Latest News for Ameriguard Security Stock (OTC:AGSS)

AmeriGuard Security Services Inc principally provides guard services to governmental, quasi-governmental, and commercial property management. Guard services include providing armed and unarmed uniformed security personnel for access control, mobile patrols, traffic control, security console/system operators, fire safety directors, communication, reception, concierge, and front desk/doorman operations.

AMERIGUARD SECURITY SVC by Ameriguard Security Services Inc.

Ameriguard Security Services Inc

News

NVDA

Rockwell Automation And NVIDIA To Collaborate On Next-Generation Autonomous Mobile Robots Enhanced With NVIDIA Technologies

Trading Ideas

Chipotle Shares Halted On Circuit Breaker To The Downside, Stock Now Down 1.09%

Investors with a lot of money to spend have taken a bullish stance on Costco Wholesale (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COST#NASDAQ">COST</a>).
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with COST, it often means somebody knows something is about to happen.
So how do we know what these investors just did? 
Today, <a href="https://pro.benzinga.com/?utm_source=insights">Benzinga</a>'s options scanner spotted 9 uncommon options trades for Costco Wholesale.
This isn't normal.
The overall sentiment of these big-money traders is split between 66% bullish and 0%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $466,025, and 6 are calls, for a total amount of $309,347.
<h3>Expected Price Movements</h3>
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $265.0 to $1200.0 for Costco Wholesale during the past quarter. 
<h3>Insights into Volume &amp; Open Interest</h3>
Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Costco Wholesale's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Costco Wholesale's significant trades, within a strike price range of $265.0 to $1200.0, over the past month.
<h3>Costco Wholesale Call and Put Volume: 30-Day Overview</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1717422367_0.png" alt="Options Call Chart" />
<h3>Noteworthy Options Activity:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th style="text-align: right;">Open Interest</th>
<th style="text-align: right;">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>COST</td>
<td>PUT</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/17/25</td>
<td>$389.5</td>
<td>$380.85</td>
<td>$384.0</td>
<td>$1200.00</td>
<td>$384.0K</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>COST</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>06/07/24</td>
<td>$48.0</td>
<td>$47.3</td>
<td>$48.0</td>
<td>$770.00</td>
<td>$96.0K</td>
<td style="text-align: right;">175</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>COST</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$564.0</td>
<td>$560.0</td>
<td>$564.0</td>
<td>$265.00</td>
<td>$56.4K</td>
<td style="text-align: right;">37</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>COST</td>
<td>CALL</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>01/16/26</td>
<td>$278.75</td>
<td>$258.75</td>
<td>$268.72</td>
<td>$600.00</td>
<td>$53.7K</td>
<td style="text-align: right;">28</td>
<td style="text-align: right;">2</td>
</tr>
<tr>
<td>COST</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>09/20/24</td>
<td>$57.15</td>
<td>$55.25</td>
<td>$57.15</td>
<td>$800.00</td>
<td>$51.4K</td>
<td style="text-align: right;">783</td>
<td style="text-align: right;">10</td>
</tr>
</tbody>
</table>

<h3>About Costco Wholesale</h3>
Costco operates a membership-based, no-frills retail model, predicated on offering a select product assortment in bulk quantities at bargain prices. The firm avoids maintaining costly product displays by keeping inventory on pallets and limits distribution expenses by storing its inventory at point of sale in the warehouse. Given Costco's frugal cost structure, the firm is able to price its merchandise below competing retailers, driving high sales volume per warehouse and allowing the retailer to generate strong profits on thin margins. Costco operates over 600 warehouses in the United States and boasts over 60% market share in the domestic warehouse club industry. Internationally, Costco operates another 270 warehouses, primarily in markets such as Canada, Mexico, Japan, and the UK.
Having examined the options trading patterns of Costco Wholesale, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance
<h3>Current Position of Costco Wholesale</h3>
<ul>
<li>Currently trading with a volume of 47,175, the COST's price is up by 0.09%, now at $810.59. </li>
<li>RSI readings suggest the stock is currently may be approaching overbought.</li>
<li>Anticipated earnings release is in 113 days.</li>
</ul>
<h3>What Analysts Are Saying About Costco Wholesale</h3>
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $827.6.
<ul>
<li>Reflecting concerns, an analyst from BMO Capital lowers its rating to Outperform with a new price target of $875.</li>
<li>An analyst from TD Cowen persists with their Buy rating on Costco Wholesale, maintaining a target price of $850. </li>
<li>Consistent in their evaluation, an analyst from Truist Securities keeps a Buy rating on Costco Wholesale with a target price of $873. </li>
<li>Consistent in their evaluation, an analyst from Barclays keeps a Equal-Weight rating on Costco Wholesale with a target price of $765. </li>
<li>Consistent in their evaluation, an analyst from Wells Fargo keeps a Equal-Weight rating on Costco Wholesale with a target price of $775. </li>
</ul>
Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Costco Wholesale with <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a> for real-time alerts.

Options

Markets

COST

Behind the Scenes of Costco Wholesale's Latest Options Trends

Investors with a lot of money to spend have taken a bullish stance on Alphabet (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>).
And retail traders should know.
We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.
Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with GOOGL, it often means somebody knows something is about to happen.
So how do we know what these investors just did? 
Today, <a href="https://pro.benzinga.com/?utm_source=insights">Benzinga</a>'s options scanner spotted 9 uncommon options trades for Alphabet.
This isn't normal.
The overall sentiment of these big-money traders is split between 44% bullish and 22%, bearish.
Out of all of the special options we uncovered, 3 are puts, for a total amount of $447,480, and 6 are calls, for a total amount of $310,765.
<h3>What's The Price Target?</h3>
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $90.0 to $340.0 for Alphabet during the past quarter. 
<h3>Volume &amp; Open Interest Trends</h3>
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Alphabet's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Alphabet's substantial trades, within a strike price spectrum from $90.0 to $340.0 over the preceding 30 days.
<h3>Alphabet Option Activity Analysis: Last 30 Days</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1717422363_0.png" alt="Options Call Chart" />
<h3>Significant Options Trades Detected:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th style="text-align: right;">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>GOOGL</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>01/17/25</td>
<td>$168.7</td>
<td>$164.6</td>
<td>$164.6</td>
<td>$340.00</td>
<td>$213.9K</td>
<td>0</td>
<td style="text-align: right;">25</td>
</tr>
<tr>
<td>GOOGL</td>
<td>PUT</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>01/17/25</td>
<td>$168.75</td>
<td>$164.7</td>
<td>$166.75</td>
<td>$340.00</td>
<td>$200.1K</td>
<td>0</td>
<td style="text-align: right;">25</td>
</tr>
<tr>
<td>GOOGL</td>
<td>CALL</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>01/17/25</td>
<td>$7.65</td>
<td>$7.0</td>
<td>$7.3</td>
<td>$200.00</td>
<td>$73.0K</td>
<td>66.3K</td>
<td style="text-align: right;">2</td>
</tr>
<tr>
<td>GOOGL</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>08/16/24</td>
<td>$84.5</td>
<td>$83.0</td>
<td>$84.5</td>
<td>$90.00</td>
<td>$67.6K</td>
<td>168</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>GOOGL</td>
<td>CALL</td>
<td>SWEEP</td>
<td>NEUTRAL</td>
<td>08/16/24</td>
<td>$22.25</td>
<td>$21.85</td>
<td>$22.25</td>
<td>$155.00</td>
<td>$66.7K</td>
<td>1.5K</td>
<td style="text-align: right;">30</td>
</tr>
</tbody>
</table>

<h3>About Alphabet</h3>
Alphabet is a holding company. Internet media giant Google is a wholly owned subsidiary. Google services account for nearly 90% of Alphabet's revenue, of which more than 85% is from online ads. Other Google services revenue is from sales of apps and content on Google Play and YouTube, as well as sales of hardware such as Chromebooks, the Pixel smartphone, and smart home products, which include Nest and Google Home. Google's cloud computing offerings account for a bit more than 10% of total Alphabet revenue. Alphabet's moonshot investments are in its other bets segment, where it bets on technology to enhance health (Verily), provide faster internet access (Google Fiber), enable self-driving cars (Waymo), and more.
After a thorough review of the options trading surrounding Alphabet, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
<h3>Where Is Alphabet Standing Right Now?</h3>
<ul>
<li>With a volume of 3,319,933, the price of GOOGL is up 0.38% at $173.15. </li>
<li>RSI indicators hint that the underlying stock may be approaching overbought.</li>
<li>Next earnings are expected to be released in 50 days.</li>
</ul>
<h3>Professional Analyst Ratings for Alphabet</h3>
In the last month, 5 experts released ratings on this stock with an average target price of $203.2.
<ul>
<li>An analyst from JMP Securities downgraded its action to Market Outperform with a price target of $200. </li>
<li>Consistent in their evaluation, an analyst from Stifel keeps a Buy rating on Alphabet with a target price of $196. </li>
<li>Reflecting concerns, an analyst from BMO Capital lowers its rating to Outperform with a new price target of $215.</li>
<li>Maintaining their stance, an analyst from Morgan Stanley continues to hold a Overweight rating for Alphabet, targeting a price of $195. </li>
<li>Consistent in their evaluation, an analyst from Tigress Financial keeps a Strong Buy rating on Alphabet with a target price of $210. </li>
</ul>
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Alphabet options trades with real-time alerts from <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a>.

GOOGL

Behind the Scenes of Alphabet's Latest Options Trends

Deep-pocketed investors have adopted a bullish approach towards Netflix (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NFLX#NASDAQ">NFLX</a>), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in NFLX usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 9 extraordinary options activities for Netflix. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 44% leaning bullish and 33% bearish. Among these notable options, 3 are puts, totaling $266,593, and 6 are calls, amounting to $619,437.
<h3>Expected Price Movements</h3>
Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $500.0 to $1110.0 for Netflix during the past quarter. 
<h3>Analyzing Volume &amp; Open Interest</h3>
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Netflix's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Netflix's substantial trades, within a strike price spectrum from $500.0 to $1110.0 over the preceding 30 days.
<h3>Netflix 30-Day Option Volume &amp; Interest Snapshot</h3>
<img src="https://www.benzinga.com/files/images/story/2024/1717422358_0.png" alt="Options Call Chart" />
<h3>Noteworthy Options Activity:</h3>

<table>
<thead>
<tr>
<th>Symbol</th>
<th>PUT/CALL</th>
<th>Trade Type</th>
<th>Sentiment</th>
<th>Exp. Date</th>
<th>Ask</th>
<th>Bid</th>
<th>Price</th>
<th>Strike Price</th>
<th>Total Trade Price</th>
<th>Open Interest</th>
<th style="text-align: right;">Volume</th>
</tr>
</thead>
<tbody>
<tr>
<td>NFLX</td>
<td>CALL</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>01/17/25</td>
<td>$179.0</td>
<td>$177.25</td>
<td>$177.25</td>
<td>$500.00</td>
<td>$354.5K</td>
<td>2.4K</td>
<td style="text-align: right;">20</td>
</tr>
<tr>
<td>NFLX</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>01/17/25</td>
<td>$473.25</td>
<td>$465.95</td>
<td>$468.81</td>
<td>$1110.00</td>
<td>$140.6K</td>
<td>0</td>
<td style="text-align: right;">8</td>
</tr>
<tr>
<td>NFLX</td>
<td>CALL</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>06/21/24</td>
<td>$14.6</td>
<td>$13.6</td>
<td>$14.05</td>
<td>$645.00</td>
<td>$140.5K</td>
<td>919</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>NFLX</td>
<td>PUT</td>
<td>TRADE</td>
<td>NEUTRAL</td>
<td>01/17/25</td>
<td>$472.9</td>
<td>$465.95</td>
<td>$469.75</td>
<td>$1110.00</td>
<td>$93.9K</td>
<td>0</td>
<td style="text-align: right;">3</td>
</tr>
<tr>
<td>NFLX</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>12/20/24</td>
<td>$22.25</td>
<td>$20.5</td>
<td>$21.6</td>
<td>$800.00</td>
<td>$34.5K</td>
<td>717</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>

<h3>About Netflix</h3>
Netflix's relatively simple business model involves only one business, its streaming service. It has the biggest television entertainment subscriber base in both the United States and the collective international market, with almost 250 million subscribers globally. Netflix has exposure to nearly the entire global population outside of China. The firm has traditionally avoided live programming or sports content, instead focusing on on-demand access to episodic television, movies, and documentaries. The firm recently began introducing ad-supported subscription plans, giving the firm exposure to the advertising market in addition to the subscription fees that have historically accounted for nearly all its revenue.
In light of the recent options history for Netflix, it's now appropriate to focus on the company itself. We aim to explore its current performance.
<h3>Where Is Netflix Standing Right Now?</h3>
<ul>
<li>Currently trading with a volume of 53,707, the NFLX's price is up by 0.57%, now at $645.28. </li>
<li>RSI readings suggest the stock is currently may be approaching overbought.</li>
<li>Anticipated earnings release is in 44 days.</li>
</ul>
<h3>Professional Analyst Ratings for Netflix</h3>
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $646.0.
<ul>
<li>Consistent in their evaluation, an analyst from Evercore ISI Group keeps a Outperform rating on Netflix with a target price of $700. </li>
<li>An analyst from Needham has revised its rating downward to Buy, adjusting the price target to $700. </li>
<li>Reflecting concerns, an analyst from Wedbush lowers its rating to Outperform with a new price target of $725.</li>
<li>An analyst from Benchmark persists with their Sell rating on Netflix, maintaining a target price of $450. </li>
<li>An analyst from Jefferies downgraded its action to Buy with a price target of $655. </li>
</ul>
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Netflix, <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a> gives you real-time options trades alerts.

NFLX

Check Out What Whales Are Doing With NFLX

NuScale Power Shares Halted On Circuit Breaker To The Downside, Stock Now Down -98.5%

BWS Financial analyst Hamed Khorsand maintains Garrett Motion (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GTX#NASDAQ">GTX</a>) with a Buy and maintains $15 price target.

Price Target

Analyst Ratings

BWS Financial Maintains Buy on Garrett Motion, Maintains $15 Price Target

AMC Entertainment Holdings Shares Resume Trade

<a href="https://group.dhl.com/en/media-relations/press-releases/2024/dhl-supply-chain-expands-pharma-logistics-operations-in-france.html" title="https://group.dhl.com/en/media-relations/press-releases/2024/dhl-supply-chain-expands-pharma-logistics-operations-in-france.html">https://group.dhl.com/en/media-relations/press-releases/2024/dhl-supply-chain-expands-pharma-logistics-operations-in-france.html</a>

'DHl Supply Chain Expands Pharma Logistics Operations In France' - DHL Group

Chardan Capital analyst Keay Nakae maintains Arrowhead Pharma (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ARWR#NASDAQ">ARWR</a>) with a Buy and maintains $60 price target.

ARWR

Chardan Capital Maintains Buy on Arrowhead Pharma, Maintains $60 Price Target

Ford Motor Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>) shares are ticking higher <a href="https://www.benzinga.com/topic/ford">after the automaker</a> said its technology will enable drivers to take their eyes off the road and their hands off the wheel within the next two years.
"We're getting really close," said CEO Jim Farley in an interview with <a href="https://www.bloomberg.com/news/articles/2024-06-03/ford-ceo-in-two-years-drivers-won-t-have-to-watch-the-road?cmpid=socialflow-twitter-business&amp;utm_campaign=socialflow-organic&amp;utm_source=twitter&amp;utm_content=business&amp;utm_medium=social&amp;sref=TBDibEcD">Bloomberg</a>. &#8220;We can do it now pretty regularly with a prototype, but doing it in a cost-effective way is just the progress we're going to need to make.&#8221;
Farley is optimistic that Ford can achieve the milestone by 2026, potentially making it the first mass-market car brand to offer Level 3 autonomy. 
This level of autonomy allows the car to take over driving under certain conditions, enabling the driver to focus on other activities.
Currently, Ford and other automakers, including General Motors Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>), offer hands-free driving features that use eye-tracking devices to ensure the driver remains attentive. 
Ford's system, BlueCruise, is <a href="https://www.benzinga.com/markets/equities/24/04/38493842/fords-bluecruise-under-nhtsa-lens-after-fatal-crashes-report">under investigation by U.S. safety regulators </a>after being involved in fatal crashes. Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) and others are also being scrutinized by federal authorities for crashes involving their semi-autonomous systems.
Also Read: <a href="https://www.benzinga.com/news/24/05/39081508/tesla-ford-hit-the-brakes-in-uk-as-warren-buffett-backed-byd-zooms-ahead-with-2500-jump-in-registrat">Tesla, Ford Hit The Brakes In UK As Warren Buffett-Backed BYD Zooms Ahead With 2500% Jump In Registrations</a>
Mercedes-Benz began offering an eyes-off-the-road feature in the U.S. late last year, but it only operates at speeds below 40 miles per hour on pre-approved freeways. 
Farley suggested Ford's system would operate at speeds of up to 80 miles per hour on highways, but only under clear skies. 
Ford aims to generate recurring revenue by offering subscription services to features such as BlueCruise. Farley sees these high-margin software services as a way to stabilize the cyclical nature of the car business. 
Ford is already selling software systems to its commercial customers to manage fleet logistics and sees semi-autonomous features as a means to attract individual retail customers to buy software subscriptions. 
Ford stock has lost more than 3% in the last 12 months. Investors can gain exposure to the stock via Schwab U.S. Dividend Equity ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SCHD#NYSE">SCHD</a>) and IShares MSCI USA Value Factor ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/VLUE#BATS">VLUE</a>).
Price Action: F shares are trading higher by 0.74% at $12.22 at last check Monday.
Read Next: <a href="https://www.benzinga.com/news/24/05/39056264/ford-teases-f-150-lightning-based-supertruck-set-to-climb-pikes-peak-in-june">Ford Teases F-150 Lightning-Based Supertruck Set To Climb Pikes Peak In June</a>
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Shutterstock

Specialty ETFs

ETFs

General

SCHD

TSLA

VLUE

What's Happening With Ford's Shares Today?

RBC Capital analyst Jonathan Atkin maintains Digital Realty Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DLR#NYSE">DLR</a>) with a Outperform and raises the price target from $144 to $160.

RBC Capital Maintains Outperform on Digital Realty Trust, Raises Price Target to $160

<a href="https://www.cohencpa.com/knowledge-center/news/may-2024/corey-mclaughlin-selected-as-new-chief-operating-officer" title="https://www.cohencpa.com/knowledge-center/news/may-2024/corey-mclaughlin-selected-as-new-chief-operating-officer">https://www.cohencpa.com/knowledge-center/news/may-2024/corey-mclaughlin-selected-as-new-chief-operating-officer</a>

Management

COHN

Cohen & Company Appoints Corey McLaughlin As COO

DA Davidson analyst Linda Bolton Weiser maintains e.l.f. Beauty (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ELF#NYSE">ELF</a>) with a Buy and maintains $220 price target.

DA Davidson Maintains Buy on e.l.f. Beauty, Maintains $220 Price Target

RBC Capital analyst Ken Herbert maintains Kratos Defense &amp; Security (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/KTOS#NASDAQ">KTOS</a>) with a Outperform and raises the price target from $23 to $24.

KTOS

RBC Capital Maintains Outperform on Kratos Defense & Security, Raises Price Target to $24

AMC Entertainment Holdings Shares Halted On Circuit Breaker To The Downside, Stock Now Up 14.3%

GameStop Shares Resume Trading

RBC Capital analyst Nelson Ng maintains Methanex (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MEOH#NASDAQ">MEOH</a>) with a Sector Perform and raises the price target from $50 to $55.

MEOH

RBC Capital Maintains Sector Perform on Methanex, Raises Price Target to $55

KSCP

Knightscope Partners With EnGoPlanet To Develop K1 Super Tower For Public Safety

By Lance Roberts 
The future of electricity demand for everything from electric cars to Bitcoin mining to artificial intelligence may also be the cure for our debt concerns.
Before you dismiss that statement, let me explain.
One of the bears&rsquo; primary arguments against the financial market and the economy&rsquo;s health is what is perceived as the surging increase in Government debt. That increase in debt supports their frantic calls for the &ldquo;end of the dollar,&rdquo; economic disruption, and essentially the demise of the U.S. as a global power. Looking at the increased Government debt in a vacuum, you can understand the concern.
<img alt="Federal Debt Outstanding" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/Federal-Debt-Total-Debt-Outstanding.png" style="height:340px; width:624px" />
Of course, the increase in federal debt results from excess government spending, particularly since the pandemic-related shutdown. We see the surge in the federal deficit, the largest since the financial crisis and the most significant deficit outside of a wartime economy.
<img alt="Deficit To GDP Ratio" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/Deficits-and-GDP.png" style="height:345px; width:624px" />
It is also notable that economic growth has slowed markedly as both debts and deficits have increased. That decrease in economic growth is an essential point of our discussion.
In&nbsp;<a href="https://realinvestmentadvice.com/macroview-deficit-deniers-40-years-of-economic-erosion/">&ldquo;40-Years Of Economic Erosion,&rdquo;</a>&nbsp;we discussed the difference between productive and unproductive debt. To wit:
<blockquote>&ldquo;The problem is that these progressive programs lack an essential component of what is required for &lsquo;deficit&rsquo; spending to be beneficial &ndash; a&nbsp;&lsquo;return on investment.&rsquo;&nbsp;
Country A&nbsp;spends $4 Trillion with receipts of $3 Trillion. This leaves Country A with a $1 Trillion deficit. In order to make up the difference between the spending and the income, the Treasury must issue $1 Trillion in new debt. That new debt is used to cover the excess expenditures&nbsp;but generates no income leaving a future hole that must be filled.
Country B&nbsp;spends $4 Trillion and receives $3 Trillion income. However, the $1 Trillion of excess, which was financed by debt, was invested into projects, infrastructure, that produced a positive rate of return.&nbsp;There is no deficit as the rate of return on the investment funds the &ldquo;deficit&rdquo; over time.
There is no disagreement about the need for government spending. The disagreement is with the abuse and waste of it.
John Maynard Keynes&rsquo; was correct in his theory that in order for government&nbsp;&lsquo;deficit&rsquo;&nbsp;spending to be effective,&nbsp;the&nbsp;&lsquo;payback&rsquo;&nbsp;from investments being made through debt must yield a higher rate of return than the debt used to fund it.
Currently, the U.S. is&nbsp;&lsquo;Country A.&rdquo;&lsquo;
</blockquote>
Read that carefully, as electricity demand may provide that needed change to the debt dynamic.
<h3 id="h-electricity-demand-to-surge">Electricity Demand To Surge</h3>
As noted, the United States power grid has lacked sufficient investment to handle the increasing burdens of electricity demand in previous years. It isn&rsquo;t just a growing population that needs more housing, mobile phones, laptops, and computers. However, adding electric vehicles, bitcoin mining, and artificial intelligence will overwhelm the current electricity supply in the U.S.
For example, bitcoin mining demands an extreme amount of electricity. As noted by Paul Hoffman in&nbsp;<a href="https://www.bestbrokers.com/2024/05/21/bitcoin-power-dynamics-the-ridiculous-amounts-of-electrical-energy-used-to-mine-1-bitcoin-in-2024-just-doubled-recently/" rel="noreferrer noopener" target="_blank">Bitcoin Power Dynamics:</a>
<blockquote>&ldquo;The daily consumption of 145.6 GWh for Bitcoin mining in the U.S. is about 1.34% of the total daily power consumption in the country. Despite the small percentage this is still an enormous amount of electricity, keeping in mind that the U.S. is a heavily-industrialized country consuming a lot. When we extrapolate this daily consumption to a year, we get 53,144 GWh.&rdquo;
</blockquote>
<img alt="Electricity consumption of bitcoin mining" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/image-48-1024x995.png" style="height:606px; width:624px" />
Bitcoin mining is a relatively small industry with a large footprint on electricity demand. However,&nbsp;&ldquo;generative artificial intelligence (AI)&rdquo;&nbsp;is a different beast. According to S&amp;P Global Commodity Insights, the electricity needed for AI remains unclear, but the technology will lead to a significant net increase in US power consumption. Medium recently had some charts detailing that growth.
&ldquo;AI energy demand is projected to surge from approximately $527.4 million in 2022 to a substantial $4,261.4 million by 2032, with a robust compound annual growth rate (CAGR) of 23.9% from 2023 to 2032.&rdquo;&nbsp;&ndash;&nbsp;<a href="https://medium.com/arunapattam/generative-ai-applications-episode-6-in-energy-utilities-415ddd4f88c8">Medium</a>.
<img alt="Generative A.I. Market in energy" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/image-49.png" style="height:337px; width:624px" />
&ldquo;Simultaneously, the&nbsp;Utility Market&nbsp;is expected to experience even more significant expansion, increasing from $534 million in 2022 to a substantial $8,676 million by 2032, driven by a remarkable CAGR of 33.1% from 2023 to 2032.&rdquo;
<img alt="Generative AI Market on Utilities" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/image-50.png" style="height:354px; width:624px" />
As S&amp;P points out:
<blockquote>&ldquo;Power demand from operational and currently planned datacenters in US power markets is expected to total about 30,694 MW once all the planned datacenters are operational, according to analysis of data from 451 Research, which is part of S&amp;P Global Market Intelligence. Investor-owned utilities are set to supply 20,619 MW of that capacity. To put those numbers into perspective, consider that US Lower 48 power demand is forecast to total about 473 GW in 2023, and rise to about 482 GW in 2027.&rdquo;
</blockquote>
<img alt="Energy demand from AI" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/Data-Center-Status-1024x585.png" style="height:356px; width:624px" />
So, what does this have to do with the debt?
<h3 id="h-growing-our-way-out">Growing Our Way Out</h3>
We have used deficit spending for decades to fund social welfare programs. Those programs have a long-term&nbsp;<a href="https://realinvestmentadvice.com/the-zero-to-negative-multiplier-of-debt-on-growth/">negative multiplier on economic growth.</a>&nbsp;However, the future requires building an electricity infrastructure, which is a different dynamic. However, using deficit spending for projects with a&nbsp;&ldquo;return on investment,&rdquo;&nbsp;such as power production&nbsp;(geothermal, nuclear, tidal)&nbsp;or broadband, which users pay a fee to consume, is valid. This is because the long-term revenue generated by these projects repays the debt over time. Furthermore, these projects are labor intensive, creating demand for jobs, commodities, and capital expenditures.
Since 1980, capital expenditures (CapEx) have dropped as economic growth slowed. The chart shows the 10-year average annual change in CapEx vs. GDP. If economic growth&nbsp;(primarily consumption)&nbsp;is slowing, then the demand to expend CapEx is also reduced. This is because corporations seek out cheaper alternatives such as offshoring, productivity increases, and wage suppression.
<img alt="Capex vs GDP" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/GDP-vs-CapEx.png" style="height:345px; width:624px" />
However, building infrastructure is very labor-intensive, and CapEx is labor&mdash;and investment-intensive. Those dynamics change the economic growth dynamic.
While corporations increase capital investment to build the power supply, the Government will likely enter the fray with further infrastructure-focused spending bills.&nbsp;This is because AI is a critical component of ensuring the defense and national security of the United States.&nbsp;However, instead of issuing debt to spend on domestic welfare programs,&nbsp;the debt used in infrastructure will create economic growth through labor creation.
The chart below assumes we will continue to issue debt at the average quarterly pace since 2021. However, instead of wasting money, we focus on productive investments while maintaining all current spending programs and obligations. Assuming some conservative growth estimates resulting from the investments, the&nbsp;&ldquo;debt to GDP&rdquo;&nbsp;ratio will begin declining in 2026 and revert to more sustainable levels by 2030.
<img alt="Debt to GDP Ratio" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/Debt-To-GDP-vs-Growth.png" style="height:341px; width:624px" />
<h3>Conclusion</h3>
While the bears constantly ring the alarm bell about the current level of debt and deficits, the more dire economic consequences they forecast may fail to come to fruition.
As noted by Goldman Sachs:
<blockquote>&ldquo;Generative artificial intelligence has the potential to automate many work tasks and eventually boost&nbsp;global economic growth. AI will start having a measurable impact on US GDP in 2027 and begin affecting growth in other economies worldwide in the following years. The foundation of the forecast is the finding that AI could ultimately automate around 25% of labor tasks in advanced economies and 10-20% of work in emerging economies.&rdquo;
</blockquote>
They currently estimate a growth boost to GDP from AI of 0.4 percentage points in the US.
<img alt="" src="https://realinvestmentadvice.com/wp-content/uploads/2024/05/GS-AI-GDP-Growth-Boost.png" style="height:361px; width:624px" />
Increases in productivity, productive capital investment, and increased labor demand for the infrastructure buildout&nbsp;(which will also result in higher wages)&nbsp;should provide the economic boost needed.
Will it solve all of the current socio-economic ills facing the U.S.? No. However, it may provide the growth boost necessary to revitalize economic growth and prosperity in the U.S., which we have not seen since the 1970s.
It may also just be enough to keep the demise of the U.S. from occurring any time soon.
Lance Roberts is a Chief Portfolio Strategist/Economist for&nbsp;<a href="https://realinvestmentadvice.com/investing/" target="_blank">RIA Advisors</a>. He is also the host of &ldquo;<a href="https://realinvestmentadvice.com/podcasts/" target="_blank">The Lance Roberts Podcast</a>&rdquo; and Chief Editor of the &ldquo;<a href="https://realinvestmentadvice.com/" target="_blank">Real Investment Advice</a>&rdquo; website and author of &ldquo;<a href="https://realinvestmentadvice.com/real-investment-daily/" target="_blank">Real Investment Daily</a>&rdquo; blog and &ldquo;Real Investment Report&ldquo;. Follow Lance on&nbsp;<a href="https://www.facebook.com/RealInvestmentAdvice/" target="_blank">Facebook</a>,&nbsp;<a href="https://twitter.com/LanceRoberts" target="_blank">Twitter</a>,&nbsp;<a href="https://www.linkedin.com/in/realinvestmentadvice/" target="_blank">Linked-In</a>&nbsp;and&nbsp;<a href="https://www.youtube.com/channel/UCXVMMgEidXlrTM1coedg70A" target="_blank">YouTube</a>

Government

Economics

Electricity Demand May Cure Debt Concerns

AmeriGuard Security Services acquires TransportUS

AGSS

Press Releases

OTC Markets Group Welcomes AmeriGuard Security Services Inc. to OTCQX

Small Cap

AmeriGuard Security Services, Inc. Announces Appointment of Director, LTG (Retired) Russel Honoré to its Board of Directors

AmeriGuard Security Services, Inc. Announces the Strategic Acquisition of TransportUS, Inc., Marking Significant Expansion into Transportation Services

Contracts

AmeriGuard Security Services, Inc. Awarded Prestigious Contract by U.S. Department of Veterans Affairs for Non-Emergency Medical Transportation in the greater Los Angeles metropolitan area