Monday’s Headlines: Tesla Stock Skyrockets Ahead Of S&P 500 Inclusion
Here were the biggest movers in the MyWallSt shortlist on Friday:
Moving Up ⬆️
Tesla Motors (TSLA) +6.0%
ShotSpotter (SSTI) +5.3%
Match Group (MTCH) +4.2%
2U (TWOU) +3.9%
Moving Down ⬇️
FedEx (FDX) -5.7%
Nordstrom (JWN) -4.3%
Duluth Trading (DLTH) -3.7%
Calavo Growers (CVGW) -3.0%
1. Investors rushed to buy Tesla (TSLA) shares on Friday in the run-up to its inclusion in the S&P 500 index, pushing the stock up nearly 6%. The company will debut today with a 1.69% weighting in the index, the fifth largest. Tesla’s entry is the biggest ever for the influential stock index, and perhaps the most dramatic. Over 200 million Tesla shares changed hands during Friday’s trading session alone, more than quadrupling the 30-day average trading volume. Tesla shares have surged 731% in 2020 and the stock is up 70% since the S&P announced it would add Tesla to the index. Read the full story here.
2. Apple’s (AAPL) Asian supply chain has been rocked by protests in both China and India over unpaid wages and bonuses. On Friday and Saturday, more than 100 workers on the iPhone maker’s assembly lines protested in China with the slogan, “give us back our blood and sweat money.” Last week, workers in India vandalized a factory of Taiwan’s Wistron Corporation, Apple’s main assembler in the country. These protests come at a very bad time for Apple as its Asian workers are striving to boost iPhone production by 30%. Apple said over the weekend that it would halt “new business” with Wistron until it took “corrective action.” Apple shares closed nearly 1.6% lower at $126.66 on Friday. See the full story here.
3. After months of failed negotiations, U.S. Congress has finally agreed to a $900 billion coronavirus stimulus deal. The COVID relief is being bundled with a wider government funding bill which amounts to over $2 trillion. Congressional leaders have not yet released the text of the legislation, but the recovery bill is set to include direct payments of up to $600 to eligible adults, plus $600 per dependent child. Stock futures are mixed in early morning trading as Congress managed to seal the stimulus deal hours before a shutdown deadline. Check out the full story here.
1 earning from last Friday
The footwear and apparel manufacturer posted impressive second-quarter results on Friday, driven by strength in its digital channel. The company posted adjusted earnings per share (EPS) of $0.78 cents on revenue of $11.24 billion, which jumped 9% on a year-over-year (YoY) basis. Analysts had predicted EPS of $0.62 cents on $10.56 billion in revenue. Read the full press release here.
Get this week’s full earnings calendar here.