Wall Street is bullish on this chip giant, with Morgan Stanley giving it 55% upside

US Top News and Analysis 

The once-hot chip sector was hit hard in 2022, with the PHLX Semiconductor Sector Index falling around 37% over the year. But Wall Street looks to be turning more optimistic on the segment. Several pros have recently urged investors to take a longer-term view on semicondictor stocks , given the importance of chips in several key secular trends. And one name keeps coming up as a top pick: Taiwan Semiconductor Manufacturing Company (TSMC). Steven Glass, managing director of Pella Funds Management, said in an email to CNBC Tuesday that TSMC has a “superb track record” of increasing its return on equity, a gauge of a firm’s profitability derived by dividing net income by shareholders’ equity. “[It has] very good value at current prices – depending on where its capex settles, the company is on a 5%-7% [free cash flow] yield,” Glass said. Additionally, Glass expects TSMC to deliver double-digital topline growth over the next five years. “These metrics exceed our growth-valuation model, and TSMC’s share price would have to increase by more than 50% for the company to no longer satisfy our requirements,” he said. He added that Pella’s investment in TSMC is paired with Dutch semiconductor firm ASML . “Owning both means we own the best two companies in the space with unquestionable dominance. Without them there is no iPhone, no Tesla, no AWS, and no future for technology.” TSMC has been in focus recently, with Warren Buffett’s Berkshire Hathaway building a sizable new stake in the company in the third quarter. The semiconductor giant also opened a second chip plant in Arizona , raising its investment in the state from $12 billion to $40 billion — one of the largest foreign investments in U.S. history. TSMC shares plummeted around 26% in 2022. But analysts overall remain positive, with 90% of those covering the stock giving it a buy rating, according to FactSet, and average price target upside of 37%. Morgan Stanley also named TSMC as a top pick in a December note, giving it a price target of $700, or upside of 55%. It says TSMC has “sustainable pricing power,” and its long-term earnings growth “looks promising.” BofA also said in December that it expects TSMC’s presence to grow. It explained that the semiconductor industry must continue to invest at a high level in order to achieve future growth, however “investment efficiency” has deteriorated. “One possible scenario may be that it becomes more difficult to justify investment in the future, increasing demand from foundries such as TSMC,” the bank said. — CNBC’s Michael Bloom contributed to this report.

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Regulators warn U.S. banks on crypto risks including ‘fraud and scams’ after FTX collapse

US Top News and Analysis 

Ether has hugely outperformed bitcoin since both cryptocurrencies formed a bottom in June 2022. Ether’s superior gains have come as investors anticipate a major upgrade to the ethereum blockchain called “the merge.”
Yuriko Nakao | Getty Images

U.S. banking regulators warned financial institutions on Tuesday that dealing with cryptocurrency exposes them to an array of risks, including scams and fraud.

“The events of the past year have been marked by significant volatility and the exposure of vulnerabilities in the crypto-asset sector,” the regulators said in a joint statement from the Federal Reserve, Federal Deposit Insurance Corp. and the Office of the Comptroller of the Currency. The comments come just weeks after the spectacular collapse of crypto exchange FTX.

The regulators said the risks include: “fraud and scams among crypto-asset sector participants” and “contagion risk within the crypto-asset sector resulting from interconnections among certain crypto-asset participants.”

VIDEO4:5004:50
I would be ‘shocked’ if regulators did not meet with FTX, says John Stark

During the crypto boom, when financial players seemed to announce a new crypto partnership on a weekly basis, bank executives said they needed further guidance from regulators before dealing more directly with bitcoin and other cryptocurrencies in retail and institutional trading businesses.

Now, about two months after the bankruptcy filing of FTX, the industry has been exposed as rife with poor risk management, interconnected risks and outright fraud.

While the statement indicated that regulators were still assessing how banks could adopt crypto while adhering to their various mandates for consumer protection and anti-money laundering, they seemed to give a clue as to which direction they were headed in.

“Based on the agencies’ current understanding and experience to date, the agencies believe that issuing or holding as principal crypto-assets that are issued, stored, or transferred on an open, public, and/or decentralized network, or similar system is highly likely to be inconsistent with safe and sound banking practices,” the regulators said.

They also said that they have “significant safety and soundness concerns” with banks that focus on crypto clients or that have “concentrated exposures” to the sector.

Traditional banks have largely sidestepped the crypto meltdown, unlike the 2008 financial crisis in which they played a central role. One exception has been Silvergate Capital, whose shares have been battered in the past year.

VIDEO8:1008:10
What you should know before investing in crypto

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Is it raining? Turn off the automatic sprinklers

People who don’t habitually turn off their automatic sprinklers are wasting water, say researchers.

In Florida, with a population of 22 million, a figure projected to hit 27.8 million by 2050, residents need to conserve the precious resource.

Preserving water boils down to good habits. It can be as simple as whether you intend to save water or not, say researchers, who would like to change the behavior of those who leave their sprinklers on when it’s raining.

“A lot of people do not think about how rain plays into the total amount of water a yard receives,” says Laura Warner, an associate professor of agricultural education and communication at the University of Florida Institute of Food and Agricultural Sciences (UF/IFAS).

“So, if someone wants to apply a half-inch of water to their lawn, they may set their irrigation system to do so regularly, and then if it rains, that is just ‘extra.’ It would be advantageous to shift people’s mindsets, so they consider rain first and irrigation supplemental.”

Warner and John Diaz, associate professor of agricultural education and communication, are coauthors of a new study that examines whether homeowners intend to turn off their irrigation when it rains—the so-called “intenders.”

The researchers conducted an online survey of 331 Florida residents who identified themselves as users of automated sprinkler systems.

They wanted to know whether homeowners intended to turn off their water, based on recent or current rain.

To find their answer, researchers asked questions such as, “How likely are you to use local weather data to turn off your irrigation when recent rainfall is adequate for your yard in the next month?” Respondents could select from “very unlikely” to “very likely” for all three questions.

Researchers labeled respondents with the highest score as “intenders.” In other words, the person plans to turn off the irrigation system when it’s raining. They also intend to turn off their water if it’s rained a lot recently and see no reason to water their lawn.

Warner and Diaz want to change the habits of “non-intenders.”

“Rather than just providing information on how to conserve water or why—which is not terribly effective—we want to connect with people and have them connect with water resources on a deeper psychological level,” Warner says. In other words, homeowners must feel a sense of obligation to conserve water.

To move toward wiser lawn-irrigation habits, UF/IFAS Extension agents, governments, homeowners’ associations, and neighbors can nudge residents to stop or reduce irrigating when it’s raining. One way to do that is by pointing out that other homeowners are turning off their sprinklers, Warner says.

Sometimes, reminders such as signs at the entrance to a subdivision help. They tell residents how much rain fell the week before and ask residents if they need to irrigate, she says.

“Considering irrigation water is potable—meaning it is the same limited source of drinking water we share—the stakes are pretty significant,” she says. “Not to mention the incredible quantity of water that can be saved and the related monetary savings on utility bills.”

The study appears in Urban Water Journal.

Source: University of Florida

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[World] Tanzania's leader lifts ban on political rallies

President of Tanzania Samia Suluhu Hassan attends the Los Angeles premiere of "Tanzania: The Royal Tour" at Paramount Studios on April 21, 2022 in Los AngelesImage source, Getty Images
Image caption,

Samia Suluhu Hassan is Tanzania’s first female president

Tanzania’s President Samia Suluhu Hassan has lifted a six-year ban on political rallies imposed by her hard-line predecessor, John Magufuli.

Her decision is part of her 4Rs initiative – Reconciliation, Resilience, Reforms and Rebuilding.

She acknowledged parties had the right to hold rallies but she urged them to be “civil” and not to “trade insults”

Mr Magufuli had banned rallies in between elections in what was seen as an attempt to weaken the opposition.

He dismissed rallies as a waste of time and money, and said they detracted from the key challenge of building the economy.

Mrs Samia announced the reversal of his policy at a meeting with opposition politicians.

“Our duty as a government will be offering protection for the rallies,” she said.

The chairman of the main opposition Chadema party, Freeman Mbowe, said he welcomed the announcement.

“The move is first of all a return to a right guaranteed in the constitution and our laws,” he added.

Mr Mbowe spent seven months in prison, before the prosecution dropped charges of terrorism against him in March 2022.

His arrest had raised doubts about Mrs Samia’s commitment to reforms after she became president following Mr Magufuli’s death in 2021.

Anther opposition politician, Zito Kabwe, told AFP news agency that the president’s decision to lift the ban was a “big move”.

“This is the right that was snatched by the state through an illegal presidential decree,” he added.

Mrs Samia also promised to look into opposition demands for changes to the constitution.

Opposition parties say the constitution gives too much power to the president. They also want changes to safeguard the independence of the electoral commission and the courts.

Mrs Samiah is the leader of the ruling party, Chama Cha Mapinduzi (CCM), which has been in power for more than half a century.

It has often been accused of rigging elections, and of harassing and intimidating the opposition. It denies the allegations.

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Mercedes Benz Recalls Over 120,000 Vehicles for Sunroof Problem

Ever since cars had roofs automakers have been looking for ways to let the sun shine in.

Some of the earliest sunroofs were really solid metal panels that could be removed, slid back or tilted, but the idea was to allow drivers and passengers to catch some rays.

Sunroofs got more sophisticated over the decades and while its pretty cool to have some natural lighting in your ride, they can be a pain if something goes wrong.


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[World] Makiivka: Russia blames missile attack on troops’ phone use

BBC News world 

Image source, Getty Images

Image caption,

Mourners gather to lay flowers in memory of soldiers killed in Makiivka

Russia has said a new year missile attack that killed at least 89 Russian soldiers happened because troops were using their mobile phones.

Ukraine hit a college for conscripts in Makiivka, in the occupied Donetsk area, shortly after midnight on 1 January.

Soldiers’ use of banned phones allowed the enemy to locate its target, the Russian military has now said.

While the number of people killed is unverified, it is the largest death toll acknowledged by Russia in the war.

Ukraine claims the figure is far higher, saying 400 soldiers were killed in the attack and a further 300 wounded.

Russia said that at 00:01 local time on New Year’s Day, six rockets were fired from a US-made Himars rocket system at a vocational college, two of which were shot down.

The deputy commander of the regiment, Lt Col Bachurin, was among those killed, the military of defence said in a statement on Telegram in the early hours of Wednesday.

A commission is investigating the circumstances of the incident, the statement said.

But it is “already obvious” that the main cause of the attack was the presence and “mass use” of mobile phones by troops in range of Ukrainian weapons, despite this being banned, he added.

“This factor allowed the enemy to locate and determine the coordinates of the location of military personnel for a missile strike.”

Officials found guilty in the investigation will be brought to justice, the statement added, and steps are being taken to prevent similar events in future.

Russia also raised the number of Russian soldiers killed in the attack to 89 – up from 63 – although there is no way of verifying how many soldiers were killed. It is extremely rare for Moscow to confirm any battlefield casualties.

The vocational college was packed with conscripts at the time – men who were among the 300,000 called up in President Vladimir Putin’s partial mobilisation in September. Ammunition was also being stored close to the site, which was reduced to rubble.

Image source, Reuters

Image caption,

The building housing the conscripts was all but flattened in the Ukrainian attack

Some Russian commentators and politicians have accused the military of incompetence, saying the troops should never have been given such vulnerable accommodation.

Pavel Gubarev, a former leading official in Russia’s proxy authority in Donetsk, said the decision to house a large number of soldiers in one building was “criminal negligence”.

“If no-one is punished for this, then it will only get worse,” he warned.

The deputy speaker of Moscow’s local parliament, Andrei Medvedev, said it was predictable that the soldiers would be blamed rather than the commander who made the original decision to put so many of them in one place.

President Putin signed a decree on Tuesday for families of National Guard soldiers killed in service to be paid 5m roubles (£57,000; $69,000).

 

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Tom Brady shares message of support for Damar Hamlin, makes donation to his charity

Latest & Breaking News on Fox News 

Buccaneers quarterback Tom Brady is the latest NFL player to donate to Damar Hamlin’s toy drive.

Hamlin collapsed during the Bills’ Monday night game against the Bengals, and the Bills later confirmed Hamlin suffered a cardiac arrest during the first quarter of the game.

The latest update from the team said the 24-year-old remains sedated and is “listed in critical condition.”

CLICK HERE FOR MORE SPORTS COVERAGE ON FOXNEWS.COM

Hamlin’s charity initially had a goal of $2,500 in donations. Prior to kickoff of Monday night’s game, the GoFundMe page donations had not surpassed $3,000. 

But, in the hours following Hamlin’s scary situation, millions of dollars poured in supporting the charity.

BENGALS’ OWNER RELEASES STATEMENT ON DAMAR HAMLIN, THANKFUL FOR ‘LOVE AND COMPASSION SHOWN BY ALL’

An Instagram video was recently posted about Hamlin’s third annual drive in his hometown of McKees Rocks, Pennsylvania.

Brady added to that total by giving $10,000 to Hamlin’s cause. He also shared a message of support for Hamlin Tuesday morning.

“We’re praying for Damar and his family this morning in Tampa. Moments like this put into perspective what it means to play this game we love. Thankful for our communities in Cincinnati and Buffalo for the overwhelming level of care and support I know they’ll continue to provide,” Brady wrote on Twitter.

Several other current and former players across the NFL donated at least $1,000, including Andy Dalton, Devin McCourty, George Kittle, Christian McCaffrey, Marcus Jones, Myles Bryant, Andrew Whitworth, Lawrence Guy, Brian Hoyer, Lloyd Cushenberry and Trey Lance, according to CBS Sports.

BENGALS’ TEE HIGGINS OFFERS SUPPORT TO DAMAR HAMLIN AFTER BILLS PLAYER’S TERRIFYING INCIDENT

Overall, around 170,000 people have made donations to the toy drive.

GoFundMe shared the information to Hamlin’s fundraiser after the game was postponed.

“As I embark on my journey to the NFL, I will never forget where I come from and I am committed to using my platform to positively impact the community that raised me,” Hamlin wrote on the GoFundMe Page. “I created The Chasing M’s Foundation as a vehicle that will allow me to deliver that impact, and the first program is the 2020 Community Toy Drive.”

Some fans left the stadium and went to the University of Cincinnati Medical Center, where Hamlin is being treated, and held a vigil.

Hamlin collapsed after tackling Bengals wide receiver Tee Higgins with less than six minutes remaining in the first quarter Monday. Medical personnel on the field administered CPR and used an AED to get his heart beating again.

The game was temporarily suspended before it was then postponed. The league announced Tuesday the “game will not be resumed this week.”

Hamlin is in his second year with the Bills after he was selected by the team in the sixth round of the 2021 NFL Draft. 

 

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Ford F-Series Hangs On To Title Of America’s Best Seller In 2022 For The 41st Consecutive Year

Carscoops 

Ford reported today that the F-Series has retained the title of America’s best-selling pickup truck for the 46th year in a row. That title did not, however, come with a sales record for the vehicle, as deliveries were down 12 percent in 2022.

The blue oval said on Tuesday that it sold a total of 640,000 trucks in 2022, which, in addition to making it the best-selling truck in America for the 46th year in a row, made it the best-selling vehicle in the country for the 41st consecutive year.

“The Ford truck team’s ability to anticipate customer needs, continuously innovate, and provide best-in-class levels of capability and performance has helped make F-Series the sales leader time and time again,” said Kumar Galhotra, president, Ford Blue. “We’re honored and humbled that our customers have helped us achieve this milestone for more than four decades.”

Read: Ford’s New Super Duty Is A Huge Hit, Averaging Over 10k Orders Per Day

Although Ford sold one F-Series truck every 49 seconds last year, it sold more vehicles in 2021. That year, the automaker reported sales of 726,004, about 86,000 more than it did in 2022. That figure, meanwhile, was already down by 7.8 percent as compared to 2020 when it sold 787,400 pickups. Before the pandemic, meanwhile, the brand was selling close to 900,000 F-Series trucks per year, reports CNBC.

Analysts report that a portion of the shortfall is down to tight supply lines. These have dogged Ford, which has struggled to keep production rolling at its plants through the pandemic, though it attempted to minimize those delays by partially building trucks as they awaited semiconductor chips.

Regardless, Ford writes that it sold so many F-Series trucks in 2022 that if they were lined up end-to-end, they would stretch for more than 2,400 miles (3,862 km), farther than the distance from Los Angeles to Detroit.

Ford is expected to report its total year-end sales figures later this week. While sales reporting from its competitors is likely to confirm that Ford has sold more trucks than either Chevrolet or GMC, taken together, the GM brands are likely to have been purchased more times than the F-Series in 2022.

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Texas man accused of killing wife, a former domestic violence prosecutor, on New Year’s Day

Latest & Breaking News on Fox News 

The husband of a former Texas domestic violence prosecutor has been charged with killing her on New Year’s Day. 

Jeffrey McLaughlin, 58, allegedly killed Venisa McLaughlin and faces a first-degree murder charge, Fox Dallas reported. 

Authorities have not disclosed details of the killing. 

“We are still actively investigating this call,” Hood County Sheriff Roger Deeds told Hood County News. 

TEXAS GRANDFATHER ACCUSED OF CAPITAL MURDER IN STABBING DEATH OF 8-YEAR-OLD GRANDSON

McLaughlin worked in the Hood County District Attorney’s Office from 2017 until April of last year, according to her LinkedIn page. Hood County Attorney Matt Mills told the newspaper that Venisa McLaughlin worked in his office as an assistant county attorney handling protective order cases and mental commitments, among other duties.

“She served our office for over five years, and she helped us through some trying times at the start of my first term,” Mills wrote on his Facebook page. “She also helped tremendously in my re-election campaign in 2020. Our prayers are with her two daughters and the rest of her family.”

He said she left his office in April “on friendly terms.”

“This is a really big loss for our office, even though she (no longer worked there),” he stated in a text message to the news outlet. 

In May, Venisa McLaughlin wrote on Facebook that her daughter had become a lawyer. 

“The apple doesn’t fall far from the tree. We now have two lawyers in the family!” she posted. “So, so proud of my girl!!”

Jeffrey McLaughlin is being held in the Hood County jail. No bond information was posted on the website, but Rogers told the news outlet his bail was set at $250,000 bond. 

 

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Elon Musk throws out Twitter’s political advertising ban in a quest for revenue to save his floundering social media company

Business Insider 

Twitter owner Elon Musk

Elon Musk is lifting Twitter’s ban on political ads.
This ban was first put in place by Twitter co-founder Jack Dorsey.
Twitter is struggling financially, Musk has said. Billions are spent on political ads each year. 

Political advertising is returning to Twitter after a three-year hiatus.

Twitter will be “expanding” the amount of political advertising allowed on the platform and “relaxing” current rules around all “cause-based” advertising, the site’s safety department said on Tuesday. Political ads in their entirety have been prohibited on Twitter since 2019.

“Moving forward, we will align our advertising policy with that of TV and other media outlets,” Twitter Safety wrote on its Twitter account. TV advertising falls under the oversight of the Federal Communications Commission, which does not fact check any form of advertising, political or otherwise.

Previous Twitter CEO and co-founder Jack Dorsey took a hard line to banning political ads, saying a “political message reach should be earned, not bought” and that the rise of political advertising online and the practice of microtargeting was creating “significant ramifications that today’s democratic infrastructure may not be prepared to handle.” These policies, which he put in place, are still available on its business website.

As a result of Dorsey’s policies, cause-based ads, like those promoting a specific action toward a predetermined outcome, have been limited on Twitter. Targeting an audience based on zip code, for instance, is currently not allowed, and groups that want to run cause-based ads need to commit to certain criteria. 

Since Elon Musk took over Twitter at the end of October, the company’s finances have deteriorated as brands and advertisers fled. Its business is based almost entirely on advertising, but under Musk’s chaotic reign, he let go 70% of Twitter’s staff, including most of the people responsible for monitoring the kind of user content ads appeared next to.

Musk has also continued to make controversial and political statements, leaving advertisers in no hurry to return. Now, the billionaire is looking for any way he can to cut costs and drive revenue. He’s compared the company to “a plane headed towards the ground.”

Political advertisers spend many billions of dollars a year. In 2022, digital advertising for all political campaigns in the U.S. exceeded $3 billion in the U.S., according to Insider Intelligence. More than $1.5 billion was spent in 2020, a presidential election year, mostly on digital ads and TV.

Are you a Twitter employee or someone else with insight to share? Contact Kali Hays at [email protected], on secure messaging app Signal at 949-280-0267, or through Twitter DM at @hayskali. Reach out using a non-work device.

Read the original article on Business Insider

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