Standard Chartered Plc is the first major global bank to tell employees not to use Zoom Video Communications Inc during the coronavirus pandemic due to cybersecurity concerns, according to a memo seen by Reuters. The message, sent by Chief Executive Officer Bill Winters to managers last week, also warned against using Alphabet Inc's Google Hangouts platform for virtual gatherings. Neither service offers the level of encryption of conversations that rivals like Cisco System Inc's Webex, Microsoft Corp's Teams or Blue Jeans Network Inc do, industry experts said....
Wall Street loves mergers and acquisitions. They feed the egos of CEOs by increasing their empires and garner big fees for the bankers that help put big deals together. They can also result in a big payday for investor of the firm that gets bought out. But, sadly, for these reasons, most mergers destroy shareholder value over the long haul.For investors, the track record indicates that it can be more lucrative to bet on deals where firms break themselves apart. One such deal that became final less than two weeks ago found two giant defense and aerospace-focused firms merge, but also spin out two global titans into their own separate entities.I just picked on mergers for being bad for shareholders, but last June’s merger between United Technologies and Raytheon was very unique in that it was a “merger of equals.” That means there wasn’t a large premium built into the deal...
(Bloomberg Opinion) -- With Netflix Inc. soaring to new highs, it may be tempting to think video-streaming platform Roku Inc. might be the next big stay-at-home play amid heightened demand for viewing options in a coronavirus world. But investors should be wary of any comparison between the two companies as they have drastically different business models. Simply, Roku is no Netflix.Late Monday, Roku updated its financial guidance for the quarter ended in March, projecting a slightly higher sales range of $307 million to $317 million, versus its prior forecast of about $305 million. The company said it saw increased viewing numbers late in the quarter due to more people sheltering at home. It also withdrew its full-year 2020 financial outlook, citing the economic uncertainties stemming from the Covid-19 pandemic. Its shares surged more than 10% in midday trading Tuesday.At first blush, this seems like a positive development. Roku beat its revenue guidance and business trends recently accelerated as...
The stock has jumped 28% in the past two days as investors look beyond disruptions caused by the pandemic, which has forced Tesla to close its California factory, furlough workers and cut salaries. Credit Suisse raised its rating on Tesla to "neutral" from "underperform," saying short-term changes in demand related to the outbreak will distract traditional automakers like General Motors and Ford Motor in their gradual transition toward electric vehicles. "Coronavirus disruption will make it more difficult for legacy automakers to balance the long-term shift (to electric vehicles) in the face of near-term cycle disruption," Credit Suisse analyst Dan Levy wrote in a research note....
