Category: Healthcare

We’ve Got It All Wrong

We’ve Got It All Wrong

Americans fear for their bank deposits. Your deposits are safe. However, you should fear the remedy. The Fed bail out from last Sunday could result in $1-2 trillion of additional public debt assuming that the Fed marks up the assets of and extends loans to all U.S. banks except J.P. Morgan, Bank of America, Wells … Continue reading We’ve Got It All Wrong

Rates Going Higher. Equities Going Lower.

Rates Going Higher. Equities Going Lower.

Coinbase up 12% because the company is cutting staff? They can't cut quick enough as crypto trading falls off. ChatGPT at 145x revenue? There are plenty of Technology companies that continue to trade at 20x revenue. Despite the pronounced pullback in Tech valuations over the course of 2022, there is further room for valuations to … Continue reading Rates Going Higher. Equities Going Lower.

Technology Layoffs Continue To Climb

Technology Layoffs Continue To Climb

More Technology-related layoffs have occured in Q4 2022 than at the COVID economic trough in Q2 2020 (51,048 employees in the month of November 2022). Technology layoffs continue to mount as: interest rates climb; inflation remains elevated; global demand sputters and; as macro-economic uncertainty remains high. Check out Layoffs.fyi (created by Roger Lee), to track … Continue reading Technology Layoffs Continue To Climb

It Is Best For Companies To Be Conservative On Q3 EPS Calls

It Is Best For Companies To Be Conservative On Q3 EPS Calls

It is best for companies to be conservative with their Q4 and 2023 outlook on EPS calls. We are 1/6 through Q4 and Technology companies have to be seeing weaker demand today versus 3 and 6 months ago. Enterprise Technology companies are likely seeing deals of all sizes get pushed back in the pipeline - … Continue reading It Is Best For Companies To Be Conservative On Q3 EPS Calls

Inflation: Why We Have It & How To Fix It.

Inflation: Why We Have It & How To Fix It.

Price inflation is no great mystery. It's a function of Money Supply growth that is not tied to Productivity. The remedy is simple: The U.S. must spend less and produce more. Government spending was $6.8 Trillion in 2021, $4.5 Trillion of which (66% of total spending, 19% of GDP) went to Entitlements. The U.S. ran … Continue reading Inflation: Why We Have It & How To Fix It.

The U.K. Is Not In An Enviable Position

The U.K. Is Not In An Enviable Position

The Bank of England will likely institute an emergency rate hike of 25-50 BPS today in our opinion as the Pound plummets against the USD (FX Headwinds Will Persist Into 2023). What is fascinating is that the fiscal side loosened policy last week as U.K. Prime Minister Liz Truss pushed tax cuts. Conversely, the monetary … Continue reading The U.K. Is Not In An Enviable Position

Amazon Ups Its M&A Effort

Amazon Ups Its M&A Effort

Amazon (ticker: AMZN), has become more aggressive on the M&A front under new CEO Andy Jassy. We have seen this across the Entertainment, Health and Robotics sectors - each highly strategic in our view. Entertainment: Amazon recently closed its acquisition of MGM for $8.5 billion. The MGM acquisition onboards the James Bond franchise - a … Continue reading Amazon Ups Its M&A Effort