Tuesday’s Headlines: Facebook Creates Clubhouse Clone
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
IMAX (IMAX) +2.8%
Netflix (NFLX) +1.4%
Ctrip (TCOM) +1.4%
Chuy's (CHUY) +1.2%
RH (RH) +1.1%
Moving Down ⬇️
TrueCar (TRUE) -6.5%
Shopify (SHOP) -5.1%
Twilio (TWLO) -4.6%
Bill.com (BILL) -4.6%
1. Mark Zuckerberg is stepping up to compete with Clubhouse after Facebook (FB) just unveiled plans to launch several audio products. The Clubhouse-style features include ‘Live Audio Rooms’, a podcast listening tool, short audio clips called "Soundbites", and ways to create sound effects. After the sudden explosion of interest in Clubhouse, Zuckerberg said that Facebook will "treat audio as a first-class medium in the way that we would photos or video." However, Facebook faces stiff competition in the audio space from Twitter (TWTR), Microsoft (MSFT), and Slack (WORK), who are all working on similar audio projects. See the full story here.
2. PayPal (PYPL) is launching a local wallet in China which will be focused on cross-border payments. By focusing only on international transactions, PayPal will not be competing with local payment companies Alipay and WeChat Pay but hinted that it will actually be cooperating with them. The fintech company, which is the first foreign firm with 100% ownership of a payments platform in China, has over 377 million individual users and over 20 million corporate users overseas, which the wallet will help connect to the country. PayPal China CEO Hannah Qiu explained: “What we need to do is to build a bridge, bringing good Chinese products overseas and taking good overseas products back to China.” Check out the full story here.
3. Tesla’s (TSLA) shares are under pressure after a fatal crash in Texas on Saturday involved a Tesla Model S. CEO Elon Musk denied that Tesla’s automated driving systems were to blame, stating: “Data logs recovered so far show Autopilot was not enabled & this car did not purchase FSD. Moreover, standard Autopilot would require lane lines to turn on, which this street did not have.” Two federal agencies are investigating the crash where, apparently, no driver was behind the wheel when the Tesla veered off the road. Tesla’s vehicle manuals warn drivers to only use Autopilot and Full Self-Driving features with “active supervision.” See the full story here.
Some earnings from last night:
The San Francisco-based company beat analysts' forecasts, reporting adjusted revenue of $1.02 billion, on earnings of $0.97 per share, up from $0.83 YoY. CEO Hamid R. Moghadam said demand is high for Prologis solutions, adding “With our well-positioned portfolio, differentiated customer offerings and abundant investment capacity, we expect to continue to outperform while delivering exceptional customer service." Read the entire press release here.
The beverage giant posted an earnings beat, recording revenue of $9.02 billion, or $0.52 per share, compared to $8.60 billion, or $0.55 per share, in the prior-year quarter. Squeezed into the report was the news that the company is also planning a public listing of Coca-Cola Beverages Africa within the next 18 months. Read the full press release here.
There is 1 company on the MyWallSt shortlist that will report earnings today:
Get this week’s full earnings calendar here.