Wednesday’s Headlines: At-Home Stocks Lag As Travel Soars
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Moving Down ⬇️
1. Stocks surged on Tuesday, adding to their strong gains from last week, as optimism grew about the reopening of the economy and a potential coronavirus vaccine. The Dow jumped 2.2% and is pointing towards a 200 point gain on Wednesday morning, while the S&P 500 rallied 1.2%. The tech-heavy Nasdaq lagged behind the rest however with just 0.2% growth, as many at-home tech stocks such as Netflix fell due to large parts of the economy reopening. Read the full story here.
2. Warren Buffett-backed stock StoneCo fell short of first-quarter earnings estimates late Tuesday, but the stock jumped 27% after hours on signs of rebounding payments activity. Earnings came in at $0.13 a share on revenue of $162 million, while total payments volume grew 42.1% and total active clients soared 74% to 531,300. StoneCo’s home country of Brazil has been devastated by the coronavirus recently, and despite rising 15% in the past month, StoneCo stock has still fallen 37% YTD. Get the full earnings here.
3. TripAdvisor was the main beneficiary of improved consumer confidence on Tuesday, as the travel stock jumped 15.6%. Having lost more than 30% of its value year-to-date, TripAdvisor stock reached a 52-week high on Tuesday of $21.86 as many countries, including Spain, began curbing holiday restrictions. It is unlikely that this rally will continue for travel stocks as the damage done by the coronavirus will require a long recovery, but it’s a start. Get the complete report here.