Today is Thursday, March 10, 2022.
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Amazon’s 20-for-1 Stock Split
Shares of Amazon (Nasdaq: AMZN) jumped 6.58% in after-hours trading on Wednesday after the technology giant announced a 20-for-1 stock split.
Details: Investors will receive 20 shares for each share of Amazon stock that they own. The price of Amazon’s stock will also go down to 1/20 of the price.
Background: This is Amazon’s first stock split since 1999. Several other companies recently had stock splits, including a 20-for-1 stock split that Google (Nasdaq: GOOGL) had last month.
Big Picture: In the past six months, shares of Amazon have dropped 19%. Hopefully, this move will encourage more investors to buy into the company because now the stock price will be lower.
Final Thoughts: Amazon also announced Wednesday that it will buy back up to $10 billion worth of shares, which will help drive the price up.
Notable Earnings Today: ZIM Integrated Shipping Services (NYSE: ZIM), Crowdstrike (Nasdaq: CFWD), Oatly Group (Nasdaq: OTLY), Asana (NYSE: ASAN), Express (NYSE: EXPR), Marqeta (Nasdaq: MQ), Thor Industries (NYSE: THO), Safe Bulkers (NYSE; SB), Campbell Soup (NYSE: CPB), Unfi (NYSE: UNFI), Children's Place (Nasdaq: PLCE), Franco-Nevada (NYSE: FNV), PureCycle (NYSE: PCT), Vertex (Nasdaq: VERX), Accel Entertainment (), Assertio (Nasdaq: ASRT), Mirum (Nasdaq: MIRM), Acorda Therapeutics (Nasdaq: ACOR), adidas (OTCMKTS: ADDYY), Amplify Energy (NYSE: AMPY), BGSF (NYSE: BGSF), Calavo Growers (Nasdaq: CVGW), Fossil Group (Nasdaq: FOSL), Korn Ferry (NYSE: KFY), Lifetime Brands (Nasdaq: LCUT), NeoGames (Nasdaq: NGMS), REV Group (NYSE: REVG), Vera Bradley (Nasdaq: VRA), Vivendi (OTCMKTS: VIVHY).
Notable IPOs Today: Patria Latin American Opportunity Acquisition Corp. Unit (Nasdaq: PLAOU).
Notable Equity Crowdfunding Campaigns Ending Today: LUUM (StartEngine), Primo Energy (StartEngine), Neurotez (StartEngine), Village Hand Pies (Honeycomb), Enginuity (StartEngine).
Notable Economic Events Today: Jobless Claims (8:30 a.m. ET), Consumer Price Index (8:30 a.m. ET), Federal Budget Balance (2:00 p.m. ET).
Solana’s Downfall Explained by dApps
Similar to other cryptocurrencies, Solana has had a rough start to the year.
Numbers: The price of Solana has dropped by about 50% since the start of the year. This was after Solana had an incredible jump in price in 2021.
Background: One of Solana’s keys to success is the fact that the network supports decentralized applications (dApps). During the price surge in 2021, dozens of new dApp projects were starting on Solana.
The Problem: The total value of the dApps on Solana has declined since the price peaked in November.
Final Thoughts: Can Solana recover from its price drop in 2022?
Reasons to Avoid Commodity-Based Investments
Despite the price of commodities surging, here are three reasons why you might want to avoid investments in them.
Volatility: A school of thought suggests that each commodity can be very volatile. After all, the prices of raw materials are constantly changing.
Lagging Behind Stocks: Whenever the stock market rises, that usually spells trouble for many commodities. For example, as equities performed well in 2021, many commodities had a bad year.
Short Straw: Because of their volatile nature, commodities are usually not suggested for a short-term investment. Many commodity-based funds have lost money throughout the years.
Final Thoughts: Commodities can be part of a portfolio, but be careful about putting too much capital behind commodities.
Trends to Watch
Decline: Oil prices fall most in 2 years as UAE supports output hike (Reuters)
The Return: Volkswagen's bus is finally back. And now it's electric (CNN)
Positive Thinking: Crypto Miners to Benefit From Biden’s Executive Order (CoinDesk)
Hit the Brakes: BMW recalls over 900,000 vehicles for 3rd time over engine fire risk (New York Post)
No Stopping: Retail Investors Keep Buying the Dip (The Wall Street Journal)
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