Friday’s Headlines: Ford’s Roaring With Confidence
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Twilio (TWLO) +7.9%
Smartsheet (SMAR) +6.3%
Cloudflare (NET) +6.3%
Bill.com (BILL) +6.2%
Shopify (SHOP) +6.1%
Moving Down ⬇️
Duluth Trading (DLTH) -5.0%
Chuy's (CHUY) -3.6%
Texas Roadhouse (TXRH) -3.2%
1. Not one day after rival GM (GM) announced a massive EV plan, Ford Motors (F) is telling investors to expect big things from its Q2 earnings. Despite previously stating that net income will be lower due to investments in electric vehicles and growth, Ford claimed that Q2 2021 earnings before interest and tax will far surpass Q2 2020, “driven by lower-than-anticipated costs and favorable market factors.” In April, Ford forecasted its full-year adjusted pretax profit to range from $5.5 billion to $6.5 billion, including an adverse effect of about $2.5 billion from the ongoing semiconductor shortage. Investors will be pleased by this broad outlook and look forward to Q2 earrings next month. Read the official press release here.
2. Facebook (FB) may be branching out into hardware, AR, e-commerce, and more, but its bread-and-butter remains ad revenue. This revenue is expected to grow even further too, after the company brought ads to its short-form video service and TikTok copycat Reels. 30-second commercials will now be played on a loop between videos. “I think brands are getting quite sophisticated in how they use new short-form video formats, including Reels, to tell their own stories. And then advertising is a natural opportunity for brands to reach consumers they want to reach,” said Instagram COO, Justin Osofsky. Read the full story here.
3. For any ‘Breaking Bad’ fans out there, Constellation Brands (STZ) has got some exciting news for you. The Corona brand owner has taken a minority stake in Dos Hombres, the mezcal brand started by the stars of the award-winning drama, Bryan Cranston and Aaron Paul. Financial terms of the deal were not disclosed, but if past deals with celebrity alcohol brands are any indication, it could be a lot of money. After all, Diageo reportedly forked out $1 billion for a George Clooney tequila brand, and a further $610 million for Ryan Reynolds’ Aviation Gin. “Our goal is to make strategic, minority investments in high potential brands in growing categories,” said Constellation Ventures VP, Jennifer Evans. Read the official press release here.