Get Real: Lots of Potential in 2020



In today’s Get Real morning newsletter, we discussed a look toward 2020 for the S&P 500, Netflix’s new executive pay plan, and hope for Dish. Plus, caution for FedEx and more.

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Netflix stock fell due to executive pay plan

On Monday, Netflix (NFLX) stock fell after the company outlined its executive pay plan for 2020. Investors are worried because the plan includes substantial increases in the compensation for Netflix’s top executives despite the rising debt.

Argus analyst is cautious about FedEx 

Recently, Argus analyst John Eade downgraded FedEx (FDX) stock due to a lack of confidence in the company’s near-term earnings potential. Eade isn’t the only analyst who downgraded the stock. FedEx had a disappointing second-quarter performance.

Spirit ordered 100 aircraft from Airbus

According to Reuters, Spirit Airlines finally cemented its previous commitment to buy 100 narrow-body commercial airplanes from Airbus. The deal shows that US carriers are still ordering from Airbus despite import duties on its aircraft.

Huawei and Google’s divergence

Following the New York Times report about ToTok being a spying tool for the United Arab Emirates, Google and Apple (AAPL) quickly removed the app from their download stores. However, Huawei won’t remove ToTok from its app store. Huawei has struggled without access to Google’s apps.

Keys to Facebook’s PlayGiga acquisition

Earlier this month, Facebook (FB) acquired PlayGiga—a cloud gaming startup. We have three essential takeaways from the acquisition including Facebook’s steps to diversify its business.

What to watch for

Apple TV+ could get a sports streaming boost

Apple TV+ has its sights set on deals with the James Bond franchise and the rights for college sports. Expanding into sports could give the streaming service a much-needed edge in the fiercely competitive streaming wars.

Holding out hope for Dish

Dish Network (DISH) is banking on the success of the T-Mobile and Sprint merger to kick off its wireless business. Dish’s chairman, Charlie Ergen, has been working to finance the wireless business ahead of the final ruling of the T-Mobile and Sprint antitrust case.

S&P 500’s 2020 potential

So far, the S&P 500 has gained 28% this year. Phase one of the US-China trade deal’s completion helped the broader market, especially tech stocks. Optimism about phase two of the trade talks could be a bullish driver going into 2020.

Can Broadcom rally?

Broadcom has underperformed its peers and had a slow year. However, the chipmaker is primed for a rally, especially due to progress with the US-China trade deal.

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