company said Monday in a filing with the Securities and Exchange Commission that it is planning to sell 75 million shares at a price between $15 and $17 apiece, giving it a maximum valuation of about $11.3 billion. Pinterest was most recently valued at $12.3 billion, following a 2017 fundraising round.

Pinterest will have both class A and class B shares. Class A shares will give shareholders one vote each, while class B shares will be worth 20 votes each. All shares issued before the initial public offering will be made class B immediately before the completion of the IPO, Monday's filing said.

Shares will trade on the New York Stock Exchange under the ticker PINS.

Goldman Sachs, JPMorgan, and Allen & Company were listed as the lead underwriters.

Join the conversation about this story »

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Southwest Airlines hit with its first Wall Street downgrade since Boeing's 737 Max crisis began (LUV)

Mon, 04/08/2019 - 2:00pm  |  Clusterstock

The fallout from Boeing's largest crisis in years is continuing.

As airlines gear up for what could be a turbulent earnings season, Southwest Airlines, a major US operator of the now-grounded 737 max planes, was hit with a stock downgrade by analysts at Raymond James.

The Wall Street firm slashed its rating for shares of the low cost carrier to market perform from outperform on Monday, saying that the grounding of 737 Max planes could make it harder for Southwest to retire its fleet of 737-700s as planned. It kept its price target at $60, above the $51.90 level where it was trading Monday

"Southwest’s current fleet plan calls for the retirement of 20 B 737-700s, which could be delayed to make up for the shortfall and there are somewhat higher cost options such as purchasing or leasing used B 737s to help maintain schedules," Savanthi Syth, the firm's airlines analyst, said in a note to clients.

Luckily, despite being one of the biggest US operators of the 737 Max, the model makes up relatively few of Southwest's revenue seat miles, a closely watched metric for airline investors, Syth says. Still, this quarter's earnings are likely to take a hit due to the grounding, as Southwest has already warned investors.

Therefore, "we are downgrading LUV from Outperform to Market Perform due to near term earnings risk related to the grounding of the MAX fleet, which we now believe may run into the summer months."

American, for its part, also believes the grounding may last that long, and canceled flights on the affected plane through at least June 5 on Monday.

There are longer-term issues, too

In March, Southwest made headlines as its spat with its mechanics union resulted in canceled flights across the country. The airline alleged the union was deliberately slowing down work to force the cancellations, while the union hit back accusing the carrier of scapegoating. A final vote is pending on a new agreement, which should be finalized within two months.

But despite its pre-earnings forecast revision and the union spat, Wall Street remains fairly bullish on Southwest's outlook going forward.

Of the 23 analysts polled by Bloomberg, 12 remain buy-rated on the stock, with 10 recommending hold, and two advising clients to sell. Raymond James, whose unchanged $60 price target is still well above the Wall Street average of $51, is the first notable downgrade following the 737 Max's grounding.

Shares of Southwest fell another 2.6% in trading Monday following the downgrade. As the industry prepares to kick off airline earnings on Wednesday with Delta, Raymond James suggests that American and United might be smarter plays for investors looking for less 737 Max risk.

"The grounding of the MAX fleet is likely to lower domestic capacity by ~1-1.5 ppts during the period in question, which could bode well for domestic industry fares primarily in the off-peak periods where there appears to be an oversupply," Syth said. "Additionally, given the relatively low exposure to the MAX at American and United, we believe there is less (but not zero) downside earnings risk."

More on Boeing's 737 Max crisis: 

SEE ALSO: Passengers on Southwest Airlines thought they were flying on a Boeing 737 Max after confusion about their onboard safety cards

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Power moves of the week: The Wing is hiring from Snap and Airbnb and Blue Apron is getting a new CEO

Mon, 04/08/2019 - 1:58pm  |  Clusterstock

  • Keeping an eye on major hires and promotions is one of the best ways to understand a company's strategy. 
  • The Org tracks executive changes at companies big and small. 
  • Here's a snapshot of the most important executive moves of the week across real estate, tech and consulting. 

Every week we bring you an overview of the most important executive changes from the past week. This week, The Wing hired three new executives from buzzy tech companies. Read more about this and other notable executive changes.

The Wing hires three new executives from Snap, Airbnb, and Casper

Four months after closing a $75 million Series C round, female co-working space The Wing has brought on three new executives from SnapAirbnb, and Casper. The funding and new hires will "assist The Wing in bringing its physical community of career-oriented women into the digital realm." The company has hired Rachel Racusen as VP Communications who was previously Director of Communications as Snap. Nickey Skarsted joins as VP of Product after a few years as Product Lead of Airbnb experiences. Finally, Saumya Manohar joins as general counsel from Casper where she served as VP of Legal.

Linda Findley Kozlowski leaves Etsy to join Blue Apron as CEO

Blue Apron has announced that Linda Findley Kozlowski is joining the company as President and CEO. She'll replace chief executive Brad Dickerson. Kozlowski was previously Chief Operating Officer at Etsy with responsibility for product, marketing and customer engagement and acquisition. The meal-kit maker has had a difficult time as a publicly traded company since its June 2017 initial public offering.

Bain & Company names new Chief Marketing Officer

Bain & Company announced that Erika Serow has been appointed Chief Marketing Officer for the firm, effective immediately. She was most recently president and US CEO of Sweaty Betty, a British retailer specializing in women's active wear, overseeing all aspects of the company's growing business in the Unites States. Serow previously served as Head of the Americas Retail practice at Bain & Company, where she was also a partner and director.

Tinder hires Chief Product Officer from Facebook

Ravi Mehta has joined Tinder as Chief Product Officer, a position vacated by Brian Norgaard who left the company in November 2018. Mehta has more than 20 years of experience building products and was most recently Product Director for Youth Engagement at Facebook. Tinder's parent company, Match Group, recently acquired Hinge which is a dating app that targets a more mature audience. This frees up Tinder to focus on a younger demographic where Mehta will play an important role.

Intel appoints George Davis as Chief Financial Officer

Intel has announced the appointment of George S. Davis as executive vice president and chief financial officer. Davis takes over from Robert (Bob) Swan who was appointed permanent CEO after acting as Interim CEO for seven months following the departure of Brian Krzanich. Krzanich resigned because of a violation of Intel’s non-fraternization policy, which forbids managers from dating employees. Davis, 61, joins Intel from Qualcomm, where he served as executive vice president and CFO since March 2013.

Christian Wylonis is the co-founder and CEO of The Org, where you can meet the people behind the world’s most innovative companies, explore organizational charts, stay updated on team changes, and join your own company. 

Join the conversation about this story »

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6 reasons this is the perfect thank-you email to send after a job interview

Mon, 04/08/2019 - 1:37pm  |  Clusterstock

You spend weeks preparing for a job interview and give 110% once you're in the hot seat. You walk out feeling confident and relieved — like your work is finally done.

But it isn't.

In fact, there's still one more crucial step to take if you really want to land the gig: sending the interview thank-you email. Some hiring managers, like Insider Inc. managing editor Jess Liebman, will not even consider candidates who haven't taken the extra effort to thank them for their time.

Read more: I've been hiring people for 10 years, and I still swear by a simple rule: If someone doesn't send a thank-you email, don't hire them.

"The best time-frame to send a thank you email is within 24 hours after your interview," says Whitney Purcell, associate director of Career Development at Susquehanna University. "It should be sent during business hours — no 3 a.m. emails that make your schedule seem a little out of whack with the company’s traditional hours."

While the interview thank-you email doesn't require too much heavy lifting, a simple, "Thanks for your time!" won't do. You need to really "wow" the hiring manager and make a great final impression before they make a decision about you.

Your follow-up thank-you email (hand-written notes are almost never a better option than email) needs to stand out from the crowd. It should highlight the best parts of the conversation you had with the interviewer, and a final reminder as to why you'd be perfect for the job.

Dr. Deborah Good, a professor at the University of Pittsburgh Katz School of Business, says the following email template is an ideal way to follow up because it possesses six important traits:

This is an update of an article originally written by Hope Restle.

SEE ALSO: 34 brilliant questions to ask at the end of every job interview

DON'T MISS: This LinkedIn message took 2 minutes to write and got the sender a job at a successful startup — even though they weren't hiring

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What it's like living as a millionaire in Montenegro, the tiny European country called 'the next French Riviera,' where wealthy foreign buyers snap up luxury real estate and dock their yachts in glitzy marinas

Mon, 04/08/2019 - 1:13pm  |  Clusterstock

Montenegro, a Balkan country on the Adriatic Sea, may be an unlikely luxury destination but its picturesque coastline, luxury hotels, and popularity among yacht owners have made people take notice of what's been called "the next French Riviera."

The tiny European country, which is about the size of Connecticut, is home to about 64 millionaires. And a new program is aiming to lure in even more millionaires by letting them invest at least $291,000 in the country in order to get a Montenegro passport.

Montenegro, which recently built two massive yacht ports that include luxury residences, hotels, and shopping, has also been compared to Monaco.

The Balkan country was named one of the top destinations billionaires are traveling to in 2019 in a recent report by Business Insider and luxury travel agency Original Travel.

Millionaires in Montenegro can get free 24-hour servicing for the yachts, stay in luxurious hotels like the Regent Porto Montenegro and the island-resort of Sveti Stefan, and reap the benefits of exclusive Owners Clubs and Yacht Clubs.

Here's what it's like living in Montenegro as a millionaire.

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Montenegro, a Balkan country in southeastern Europe on the Adriatic Sea, may not be top of mind for a luxury destination. But the tiny country is one of the top destinations billionaires are traveling to in 2019, according to a recent report by Business Insider and the luxury travel agency Original Travel.

"Montenegro is set for a luxury upgrade in 2019 with the Chedi Lustica Bay newly opened and One & Only opening its first resort in Europe next year with Portonovi in Boka Bay," Tom Barber, cofounder of Original Travel, said of Montenegro, which has a population of 620,000.



As a yachting hotspot with striking scenery, Montenegro is emerging as a luxury destination, with some calling it "the next French Riviera."

"In fact, it's not just the unspoiled terrain, ample sunlight, and hospitable locals that have made Montenegro an exciting travel destination but also a bevy of newly renovated and built luxury hotels and restaurants, which have caused some to call Montenegro the next French Riviera," Nick Mafi wrote in Architectural Digest in 2018.



The tiny country, which is about the size of Connecticut, is bordered by Bosnia and Herzegovina, Serbia, Kosovo, Albania, and the Adriatic Sea.

It has about 182 miles of coastline on the Adriatic Sea.



See the rest of the story at Business Insider


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