Thursday’s Headlines: Tesla Rues Its Bitcoin Ties
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
nCino (NCNO) +5.7%
Ctrip (TCOM) +4.0%
Wix (WIX) +3.6%
Cognex (CGNX) +3.5%
Moving Down ⬇️
Under Armour (UAA) -3.2%
Nordstrom (JWN) -3.1%
Duluth Trading (DLTH) -3.1%
ShotSpotter (SSTI) -3.0%
iRobot (IRBT) -2.8%
1. Shares in Tesla (TSLA) fell as much as 6% during trading hours on Wednesday due to its affiliation with Bitcoin (BTC), which suffered one of its worst-ever crashes. With the world’s largest cryptocurrency falling more than 30% at one point, Tesla investors, who had bought in because of the company’s recent BTC acquisitions, appeared to get cold feet, selling off in droves. Things got worse for Tesla after reports emerged on Wednesday that, for reasons unknown, over 10,000 electric cars that came out of its Fremont Factory are on a “containment hold” and can’t be delivered to customers. Read the full story here.
2. Facebook (FB) has revealed yet another revenue avenue it intends to explore as it moves away from ad reliance: pay-per-view. Launching its events product last August, Facebook has outlined plans for expanding into paid online events, allowing its streaming feature to allow users pay for virtual ‘tickets’. The plan is to help businesses, including sports companies, make more money in a changing content consumption landscape. With roughly 2.5 billion daily active users accessing Facebook products as of Q1 this year, investors will be keeping a keen eye on the success of this feature at future earnings events. Read more here.
3. It was a quarter to be proud of for Copart (CPRT) after the online vehicle auctioneer reported growth across the board in its Q1 earnings release last night. For the three months ended April 30, 2021, revenue, gross profit, and net income were $733.9 million, $381.3 million, and $286.8 million respectively. This represented revenue growth of 33.4% year-over-year (YoY), while fully diluted earnings per share came in at $1.19, up from $0.62 a year ago. The company appears to have benefited from a rise in disposable income among households forced to curb spending due to lockdown. At 11 AM Eastern Time today, Copart will hold a press conference to discuss its results. Meanwhile, you can read the official press release here.
Get this week’s full earnings calendar here.