Tale of the Tape
Good evening, folks. The market of stocks marched to new highs.
The S&P 500, Nasdaq Composite, and Russell 2000 all closed at their highest prices in history. š šø
Financials flew 2.22% while tech ticked an all-time high. Basic materials was the only sector to close lower.
The cryptos were quiet. Could we see a follow-through on Friday? Time will tell… ā³
Gold dropped 2.15% as $GLD closed at its lowest price since last November.
Canada Goose gapped up and gained 22% off the back of an earnings beat. The stock closed at its highest price since November 5, 2019.
The social media ETF closed at an all-time high prior to a few social stocks reporting earnings. Pinterest, Peloton, and Snap all posted numbers after hours. See the round-up below.Ā
The meme stocks got murdered, again. šŖ $GME dropped 42% while $AMC collapsed 21%. To make matters worse, both stocks closed at their lows. š
Here are the closing prints:
S&P 500 | 3,871 | +1.09% |
Nasdaq | 13,777 | +1.23% |
Russell 2000 | 2,202 | +1.98% |
Dow Jones | 31,055 | +1.08% |
Earnings Round-Up
Snap reported better-than-expected Q4 earnings after the bell. Revenue grew 62% YoY, the platformās best figures since going public in 2017.
Here are the stats:
EPS: $0.09 vs $0.07 est.
Revenue: $911.3M, +62% YoY
DAUs: 265M, +22% YoY
Snap CEO Evan Spiegel said:
We delivered our first full year of Adjusted EBITDA profitability and, as we look towards the future, weāre excited to build on our investments in augmented reality, mapping, and content to drive our ongoing growth.
$SNAP slumped 6% after hours.
Pinterest provided stellar earnings and sales results thanks to holidays and pandemic lockdowns. šš
Here are the numbers:
EPS: $0.43 vs $0.32 est.
Revenue: $706M, +76% YoY
Monthly active users grew 37%. Most notably, International MAUs grew 46% YoY. Hereās a cool infographic:
$PINS popped 7% after hours.
Pelotonās quarterly sales surpassed $1B for the first time. The stock got hit after hours even though the fitness brand couldnāt keep up with its customersā demand.
Here are the details:
EPS: $0.18 vs $0.09 est.
Revenue: $1.06B, +128% YoY
Subscribers: 1.67M, +134% YoY
$PTON fell 6% after hours.
Ford reported surprise earnings after the bell, announcing plans to increase spending in EV and autonomous driving to $29B through 2025. š šØ
Here are the numbers:
EPS: $0.34 vs ($0.07) est.
Revenue: $33.2B, -9% YoY
Ford President and CEO Jim Farley said:
The transformation of Ford is happening and so is our leadership of the EV revolution and development of autonomous driving. Weāre now allocating a combined $29 billion in capital and tremendous talent to these two areas, and bringing customers high-volume, connected electric SUVs, commercial vans and pickup trucks.
$F was flat after hours.
23AndMe Goes Public š§¬
The DNA-testing company 23AndMe Inc. will go public through its deal with billionaire Richard Bransonās SPAC, VG Acquisition Corp.
The deal values 23AndMe at $3.5Bā both Branson and the companyās CEO, Anne Wojcicki, will invest $25M into 23AndMeās public equity offering.
The dealās expected to close in Q2 2021, but 23AndMeās SPAC merger means no IPO. CEO Anne Wojcicki said:
Covid-19 has really opened up doors…Iāve had this dream since 2003 that genetics would revolutionize health care and thatās really the era I see we can now usher in.
While itās fun to compare your genetic pie chart with friends and all, 23AndMeās technology might actually transform healthcare. š¤ Hereās Bloomberg with the details.Ā
Draftkings, Eh?
Draftkings has had a 2021 fit for kings. š Not only did the company launch its sportsbook in Michigan ($DKNG now has sportsbooks in 12 states), it also signed a deal with the Drone Racing League, too.
$DKNG didnāt put down its crown today, either. The company announced a deal with the NFL to become Canadaās official and exclusive daily fantasy partner. This means $DKNG will have sole access to NFL branding and collaboration opportunities in both the US and Canada. šŗšø šØš¦
When asked how DraftKings would celebrate the deal, the companyās Canadian division reportedly said āOh, ya know. Weāll probably head on down to the rink to drink some Timmy Hortons and play some hockey.ā
$DKNG gained 5% following the news. The stock closed within $1 of its all-time high. Hereās the daily chart:
Mattress Mack Moves Racks š°
Whatās the most youāve ever spent in an airport? Maybe $20-30 on a meal? For Jim āMattress Mackā McIngvale, that number is much, much higher⦠try $3.46M.
Late last night, āMattress Mackā flew to Colorado Springs (where sportsbooks are legal) and placed his bet on the DraftKings app for the Tampa Bay Buccaneers to cover the 3.5 point spread against the Kansas City Chiefsā his potential payout? $2.71M.
His bet is just a drop in the ocean for the game this weekend, though. The American Gaming Association predicts more than 7.6M people will place legal online bets, a 63% increase from last year.
If youāve ever bet $5 on a game, just multiply how nervous you were by 632,000 to find out how Mattress Mack is probably feeling right now. š
ETF Extravaganza š
Today, Fidelity launched four actively-managed ETFs to mimic its well-known active mutual funds. Here are the ETFs and their expense ratios:
- Fidelity Growth Opportunities ETF – $FGRO, 0.59%
- Fidelity Magellan ETF – $FMAG, 0.59%
- Fidelity Real Estate Investment ETF – $FPRO, 0.59%
- Fidelity Small-Mid Cap Opportunities ETF – $FSMO, 0.64%
$FSMO is the only new ETF that boasts a new strategy. The other three ETFs follow Fidelity’s existing mutual fund strategies.
Greg Friedman, Fidelityās Head of ETF Management and Strategy, said this about the new funds:
Theyāre all really different, but they all bring innovation and choice for our clients.
Fidelity Magellan mutual fund currently has $22B AUM, down from the ~$100B it managed in the late 90s.
Earnings This Week
Be sure to know when your stocks report earnings. Hereās the earnings calendar.Ā
Links That Donāt Suck
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