Wednesday’s Headlines: Why Did Spotify Jump 8%?
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Moving Down ⬇️
1. Shares in Spotify Technology jumped 8.4% on Tuesday after the digital music streaming company announced a blockbuster partnership with Joe Rogan, worth a reported $100 million. Spotify signed the popular podcast personality to an exclusive multi-year license deal, effectively giving them sole rights to one of the most downloaded and engaged-with podcasts in the world. The move is a big leap in the right direction for Spotify, which has been moving to differentiate itself from its main rival, Apple Music, who recently claimed to have the world’s largest podcast selection. Read the full story here.
2. Shares in Home Depot fell nearly 3% on Tuesday, despite Q1 sales coming in stronger than expected with 6.4% growth. For the first quarter that ended May 3, Home Depot reported that net income fell 10.7% to $2.25 billion, or $2.08 per share, compared with $2.51 billion, or $2.27 per share, a year earlier. Profits were weighed down by the company’s investment in employee welfare as well as raises during this pandemic, which it claims will benefit the company in the long run. Get the complete earnings report here.
3. Shares in Facebook rose almost 2% on Tuesday after CEO Mark Zuckerberg announced Facebook Shops, the company’s new e-commerce platform. The free feature will let businesses set up product listings on their Facebook Page, Instagram profile, Stories or in ads, the company detailed. As ad-revenue decreases amidst the pandemic and e-commerce thrives, it makes sense for Facebook to spread its risk away from over-reliance on ad revenue, but it remains to be seen if consumers will trust a Facebook-owned commerce platform. Read the full story here.