Tuesday’s Headlines: Safety Probes Send Tesla Shares Tumbling

Tuesday’s Headlines: Safety Probes Send Tesla Shares Tumbling

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

TrueCar (TRUE) +2.3%

Paycom (PAYC) +2.1%

Chuy's (CHUY) +2.1%

FedEx (FDX) +1.6%

FactSet (FDS) +1.6%

Moving Down ⬇️

Redfin (RDFN) -7.7%

Baozun (BZUN) -5.4%

Sea Limited (SE) -5.3%

Twilio (TWLO) -5.0%

Eventbrite (EB) -4.9%

1. Tesla (TSLA) shares closed down 4.3% yesterday after the National Highway Traffic Safety Administration (NHTSA) announced that safety regulators have launched a formal investigation into its Autopilot system. Following a series of crashes involving Tesla cars that tragically left 17 people injured and one dead, the safety report is covering roughly 765,000 of its vehicles which were built between 2014 and 2021. Recently, there have been numerous probes into Tesla’s Autopilot, its self-driving feature that requires a human to control, including an investigation in March after its Model Y allegedly drove into a stationary police vehicle. Read more on the story here

2. The recovery rally is in full swing, evidenced by the S&P 500 (VOO) doubling yesterday from its pandemic closing low, marking the fastest bull market run since World War II. On Monday, the major benchmark closed at a record 4,479.71, up over 100% from its bottom of 2,237.40 on March 23, 2020. Analysts say it usually takes bull markets over 1,000 trading days to reach a market milestone like this, proving how impressive the recovery rally has been. The leap can be attributed to the unprecedented monetary and fiscal stimulus from the government, coupled with a big earnings comeback as corporate profits have soared from pandemic lows. Catch up on the full story here

3. On the acquisition front, Roblox (RBLX) has just snapped up Discord rival Guilded as part of its plan to flesh out its social infrastructure. The team at Guilded have been busy building a chat platform for competitive gamers, with added bonuses such as the ability for users to organize communities for events. Guided employees have stated that as Discord’s goals expanded beyond gaming, its main product was failing to meet gamers needs. Roblox might now be able to capitalize on Discord's shortcomings by offering a service that fulfills all those wants and more. Financial details have not been released but Roblox has confirmed that Guilded will run as an independent product group. See more on the story here

There are two companies on the MyWallSt shortlist that will report earnings today:

Home Depot (HD)
Sea Limited (SE)

Get this week’s full earnings calendar here.

NicoleNicole

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