Monday’s Headlines: StoneCo Soars on Positive Outlook

Monday’s Headlines: StoneCo Soars on Positive Outlook

Here were the biggest movers in the MyWallSt shortlist on Friday:

Moving Up ⬆️

StoneCo (STNE) +42.0%

Shopify (SHOP) +18.7%

Coupa Software (COUP) +10.7%

Square (SQ) +9.9%

DocuSign (DOCU) +9.5%

Moving Down ⬇️

FedEx (FDX) -4.0%

Calavo Growers (CVGW) -3.9%

Eventbrite (EB) -2.9%

ShotSpotter (SSTI) -2.2%

Stitch Fix (SFIX) -1.2%

1. StoneCo (STNE) saw its stock skyrocket by 42% on Friday following its fourth-quarter earnings call. The financial technology solutions company posted better than expected earnings and a notably positive outlook, sending investors scrambling to buy up the stock. StoneCo met expectations for earnings, posting a figure of $0.03 per share. The firm then announced revenue of $369.3 million, beating predictions of $339 million while displaying growth of 87% year over year (YoY). StoneCo expects both total revenue and income to grow between 113% and 119% during the coming quarter. CEO, Thiago Piau, stated that the company will “continue to invest heavily on our growth” across 2022. See StoneCo’s full earnings report here.

2. Disney (DIS) is set to temporarily close its Shanghai Disney resort from today amid revitalized COVID fears. China is currently in the middle of its most significant wave of COVID-19 since the initial outbreak in 2020, with Shanghai currently undergoing a city-wide testing program. A statement from Disney explained that the company “will continue to monitor the pandemic situation and consult local authorities, and will notify guests as soon as we have a confirmed date to resume operations.” While this only represents the closure of one of Disney’s parks, investors would be wise to monitor the situation, as the closure of multiple resorts could have a significant impact on Disney’s revenue. Read more on the story here.

3. Amazon (AMZN) finally closed its long-awaited acquisition of MGM last week following months of regulatory uncertainty. The purchase was originally announced in May last year, and last Thursday saw the deadline pass for the Federal Trade Commission to formally challenge the deal. Amazon will now add some significant names to its already stellar on-demand video offerings, with global franchises such as the ‘James Bond’ movies now under Amazon’s umbrella. The purchase will cost close to $8.5 billion. Mike Hopkins, senior vice president of Prime Video and Amazon Studios, welcomed “MGM employees, creators, and talent to Prime Video and Amazon Studios” and expressed that “we look forward to working together.” Find out more information here.

There is one company on the MyWallSt shortlist that will report earnings today:

Nike (NKE)

Get this week’s full earnings calendar here.

Pádraig BolgerPádraig Bolger