The increased borrowing, together with the greater wealth that comes
with higher asset prices, encourages households to spend more, generating income for other households and creating opportunities for companies.
Not exact matches
Important factors that could cause actual results to differ materially from those reflected in such forward - looking statements and that should be considered in evaluating our outlook include, but are not limited to, the following: 1) our ability to continue to grow our business and execute our growth strategy, including the timing, execution, and profitability of new and maturing programs; 2) our ability to perform our obligations under our new and maturing commercial, business aircraft, and military development programs, and the related recurring production; 3) our ability to accurately estimate and manage performance, cost, and revenue under our contracts, including our ability to achieve certain cost reductions
with respect to the B787 program; 4) margin pressures and the potential for additional forward losses on new and maturing programs; 5) our ability to accommodate, and the cost of accommodating, announced increases in the build rates of certain aircraft; 6) the effect on aircraft demand and build rates of changing customer preferences for business aircraft, including the effect of global economic conditions on the business aircraft market and expanding conflicts or political unrest in the Middle East or Asia; 7) customer cancellations or deferrals as a result of global economic uncertainty or otherwise; 8) the effect of economic conditions in the industries and markets in which we operate in the U.S. and globally and any changes therein, including fluctuations in foreign currency exchange rates; 9) the success and timely execution of key milestones such as the receipt of necessary regulatory approvals, including our ability to obtain in a timely fashion any required regulatory or other third party approvals for the consummation of our announced acquisition of Asco, and customer adherence to their announced schedules; 10) our ability to successfully negotiate, or re-negotiate, future
pricing under our supply agreements
with Boeing and our other customers; 11) our ability to enter into profitable supply arrangements
with additional customers; 12) the ability of all parties to satisfy their performance requirements under existing supply contracts
with our two major customers, Boeing and Airbus, and other customers, and the risk of nonpayment by such customers; 13) any adverse impact on Boeing's and Airbus» production of aircraft resulting from cancellations, deferrals, or reduced orders by their customers or from labor disputes, domestic or international hostilities, or acts of terrorism; 14) any adverse impact on the demand for air travel or our operations from the outbreak of diseases or epidemic or pandemic outbreaks; 15) our ability to avoid or recover from cyber-based or other security attacks, information technology failures, or other disruptions; 16) returns on pension plan
assets and the impact of future discount rate changes on pension obligations; 17) our ability to borrow additional funds or refinance debt, including our ability to obtain the debt to finance the purchase
price for our announced acquisition of Asco on favorable terms or at all; 18) competition from commercial aerospace original equipment manufacturers and other aerostructures suppliers; 19) the effect of governmental laws, such as U.S. export control laws and U.S. and foreign anti-bribery laws such as the Foreign Corrupt Practices Act and the United Kingdom Bribery Act, and environmental laws and agency regulations, both in the U.S. and abroad; 20) the effect of changes in tax law, such as the effect of The Tax Cuts and Jobs Act (the «TCJA») that was enacted on December 22, 2017, and changes to the interpretations of or guidance related thereto, and the Company's ability to accurately calculate and estimate the effect of such changes; 21) any reduction in our credit ratings; 22) our dependence on our suppliers, as well as the cost and availability of raw materials and purchased components; 23) our ability to recruit and retain a critical mass of highly - skilled employees and our relationships
with the unions representing many of our employees; 24) spending by the U.S. and other governments on defense; 25) the possibility that our cash flows and our credit facility may not be adequate for our additional capital needs or for payment of interest on, and principal of, our indebtedness; 26) our exposure under our revolving credit facility to
higher interest payments should interest rates increase substantially; 27) the effectiveness of any interest rate hedging programs; 28) the effectiveness of our internal control over financial reporting; 29) the outcome or impact of ongoing or future litigation, claims, and regulatory actions; 30) exposure to potential product liability and warranty claims; 31) our ability to effectively assess, manage and integrate acquisitions that we pursue, including our ability to successfully integrate the Asco business and generate synergies and other cost savings; 32) our ability to consummate our announced acquisition of Asco in a timely matter while avoiding any unexpected costs, charges, expenses, adverse changes to business relationships and other business disruptions for ourselves and Asco as a result of the acquisition; 33) our ability to continue selling certain receivables through our supplier financing program; 34) the risks of doing business internationally, including fluctuations in foreign current exchange rates, impositions of tariffs or embargoes, compliance
with foreign laws, and domestic and foreign government policies; and 35) our ability to complete the proposed accelerated stock repurchase plan, among other things.
«Increased commodity
prices, coupled
with a focus on operating efficiently and strengthening our portfolio, resulted in
higher earnings and the
highest quarterly cash flow from operations and
asset sales since 2014,» Darren Woods, chairman and chief executive officer, said in a statement.
«We view this as a «home - run deal» for Disney and while its an aggressive acquisition
with a
high price tag, in our opinion this is the right move at the right time as the marriage of these
assets creates a much more formidable Disney,» Ives said.
With news of Google banning cryptocurrency - related ads and the International Monetary Fund advising increased regulation on the
asset, the
price of Bitcoin, Ethereum, and Ripple continued their slide Thursday, wiping out about $ 499.2 billion of the market value of over 1,500 cryptocurrencies since their collective all - time
high in early January.
«A lot of these products were
priced for
higher rates,» says Natalie Taylor, an analyst
with CIBC Global
Asset Management.
Actual results, including
with respect to our targets and prospects, could differ materially due to a number of factors, including the risk that we may not obtain sufficient orders to achieve our targeted revenues;
price competition in key markets; the risk that we or our channel partners are not able to develop and expand customer bases and accurately anticipate demand from end customers, which can result in increased inventory and reduced orders as we experience wide fluctuations in supply and demand; the risk that our commercial Lighting Products results will continue to suffer if new issues arise regarding issues related to product quality for this business; the risk that we may experience production difficulties that preclude us from shipping sufficient quantities to meet customer orders or that result in
higher production costs and lower margins; our ability to lower costs; the risk that our results will suffer if we are unable to balance fluctuations in customer demand and capacity, including bringing on additional capacity on a timely basis to meet customer demand; the risk that longer manufacturing lead times may cause customers to fulfill their orders
with a competitor's products instead; the risk that the economic and political uncertainty caused by the proposed tariffs by the United States on Chinese goods, and any corresponding Chinese tariffs in response, may negatively impact demand for our products; product mix; risks associated
with the ramp - up of production of our new products, and our entry into new business channels different from those in which we have historically operated; the risk that customers do not maintain their favorable perception of our brand and products, resulting in lower demand for our products; the risk that our products fail to perform or fail to meet customer requirements or expectations, resulting in significant additional costs, including costs associated
with warranty returns or the potential recall of our products; ongoing uncertainty in global economic conditions, infrastructure development or customer demand that could negatively affect product demand, collectability of receivables and other related matters as consumers and businesses may defer purchases or payments, or default on payments; risks resulting from the concentration of our business among few customers, including the risk that customers may reduce or cancel orders or fail to honor purchase commitments; the risk that we are not able to enter into acceptable contractual arrangements
with the significant customers of the acquired Infineon RF Power business or otherwise not fully realize anticipated benefits of the transaction; the risk that retail customers may alter promotional
pricing, increase promotion of a competitor's products over our products or reduce their inventory levels, all of which could negatively affect product demand; the risk that our investments may experience periods of significant stock
price volatility causing us to recognize fair value losses on our investment; the risk posed by managing an increasingly complex supply chain that has the ability to supply a sufficient quantity of raw materials, subsystems and finished products
with the required specifications and quality; the risk we may be required to record a significant charge to earnings if our goodwill or amortizable
assets become impaired; risks relating to confidential information theft or misuse, including through cyber-attacks or cyber intrusion; our ability to complete development and commercialization of products under development, such as our pipeline of Wolfspeed products, improved LED chips, LED components, and LED lighting products risks related to our multi-year warranty periods for LED lighting products; risks associated
with acquisitions, divestitures, joint ventures or investments generally; the rapid development of new technology and competing products that may impair demand or render our products obsolete; the potential lack of customer acceptance for our products; risks associated
with ongoing litigation; and other factors discussed in our filings
with the Securities and Exchange Commission (SEC), including our report on Form 10 - K for the fiscal year ended June 25, 2017, and subsequent reports filed
with the SEC.
It's worth noting that the cryptocurrency fund fees are still much
higher than comparable passive stock market funds,
with S&P 500 index funds
priced as low as.05 % of
assets.
There is also opportunity abroad: Non-U.S. stocks
with the
highest dividend yields (average
price / earnings ratio of 15.8) are cheaper than domestic counterparts (23.1), according to O'Shaughnessy
Asset Management.
Compared
with a conversion when
asset prices were
higher, a conversion in a downturn may result in a lower tax bill for the same number of shares.
While I generally consider this advice to be wise, especially for inexperienced investors who should probably opt for something like an index fund, working
with a qualified advisor or, if they are wealthy enough, an
asset management group, the problem comes from the fact that if you find a truly outstanding business — one that you have conviction will continue to compound for decades at rates many times that of the general market, even a
high price can be a bargain.
«If our outlooks in November 2016 and June 2017 were something of a «group hug,»
with a view that growth and
asset prices would move
higher together, this round contained more tension and skepticism of the market's reaction,» adds Sheets, whose team recently published its «2018 Global Strategy Outlook» in conjunction
with the Global Economic team's «2018 Global Macro Outlook.»
With market volatility hitting multi-decade lows, junk bond yields also at record lows, the median
price / revenue ratio of S&P 500 constituents at a record
high well - beyond 2000 levels, and the most strenuously overvalued, overbought, overbullish syndromes we define, I'm increasingly concerned about the potential for an abrupt «air pocket» in the
prices of risky
assets that could attend even a modest upward shift in risk premiums.
Recovery is now in its ninth year
with relatively slow underlying growth for demographic and technological reasons, very low unemployment and
high asset prices.
Central banks have been the only game in town for years now, driving
asset prices higher with the help of interest rate cuts and quantitative easing (QE) programs.
That said, people
with higher incomes and
higher net worth tend to be sensitive to the impact of interest rates changes on
asset prices.
Our straight A's will have come in the form of building a portfolio around
high - quality and predictable carry, coupled
with assets defined by attractive
price characteristics.
To be sure, global policy liquidity has played the lead role in pushing
asset prices to new
highs,
with strong correlations across both risk - free and risky
assets.
These risks and uncertainties include food safety and food - borne illness concerns; litigation; unfavorable publicity; federal, state and local regulation of our business including health care reform, labor and insurance costs; technology failures; failure to execute a business continuity plan following a disaster; health concerns including virus outbreaks; the intensely competitive nature of the restaurant industry; factors impacting our ability to drive sales growth; the impact of indebtedness we incurred in the RARE acquisition; our plans to expand our newer brands like Bahama Breeze and Seasons 52; our ability to successfully integrate Eddie V's restaurant operations; a lack of suitable new restaurant locations;
higher - than - anticipated costs to open, close or remodel restaurants; increased advertising and marketing costs; a failure to develop and recruit effective leaders; the
price and availability of key food products and utilities; shortages or interruptions in the delivery of food and other products; volatility in the market value of derivatives; general macroeconomic factors, including unemployment and interest rates; disruptions in the financial markets; risk of doing business
with franchisees and vendors in foreign markets; failure to protect our service marks or other intellectual property; a possible impairment in the carrying value of our goodwill or other intangible
assets; a failure of our internal controls over financial reporting or changes in accounting standards; and other factors and uncertainties discussed from time to time in reports filed by Darden
with the Securities and Exchange Commission.
In general, a
higher percent invested in stock
assets leads to
higher long term returns
with accompanying greater
price swings.
The important thing to remember is that the government will want to avoid the expansion that was «associated
with the earlier plan that led to
higher CPI,
asset price inflation and a surge in lending to non-priority projects,» says J.P. Morgan.
Although decades of history have conclusively proved it is more profitable to be an owner of corporate America (viz., stocks), rather than a lender to it (viz., bonds), there are times when equities are unattractive compared to other
asset classes (think late - 1999 when stock
prices had risen so
high the earnings yields were almost non-existent) or they do not fit
with the particular goals or needs of the portfolio owner.
First, if growth did not recover and surprise on the upside (in which case
high asset prices would be justified), eventually slow growth would dominate the levitational effects of liquidity and force
asset prices lower, in line
with weaker economic fundamentals.
Unfortunately,
high asset prices and rising services inflation are already burdening young workers faced
with stagnant wage growth to fuel political instability.
Most value stocks have low
price - to - earnings (P / E) ratios,
high dividend yields, low
price - to - cash - flow ratios, and stocks
with a market value (generally, the stock
price) that is lower than the book value (how much the company's net
assets are worth).
They understandably wanted yields
higher than the Treasury was paying, as the Fed was flooding the economy
with credit to keep
asset prices afloat to save the banks from having to take loan write - downs and admit that debt creation was not really the same thing as Alan Greenspan euphemized in calling it «wealth creation.»
Meanwhile, sovereign wealth funds in the UAE, Kuwait and Qatar are flush
with cash from
high oil
prices and are on the lookout for attractively
priced European
assets.
Higher milk
prices along
with lower feed costs and land values are proving a factor in rising demand for dairy
assets.
Mortgage Lender Escrow Requirement Exemption — Vote Passed (294 - 129, 8 Not Voting) The House passed the bill that would exempt lenders
with assets of $ 10 billion or less from the 2010 financial regulatory overhaul requirement that such lenders establish escrow accounts for the first five years of so - called «
high -
priced» mortgage loans, if the lenders hold the loan on its own balance sheet for three years after the loan is made.
The study found that Bitcoin
prices affect Ripple,
with a spillover of 28.37 %, and Litecoin (42.3 %), while the
highest spillover from a cryptocurrency to a «traditional»
asset was Bitcoin to Forex (FX), at 15.25 %.
With asset prices so
high, and considering that we're almost 9 years into one of the longest bull markets in U.S. history, investors at this point need to have a plan for what they will do if
asset prices should fall.
When risky
assets get very correlated
with each other, and the only alternative game to play is buying
high quality bonds, it is an unstable situation that portends lower risky
asset prices.
This is an analysis metric that compares a company's share
price with its «book value» — essentially, its
assets minus its liabilities — and, as you can see, it is now significantly
higher than it was at the peak of the dotcom bubble in early 2000.
Mebane Faber, chief investment officer at Cambria Investment Management in El Segundo, Calif.,
with $ 400 million in
assets, says that the cyclically adjusted
price / earnings ratio is
higher in the U.S. than in 52 of 54 foreign stock markets.
A company
with a very
high share
price relative to its
asset value, on the other hand, is likely to be one that has been earning a very
high return on its
assets.
The problem is that robos tend to include more «esoteric» funds, ones that not only trade
with a larger spread between bid and ask
prices (translation:
higher cost to you), but also trade at a discount or premium to the underlying
assets in the ETF (translation:
higher costs to you if the manager buys at a premium or sells at a discount to
asset value).
Selling
high - performing
assets will allow you to secure funding for re-investment in lower
priced, perhaps even beaten down,
assets with the potential for growth.
But not - so - easy point to get is that businesses
with enduring moats are more attractive as investments than those which don't have enduring moats even at relatively
higher prices in relation to
assets, recent earnings and cash flows.
To be sure, global policy liquidity has played the lead role in pushing
asset prices to new
highs,
with strong correlations across both risk - free and risky
assets.
Instead of lower commission
pricing for clients who either trade actively or who have
high levels of
assets BMO InvestorLine offers certain «programs»
with added features.
That is normally the case, but when I was younger, I ran into a case
with a micro-cap stock (Cerbco, aptly named for the mythic three - headed dog of hell) where the supervoting share class received a
higher price in an
asset sale.
If the absolute returns on retirees»
assets are large enough to fund their retirement consumption then you would wind up
with relatively few sellers, resulting in
high prices and therefore relatively low rates of return.
If I had to be anywhere in equities, however, I'd start in the cheapest decile of the market on a
price - to - book basis and work my way through to those
with the
highest proportion of current
assets.
If someone is moving from
high -
priced mutual funds, typically they have a whole pile of expensive funds and will likely want to start fresh
with an
asset allocation and few low - cost products.
Leverage might make sense when purchasing
assets at bargain
prices with high expected returns.
High rates of
asset growth (ΔA) are negatively correlated
with future stock
price returns.
[8] That is, for an
asset with given cash flow, the
higher its market liquidity, the
higher its
price and the lower is its expected return.
Large index ETFs, which have real - time net
asset values (NAVs), have not helped this
pricing problem in fixed income but, in parts of the fixed income market where there is less liquidity (such as
high yield bonds), sourcing issues can be more difficult — particularly in a market sell - off where buyers may not be readily available
with sufficient capacity to take on bond inventory.
The other problem
with investment in commodities is that the
assets do not provide any return until they are sold, hopefully at a
higher price.
Identifying the growth potential of its core business, recognizing the (underlying) intrinsic value to be ultimately realized from its non-core
assets / businesses, and exploring the value enhancement opportunity (s) to be exploited
with these disposal proceeds... all this paints a picture of a very different company & a dramatically
higher share
price.