Benzinga

01/26/2025

In 1981, Steve Jobs expressed skepticism about the home market for personal computers. Just three years later, Apple unveiled the Macintosh, a device that not only changed computing but also set the stage for the tech giant's dominance in consumer tech.

In a 1981 interview, Jobs shared his view on why Apple deliberately avoided branding their early devices as “home computers.”

Instead, he underscored the broader utility of personal computers in fields like education, science, and business, asserting that the “home” was not yet a viable market.

He said, "We view the home not really as a market yet… There’s not enough specific applications to cost-justify spending a thousand to three thousand dollars for a personal computer to be used in the home."

At the time, he believed the home was merely a location for computing, not a dedicated market.

On January 24, 1984, Apple launched the first Macintosh for $2,495. Designed by Jef Raskin, it featured 64KB ROM, 128KB RAM, and integrated Lisa Technology in a compact 16.5-pound package. The Macintosh emphasized simplicity and user-friendliness, contrasting with more complex systems of the time. Apple’s marketing highlighted its word processing, graphics software, and innovative mouse. Despite its high price, the Macintosh sold 70,000 units by May 1984. Although discontinued within a year, it set the stage for Apple’s future computing devices. In 2024, Apple reported $7.74 billion in Mac revenue for the fiscal fourth quarter.

01/25/2025

Elon Musk has always been a headline magnet, but his 2024 financial performance was in a league of its own. His net worth soared by an astonishing $203 billion over the year, making him the first person in history to surpass a $400 billion net worth.

For a leap year like 2024, that breaks down to approximately $554.64 million a day, $23.11 million an hour or a jaw-dropping $6,420 per second. While these numbers make for great trivia, they're not reflective of an hourly wage – it's more about the rapid growth of his assets, primarily tied to Tesla and SpaceX stock.

So, what does the richest man spend his ballooning fortune on?

Spending Big on Family and Foundations
After vowing in 2020 to "own no house," Musk changed course, purchasing a $35 million estate in Austin, Texas, for his 11 children and their mothers. The 14,400-square-foot compound includes an adjacent six-bedroom mansion, ensuring his younger kids grow up together. This marks a shift from his minimalist stance, as he previously sold seven California homes for $128 million in 2022.

Politics: Musk's Quiet Power Play
In 2024, Musk became the largest political donor, contributing $277 million to various causes, including $239 million to a Trump-supporting PAC and $20 million to soften Trump's abortion stance. He also spent $40.5 million on voter petition efforts. While his camp called it an "investment in democracy," critics questioned his growing influence.

What About the Rumors?
Speculation swirled about Musk eyeing a $100 million Mar-a-Lago penthouse or buying Boeing and CNN, but these were debunked. Meanwhile, Tesla launched its Tiny House initiative, underscoring Musk’s commitment to sustainability.

What's the Real Story?
Musk's wealth surged at a staggering $554 million per day in 2024, balancing lavish spending with market dominance. His fortune isn’t just cash—it's momentum, shaping industries from space travel to politics.

01/25/2025

In a world where retirement feels increasingly like a mirage on the horizon, Larry Fink, CEO of BlackRock, calls for a hard reset on how we think about retirement.

His message? It’s time to rethink the traditional retirement age of 65 – a concept he labels “crazy” given its ancient origins and the challenges facing Social Security and retirement savings in America.

The 65-Year Retirement Age: An Outdated Relic

“No one should have to work longer than they want to,” Fink wrote in a recent letter. “But I do think it’s a bit crazy that our anchor idea for the right retirement age – 65 years old – originates from the time of the Ottoman Empire.”

This blunt critique points to a simple truth: the retirement age, established in the early 20th century, no longer fits modern realities. Back then, life expectancy was much shorter – many workers didn’t even live long enough to see their retirement benefits.

01/25/2025

Warren Buffett once asked a question that might make you double-take: "Do I really want to spend $300,000 for this haircut?" While the idea initially sounds absurd, it's not about an actual haircut. It's a vivid example of how Buffett views spending versus investing. For him, every dollar spent today represents a potential fortune lost.

This story, shared in Alice Schroeder's biography The Snowball: Warren Buffett and the Business of Life, highlights Buffett's lifelong commitment to frugality, long-term thinking and the incredible power of compound interest.

Buffett's $300,000 haircut isn't about vanity but opportunity cost. Imagine spending $30 on a haircut today. If that $30 were invested instead and compounded at a 7% annual return for 50 years, it could grow to nearly $10,000. With a higher return or longer timeline, the future value could approach $300,000. For Buffett, every dollar spent today represents the potential for significant future growth if invested wisely.

This way of thinking is central to his philosophy. He doesn't just see money as a tool for purchasing goods and services; he sees it as a seed for growing wealth. Buffett calls this long-term perspective "The Methuselah Technique," a nod to the biblical figure known for his long life. He has built one of the greatest fortunes by combining patience with successful investing.

Buffett grasped the power of compound interest at a young age. Around age 10, he read a book that explained how $1,000 earning 10% annually could grow to over $117,000 in 50 years. This insight had a profound impact on him. He understood early that wealth isn't just about earning – it's about allowing your money to work for you over time.

As Buffett once said, "Someone's sitting in the shade today because someone planted a tree a long time ago." That's the magic of compound interest: small, consistent investments can snowball into life-changing sums.

Buffett's financial philosophy is rooted in a few timeless principles:

1. Invest in Yourself: He often says the best investment you can make is in your skills and knowledge.

2. Think Long-Term: Wealth isn't built overnight – it's a game of patience.

3. Understand Opportunity Cost: Every dollar spent today is a dollar that won't grow in the future.

4. Focus on Not Losing Money: Buffett's #1 rule of investing is, "Don't lose money." Preservation of capital is essential.

5. Appreciate Compound Interest: Even small sums, given enough time, can grow into substantial wealth.

Now, does this mean you should skip every small indulgence and never get a haircut? Not necessarily. Buffett's approach to money is extreme, but the core lesson is valuable: think about the long-term impact of your financial decisions.

Instead of cutting back entirely, consider balancing spending with investing. Small, consistent contributions to a retirement account or brokerage fund can make a huge difference over time. Even if markets fluctuate, staying the course and letting time do the heavy lifting is key.

Warren Buffett's $300,000 haircut may sound absurd, but it's a smart reminder of how powerful long-term thinking can be. His ability to view every dollar through the lens of future potential has helped him build a legacy of incredible wealth. Adopting even a fraction of his mindset allows you to make better money decisions today and set yourself up for a brighter financial future.

01/25/2025

Want to be a landlord without the hassle? This Bezos-backed startup makes it possible.

With over $104 million in funded properties and Amazon Founder Jeff Bezos’s trust behind it, it’s worth taking a closer look at the disruption caused by Arrived Homes, a company that lets users buy shares of America’s top properties for as little as

01/25/2025

In a recent interview, NBA team owner Mark Cuban highlighted the differences between X and Bluesky with a preference for Bluesky due to no algorithm and the ability to truly hide and block people.

While Cuban is a fan of Bluesky, the National Football League isn't quite convinced and has told teams to pause their usage of the X rival.

Bluesky has attracted strong user growth since the 2024 presidential election as social media users look for alternatives to the Elon Musk-owned X.

A recent podcast appearance by Kraft Sports + Entertainment Vice President of Content Fred Kirsch revealed that the NFL isn't ready to take advantage of the Bluesky growth yet, as reported by Sportico.

"Right now we're not allowed to," Kirsch said of having an active team using Bluesky. "Whenever the league gives us the green light, we'll get back on Bluesky."

Kraft Sports + Entertainment is the owner of the NFL's New England Patriots.

An NFL league source told Sportico that the NFL and its teams only have official presences on platforms where the league has partnership agreements. The NFL does not currently have a deal with Bluesky.

01/25/2025

Mark Cuban is famous for straightforward financial advice, such as, "Don't use credit cards. If you use a credit card, you don't want to be rich." It's a message he's shared countless times. But even Cuban couldn't avoid his ironic run-in with a credit card – one that's become the stuff of NBA legend.

It happened in 2011, after his Dallas Mavericks clinched their first-ever NBA championship by taking down the Miami Heat. Naturally, Cuban wanted to celebrate in style. He and the team headed to LIV nightclub in Miami, where Cuban decided to treat himself to a 15-liter bottle of Armand de Brignac Champagne (aka "Ace of Spades") with a jaw-dropping price tag of $140,000.

When it came time to pay, Cuban confidently handed over his American Express Centurion Card, better known as the "Black Card." And then? Declined.

In a 2018 Fox Sports 1's Fair Game interview, Cuban laughed as he retold the story. "I had to go into the back office and call Amex," he said. "They told me, ‘Sir, this hasn't been authorized. It's a new card.'"

Always quick on his feet, Cuban explained the situation to a seemingly unimpressed customer service rep. "I asked to speak to a supervisor and said, ‘Did you see the NBA game tonight? Are you a basketball fan?'" His pitch? Classic Cuban charm. "This is Mark Cuban. We just won the championship. Can I please spend some money?"

David Grutman, the owner of LIV, remembered the chaos, too. "We were in the back because his credit card was denied," he said, shaking his head at how surreal the moment was.

Here's the thing: the Amex Centurion Card is technically not a credit card – it's a charge card. What's the difference? A charge card typically requires you to pay off the balance in full each month, unlike credit cards, which allow you to carry a balance (and rack up interest). Charge cards also don't have a preset spending limit, but that doesn't mean charges won't get flagged based on spending patterns or payment history. So, while Cuban's card might not have had a specific limit, Amex played gatekeeper that night.

The story is even funnier when considering Cuban's longtime stance on credit cards. He's spent years warning people against them, claiming, "The best place to invest is to pay off all your credit cards and burn them. " But to be fair, he also acknowledges credit cards can work – if you pay off the balance in full every month.

01/24/2025

After U.S. President Donald Trump announced the ambitious $500 billion Stargate project, its initial equity funders SoftBank Group, OpenAI, Oracle, and MGX along with its technology partners Nvidia and Microsoft have been in focus. We examine which of these U.S.-listed beneficiaries are the least expensive to own by the investors.

Oracle, Nvidia, and Microsoft are the three U.S.-listed companies that are directly involved in the Stargate project.

According to the data cumulated from Benzinga Pro, Microsoft and Oracle are valued less than two times their peers based on the forward price-to-earnings ratio. While Nvidia’s valuation is just slightly lower than its peers.

Based on the forward P/E:

- Oracle is 2.72 times less expensive than its industry average.
- Microsoft is 2.41 times cheaper as compared to its peers.
- Nvidia is just 1.08 times less expensive compared to its industry average.

Thus, Oracle is the least expensive stock to hold among the direct Stargate participants.

01/24/2025

Speaking on The Joe Rogan Experience, Zuckerberg said, "Probably in 2025, we at Meta, as well as the other companies that are basically working on this, are going to have an AI that can effectively be a sort of midlevel engineer that you have at your company that can write code."

Translation? The AI race is heating up and the days of coding as a high-paying, safe job might be numbered.

Zuckerberg painted a picture of a not-so-distant future where Meta's apps and their underlying AI would be built … by AI. Sure, it will cost Meta up front, but Zuck believes the move will pay off.

Currently, midlevel engineers at Meta earn big bucks – think mid-six figures. That kind of pay could soon be out of the question as AI takes the reins.

Zuckerberg isn't alone in this vision. Other tech giants are chasing similar goals and the implications for tech jobs are massive.

01/24/2025

Will the Stock Bounce or Crash?

01/24/2025

On Thursday, ChatGPT-parent OpenAI released a "research preview" of a new AI agent called "Operator," designed to autonomously perform web tasks.

Operator is initially available in the U.S. for subscribers of OpenAI’s $200 per month ChatGPT Pro tier.

The AI agent employs a “Computer-Using Agent” model, integrating GPT-4o’s vision capabilities with advanced reasoning through reinforcement learning, allowing it to interact with graphical user interfaces (GUIs).

Shortly after its release, a user on X, formerly Twitter, noted a limitation in Operator’s news site access, prompting Sam Altman, OpenAI’s CEO, to acknowledge the issue and promise a swift fix.

01/24/2025

Tim Sweeney, CEO of Epic Games, has reaffirmed his commitment to the ongoing legal battle against Apple and Alphabet's Google. He is prepared to extend this fight for decades if necessary.

Epic Games, backed by Tencent Holdings has been embroiled in a long-running legal fight with Apple and Google over their app store practices, which Epic argues are monopolistic.

While Epic continues to rake in billions from Fortnite and its Unreal Engine business, Sweeney indicated that his company could face financial struggles as the battle drags on.

Sweeney said, "Yeah, I think we might run into serious financial problems after a couple more decades of this. But we’re determined to fight this out," according to an IGN report.

"I expect large parts of this struggle will go on throughout the rest of this decade and we’re fully committed to going through it and investing to break through," he added.

In September 2023, Epic Games announced a major workforce reduction, laying off approximately 830 employees, which accounted for about 16% of its total staff.

Sweeney previously stated that Epic had been “spending way more money than we earn,” referring to the need for a “major structural change to our economics.”

Despite these challenges, Sweeney declared the company “financially sound” during a presentation at Unreal Fest 2024.

01/24/2025

Vitalik Buterin, co-founder of Ethereum, expressed concerns over the rise of political meme coins on Thursday, warning that they could become “vehicles for unlimited political bribery.”

In an X post, Buterin criticized the current state of the cryptocurrency industry, particularly the increasing popularity of political tokens.

“They are not just sources of fun, whose harm is at most contained to mistakes made by voluntary participants; they are vehicles for unlimited political bribery, including from foreign nation states,” the cryptocurrency mogul said.

Buterin understood this as a “new order,” in which the powerful celebrate the idea that anyone can create tokens for anything, at any scale.

He believed that this could be a reaction to the old order, in which former SEC Chair Gary Gensler established a regime that penalized assets with clear investor rights and transparent revenue streams while rewarding “obfuscated” assets.

“Everything that happened in crypto was in part a response, part compliance, part rebellion, to these pressures,” Buterin noted.

01/24/2025

President Donald Trump on Thursday has signed executive orders on digital assets, aiming to bolster U.S. leadership in the crypto industry while halting progress on central bank digital currencies.

The order establishes a Presidential Working Group on Digital Asset Markets, chaired by White House ‘AI & Crypto Czar’ David Sacks.

This group will include key figures such as the Secretary of the Treasury and the Chairman of the Securities and Exchange Commission, tasked with developing a federal regulatory framework for digital assets and stablecoins.

A notable aspect of the order is its directive to evaluate the creation of a “strategic national digital assets stockpile.” The Working Group is instructed to “propose criteria for establishing such a stockpile, potentially derived from cryptocurrencies lawfully seized by the Federal Government through its law enforcement efforts.”

The executive order also calls for a comprehensive review of existing regulations. Within 60 days, relevant agencies must submit recommendations to the Chair on whether identified regulations, guidance documents, orders, or other items affecting the digital asset sector should be rescinded, modified, or adopted into regulation.

In a significant departure from previous administrations, the order explicitly prohibits agencies from taking any action to “establish, issue, or promote CBDCs within the jurisdiction of the United States or abroad.” It further mandates the immediate termination of any ongoing plans or initiatives related to CBDC creation.

The order revokes Executive Order 14067 of March 9, 2022, and directs the Secretary of the Treasury to revoke the Department’s “Framework for International Engagement on Digital Assets” issued on July 7, 2022. These actions are described as necessary to reverse policies that “suppressed innovation and undermined U.S. economic liberty and global leadership in digital finance.”

01/24/2025

Warren Buffett insists his three kids won't receive a "lifetime supply of food stamps just because they came out of the right womb."

01/24/2025

Founder & CEO of Professional Capital Management Anthony Pompliano on Thursday said “more than 50%” of President Donald Trump‘s net worth is now held in the cryptocurrency market.

This assertion highlights a significant personal financial connection between Trump and digital assets, which Pompliano believes will influence policy.

In an interview with Fox Business, Pompliano went on to predict that, as a result of this financial exposure, Trump will take steps to establish a “Strategic Bitcoin Reserve” for the United States.

According to Pompliano, "the US government currently holds a lot of gold… and Bitcoin is pristine collateral. It is gold with wings."

This reserve, he argued, would signal to the rest of the world that Bitcoin has achieved legitimacy as an asset class.

“Donald Trump campaigned as being the first Bitcoin president. And I do think that he is going to establish that strategic Bitcoin reserve,” he added.

Pompliano also suggested other potential actions Trump could take to benefit the crypto industry.

He proposed that Trump repeal SAB 121, which would allow banks to hold these assets, and change the tax treatment of cryptocurrencies which currently taxes the sale of goods with Bitcoin with capital gains, calling these moves a “tailwind for the industry”.

Pompliano had recently predicted a global race among nations to adopt Bitcoin.

Speaking about its potential as a reserve asset, Pompliano said, "Countries are going to FOMO into buying Bitcoin. The early adopters will have a significant advantage over those who wait."

Pompliano has also previously pointed out Bitcoin’s resilience in markets shaped by "cheap money" and monetary policy shifts. "Bitcoin thrives in periods of loose monetary conditions," he explained, citing its deflationary nature and ability to store value as key drivers for its long-term growth.

01/24/2025

Dave Ramsey knows what it's like to lose everything – and he wants the people he helps to understand that he's been in their shoes. He doesn't speak as someone who's never made mistakes. In fact, as he revealed on his Ramsey Solutions site, he's been through bankruptcy himself.

At just 26, he was living what many would call the American dream. He had a thriving real estate business, a Jaguar in the driveway and luxurious vacations to show for it. But beneath the surface, his wealth was a "house of cards built on debt."

Ramsey borrowed heavily to fund his real estate empire and by the time the banks called in his loans, he was "up to his eyeballs" in debt. With only 90 days to repay millions, he tried to outwork his mistakes but ultimately declared bankruptcy in September 1988. That was the same day the sheriff was scheduled to take everything, including his daughter Rachel's crib, to settle a lawsuit.

Ramsey later admitted, "I was broke and broken." With a newborn at home, a furious wife and his confidence shattered, he had to rebuild from nothing.

After the bankruptcy, Ramsey had what he described as an "I surrender all" moment. "I had met God on the way up, but I absolutely got to know Him on the way down," he said. This spiritual reset led him to look in the mirror and confront hard truths about his financial habits.

"I realized my money problems, worries and shortages began and ended with the person in the mirror," Ramsey shared. Determined to learn how money works, he immersed himself in books, sought advice from seasoned wealth builders and returned to real estate to start over.

But this time, Ramsey vowed to live debt-free – and help others do the same.

In 1992, Dave launched a small radio show called The Money Game, which eventually became The Ramsey Show. Today, it's one of the most popular finance shows in the world, with millions of listeners tuning in to hear Ramsey's no-nonsense financial advice. He introduced the now-famous "Debt-Free Scream," where callers celebrate paying off their debts live on air.

Ramsey also built Ramsey Solutions, a company dedicated to helping people achieve financial freedom. His signature program, Financial Peace University, has taught millions how to budget, save and live debt-free.

Today, Ramsey has rebuilt his life far beyond what he lost. He's reportedly worth $200 million and owns $600 million in real estate – paid for in cash, which was mentioned on The Iced Coffee Hour podcast. But his focus remains on helping others avoid the mistakes he made.

Ramsey says, "I've paid the ‘stupid tax' so you don't have to. Wherever you are, whatever mess you're in, you can get out of it. You just have to face the person in the mirror, take control and go."

01/24/2025

The first U.S. based exchange-traded fund turns 32 years old today and is one of the most popular ETFs today.

Here's a look at the history of the SPDR S&P 500 ETF Trust and how much an investment at launch would be worth today.

Launched with seed funding of $6.5 million, the SPDR S&P 500 ETF Trust became the first U.S. ETF on Jan. 22, 1993.

The ETF was approved by the U.S. Securities and Exchange Commission several years after State Street Corp. applied for the fund.

Initial interest in the ETF was poor and the fund was almost closed before investors came around to the idea of using ETFs as investment vehicles.

The success of the SPY ETF led to other financial institutions launching similar ETFs that track the S&P 500 Index, one of the largest and most well-known stock market indexes.

The iShares Core S&P 500 ETF and Vanguard S&P 500 Index Fund ETF launched in 2000 and 2010, respectively.

Today, the three ETFs that track the S&P 500 are the largest in the world according to ETFDB with the following assets under management:

SPY: $623.5 million
VOO: $603.1 million
IVV: $594.2 million

After posting its worst one-year performance in more than a decade for the 2022 year, the S&P 500 Index, which features 500 leading U.S. publicly traded companies, with a primary emphasis on market capitalization, saw outperformance in 2023, ending the year up over 20% and riding a streak of winning weeks. The ETF followed up the rebound with a 24.9% gain in 2024.

In 2024, the S&P 500 reached new all-time highs on numerous occasions, boosted by soaring valuations for technology stocks.

Here are the current top holdings of the SPDR S&P 500 ETF at the time of writing:

Nvidia Corporation
Apple Inc
Microsoft Corporation
Amazon.com Inc
Meta Platforms
Tesla Inc
Alphabet Inc Class A
Broadcom Inc
Alphabet Inc Class C
Berkshire Hathaway Class B

Investing $1,000 in SPY Stock: While the idea of ETFs was new at the time, investors who followed State Street into the idea of a new investment vehicle to track the S&P 500 would have been pleasantly rewarded.

The SPDR S&P 500 ETF traded at around $43.61 in its first days of trading. A $1,000 investment could have purchased 22.93 shares at the time.

The $1,000 investment would be worth $13,930.20 today based on a price of $607.51 for the SPY at the time of writing. This represents a hypothetical return of $1,293.0% over the past 32 years.

Investors who bought the SPY on Jan. 22, 1993, based on a price of $25.02 adjusted for dividends would have an even larger return. The SPY has an adjusted price of $25.02 when adjusted for dividends, which means a $1,000 investment could have purchased 39.97 shares.

The $1,000 investment would be worth $24,282.17 today. This represents a hypothetical return of 2,328.2% over the past 32 years.