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El Salvador President Bukele poised for a landslide as voters cast ballots
© Reuters. FILE PHOTO: El Salvador’s President Nayib Bukele speaks during the inauguration of the Vijosa pharmaceutical plant in Santa Tecla, El Salvador November 20, 2023. REUTERS/Jose Cabezas/File Photo
By Nelson Renteria and Sarah Kinosian
SAN SALVADOR (Reuters) -Salvadorans voted on Sunday in elections expected to hand President Nayib Bukele another landslide victory, with many happy to overlook the young leader’s authoritarian drift after he crushed gang violence that had paralyzed life in the poor Central American country.
Bukele, 42, appears poised to become the first Salvadoran president in more than a century to be re-elected.
Wildly popular, Bukele has campaigned on the success of his security strategy under which authorities suspended civil liberties to arrest more than 75,000 Salvadorans without charges. The detentions led to a sharp decline in nationwide murder rates and transformed a country of 6.3 million people that was once among the world’s most dangerous.
But some analysts have said the mass incarceration of 1% of the population is not a sustainable long-term strategy.
Five other presidential candidates are contesting the elections, including politicians from the former leftist guerrilla Farabundo Marti National Liberation Front (FMLN) and the right-wing Nationalist Republican Alliance (ARENA), which between them governed for 30 years until 2019.
Polls show most voters appear set to reward Bukele for decimating the crime groups that made life intolerable in El Salvador and fueled waves of migration to the United States.
Victor Lopez, a 65-year-old construction worker, was among the first 10 people lined up at a voting center on one of the capital San Salvador’s main avenues, where Bukele is scheduled to cast his vote later on Sunday.
“We have to continue the changes that are happening in our country – positive changes. We have no crime, tourism has skyrocketed and other positive things,” Lopez told Reuters.
“We cannot let the corrupt people from before have power again because then the projects that the government is executing could not be executed,” Lopez added, referring to the country’s two traditional parties, FMLN and ARENA.
Pre-election polling had put voter support in the single digits for the FMLN and ARENA candidates, with voters fed up after decades of traditional politics marked by violence and corruption.
A firebrand politician who often spars with foreign leaders and foes on social media, Bukele came to power in 2019 trouncing El Salvador’s traditional parties with a vow to eliminate gang violence and rejuvenate the country’s stagnant economy.
Since then, he has used his New Ideas party’s supermajority in the legislative assembly to reshape courts and institutions, solidifying his grip on key parts of the government. He also championed the introduction of as a legal tender, drawing criticism from the International Monetary Fund (IMF).
El Salvador’s Supreme Electoral Tribunal last year permitted him to run for a second term even though the country’s constitution prohibits it. Opponents voiced fears Bukele would seek to rule for life, following President Daniel Ortega from next-door Nicaragua.
Rights groups have said that El Salvador’s democracy is under attack. Bukele has downplayed those concerns, at one point changing his profile on X, the social media platform, to say: “World’s coolest dictator.”
Salvadorans seem unfazed, with polls showing about 80% of them support him.
“There is still a huge amount to do but, step by step, we will resolve entire decades of looting and neglect,” Bukele wrote on X this week.
Once re-elected, Bukele’s biggest challenge is likely to be a sputtering economy, Central America’s slowest growing during his time in power. More than a quarter of Salvadorans live in poverty.
Extreme poverty has doubled and private investment has tumbled. There has not been much momentum on Bukele’s highly publicized plans for Bitcoin City, a tax-free crypto haven powered by geothermal energy from a volcano.
The IMF, which is negotiating a $1.3 billion bailout with El Salvador, in late 2023 described the country’s fiscal situation as “fragile.”
In a turbulent market environment, Five9 (NASDAQ:) Inc’s stock has touched a 52-week low, reaching a price level of $28.74. This significant downturn reflects a broader trend for the cloud software company, which has seen its shares plummet by -58.79% over the past year. Investors are closely monitoring Five9’s performance as it navigates through a period of heightened volatility and shifting industry dynamics, which have contributed to the stock’s current valuation at this low point. The company’s efforts to rebound from this position will be under scrutiny in the coming quarters as market participants look for signs of a strategic turnaround or further indications of market pressures.
In other recent news, Five9 Inc . has achieved an annual revenue run rate exceeding $1 billion in Q2, a significant milestone despite lowering its annual revenue guidance by 3.8% due to customer budget constraints. The company’s adjusted EBITDA margin rose to 17% of revenue, contributing to a strong operating cash flow of $126 million. The company also confirmed plans to reduce its global workforce by approximately 7% by the end of 2024, a strategic move projected to cost between $12 million and $15 million.
Five9’s recent acquisition of Acqueon, a firm specializing in proactive outbound omnichannel customer engagement, aims to expand its AI offerings and bolster its growth. This move is in line with the company’s focus on managing expenses and improving profitability, with initiatives like FedRAMP and expansion into India anticipated to improve gross margins.
In their analysis, Piper Sandler maintained an Overweight rating for Five9, with a steady price target of $47.00, while Needham and BTIG both maintained a Buy rating with price targets of $48.00 and $45.00 respectively. These ratings reflect the firms’ confidence in Five9’s strategic positioning and potential for growth, despite the current challenges and workforce reduction.
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In terms of financial health, the company operates with a moderate level of debt and is expected to become profitable this year, according to analysts’ predictions. These elements may offer some solace to investors considering the stock’s substantial price fall over the last year. For those seeking a deeper dive into Five9’s valuation and future prospects, the InvestingPro platform provides a fair value estimate of $45.04, which is considerably higher than the current trading price, suggesting potential undervaluation.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
TD Cowen reiterated its Buy rating on shares of Terns Pharmaceuticals (NASDAQ:TERN), following the company’s investor call. The call was held to manage expectations for the upcoming Phase 1/2 CARDINAL study data for chronic myeloid leukemia (CML). The firm noted the challenges in measuring the efficacy endpoint (EP) due to disease progression and the absence of treatment switch guidelines, which makes major molecular response (MMR) a challenging efficacy endpoint for Phase 1/2 trials.
The interim Phase 1/2 data aims to evaluate descriptive efficacy signals, considering patients’ baseline BCR-ABL levels and treatment history. The analyst highlighted that the once-daily (QD) dosing and the lack of food effect could potentially enhance the quality of life for patients compared to other allosteric tyrosine kinase inhibitors (TKIs).
Terns Pharmaceuticals has been focusing on the development of improved treatment options for CML. The company’s approach to dosing, which does not require food intake, may offer a more convenient alternative for patients, potentially leading to better adherence and outcomes.
The topline data from the 6-month Phase 1/2 CARDINAL study is anticipated to be available in 2025. This data will provide further insights into the treatment’s efficacy and safety, which are critical factors in the ongoing development and potential approval process.
Investors and stakeholders in Terns Pharmaceuticals are expected to closely monitor the progress of the CARDINAL study, as it could have a significant impact on the company’s future prospects and position in the CML treatment landscape.
In other recent news, Terns Pharmaceuticals has experienced significant developments. The biopharmaceutical company reported robust earnings and revenue results, with Mizuho Securities maintaining an Outperform rating on Terns shares, citing strong enthusiasm for the company’s drug, TERN-701, a potential treatment for chronic myeloid leukemia.
The firm expects the first interim Phase 1 CARDINAL study data for TERN-701 in December.
Terns also announced the appointment of Elona Kogan as its new chief legal officer, a move that underscores the company’s strategic development and pipeline advancement.
The company also secured an extension of its office lease in Foster City, California, through 2027, reflecting Terns Pharmaceuticals’ operational stability and long-term planning.
In terms of clinical trials, Terns has made progress in its ongoing Phase 1 study of TERN-701, with interim findings suggesting the drug can be administered once daily with or without food.
This development, coupled with the forthcoming Phase 1 data for another of Terns’ drugs, TERN-601—an oral GLP-1 receptor agonist for obesity—expected next month, underscores the company’s commitment to innovative therapies.
These recent developments, from financial performance to executive appointments and clinical trials, highlight Terns Pharmaceuticals’ ongoing efforts to advance its strategic objectives and deliver on its mission. The company’s activities are closely watched by investors and industry analysts, including those from Mizuho Securities, who continue to support the company’s potential.
InvestingPro Insights
As Terns Pharmaceuticals (NASDAQ:TERN) navigates the complexities of its Phase 1/2 CARDINAL study, investors are keeping a keen eye on the company’s financial health and stock performance. According to InvestingPro, Terns holds more cash than debt, which is a positive signal for financial stability. Additionally, with five analysts revising their earnings upwards for the upcoming period, there is a sense of optimism about the company’s potential performance.
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This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
PARIS (Reuters) – French President Emmanuel Macron discussed the importance of maintaining support for Ukraine and the need for a ceasefire in Gaza during talks on Friday with German Chancellor Olaf Scholz, said the French presidency.
Regarding Ukraine, the two leaders expressed their determination to support the country “for as long and as intensively as necessary” in its war against Russia, the Elysee said.
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