Apple New USB-C Charger Rules

Plus, SGH’s macro uncertainties.

Steven Lerner
Steven Lerner

Today is Wednesday, October 5, 2022.

New to this newsletter? Sign up here.

Apple New USB-C Charger Rules

A new regulation passed on Tuesday in the European Union could have a major impact on Apple (Nasdaq: AAPL) and other mobile technology stocks.

Details: By the fall of 2024, all mobile products in Europe must be equipped to use the USB-C connectors used by Android devices. It’s the first time a government body has endorsed a new standard for mobile chargers.

What It Means: Apple’s chargers are different than Android, which means that Apple will have to make big changes to its chargers. Apple did not release a statement about the news.

Stock Price: Apple’s price on Tuesday wasn’t impacted by the news and went up 2% on Tuesday, but the stock is down 20% this year.

Final Thoughts: When Apple reports earnings in a few weeks, we’ll hear how the company is going to address such a monumental change.


Notable Earnings Today: RPM (NYSE: RPM), Resources Connection (Nasdaq: RGP), Byrna Technologies (Nasdaq: BYRN), Richardson Electronics (Nasdaq: RELL), Helen of Troy (Nasdaq: HELE), Lamb Weston Holdings (NYSE: LW).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: VK Brewing Co. & Eatery (Mainvest).

Notable Economic Events Today: ADP Nonfarm Employment Change (8:15 a.m. ET), Trade Balance / Imports / Exports (8:30 a.m. ET), S&P Global Composite PMI (9:45 a.m. ET), Services PMI (9:45 a.m. ET), ISM Non-Manufacturing PMI / Employment (10:00 a.m. ET),  Crude Oil Inventories (10:30 a.m. ET).

SGH’s Macroeconomic Uncertainties

Code on a laptop screen
Photo by Luca Bravo / Unsplash

Shares of SMART Global Holdings (Nasdaq: SGH) dropped 3.29% in after-hours trading on Tuesday after the technology company posted mixed financial earnings.

Financials: SMART Global Holdings reported earnings of 80 cents per share, which was better than expected. Its revenue of $438 million was below estimates.

Growth and No Growth: For the full-year, net sales increased by 21%. But in the quarter, net sales dropped 6%.

Quote: "As we enter fiscal 2023, we remain focused on execution as we manage through macroeconomic uncertainties." - CEO Mark Adams.

Final Thoughts: With its stock down 53% this year, SMART Global Holdings hopes that its recent acquisition of Stratus Technologies helps with growth.

Equity Crowdfunding Spotlight: Zeen by Exokinetics

Briefly describe your business. Exokinetics was formed by Hall-of-Fame Inventor Garrett Brown and partners to manufacture a revolutionary new mobility invention for those battling disability and age. Zeen®, ‘The Chair that Gets Up and Goes,’ has just liberated its 100th owner.

What are the terms of the investment for your campaign? The round size is $4M and the round name is Series B. The security is preferred equity and the investment minimum is $1,000. The valuation is $25M. See SeedInvest for details.

What makes your startup special? We believe the Zeen will succeed worldwide: For 17 million souls in just the U.S/ with serious mobility issues, the Zeen is uniquely and irreplaceably valuable, has five issued and pending patents, and is being described by owners as ‘Life Changing.’

Chasing Course, Again: Twitter shares surge 22% after Elon Musk revives deal to buy company at original price (CNBC)

Changing of the Guard: Bridgewater Founder Ray Dalio Hands Over Control of Firm (The Wall Street Journal)

Bullish: Barclays Remains Positive on Bitcoin, Sees Miner Core Scientific as ‘Best-In-Class Leverage Play’ (CoinDesk)

Everyone is Going E-Commerce: Iconic Goodwill gets serious with a national online shop for thrifters (NPR)

Major Problems: Credit Suisse Is In Deep Trouble. Contagion Risk Is Low. (Barron’s)

Thank you for reading!

Forward to a friend and tell them to sign up here.

Be social: Like our Facebook page and follow us on Twitter.

Want more investing tips? Listen to the podcast.

Questions or comments? Hit reply to reach out.