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(Bloomberg) -- Just in the last week, 96,000 people on the Robinhood investing app opened a position in Hertz Global Holdings Inc. The number of users holding Whiting Petroleum Corp. grew roughly 10,000 in the last 24 hours.Two things the companies have in common: They’ve filed for bankruptcy protection. And each saw their shares double to start the week.It’s the same thing for Chesapeake Energy, as it prepares a potential filing. In the past, the court process usually wiped out equity shareholders. In this day and age, as small day traders salivate at any opportunity to get rich quick, a filing has apparently become a buy signal for many of them. There’s evidence retail investor actions have become a decisive driver of price.“Retail has a lot to do with it and I don’t think you’ve seen institutional investors buying those kinds of stocks,” said Christopher Grisanti, chief equity strategist at MAI...
(Bloomberg Opinion) -- It’s finally going to happen. Apple Inc. is on the verge of using its own chips over Intel Corp.’s for its Mac computers.Bloomberg News reported Tuesday that Apple is preparing to announce as soon as this month that it will use its own processors in Macs starting next year. The new Macs will incorporate the same internally-developed semiconductors, based on Arm Ltd. chip-architecture technology, that powers the iPhone. According to Bloomberg’s Mark Gurman, Apple plans to move its entire Mac product lineup to its own chips because of their higher performance and improved power efficiency.The move will have multiple negative ramifications for Intel’s chip business. The most obvious is the direct impact of losing revenue as the sole processor supplier for Apple’s PC line. The Mac currently represents 12% of the U.S. PC market based on units sold, according to the latest Gartner data. And Bernstein estimates Apple’s laptop line accounts for 2% to 4% of Intel’s sales and...
Optimism on President Trump winning re-election may in part be fueling the stock market's latest surge, says this veteran strategist....
(Bloomberg) -- J.C. Penney Co. shareholders got a helping hand Tuesday from U.S. Bankruptcy Judge David Jones.Jones will order the retailer to pay as much as $250,000 in professional fees to support an informal group of shareholders who have been challenging the bankruptcy, he said in a hearing Tuesday. In exchange, the group of retail investors agreed to nix its attempt to have the whole case thrown out along with its request for status as an official group, which could’ve resulted in huge legal bills for J.C. Penney.Shareholders typically get no recovery in a Chapter 11 bankruptcy, but the legal fights that result from pugnacious stockholders can slow down a case and hurt recoveries for creditors. Jones said he views the compromise as a way to help educate shareholders on where the case is headed and how bankruptcy works.“I’m looking at this as a very reasonable expenditure to further education and...
