Monday’s Headlines: TikTok Is Here To Stay
Here were the biggest movers in the MyWallSt shortlist on Friday:
Moving Up ⬆️
Zoom Communications (ZM) +6.2%
ShotSpotter (SSTI) +4.7%
Tesla Motors (TSLA) +4.4%
Shopify (SHOP) +3.5%
Moving Down ⬇️
Planet Fitness (PLNT) -4.4%
Under Armour (UAA) -3.8%
Eventbrite (EB) -3.3%
Apple (AAPL) -3.2%
1. The saga is finally coming to an end after President Trump said this weekend that he has given his blessing to a deal in which Oracle (ORCL) and Walmart (WMT) would partner with TikTok in the U.S. Oracle will become TikTok’s cloud provider and a minority investor with a 12.5% stake while Walmart is taking a 7.5% stake, with CEO Doug McMillon serving as one of five new board members at the company. TikTok’s ban on U.S. app store’s has been pushed back one week in order to see the deal through, and while Chinese parent company ByteDance will retain 80% ownership, due to the 40% ownership of ByteDance by U.S. venture capitalist firms, technically it will be majority U.S.-owned. Read the full story here.
2. Move over Snowflake (SNOW), we’ve got a hot new IPO after shares of Unity (U), a video game software developer, jumped 31.44% in its market debut Friday on the New York Stock Exchange. The company priced its shares at $52 after it lifted the range last Wednesday to between $44 and $48, then began trading at $75 per share on its debut Friday and closed at $68.35. Founded in 2004, Unity has become a major player in game creation over the past decade, having helped develop titles for EA (EA), Take-Tow (TTWO), Tencent, and many more. Get the official press release here.
3. Nikola (NKLA) announced early Monday that founder Trevor Milton is voluntarily stepping down from his roles as executive chairman and a member of its board following accusations of fraud. Earlier this month short-selling firm Hindenburg Research accused Nikola of fraud and misleading investors leading to reports that the SEC and DOJ are now both investigating the business. Since the report was published on September 9, Nikola shares have fallen more than 31%, but the electric vehicle manufacturer will be hoping that Milton’s replacement, former vice chairman of General Motors (GM) and Nikola board member Stephen Girsky, can begin righting the ship. Read more here.