Michael Saylor's Proposal To Microsoft CEO Satya Nadella: 'If You Want To Make The Next Trillion Dollars For Shareholders, Call Me'
MicroStrategy (NASDAQ:MSTR) executive chairman Michael Saylor humorously reached out to Microsoft (NASDAQ:MSFT) CEO Satya Nadella, suggesting he can help with the company’s Bitcoin (CRYPTO: BTC) strategy.
What Happened: In a post on X on Friday, Saylor advised Nadella that if he’s interested in creating the next trillion-dollar opportunity, he should reach out. This comes as Microsoft, per an SEC filing, prepares to discuss a possible Bitcoin investment at its December shareholder meeting.
MicroStrategy, despite being much smaller, has outperformed Microsoft by 313% largely due to its Bitcoin holdings. The company’s total bitcoin holdings as of Oct. 20 stand at 252,220, worth $9.91 billion.
Microsoft’s second-largest shareholder, BlackRock (NYSE:BLK), has already shown confidence in Bitcoin, offering its clients a Bitcoin ETF.
Why It Matters: Saylor’s message highlights MicroStrategy’s strong performance amid its heavy Bitcoin investments, with the company’s stock up 444% over the past year, including a 244% YTD increase.
Investor confidence in MicroStrategy recently grew as BlackRock raised its stake in the company to 5.2%, making MicroStrategy a key entry point for institutional Bitcoin exposure.
What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
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This article Michael Saylor’s Proposal To Microsoft CEO Satya Nadella: ‘If You Want To Make The Next Trillion Dollars For Shareholders, Call Me’ originally appeared on Benzinga.com
Dividend Investor Earning $10,200 a Month With $977,000 Shares His Portfolio: Top 7 Stocks
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There is more than one way to achieve financial success through investing. Some prefer riding the gains of tech growth stocks to build wealth, while others enjoy collecting dividend income alongside portfolio growth. Let’s see an interesting success story of an investor crushing it with the latter strategy.
In June last year, a dividend investor shared his detailed income report with portfolio screenshots on r/Dividends, a discussion board for income investors with more than 600,000 members. The investor said he earned about $10,200 per month in dividends or $122,930 per year. He said his total portfolio value was $977,000, excluding reinvested dividends, with a yield of 12.5%.
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However, the investor did not seem happy with his portfolio performance and repeatedly said his principal investment was in the “red.”
“I am selling everything and for a month I was working on a different approach and totally different set up with stocks. I will keep you all updated. Not posting actual brokerage as I did last time. In a span of a last month that I would consider a great months for stocks it did not worked. And I developed a new strategy. So I am done with this.”
Asked how much time it took to save money for his investment, the Redditor said:
“It took 13 years to save one Million as a disposable amount that I can use to try / test strategies. Moneys were made outside of stocks. So far stocks is in a red for me.”
Later in the discussion, it was revealed exactly how much his portfolio was in the red, when someone commented:
“I bet you he started with one million and he’s down 35k in red.”
To this, the investor replied:
“Your findings are correct.”
Trending: These five entrepreneurs are worth $223 billion – they all believe in one platform that offers a 7-9% target yield with monthly dividends
Nonetheless, raking in over $100,000 annually in dividends impressed many and the investor was flooded with questions and requests for advice. Let’s dig deeper and see some of the top holdings in this portfolio.
BlackRock Multi-Sector Income Trust
Is This Vanguard ETF a Millionaire Maker?
There are many possible ways to become a millionaire. One of the best is simply investing in stocks — for the long term.
However, you don’t want to choose just any stock or buy a stock when it’s overvalued. That can leave many of us scratching our heads as to what we should do.
Enter the Vanguard S&P 500 ETF (NYSEMKT: VOO) — a simple S&P 500 index fund that can make you a millionaire.
Here’s some information on what this ETF is and what it might do for you.
First, the Vanguard S&P 500 ETF is an exchange-traded fund (ETF) — a fund that trades like a stock. It’s also an index fund, aiming to deliver the same performance (less its puny fees) as the S&P 500 index of 500 of America’s biggest companies. Its “expense ratio,” or annual fee, is just 0.03% — costing you $3 per year for every $10,000 you have in the fund.
How has this ETF performed in the past? Check out the table below — but remember that past results don’t guarantee future results. (Also, any low-fee S&P 500 index fund, such as those from Fidelity, Schwab, or other good financial companies, will have similar results.)
|
Period |
Average Annual Gain |
|---|---|
|
Past 3 years |
11.02% |
|
Past 5 years |
16.26% |
|
Past 10 years |
14.04% |
|
Past 15 years |
13.95%* |
Source: Morningstar.com, as of October 21, 2024. Chart by author.
*Since the Vanguard ETF hasn’t been around for 15 years — its inception date was Sept.7, 2010 — this figure is from the SPDR S&P 500 ETF (NYSEMKT: SPY).
Here are the Vanguard S&P 500 ETF’s top holdings, as of the end of September — and they will be the same for just about any other S&P 500 index fund, as well:
|
Stock |
Percent of ETF |
|---|---|
|
Apple |
7.25% |
|
Microsoft |
6.55% |
|
Nvidia |
6.11% |
|
Amazon.com |
3.56% |
|
Meta Platforms |
2.56% |
|
Alphabet Class A |
1.99% |
|
Berkshire Hathaway Class B |
1.73% |
|
Alphabet Class C |
1.64% |
|
Broadcom |
1.64% |
|
Tesla |
1.49% |
Source: Vanguard.com. As of September 30, 2024. Chart by author.
If you’re an admirer of the “Magnificent Seven” stocks, due to their impressive performances over many years, you may be happy to know that all seven — Apple, Microsoft, Google parent Alphabet, Amazon.com, Nvidia, Facebook parent Meta Platforms, and Tesla — are in the Vanguard S&P 500 ETF. If you buy shares of the index fund, you’ll have positions in all seven — plus 493 other big companies.
How, exactly, might the Vanguard S&P 500 ETF grow your wealth to $1 million (or beyond)? Let’s crunch some numbers. And despite those delightful average annual returns in the table above that range from about 11% to 16%, let’s be more conservative.
Could Trump Be First Republican To Win Popular Vote In 20 Years? Here's What This Analyst Predicts
Donald Trump could break a two-decade Republican curse by securing the popular vote in next week’s election, as per election analyst Harry Enten.
What Happened: Enten shared recent poll results that depict Trump and Kamala Harris in a neck-and-neck race for the popular vote nationwide.
Although the popular vote does not directly decide the election result due to the Electoral College system, it is still viewed as significant. For Trump, who was unsuccessful in securing the popular vote in the 2016 and 2020 elections, a victory would be momentous.
According to a report by Newsweek, Enten elaborated that the last time a Republican presidential candidate won the popular vote was George W. Bush in 2004 – and before that, no Republican had done so since Bush’s father George H.W. Bush in 1988.
Enten also pointed out that Trump is polling better than past GOP nominees in California and New York, even though he is unlikely to carry either state.
Also Read: Trump’s Escalating Threats To Rivals: 100 And Counting
Enten proposed a potential scenario where Harris could triumph in the Electoral College, even if Trump wins the popular vote. He emphasized that the Great Lakes battleground states are currently too unpredictable to forecast.
Several polls carried out in October depict a tight race between Trump and Harris, with both candidates garnering approximately equal voter support.
Why It Matters: This potential shift in voting patterns could have significant implications for the political landscape. A popular vote victory for Trump would break a 20-year record and could potentially reshape the narrative around his political influence.
It also highlights the unpredictable nature of the Electoral College system, where a candidate can win the popular vote but still lose the election.
This scenario could potentially play out for Harris, as suggested by Enten. The upcoming election results will undoubtedly be closely watched, as they could set new precedents and impact future electoral strategies.
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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Asset Scramble: Body & Mind Secures $2.3M To Drive Cannabis Growth In Illinois And New Jersey
Body and Mind Inc. BAMM, BMMJ, a multi-state cannabis company, announced a new credit facility with Bengal Catalyst Fund, LP, securing up to $2.3 million to support its U.S. expansion efforts. The financing aims to help Body and Mind build out key dispensary projects in Illinois and New Jersey, while also allowing the company to focus on optimizing its asset base and enhancing shareholder value.
“The credit facility agreement gives the company flexibility to accomplish its near-term objectives of rationalizing its asset base and protecting shareholder value, which includes supporting the development of its in-process dispensary projects in Illinois and New Jersey,” stated Michael Mills, CEO of Body and Mind. “Additionally, when we sold our Ohio dispensary, we negotiated a US$2.5 million contingent payment should a second retail license be awarded and subsequently opened.”
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Credit Facility Terms
The new credit facility from Bengal Catalyst Fund carries an 18% annual interest rate and is available for up to one year with a maturity date of two years from the first draw. Body and Mind has also amended its existing convertible debentures with Bengal and related funds, adjusting the interest rate to 15%, paid half in cash and half in kind.
Previously unsecured, these debentures are now secured alongside the new credit facility, giving Bengal priority on any repayment.
Read Also: Body and Mind Narrows Loss By 30% YoY In Q3, Doubles Down On Streamlining Operations
Regulatory And Financial Context
As a related party transaction under Multilateral Instrument 61-101, the company secured exemptions from formal valuation and minority approval. Body and Mind’s independent board members unanimously supported the transaction, deeming it essential for the company’s financial position and future growth strategy in the competitive U.S. cannabis market.
Read Next: New Laws Could Unleash $1.7B Demand For Cannabis Loans, This Real Estate Stock Is Set To Capitalize
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© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
NBA Legend Shaq Says 'I Spent A Million Dollars In 30 Minutes' On A Major Spending Spree – Then A Bank Manager Hit Him With A Dose Of Reality
Shaquille O’Neal is known for his dominance on the basketball court, his larger-than-life personality and his knack for making headlines. But early in his career, Shaq was making waves for a different reason – his ability to blow through cash at an alarming rate. Shaq once spent $1 million in just 30 minutes, which led to a much-needed wake-up call from his bank manager.
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Shaq had just signed a deal with a trading card company and received a check for $1 million. So, naturally, he did what any young star would do – he treated himself to something flashy. The story was detailed in a 2023 Sportskeeda article:
“I spent a million dollars in 30 minutes. I get a check for a million dollars from my trading card company. Always wanted a black-on-black Mercedes-Benz. So, I go get it. $150 [thousand] minus a million, I still got $850 [thousand] left, I’m still good. I get home, my father said, ‘That’s nice. Where’s mine at?’ Me and him we get in the car, go get the exact same car for him. We get home, my mom’s a little jealous. So, we got three Benzes.”
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Sounds like a dream, right? But Shaq wasn’t done yet. He bought jewelry, custom-made suits and more. In just 30 minutes, his million dollars had all but disappeared. And that’s when reality set in.
The next day, Shaq received a call from his bank manager that would change his entire outlook on money. As Shaq recalled, the manager said:
“Shaq, you know, when they’re done playing, it’s a large percentage that have nothing. I’ve been following your career, you’re a bright young star. I don’t want you to be like that. You need to learn how to take care and manage your money.”
Trending: This Adobe-backed AI marketing startup went from a $5 to $85 million valuation working with brands like L’Oréal, Hasbro, and Sweetgreen in just three years – here’s how there’s an opportunity to invest at $1,000 for only $0.50/share today.
That was when Shaq realized he wasn’t as “good” as he thought. Sure, he’d just spent a million dollars, but there wasn’t much left after taxes, agent fees and everything else. He was already in the red.
Dow Jones Futures Rise, Oil Dives; Tesla, Nvidia In Buy Zones With Huge Earnings Due
Dow Jones futures rose modestly Sunday night, along with S&P 500 futures and Nasdaq futures. Crude oil plunged after Israel’s “precise” airstrikes on Iran.
Apple (AAPL), Microsoft (MSFT), Google-parent Alphabet (GOOGL), Amazon.com (AMZN) and Meta Platforms (META) all report this coming week, with enormous implications for the tech sector and broader market.
Big economic reports also are on tap, including the October jobs report. Election Day and the next Federal Reserve meeting soon follow.
↑
X
S&P 500 Giants Report Earnings. Will Megacap Results Sustain The Tech Rally?
Boeing (BA), seeking cash amid a punishing strike, plans to raise more than $15 billion as soon as Monday, Bloomberg reported Sunday night, citing sources. The Dow giant recently filed to sell up to $25 billion in shares and debt.
The stock market was mixed last week, but the Nasdaq hit a record high. A number of stocks flashed buy signals Friday, including Tesla (TSLA), Nvidia (NVDA) and AI chip IPO Astera Labs (ALAB).
Nvidia and Meta stock are on IBD Leaderboard and the IBD 50. Nvidia stock is on SwingTrader. Microsoft stock is on IBD Long-Term Leaders.
Dow Jones Futures Today
Dow Jones futures rose 0.4% vs. fair value. S&P 500 futures climbed 0.5% and Nasdaq 100 futures advanced 0.6%.
The 10-year Treasury yield rose a few basis points to 4.27%.
Crude oil futures dived more than 4% amid hopes that Mideast violence won’t escalate. Israel launched “precise strikes on military targets in Iran” on Saturday, in response to an Iranian missile attack earlier this month, but didn’t target oil and nuclear facilities. State-run Iranian media downplayed the long-awaited attack.
Japan’s ruling Liberal Democratic Party and coalition partner lost their majority in the lower house of parliament in Sunday’s elections. The LDP is still likely to end up forging a new, broader coalition. The Japanese yen weakened vs. the dollar.
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
Join IBD experts as they analyze leading stocks and the market on IBD Live
Stock Market Rally
The stock market rally showed mixed weekly action, with Tesla, Nvidia and some other megacaps masking weak breadth.
The Dow Jones Industrial Average fell 2.7% in last week’s stock market trading. The S&P 500 index lost nearly 1%. The Nasdaq composite climbed 0.2%. The small-cap Russell 2000 gave up 3%.
The Dow Jones and Russell 2000 are below their 21-day lines, with the latter closing just below its 10-week line. The S&P 500 is above its 21-day line and not far from all-time bests. The Nasdaq hit a record high Friday, though it came off intraday highs.
In addition to Tesla, Nvidia and Astera Labs, many other names cleared buy points Friday. Western Digital (WDC), ResMed (RMD), Deckers Outdoor (DECK) and L3Harris Technology (LHX) did so on earnings.
The 10-year Treasury yield jumped 16 basis points to 4.23%. In the coming week, investors will get a slew of economic data, including the first read on Q3 GDP and the October jobs report. That will presage the Fed meeting on Nov. 6-7.
U.S. crude oil futures jumped 4.5% to $71.78 a barrel last week.
ETFs
Among growth ETFs, the Innovator IBD 50 ETF (FFTY) fell 2.1% last week. The iShares Expanded Tech-Software Sector ETF (IGV) edged down 0.1%, with Microsoft a huge IGV component. The VanEck Vectors Semiconductor ETF (SMH) edged up 0.6%. Nvidia stock is by far the biggest SMH holding.
Reflecting more-speculative story stocks, ARK Innovation ETF (ARKK) retreated 0.75% last week and ARK Genomics ETF (ARKG) sold off 6.05%. Tesla stock is a major holding across Ark Invest. Cathie Wood also has built up a big Nvidia stake and also owns some BYD stock.
SPDR S&P Metals & Mining ETF (XME) tumbled 4% last week. SPDR S&P Homebuilders ETF (XHB) plunged 7.15%. The Energy Select SPDR ETF (XLE) fell 0.6% and the Health Care Select Sector SPDR Fund (XLV) lost 2.95%. The Industrial Select Sector SPDR Fund (XLI) gave up 2.8%.
The Financial Select SPDR ETF (XLF) sank 2%.
Time The Market With IBD’s ETF Market Strategy
Tech Titans On Tap
Google reports Tuesday night, with Microsoft and Meta Platforms Wednesday. Apple and Amazon will follow Thursday night. Arguably all are near or flirting with various buy points or aggressive entries, but the looming earnings make that highly risky.
Just these five companies boast a combined market valuation of more than $12 trillion, so their direct stock reactions will have a significant impact on the major indexes. Meanwhile, Microsoft, Google, Amazon and Meta will have a huge influence on the entire artificial intelligence sector with their comments on AI monetization and capital spending plans. Apple results will be key for iPhone chipmakers and other suppliers. Online advertising, e-commerce and more also will key off these tech titans.
The ripple effects will be important for the likes of Nvidia, Broadcom (AVGO), Taiwan Semiconductor Manufacturing (TSM), Arista Networks (ANET), Qualcomm (QCOM) and many more. Just Nvidia, Broadcom and Taiwan Semi boast well over $5 trillion in combined market cap.
Tesla Stock
Tesla stock skyrocketed 22% last week to 269.19, clearing a 264.86 buy point from a cup-with-handle pattern, according to MarketSurge. That’s also a 13-month closing high. However, TSLA stock is extended 16.8% above its 50-day line.
Tesla earnings unexpectedly rose as gross margins rebounded. Elon Musk predicted higher deliveries in 2024 and a 20%-30% jump in 2025, along with several other bullish comments.
Meanwhile, Tesla archrival BYD (BYDDF) climbed 2% to 37.60 for the week, rising within a buy zone. BYD will report third-quarter earnings on Oct. 30. Along with its China peers, it’ll release October sales figures on Nov. 1-2.
Tesla Breaks Out Powerfully; BYD In Buy Zone With Q3 Earnings Due
Nvidia Stock
BofA Securities analyst Vivek Arya pounded the table for Nvidia and other chip stocks on Friday, citing a “generational capex cycle in generative AI infrastructure.”
Nvidia stock rose 2.6% to 141.54 for the week, clearing a 140.76 consolidation buy point and hitting a record high. It’s the fifth straight weekly gain for NVDA. Shares are now 13.8% above the 50-day line.
Meanwhile, recent IPO and AI chipmaker Astera Labs jumped 8.7% to 72.67, clearing a 70.74 buy point from a deep cup-with-handle base. Doubling since early September, ALAB stock is 42.2% above its 50-day line. Astera Labs reports Q3 results on Nov. 4.
But, once again, Microsoft, Meta, Google and Amazon comments on AI and capital spending plans will be huge for AI hardware plays such as Nvidia and Astera Labs.
Five Stocks Near Buy Points Fueled By Earnings
What To Do Now
The stock market rally had a mixed week but many growth stocks fared well.
Investors could have taken advantage of some opportunities, but also could have offset that by cutting laggards or trimming positions around earnings.
The coming wave of earnings reports — which extend far beyond Apple, Meta, Microsoft, Amazon and Google — could be a catalyst for big market gains, losses or whipsaw action. Key economic reports also are on tap, with the Nov. 5 Election Day and Nov. 6-7 Fed meeting on the horizon.
And, as Israeli airstrikes vs. Iran showed, geopolitical events and other unscheduled news is always a possibility.
So you have to have your game plan ready for your current holdings. You do want to keep updating your watchlists, so you can spot promising setups as well as get a bead on sector trends.
Read The Big Picture every day to stay in sync with the market direction and leading stocks and sectors.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
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2 High-Yield Dividend Stocks That Are Screaming Buys Right Now
Generous dividend yields can be dangerous. Double-digit dividend yields often show a company is in deep trouble, where a stalwart series of boosted payouts couldn’t drive stock prices higher. At the same time, cash-machine businesses can power their payouts from excessive cash flows, resulting in a strong yield that can last for many years.
Fortunately, a couple of perfectly healthy high-yield dividend stocks are on fire sale right now. Read on to see how International Business Machines (NYSE: IBM) and Darden Restaurants (NYSE: DRI) would fit in an income-oriented stock portfolio today.
The average American savings account offers an annual percentage yield of roughly 0.5%. The S&P 500 (SNPINDEX: ^GSPC) market index has seen an average dividend yield of 1.6% over the last 5 years and currently stands at just 1.3%.
With dividend yields of 3.5% for Darden shares and 3.1% for IBM’s stock, these cash-sharing veterans are on a different level. Among these popular wealth-storage options, only the individual stocks can outrun the government’s long-term inflation target of approximately 2% per year.
These two household names don’t have much in common at first glance. Big Blue is a legend of the computing sector, setting up a promising artificial intelligence (AI) business just in time for a massive AI boom. Darden manages full-service restaurant chains, such as Olive Garden, Bahama Breeze, and Longhorn Steakhouse. The company is expanding its international business while remodeling many domestic locations. Apples, meet oranges.
But they actually have a lot in common where it matters the most. The two businesses are growing their sales and collecting robust cash profits. They also have a commitment to sharing their cash flows with investors in the form of strong and growing dividends.
IBM generated $12.4 billion of free cash flows over the last four quarters. It funneled 49% of that surplus cash into dividend checks. Darden used 64% of its $992 million free cash flow for the same purpose. Both dividend policies are fully funded by current cash profits, and they have room to grow without causing a financial crisis.
Finally, Darden and IBM are firmly established leaders in their respective industries, with convincing growth plans for the foreseeable future. Yet, their stocks look quite affordable next to market-darling rivals. Buying the stocks right now will lock in those juicy dividend yields and provide plenty of opportunity to enjoy price gains in the long run.