EARNINGS SEASON: Consumer Spending

Posted on October 12, 2023 by Dr. David Edward Marcinko MBA MEd CMP™

By Staff Reporters

***

***

  • Markets: Stocks notched their fourth winning day in a row yesterday as investors digested the news that the Fed was split about future rate hikes at its last meeting while waiting for this morning’s report on how much consumer prices rose last month.
  • Ozempic continues eating into investors’ appetites for other industries. Its maker, Novo Nordisk, rose on the news that the diabetes drug may help treat kidney failure, but dialysis providers DaVita and Fresenius Medical Care plunged.

***

Earnings season is back: PepsiCo, Delta, Dominos, and big banks headline the start of earnings season, one that will have investors looking at how slowing inflation has affected the ability of companies to pad their profit margins. Pepsi’s report will be closely watched as its snack division, Frito-Lay, could be tested by the increasing popularity of weight-loss drugs like Wegovy. Major banks like JPMorgan are expected to post strong results.

CITE: https://www.r2library.com/Resource

US consumer spending: Has remained surprisingly strong despite rising interest rates, and a senior spending spree could explain it. According to the Department of Labor, Americans aged 65 and older accounted for 22% of consumer spending last year, the highest percentage since records began in 1972. It also helps that 17.7% of the US population is 65 and older, the highest on record dating to 1920. Better health, longer lifespans, and changes in attitude toward saving for a rainy day after the pandemic have boomers feeling OK about their finances.

COMMENTS APPRECIATED

Thank You

***

***

Filed under: "Ask-an-Advisor", Drugs and Pharma, Events-Planner, Funding Basics, Investing | Tagged: , , , , , , , , , | Leave a comment »

PRIVATE COMPANIES: Raising Capital is Hard ~ No Very Tough!

Posted on October 12, 2023 by Dr. David Edward Marcinko MBA MEd CMP™

By Staff Reporters

SPONSOR: http://www.MARCINKOAssociates.com

***

***

The markets are down again and stocks continued their September slump with tech companies getting hit especially hard as investors fretted about another possible Fed rate hike because of data showing prices for manufacturing and services trending upward. It was a mixed bag for the meme stock faithful, with AMC hitting an all-time low after releasing a plan to sell new shares and GameStop rising after-hours thanks to better-than-expected sales last quarter.

MEME: https://medicalexecutivepost.com/2021/10/23/what-are-meme-stocks/

***

This all may demonstrate that private companies looking to fund growth in this high-interest rate environment are facing a tough time raising capital amidst falling valuations, according to a new Deloitte survey.

The problem is particularly acute for smaller companies. Many of the companies challenged by capital raising saw themselves putting out the “For Sale” sign within the next six months, which could lead to an M&A boom later this year.

CITE: https://www.r2library.com/Resource/Title/0826102549

“The No. 1 largest factor that people saw as a challenge or a barrier was a decrease in valuations of their business,” Wolfe Tone, vice chair and US and Global Deloitte Private leader, told CFO Brew. “Clearly, increasing interest rates and pricing was closely behind that. Liquidity challenges not far behind that.”

Private companies have been looking to raise capital to fund a range of growth initiatives; meeting talent needs and expanding tech capabilities are at the top of the list, Tone said. Not far behind was “increasing productivity and improving cost structures.”

VC FUNDING: https://marcinkoassociates.com/fmv-appraisals/

COMMENTS APPRECIATED

Thank You

***

Filed under: "Ask-an-Advisor", Breaking News, Career Development, Experts Invited, Financial Planning, Funding Basics, Health Economics, iMBA, Inc., Investing | Tagged: , , , , , , , , , , , , , , , , , , , | 1 Comment »

BANKRUPTCY: e-Dental Records

Posted on October 12, 2023 by Dr. David Edward Marcinko MBA MEd CMP™

By Darrell Pruitt DDS

***

***

Even though the American Dental Association officially disagrees, if you haven’t adopted electronic dental records, now is not the time.

“Ransomware attack threatens to expose McLaren Health patient data” – Michigan Attorney General Dana Nessel notes: “This attack shows, once again, how susceptible our information infrastructure may be”. Organizations that handle our most personal data have a responsibility to implement safety measures that can withstand cyber-attacks and ensure that a patient’s private health information remains private.”

LINK: https://www.mlive.com/crime/2023/10/ransomware-attack-threatens-to-expose-mclaren-health-patient-data.html

I’d give it a few more years. Otherwise, your digital records could be the cause of your bankruptcy.

***

Ransomware hits small businesses too

Business Tips from SCORE: Hackers focusing on small businesses. Here’s how to protect yourself, by Marc L. Goldberg for Cape Cod Times, October 8, 2023.

“Ransomware is the type of malware that has been on the rise over the last couple of years. After the ransomware infects the device, you’ll know right away. It encrypts files (or parts of the infrastructure) and displays the ransom message on the screen of the victim. Some strains can steal data making the organization vulnerable. Those that are most vulnerable gather and store lots of data — health care, insurance, banking and credit card providers.”

If a dental office is hacked, and it becomes known in the community that patients’ identities are appearing on the dark web, it is likely to cause bankruptcy.

LINK: https://www.capecodtimes.com/story/business/columns/2023/10/08/small-businesses-are-hacker-targets-heres-how-to-avoid-an-attack/71056009007/

***

Costly problem. Cybersecurity is the ultimate risk factor: In 2023, the average cost of a data breach worldwide was $4.45 million, marking a 15% increase in the last three years, according to a 2023 IBM report.

COMMENTS APPRECIATED

Thank You

***

***

Filed under: "Doctors Only", Career Development, Experts Invited, Information Technology, Pruitt's Platform | Tagged: , , , , , , , , , , , , , , , | Leave a comment »