Tag Archives: Innovation

India`s Prime Minister Narendra Modi is doing something right and they can surpass China very soon

Theresa May is negotiating with the European Union and investors are concerned about a hard landing on these Brexit deals. It`s difficult to know exactly the outcome of the Brexit deal but what we do know is that the British economy grew 1,7% YoY in the second quarter of 2017.

Not so much compared to Chinas 6,9% growth, which is the best G20 country followed by India at 5,7%. Britains economy fell from 2,0% to 1,7% and that is the opposite direction of India`s growth. Can India grow by a greater margin than China this year?

 

 

According to IMF, Indias economy will grow by a greater margin than China in 2017. Not only that. Indias innovation growth rate is expected to rise significantly over the next 15 years, placing it ahead of Russia and close to surpassing China, according to a new report.

China is the leading nation in terms of innovation among BRICS countries, but India`s Prime Minister Narendra Modi must be doing something right. India is set to see a surge in innovation and could surpass China by the end of the next decade.

According to Chinas Science Technology Exchange Center, Indias innovation growth rate is expected to rise significantly over the next 15 years, placing it ahead of Russia.

India`s economy is expected to grow by 7,2% in 2017, according to IMF. A new study highlights the growth that can be expected in intellectual advances, such as science and technology, which are often perceived as indicators of future growth.

It`s BRICS Innovation Competitiveness Report 2017 predicted that the innovation competitiveness of India would see a significant rise with its growth rate probably surpassing China between 2025 – 2030.

What is India`s Prime Minister Narendra Modi actually doing right? He has been taking notable steps forward in innovation, supported by a reform agenda.

Government schemes such as Digital India, which expands the countrys online infrastructure, and StartUp India, which promotes financial backing for entrepreneurs, have been unveiled to boost the countrys innovation and technology sectors.

India`s growing information technology and scientific expertise have also helped turn it into an increasingly dominant outsourcing hub.

So far, China is still the leader in terms of innovation competitiveness among BRICS nations, followed by Russia, South Africa, Brazil and India.

Europe is struggling to follow. Ireland is the best country with its 6,10% growth, followed by Romania with 5,9% growth and Estonia with 5,7% growth YoY.

At the bottom in Europe we find Norway with only 0,20% growth, Macedonia by its 0% and at the very bottom Liechtenstein with negative -1,9% growth.

Monaco, Liechtenstein and Luxemburg are the richest countries in the world measured by GDP per capita.

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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Stocks that beats the estimates

Facebook (FB) beats the estimates by $0,10. Q1 EPS came in at $0,34. Revenue of $2,5B, beats the estimates by $160M. The stock slid -2,65% yesterday, but will open up about 5% later on today. Facebook stock trades at about 100 times earnings.

They still succeed on mobile advertising. 0% of their revenue came from mobile in Q1 of 2012. Now, mobile ad revenue accounts for 59% of Facebook`s total ad revenue. That is a big surprise for many investors.

facebook logo

Facebook is growing fast and the trend seems to continue. They have a growing base of monthly and daily active users. They have higher quality ad products, new ad products and the marketers spend more on their ads. Ad revenue growth in Q1, 2014 is 82%.

Facebook have so far been the king of social media but its crown has started to slip. The biggest thing for Facebook right now is mobile. The big question for me is what the acquisition of the instant messaging service, WhatsApp, will give them in return? It remains to be seen.

Apple

Apple Inc (AAPL) slid yesterday, trading down -1,31% to $524,75, but the stock will open up about 7% later on today. The stock is down -6,5% so far in 2014. Mr Tim Cook crushed expectations in the quarter.

Apple Inc earned $11,62 compared to consensus of $10,21. They generated $45,65 billion in sales. It is not a surprise to see the stock pop up today! Iphone sales are very strong at 43,7 million units. It was expected to see a sale of about 38,5 million phones.

We can confirm that the relationship with China mobile (CHL) is a success. Mac sales were also solid at 4,1 million, but iPad is disappointing with a sale of 16,35 million compared to the expectations of 19,8 million.

I think that the iPhone launch in Chine will power growth in coming quarters. All this thanks to the big and fat company in China called China Mobile, which have over 700 million active smart phone users. China dominates the digital world and are a hotbed of crazy innovation!

Apple Inc added $30 billion to its buyback, upped its divided 8% and announced a 7 for 1 split in the stock. That is very unusual nowadays. At 9x earnings, Apple shares are attractive at current levels.

Apple has bought 24 different companies in the last 18 months, but they will wait to lauch any new products, and will likely have to wait until the second half of the year for product launches. These results make it clear Apple is in a position of strength and sky is not falling.

This is good news for investors concerned about the slow growth in Apple. Some investors are worried that Apple has lost its innovative edge under CEO Tim Cook. What I am looking for is a mobile payment solution. Come on Apple!

I know you have 800 million iTunes accounts. Will credit cards linked to them be leveraged for a payment service in the near future? Think different and be innovative. This is the way to make more growth and happy investors.

Microsoft (MSFT) is also down. Slid -0,75% yesterday. It`s understandable to see Facebook grow like they do, because they are young and fresh. But what about Microsoft and Apple? They are big and fat and slow.

They have been strong rivals for many years and they both have a turbulent history. Take a look at their growth. The seven last quarters, the growth has stopped at the most fundamental level. How are they going to grow in the future? Are we in a tech bubble?

Reports today:
08:30 a.m EST Core Durable Goods Orders m/m
08:30 a.m EST Unemployment Claims
08:30 a.m EST Durable Goods Orders m/m

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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