E Statistics Lesson

Teva fell over 2.5% today while Tel Aviv was closed and it is now back to being down by more than a third from its 52-wk high. The ructions are over its $9 million lease for its US HQ Parsipanny where it is moving from Philadelphia. The sum doesn't include the construction changes it will have to make, according to Fierce Pharma newsletter which says Teva is collecting $40 million in NJ aid for the move.

I bought more ESALY after Eisai fell over concern that the breakthrough in Alzheimer's disease worsening was oversold by its partner Biogen. I paid $91 and it is now $91.54.

HOTELS

A counterbid against Thai group Minor International's plan to buy up the NH Hotel chain of Spain (which we sold years ago after its real estate sub went wrong) has now come from the USA, from Hyatt Hotels. If NH still owns properties in Cuba (as it did when we owned it), there may be some problems for Hyatt, which moreover is run by people who supported Barack Obama. MNILY.

TECH

Despite Israeli Tower Semiconductors (TSEM AKA Tower Jazz) guiding lower for Q3 sales, Q.Tung Le of Crédit Suisse has reiterated his outperform rating but cut its target price to $28.5 from $30.5 The analyst was surprised that TSEM expects to gain traction from the rise of demand for radio frequency chips only in Q4, he still expects growth from RF, silicon-germanium, power, and imaging chips globally. He says Q3 guidance "is likely a final reset" with growth in Q4 now likely to be 10% y/y to balance the mere 5% growth for Q3. TSEM margins are rising in tandem and Mr Le expects before tax earnings this year to hit $200 million and margins to hit 14.8%.

Next year earnings are pegged at $230 million and margins are 16.4%.

Big customers Panasonic, and Maxim will keep orders flat this year but will breakout net year. They account for over a third of sales.

Nokia NOK fell another 0.2% after losing 7% earlier despite D.M Martins's bullish forecast for the Finnish telephone equipment maker because he thinks 5G will work out. He says the drop is "overdone." I agree.

Vodafone gained 1.7% in UK trading today. VOD.

Naspers is considering listing and spinning off some of its tech and media assets outside South Africa in part to better capitalize its early stake in Tencent. NPSNY accounts for over 19% of the Johannesburg stock exchange and investors have to sell as it goes up. If different bits are listed separately this can be avoided. Its investments include travel agents in India, food delivery in Brazil, internet in Russia, and most recently mobile payments firm Zooz in Israel.

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David Reynolds 2 years ago Member's comment

Good read.

Vivian Lewis 2 years ago Author's comment

do I want to share a page with Dough Casey? I am the child of immigrants of a different language, religion and culture to that of the US mainstream. Of course had they not left Nazi Germany when they did my parents would have been killed and I wouldn't be here. But to limit migration to people called Casey who want to better themselves would also exclude religious refugees like my mom and dad; people who had helped the USA in Vietnam who feared being killed by the Communist takeover; Cuban refugees from Castroland; Russian amd East European Jews banned from studies or jobs under Stalin and his allies. If you only allow Christians with white skin who speak English already, who can find jobs or start companies now, are you going to ask the offspring of these other groups to return to their ancestors" homelands? What will Mr Casey do about the native Americans who were here before the Caseys disembarked?

BreakingBad News 2 years ago Member's comment

Was this response to a question I'm not seeing?

Vivian Lewis 2 years ago Author's comment

ad for Casey posted on talkmarkets letter to me yesterday so I reacted

BreakingBad News 2 years ago Member's comment

Thanks for clarifying, I had no idea Casey had such views.

Vivian Lewis 2 years ago Author's comment

me neither. but the book is out