TEK2day Podcast

On today's TEK2day Podcast:

1.) Our parent company - CEORater - is partnering with the j. David Group on Executive Search for C-Level opportunities. Visit j.David Group here: https://thejdavidgroup.com/hiring

2.) More tax payer-funded bailouts? It is 2008 all over again. The taxpayer is owed an equity stake in any companies/industries it bails out.

3.) The time for social distancing in the battle against COVID-19 has passed. It is time to mobilize healthcare.

Visit us at TEK2day.com and CEORater.com

We advocate eliminating income taxes for individuals and companies to stimulate the economy in the face of COVID-19. Replace the income tax with a sales tax on finished goods and services.

Coronavirus will dramatically slow M&A activity for three primary reasons.

COVID-19 will bring early-stage M&A transactions to a halt.

We compare COVID-19 to influenza and estimate that the U.S. economy could suffer $60-100 billion in lost wages due to COVID-19.

Related TEK2day article: https://tek2day.com/2020/03/13/covid-19-60-100-billion-in-lost-wages/

Investors continued the bloodletting in Thursday's trading session. Despite the blood and emotions, there is plenty of room for stocks to drift further downward. Many technology companies have seen their stocks reach levels last seen in Q3/Q4 2019 which was hardly a trough.

TEK2day article: https://tek2day.com/2020/03/12/let-it-bleed/

We prefer dividends, investment in R&D and M&A programs to share repurchases. However, for those companies that include share repurchases as part of their capital allocation strategy, today would be a good day to exercise a portion of that repurchase authorization. Markets hate uncertainty. Markets like it when companies and insiders step-up and buy their own stock. Better for companies and insiders to buy now and look smart later than to have executed buybacks at the lofty multiples of several months ago.

We have seen this movie before. The economy is slowing. This Coronavirus-led slowdown feels much like 2003’s SARS outbreak exacerbated by the social media echo chamber. When entering an economic slowdown investors would be wise to understand the level of exposure that portfolio holdings have to discretionary revenue. In Software & Services land this primarily means revenue generated from Consulting and Professional Services.

Related TEK2day article: https://tek2day.com/2020/03/09/history-repeats-itself-and-often-rhymes/

Time waits for no one. Fortunes change quickly. Look no further than the case of General Motors (tkr: GM) and Tesla (tkr: TSLA). Read our related TEK2day article here: https://tek2day.com/2020/03/06/time-waits-for-no-one/

Learn more at TEK2day.com

Visit our Fintech platform: CEORater.com