Thursday’s Headlines: Is Roku Being Acquired?
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Lemonade (LMND) +5.8%
Tesla Motors (TSLA) +5.3%
Roku Inc. (ROKU) +4.5%
TrueCar (TRUE) +4.4%
Twitter (TWTR) +4.2%
Moving Down ⬇️
Stitch Fix (SFIX) -4.0%
Ericsson (ERIC) -3.2%
Monster Energy (MNST) -1.6%
1. Roku (ROKU) shares are on the rise after a report from The Wall Street Journal suggested that Comcast (CMCSA) might be considering an acquisition of the company. The brand-agnostic streaming platform shares rose 4.5%, even though the suggestions are purely speculation, after Comcast discussed its options in pushing into the streaming sector. As Roku has forged ahead as a real competitor in the video content space, interest from large companies proves just how formidable the firm has become. If Comcast doesn’t acquire Roku, the former could become stiff competition as rumors have emerged that it is working with Walmart and Hisense on developing streaming apps for televisions. Read more on the story here.
2. Tesla (TSLA) shares jumped more than 5% yesterday after it announced that it had opened its solar-powered charging station in Tibet, China. The stock gained momentum after shareholders were reminded that Tesla’s solar business may serve as an additional source of revenue in the near future. Tesla’s solar business, which it has from its 2016 acquisition of SolarCity, currently gets less interest compared to its vehicle venture but this might soon change if it finds a way to grow it. Elsewhere, some analysts attribute the move higher in Tesla stock to a sharp rise in Bitcoin prices, which jumped 15% yesterday. The automaker is linked to Bitcoin after it bought $1.5 billion worth of the cryptocurrency. More here.
3. The Amazon (AMZN) Prime Day event wound down yesterday and while discussions around the results were more muted than usual, they signaled a lift for third-party sellers. Just like the year prior, the e-commerce giant reported that third-party merchants' Prime Day sales grew more than Amazon’s primary retail business. These sellers netted $1.9 billion from the sale, boosted by pre-Prime Day promotions that gave shoppers a $10 discount if they bought from small businesses. Amazon never discloses total Prime Day sales, but experts noted that the firm did not categorize the event as its “biggest day ever” or the “largest shopping event in Amazon history.” Instead, the company referred to the sale as “two biggest days ever” for merchants. See more here.