Today is Thursday, April 28, 2022.
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Facebook's Death Exaggerated: User Growth
Shares of Facebook’s parent company Meta Platforms (Nasdaq: FB) jumped 18.37% in after-hours trading on Wednesday after posting mixed earning results.
Financials: Meta reported earnings of $2.72 per share, which was better than expected. Meta’s revenue of $27.91 billion was lower than expected.
User Experience: Daily active users hit 1.96 billion, which grew 4% year-over-year and was better than expected. Remember, Facebook lost daily active users in its previous earnings report, so this is an improvement. It was a good surprise for Facebook.
War: The war in Europe resulted in “softness” in Meta’s revenue for the second half of the first quarter, with advertising demand taking a hit.
Keeping it Reels: One of the big growth areas that Meta plans on focusing more on is Reels, which is the company’s short-term video product. Usage of Reels is growing quickly.
Investment Slowdown: With the pandemic growth coming to an end, CEO Mark Zuckerberg said that the company will plan on slowing the pace of some of its investments.
Final Thoughts: The surprise user growth gives hope to Meta investors, but can Facebook keep up with the growing competition in the social media world, namely TikTok?
Notable Earnings Today: Amazon (Nasdaq: AMZN), Apple (Nasdaq: AAPL), Twitter (NYSE: TWTR), Caterpillar (NYSE: CAT), Nokia (NYSE: NOK), Roku (Nasdaq: ROKU), Southwest Airlines (NYSE: LUV), Intel (Nasdaq: INTC), Mastercard (NYSE: MA), Robinhood Markets (Nasdaq: HOOD), McDonald's (NYSE: MCD), U.S. Steel (NYSE: X), Merck (NYSE: MRK), Gilead Sciences (Nasdaq: GILD), Peabody Energy (NYSE: BTU), Atlassian (Nasdaq: TEAM), Eli Lilly (NYSE: LLY), Southwestern Energy (NYSE: SWN), Domino's Pizza (NYSE: DPZ), KLA Corp. (Nasdaq: KLAC), Abiomed (Nasdaq: ABMD), Agnico Eagle Mines (NYSE: AEM), Altice USA (NYSE: ATUS), Altria Group (NYSE: MO), American Electric Power (Nasdaq: AEP), Ares Management (ARES), Barclays (BCS), Baxter International (BAX), Beazer Homes (BZH), CalAmp (CAMP), Celanese (NYSE: CE), Century Aluminum (Nasdaq: CENX), Church & Dwight (NYSE: CHD), CNX Resources (NYSE: CNX), Cohu (Nasdaq: COHU), Comcast (Nasdaq: CMCSA), CubeSmart (NYSE: CUBE), DexCom (Nasdaq: DXCM), Digital Realty Trust (NYSE: DLR), Eastman Chemical (NYSE: EMN), First Solar (Nasdaq: FSLR), Hartford Financial Services Group (NYSE: HIG), Helmerich & Payne (NYSE: HP), Hershey (NYSE: HSY), Huntsman (NYSE: HUN), International Paper (NYSE: IP), Iron Mountain (NYSE: IRM), Keurig Dr Pepper (Nasdaq: KDP), KLA Corp. (Nasdaq: KLAC), Linde (NYSE: LIN), LPL Financial Holdings (Nasdaq: LPLA), Mohawk Industries (NYSE: MHK), Northrop Grumman (NYSE: NOC), Olin (NYSE: OLN), Overstock.com (Nasdaq: OSTK), Patterson-UTI Energy (Nasdaq: PTEN), PG&E (NYSE: PCG), Pitney Bowes (NYSE: PBI), PulteGroup (NYSE: PHM), Seagen (Nasdaq: SGEN), Sirius XM Holdings (Nasdaq: SIRI), SM Energy (NYSE: SM), Southern (NYSE: SO), Stanley Black & Decker (NYSE: SWK), Stryker (NYSE: SYK), T. Rowe Price Group (Nasdaq: TROW), Terex (NYSE: TEX), Textron (NYSE: TXT), Thermo Fisher Scientific (NYSE: TMO), TotalEnergies (NYSE: TTE), VeriSign (Nasdaq: VRSN), W.W. Grainger (NYSE: GWW), Weatherford International (Nasdaq: WFRD), West Fraser Timber (NYSE: WFG), Western Digital (Nasdaq: WDC), Western Union (NYSE: WU), Willis Towers Watson (Nasdaq: WTW).
Notable IPOs Today: ClimateRock (Nasdaq: CLRCU).
Notable Equity Crowdfunding Campaigns Ending Today: N/A.
Notable Economic Events Today: Real GDP (8:30 a.m. ET), Jobless Claims (8:30 a.m. ET).
Teladoc Suffers Earnings Miss
Shares of Teladoc (NYSE: TDOC) dropped 36.83% in after-hours trading on Wednesday after the virtual healthcare company posted negative earnings.
Financials: Teledoc reported a loss of $41.58 per share and revenue of $565.4 million; both were below estimates.
Outlook: The company’s guidance in the quarter included revenue of $580 million to $600 million, which was below estimates. Business is not going well for Teladoc.
Final Thoughts: Teladoc is another pandemic darling that is not ready for life after the pandemic.
What Makes Chia Unique
How does the Chia network stand out in the crowd of cryptocurrencies?
Going Green: Chia has a reputation for being more environmentally friendly than other cryptos. Basically, it uses proof of space instead of proof of work, which requires less energy to operate.
Final Thoughts: Chia’s peer-to-peer system is also unique in the crypto space because of the way it lets users trade with each other.
Trends to Watch
Dead Deal: Elon Musk is already at risk of violating a key provision of his deal with Twitter (Engadget)
Big Loss: Ford lost $3.1 billion in the first quarter (The New York Times)
Bullish: Crypto and Crowdfunding Could Spur U.S. Economy (Competitive Enterprise Institute)
Raising the Alarm: Cryptocurrency Firms Push Back Against Proposal to Police Treasury Markets (The Wall Street Journal)
Go for the Gold: Ukraine war, inflation drives Q1 jump in gold demand, WGC says (Reuters)
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