Monday’s Headlines: Bumble Files For IPO
*Friendly reminder that the stock market is closed today for Martin Luther King Day, and will reopen as normal tomorrow morning.*
Here were the biggest movers in the MyWallSt shortlist on Friday:
Moving Up ⬆️
Chuy's (CHUY) +9.3%
The Home Depot (HD) +2.7%
Facebook (FB) +2.3%
Prologis Inc. (PLD) +2.3%
American Tower (AMT) +2.3%
Moving Down ⬇️
Nautilus (NLS) -7.0%
Lemonade (LMND) -6.8%
Spotify (SPOT) -6.6%
Nordstrom (JWN) -4.7%
1. Dating app Bumble is getting in on the IPO trend after filing its prospectus on Friday and it even managed to get a dig in at Apple(AAPL) along the way. Bumble said in its filing that Apple’s upcoming privacy updates could hurt its business, bringing to light an issue that has been front and center of Apple’s own disputes with ad revenue-reliant businesses like Facebook(FB). Bumble said that it expects just 0% to 20% of app users to opt-in to sharing a unique ID, called the IDFA, for targeted advertising. Looks like 2021 will have more hot IPOs and Apple bashing… Read more here.
2. Shares of Spotify(SPOT) plunged 6.6% on Friday following a rather pessimistic note from Citigroup (CITI) analysts. According to the banking giant, Spotify’s multimillion-dollar bet on podcasting may not be working out: “The cadence of Premium gross additions (through 3Q20) and app download data (through 4Q20) do not show any material benefit from recent podcast investments (that began in 2019),” the note read, changing Spotify’s rating from ‘neutral’ to ‘sell’. The company has made big bets in podcasting to become the go-to platform of choice in that arena, signing exclusive rights to the Obamas, Joe Rogan, and more, while also acquiring firms such as Gimlet Media and Anchor. However, it is early days for this industry yet, and you can read our own thoughts on Spotify and podcasting here.
3. It was a tough day for most of our stocks on Friday, but Chuy’s(CHUY) appeared unfazed as its share price rose an impressive 9.3%. The Tex-Mex darling has now seen its stock rise close to 30% in the past month, despite little news to act as a catalyst other than increasing buyer sentiment surrounding the continued distribution of COVID-19 vaccines across the U.S. However, with cases continually on the rise, sentiment is sure to sour as restaurant closures and operations reductions continue, with the small-cap chain’s 100 restaurants continuing to report reduced same-store sales across the board. Read more here.
Get this week’s full earnings calendar here.