Thursday’s Headlines: Tesla Dumps Bitcoin
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
ShotSpotter (SSTI) +25.4%
Diageo (DEO) +2.3%
Intuit (INTU) +1.2%
Moving Down ⬇️
Lemonade (LMND) -18.5%
Wix (WIX) -17.3%
Tripadvisor (TRIP) -9.4%
Duluth Trading (DLTH) -9.0%
Chuy's (CHUY) -8.0%
1. It’s hard to keep Tesla (TSLA) or its eccentric CEO out of the headlines these days, especially when that news is Bitcoin-related. Mere months after the EV leader began accepting Bitcoin as payment for its products, Elon Musk has suspended the practice, citing concerns about the use of fossil fuel for Bitcoin mining. Commenting on the company’s own Bitcoin holdings, the Tesla CEO said Tesla will not be selling any Bitcoin and intends to use it for transactions “as soon as mining transitions to more sustainable energy.” Read the full tweet here.
2. There is now a third certainty in life: death, taxes, and Big Tech avoiding said taxes, which was proven once more by Amazon (AMZN) on Wednesday. The e-commerce giant has won an appeal against its nemesis, the European Commission, which had ordered the company to pay back €250 million ($303 million) in taxes to Luxembourg, with the European Court citing a lack of evidence that Amazon had received any tax advantages in the small country. “We welcome the Court’s decision, which is in line with our long-standing position that we followed all applicable laws and that Amazon received no special treatment,” a spokesperson for Amazon said on Wednesday. Read more here.
3. Shares in Guinness parent company Diageo (DEO) rose 2.3% following confirmation that it was recommencing its return of capital program of up to £4.5 billion ($6.3 billion). The company cited strong sales this year, as well as a 14% full-year profit growth prediction thanks to reopenings, as the reasons that it will resume its share buyback scheme. The program was initially announced in July 2019 but was suspended in April 2020 after the repurchase of £1.25 billion ($1.75 billion) in shares, as the COVID-19 pandemic left the company with an unclear financial outlook. The move shows investors that normality is well and truly returning. Read the official press release here.
There is 1 company on the MyWallSt shortlist that will report earnings today:
Get this week’s full earnings calendar here.