Dish Network Taps Debt Market To Raise $1.25B For Broadcast Unit

DISH Network (DISH) plans to raise $1.25 billion in a debt offering through its broadcast division DISH DBS Corporation. Dish primarily operates a satellite pay-TV service, but also entered the Read More... The post Dish Network Taps Debt Market To Raise $1.25B For Broadcast Unit appeared first on TipRanks Financial Blog.

Dish Network Taps Debt Market To Raise $1.25B For Broadcast Unit

DISH Network () plans to raise $1.25 billion in a debt offering through its broadcast division DISH DBS Corporation. Dish primarily operates a satellite pay-TV service, but also entered the wireless business last year, when it acquired Boost Mobile.

In a recent winning move, Amazon () chose Dish to provide infrastructure for its cloud-based 5G network. 

The debt offering will be subject to market conditions and will involve the sale of senior notes. Dish will sell the notes only to qualified institutional investors, the company said in a press release. More details on Dish’s debt offering plan are expected as the company hasn’t yet revealed the notes’ maturities.

Dish’s broadcast subsidiary intends to use the money from the debt offering to fund general corporate needs, including repayment of some of its existing debts.

The tapping of the debt market now comes at a time when borrowing is cheap because of low interest rates. Companies can borrow cheaply now to replace expensive debts taken earlier.

Notably, the debt offering plan follows a strong first-quarter performance. Profit and revenue jumped from a year ago despite Dish's loss of pay-TV and wireless subscribers. The company reported revenue totaling $4.50 billion for the quarter ending March 31, 2021, compared to $3.22 billion for the corresponding period in 2020. ()

On the back of Dish’s strong Q1 earnings results, Pivotal Research analyst reiterated a Hold rating but lifted the price target on the stock to $50 from $34. Wlodarczak’s new price target indicates 7.62% upside potential to the current price. 

The analyst noted that discussions by Dish management about the company’s wireless efforts are encouraging, supporting the price upgrade. However, he maintained the Hold rating is preserved due to two factors. For one, the stock has already had a substantial run. Additionally, launches of new products are likely to be hit by delays.

Consensus among analysts on Wall Street is a Moderate Buy based on 3 Buy, 4 Hold, and 1 Sell ratings. The average analyst implies 0.90% upside potential to current levels.

DISH scores a 9 out of 10 on TipRanks’ rating system, indicating the stock is likely to outperform the market.

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The post Dish Network Taps Debt Market To Raise $1.25B For Broadcast Unit appeared first on TipRanks Financial Blog.

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Luminar Partners With Toyota’s Pony.ai To Enhance Safe Autonomous Driving

Luminar Technologies (LAZR) and Toyota (TM) backed self-driving tech firm Pony.ai are joining forces to enhance safe autonomous driving in complex environments. By teaming up with a global leader in Read More... The post Luminar Partners With Toyota’s Pony.ai To Enhance Safe Autonomous Driving appeared first on TipRanks Financial Blog.

Luminar Partners With Toyota’s Pony.ai To Enhance Safe Autonomous Driving

Luminar Technologies () and Toyota () backed self-driving tech firm Pony.ai are joining forces to enhance safe autonomous driving in complex environments. By teaming up with a global leader in lidar hardware and software technology solutions, Pony.ai hopes to accelerate the development of autonomous driving technology.

Pony.ai plans to use lidars made by Luminar in its robotaxis. Lidars, which are a key component in many autonomous vehicles, are laser-based sensors that perceive the surrounding environment as the car maneuvers through the streets. Pony.ai plans to use lidars made by Luminar in its robotaxis.

Pony.ai has already provided more than 220,000 robotaxi rides. The company currently offers its services in Guangzhou, Shanghai, and Beijing in China, as well as in Irvine and Freemont, California.

Pony.ai has also confirmed plans to deploy autonomous fleets across the globe, starting in 2023. The autonomous fleet will come integrated with a Luminar lidar and a slim profile, with the sensors protruding only 10 cm. off the car roof. Last year, Toyota invested $400 million in Pony.ai to accelerate the development of its autonomous driving technology. (See Luminar stock analysis on TipRanks)

“Luminar is in a league of their own when it comes to lidar and shares our belief that delivering autonomous mobility globally will enable a safe and sustainable future. We’re excited to realize that vision together with them,” said Pony.ai CEO James Peng.

In March, Northland Capital market analyst upgraded Luminar to a Buy from a Hold. The upgrade came on the back of the company unveiling a stack of software solutions as part of its strategic partnership with Zenseact.

“Zenseact is supplying Volvo and Luminar will be the supplier for other auto OEMs. We believe this enhances the value of LAZR as most OEMs do not have the wherewithal to develop a full-stack software capability for hands-free highways,” said Richard.

Richard has a $38 price target on the stock, implying 91.34% upside potential to current levels.

Consensus among analysts on Wall Street is a Moderate Buy based on 2 Buy and 3 Hold ratings. The average analyst implies 43% upside potential to current levels.

LAZR scores a 7 out of 10 on TipRanks’ rating system, suggesting it is well-positioned to outperform market expectations.

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The post Luminar Partners With Toyota’s Pony.ai To Enhance Safe Autonomous Driving appeared first on TipRanks Financial Blog.

Source : Tip Ranks More   

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