Thursday’s Headlines: Slack Makes A Rare Acquisition
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Sea Limited (SE) +10.2%
Slack Technologies (WORK) +8.8%
Twitter (TWTR) +7.3%
Evolent Health (EVH) +6.7%
Datadog (DDOG) +6.7%
Moving Down ⬇️
Gentex (GNTX) -1.6%
Retail Opportunity Investments Corp (ROIC) -1.7%
Tesla Motors (TSLA) -1.7%
Calavo Growers (CVGW) -2.7%
Duluth Trading (DLTH) -2.9%
1. Shares of Slack (WORK) jumped 8.8% on Wednesday after announcing the acquisition of advanced-directory business Rimeto for an undisclosed fee. Slack will integrate Rimeto’s offering with its own premium platform as well as offer its stand-alone product, with Slack CEO Stewart Butterfield assuring investors that the move would have no impact on the company’s fiscal outlook. Slack has enjoyed a strong run in 2020 so far despite intense competition from Microsoft Teams (MSFT), its stock jumping 48% YTD. Read the complete report here.
2. Don’t rule out e-commerce just yet as the booming sector helped Singapore-based Sea Ltd (SE) rise 10.2% on Wednesday. Analysts have almost doubled their price targets for the company to $138 per share as lockdowns and a dip in physical retail in Southeast Asia have helped the company’s Shopee service grow whilst also attracting more gamers to its popular ‘Free Fire’ videogame. Sea Ltd shares have jumped 210% YTD compared to the S&P 500’s (VOO) decline of 2.7%. Read more here.
3. Jack Dorsey’s Twitter (TWTR) enjoyed a 7.4% stock price hike on Wednesday as rumors circulate of a new subscription service from the social media giant. Ironically, it was users on Twitter who got their eyes on a job posting for a developer to work on a team codenamed Gryphon, before it was removed. "We are building a subscription platform, one that can be reused by other teams in the future," the post read. "This is a first for Twitter! Read more here.