Ever been at a bar with some friends and the cashier is crazy busy and you don’t feel comfortable asking them to take the extra time to split the bill several ways? Well, with Venmo, you no longer have to keep tabs on your phone or worry about debt. Venmo is a person-to-person mobile payment app that is available on smartphones, has a user-friendly interface, and is super easy to use. Using the Venmo app, users can both request money from another user or send it unsolicited.
Wondering How Does Venmo Make Money? Wonder No More!
Venmo: A simple story:
Venmo was founded in 2009 by Andrew Kortina and Iqram Magdon-Ismail. The two were college roommates at the University of Pennsylvania. They were initially inspired to create a product that would make transactions easier while helping another friend of theirs set up a yogurt shop. Then, at a jazz show, they both thought about how great it would be to be able to buy an MP3 of one of the band’s songs right over a text message. The last straw that led the two men to build Venmo was when Iqram came and visited Andrew, but forgot his wallet. Settling the debt was a headache that the idea for the app almost cemented itself. Since then, the company has had major success. In 2012, Venmo was bought by Braintree for $26.2 million. Then in 2013, Braintree was bought by PayPal for $800 million.
How Does Venmo Make Money?
Turning smartphones into wallets, Venmo is part of the movement making ease of transactions more accessible to everyone. But the question has to be asked, how does Venmo make money?
After you create a Venmo account, you’ll have the ability to enter payment information, such as a U.S. bank account or a debit/credit card and get sharing. Creating an account as well as using the Venmo app is free, so how does Venmo make money? Most people don’t know that the company has developed a strong business model to make some dough.
The first way is through Credit Card Fees.
Venmo offers their customers its own account system and if the customers choose to use their Venmo balance, then there are no transaction fees.
The same goes for when customers choose to make payments via a debit card or with their own linked bank account. It is when customers pay with a credit card that Venmo can take a small percentage. Why credit cards? Well, the app takes 3% of the total value of the transaction with credit cards.
The second way Venmo makes money is through Merchant Fees.
Paypal purchasing Venmo has really helped as all merchants that accept PayPal payments, now accept Venmo as well, and there are fees associated with that. The merchants that are accepting those payments pay around 3%, like with the credit cards.
Is Venmo the only app out there?
While Venmo is definitely the most widely used payment app, it definitely isn’t the only one out there.
Here’s a list of Venmo’s biggest competitors.
- Google Wallet: This is Venmo’s biggest competition, as well as the most similar app. They work pretty much the same. The main difference if Google Wallet is available in the U.K.
- Apple Pay/Android Pay: These apps, while popular, are far more limited than Venmo, and treat a far more specific purpose.
- Popmoney: This money-sharing app is also very similar to Venmo, but charges a $0.95 fee to transfer money from a debit card to a bank account.
- SnapCash: Think SnapChat but for money. With this money transfer app, there is no associated fee but the weekly limit is $250. However, Snapcash isn’t as efficient (or as snappy) as Venmo, as it can take several days for transactions to clear.
- Square Cash: Square was built by Twitter co-founder Jack Dorsey. It is big with businesses but is yet to make a splash in the person to person transaction world.
- Facebook: Facebook recently launched its own money transfer service through its messenger function. This permits Venmo’s customers to transfer money as easily as sending a test.
The Venmo money-sharing app seems to be an all-around great way to exchange money, but it does have some limitations.
- The main drawback of Venmo is that it is U.S. only. No transactions may be done outside of the country or with someone from outside of the country.
- Another drawback is that Venmo is only available for personal use. Businesses cannot directly use the app (but we all know that business owners could use it for certain things such as buying lunches and so on).
- The final limitation is a $3,000 cap on weekly spending and receiving. Venmo could be an excellent tool for landlords, but this can sort of throw a socket wrench in that plan.
The popularity of Venmo as a payment app is massive and the main reason seems to be because it’s more fun to use than other apps. Customers can interact with each other through the app just as they could on a social media site. The use of Emojis is paramount in the app. Exchanging or asking for money can sometimes be uncomfortable, so the playful and lighthearted emojis can really help to ease any kind of exchange.
“This takes the awkwardness out of asking your friend to pay back their portion of the bar tab, marrying the social element and the financial element,” stated Venmo spokesman Josh Criscoe.
Is Venmo secure as it’s linked to my social media?
With heightened tech like Venmo comes heightened tech to hack into such services and steal confidential information. Since the app’s creation, it has made sure to use only the highest standard of security. Venmo uses bank-level security and data encryption to secure transactions. Even with the app’s heavily advertised security features, worries still arise amongst customers. Cases of hackers have surfaced which only fuels the fire of doubt surrounding the apps security prowess. The main problems with security lie in the realm of human error. There are a number of instances where larger sums of money have been sent to the wrong person (there are a lot of “John” out there) and in that instance, there is no real way to get the money back, unless you get incredibly lucky with a good Samaritan!
Venmo has adopted the same principles as a social media platform, wherein anyone who you are “friends” within the app can see your activity. This doesn’t sit well with everybody. Other Venmo customers in your contacts list are not only able to see your transactions, but are also able to like them and comment on them, as they would be able to do on, say, Facebook. Some have described the Venmo platform as mocking and unnerving. The simple solution for people who feel like they are too exposed and are uncomfortable using the app is to just not use it. Of course, the app is really convenient, but the old ways still exist, and for now, have not been weeded out by this technology.
Saving money is very important for every person. Savings accounts are a great tool for that purpose. High-yield savings accounts are even better at helping you hit your saving goals. They do that by paying you better interest rates compared to local banks. However, you might be wondering how many savings accounts you should have. Well, you have come to the right place. In this post, we will take a look at the things you should consider while deciding on the number of savings accounts you should have. Let’s get started.
How Many Savings Accounts Should I Have: All You Need to Know
Is there a limit to the number of savings accounts you can open?
When it comes to savings accounts, there’s no such thing as too much of a good thing. Banks usually allow customers to open multiple savings accounts if they want to do that.
Opening a savings account doesn’t hurt your credit score — unlike opening too many credit cards at once. If you choose savings accounts that don’t impose monthly fees or have account minimum balance requirements, opening multiple accounts also won’t cost you any money either.
The only true limitation that applies to the number of savings accounts that you can have at a given time is the number of accounts you need/can manage.
Is it wise to have multiple savings accounts?
Yes, opening multiple savings accounts can actually be a useful idea. It’s always good to have multiple savings goals and multiple savings accounts will help you keep money aside for it. Creating separate savings accounts for separate financial goals helps you reap multiple benefits. Here are some of those benefits:
- Easier automation: You can automate transfers of an appropriate amount of money to each different account so you can make sure you’re on track to hit all your savings goals. This could mean transferring $250 a month to your house down payment account; $50 a month to your car repair account; and $100 a month to your vacation account, for example. When you have multiple accounts, it becomes very easy for you to allocate the exact amount of money to every kind of savings.
- Easier goal tracking: Multiple accounts also make it a lot easier for you to track your progress on all of your financial goals. If you accumulate all your money in just one account, you will find it very difficult to track how the different funds are doing. In case you had a new car fund or a European holiday fund, it will be difficult to distinguish between their progress. If you’ve got a separate account for each goal, you can see exactly where you’re on track and where you’re falling short.
- Enhanced motivation: Saving money can seem like a hardship — but it’s easier if you can envision all the great things you’ll do with the cash you’re setting aside. Having separate accounts for each of your financial goals is also great for keeping you financially motivated. After all, that $50 or $100 deposit just got you closer to that vacation, the house you want to buy, or the financial security your emergency fund will provide.
- Reduced chance of misspending money: When you’ve got separate savings accounts earmarked for each goal, you’re less likely to misuse the funds you’ve set aside because it will be very clear to you what each dollar is meant for.
How many savings accounts do you need?
Since it’s a good idea to have a savings account for each financial goal you’re working towards, you’ll need to make a list of the financial goals you want to work towards currently. Then open an account for each of those goals. Some of the different types of savings accounts you may need include:
- A house down payment fund or a home repair fund if you’re already a homeowner
- An account to help you pay cash for a new car or to cover auto repairs
- An emergency fund which covers at least three months of living expenses
- A vacation fund for all your dream holidays
- A savings account for all the potential big purchases in your mind, such as a new 4K TV.
- An account to pay annual taxes if you end up owing the IRS or your state or if you don’t escrow your property taxes
Of course, you’ll also need accounts to save for retirement and for college for your kids. But those accounts shouldn’t just be standard savings accounts — you should look into accounts that provide tax advantages, such as a 401(k) or IRA for retirement savings and a 529 for college.
If you qualify for a health savings account because you have a high-deductible health plan, you should also open a health savings account with a broker that offers one. If you don’t qualify for an HSA, it may make sense to just have a standard savings account for healthcare expenses to help you cover out-of-pocket care costs.
How to manage multiple savings accounts?
Managing multiple savings accounts is pretty easy if you open all your accounts at one bank. Be sure to choose a bank that provides a good annual percentage rate (APR) so you can earn the maximum return on the money you invest.
Make sure the account doesn’t impose minimum balance requirements, either to avoid fees or to be eligible to earn the advertised interest rate. As you’ll end up spending money across multiple accounts, meeting those requirements will become more difficult.
Once all your savings accounts become operational, transfer the appropriate amounts of money to each separate account. Ideally, the money will move automatically from your checking account to savings as soon as you get paid so you don’t take a chance on not meeting your financial goals.
In order to figure out how much money to transfer to each account, you need to do some serious and careful budgeting. Another important thing is detailed goal setting. If you have an idea of how much money is needed by you to save in total, you can easily decide how much to transfer each week, each month, or each payday. After that, go ahead and fit those numbers into your budget to ensure that the cash is available to cover all of the transferred funds.
How many savings accounts should I have: Conclusion
You should have as many savings accounts as you need. Multiple savings accounts, when managed properly, work very well. Having savings accounts for different needs will ensure that you always have the money you need to cover costs. The process of saving and managing money also becomes significantly easier when you have different accounts for different financial goals. It’s something you should definitely try out.
The world is slowly transitioning from traditional energy sources such as fossil fuels to cleaner, greener renewable energy sources such as solar, wind, hydro, biomass, geothermal and others.
Renewable energy is witnessing exponential growth. According to the International Energy Agency (IEA), renewable energy resources provided 30% of the world’s electricity generation in 2020. By 2025, renewable energy resources are expected to overtake coal as the largest source of energy generation in the world. The IEA expects the brightest future for solar energy, expecting the technology to power the majority of that growth. The lower cost of solar power plants, especially when compared to coal and gas fired power plants makes it highly economical. The IEA also sees a bright future for wind and other low-carbon power sources as the world starts a transition to a cleaner future. As renewable energy becomes more popular and prevalent, companies involved with renewable energy are going to also grow. That makes renewable energy stocks a very good place to invest money.
Here Are the Best Renewable Energy Stocks to Buy:
Hannon Armstrong Sustainable Infrastructure (NYSE: HASI)
Kicking off our list of the best renewable energy stocks to buy, is Hannon Armstrong Sustainable Infrastructure Capital, Inc. It provides capital and services to the energy efficiency, renewable energy, and other sustainable infrastructure markets in the United States. The company’s projects include energy efficiency projects that reduce a building’s or facility’s energy usage or cost through the use of solar generation, including heating, ventilation, and air conditioning systems, as well as lighting, energy controls, roofs, windows, building shells, and/or combined heat and power systems. It also focuses in the areas of grid connected projects that deploy cleaner energy sources, such as solar and wind to generate power; and other sustainable infrastructure projects, including upgraded transmission or distribution systems, water and storm water infrastructures, and seismic retrofits and other projects. The company qualifies as a real estate investment trust for U.S. federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. Hannon Armstrong Sustainable Infrastructure Capital, Inc. was founded in 1981 and is headquartered in Annapolis, Maryland. If you were wondering how you can invest in renewable energy, this renewable energy stock is a good place to start.
Real estate and alternative energy funds are currently holding the company’s stock. Stock gain this year is 116.9% and the compound 3 year revenue growth rate is 34.4%
Sunpower Corp (NASDAQ: SPWR)
Next on our list of the best renewable energy stocks to buy, is SunPower Corporation. It delivers solar solutions worldwide. It operates through SunPower Energy Services and SunPower Technologies segments. The company provides solar power components, including panels and system components, primarily to dealers, system integrators, and distributors. It also offers commercial rooftop and ground-mounted solar power systems, and residential mounting systems. In addition, the company provides post-installation operations and maintenance services. Further, it leases and sells solar power systems to residential customers; and sells inverters manufactured by third parties. The company also serves investors, financial institutions, project developers, electric utilities, independent power producers, commercial and governmental entities, production home builders, residential owners, and small commercial building owners. The company was founded in 1985 and is headquartered in San Jose, California. SunPower Corporation is a subsidiary of Total Energies Nouvelles Activities USA, SAS. It is one of the companies that invest the most in renewable energy.
SunPower shares have been on an upward trajectory over the past six months, climbing nearly 470 percent during the period. Democrats have already outlined their plan for passing more green energy bills and pursuing environment-friendly policies. The recent surge was possibly a result of the Democrats getting closer to acquiring power in the US Government.
Moreover, Goldman Sachs recently lifted its price target for SPWR stock from $23 per share to $33 per share, another reason behind the latest stock rally.”
Daqo New Energy (NYSE: DQ)
Next on our list of the best renewable energy stocks to buy, is Daqo New Energy Corp. Together with its subsidiaries, it manufactures and sells polysilicon to photovoltaic products manufactured in the People’s Republic of China. It offers ready-to-use polysilicon, and packaged to meet crucible stacking, pulling, and solidification products. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp. in August 2009. Daqo New Energy Corp. was founded in 2006 and is based in Wanzhou, the People’s Republic of China.
Stock gain this year is 660.8% and the compound 3 year revenue growth rate is 29.7%. Performance of companies like these is a great proof of the fact that renewable energy is a good investment.
First Solar (NASDAQ: FSLR)
Next on our list of the best renewable energy stocks to buy, is First Solar, Inc. It provides photovoltaic (PV) solar energy solutions in the United States and internationally. It operates in two segments, Modules and Systems. The Modules segment designs, manufactures, and sells cadmium telluride solar modules that convert sunlight into electricity to integrators and operators of PV solar power systems. The Systems segment provides power plant solutions, such as project development; engineering, procurement, and construction; and operating and maintenance services to utilities, independent power producers, commercial and industrial companies, and other system owners. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar, Inc. was founded in 1999 and is headquartered in Tempe, Arizona.
Stock gain this year is 84.6% and the compound 3 year revenue growth rate is 6.1%.
Sunnova Energy International Inc (NYSE: NOVA)
Next on our list of the best renewable energy stocks to buy, is Sunnova Energy International Inc. It provides residential solar and energy storage services in the United States. The company offers operations and maintenance, monitoring, repairs and replacements, equipment upgrades, on-site power optimization, and diagnostics services. It operates a fleet of residential solar energy systems with a generation capacity of approximately 572 megawatts serving approximately 80,000 customers. Sunnova Energy International Inc. was founded in 2012 and is headquartered in Houston, Texas.
Stock gain this year is 349.5% and the compound YoY revenue growth rate is 27%. Renewable energy stocks are still rising in popularity among investors. Investment giants such as Berkshire Hathaway’s Warren Buffet holds a lot of energy stocks (traditional fossil fuel based), but doesn’t hold a lot of renewable energy stocks in his portfolio.
Canadian Solar Inc (NASDAQ: CSIQ)
Next on our list of the best renewable energy stocks to buy, is Canadian Solar Inc. Together with its subsidiaries, it designs, develops, manufactures, and sells solar ingots, wafers, cells, modules, and other solar power products. The company operates through two segments, Module and System Solutions (MSS), and Energy. The MSS segment engages in the design, development, manufacture, and sale of a range of solar power products, including standard solar modules, specialty solar products, and solar system kits that are a ready-to-install packages comprising inverters, racking systems, and other accessories. It also provides engineering, procurement, and construction; and operation and maintenance (O&M) services. This segment’s energy solution products include solar inverters and energy storage systems for utility, commercial, residential, and specialty product applications. Its O&M services include inspections, repair, and replacement of plant equipment; and site management and administrative support services for solar power projects. The Energy segment engages in the development and sale of solar power projects; and operation of solar power plants and sale of electricity. As of January 31, 2020, this segment had a fleet of solar power plants in operation with an aggregate capacity of approximately 880.2 MWp. The company’s primary customers include distributors, system integrators, project developers, and installers/EPC companies. Canadian Solar Inc. sells its products primarily under its Canadian Solar brand name; and on an OEM basis. It has operations in North America, South America, Europe, South Africa, the Middle East, Australia, Asia, and internationally. The company was founded in 2001 and is headquartered in Guelph, Canada.
Stock gain this year is 148.3% and the compound 3 year revenue growth rate is 4.4%.
Clearway Energy Inc (NYSE: CWEN)
Next on our list of the best renewable energy stocks to buy, is Clearway Energy, Inc. Through its subsidiaries, acquires, owns, and operates contracted renewable energy and conventional generation, and thermal infrastructure assets in the United States. As of October 12, 2020, it had contracted generation portfolio of 7,000 megawatts (MWs) of wind, solar, and natural gas-fired power generation facilities, as well as district energy systems. The company also owns thermal infrastructure assets with an aggregate steam and chilled water capacity of 1,530 net MW thermal equivalent; and electric generation capacity of 139 net MWs. Its thermal infrastructure assets provide steam, hot water and/or chilled water, and electricity to commercial businesses, universities, hospitals, and governmental units. Clearway Energy, Inc. was founded in 2012 and is based in Princeton, New Jersey.
Recently, the company has signed a 1.6 GW portfolio of renewable energy assets including solar and wind projects with its renewable development partner company Clearway Energy Group. Stock gain this year is 72.7% and the compound 3 year revenue growth rate is 4.1%.
Sunrun Inc (NASDAQ: RUN)
Next on our list of the best renewable energy stocks to buy, is Sunrun Inc. It engages in the design, development, installation, sale, ownership, and maintenance of residential solar energy systems in the United States. It also sells solar energy systems and products, such as panels and racking, as well as solar leads generated to customers. In addition, the company offers battery storage along with solar energy systems. Its primary customers are residential homeowners. The company markets and sells its products through direct-to-consumer approach across online, retail, mass media, digital media, canvassing, field marketing, and referral channels, as well as its partner network. Sunrun Inc. was founded in 2007 and is headquartered in San Francisco, California.
Stock gain this year is 526.7% and the compound 3 year revenue growth rate is 19.1%.
SolarEdge Technologies Inc (NASDAQ: SEDG)
Next on our list of the best renewable energy stocks to buy, is SolarEdge Technologies, Inc. Together with its subsidiaries, it designs, develops, and sells direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations worldwide. Its SolarEdge system consists of inverters, power optimizers, communication devices, smart energy management solutions, and a cloud-based monitoring platform. The company’s products are used in a range of solar market segments, such as residential, commercial, and small utility-scale solar installations. It also provides pre-sales support, ongoing trainings, and technical support and after installation services; and lithium-ion cells, batteries, and energy storage solutions for various industries, including energy storage systems, residential and commercial solar systems, uninterruptible power supplies, electric vehicles, aerospace, marine, and others. The company sells its products to the providers of solar PV systems; and solar installers and distributors, electrical equipment wholesalers, and PV module manufacturers, as well as engineering, procurement, and construction firms. SolarEdge Technologies, Inc. partnered with Schneider Electric to develop the residential solar market and provide homeowners with seamless energy management for smart homes of the future. SolarEdge Technologies, Inc. was founded in 2006 and is headquartered in Herzliya, Israel. Stock gain this year is 231.3% and the compound 3 year revenue growth rate is 42.1%. Aside from being one of the best renewable energy stocks to buy, more specifically, this is one of the best solar energy stocks to buy as well.
Enphase Energy (NASDAQ: ENPH)
Rounding up our list of the best renewable energy stocks to buy, is Enphase Energy, Inc. Together with its subsidiaries, it designs, develops, manufactures, and sells home energy solutions for the solar photovoltaic industry in the United States and internationally. The company offers a semiconductor-based microinverter, which converts energy at the individual solar module level, and combines with its proprietary networking and software technologies to provide energy monitoring and control services. It also offers AC battery storage systems; Envoy communications gateway; and Enlighten cloud-based monitoring service, as well as other accessories. The company sells its solutions to solar distributors; and directly to large installers, original equipment manufacturers, strategic partners, and homeowners, as well as directly to the homeowners and the do-it-yourself market through its legacy product upgrade program or online store. In addition, it offers online and in-person training resources for solar and storage installers, and Enphase system owners through its Enphase University. Enphase Energy, Inc. was founded in 2006 and is headquartered in Fremont, California. Stock gain this year is 573.3% and the compound 3 year revenue growth rate is 34.3%. It is definitely one of the best solar and renewable energy stocks available to buy today.
So those were some of the best renewable energy stocks that you can buy today. As the world transitions from the traditional energy sources to cleaner, greener ones, renewable energy stocks are bound to rise in value in the future. Whether it’s solar, wind, hydro, geothermal, tidal or biomass, all these sources of energy and the companies associated with them are going to become more important as time passes and consequently, their stocks should also rise in value. If you are looking for some long term investment, renewable energy stocks appear to be a safe bet.
The prevailing interest rates are pretty low and that has resulted in a great environment for mortgage originators. Upon refinancing volumes, the 2020 origination estimates are expected to go past $3.2 trillion. This is going to be the highest value in a 20 year time period. The housing sales environment is very strong right now and many mortgage companies such as Rocket Companies, Guild Holdings, and United Wholesale have gone public. So, is investing in the Rocket Mortgage stock a wise thing to do right now? Is there another meltdown on the horizon? Should you invest in Rocket Mortgage stocks at this moment? Let’s find out.
Rocket Mortgage Stock: Things to Know Before Investing
Is there another housing price bubble?
Prior to the housing crisis of 2008, there was a residential real estate bubble. Prior to the mortgage meltdown, the bubble was so strong that it had only happened in the 1920s before the Great Depression.
What is a price bubble?
Price bubbles happen when borrowers, lenders, and regulators all believe an asset is special and cannot fall in price. The institutional memory of the financial system, the addition of post-crisis regulations, and the prevalence of government-guaranteed mortgages make it almost impossible for another one to occur anytime in near future. So fears of a repeat are probably overblown.
Rocket doesn’t hold its loans, so its credit risk is low
Given that another bubble is not in the cards, what else can go wrong with Rocket’s business model?
Credit risk is by far the biggest risk that mortgage originators face. That isn’t really applicable here, since Rocket is a nonbank mortgage originator that generally sells the loans it makes in the secondary market. This means that if the loans don’t perform, the buyer bears that risk, not Rocket.
Note too that Rocket’s production involves government-guaranteed loans, so credit risk is already limited to begin with.
How are Rocket Mortgage stocks when compared to the average?
Rocket possesses mortgage servicing rights on its book as an asset. Remember that mortgage servicing is a type of asset that is volatile and difficult-to-value. A mortgage servicing right is the compensation the servicer receives for handling the administrative duties of a loan. These include processing payments, ensuring property taxes are paid and that insurance is valid, and loss mitigation when the borrower goes delinquent. For compensation, the servicer gets paid 0.25% of the loan balance. That asset is valuable since it usually doesn’t cost 0.25% to service a loan.
Servicing assets can fall in value if delinquencies shoot up. Rocket’s delinquency rate was only 4% as of Sept. 30, compared to an overall U.S. delinquency rate of 6.3%. This deems Rocket’s mortgage servicing rights as high quality. Because of that, the risk of a major write-down is very low.
What can be expected from Rocket Mortgage stocks next year?
Probably the biggest risk for Rocket is an abrupt increase in interest rates, which would choke off the current refinancing wave. This would mean that earnings could decrease. Mortgage originators are in a highly cyclical business, which explains why earnings multiples are so low right now.
For example, Rocket trades at under six times estimated 2020 earnings per share, and PennyMac Financial trades at three times estimated EPS. While earnings are expected to fall next year, the super-low existing multiples give the investor quite the margin of safety. For what it’s worth, the Street expects EPS to fall by over 50% next year, so an increase in rates is baked into the estimates already. If rates don’t increase, those estimates are probably low.
Because Rocket’s business model doesn’t require a large number of loan officers to generate significant sales volume, it gives the company a distinct advantage over its competitors. Loan-officer commissions are far and away the biggest expense for originators, and that gives Rocket the ability to outperform almost every other retail originator. Rocket is one of my CAPS picks.
What is the Rocket Mortgage Super Bowl Squares Sweepstakes?
The nation’s largest mortgage lender, Rocket Mortgage, announced that entries are open for the second annual Rocket Mortgage Super Bowl Squares Sweepstakes. It is the world’s largest Super Bowl squares official game. Interested folks can enter the giveaway for free at RocketMortgageSquares.com. The sweepstakes is part of Rocket Mortgage’s multi-year partnership with the National Football League (NFL). There have been numerous memorable Super Bowl commercials made by Rocket Mortgage such as this hilarious one from Super Bowl LIV featuring Jason Momoa:
During Super Bowl LIV, millions of fans watched the Kansas City Chiefs, led by their quarterback Patrick Mahomes, earn a come from behind win against the San Francisco 49ers. They were also wondering if they would be able to score a piece of the $1.75 million provided through the giveaway. The inaugural Rocket Mortgage Super Bowl Squares awarded two grand prizes of $500,000 each that could be put toward each winner’s dream home. 15 individuals were also awarded $50,000 each, one for every change of score.
“The excitement around last year’s Rocket Mortgage Super Bowl Squares eclipsed all expectations. Beyond the thrill of the game, the grand prizes were life-changing for our winners,” said Jay Farner, CEO of Detroit-based Rocket Mortgage. “The Super Bowl is the place to pull out all the stops and plan one of the largest giveaways in all of sports. Whether you are a huge football fan or there for the entertaining commercials, everyone is watching the game. Rocket Mortgage Super Bowl Squares gives Americans the chance to start the new year off right by winning big money too!”
Similar to the sweepstakes during Super Bowl LIV, two lucky winners will be awarded $500,000 each. $50,000 will also be awarded for every scoring play made during the game. So during Super Bowl LV, $50,000 will be awarded for every touchdown, field goal, extra point, two-point conversion or safety.
How to sign up for Rocket Mortgage Super Bowl sweepstakes?
To sign up for the Super Bowl sweepstakes, you must visit RocketMortgageSquares.com. On the registration page, participants must choose from one of the 100 squares on a 10-by-10 grid. After the entry period closes, each row and column will be assigned a random number between zero and nine. One axis of the grid will represent the last digit of the NFC Champion’s score and the other will align with the last digit of the AFC Champion’s score.
Every time the score changes during Super Bowl LV, airing at 6:30pm EST, February 7th on CBS, a winner will be randomly selected from the pool of entrants on the square that aligns with the last digit of each team’s score.
“Through the second annual Rocket Mortgage Super Bowl Squares Sweepstakes, we look forward to building on the impact and success of last year’s program to continue to provide our fans unique opportunities to immerse themselves in the Super Bowl,” said Tracie Rodburg, Senior Vice President Sponsorship Management at the NFL. “We’re proud of our partnership with Rocket Mortgage during an unprecedented year and season.”
What’s more, the fun doesn’t need to stop with just a single square. If fans want to up the excitement and add more opportunities to win this free giveaway, they can share the sweepstakes registration information on their personal Twitter and/or Facebook accounts. Whenever their friends/followers sign up through their poster’s unique link, they will receive one bonus square, up to a maximum of 10 spots.
The last date for submission of entries is February 4th, 2021, by 11:59 PM EST. Entries are completely free. A purchase won’t have an impact on your chances of winning the sweepstakes. All entrants must be at least 18 years of age and legal residents of the United States of America to compete. So instead of just buying Rocket Mortgage stocks for your portfolio, you can also win some good amount of money if you are lucky.
In case you recently received a bank deposit in your account and it was captioned “Canada RIT” or “RIT/RIF” as the caption and you are puzzled, you have come to the right place for the answer. Receiving an unexpected credit from the Government of Canada can be really exciting. However, before you start splurging on all of that Government cash, you should spend some time understanding what it is. In this post, we will answer all the frequently asked questions associated with Canada RIT. Let’s get started.
Canada RIT: FAQs
What is Canada RIT Deposit?
Canada RIT refers to Canada Refund Income Tax and it is a direct deposit from Canada Revenue Authority (CRA). As the name suggests, if you received a deposit with the caption, it is most likely a tax refund from CRA.
When do we receive Canada RIT deposit?
Usually, the deposit will hit your account shortly after you filed your taxes. But they may also come at any time of the year.
If you received the Canada RIT deposit at any other time of the year, the most likely reason is a reassessment of the taxes you’ve filed. And you should receive a notice of reassessment in your mail or through your online account with CRA. Note that CRA can reassess your tax return within 3 years of the date of the initial notice of assessment.
What is the amount of Canada RIT deposit?
The money isn’t much in most cases. But irrespective of the amount, you should confirm the reason for the credit before you spend it.
What is Canada RIF/RIT?
When RIT/RIF appears on your bank statement it is likely your tax refund from the Canada Revenue Agency. RIT, stands for Refund of Income Tax. Words to the wise—it’s best save or invest your tax refund rather than spend it.
What to do if you received Canada RIT?
The first thing you should do after receiving the credit is to confirm what it’s for.
The quickest and easiest way to do this is by logging into your My Account with CRA. The CRA My Account is a great service for every Canadian tax-filer.
You can get information about your benefits, taxes filed, notices of assessment (NOA), notices of reassessment and many more.
Once logged in, check the message section to view any correspondence you have from CRA.
If you still can’t find any message relating to the Canada RIT deposit, then it’s best to place a call to CRA.
What to do with the RIT deposit?
Depending on how much the credit is, you may be wondering what to do with the money.
The money is yours to do as you wish. And you can indulge yourself or upgrade some electronics in your apartment. After all, you were not expecting it. You should treat the Canada RIT deposit like any other tax refund you receive from CRA. That is, make the most of the money by putting it towards one of your financial goals like:
- Topping up your emergency fund
- Paying down your debts
- Saving for a down payment
- Investing towards retirement
- Making a payment you would have made anyway, for example, annual life insurance premium or subscription for a professional membership and so on
Whichever way you choose to use the money, just remember that every dollar counts towards meeting your financial goals.
How much GST refund will I get?
The maximum amounts for the 2019-2020 benefit year will increase from: $443 to $886 if you’re single. $580 to $1,160 if you’re married or living common-law. $153 to $306 for each child under the age of 19 (excluding the first eligible child of a single parent)
What does Canada Pro mean in a bank statement?
Canada Pro is Ontario Trillium Benefit – which is the Ontario Energy and Property Tax Credit, you get this amount if you are a resident of Ontario renting or owning a house.
Who qualifies for Canada pro?
To qualify, you must be a resident of Northern Ontario on December 31, 2019, and at least one of the following at some time before June 1, 2021: 18 years of age or older. have or previously had a spouse or common-law partner. a parent who lives or previously lived with your child.
What is not considered taxable income in Canada?
These don’t qualify as non taxable income in Canada: disability insurance proceeds, depending on how the premiums were paid. – lottery winnings, and raffle prizes, unless the circumstances deem that the proceeds are considered income from employment, business or property, or a prize for an achievement.
Who gets Canada RIT?
Both individuals and businesses can get the Canada RIT deposit.
For example, the Small Business Job Credit that was paid to many small businesses in 2016 had the caption. In that instance, the deposit was meant to reduce the Employment Insurance (EI) premiums that businesses had to pay.
A Bitcoin wallet’s job is to store the Bitcoins purchased by investors. Bitcoin wallets come with private and public keys which give access to a unique Bitcoin address. You can store, withdraw or transfer your Bitcoins by accessing this address. Bitcoin wallets are available for desktops, mobiles and tablets. In case you want to store crypto offline, there are specialized hardware wallets as well. In the simplest form, just like real life wallets can store cash, cards and coins, Bitcoin wallets can hold Bitcoins. They can also be considered to be bank accounts of the decentralized web as well as a virtual vault to store cryptocurrency. In this post, we will take a look at the best Bitcoin wallets that are available in Canada. Let’s get started:
Here are the best Bitcoin Wallets in Canada:
Why do you need a Bitcoin Wallet?
Bitcoin wallets provide you with a valid Bitcoin address and that makes them really useful. You can only receive secure Bitcoins when you have a trusted address. And while you can store your Bitcoin on an exchange, you should have a personal wallet for larger sums. The reason behind that is the fact that exchanges tend to be unstable. For example, the Einstein Exchange of Canada which collapsed in 2019 while it owed $16 million to its customers.
That’s why #ProofOfKeys day is celebrated worldwide by crypto-enthusiasts. It is an annual event on January 3 where everyone is encouraged to withdraw their funds from the exchange to a wallet they control, to bring to light the fact that exchanges often aren’t so trustworthy or reliable. Since Bitcoin is a relatively new invention, regulation surrounding exchanges is still developing, and the remaining gaps threaten customers’ security. #ProofOfKeys day asks people to question whether the exchange they’re holding their Bitcoins on is solvent and to remind everyone of the dictum popularised by Bitcoin expert Andreas Antonopoulos: “not your keys, not your Bitcoin.”
Should you get a software or hardware bitcoin wallet?
As far as Bitcoin wallets in Canada go, they come in different forms. The easiest way to distinguish between them is whether they are in hardware or software form. A software wallet uses a program that lets you store cryptocurrencies on its protocol. A hardware wallet is a physical object. It’s like storing your Bitcoins in a flash drive. Software wallets generally come for free. Low end hardware wallets are priced around CDN $38.74.
While a software Bitcoin wallet is adequate for small Bitcoin quantities, it’s less secure than a hardware wallet. The main reason behind that is the fact that softwares are susceptible to breach via hacking. If you own a large amount of Bitcoin, a hardware wallet is a better option for you.
A hardware wallet doesn’t need internet connectivity to store your Bitcoins so it’s a lot more secure against hacking. Though it’s safe from hackers, you must not lose it or forget your password. If you do, there’s no way to get your Bitcoin back. (Such was the case when the CEO of Canadian crypto exchange Quadriga CX, Gerard Cotten, died on a honeymoon with his wife in India. Over $250 million was trapped in a hardware wallet that was only accessible to Cotten (Investors have questioned if Cotten died, or instead faked his own death to evade the authorities.)
Now that we’ve explored the advantages (and disadvantages) of Bitcoin wallets, let’s look at the best options available in Canada.
One of the best Bitcoin wallets available in Canada, is Trust Wallet. In 2018, Binance acquired Trust Wallet, a mobile Ethereum wallet. It works on both Android and iOS. The wallet has the backing of one of the largest exchanges in the world. You can also use the wallet to take part in “staking.“ With staking, you put some of your cryptos up as a “stake,” which is then used to validate transactions. This generates a passive income, a little like interest on a bank account.
- Free (network fee)
- Supports staking
One of the best Bitcoin wallets available in Canada, is Armory. If you plan on only holding Bitcoin—and don’t care about any other cryptocurrencies—Armory is a free wallet which is suited to long term storage. It has a host of security features such as multi-signature transactions—where multiple people have to sign off on a transaction at the same time—and GPU-resistant encryption (GPUs can perform cryptographic operations with a tiny amount of memory. Armory increases the memory of their keys to protect against these GPUs). Like Coinomi, fees are variable and depend on the quantity of Bitcoin in a transaction.
- Free (network fee)
- Dedicated Bitcoin “cold storage”
- User retains private keys
One of the best Bitcoin wallets available in Canada, is Coinomi. The UK-based wallet is available in Canada and is completely free, although outgoing transactions are charged according to a variable rate. This rate depends on the cryptocurrencies involved and is used to pay miners who verify transactions by adding them to the blockchain.
- Free (mining fees)
- Mobile wallet
- Wide coin support
Concluding the list of the best software Bitcoin wallets available in Canada, is Coinbase. It is one of the most popular crypto exchanges by volume, and also has a software wallet. Instead of storing the keys to your address on the exchange, the keys to your address are stored on your phone. As with other software wallets, miner fees apply and if you buy cryptocurrencies with fiat currency, a transaction fee will also apply. The wallet can be used to pay merchants who accept cryptocurrency, and the funds held on the wallet can be easily transferred to the Coinbase exchange for use in trading.
- Free (miner fees)
- Decentralized keys
- Easy access to popular exchange
Ledger Nano X
One of the best Bitcoin wallets available in Canada, is Ledger‘s flagship wallet, the Nano X, is bluetooth enabled, meaning it can connect to other devices such as a mobile phone or laptop. Thus, the wallet owner has access to a complete transaction history of the account. Ledger pushes updates to the wallets frequently, useful when it comes to protecting against future attacks, should, for instance, hackers work out a way to get into the system via the wallet’s bluetooth function.
- CDN $159.00
- Accepts crypto payments while offline
- Supports 1184 coins
Ledger Nano S
One of the best Bitcoin wallets available in Canada, is Ledger’s second hardware wallet, the Nano S, which is considerably cheaper than the Nano X. It’s an older product, but tried and tested—it’s sold over 1.4 million units globally since its inception. The main difference between these two wallets is that the Nano S does not feature Bluetooth capability. To connect to another device you’ll have to use a USB cable.
- CDN $79.00
- Older than Nano X—bugs have been smoothed out
- Supports over 1000 coins
Trezor Model T
One of the best Bitcoin wallets available in Canada, is Trezor Model T. Trezor is one of Ledger’s main competitors, and its wallets are also supported in Canada. Trezor’s premium option, the Model T, is intended to be used without the need for another device. While the wallet is set up via USB connection, the device can be unlocked without this connection, as PIN entry and passphrases can be entered on the Model T. Although the price might be a deterrent, the model is one of the most comprehensive available, with extensive security features.
- CDN $209.99
- Highly Secure
- Supports over 700 coins
One of the best Bitcoin wallets available in Canada, is Trezor One. Similar to Ledger, Trezor has a cheaper, older wallet which still works well if you don’t want to break the bank. The Trezor One shares many of its features with the Model T, but it needs to be connected to another device to work and its screen is primitively monochromatic. It lacks some of the flash of the Model T, but it’s still a reliable and secure wallet.
- CDN $69.99
- Works on Windows, OS X and Linux
- Open-source code
Concluding our list of the best hardware Bitcoin wallets in Canada is KeepKey. It is a far cheaper alternative to the bigger brands like Ledger and Trezor. Since it doesn’t have an operating system, its creators claim that the wallet is much more resilient against viruses or other malware, which are usually installed on operating systems. The wallet also supports currencies other than Bitcoin. It even features its own exchange, so you can exchange currencies on the wallet. KeepKey works on PC, Mac, Linux, and Android so you shouldn’t need to worry about device compatibility. However, the wallet supports far fewer assets than its competitors. Those are Bitcoin, Bitcoin Cash, Bitcoin Gold, DASH, Dogecoin, Ethereum, and Litecoin. Granted, these are some of the most popular coins, but it falls behind its competitors’ offerings.
- CDN $38.74
- Easy recovery without loss of private keys
- Virus proof
Bitcoin Paper Wallets
There is, of course, one type of wallet that is neither software or hardware. These are paper wallets, where you store the private keys to your Bitcoin address on a piece of paper. This has the advantage of, potentially, absolute security—to get the key, someone would have to break into your house and find a teensy scrap of paper. Of course, you run the risk of losing the key yourself, so make copies and keep them somewhere you won’t lose them. This is a good option if you want to buy and hold Bitcoin offline, but don’t want to use a hardware wallet. It won’t work for crypto trading, but for long term cold storage it’s considered one of the best options.
- Very Secure
Bitcoin Wallets Canada: Conclusion
Finding the right Bitcoin wallet is very important for anyone who owns Bitcoins. However, you need to be mindful of several things before you load your wallets up with Bitcoins. Before choosing from the Best Bitcoin wallets in Canada, you should be extra cautious with your security information. You should also never lose sight of your hardware wallets. If you lose them, you might lose a large chunk of your investment. However, you are better off with a hardware wallet if your Bitcoin value is very high. Another important thing to remember while choosing from the best Bitcoin wallets in Canada is to remember that the cryptocurrency market is extremely volatile. So stay ready to withstand some losses at times. Remember, even though your Bitcoin stays in a wallet, it can still change its value based on the market. So always invest responsibly.
When traders “buy the dip”, they utilize a tactic wherein they buy a stock (among other assets) right after its price falls. This is done because the traders anticipate an increase in the price pretty soon. Traders use the strategy of “buy the dip” for many different reasons. When traders refer to buying the dip, they specifically refer to buying shares immediately after a price drop in order to capture specifically anticipated, generally near-term, gains. In this post, we will take a closer look at the strategy of “buy the dip” and hopefully by the end of the article, a lot of your questions about the topic will be answered. Let’s get started:
Buy the Dip: All You Need to Know
What Is Buying the Dip?
As a strategy, “buying the dip” is quite similar to a trader’s general approach of buying low and selling high on the surface. Unlike traders who specifically look for low prices, traders who utilize “buy the dip” as a strategy look out for these two indicators::
- A sudden or significant decline in an asset’s price
- A specific reason to believe that the decline is ill-founded or will reverse
Generally, traders look for a steep price decline and buy in quickly. With that, they hope to capture the anticipated gains. While a trader can apply “buying the dip” to any asset, it is generally used when it pertains to buying stocks.
What are some examples of Buying the Dip?
Here are some examples of when traders utilize the strategy to buy the dip:
Stocks usually witness a decline in price after a long term period of sustained growth. Take the example of a firm whose stock trended upward for many months but saw a 10% loss in overnight trading.
In such a scenario, traders will buy the dip based on the overall trend lines of the stock. For those traders, the decline is just a short term aberration in the price of the stock which has grown consistently in the long term. Expecting the trend to continue, traders will buy in.
Stocks tend to jitter. This is known by many names, perhaps most famously the “random walk theory.” Whatever you call it the basic idea is that, regardless of a stock’s trend, over a given day, the price is going to go up or fall down. Once a stock dips, it’s logical to expect it to tick back up and vice versa.
Day traders and other short-term investors may use this as a basis to buy the dip over the course of a given day. They will invest expecting that a quick fall in price will be matched by an equally quick rise.
Despite the industry’s veneer of cold numbers and slick professionalism, investors are as prone to emotional decisions as anyone else. This leads, among other things, to overreaction. When traders see other investors unloading their stock, they tend to jump on board. That’s mainly because they fear the losses if they’re left behind by a market movement. Other traders may look for the dips created by these overreactions. For example, say a major mutual fund suddenly dumps all of its shares of a given stock. This also causes a price drop because other traders who are fearful that their rivals have just stumbled across a weakness in the firm. This leads to them dumping their shares as well.
Another trader might make the assumption that a mutual fund is simply restructuring its assets and will buy that dip. It will do that based on the expectation of prices to recover. Yet another one might react to an unexpected event in the news.
Say that a company is projected to have a strong quarter, yet nevertheless its stock dips. A fundamentals trader always observes the quality of the underlying business. Some of those things are:
- who manages it
- what does its business plan look like
- how solid are its debt-to-equity ratio and its cash flow management.
A trader who doesn’t believe that falling prices aren’t accurate reflections of future sales might buy the dip. In such a case, traders expect the stock price to bounce back as other investors realize that the currently lower share price doesn’t reflect the actual strength of the company.
What are the risks when you Buy the Dip?
The risk of buying the dip comes in the second indicator of this tactic’s analysis: “A specific reason to believe that the decline is ill-founded or will reverse.”
In a nutshell, even the most sophisticated analysis can’t be certain that a dip is temporary. Whatever your reasons for buying the dip, they’re ultimately because you believe that the price will climb again. While you may be right, but when you buy the dip, you essentially bet against the market temporarily. Hence the risk of getting it wrong is very real.
Most traders mitigate their risk through techniques such as stop-loss orders. Because of this, traders can set a minimum price. If the value of the asset drops lower than that, traders will automatically cut their losses by selling it off. It means accepting a loss, but it’s better than watching your money enter a free fall.
So, we can conclude that when you buy the dip, you use an approach to investing where you buy a security that has just fallen in price on the belief that it will soon recover its value. While this tactic is popular and utilized frequently, it isn’t risk free. Some of the situations where a trader might use this tactic are trend lines, fundamentals trading, random walk and emotional trading. It has also been dismissed by some critics as a type of market timing.
As things stand, the casino industry isn’t really doing all that well. The COVID-19 crisis and the ensuing economic downturn has taken its toll on casino stocks as well. The major American casinos depend heavily on Macau.. It is the largest gaming market on the planet, and the only place in China where casinos are legal. This makes casino stocks extremely sensitive to developments that have any impact on Macau’s gaming activities. In 2014, the Chinese anti-corruption regulatory crackdown reduced the gaming activity in the area, leading to a drop in Casino stocks. Luckily, the downward trend only lasted for two years and gaming activity resumed completely after two years. However, another problem presented itself in front of Macau’s gaming activities, the America-China trade war. However, that only lasted for one year before things could go back to normal. The COVID-19 crisis has gone on to become Macau’s strongest challenge ever. It has caused a huge hit in the gaming business. All casinos were closed for a long period of time because of the COVID-19 crisis. They have reopened now, but there are very strict regulations and requirements governing them. This has reduced tourism levels and gaming activity in Macau. The first 11 months of 2020 saw Macau’s gross gaming revenue plummet by 80.5%. This clearly means that investors should be very careful while picking their casino stocks as they are extremely dependent on other factors, most notably what happens in Macau.
Here Are the Best Casino Stocks Right Now:
1. Wynn Resorts (WYNN)
Kicking off our list of the best casino stocks is Wynn Resorts. It owns and operates Wynn Macau and the Wynn Palace in Macau, as well as Wynn Las Vegas and Encore in Las Vegas. The company is now facing the headwind of coronavirus in all the regions in which it operates. Wynn Resorts reported its financial results for the third quarter on 11/5/2020. Revenue declined 78% year-over-year to $370.5 million, which was $64 million less than expected. Even worse, the company widened its losses per share sequentially, from $6.14 in the second quarter to $7.04, missing estimates by an eye-opening $3.15.
All the properties of Wynn Resorts were open for nearly the entire third quarter but the results of the company were once again severely impacted by the COVID-19 pandemic due to the enforced restrictions, including quarantine requirements for tourists, requirements for a negative COVID test, limited number of players at tables and slot machines as well as the significant visa restrictions in Macau.
Due to all the above restrictions, the revenues of Wynn Palace plunged 97%. Revenues for Wynn Macau saw a decline of 89% while Las Vegas revenues suffered a 53% drop over the year. Wynn Resorts has suspended its dividend this year in an effort to conserve capital. Notably, the consensus estimates have greatly deteriorated in the last five months, from a call for a loss of $10.84 per share in 2020 in July to a call for a loss of $18.59 in 2020 right now.
The upcoming vaccine is bound to help alleviate the fears surrounding the coronavirus. As a result, Wynn Resorts will have ample room to grow in the upcoming years thanks to its promising growth pipeline.
The company has made progress in the design of Crystal Pavilion in Macau, which will be a major tourist attraction. In addition, Encore Boston Harbor opened in June-2019 and has exhibited decent performance so far so it has promising growth prospects ahead thanks to expected ramp-up in activity. Moreover, Wynn Resorts aims to expand to Japan, which legalized casino gambling three years ago, though it will take many years before the company opens a casino in Japan.
On the other hand, the company has been caught off guard, with net debt of $10.8 billion, which is 88% of the current market capitalization of the stock. Therefore, the stock is carrying an increased amount of risk right now due to its high level of debt.
However, the coronavirus crisis will probably subside in the second half of next year and the long-term growth prospects of the company will stay intact. A 4% annual earnings-per-share growth off their mid-cycle level is expected through 2025.
2. MGM Resorts (MGM)
Next on our list of the best casino stocks is MGM Resorts. The firm owns and operates numerous hotels, conference halls, and casinos in China and America. The company has the least exposure to Macau in this group of stocks. As a result, it suffered much less than its peers from the trade war between the U.S. and China and the protests of people in Macau a few months ago. Due to the rapid spread of the coronavirus, MGM Resorts suspended all its casino operations in Las Vegas for a considerable period in the second quarter.
In late October, MGM Resorts reported (10/29/20) financial results for the third quarter of fiscal 2020. The company had all its properties open at the end of the quarter. However, its revenue plunged 66% over last year’s quarter due to the suspension of the operations of the company in the U.S. for part of the quarter.
As a result, MGM Resorts switched from a profit of $0.31 per share in last year’s quarter to an adjusted loss of $1.08 per share.
Due to the unprecedented downturn that has resulted from the pandemic, MGM Resorts cut its dividend by 98% in April. Moreover, in May, it issued $750 million of 5-year bonds at 6.750%. The high interest rate reflects the desperation of the company for funds and the high debt load of the company. Net debt is $20.1 billion, which is 130% the current market capitalization of the stock.
Nevertheless, due to the headwind of coronavirus, along with a huge debt load, shareholders should not expect a material boost in dividends and share repurchases for the foreseeable future. That said, the COVID- 19 pandemic is expected to subside in the second half of 2021 thanks to the massive distribution of vaccines worldwide.
Due to the headwind from coronavirus, MGM Resorts is expected to report a net loss of $3.50 per share in 2020. Earnings-per-share are expected to gradually turn positive, with expected annual growth of 5% through 2025. Because of the massive dividend cut, dividend returns are expected to be negligible.
3. Melco Resorts (MLCO)
Next on our list of the best casino stocks, is Melco Resorts. The firm owns and operates casino gaming and entertainment casino resort facilities all over Asia. Since Melco Resorts is highly leveraged to Macau’s gaming activity, it is very vulnerable to the COVID-19 induced downturn in Macau.
In 2019, Melco Resorts saw an 11% rise in revenue and a 15% rise in earnings per share. That upward trend was caused by the firm’s strong performance in the mass market table gaming activity. However, conditions have predictably reversed due to the pandemic, with third-quarter revenue declining 85% and adjusted property EBITDA declining to a loss of $76.7 million.
Melco Resorts is most likely going to lose $2.70 per share. Strict travel restrictions in Macau are a big reason behind the downturn.
On the bright side, some vaccine studies have reported exciting results and hence billions of vaccines will be distributed worldwide in 2021. It is thus reasonable to expect the pandemic to subside in the second half of 2021. As soon as the effect of coronavirus begins to fade, Melco Resorts has promising growth prospects ahead. Melco Resorts is also expanding its City of Dreams in Macau and is taking steps to open an integrated resort in Yokohama, Japan. It is also developing City of Dreams Mediterranean, which will become the largest integrated resort in Europe. All these initiatives are likely to be significant growth drivers as soon as Macau returns to normal.
Melco’s extreme leverage to Macau’s gaming activity must make all investors have conservative expectations from the firm, despite the promising growth prospects.
Given its healthy balance sheet, the company is likely to resume paying dividends once the coronavirus crisis ends. The income-oriented investors need to remain cautious though, given the firm’s vulnerability to economic downturns and is very sensitive to any casino-related policy change in China and the ongoing coronavirus crisis.
4. Las Vegas Sands (LVS)
Rounding off our list of the best casino stocks to buy right now, is Las Vegas Sands. This firm is a leading developer and operator of integrated resorts in the U.S. and Asia. Due to the outbreak of coronavirus, Las Vegas Sands is facing strong headwinds in Macau and in the U.S. As mentioned above, gaming activity has collapsed in Macau. Because of COVID-19 lockdown related casino closures, Las Vegas Sands was expected to lose approximately $2.00 per share this year.
On the other hand, beyond this year, Las Vegas Sands has promising growth prospects ahead. As Japan legalized casino gambling three years ago, Las Vegas Sands has announced that it intends to open integrated resorts in Tokyo and Yokohama.
Due to the pandemic, Las Vegas Sands has suspended its dividend since early 2020. However, the company does have a promising growth potential and will most likely resume paying off its high dividend yield once the pandemic is over, most likely at the second half of 2021.
Furthermore, Las Vegas Sands continues to pursue growth by expanding and upgrading its Macau properties. The company launched Four Seasons Tower Suites Macao last year while it also expects to launch the Londoner Macao in January-2021 and expand Marina Bay Sands in Singapore.
Thanks to all these growth drivers, the company is expected to grow its earnings per share by about 4% per year over the next five years off their mid-cycle level of $3.20 per share.
In our list of best casino stocks, Las vegas Sands is the one with the strongest balance sheet. This ensures that the company will be better equipped to survive the COVID-19 crisis and bounce back strong once the pandemic subsides.
Best Casino stocks in 2021: Honourable mentions
- Monarch Casino and Resort Inc.
- Hilton Grand Vacation Inc.
- Penn National Gaming Inc.
- Ballys Corp.
- Boyd Gaming Corp.
- Russell 1000
- VanEck Vectors Gaming ETF (BJK)
“I think fundamentally the future is vastly more exciting and interesting if we’re a spacefaring civilization and a multiplanet species than if we’re or not. You want to be inspired by things. You want to wake up in the morning and think the future is going to be great. And that’s what being a spacefaring civilization is all about.” The quote is from Elon Musk, the visionary mind behind SpaceX. Elon Musk (who is also famous for his Tesla brand of electric vehicles) established SpaceX in 2002 with the aim to change space technology and open up the world of space exploration to non astronauts as well. After much speculation and guessing around SpaceX’ future, the firm did manage to complete a successful test launch and the future looks very bright. Going forward, just like Elon Musk’s other firm Tesla, SpaceX seems to be a good firm to buy stocks of. However, can you actually do it? Let’s find out.
SpaceX Stock: Important Things To Know
SpaceX Stock: Can you buy it?
According to Amazon’s “competitive intelligence tools” subsidiary Alexa, SpaceX’s website had just become one of the most popular corporate websites among privately held companies. The steep rise in “unique visitors” hinted at the fact that a lot of people were looking towards SpaceX as the next “unicorn stock”. However, currently the Hawthorne, California based SpaceX has roughly 7,000 employees and remains a private company. This means its stock isn’t available for buying in any stock market as of now. Here’s what founder Elon Musk had to say about the early days of SpaceX.
“We [SpaceX] started off with just a few people who really didn’t know how to make rockets. And the reason that I ended up being the chief engineer or chief designer, was not because I want to, it’s because I couldn’t hire anyone. Nobody good would join. So I ended up being that by default. And I messed up the first three launches.”
Musk also spoke about the more long term goal and vision of the firm right from the outset:
“When starting SpaceX I thought the odds of success were less than 10%, and I just accepted that I would probably just lose everything. But that maybe we would make some progress. If we could just move the ball forward, even if we died some other company could pick up the baton and keep moving it forward. So that would still do some good.”
SpaceX was initially funded by Musk himself. He used most of the money he received from the sale of PayPal as capital for the project. SpaceX also received funding from Founders Fund, Draper Fisher Jurvetson and Valor Equity Partners.Google and Fidelity invested $1 billion for a stake of just under 10% in 2015.
“My proceeds from the PayPal acquisition were $180 million. I put $100 million in SpaceX, $70m in Tesla, and $10m in Solar City. I had to borrow money for rent.”
One of the most innovative things done by SpaceX is definitely their work towards developing reusable booster rockets. Normal booster rockets can only be used once. SpaceX claims that its booster rockets can be used 10 times. However, none have been flown more than thrice. Musk said: “Rockets are the only form of transportation on Earth where the vehicle is built anew for each journey. What if you had to build a new plane for every flight?” The company’s Falcon 9 spacecraft costs $62 million to book, while a mission using the Falcon Heavy costs $90 million. Musk’s intrepid nature towards trying new things can probably be attributed to this quote:
“When I was a little kid, I was really scared of the dark. But then I came to understand, dark just means the absence of photons in the visible wavelength–400 to 700 nanometers. Then I thought, well, it’s really silly to be afraid of a lack of photons. Then I wasn’t afraid of the dark anymore after that.”
Should you invest in SpaceX?
All of the companies involved with space exploration seem to be small, niche firms. There is a reason for that. Space by its nature is risky, and expensive. SpaceX has experienced a number of high-profile mishaps on its way to getting an astronaut into orbit. Testing and failure are parts of the development process. That is a tall order for most small companies who always seem to be strapped for cash. However, Musk does see a strong growth potential in his firm and the field in general:
“SpaceX is only 12 years old now [as of 2014]. Between now and 2040, the company’s lifespan will have tripled. If we have linear improvement in technology, as opposed to logarithmic, then we should have a significant base on Mars, perhaps with thousands or tens of thousands of people.”
A significant portion of the revenue related to space is eaten up by larger, more diversified defense contractors. The titans among American defence suppliers, tend to have their own space units. Boeing and Lockheed Martin are in a joint venture called United Launch Alliance (ULA) focused on lift and Northrop Grumman makes rockets via its Orbital ATK acquisition. Those companies, as well as others, including Raytheon Technologies and L3Harris Technologies, also make satellites and sensors that are launched into orbit.
How has SpaceX expedited manufacturing?
SpaceX can launch a rocket for $90 million, compared to $380 million charged by its rivals. The lower cost is due partly to an emphasis on in-house manufacturing. For example, instead of spending $50,000 to $100,000 to purchase radio equipment and other communications gear, SpaceX was able to develop gear in-house for $5,000. Speaking on the matter, Musk said this humorously:
“They were building a Ferrari for every launch, when it was possible that a Honda Accord might do the trick.”
Oddly enough, some people have also criticised Musk for using combustion and rockets when he also owns electric car maker Tesla. This is what he said in response:
“Sometimes I get some sort of criticism for why are you using combustion and rockets and you have electric cars. Well there isn’t some way to make an electric rocket. I wish there was. But in the long term you can use solar power to extract CO2 from the atmosphere, combine it with water, and produce fuel and oxygen for the rocket. So the same thing that we’re [going to do] doing on Mars, we could do on Earth in the long-term.”
Another reason why SpaceX can make space exploration cheaper is the fact that it’s a private company. It is free from the restrictions associated with a government bureaucracy that normally plague organizations such as NASA. This has allowed SpaceX to move much faster than traditional space programmes. Rapidly creating parts and equipment, securing launchpad sites, and hiring employees from competing companies and universities.
Don’t expect that to change anytime soon. After becoming the first private company to put a spaceship in orbit, Elon Musk’s groundbreaking space venture has proceeded to rack up an impressive list of other “first” achievements: First company to launch a payload into orbit, then land its rocket back on Earth. First to land a Falcon 9 rocket on a landing pad at sea. First to re-launch a used rocket, and first to put forth a workable plan for colonizing Mars. If all goes well, SpaceX could even become the first company to re-land three boosters from its Falcon Heavy rocket — simultaneously. Musk’s dream of inhabiting Mars might become a reality soon.. Here’s what he said his plan is:
“You need to live in a dome initially, but over time you could terraform Mars to look like Earth and eventually walk around outside without anything on… So it’s a fixer-upper of a planet.”
Will SpaceX release an IPO soon?
The question on every savvy investor’s mind is “Will SpaceX become the first space company to conduct a big IPO in the 21st century and give investors a chance to invest in its stock directly?” As of now, Musk has shown reluctance towards that. During a conference in Guadalajara, Mexico, Musk said that he was not interested in raking in billions by putting SpaceX on the stock market. To the contrary, Musk said that it was actually his biggest fear that SpaceX might “somehow get taken over by investors who just want to maximize the profit of the company and not go to Mars.”
That statement has spurned the plans of investors hoping to one day invest in SpaceX stock. However, just because SpaceX isn’t planning to release an IPO, doesn’t mean you can’t invest in it.
Is there a way to invest in SpaceX stock?
You can invest in it indirectly. You can thank Google’s 2015 investment in SpaceX for that. As a result of that investment, Google parent Alphabet now owns a 7.5% stake in SpaceX. What that means is that you can indirectly invest in SpaceX by investing in its minority owner, alphabet. With that investment, you will stand to benefit indirectly from the increase in value of SpaceX over time.
At the right price, buying Alphabet stock in order to own SpaceX stock might even be a smart financial move. Consider: In 2016, we learned that after several years of boasting that it was both “profitable and cash-flow positive,” Space X in truth wasn’t either of those. It was just burning through cash as a matter of fact. That’s a kind of stock, investors generally run away from. SpaceX’s resurgence in 2017 may have improved the company’s financial fortunes, or it may not have. So far, SpaceX isn’t telling. But just in case SpaceX is still losing money, diversifying one’s investment in SpaceX by also owning wildly profitable Alphabet stock is a smarter way to own a piece of SpaceX.
Valued at $735.8 billion today, Alphabet reported net income of $12.7 billion over the past 12 months, despite taking a big hit from tax reform. Google’s actual cash profits — its free cash flow — are even stronger. According to data provided by S&P Global Market Intelligence, over the past year Alphabet has generated $23.9 billion in positive free cash flow, which is nearly twice its reported profit. The cash pile up on the balance sheet has led to the shrinking of the enterprise value of Alphabet stock, to the point where the whole company, net of cash, now costs less than $638 billion, or about 26.7 times trailing free cash flow. Admittedly, even 26.7 times FCF isn’t a particularly cheap way to invest in SpaceX stock. But neither is it unreasonably expensive. The most important reason though, is the fact that it’s the only way in which you can invest in SpaceX. And considering the future, SpaceX seems like a good place to invest money. We’ll leave you with this quote by Musk on the future of SpaceX and space exploration in general: “We’ll go to the moons of Jupiter, at least some of the outer ones for sure, and probably Titan on Saturn, and the asteroids. Once we have that forcing function, and an Earth-to-Mars economy, we’ll cover the whole Solar System. But the key is that we have to make the Mars thing work. If we’re going to have any chance of sending stuff to other star systems, we need to be laser-focused on becoming a multi-planet civilisation. That’s the next step.”
Since Glenn Darrel Sanford founded eXp world holdings (EXPI) on July 30th, 2008 in Bellingham, Washington, the company has slowly risen in its fame and stature over the years. If you are looking for a good stock to invest in, EXPI is one of the best stocks available for you. The company has also recently crossed over a billion dollars in market cap, currently standing at $1.044 billion. Let’s find out more about EXPI, one of the best stocks available to buy in 2021.
eXp World Holdings (EXPI): Key Things to Know
eXp World Holdings (EXPI): Company Profile
eXp World Holdings, Inc. provides cloud-based real estate brokerage services for residential homeowners and homebuyers in the United States, Canada, the United Kingdom, Australia, South Africa, Portugal, France, Mexico, and India. The company facilitates buyers to search real-time property listings and sellers to list their properties through its Website, exprealty.com; and provides buyers and sellers with access to a network of professionals, consumer-centric agents, and brokers. It also provides VirBELA, a virtual reality software platform focused on education and team development with clients in various industries ranging from government to retail. In addition, it develops eXp World, a cloud campus that provides access to collaborative tools, training, and socialization for the real estate agents and employees. Further, the company provides marketing, training, and other support services to its brokers and agents through proprietary technology enabled services, as well as technology and support services contracted to third parties. The company was formerly known as eXp Realty International Corporation and changed its name to eXp World Holdings, Inc. in May 2016. eXp World Holdings, Inc. was founded in 2008 and is based in Bellingham, Washington. As things currently stand, it is one of the best stocks to buy in 2021.
When did eXp Realty (EXPI) go public?
eXp Realty is a publicly-traded company on the NASDAQ stock exchange and it can be found under the ticker symbol “EXPI.” The firm became a publicly traded company in 2013.
EXPI Stock Summary
The EXPI stock is definitely one of the good stocks to buy today. Here’s its summary for you:
- EXP World Holdings Inc’s capital turnover — a measure of revenue relative to shareholder’s equity — is better than 97.64% of US listed stocks.
- With a price/earnings ratio of 212.21, EXP World Holdings Inc P/E ratio is greater than that of about 96.13% of stocks in our set with positive earnings.
- The volatility of EXP World Holdings Inc’s share price is greater than that of 96.71% US stocks with at least 200 days of trading history.
- Stocks that are quantitatively similar to EXPI, based on their financial statements, market capitalization, and price volatility, are GLG, TRC, CAN, DQ, and HUGE.
EXPI Stock: Risk vs Reward
The risk vs reward analysis of EXPI points to the fact that it is one of the best stocks to buy in 2021.
- Volatile share price over the past 3 months.
- Significant insider selling over the past 3 months.
- Shareholders have been diluted in the past year.
- Trading at 21.4% below our estimate of its fair value.
- Earnings are forecast to grow 49.81% per year.
- Became profitable in 2020.
Is eXp realty (EXPI) profitable?
If you search “what are some good stocks to buy right now” on Google, chances are that EXPI will show up in the search results. And for very good reason. Last year, it reported its first profitable quarter. For all of 2019, eXp generated $980 million in revenue, up 96 percent year over year. That’s up from $282.2 million in the third quarter of 2019. During the quarter, agents logged 75,392 transactions, up 95 percent year over year.
What is eXp commission split?
All agents at eXp Realty receive an 80/20 commission split. This split caps at $16,000 gross commission paid into the company. … Once this happens, that agent will receive 100% of their commission minus a transaction fee, risk management fee, and a broker review fee.
Has EXPI expanded its global operations?
eXp Realty, one of the fastest-growing, global real estate companies and a subsidiary of eXp World Holdings (Nasdaq: EXPI), has announced plans to expand its real estate operations into Puerto Rico, Brazil, Italy and Hong Kong in the first quarter of 2021. In 2020, eXp launched operations in South Africa, India, Mexico, France and Portugal.
How has the EXPI stock performed recently?
For EXPI, shares are up 2.46% over the past week while the Zacks Real Estate – Operations industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 27.26% compares favorably with the industry’s 1.14% performance as well.
While any stock can see a spike in price, it takes a real winner to consistently outperform the market. Over the past quarter, shares of Exp World Holdings, Inc. Have risen 33.92%, and are up 484.58% in the last year. On the other hand, the S&P 500 has only moved 11.86% and 17.02%, respectively.
What is EXPI’s average trading volume?
Investors should also take note of EXPI’s average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now, EXPI is averaging 841,775 shares for the last 20 days.
What is the earnings outlook of the EXPI stock?
Most notably, this is eXp World Holdings’ first profitable quarter since being listed on Nasdaq in 2018. For some quick and easily digestible numbers, in the fourth quarter of 2019, revenue increased 82% to $274 million, compared to $150 million in the fourth quarter of 2018. For the entirety of 2019, eXp posted record revenue of $980 million, which is an increase of 96% year-over-year from $500 million in 2018. These are incredible numbers and the firm is focused on delivering similar results moving forward.
The increase in the number of agents has also made a relative impact on the number of transactions and sales volume in 2019 for eXp Realty. Transaction sides increased 81% to 135,320, compared to 74,678 in 2018. And transaction volume increased 93% to $38.2 billion, compared to $19.8 billion in 2018.
“We also expect eXp Realty to continue to add agents at levels above what competing national brokerages are experiencing and anticipate increased adoption of our affiliated services businesses by eXp Realty agents as well as additional international expansion,” said eXp World Holdings CFO and Chief Collaboration Officer Jeff Whiteside. “We have a long runway ahead of revenue growth and profitability with the right team in place to meet those goals.”
Michael Valdes, President of eXp Global, said:“The record revenue and transaction volume growth in 2020 was a direct result of our agent-centric, cloud-based brokerage that allowed us to add agents all over the world at an unprecedented pace. As we look ahead in 2021, we expect to continue expanding throughout Europe–a key growth market — while adding strong footholds in South America, Asia and the Caribbean.”
eXp Realty offers a unique financial model for residential and commercial real estate agents, going beyond attractive commissions to provide its agents with an opportunity to earn additional income by helping the company grow its agent base anywhere in the world and equity in eXp World Holdings, Inc. stock programs applied to listing and selling activities. eXp’s cloud-based brokerage is powered by Virbela, the company’s immersive and collaborative platform, which enables its agents to communicate, meet and conduct business in a virtual world.
How is EXPI’s earning growth and ROE?
To start with, eXp World Holdings’ ROE looks acceptable. Especially when compared to the industry average of 8.0% the company’s ROE looks pretty impressive. Despite this, eXp World Holdings’ five year net income growth was quite low averaging at only 2.0%. This is generally not the case as when a company has a high rate of return it should usually also have a high earnings growth rate. Such a scenario is likely to take place when a company pays out a huge portion of its earnings as dividends, or is faced with competitive pressures. All of that definitely makes it one of the best stocks to buy in 2021. Hopefully that will give you a better insight into the investment opportunities available with EXPI.