AT&T and Verizon Celebrate Court Win While Tesla Soars Again

Dow looks to post two-day winning streak and wipe out the loss posted on Monday.

Jan 15, 2014 at 1:00PM

Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.

The Dow Jones Industrial Average (DJINDICES:^DJI) is having its first big two-day rally in 2014, nearly erasing the sharp loss seen on Monday. As of 1:05 p.m. EST, the Dow is up 120 points, or 0.74%, while the S&P 500 has risen 0.54% and the Nasdaq is up 0.67%.

Within the Dow, shares of AT&T (NYSE:T) and Verizon (NYSE:VZ)have climbed 1.4% and 2.2% to lead the blue-chip index higher. The moves come after a federal appeals court ruled that the FCC was out of line when it told Verizon that it could not charge different prices to different content providers based on their bandwidth and numbers of users. This is a reversal of the FCC's "net neutrality" rule and should allow both carriers to increase revenue and help protect their profits from customers who are costing them more money to service.  

Outside the Dow, one big winner today is the controversial stock Tesla (NASDAQ:TSLA). Shares are higher by 2.3% after the company reported that it sold about 6,900 electric vehicles in the fourth quarter. That is 20% higher than what even the company believed it would do. This release is also helping offset the potentially negative impact from the company "recall" of more than 29,000 power adapters for the Model S vehicle. Tesla's CEO Elon Musk refuted the "recall" statement since Tesla will be sending the fix to customers and not calling the cars back into a service shop. This could be considered splitting hairs, and that "recall" tag being placed on the Model S vehicle could hurt sales and the company's growth in the future.   

Fellow car maker General Motors (NYSE:GM) is down 1.3%. Similar to Telsa, GM released some good news and some bad news. The good news was that the company will reinstate its dividend for the first time since 2008 and deliver a 3% dividend yield. The bad news is the company's forecast for 2014, in which it sees pre-tax profits to be just modestly higher. Global growth demand has been estimated to increase by 2% in 2014, so GM's forecast may seem a little light based on that expectation.   

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Fool contributor Matt Thalman owns shares of Tesla Motors. The Motley Fool recommends General Motors and Tesla Motors. The Motley Fool owns shares of Tesla Motors. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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