Rippers Weekly Recap 11/05: Elon Musk Thanos Snaps Twitter's Workforce?

Hey everyone, it’s @StockMKTNewz Evan! You can always see the moves I make and what individual stocks I own on my Savvy Trader Portfolio.

I started writing this newsletter to make sure you never miss anything important from the week in the market. I want you all to understand the week's headlines in under five minutes, but also be able to spend hours digging through all the stories and pictures. To that end, I include a lot of links (every picture has one). So, if you’re interested in a story or image, click in and explore!

How The Stock Market Performed This Past Week

Heat Map of the S&P 500

How The Largest Stocks Performed

Best Performing Large Cap Stocks

Worst Performing Large Cap Stocks

Earnings Headlines

Uber reported earnings Tuesday before the market opened on Wednesday, posting numbers of:

• EPS of -$0.61, missing expectations of -$0.18

• Revenue of $8.34B, beating expectations of $8.13B

Uber ended the quarter with 124 million monthly active platform customers, up 14% YoY.

AMD reported earnings Tuesday after the market closed, posting numbers of:

• EPS of $1.45, beating expectations of $1.37

• Rev of $6.64B, missing expectations of $6.78B

AMD lowered its full year revenue outlook to between $23.2-$23.8 billion, down from between $26-$26.6 billion.

AMD said it expects the PC business to likely be down around 10% in 2023.

Airbnb reported earnings Tuesday after the market closed, posting numbers of:

• EPS of $1.79, beating expectations of $1.53

• Revenue of $2.88B, beating expectations of $2.83B

Airbnb CEO Brian Chesky said the company is not slowing down hiring.

Qualcomm reported earnings Wednesday after the market closed, posting numbers of:

• EPS of $3.12, in line with expectations

• Revenue of $11.4B, beating expectations of $11.38B

Qualcomm said next quarter it expects revenue to come in between $92-$10 billion, below expectations of $12 billion.

Robinhood reported earnings Wednesday after the market closed, posting numbers of:

• EPS of -$0.20, beating expectations of -$0.27

• Revenue of $361M, beating expectations of $357.8M

Robinhood had monthly active users of 12.2 million during Q3, below expectations of 13.7 million.

PayPal reported earnings Thursday after the market closed, posting numbers of:

• EPS of $1.08, beating expectations of $0.96

• Revenue of $6.85B, beating expectations of $6.81B

PayPal lowered its full year revenue guide to $27.6 billion, down from $27.85 billion.

PayPal and the Venmo Credit Card are adding Apple Pay as a payment option at some checkouts.

Square reported earnings Thursday after the market closed, posting numbers of:

• EPS of $0.42, beating expectations of $0.22

• Revenue of $4.52B, beating expectations of $4.44B

Coinbase reported earnings Thursday after the market closed, posting numbers of:

• EPS of -$2.43, missing expectations of -$2.23

• Revenue of $590.3M, missing expectations of $642.8M

Coinbase had monthly transacting users of 8.5 million during Q3. This is down from 9 million last quarter but above expectations of 7.84 million.

Starbucks reported earnings Thursday after the market closed, posting numbers of:

• EPS of $0.81, beating expectations of $0.72

• Revenue of $8.41B, beating expectations of $8.31B

Starbucks has now surpassed 6,000 locations in China, pushing its global store count to a record 35,711.

DraftKings reported earnings Friday before the market opened, posting numbers of:

• EPS of -$1.00, beating expectations of -$1.07

• Revenue of $501.9M, beating expectations of $436.7M

DraftKings said it expects its adjusted EBITDA loss next year to come in between $475-$575 million, above expectations of a loss of $426 million.

DraftKings said it's not seeing any impact from the weakening economy.

Major Headlines From This Week

Monday:

• The Dow Jones officially had its best month since 1976, with all three of the major average snapping two month losing streaks in October. - IBD

• Elon Musk has instructed Twitter to work to reboot Vine this year. - Axios

• California announced that almost 18% of cars sold in the state so far in 2022 are electric. - InsideEVs

• Electronic Arts and Disney-owned Marvel announced a new deal to develop three video games inspired by the Marvel comics. - EA

• Jack Dorsey contributed 18.04 million shares of Twitter common stock in exchange for shares in Elon Musk's new private Twitter. - SEC

• Congress is getting “very close” to introducing and passing a cannabis bill, with provisions covering banking access for legal businesses and expungements of past convictions. - Marijuana Moment

• Amazon is starting its own lineup of sports talk shows. - NYP 

• Stellantis announced its Jeep joint venture in China plans to file for bankruptcy. - CNBC

• Meta announced the global expansion of professional mode for Facebook. - FB

• Apple’s VP of Online Retail Anna Matthiasson and CIO Mary Demby are both stepping down from their roles at the company. - Apple Insider

• Elon Musk brought more than 50 Tesla employees, mostly software engineers, to help with Twitter. - CNBC

• Shanghai Disneyland abruptly closed to comply with COVID-19 prevention measures in the country, with all visitors directed to stay in the park until they return a negative test. - CNBC

• Netflix acquired its sixth gaming studio, buying Seattle-based Spry Fox. - Netflix

• Meta released a product tagging API for Instagram Reels. - Adweek

Tuesday:

• I bond rates have adjusted to their new yield 6.89%, down from their record of 9.62%. - Investopedia

• Sony sold a total of 3.3 million PlayStation 5s last quarter, unchanged YoY. - Roundhill

• Ford and Volkswagen are looking for a buyer of whatever is left of Argo AI its self-driving lidar unit. - Tech Crunch

• One of five FCC commissioners Brendan Carr said the US should take action to ban TikTok. - Axios

• Intuit is pausing hiring in its Credit Karma unit due to "revenue challenges." - Bloomberg

• Tesla is sending workers from China to Fremont to help with its expansion. - InsideEVs

• Activision Blizzard’s Call of Duty: Modern Warfare II sold more than $800 million worldwide in its first three days, making it the fastest selling game in the history of the Call of Duty franchise. - Newswire

• NIO delivered 10,059 vehicles in October, up 174.3% YoY but down 7.5% MoM. This brings its year-to-date delivery total up to 92,493, up 32% YoY. - Electrek

• Johnson & Johnson has agreed to acquire Abiomed for an upfront payment of $380 per share, valuing them at $16.6 billion inclusive of debt. - JNJ

• Caesars said that it won't renew many of its sports sponsorships. - Roundhill

• Tesla plans to start mass production of the Cybertruck at the end of 2023. - Reuters

• Amazon closed below a $1 trillion market cap for the first time since 2019. - Top25

Wednesday:

• Jerome Powell and the FOMC decided to raise rates in the US by 75 basis points (0.75%) to between 3.75-4%.

Here are some headlines from Powell’s speech:

• The risk of under tightening is greater than the risk of over tightening

• The ultimate rate level is higher than previously expected

• Pausing is not something we're thinking about yet

• We keep looking for a softening, but it's not obvious yet

• Trust of the public is the most important thing for the fed and any central ban

• Ford sold a total of 158,327 new vehicles in the US during October, down 10% YoY. - SMN

• Instagram will soon allow select creators to make and sell NFTs directly in its app. - Tech Crunch

• Google, Wells Fargo and IBM will start posting pay ranges for all their job listings in the US. - Bloomberg

• Costco reported October sales of $17.73 billion, up 7.7% YoY. - Newswire

• Opendoor is laying off 18% of its workforce due to the slowdown in the housing market. - Blog

• Snap and Amazon just announced a new partnership for AR shopping in the Snapchat app. - Tech Crunch

• Sony will launch its PS VR2 headset on February 22, priced at $549.99. - The Verge

• Wells Fargo mortgage staff brace for layoffs as US loan volumes collapse. - CNBC

• Apple’s largest iPhone assembly plant owned by Foxconn has been ordered to complete a 7 day COVID lockdown by Chinese authorities. - Reuters

• The average annual pay in the US increased by 7.7% YoY in October. - BLS

• Washington Commanders owner Dan Snyder hired Bank of America to explore "potential transactions." - NFL

Thursday:

• Apple has paused hiring for most roles outside research and development. - 9to5mac

• Amazon is pausing hiring in its corporate workforce and other parts of its business, including AWS, and its advertising business for the next couple of months. - Tech Crunch

• Elon Musk closed the Twitter offices on Friday to ensure safety as layoffs began. - Engadget

• CNBC just canceled its show “The News With Shepard Smith.” - Variety

• Morgan Stanley will start layoffs in the coming weeks as dealmaking slows. - Reuters

• Job cuts in October were up 48% YoY, at their highest level since February 2021. - ChallengerGray

• Tesla China announced it delivered 71,704 units during October, down from last month's record of 83,100. - Teslarati

• Caterpillar was awarded a $1.3 billion contract with the defense logistics agency for construction equipment. - DoD

• Netflix’s $6.99 per month ad-supported tier launched in eight countries. - Deadline

• The Bank of England just raised its benchmark rate by 75 basis points (0.75%), its largest increase in more than 30 years. - CNBC

• Stripe plans to fire approximately 14% of its employees. - WSJ

• Warner Bros Discovery plans to fire between 5-10% of the workforce from its film subsidiary. - Bloomberg

• Walmart is selling a basket of ingredients for a Thanksgiving dinner at last year’s prices, extending through Christmas. - Walmart

• Jeff Bezos is interested in bidding on the Washington Commanders. - WAPO

• Disney’s Florida workers are increasing pressure for a 20% pay hike. - Bloomberg

• Gucci owner Kering is in advanced talks to acquire Tom Ford. - WSJ

Friday:

• Elon Musk began firing Twitter a significant number of employees across the company, while saying “No choice but to cut jobs when losing $4 million per day," as advertisers like United Airlines continue to pull ads from the platform. - The Verge

• The US unemployment rate came in at 3.7% for October, above expectations of 3.5%. - Yahoo

• Fox now has a 10-year call option to acquire 18.6% of FanDuel for $3.72 billion, with a 5% annual escalator. It gets 5% more expensive per year until 2030. - Bloomberg

• Warren Buffett’s Berkshire Hathaway continued reducing its stake in BYD lowering it to 17.92% of the company. - Yahoo

• Lockheed Martin was awarded a $765.2 million contract with the US in support of the F-35a, F-35b and F-35c aircraft. - DoD

• Apple is building a live TV ad network in preparation for its deal with the MLS. - MacRumors

• Credit Suisse is planning a fresh round of job cuts at the global wealth management business starting next week. - Bloomberg

• Sean “Diddy” Combs has agreed to acquire cannabis assets from Cresco Labs and Columbia Care in New York, Massachusetts and Illinois for up to $185 million. - CNBC

• Apple added to its India iPhone 14 production capacity with its new supplier pegatron. - 9to5mac

• The Powerball jackpot is now over $1.6 billion, the world's largest lottery prize ever. If the winner chooses the lump sum, they'd go home with $492.9 million after taxes. This means the government would get more than $1.1 billion. - CNBC

• Morgan Stanley just gave Carvana a bear case price target of $0.10. - SMN

• HBO canceled popular series Westworld after 4 seasons. - The Verge

Get Prepared For Next Week

Economic Calendar

Earnings Calendar

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