Thursday’s Headlines: Twitter Is Ripping Off Facebook
1. Zoom Video Communications Inc. shares initially tumbled as much as 10% in after-hours trading Wednesday after it reported better-than-expected results but guidance that did not meet lofty expectations. Zoom reported net income of $15.3 million, or $0.05 a share, on top of revenue of $622.7 million, up 88% year over year. However, the Wednesday dip may end the teleconferencing company’s recent spectacular stock run as one of the few tech companies to benefit from the coronavirus fears. Get the full report here.
2. Alcohol giant Brown-Forman reported third-quarter fiscal 2020 results, wherein earnings and sales missed estimates. Shares of Brown-Forman declined 3% in the pre-market trading before closing on Wednesday slightly up, after reporting net sales of $899 million versus expectations of $950 million, with EPS of $0.48, up 2% on last year. Notably, underlying sales for its premium bourbon brands, including Woodford Reserve and Old Forester, grew 22%. Read the complete report here.
3. It looks like Twitter is taking a leaf out of Facebook’s playbook, and will be testing its very own version of Instagram and Facebook’s ‘Stories’ feature — which Facebook ripped off Snapchat. The company announced Wednesday that it will begin to trial a new sharing format called “Fleets,” starting in Brazil, which will let users post ephemeral content to its social network for the first time. Unlike Tweets, Twitter’s new Fleets can’t receive Likes, Replies or Retweets, and they’ll disappear entirely after 24 hours. Twitter stock rose 3% on Wednesday. Read the full story here.