Monday's Headlines: Elon Musk Reinstates Trump
Here were the biggest movers in the MyWallSt shortlist on Friday:
Moving Up ⬆️
StoneCo (STNE) +16.8%
Evolent Health (EVH) +14.7%
MercadoLibre (MELI) +3.8%
Core & Main (CNM) +3.7%
Moving Down ⬇️
Farfetch (FTCH) -11.3%
Trupanion (TRUP) -8.4%
Baozun (BZUN) -8.3%
Zillow (Z) -5.5%
Elon Musk Reinstates Trump 🐦
In a headline that will be of little surprise to many, Elon Musk has reinstated ex-president Donald Trump’s Twitter account. Musk conducted a poll on the social media platform asking his followers to decide if Trump should be allowed back on the site, with a slight majority voting in favour. Early Sunday morning, Musk tweeted: “The people have spoken. Trump will be reinstated. Vox Populi, Vox Dei.” Trump’s account was reactivated shortly after.
The news comes after Trump’s announcement that he will run for the presidency in 2024. Interestingly, the ex-president has come out and said he sees no reason to return to Twitter and plans to remain on his own social media platform Truth Social. There has been no activity on his account since its reactivation. Trump was banned from Twitter on January 8, 2021, after it was deemed he incited violence in the build-up to the January 6th riots on the Capital.
The controversial rapper Kanye West has also been reinstated. West, AKA Ye, had his account locked before the merger after an anti-Semitic outburst breached community guidelines. Musk replied to a tweet from Ye on Sunday after his account was reactivated.
The moves bring into question the proposed “content council” Musk initially stated would oversee account reinstatements, and further adds to the volatility of the platform with advertisers already pausing activity before this weekend.
Grindr Soars on Public Debut 📈
The LGBTQ+ dating app Grindr made its public debut on Friday under the ticker GRND after the completion of its SPAC merger with the blank check company Tiga Acquisition. Shares opened at $16.90, soared as high as $71.50 intraday, before closing at $36.50 at market close in what was a wild day of trading. The surge, in part, can be attributed to the excitement around the business combined with the relatively small number of available shares.
The success of Grindr on Friday marks a big step for inclusion on Wall Street, with the day marked by a live drag performance on a rainbow stage outside the New York Stock Exchange. CEO George Arison had this to say:
“It’s a pretty incredible thing that the company whose primary user base is gay and bisexual men, built by and for the LGBTQ population, with an employee base that is heavy in that cohort of the population as well, is now going public. It’s not something that would not have happened 20 years ago, probably wouldn’t have happened even 10 years ago.”
Grindr boasts an international base of over 11 million monthly active users, with the average user spending 61 minutes a day on the platform. The first half of 2022 saw the company grow revenues by 42% to $90 million and its total addressable market is estimated to be $4 billion this year.
Bob Iger back as Disney CEO 👸🏼
After less than a year, Bob Iger is back as CEO of The Walt Disney Company following a meeting of the board of directors on Sunday Night.
“The board has concluded that as Disney embarks on an increasingly complex period of industry transformation, Bob Iger is uniquely situated to lead the company through this pivotal period,” said Susan Arnold, chairman of Disney’s board.
The board also offered its thanks to outgoing CEO Bob Chapek for guiding the company through the pandemic. Last week it reported quarterly results that disappointed investors. Though the company saw record revenues in many of its segments, the bottom line continues to be pressured by rising costs in its content streaming division. Chapek said he remained optimistic that the streaming business would be profitable by September 2024.
Iger’s return comes as a surprise, particularly as he has twice publicly stated that he wasn’t interested in the role. Mr Chapek received unanimous support from the company’s board of directors earlier this year after a high-profile disagreement with Florida governor Ron DeSantis over the Paternal Rights in Education bill. Disney is the largest employer in Florida.
Iger had previously served as CEO from 2005 until his contract expired in 2020. He then served as Executive Chairman before retiring in 2021. During his 15-year stewardship of the company, Iger made several large acquisitions — buying up Pixar, Marvel, Lucasfilm, and the entertainment assets of 21st Century Fox.