AI Will ‘Destroy Employment in Some Areas’ and Boost Others, Says Top Goldman Economist

/ / Financials /

By William Watts ‘It will destroy employment in some areas. There will be parts of the labor markets where tasks can be replaced. And to a degree that is going to result in reduced employment there. But then you’ll also find other ways of innovating and creating more jobs somewhere else.’Jan Hatzius, chief economist, Goldman Sachs That’s Jan Hatzius, chief economist at Goldman Sachs Group, offering his views on the impact that artificial intelligence will have on the jobs market in an interview with CNN. Goldman Sachs (GS) has previously estimated that AI could lead to the automation of as many as 300 million full-time jobs around the world, CNN noted. Hatzius told the cable news channel that AI is “very, very likely” to be a productivity enhancer for the economy. Goldman last year upgraded its long-term forecast for U.S. gross domestic product in part due to expectations around productivity. […]

AI Will ‘Destroy Employment in Some Areas’ and Boost Others, Says Top Goldman Economist Read Post »

CrowdStrike, Zscaler Remain ‘Top Cybersecurity Picks,’ Macquarie Says

/ / Technology /

CrowdStrike Holdings (CRWD) and Zscaler (ZS) remain the “top cybersecurity picks” amid the “highly hostile threat landscape,” Macquarie said in a note Monday. The firm said that the fallout from the cyberattack against UnitedHealth Group’s (UNH) Change Healthcare unit in late February can still be felt. The cyberattack, which impacted more than 80% of hospitals in the US according to the note, prompted UnitedHealth to advance more than $2 billion to medical providers after restoring Change Healthcare’s electronic payments platform. Macquarie said it positively views the positioning of CrowdStrike and Zscaler “as core pillars of software-based zero-trust cybersecurity practices.” “We believe CrowdStrike’s best-of-breed endpoint security platform is ideally positioned to mitigate ransomware attacks, and we think Zscaler’s cloud-based network security solutions provide strong protection against attackers moving laterally within hybrid cloud environments,” the firm said.

CrowdStrike, Zscaler Remain ‘Top Cybersecurity Picks,’ Macquarie Says Read Post »

Micron Technology’s Gross Margin Won’t Peak Until At Least Mid-2025, UBS Says

/ / Technology /

Micron Technology’s (MU) stock will continue to be supported over the next two years by an inclining gross margin that isn’t expected to peak until at least mid-2025, UBS said ahead of the chipmaker’s fiscal second-quarter print. The brokerage increased its price target on the stock to $120 from $95 and reiterated a buy rating in a note emailed Tuesday. UBS’s target values Micron at 2.5-times price to tangible book value, indicating that investors are willing to pay more than book value, the report showed. The bank raised its multiple from 1.9-times amid the expectation that recent volatility will translate to Micron being able to “hold a higher multiple” as the cycle shows duration. “We hear a lot of hand-wringing around valuation here but this is an output not an input and the stock has always continued moving higher alongside gross margin – which we don’t think peaks until at

Micron Technology’s Gross Margin Won’t Peak Until At Least Mid-2025, UBS Says Read Post »

JPMorgan to Hike Dividend After Notching Record Profit — Barrons.com

/ / Financials /

By Liz Moyer JPMorgan Chase said Tuesday it would hike its quarterly dividend by 9.5%, its second raise in the past year after notching a record profit for 2023. The bank said its board approved a quarterly dividend of $1.15 a share, up from $1.05 a share. JPMorgan last raised its dividend in October, to $1.05 a share from $1. The company reported net income of $49.5 billion for last year. The announcement arrived on a day when JPMorgan’s stock hit a record high. It also comes as banks push back against proposals to increase the amount of capital they need to hold in case of an economic downturn. JPMorgan CEO Jamie Dimon testified to the Senate Banking Committee in December the proposed increase to capital requirements would have a harmful ripple effect on the economy. The Federal Reserve will publish the results of its annual stress test on the

JPMorgan to Hike Dividend After Notching Record Profit — Barrons.com Read Post »

Chipotle Board Approves 50-for-1 Stock Split — WSJ

/ / Consumer Discretionary /

By Sabela Ojea Chipotle Mexican Grill said it plans to do a 50-for-1 stock split to make its shares more accessible to employees and a broader range of investors. The restaurant chain said its board approved the first stock split in its 30-year history. The company will seek shareholder approval for the split at its annual meeting on June 6. The company’s stock closed Tuesday at $2,797.56, up 22% since the beginning of the year and 74% over the past 12 months. Should the stock split get approved, the stock would trade around $56, based on the closing price Tuesday. The company currently has about 27.4 million shares outstanding. If the split gets approved, shareholders would receive 49 additional shares for each share held, to be distributed after the market close on June 25. Chipotle’s shares are expected to trade on a post-split basis starting on June 26, the company

Chipotle Board Approves 50-for-1 Stock Split — WSJ Read Post »

Apple Looks To External Partners to Boost AI Efforts — WSJ

/ / Technology /

By Aaron Tilley and Miles Kruppa Apple is looking to outside companies to help its artificial intelligence efforts. Apple has held discussions with Google and other AI software providers about using their technology to power the iPhone maker’s mobile features, said people familiar with the matter. The tech giant has talked to startups including Cohere and OpenAI as part of the discussions, some of the people said. It wasn’t clear how any potential deal would be structured or whether Apple would partner exclusively with one of the companies. Spokespeople for Apple, Google, OpenAI and Cohere declined to comment. The Cupertino, Calif.-based tech giant is under pressure to deliver more advanced features using the latest so-called generative artificial intelligence techniques. The potential of such software and its far-reaching implications have captured the focus and attention of various industries and set off an arms race among technology companies, primarily due to the

Apple Looks To External Partners to Boost AI Efforts — WSJ Read Post »

CFRA Maintains Buy Opinion On Shares Of Micron Technology, Inc.

/ / Technology /

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We boost our 12-month target to $110 from $94, on a P/E of 12.6x our CY 25 EPS view, near MU’s long-term historical average. We narrow our FY 24 (Aug.) loss per share estimate to $0.20 from $0.51 and raise FY 25’s EPS to $7.28 from $6.14. Ahead of Feb-Q results set to be released on 3/20, we see loss per share of $0.25 on $5.3B in revenue (implies +45% growth), as we think the recovery in memory is gaining momentum. We think MU remains well-positioned, given its strong DRAM exposure (over 70% of revenue), which is seeing a more favorable pricing landscape. We also like MU’s greater emphasis on DRAM servers that are higher priced (higher margin) as well as upside that can be seen from

CFRA Maintains Buy Opinion On Shares Of Micron Technology, Inc. Read Post »

CFRA Maintains Buy Opinion On Shares Of Nvidia Corp.

/ / Technology /

CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We took away three important messages from Jensen Huang’s GTC keynote. First, hardware revenue has more upside, as NVDA’s Blackwell GPU (B200) will command higher prices to Hopper and generate much greater performance when tied to its CPUs/networking chips (up to 30x inference boost and 25x reduction to energy consumption). Second, NVDA is increasing the stickiness of its ecosystem through new software advancements, with NIMs allowing developers the ability to more easily create/launch AI Assistants across the enterprise space. Finally, NVDA will power the forthcoming Industrial AI revolution as everything moves to robotics, creating the need for AI factories/giant virtual warehouses that will leverage the omniverse/digital twins. NVDA also unveils Project GR00T (foundation model for humanoid robots) and Jetson Thor (new computer to run simulation workflows). All

CFRA Maintains Buy Opinion On Shares Of Nvidia Corp. Read Post »

Cisco Completes Acquisition of Splunk

/ / Telecommunications /

Cisco Completes Acquisition of Splunk Canada NewsWire SAN JOSE, Calif., March 18, 2024 It’s a new day for your data. Cisco, supercharged by Splunk, will revolutionize the way companies harness data to connect and protect every aspect of their organizations. News summary — Cisco is now uniquely poised to power, protect, and advance the AI revolution for customers — Cisco will bring the full power of the network together with market-leading security and observability solutions — With Splunk, Cisco becomes one of the largest software companies globally SAN JOSE, Calif., March 18, 2024 /CNW/ — Cisco (NASDAQ: CSCO) today announced it completed the acquisition of Splunk, setting the foundation for delivering unparalleled visibility and insights across an organization’s entire digital footprint. To thrive in the new digital era, organizations must connect and protect all that they do. They need to connect the people, places, applications, data, and devices that power

Cisco Completes Acquisition of Splunk Read Post »

Apple to Reinforce Artificial Intelligence Strategy With Potential Google Partnership, Wedbush Says

/ / Technology /

Apple’s (AAPL) potential partnership with Google parent company Alphabet (GOOG, GOOGL) is part of the iPhone maker’s strategy to incorporate artificial intelligence into its flagship product, Wedbush Securities said. The technology giants are in talks for Apple to license Google’s Gemini AI engine and power the generative AI features Apple is seeking to build into the iPhone’s software this year, Bloomberg News reported late Sunday. Apple also recently held talks with Microsoft-backed (MSFT) OpenAI over licensing its technology, Bloomberg reported, citing sources. Apple, Alphabet, and OpenAI didn’t immediately respond to MT Newswires’ requests for comment. Alphabet’s shares advanced 5.7% in Monday trading, while Apple gained 2.6%. The move reflects Apple’s broader AI strategy after including its own AI App Store and additional features into the iPhone 16, Wedbush said in a Monday client note. It also represents a “major win” for Google to get onto the Apple ecosystem with “clearly

Apple to Reinforce Artificial Intelligence Strategy With Potential Google Partnership, Wedbush Says Read Post »

Scroll to Top