Thursday’s Headlines: Tesla Tops Wall Street's Expectations
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Pinterest (PINS) +12.8%
StoneCo (STNE) +5.1%
Baozun (BZUN) +4.3%
Ford Motor Company (F) +4.0%
IMAX (IMAX) +3.8%
Moving Down ⬇️
Planet Fitness (PLNT) -5.0%
PayPal (PYPL) -4.9%
Tripadvisor (TRIP) -3.5%
Booking Holdings (BKNG) -3.2%
Upstart Holdings (UPST) -3.1%
1. Tesla's (TSLA) earnings smashed estimates last night after its deliveries, revenue, and profitability all set record highs. Beating the top and bottom line expectations, the famous EV maker reported adjusted earnings per share (EPS) of $1.86 on sales of $13.76 billion, up a staggering 57% year-over-year. Net income also made a significant leap to $1.62 billion, up from the $331 million it posted at the same time last year. Despite struggling with “semiconductor shortages, congestion at ports and rolling blackouts,” Tesla reiterated its prior guidance that it expects to “achieve 50% average annual growth in vehicle deliveries” over the next few years. See the full report here.
2. Shares of Pinterest (PINS) soared yesterday after reports emerged that PayPal (PYPL) was exploring the idea of purchasing it. The potential deal would have PayPal paying around $70 a share, valuing Pinterest at anywhere between $39 billion and $45 billion. Pinterest stock surged 12% to $62.68, while PayPal dropped 5% following the news. Pinterest has recently developed new features which further its potential as a discovery platform for online shopping. This could be one of the driving forces behind PayPal’s interest, as it looks to fend off pressure from Shopify (SHOP) in the e-commerce space. Read more here.
3. Spotify (SPOT) and Shopify have teamed up to help creators and artists design “fully realized” brands. Artists will be able to list their products and merchandise on their Spotify profiles and pick three featured items to spotlight, directing fans straight to their Shopify store. Shopify is also pushing new member growth, offering a 90-day free trial to those not already using its platform. This move follows a similar strategy Shopify has taken on the TikTok platform as it tries to make itself the “go-to” business platform for creators. It’s a good move for Spotify too, which will be keeping artists happy and giving them the tools to build and monetize their brands. Read more here.
There are two companies on the MyWallSt shortlist that will report earnings today:
Get this week’s full earnings calendar here.