Tale of the Tape
Good evening, everyone, and Happy Hump Day!! 🐫
The market of stocks was a sea of red today as all four major indices closed lower.
Healthcare showed a pulse today. ❤️ $XLV gained a percent.
Clean Energy Fuels was the flavor of the day for retail traders, rivaled only by the $CLOV drama (more on this below). $CLNE climbed 31.5% and another +10% after hours. Check out the chart:
Bitcoin bounced back 8.25% to ~$36,200. Is this a dead cat bounce? Or is $BTC.X for real?? Time will tell…
The TikTok Saga lives on— President Biden reversed former President Trump’s executive order targeting TikTok and WeChat. The Biden Administration instead issued a new security inspection order.
GameStop reported earnings after the bell, and named its new CEO. 🎉 🔔 See more below.
Here are the closing prints:
Restoration Hardware reported killer Q1 earnings and revenue after the bell today. The high-end furniture chain grew revenue ~80%.
Here are the stats:
EPS: $4.89 vs $4.03 est
Revenue: $860.8M, +78% YoY
RH CEO Gary Friedman said:
A strong housing and renovation market, both with pent up demand and a long tail, a record stock market, low interest rates and the reopening of several large parts of our economy. Additionally, the un-masking of the general public could lead to a Roaring Twenties type of consumer exuberance. Town & Country captured that feeling perfectly on the recent cover of their magazine, titled, “Remember Fun? Get Ready for the Comeback!
$RH ripped 7% after hours.
GameStop topped earnings and sales estimates with ease. The company also announced new executives. 🚀 🎮
Here are the numbers:
EPS: ($0.45) vs ($0.82) est
Revenue: $1.28B, +25% YoY
$GME’s new CEO is Matt Furlong, and Mike Recupero will take over as CFO. Both executives previously worked at Amazon.
$GME gave up 9% after hours.
The Memestock Saga, June ‘21 Edition 🚀
This month’s episode of the Memestock Saga? Clover Health ($CLOV). ☘️
Over the last two weeks, Reddit users and retail traders have dumped $1.27B into Memestocks, rivaling January’s $GME action.
$CLOV swelled 86% yesterday as traders squeezed Clover Health bears, costing short sellers as much as $502M— 43.5% of $CLOV’s float shares sold short. One trending Reddit post commented:
This looks like the perfect setup for a combined short and gamma squeeze. I see no reason why CLOV couldn’t reach the same price point as AMC did last week (>$70). It might even go higher than that.
$CLOV closed down 23.61%.
Welcome to the Future, BTC. 🇸🇻
It’s official!! El Salvador is the first country to adopt Bitcoin as legal tender— the crypto is now legal currency alongside the US dollar. 🥳 🥳
On Wednesday, El Salvador’s Congress passed the Bitcoin Law with 62/84 of the legislature’s total vote. #LeyBitcoin buzzed on Twitter and the market cheered. $BTC.X flew ~10% while other altcoins also turned green. 💚
But the cherry on top was Salvadoran President Nayib Bukele’s tweet on the country’s green mining solution… volcanoes. 👀 🌋
Solana’s Big Sale
Solana, another self-proclaimed ‘‘Ethereum Killer,’’ just raised $314M in one of the largest-ever recent token sales. 🤑
Legendary VC firm Andreessen Horowitz and Polychain Capital (a crypto hedge fund) led the funding round. Solana’s sale involved a purchase of SOL digital tokens instead of traditional equity.
Solana aims for lower fees and faster processing times, a challenge for competitor Ethereum. With fresh capital, Solana intends to speed up its project development. 💪
Could Solana replace the Ethereum network one day?? Solana’s making moves, but still has a lot of ground to gain.
Chipotle’s Inflation Woes
Inflation has found its way to lumber, real estate, computer chips, etc, etc. But now, inflation’s getting personal: it’s coming for our burritos. Our Chipotle burritos. 🌯
There are, however, some unhappy Chipotle-goers. And no, they’re not upset because guac is still considered an ‘extra side.’ 😂
Chipotle’s CEO made $38M in 2020 (more than 3,000x the average store employee). Guac stans think a CEO pay cut could fund employee raises and maintain prices. 🤔
Links That Don’t Suck
💰 InteractiveBrokers Announces It Will Offer Crypto Trading
📈 SEC Pursuing Broad Review of Stock-Market Structure, Chairman Says
💉 US to Donate 500 Million Pfizer Vaccine Doses Globally
👋 Farewell, Millennial Lifestyle Subsidy
🤖 Google Launches Android 12 Beta 2
🚂 Zaha Hadid Architects Set to Design Italian Hyperloop System
🤩 A Hotel Chain Is Offering a Month Worth of Stays for $500