Thursday's Headlines: New Kid On The 'Block'

Thursday's Headlines: New Kid On The 'Block'

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

Baozun (BZUN) +5.5%

Huazhu Hotels Group (HTHT) +3.4%

Howard Hughes Corporation (HHC) +2.2%

Ford Motor Company (F) +2.0%

Intuit (INTU) +1.8%

Moving Down ⬇️

Cloudflare (NET) -12.8%

Upstart Holdings (UPST) -12.3%

Salesforce (CRM) -11.7%

Bill.com (BILL) -10.3%

Eventbrite (EB) -9.7%

1. Square (SQ) will be renaming its business to Block, effective December 10, 2021, but it will still trade under the ticker symbol SQ. CEO Jack Dorsey has mentioned the Square brand affiliation was originally meant for its point of sale and payments business, ”which is where it belongs”. The name Block has “many associated meanings for the company” as part of its strategy to foster growth in new sectors. Although Square is most famous for its peer to peer payment system Cash App, it has since received bank charter approval, acquired ‘Buy Now Pay Later’ (BNPL) firm Afterpay, moved into the music industry with its TIDAL acquisition, and has launched two separate crypto and blockchain businesses TBD and Spiral, which aligns well with this move. Read the full press release here.

2. Cloud-based banking firm nCino (NCNO) reported an earnings beat last night. Total revenue grew 27% year-over-year (YoY) to $70 million, and subscription revenue was up 32% YoY to $57 million. nCino has expanded its international presence, signing on new customers in the U.K. and New Zealand, as well as obtaining its first Japanese customer, Kiraboshi, a firm with over $50 billion in assets under management (AUM). nCino recently acquired SimpleNexus, a cloud-native mortgage platform that will expand its current digital offering in an increasingly competitive environment. Read the full press release here.

3. Veeva Systems (VEEV), the cloud-based pharmaceuticals and life sciences company, surpassed estimates with its fourth consecutive earnings beat. Earnings per share (EPS) came in at $0.97 v.s. $0.88 expected and the company reported $476 million in revenue, a 26% increase YoY, with subscription revenue growing 26% as well. During the quarter, Veeva signed seven deals that are set to bring in more than $1 million in revenue each and brought in fifteen small to medium-sized enterprise deals. However, guidance for fiscal year (FY) 2023 was lower than expected, coming in at $2.15 billion to $2.17 billion v.s. estimates of $2.19 billion. This led to a decline in the after-hours infused with the broader market sell-off on the news of the first U.S. Omicron case. Read the full press release here.

Four companies on the MyWallSt shortlist that will report earnings today:

DocuSign (DOCU)
Duluth (DLTH)
Smartsheet (SMAR)
Ulta Beauty (ULTA)

Get this week’s full earnings calendar here. 

David GranahanDavid Granahan

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