International
Sony Stock Forecast: Is It a Buy?
Sony Group reported earnings on May 10. Let’s break down how it did and discuss whether Sony stock is worth buying.
The post Sony Stock Forecast: Is…

Sony Group (NYSE: SONY) is a Japanese company that is most well-known for the electronics that it produces. In addition to electronics, Sony also operates Sony Music and Sony Pictures. Notably, Sony Pictures owns Columbia Pictures, Screen Gems, TriStar Pictures and a handful of other major studies. It reported earnings on May 10. Let’s break down how it did and discuss whether Sony stock is worth buying.
Sony Group Corp
What does Sony do? Sony is one of the leaders in audio and video electronics as well as information technology products. It is known for its popular Play Station gaming consoles. Additionally, Sony owns a major music business as well as several leading movie studios. Its North American headquarters are based in San Diego, California.
Recent Announcements:
- Reported FY 2021 earnings: Sony’s fiscal year ended on March 21, 2022. The results are below.
- Announced a $1.5 billion stock buyback.
- Announced that it will non mimic Xbox’s Game Pass subscription service: Sony already offers a subscription service but does not allow access to AAA games at launch. Sony execs also questioned how profitable the Xbox Game Pass is for Microsoft. Microsoft does not disclose the specifics of this program in its reports.
Sony Stock Forecast
Sony reported total FY2021 sales of 9,921.5 billion Yen, which was up 10% year-over-year (YOY). It also reported income before taxes of 1,117.5 billion Yen, which was up 12% YOY. Total earnings per share was 0.77, which was just below investor expectations of 0.82.
Sony attributed its increase in sales to its Sony Pictures and Electronic Products & Solutions divisions. In particular, Sony also raised guidance for PlayStation 5 console sales. It now expects to sell a total of 18 million PlayStation 5s during this fiscal year. Notably, rival Nintendo expects a 9% decline in Nintendo Switch sales.
So far in 2022, Sony stock is down 36%. However, it’s important to remember that we are in the midst of a fairly widespread bear market. Almost all stocks are down so far this year. Over the past five years, Sony stock is still up over 125%.
Is Sony Stock A Buy? Potential Upsides
With all things considered, this past earnings report was not too bad for Sony at all. The stock rose about 2% on the report but immediately sank back down over the next few days. This is most likely due to the macroeconomic environment that we are in.
There is so much uncertainty in the world right now. For example, COVID-19 and the Russia/Ukraine conflict are still ongoing. There is also rampant inflation and the threat that the Federal Reserve will continue to raise interest rates. For these reasons, most stocks are getting crushed regardless of how their business is going.
Despite these risk factors, there is a lot going right for Sony. In particular, projected sales of PlayStation 5 are through the roof. It expects to sell 18 million units, despite all of the global turmoil. Considering the current global chip shortage, this is great news for Sony. It could also mean that the chip shortage is no longer a threat to Sony’s business.
Also, don’t forget that Sony is in the process of buying Bungie for $3.6 billion. Bungie is the maker of the popular franchises Halo and Destiny for $3.6 billion. This move will allow Sony stock to stay competitive with Microsoft amidst the industry consolidation that’s going on. Finally, there’s the success of Sony’s film division.
Spider-Man: No Way Home
The success of Spider-Man: No Way Home has flown a little bit under the radar. The latest rendition of Peter Parker is currently the sixth highest-grossing movie ever (globally). It is also the 3rd highest-grossing movie in the U.S. behind Star Wars: The Force Awakens and Avengers: Endgame. Notably, Spider-Man dethroned Avatar which has been at the top of the list for quite some time.
It’s not uncommon to see a superhero movie perform so well. It’s just wild that this success happened in the middle of a global pandemic. On top of that, this series also ended by setting up Spider-Man for more stand-alone and crossover films. This means that Spider-Man should continue to be a huge moneymaker for Sony.
Potential Downsides
The biggest risk of buying Sony stock right now is mainly all macro-related. Because Sony is such a globalized company, COVID-19 still presents a very serious risk. This is because Sony produces most of its products in Asian countries, where the threat of COVID-19 is still high.
On top of that, inflation is higher than it has been in decades. This reduces consumers’ purchasing power which could lead to decreased demand for Sony products. In other words, people are less likely to splurge on a new PlayStation if they are struggling to meet their bills. In fact, Sony’s CFO, Philip Rowley, addressed this directly on its earnings call.
Rowley stated: “With the situation in Ukraine and Russia and slowdown of the global economy resulting from rapid inflation, we expect the demand environment this fiscal year to be even more severe than recent years.”
This isn’t necessarily to say that buying Sony stock is a bad idea. As stated previously, the company still has a lot going for it. However, Sony stock could still get killed over the coming months for reasons totally outside of its control. For this reason, it might be best to wait a little while before making any major investment decisions.
I hope you’ve found this article on Sony stock valuable! Please remember that I’m not a financial advisor and am just offering my own research and commentary. As usual, please base all investment decisions on your own due diligence.
The post Sony Stock Forecast: Is It a Buy? appeared first on Investment U.
stocks pandemic covid-19 federal reserve interest rates russia ukraineInternational
US Sent Billions in Funding to China, Russia For Cat Experiments, Wuhan Lab Research: Ernst
US Sent Billions in Funding to China, Russia For Cat Experiments, Wuhan Lab Research: Ernst
Authored by Mark Tapscott via The Epoch Times…

Authored by Mark Tapscott via The Epoch Times (emphasis ours),
Hundreds of millions of U.S. tax dollars went to recipients in China and Russia in recent years without being properly tracked by the federal government, including a grant that enabled a state-run Russian lab to test cats on treadmills, according to Sen. Joni Ernst (R-Iowa).
Ernst and her staff investigators, working with auditors at the Government Accountability Office (GAO) and the Congressional Research Service, as well as two nonprofit Washington watchdogs—Open The Books (OTB) and the White Coat Waste Project (WCWP)—discovered dozens of other grants that weren’t counted on the federal government’s USASpending.gov internet database.
While the total value of the uncounted grants found by the Ernst team is $1.3 billion, that amount is just the tip of the iceberg, the GAO reported.
Among the newly discovered grants is $4.2 million to China’s infamous Wuhan Institute of Virology (WIV) “to conduct dangerous experiments on bat coronaviruses and transgenic mice,” according to a May 31 Ernst statement provided to The Epoch Times.
The $4.2 million exposed by Ernst is in addition to previously reported funding to the WIV for extensive gain-of-function research by Chinese scientists, much of it funded in whole or part prior to the COVID-19 pandemic by National Institutes for Health (NIH) grants channeled through the EcoHealth Alliance medical research nonprofit.
The NIH has awarded seven grants totaling more than $4.1 million to EcoHealth to study various aspects of SARS, MERS, and other coronavirus diseases.
Buying Chinese Puppy Parts
As part of another U.S.-funded grant, hearts and other organs from 425 dogs in China were purchased for medical research.
“These countryside dogs in China are part of the farmer’s household; they were mainly used for guarding. Their diet includes boiled rice, discarded raw food animal tissues, and whatever dogs can forage. These dogs were sold for food,” an NIH study uncovered by the Ernst researchers reads.
Other previously unreported grants exposed by the Ernst team include $1.6 million to Chinese companies from the federal government’s National School Lunch Program and $4.7 million for health insurance from a Russian company that was sanctioned by the United States in 2022 as a result of the invasion of Ukraine.
“It’s gravely concerning that Washington’s reckless spending has reached the point where nobody really knows where all tax dollars are going,” Ernst separately told The Epoch Times. “But I have the receipts, and I’m shining a light on this, so bureaucrats can no longer cover up their tracks, and taxpayers can know exactly what their hard-earned dollars are funding.”
The problem is that federal officials don’t rigorously track sub-awards made by initial grant recipients, according to the Iowa Republican. Such sub-awards are covered by a multitude of federal regulations that stipulate many conditions to ensure that the tax dollars are appropriately spent.
The GAO said in an April report that “limitations in sub-award data is a government-wide issue and not unique to U.S. funding to entities in China.”
“GAO is currently examining the state of federal government-wide sub-award data as part of a separate review,” the report reads.

The Eco-Health sub-awards to WIV illustrate the problem.
“Despite being required by law to make these receipts available to the public on the USAspending.gov website, EcoHealth tried to cover its tracks by intentionally not disclosing the amounts of taxpayer money being paid to WIV, which went unnoticed for years,” Ernst said in the statement.
“I was able to determine that more than $490 million of taxpayer money was paid to organizations in China [in] the last five years. That’s ten times more than GAO’s estimate! Over $870 million was paid to entities in Russia during the same period!
“Together that adds up to more than $1.3 billion paid to our adversaries. But again, these numbers still do not represent the total dollar amounts paid to institutions in China or Russia since those numbers are not tracked and the information that is being collected is incomplete.”
Adam Andrzejewski, founder and chairman of OTB, told The Epoch Times, “When following the money at the state and local level, the real corruption exists in the subcontractor payments. At the federal level, the existing system doesn’t even track many of those recipients.
“Without better reporting, agencies and appropriators don’t truly understand how tax dollars were used. We now know that taxpayer dollars are traded further downstream than originally realized with third- and fourth-tier recipients. These transactions need scrutiny. Requiring recipients to account for where and how they actually spend each dollar creates a record far better than agencies are capable of generating.”
Read more here...
International
COVID-19 Testing Resumes In Beijing, Shandong, As Reinfection Cases Surge
COVID-19 Testing Resumes In Beijing, Shandong, As Reinfection Cases Surge
Authored by Alex Wu via The Epoch Times,
China has resumed COVID-19…

Authored by Alex Wu via The Epoch Times,
China has resumed COVID-19 PCR testing in Beijing and Shandong Province amid rising re-infections, while the regime’s top health advisers have warned of a new wave of mass infections.
Since May 29, mainland netizens have posted on Chinese social media platforms that PCR test kiosks in Beijing are quietly back in business.
Mainland media “City Interactive,” a subsidiary of Zhejiang “City Express,” reported on May 30 that one of the PCR testing booths that netizens posted about was in Beijing’s Xicheng District, where the central government and the Beijing municipal government are located.
The staff of that testing kiosk said that the PCR test there has never stopped, reported “City Interactive”, without being clear how long it had been open.
“We have been doing nucleic acid testing in Xicheng District, but I’m not sure about other districts in Beijing,” a staff member said.
The staff member said the laboratory she works for is mainly responsible for nucleic acid testing within Xicheng District. Currently, there are more than ten testing points outdoors, and one person is on duty for each booth from 9:00 am to 5:00 pm.
Residents get swabbed during mass COVID-19 testing in the Chaoyang District in Beijing on June 14, 2022. (Andy Wong/AP Photo)
A testing kiosk in Chaoyang District, Beijing’s central business district, has been operating since March, reported “City Interactive.” The testing booth staff said it is in the health center near Jinsong Middle Street.
Ms. Wang, a Beijing resident, told The Epoch Times on May 28 that some people have taken the PRC test while others have chosen not to.
She said many people around her, including her child, have already re-infected twice.
“This time, the symptoms seem to include a high fever and then sore throat, very painful,” she said.
“Most people are just resting at home now. Seeing a doctor is very expensive, and now many medicines are paid for by ourselves.”
Gao Yu, a former senior media person in Beijing, confirmed what Wang said. She told The Epoch Times that the relatives around her have been re-infected two or three times, and most are just resting it off at home.
Shandong Resumes Testing
PCR testing booths in Qingdao City, Shandong Province, have also reopened.
A “Peninsula Metropolis Daily” report included a screenshot of an online notice posted by the Laoshan District Health Bureau in Qingdao, which announced that from May 29, the district will conduct COVID-19 PCR testing for “all people who are willing.”
It also listed the working hours of the testing sites, from 7:00 am to 4:00 pm, seven days a week.
Another mainland Chinese media, “Xinmin Evening News,” reported on May 31 that the staff in the district bureau confirmed that the testing has resumed and is for free.
Next Wave
Zhong Nanshan, China’s top respiratory disease specialist, predicted on May 22 that a new wave of COVID-19 infections in China will likely peak in late June when weekly cases could reach 65 million. Then, one Omicron-infected patient will be able to infect more than 30 people, Zhong said, adding that the infection is difficult to prevent.
A security personnel in a protective suit keeps watch as medical workers attend to patients at the fever department of Tongji Hospital, a major facility for COVID-19 patients in Wuhan, Hubei Province, China, Jan. 1, 2023. (Staff/Reuters)
Chinese citizens across the country have said on social media that infections have been swelling since March.
Zhong also said there had been a small peak in infections at the end of April and early May.
Most COVID-19 infections in mainland China are currently caused by the XBB series mutant strains of Omicron. Among the locally transmitted cases, the percentage of XBB series variants increased to 83.6 percent in early May from 0.2 percent in February.
Zhang Wenhong, China’s top virologist and director of China’s National Center for Infectious Diseases, also warned in late April at a conference that COVID-19 infections would reoccur after six months when immunity gained from prior infections has worn out.
Government
Florida ‘freakishness’: why the sunshine state might have lost its appeal
Florida’s image as a safe sun and theme park destination may be threatened by recent political divisions and gun crime.

Florida is known worldwide for its beaches, resorts and theme parks, but has recently made headlines for a different reason. The state has been rocked by political controversies, bitter debates and fatal shootings at odds with its previously laid back holiday destination image.
In his 1947 book, Inside USA, writer John Gunther described Florida’s “freakishness in everything from architecture to social behaviour unmatched in any American state”. If Gunther had been writing today, he might be just as judgemental.
Florida’s recent political turmoil can be attributed to some highly contentious policies. The state has witnessed heated debates and legislative battles on issues including abortion, gun control, education, LGBTQ+ rights and voting rights.
Florida has been derided as “the worst state” in which to live, one of the worst in which to be unemployed or a student, and not a good place to die.
Even Donald Trump, who moved to his Florida Mar-a-Lago home during his presidency, has called it “among the worst states” to live in or retire to. This was an attack on Florida governor Ron DeSantis, who is also running for the Republican presidential nomination.
What was once considered by many to be a purple state – one that could either be Republican or Democrat – is now fiercely Republican. In recent years, the divide between those of different political beliefs has become toxic.
Importance of international image
International tourism and trade is huge business for Florida. In 2022, more than 1.1 million people visited Florida from the UK, the second largest group of international visitors on an annual basis. The UK is also Florida’s eighth largest trade partner with bilateral trade reaching $5.8 billion (£4.6 billion) in 2022. So state leaders might worry about tarnishing its image abroad.
Business leaders are already fretting about a fall in international visitor numbers linked to COVID and negative media coverage of the state. Around US$50 million was invested in marketing the state to tourists in 2023, this is expected to rise dramatically in 2024. The state’s ability to attract workers to keep its tourism and other industries going is weakening, reports suggest.
Heather DiGiacomo, chief of staff at the Florida Department of Juvenile Justice, told Florida senators that applications for jobs at state-run agencies were down and staff retention was down too. “These turnover rates … impacts the number of well-trained staff available to mentor new staff and puts additional strain on current staff without longer shifts in detention.”
Republican governor Ron DeSantis, now a presidential candidate, has been at the centre of Florida’s significant political divisions. The Republican state legislature’s controversial partisan bills, such as the recent redrawing of the electoral map to benefit the Republican party, was signed into law despite intense opposition.
While his conservative policies on taxes, regulation and immigration have won strong support from conservatives, critics argue that he prioritises partisan politics over the needs of all Floridians. His outspoken handling of the COVID pandemic sparked controversy, with accusations of downplaying the severity of the virus and prioritising economic interests.
Florida’s restrictive abortion laws have also attracted national and international attention. In April 2023, the state passed the foetal heartbeat bill, which prohibits abortions once a foetal heartbeat is detected, typically at around six weeks gestation. This law has faced significant backlash from reproductive rights advocates, who argue that many individuals may not even be aware of their pregnancy at such an early stage.
School shootings and gun laws
The Marjory Stoneman Douglas High School Public Safety Act was passed into Florida state law after the tragic Parkland school shooting in 2018, in which 17 people were killed. But it was controversial because it did not place restrictions on gun ownership or introduce background checks before gun purchases, but allowed schools to employ armed “guardians”. Critics argued that it fell short of addressing the root causes of gun violence in Florida.
There were seven mass shootings in Florida in the first two months of 2023. Despite this, the state has just passed a law that will come into effect on July 1 that will allow anyone who can legally own a gun in Florida to carry one without the need for a permit.
Florida’s partisan divide has been exacerbated by the introduction and passage of several laws that discriminate against the LGBTQ+ community. These laws cover areas including adoption, education, and transgender rights.
This year a massive LGBTQ event in a Florida theme park, which typically attracts 150,000 people, is taking out extra security measures, after new “don’t say gay” state laws were introduced in 2022. These rules ban teachers from discussing topics including sexual orientation. More generally, travel advisory warnings have been issued on the risks of travel to the state for LGBTQ+, African American and Latino people. A recent federal ruling overturned municipal bans on conversion therapy.
Although the “don’t say gay” bill was originally only aimed at third grade students and under, the bill has since been extended by Florida’s Board of Education to apply to all school pupils.
DeSantis has also become embroiled in a long legal and political battle with the Walt Disney Company, a major state employer, over the “don’t say gay” legislation. Disney recently announced it was cancelling a US$1 billion office complex project in the state.
Bills that restrict transgender students’ participation in school sports teams consistent with their gender identity have also sparked heated debate.
Meanwhile, changes in voting laws brought in by the state, including stricter identification requirements and limitations on the drop boxes where voters can leave mail-in ballots, have been criticised for making it more difficult for some people to vote.
Florida’s recent political turmoil has thrust the state into the national, and global, spotlight. Its deeply partisan divide, controversial policies and gun laws have created a toxic political climate, which has the ability to significantly damage the sunshine state’s appeal.
Dafydd Townley does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
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