The grocery delivery wars are heating up fast. Amazon (NASDAQ: AMZN) and Walmart (NYSE: WMT) have expanded their same-day effortsRead more
Does eBay Really Have to Compete with Amazon?
Shrewd value investors will ask the above question because a strong case can be made that eBay does not really compete with Amazon. eBay sells used items through auction and discounts to a select clientele.
eBay has become a true value investment because the company has proved it can survive and perhaps thrive in the age of Amazon. One reason why eBay makes money is by not competing directly with Amazon.
Likely responses to Walmart’s offensive might be Amazon’s acquisition of a traditional grocer like Safeway or Winn-Dixie, or Amazon or Target partnering with traditional grocers such as Publix. Kroger might respond by buying InstaCart and joining Google Shopping Express.Read more
Netflix (NASDAQ: NFLX) is facing a very tough and dramatic battle for survival. Its biggest content supplier; the Walt DisneyRead more
That makes WWE a pretty good metric for other traditional entertainment companies that are trying to transition to digital-content providers. We might be seeing the future of companies as diverse as TV networks like CBS (NYSE: CBS) and movie studios like Lionsgate Entertainment Group (NYSE: LGF.A) at WWE.
The advantages of this business model are that the WWE can generate cash flow without having to pander to advertisers.Read more
EG Group has not said if it will continue the Kroger fuel rewards that Kroger convenience stores currently accept. Cutting out the fuel rewards would at the convenience stores would save both companies money.
Eliminating the convenience stores from the program would make it easier for Kroger to shut down the entire rewards points program. A strong possibility is that Kroger will only accept points at its filling stations, or make them just for groceries. Either way, there is a strong possibility that Kroger fuel points might die soon.Read more
All of CBS’s renewed scripted dramas experienced a double-digit ratings collapse among 18 to 49-year-olds. Three of them; Scorpion, NCIS: Los Angeles, and Criminal Minds, lost more than one-quarter of their audience between 2017 and 2018, ratings indicate.
These figures spell disaster for CBS because the 18 to 49 year old demographic includes most of the population including; Generation Z (18-19 age group), Millennials (age 20 through 35) and Generation X (age 36 through 50). Since are around 79.41 million Millennials, 65.72 million Generation Xers, and 73.51 million members of Generation Z, according to Knoema, it appears that CBS has lost the entertainment wars badly.Read more
My conclusion from these small figures is that Amazon’s business might not be sustainable because its ability to generate cash is limited. The e-commerce sales are not generating enough float to make Amazon a value investment.
A major problem Bezos will face here is Amazon’s dependence on the U.S. economy. If the current recovery does not work it, Amazon might face serious losses and Bezos will have to trim his operations.Read more
There is no doubt that Amazon is one of the most recognizable brand names in the whole world. However, its founder Jeff Bezos had a bit more modest goals in the beginning. Who would have thought that a simple online bookseller would become the world’s biggest online store?Read more
It looks as if Costco is well-positioned to deal with the future and ward off the Amazon challenge. More importantly, Costco seems well positioned to survive and make money in America in which a large percentage of the population may no longer drive.
That’s good news for investors because Costco is a great income stock. Its investors enjoyed three 50¢ dividends, one 45¢ dividend and one $7 super dividend in 2017, NASDAQ reported. Costco shareholders took home $8.95 in dividend income in 2017.Read more