Highlights

Good Articles to Share

Author: Tan KW   |   Latest post: Mon, 25 Jan 2021, 4:22 PM

 

SoftBank hits new 20-year high as Uber gains, DoorDash plans IPO

Author:   |    Publish date:


(Nov 27): SoftBank Group Corp. rose to a fresh 20-year high as the recent stock market surge boosted the value of holdings like Uber Technologies Inc. and brightened the prospects for portfolio companies going public.
 
The U.S. ride-hailing pioneer recovered from stumbles after its initial public offering last year and its shares have gained more than 70% this year. Softbank’s 13% stake is worth about $11 billion. The Japanese company is also a major shareholder in U.S. delivery giant DoorDash Inc., which filed to go public this month. SoftBank’s stock gained 2.3% to 7,250 yen on Friday, the highest level since March of 2000 in the midst of the dot-com boom.
 
Citigroup Inc. earlier this week raised its target price on SoftBank to 11,000 yen from 10,200 yen, citing improved earnings prospects at the Tokyo-based company’s investments business. Nomura Holdings Inc. raised its target to 9,100 yen from 8,190 yen citing the same reason. Both brokerages have a buy rating on SoftBank.
 
A series of missteps in the investment business including a failed WeWork IPO and the impact of the Covid-19 outbreak led to record losses last fiscal year. SoftBank founder Masayoshi Son responded by unveiling plans to sell 4.5 trillion yen ($43 billion) in assets and buy back a record 2.5 trillion yen of his own stock. Shares are up more than 160% from their March low.
 
“We see plenty of room for the shares to rise against a backdrop of aggressive share buybacks and efforts to improve financial health,” Citigroup analyst Mitsunobu Tsuruo wrote in the report.
 
The Japanese conglomerate reported a record 784.4 billion yen profit in its Vision Fund business for the three months ended Sept. 30, a sign the fund’s investments in startups are paying off amid a broad rally in technology stocks. The bull market is also making it easier for SoftBank-backed startups to go public.
 
Opendoor, which buys and sells homes, is going public through a merger with a blank-check company led by Chamath Palihapitiya. Compass, another SoftBank portfolio company, has selected underwriters for a potential initial public offering, a person with knowledge of the matter has said.
 
 - Bloomberg
Share this

  Be the first to like this.
 


APPS
I3 Messenger
Individual or Group chat with anyone on I3investor
MQ Trader
Perform Technical & Fundamental Analysis on Stocks
MQ Affiliate
Earn rewards by referring your friends
 
 

175  924  544  871 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 DNEX 0.295+0.035 
 DNEX-WD 0.06+0.015 
 BIOHLDG 0.295-0.005 
 XOX 0.085-0.005 
 PHB 0.0250.00 
 XOX-WC 0.015+0.01 
 LUSTER 0.19+0.005 
 VIZIONE 0.225-0.045 
 QES 0.36-0.02 
 MTRONIC 0.0950.00 

FEATURED POSTS

1. The Equity Market Index Benchmark in Malaysia CMS
2. Trading Scenarios of Derivatives Bursa Derivatives Education Series
3. Derivatives 101 Bursa Derivatives Education Series
4. Why Trade FKLI? Bursa Derivatives Education Series
5. MQ Trader - Introduction to MQ Trader Affiliate Program MQ Trader Announcement!

TOP ARTICLES

1. Supermax record profit must prevail - Koon Yew Yin Koon Yew Yin's Blog
2. Eurocham: No mention of lockdown after Feb 4 in meeting with Miti save malaysia!
3. Jaks Resources - Final Update :- Jaks Hai Duong Power Plant achieved FULL COD ! DK
4. Biden Presidency Spells Good Times for Malaysian Gloves Trying to Make Sense Bursa Investments
5. Tan Sri Lim: “Being sick is being abnormal.” TOPGLOV allows only 2 paid sick leave p.a. LHL please make a police report if what you says is true! gloveharicut
6. CIMB: FREIGHT is trading at a 60.9% & 30.8% discount to its local & regional peers gloveharicut
7. Bargain hunting lifts GLOVEs share prices, say analyst, fund manager as situation remains 'volatile' gloveharicut
8. Top Glove: Allegations of management hypocrisy and lack of integrity By LHL save malaysia!
PARTNERS & BROKERS