Why Crypto.com Coin Skyrocketed Today

Why Crypto.com Coin Skyrocketed Today

Bloomberg

(Bloomberg) – The battle to supply 1.4 billion people with fresh fruit and vegetables is taking China’s e-commerce companies into the country’s hinterlands, where they are attempting to revolutionize centuries-old agricultural practices to secure future supply for their burgeoning online grocery businesses.Xi Jinping’s government has long made self-sufficiency in food a “top state issue” as it seeks to avert a looming food crisis. The need to modernize China’s 200 million largely small-scale farms took on added urgency during the pandemic, when output and logistics disruptions coincided with homebound shoppers turning to Alibaba Group Holding Ltd. and other internet retailers for their produce.Now, some of the country’s largest private companies have joined in with state efforts to help growers boost production, improve food quality and lower prices. For the e-commerce giants, it’s one way of strengthening their foothold in an online grocery market that’s expected to be worth more than $120 billion by 2023, without running afoul of Beijing’s recent crackdown on monopolistic practices like predatory pricing and forced exclusivity arrangements.In Fujian along the eastern coast, Alibaba has provided chicken farmers with smart bracelets that track the health of their poultry, while under JD.com Inc.’s guidance, rice growers in China’s arid north have installed smart sensors to gain real-time insights for irrigation. Out west, scientists in Yunnan are teaming up with Pinduoduo Inc. to use artificial intelligence to automate strawberry planting.“Agriculture is a critical area supported by the Chinese government,” said Liu Yue, an analyst with market research firm EqualOcean. With rural youths flocking to cities for better jobs and food safety increasingly threatened by pesticides and outdated farming methods, the country’s tech champions are eager to lend Beijing a hand, she said.The driving force behind the e-commerce platforms’ push into smart agriculture is the boom in online groceries, which is expected to double to about 820 billion yuan ($127 billion) by 2023 from last year, according to iResearch. The category overtook consumer electronics as the biggest contributor at JD.com in the first half last year, while Alibaba is making a bigger push into the business by taking a larger stake in hypermart Sun Art Retail Group Ltd.Meanwhile, a clutch of smaller rivals ranging from Xingsheng Youxuan and MissFresh– both backed by Tencent Holdings Ltd. – to Dingdong Maicai are in the process of raising billions of dollars to grab larger shares of the online fresh foods distribution market. That prompted state media to warn in December against overcrowding in the sector, saying instead that internet giants with immense data and advance algorithms should do more in technology innovation.“Covid-19 has helped accelerate the conversion of such purchases to online channels,” said Vey-Sern Ling, an analyst with Bloomberg Intelligence. “It’s a large untapped market, and the companies have to participate or be left behind.”At a time when Chinese leaders are clamping down on monopolies in areas from fintech to e-commerce, smart agriculture is one sphere where the tech giants’ commercial interests are aligned with the national agenda.In guidelines issued on Sunday, the State Council called for increased private investment to develop modern farming techniques and empower villages using advanced technologies. Breeding and cultivation sciences were also listed as one of Beijing’s top tech priorities for the next five years, alongside AI, quantum computing and computer chips. JD has said its smart farm projects are at least 50% funded by government subsidies.Despite the efforts, the growing appetite for fresh fruits and vegetables has left most of China’s traditionally labor-intensive farms – roughly 98% of the 200 million operators are families or small businesses – struggling to keep up. The country’s restrictions on land ownership and diverse terrain spanning the steppes of Inner Mongolia to the tropical shores of Hainan island in the south make it difficult to implement the industrial-scale farming that’s commonly seen in the U.S. and Europe. Data from the National Bureau of Statistics also show that about a third of farm workers are aged 55 or older, and the birthrate is at record lows, driving labor costs higher.Lei Jinrong is one farmer who’s benefited from partnering with the online retailers. The owner of Fuxin Farm in Fujian province has equipped 1,000 of his chickens with Apple Watch-style bracelets supplied by Alibaba. The devices digitally track the number of steps the birds take each day and anything below 20,000 would be an early sign of illness, he said, adding that he no longer needs to patrol his fields in search of sick poultry.The grower has also deployed street lamp-like devices that monitor air temperature, humidity and the level of toxic ammonia gas generated from bird waste, all displayed in real-time on a computer screen at his office. That has enabled Lei to expand production without hiring more workers – good news as average salaries in his village have almost quadrupled over the past decade.In the eastern province of Shandong, peach farmers increased revenue by 50% last year after using JD’s blockchain technology to encrypt each step of the planting process and increase trust and transparency, attracting consumers long weary of food scandals from tainted milk powder to imitation eggs.“The improved efficiency and the economies of scale will drive down costs while higher-quality produce will yield better prices,” said Charlie Chen, head of consumer research at China Renaissance in Hong Kong. This will benefit both farmers and the e-commerce operators, he said.Pinduoduo, which raised $6.1 billion in November in part to finance its agricultural innovations, is counting on these efforts to help it quadruple sales of farm products to 1 trillion yuan by 2025. The company expects the initiatives to help it diversify beyond online retail, as it aims to license cutting-edge farming technology down the road, according to David Liu, vice president of strategy.Many of these initiatives are still in their infancy and scaling up will take time, as farmers have only recently started to collect data – the foundation of running AI and other next-generation technologies – and test new methods of growing. But the twin drivers of surging demand for online produce and Beijing’s push for self-sufficiency in food supplies means the tech behemoths’ forays into modernizing China’s farms have only just begun.“Smart agriculture is really the way to move forward,” said Lei, the chicken farmer. “We all have to innovate.”(Updates with more details from farmer in 13th paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.

Tether Deal With New York State Brings Quick Reversal of Crypto-Market Sell-Off

TipRanks

Technology is changing our world, with results visible in real time. If you grew up in the 1980s, watching reruns of Star Trek, think for a moment about fantastic gadgets that have walked off the screen and into our lives: portable communicators, portable computers, voice-activated systems, to name just a few. Scotty once even automated the starship Enterprise, so that the ship could run with just five people on board. We don’t have a Star Trek transporter, and quantum physics tells us that we probably won’t anytime soon, but autonomous technologies are changing the way we commute. Artificial intelligence systems – thinking computers, or AI – are coming into production and online, and making their mark across the whole range of the transportation experience. We are starting to see autonomous vehicles, and AI-powered support services on the roads they use. With this in mind, we’ve used the TipRanks database to lock in on two transportation-related stocks that are deeply involved in AI technology. Both have earned some praise recently from 5-star analysts, who see a double-digit growth potential for each. Cerence, Inc. (CRNC) Cerence develops AI tech as the brain behind an autonomous vehicle system. The company’s technology focuses on voice activation, allowing the creation of ‘voice assistants’ for what Cerence describes as a ‘state-of-the-art in-car experience.’ While Cerence is applying voice recognition to automotive control systems, VR tech – and its connection to AI – has been around for some years. Cerence can boast that it has installed its AI-powered voice systems in over 325 million vehicles which are already on the road. And the company has over 1,400 patents – so there are plenty more ideas in the offing. Cerence’s customers include names from across the automotive spectrum, from iconic Detroit stalwarts like Ford and GMC, to international names like Volkswagen, Toyota, and Hyundai. Cerence hasn’t avoided the newer names on the global automotive scene, either – India’s Tata Motors is a customer, as is China’s Great Wall. Earlier this month, Cerence announced its 1Q21 results, and reported results above expectations for both revenues and earnings. At the top line, the $95 million reported was a 23% year-over-year gain – and a company record. EPS came in at a solid 59 cents per share, for a 103% yoy gain. In addition to the strong earnings, CRNC shares have shown steady gains for the long haul. The stock is up an impressive 362% in the past 12 months. Among the bulls is Needham’s 5-star analyst Rajvindra Gill, who has been following Cerence, and he is impressed. “With a rebound in auto production after COVID-19 related shutdowns and Cerence’s continued success in gaining market share, Edge revenues, which are recognized on a per-unit-shipped basis, continue to rise. Management continues to see penetration rates increasing, regardless of what happens with short-term auto production,” Gill noted. The analyst added, “Rolling out our 10-year model [and] extending our forecast from 2025 to 2030 as we increase our confidence in the company’s ability to execute and the recurring nature of its revenues. Our model forecasts revenue of $1.1B in 2030 and Free Cash Flow of $367M." To this end, Gill rates CRNC shares as a Buy, and his $155 price target indicates his confidence in ~26% upside for the year ahead. (To watch Gill’s track record, click here) Among Gill’s colleagues, Apple has a Moderate Buy consensus rating, based on 5 Buys and 3 Holds. However, with an average price target of $124.38, the analysts think CRNC is liable to remain range bound for now. (See CRNC stock analysis on TipRanks) Rekor Systems (REKR) Maryland-based Rekor occupies an interesting niche, one that you probably don’t think of often – but one that will see huge gains from the application of AI tech. Rekor focuses on security solutions for traffic control, specifically license plate recognition but also automated payment systems that promise to revolutionize toll roads and restaurant drive-through windows. Rekor bases its products on AI-powered recognition technology, or the ability of computer controlled cameras and sensors to spot and recognize individual vehicles in the flow of traffic. The volume of data is tremendous; AI is necessary for the systems to sort out the relevant vehicles. Rekor uses an open software platform in its applications, and markets the know-how in a variety of niches, including the fast food and toll road industries mentioned above but also government transportation and public safety departments. When installed, several applications of Rekor’s AI system will help customers improve revenues, partly by increasing efficiency but also by allow rapid collection of tolls and fees. Over the past 12 months, REKR shares have shown tremendous growth, appreciating 285%. Rekor’s revenues have grown along with the share value. The company’s last reported quarter, 3Q20, showed a 40% year-over-year increase in gross revenue, to $2.1 million. As of the end of Q3, the company had recorded $6.4 million in total sales for the year 2020, up 60% from the same time the year before. 5-star analyst Michael Latimore, of Northland Capital, describes Rekor’s expansionary potential as “multiple shots on goal.” Elaborating, he writes, “Oklahoma just launched its uninsured motorist program using Rekor’s technology this year, and that model is eminently repeatable in other, larger states. Texas just passed a bill out of committee authorizing such a program, and Florida is soon to follow. MasterCard is talking to multiple quick serve restaurants to deploy Rekor technology to improve the customer experience (by using license plate information to accelerate customer transactions). Tollways are looking to replace legacy RFID services with better and faster recognition.” In line with these upbeat comments, Latimore rates the stock an Outperform (i.e. Buy), and sets a $24 price target that implies a one-year upside of ~44%. (To watch Latimore’s track record, click here) Rekor has only just started to attract notice from Wall Street, and there are only two reviews on record so far – but both are Buys. The average price target is $25, suggesting room for ~50% from the $16.67 trading price in the year ahead. (See REKR stock analysis on TipRanks) To find good ideas for AI stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

Square buys $170 million more in bitcoin to boost crypto holdings

TipRanks

Soaring commodity prices, additional federal stimulus, and government bond yields on the rise are all raising the specter of inflation. Furthermore, there is growing concern that stocks - and tech ones in particular - are now at valuations disconnected from reality. Is the changing macro climate about to send the bull market into retreat? Too early to tell, but it does signal that a more prudent approach to investing might be a good move right now. And that will bring us to dividend stocks. Investors want a pad, something to protect their portfolio in case of a market drop, and dividends offer just that. These profit-sharing payments to stockholders provide a steady income stream, that typically stays reliable even in a downturn. RBC Capital analysts have been doing some of the footwork for us, pinpointing dividend-paying stocks that have kept up high yields, just above 10%. Opening up the TipRanks database, we examine the details behind those payments to find out what else makes these stocks compelling buys. Annaly Capital Management (NLY) First up, Annaly Capital Management, is a real estate investment trust (REIT). Annaly holds a portfolio of commercial real estate with a heavy focus on retail (31%) and office (29%) spaces. Other large investments include multifamily dwellings, hotels, and healthcare properties. The company has over $100 billion total assets. In the company’s 4Q20 results, Annaly showed a 5.1% economic return for Q4, far stronger than the 1.8% reported for 2020 as a whole. EPS came in at 60 cents per common share, and more than covered the regular quarterly dividend of 22 cents. This is the third quarter in a row with the dividend at that level; at the annualized rate of 88 cents per common share, the dividend is yielding 10.7%. This is head and shoulder above the ~2% yield found among peer companies in the financial sector. Annaly has a long history of adjusting its dividend payment to fit with earnings, making it a reliable payer. Also of interest to investors, Annaly finished Q4 with $8.7 billion in unencumbered assets, including cash on hand. The company used this deep pocket to authorize a $1.5 billion common stock repurchase program, in a move to return capital to shareholders and bolster share prices. RBC’s 5-star analyst Kenneth Lee likes what he sees in Annaly’s performance, writing, “We continue to favor Annaly’s diversified operating model, strong liquidity and portfolio skew towards agency MBS amid current macro backdrop… Annaly has exposure to growth-oriented, credit assets, including residential and commercial mortgage credit and middle markets lending. We believe diversification should allow NLY to pivot between attractive investment opportunities.” In line with these comments, Lee rates NLY an Outperform (i.e. Buy), along with a $9.50 price target. This figure implies a 14% upside for the year ahead. (To watch Lee’s track record, click here) Overall, there is broad agreement on Wall Street about NLY’s quality, as shown by the 7 to 1 split among the analyst reviews, favoring Buy over Hold and giving the stock a Strong Buy analyst consensus rating. The shares are currently trading for $8.22 and their $9 average price target suggests an upside potential of 9.5% from that level. (See NLY stock analysis on TipRanks) Sunoco LP (SUN) From REITs we move over to the energy industry. Sunoco LP is the largest wholesale distributor of motor fuels in the US, and supplies more than 7,300 Sunoco gas stations in 33 states. Among the company’s products are gasoline, diesel fuel, heating oil, jet fuel, lubricating oils, and kerosene – a full range of petroleum products, sold as both branded and unbranded products. Sunoco also controls 13 storage terminals that maintain a secure supply for delivery to retailers. At the retail end, Sunoco provides equipment to gas stations – from pumps to payment services. This company’s diversified business has allowed Sunoco to remain profitable during the corona pandemic crisis. EPS did come in negative in Q1, when demand fell at the height of the crisis, but quickly rebounded in Q2 and has shown year-over-year gains in each quarter since. Q4 EPS was 77 cents, up from 75 cents in the year-ago quarter. Distributable cash flow in the quarter was down year-over-year, from $120 million to $97 million, and the company announced a quarterly dividend of 82.5 cents per common share. This was held steady from the prior quarter – and in fact, has been held steady at this level since November 2016. Sunoco has been paying out a reliable dividend for the past 8 years. The current payment annualizes to $3.30 per share, and gives a yield of 10.6%. Covering SUN for RBC, analyst Elvira Scotto notes that the recent Arctic storm patterns in the continental US have negatively impacted sales volumes but remains buoyed by other aspects. “SUN maintained its 2021 guidance and noted improvement in volumes in January. We do not expect the recent weather conditions to have a meaningful impact to SUN’s 2021 volumes,” said the 5-star analyst. “We believe SUN shows investors sizable current income with an improved balance sheet. We expect SUN to maintain its distribution and expect distribution coverage to improve over time.” Scotto rates SUN shares an Outperform (i.e. Buy) and increased the price target from $36 to $38. The figure implies a 23% upside for the next 12 months. (To watch Scotto’s track record, click here) Overall, SUN shares have a Moderate Buy rating from the analyst consensus, based on a range of reviews including 5 Buys, 2 Holds, and 1 Sell. The shares have an average price target of $33.50, which gives an 8% upside potential from the current trading price of $31. (See SUN stock analysis on TipRanks) To find good ideas for dividend stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a newly launched tool that unites all of TipRanks’ equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.