Thursday’s Headlines: Let Them Fight!
Here were the biggest movers in the MyWallSt shortlist yesterday:
Moving Up ⬆️
Wix (WIX) +10.5%
Zoom Communications (ZM) +9.9%
Etsy (ETSY) +9.3%
Sea Limited (SE) +8.0%
Zillow (Z) +7.6%
Moving Down ⬇️
Nordstrom (JWN) -8.5%
Tripadvisor (TRIP) -6.3%
Datadog (DDOG) -6.2%
Wynn Resorts (WYNN) -5.1%
1. Sony’s (SNE) PlayStation 5 is finally here, just two days after Microsoft’s (MSFT) Xbox Series X was launched, pitting the rival console-makers against each other once more! After a brief dip on launch day, Microsoft shares have risen 2.63% off the back of positive initial reviews, while Sony bulls pumped up the stock 2.54% on Wednesday in anticipation of what is expected to be a sector redefining console. In the midst of a pandemic that has seen video game stocks soar — the Esports & Digital Entmt ETF (NERD) is up 57% year-to-date — the gaming sector has never looked more enticing for large tech companies. With Sony selling roughly 113 million Playstation 4 consoles versus Microsoft’s 50 million Xbox One consoles in the prior generation, it will be interesting to see if Microsoft can close the gap this time around. Read our thoughts on the console wars here.
2. The European Commission and U.S. antitrust watchdogs are coming at Amazon (AMZN) from both sides of the Atlantic in a bid to stop its alleged mistreatment of third-party sellers once and for all. The EC accused Amazon on Tuesday of violating competition law by using nonpublic data it gathers from third-party merchants to unfairly compete against the smaller sellers, and if this is proven, Congress and the FTC will have their smoking gun in their respective ongoing investigation. Investors aren’t all too bothered though as these bureaucratic processes have been known to take years to get anywhere, and Amazon shares jumped 3.4% on Wednesday despite the reports. Don’t expect much to come of either investigation in the next year or two. Get a more in-depth analysis here.
3. Roku (ROKU) has taken its first steps in tackling the problem of uncooperative streaming services after launching its all-important Roku OS 9.4 on Wednesday, sending shares up 6.66% — although, this was more likely due to wider market tech growth. The brand-agnostic streaming device now has support for AirPlay 2, meaning in the case that a new streaming service doesn’t launch an app for Roku devices or threatens to pull an existing app off Roku, users can simply stream it from an Apple (AAPL) device. As the streaming industry continues to attract more and more players, Roku has set itself up nicely to become the one-size-fits-all service for cord-cutters everywhere, with this latest update only enhancing its position. Read our 3 reasons that Roku will continue to grow here.
There are 2 companies on the MyWallSt shortlist that will report earnings today:
Get this week’s full calendar here.