Thursday’s Headlines: Can Anything Stop Shopify’s Rise?

Thursday’s Headlines: Can Anything Stop Shopify’s Rise?

Here were the biggest movers in the MyWallSt shortlist yesterday:

Moving Up ⬆️

MELI +19.6%

TRUE +11.9%

MTCH +9.1%

WIX +8.6%

ETSY +7.5%

Moving Down ⬇️

HHC -3.8%

ANET -5.6%

ROIC -6.9%

PINS -14.8%

NLS -21.2%

1. When the brick-and-mortar businesses of the world begin to pivot to e-commerce, Shopify stands to gain the most, as evidenced by its Q1 earnings report. Shares jumped 6.91% on Wednesday after the company reported a 210% increase in adjusted earnings to $0.19 per share on revenue of $470 million — a 47% rise year-on-year. The company also reported an important 34% jump in subscription revenue, while merchant solutions shot up 57%, definitively proving that e-commerce reigns supreme during pandemics. Read the full story here

2. As public gyms around the globe remain closed, Peloton has reaped the rewards, seeing its revenue surge 66% during its third fiscal quarter. Losses per share came in at $0.20 on top of revenue of $524.6 million, versus estimates of -$0.17 per share on $487.7 million. Looking to the full 2020 fiscal year, Peloton is now calling for total revenue to reach between $1.72 billion and $1.74 billion, versus previous estimates of between $1.53 billion to $1.55 billion. Get the complete report here.  

3. Jack Dorsey-owned Square saw losses more than double in the first quarter as it dipped into its reserves in order to combat the COVID-19 downturn. The company posted a net loss of $106 million, or $0.24 a share, compared with a loss of $38 million, or $0.09 a share, in the year-earlier period. Shares in the payment processing firm dipped more than 4% in pre-trading on Thursday, but the stock is still up more than 30% in the past month alone. Read here for the full story

Elsewhere, other MyWallSt stocks reported earnings:

Etsy: The vintage reseller revealed an EPS miss of $0.10 on top of a 35% revenue increase YOY to $228.06 million. Despite active buyers increasing to almost 48 million, the company was forced to pull full-year guidance due to the pandemic. 

PayPal: The payments processor felt the sting of COVID-19 in Q1 with an earnings miss of $0.07 per share on revenue of $84 million. However, the company reassured investors that Q2 has been successful so far, and that May 1 was its highest volume transaction day ever. 

Twilio: Shares were up as much as 25% in extended trading on Wednesday after the company reported EPS of $0.06 on revenue of $364.9 million — up 57% YOY. “Given the strength of our balance sheet, as well as the size of the opportunity in front of us, our intention is to continue investing through the cycle,” said Khozema Shipchandler, Twilio’s finance chief.

Earnings today

There are 4 stocks in the MyWallSt app that will report earnings today:

  • Roku

  • The Trade Desk

  • Booking Holdings

  • GoPro


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