Monday’s Headlines: Amazon’s Prime Day Hitch
Here were the biggest movers in the MyWallSt shortlist on Friday:
Moving Up ⬆️
Duluth Trading (DLTH) +11.3%
Atlassian (TEAM) +8.7%
Zoom Communications (ZM) +4.2%
Autodesk (ADSK) +3.2%
BlackLine (BL) +2.9%
Moving Down ⬇️
Zillow (Z) -4.7%
Nordstrom (JWN) -3.9%
TrueCar (TRUE) -3.7%
Chuy's (CHUY) -3.1%
1. Though we don’t have the full picture yet, it seems that Amazon’s (AMZN) pandemic-delayed Prime Day (two days, actually) was not as successful as in previous years. According to major bank Citigroup (C), web traffic during the 48-hour period last week was basically flat year-over-year, compared to almost 8% growth in 2019. Other than Amazon revealing that more than $3.5 billion in sales was generated by third-party resellers, marketing and information were far more muted than usual, with none of the usual “biggest day ever” claims from the e-commerce giant. I guess even the mighty Amazon isn’t totally immune to this pandemic’s blows. Read the full report here.
2. Shares in Atlassian (TEAM) rose a whopping 8.7% on Friday after co-founder and co-CEO Scott Farquhar announced "changes to our server and Data Center offerings in order to sharpen our focus as a cloud-first company." Effective February 2, 2021, Atlassian will end new server license sales and will implement new prices for server renewals and upgrades and stop support for all server products. The move comes amid a mass cloud-migration worldwide, accelerated by the need for enhanced privacy as offices move to the living room due to the small matter of this global pandemic, which you might have heard of. Atlassian shares are up 68% year-to-date. Read the official blog post here.
3. Despite Wall Street analysts giving Peloton (PTON) a record-high price target of $150 a share last Thursday, shares plummeted 3.7% in Friday trading. This bullish optimism aside, all is not well with the little bike that takes you nowhere, after the company was forced to recall about 27,000 bikes sold in the U.S. to replace the PR70P pedals that "can break unexpectedly during use, causing laceration injuries". The company has received 120 breakage reports so far and 16 injury claims. This is unlikely to affect Peloton’s long-term outlook as incidents like this can be common with hardware manufacturers. Read more here.
Earnings season is kicking off this week for MyWallSt’s shortlisted stocks. Get this week’s full calendar here.