Apple (NASDAQ:AAPL) jumps 1.4% after disclosing that App Store customers spent a record $1.42B between Christmas Eve and New Year’s Eve, up 16% Y/Y.
They spent $386M on New Year’s Day 2020, a 20% increase from a year earlier and a new single-day record.
Gene Munster, a long-time Apple analyst and founder of Loup Ventures, said the App Store spending shows that the company’s services expansion isn’t directly linked to iPhone sales. As a result, he said the company’s shares should trade at a higher price-to-earnings multiple.
Eros Now partners with UAE’s EUROSTAR
Streaming service Eros Now (EROS -3.5%) has partnered with EUROSTAR Group, bringing its content to Gulf Cooperation Council countries.
UAE-based EUROSTAR looks to address a large fan base of expatriates from India, Sri Lanka, Bangladesh, Pakistan and Egypt living in the UAE and other GCC markets.
Customers will be able to buy monthly and annual subscription packs of Eros Now from their nearest EUROSTAR-serviced retail outlet, the companies say.
Sprint and Wirecard team on IoT payment capabilities
At CES, Sprint (S -0.1%) and Wirecard (OTCPK:WCAGY) have announced a deal where Wirecard’s unified commerce solutions will be integrated into Sprint’s Internet of Things platform.
Bringing Wirecard into Sprint’s Curiosity offering will deliver the “Internet of Payments” by embedding capabilities into IoT deployments, they say.
Sprint parent SoftBank (OTCPK:SFTBY) brought them together on the deal.
The two will initially focus on the retail segment, though they are exploring opportunities across various segments as part of a larger collaboration.
Microsoft long-term margins set up for strong 2020 – Morgan Stanley
Morgan Stanley has boosted its target on Microsoft (MSFT +1.1%) and reiterated its Overweight rating, pointing to margin potential vs. concerns about product cycles and cloud revenues.
The company’s likely to see expanding margins and “durable double-digit gross profit growth,” analyst Keith Weiss says.
Combined with buybacks and a dividend, that means a sustainable total return in the mid-to-high teens, a CAGR that’s “underpriced at current levels,” he writes.
The firm raised its target to $189 from $157, now implying 19% upside.
Sell-side analysts are Very Bullish on Microsoft, and Seeking Alpha authors are Bullish. It has a Quant Rating of Very Bullish.
58.com pursuing U.S. IPO of home online service unit
58.com (NYSE:WUBA) is seeking a U.S. initial public offering of its home online service unit for a valuation of up to $2B, Bloomberg reports.
