SoftBank Shares Soar After Alibaba Unveils Breakup Plans
source link: https://finance.yahoo.com/news/softbank-shares-soar-alibaba-unveils-005847060.html
Go to the source link to view the article. You can view the picture content, updated content and better typesetting reading experience. If the link is broken, please click the button below to view the snapshot at that time.
SoftBank Shares Soar After Alibaba Unveils Breakup Plans
(Bloomberg) -- SoftBank Group Corp. surged in Tokyo trading after Alibaba Group Holding Ltd. announced a six-way split of its businesses, fueling optimism for a recovery at one of the Japanese company’s most important holdings.
Most Read from Bloomberg
The Tokyo-based company’s stock rose as much as 6.2% in early trading, the biggest intraday move since October.
“There had been anxiety over the global banking system, but that has started to subside. And now we have this Alibaba news, which is clearly a positive for SoftBank,” said Naoki Fujiwara, chief fund manager at Shinkin Asset Management. “The expectation is for the spinoff units to have their businesses properly valued, which will boost Alibaba’s overall corporate value.”
SoftBank founder Masayoshi Son has relied on his Alibaba stake in recent years to generate cash for other startup investments and to compensate for losses in his portfolio. Alibaba’s market capitalization slid with the Chinese government’s crackdown on tech giants though, falling from a peak of more than $850 billion in 2020 to about $220 billion before the breakup announcement.
Alibaba shares rose 14% in New York trading after the split announcement, pushing its market value to about $255 billion. Still, SoftBank is working through other challenges among its portfolio companies, which may moderate any stock gains.
“It’s going to be a slow recovery from here,” said Fujiwara. “The upside for the stock price will be capped until we see an overall turn around in sentiment for Nasdaq and technology firms.”
(Updates with analyst comment from third paragraph)
Most Read from Bloomberg Businessweek
©2023 Bloomberg L.P.
- CoinDesk
Binance Case Is Clear Evasion of Law, Says CFTC Chair Behnam
The CFTC on Monday filed suit against the crypto exchange and its CEO Changpeng Zhao.
23h ago - Bloomberg
US Housing Cools Further, With Prices Down 3% From the Peak
(Bloomberg) -- The US housing slump stretched into a seventh month in January.Most Read from BloombergFBI Releases Files on Ivana TrumpSchwab’s $7 Trillion Empire Built on Low Rates Is Showing CracksBanks in France Face More Than $1.1 Billion Fines After RaidsMarkets Are Wrong on US Rate-Cut Bets, BlackRock Says$52 Billion Chipmaking Plan Is Racing Toward FailureHome prices nationally fell 0.2% from December, according to seasonally adjusted data from S&P CoreLogic Case-Shiller. The index is now
1d ago - Reuters
French prosecutors search banks over alleged dividend stripping
PARIS (Reuters) -French authorities on Tuesday searched the Paris offices of five banks, including Societe Generale, BNP Paribas and HSBC, on suspicion of fiscal fraud, part of a broad European probe into the dodging of dividend tax payments. Societe Generale and BNP Paribas confirmed the searches, declining further comment. The French prosecutors' actions are the latest to hit global banks over the dividend tax fraud scheme as similar investigations have been conducted in Germany and other European countries.
1d ago - Bloomberg
US, Japan Strike Deal on Supply of Minerals for EV Batteries
(Bloomberg) -- The US agreed to boost cooperation with Japan on critical mineral supply chains and to expand access to tax breaks as President Joe Biden aims to counter China’s dominance of the electric vehicle battery sector.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureFBI Releases Files on Ivana TrumpNew Yorkers Are Moving to These Three Florida CitiesUBS Veteran Ermotti Returns to Lead Credit Suisse TakeoverBanks in France Face More Than $1.1 Billion Fines After
16h ago - Reuters
US annual house price growth slows further in January
U.S. single-family home prices moderated further on an annual basis in January, which together with declining mortgage rates could pull buyers back into the housing market. The S&P CoreLogic Case-Shiller national home price index, covering all nine U.S. census divisions, increased 3.8% year-on-year in January, data showed on Tuesday, marking the ninth straight month of decelerating annual home price gains. The housing market has been squeezed by the Federal Reserve's aggressive interest rate hikes to tame high inflation, with residential investment contracting for seven straight quarters, the longest such streak since the collapse of the housing bubble triggered by the 2007-2009 Great Recession.
1d ago - Decrypt Media
What the Binance CFTC Lawsuit Means for Crypto
The charges against Binance are stiff, and the penalties could be business-ending. Here’s what you need to know.
14h ago - Bloomberg
Korea Can Consider Lifting Short Selling Ban in 2023, Watchdog Says
(Bloomberg) -- South Korean authorities will consider lifting a short-selling ban as early as this year if conditions are met, the nation’s financial watchdog chief said, acknowledging that the restriction is impeding foreign investors from buying local stocks.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureFBI Releases Files on Ivana TrumpNew Yorkers Are Moving to These Three Florida CitiesUBS Veteran Ermotti Returns to Lead Credit Suisse TakeoverBanks in France Face
8h ago - Bloomberg
AMC Soars on Report Amazon Weighs Offer for Theater Chain
(Bloomberg) -- AMC Entertainment Holdings Inc. rose 13% after the Intersect website reported that Amazon.com Inc. is weighing a possible acquisition of the struggling movie-theater chain.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureFBI Releases Files on Ivana TrumpNew Yorkers Are Moving to These Three Florida CitiesBanks in France Face More Than $1.1 Billion Fines After RaidsSchwab’s $7 Trillion Empire Built on Low Rates Is Showing CracksAmazon has investment advis
17h ago - Investor's Business Daily
Apple Advertising Business Is Underappreciated, Analyst Says
Apple has opportunities to increase its advertising sales business, and nearly quadruple it by 2026, a Wall Street analyst says.
17h ago - Bloomberg
Alibaba Shares Soar After Historic Overhaul Heralds IPO Wave
(Bloomberg) -- Alibaba Group Holding Ltd.’s US shares closed 14.3% higher after China’s online commerce leader announced plans to split its $220 billion empire into six business units, a major restructuring that promises to yield several initial public offerings.Most Read from Bloomberg$52 Billion Chipmaking Plan Is Racing Toward FailureFBI Releases Files on Ivana TrumpNew Yorkers Are Moving to These Three Florida CitiesBanks in France Face More Than $1.1 Billion Fines After RaidsSchwab’s $7 Tri
17h ago - MoneyWise
Will Bitcoin keep minting more millionaires or is this just a 'dead cat bounce'? Here's why Warren Buffett believes crypto 'will come to a very bad ending'
The Oracle of Omaha never saw a future in cryptocurrency.
3h ago - Investor's Business Daily
Elon Musk Says Warren Buffett Missed Out On The Best Stock
Elon Musk doesn't seem all that impressed with Warren Buffett's stock picks. And he took to Twitter — of course — to say so.
2h ago - TipRanks
Mohamed El-Erian Calls Out ‘Trilemma’ of Problems Facing the Market; Here Are 2 ‘Strong Buy’ Dividend Stocks to Protect Your Portfolio
The markets have been pounded lately by a series of economic shocks, most recently the bank crisis sparked earlier this month by the failure of Silicon Valley Bank. That spread quick fears of contagion, as the crypto-heavy Signature and Silvergate banks also failed – and then the international heavyweight Credit Suisse showed signs of cracking. Economist Mohamed El-Erian warns that we are facing multiple problems simultaneously, and the outlook is grim. “It’s not just a dilemma of inflation vers
14h ago - Zacks
Arcturus Therapeutics (ARCT) Beats Q4 Earnings and Revenue Estimates
Arcturus Therapeutics (ARCT) delivered earnings and revenue surprises of 332.80% and 19.14%, respectively, for the quarter ended December 2022. Do the numbers hold clues to what lies ahead for the stock?
16h ago - Barrons.com
Alibaba Stock Could Double Over Its Split Plan. There Are Even More Reasons to Like It.
Analysts at J.P. Morgan expect shares in Alibaba to keep climbing after its reorganization announcement. The stock could more than double.
2m ago - Investor's Business Daily
Stock Market Weakens; Warren Buffett Makes A Quick $450 Million; Micron Stock Slides Ahead Of Earnings
Tech led the stock market lower Tuesday, with major benchmarks weakening in the last hour. Berkshire Hathaway's Warren Buffett made $450 million on Occidental Petroleum after a Cowen upgrade. Berkshire added more shares in March.
20h ago - Zacks
Bed Bath & Beyond (BBBY) Gains As Market Dips: What You Should Know
Bed Bath & Beyond (BBBY) closed at $0.79 in the latest trading session, marking a +0.44% move from the prior day.
15h ago - Barrons.com
Fisher Investments Moves to Texas Over Taxes
The firm said it was relocating “immediately” from Washington after the state’s supreme court cleared the way for a capital gains tax.
16h ago - Zacks
Bank of America (BAC) Dips More Than Broader Markets: What You Should Know
Bank of America (BAC) closed at $28.12 in the latest trading session, marking a -1.3% move from the prior day.
16h ago - Investor's Business Daily
Analysts Agree Now's The Time To Buy These 10 Promising Stocks
Finding S&P 500 stocks that analysts agree on is rare. So when you see nearly unanimous agreement on some, that's quite a statement.
1d ago
Recommend
About Joyk
Aggregate valuable and interesting links.
Joyk means Joy of geeK