Wednesday’s Headlines: Apple Shakes Lending Industry

Wednesday’s Headlines: Apple Shakes Lending Industry

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

Baozun (BZUN) +4.8%

Ericsson (ERIC) +2.2%

Mastercard (MA) +2.2%

Sea Limited (SE) +1.8%

Autodesk (ADSK) +1.5%

Moving Down ⬇️

Redfin (RDFN) -4.8%

Lemonade (LMND) -4.7%

GoPro (GPRO) -4.6%

IMAX (IMAX) -4.3%

Eventbrite (EB) -4.2%

1. Rumors that Apple (AAPL) is working on a buy now, pay later service with Goldman Sachs sent shares of competing lending services tumbling yesterday. Affirm, a lending service for retailers, stock fell more than 10% on Tuesday whilst Afterpay, an Australian firm that offers instalment payments, also dropped over 7% following the report. Apple is fleshing out the services its Wallet app can offer by allowing consumers to buy a pricey product and pay for it in instalments. Any new service that can bring in more revenue to boost Apple’s share price is great news for shareholders. As the iPhone maker takes on the payment plan sector, rival services will need to watch this space. More here.

2. More bad news for Tesla (TSLA) bulls, CEO Elon Musk stated that the company can’t keep up with demand for Powerwalls due to chip shortages. Musk said that demand for its home backup batteries currently stands at 80,000 units but in the “best case,” he said the company can produce between 30,000 to 35,000 this quarter. Whilst defending his role in Tesla’s 2016 acquisition of SolarCity for $2.6 billion, the eccentric boss claimed that Powerwalls would not have been able to build without buying SolarCity. The declarations come just weeks after Tesla announced that it's expanding its Powerall line to China alongside the Supercharger and Solar. Read more here

3. Google (GOOG) has been slapped with a €500 million ($589 million) fine from the French Competition Authority (FCA) over bad faith negotiations with publishers over the use and payment for their content. Publishers have recently gained the right to seek payment for the use of their content on third-party platforms under the European Union’s controversial Copyright Directive, which aims to shift power toward creators rather than platforms such as Google News. According to the FCA, Google allegedly forced deals with publishers to be focused on News Showcase, a product that doesn’t show all of the places articles can pop up across Google’s platforms. Secondly, the FCA says Google isn’t willing to negotiate sharing revenue from all the ads. See more here.