Lockheed Martin becomes the latest victim to be scolded by President-elect Trump on Twitter. Trump criticized the company for “out of control” costs, causing its shares to fall 2.47 percent. Join more than 7,000 voices in Sentifi financial crowd to discuss the prospects of the unfortunate military jet manufacturer.
Lockheed Martin: Loses $4 billion in stock value thanks to Donald Trump
The F-35 program and cost is out of control. Billions of dollars can and will be saved on military (and other) purchases after January 20th.
— Donald J. Trump (@realDonaldTrump) December 12, 2016
That single tweet effectively wiped out $4 billion from the company’s value, averaging out to about $28.6 million per character. The Lockheed-Martin F-35 jet fighter is the most expensive military hardware program in the history, with each jet costing $100 million. The production of the jets is expected to quadruple during Trump’s administration. The company has defended the program in the past, citing that it has created more than 146,000 direct and indirect U.S. jobs.
SoftBank Tech Corp.: Apple plans to invest in SoftBank Technology Fund
Japanese internet and telecommunications giant SoftBank is raising a $100 billion fund to invest in disruptive technology, and Apple has reportedly held talks about investing in that fund. The investment could be as much as $1 billion, and Apple hopes to gain insight on emerging technologies. Analysts see this move to represent a shift in Apple’s investment strategy, which so far has been buying small stakes in young technology companies.
CBS Corporation: Merger talks with Viacom Inc. collapse
Viacom’s Shari Redstone has withdrawn her proposed merger of CBS and Viacom, causing Viacom shares to drop 9.4 percent and CBS stock to fall 0.6 percent. CBS is reported pursuing other potential media deals, including Sony Pictures Entertainment.
Lonza: Is in talks to cquire Capsugel
Swiss pharmaceutical manufacturer Lonza confirmed that it is in advanced talks to acquire U.S. maker of capsule products and other drug delivery systems Capsugel. It’s reported that the deal could be worth up to $5 billion. The Swiss company is hoping to boost its life sciences capabilities and produce a wider range of molecules.
Achaogen Inc.: Shares surge on positive drug test results
Positive results from a late-stage trail of its lead product candidate have sent its shares upward. The company announced that its lead product candidate met the objective and guidelines of the U.S. Food and Drug Administration and the European Medicines Agency.
Ophthotech Corp.: Shares collapse following disappointing drug test results
Two latest phase 3 clinical trials yielded unwanted results for the company, which came as bad news for the company’s investors. CEO David Guyer said the company plans to analyze the data from the trials to comprehend the results better.
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