After it set the terms of its ipo. According to the filing, the maker of snapchat is offering 200 million shares for 14 to 16 each. At the top end of the range, snap would have a market value of 18. 5 billion. That means the snap cofounders evan spiegel and bobby murphy could each take him a check for as much as 256 million. We spoke with David Kirkpatrick and bloomberg tv editor at large cory johnson for more. Cory what becomes of this, i dont know. I mean it is certainly a high valuation. On the positive side, they have got some big Growth Numbers on a yearoveryear basis. We all know these story of who they are reaching and how hard those consumers are to reach, and how valuable they are to advertisers. But this is an extraordinarily high price for any company of any kind with any kind of growth metrics, but for one that has negative gross margins, with growth is slowing so much, where there are Big Questions raised, this roadshow will be an interesting one because theres excitement
Good wednesday morning. Welcome to squawk alley. Jon fortt, sara eisen and me at post 9. Markets once again chasing some record highs, eight straight gains now for the dow, which, of course, hit a record intraday high earlier this morning. Thats a 13 jump for the industrials since the election. Joining us this morning, paul christopher, head of Global Market strategy at wells fargo investment institute. Paul, its good to have you today. Thank you. As the debate goes on about how much of this is fundamentals versus political expectations. You think its the economy at work here, dont you . Yeah, we do. We have a lot of clients, though, investors who think that, well, gee, if this is really all just about policy, then this rally is riding on thin air. We dont think thats necessarily the case. The economy started to improve long before the elections, just started getting noticed on november 9th. We got the s p now above the average yearend strategist target of 2,364, or just about there, b
Meg is starting us off with the late sgles bristolmyers has been seen as vulnerable to potential activism of even takeover. You basically pinpoint the day this started if you look at it stock price over the last year. Look back to august. It had Clinical Trial results around august 5th that were very disappointing to the street on big lung cancer drug that investors saw as putting it as a slight disadvantage to competitor merck in the space. So carl icahn reportedly taking this stake, reported by the wall street journal yesterday. And Jana Partners wrung so new directors out of bristolmyers yesterday and 2 billion buyback. Icahn apparently think that bristolmyers is business and pipeline make it a good potential takeover targetnd in addition to opt divo it has several multibillion drugs as well as Rheumatoid Arthritis drug. A lot of people raising eyebrows about this takeover because it would be a gigantic deal. Bristol has market cap of 90 billion. Any premium would put it above 100 b
Obamas proposals. I think in seven, eight years, it got one vote. The bottom line is i increase the the, i appreciate continue crease in military spending but youre undercutting the war. Then there is Division Within the Republican Party about how to replace the repeal and replace after a draft leaked out. And there were some responses not everyone agreed with. Of course, the back drop is the president attempting to set the table many front of the joint session of gong what his administration will do. About what the next four years will look like. Heres what we can expect. A very large focus on the economy. What has already been done and what is still to come under what the president has called his America First policy. And then expect immigration to figure prominently on the portion of the speech about national security. It is still unclear whether his talk on immigration will be about a more hard line stance like his administration has previously taken and whether we would see a new
Investors scramble for snapchat, in the biggest Tech Flotation since twitter. But is the app a Cash Cow Orjust a craze . Plus, coming up on netflix the boss tells us his plans for the Internet Tv Giant as it heads towards 100 million users. Welcome to World Business report. Im sally bundock. Also in the programme up up and away the us markets blast through previous record highs, the global rally is continuing in asia. Details in a moment. We start on wall street where investors are gearing up for what could be the biggest and certainly the most hyped Technology Flotation since twitter in back 2013 or even facebook the year before. In a few hours time shares in snap the owner of photo messaging app Snapchat Will Begin Trading on the new york stock exchange. The big question will it end up a Stock Market Giant like facebook or, like twitter, a bit of a flop . Heres what we know so far the flotation has been hugely oversubscribed there were as many as ten orders for every share. Thats all