Friday’s Headlines: Disney’s Parks Return to Profit

Friday’s Headlines: Disney’s Parks Return to Profit

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

Bumble (BMBL) +6.6%

DraftKings (DKNG) +4.7%

The Trade Desk (TTD) +3.9%

Twilio (TWLO) +3.5%

Sea Limited (SE) +3.1%

Moving Down ⬇️

Lemonade (LMND) -7.2%

TrueCar (TRUE) -4.1%

Baozun (BZUN) -3.5%

2U (TWOU) -3.2%

Tripadvisor (TRIP) -3.0%

1. It was the best quarter Disney {DIS) has had since before the COVID-19 pandemic entered our lives. An earnings beat of $0.80 per share on revenue of $17 billion was massively boosted by a return to profitability for its Parks, Experiences and Products segment, which saw revenue rise 308% year-over-year (YoY) to $4.3 billion. The resurrection of the theme park industry is critical to Disney’s bottom line; as its most-profitable segment, and with vaccine rollouts continuing and restrictions easing, Disney will be looking to get back to pre-pandemic levels within the year — provided that the Delta variant doesn’t scupper these plans. Read the official press release here

2. Another company with soaring earnings that is looking warily at rising Delta cases is Airbnb (ABNB). Revenue jumped almost 300% YoY to $1.34 billion, thanks mainly to restrictions easing and a 29% rise from Q1 in Nights and Experiences booked to 83.1 million. Despite this, shares dropped after-hours as the company warned that it is bracing for volatility as a result of the COVID-19 Delta variant, which it expects to affect travel behavior, specifically in regard to how often and when guests book and cancel. Lockdowns might be in our rearview mirror, but COVID continues to wreak havoc on any sort of attempts at prediction. Read the official statement from Airbnb here

3. A group of U.S. senators is looking to end Google (GOOG) and Apple’s (AAPL) app store dominance once and for all with a new bill. The so-called ‘Open App Markets Act’ would require companies that control operating systems (iOS and Android) to allow third-party apps and app stores on their devices. Simultaneously, the act would prevent Apple and Google from blocking any attempts by third parties to advertise lower prices outside of Android and iOS stores. “This legislation will tear down coercive anticompetitive walls in the app economy, giving consumers more choices and smaller startup tech companies a fighting chance,” said Senator Richard Blumenthal, who introduced the bipartisan bill with Senator Marsha Blackburn, and Senator Amy Klobuchar. Read the full story here.

JamieJamie

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