Today is Friday, February 16, 2024.

The Early Bird Index today is 68.82.

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Coinbase is Profitable Again

Cryptocurrency platform Coinbase Global (Nasdaq: COIN) posted strong financial results on Thursday and is profitable again, sending shares up by 14.26% in after-hours trading.

Financials: Coinbase reported earnings of $1.04 per share in the past quarter and revenue of $953.8 million; both were better than expected.

Details: Overall revenue jumped 41% in the quarter. Looking at the numbers more closely, subscription revenue grew by 12% while transaction revenue surged by 83%.

Powering the Story: Coinbase experienced massive growth in the quarter. Consumer trading volume exploded with 164% growth. With crypto prices soaring, more traders got involved in the market, which benefited Coinbase.

Stock Price: Coinbase is up 152% in the last 12 months, including a 23% jump in the last 30 days.

Final Thoughts: While there are still questions about the loyalty of Coinbase’s users, the company is once again strong. It last reached profitability about two years ago.

Notables

Notable Earnings Today: Barnes Group (NYSE: B), Cinemark (NYSE: CNK), TreeHouse Foods (NYSE: THS), Portland General Electric (NYSE: POR), PPL Corp (NYSE: PPL), Healthcare Realty (NYSE: HR), American Axle (NYSE: AXL), AdvanSix (NYSE: ASIX), Air Canda (OTCMKTS: ACDVF), Arbor (NYSE: ABR), DT Midstream (NYSE: DTM), Liberty Broadband (Nasdaq: LBRDA), TC Energy (NYSE: TRP), Vulcan Materials (NYSE: VMC).

Notable IPOs Today: Iron Horse Acquisitions Corp. Common Stock (Nasdaq: IROH), Wetouch Technology Inc. Common Stock (Nasdaq: WETH), Semilux International Ltd. Ordinary Shares (Nasdaq: SELX).

Notable Equity Crowdfunding Campaigns Ending Today: Musaffa (Wefunder), J&J Pizza (Mainvest), MASSA (Republic), Rovren (Wefunder), Hydr8 Us (Honeycomb), U.S. Hemp Company (Netcapital).

Notable Economic Events Today: Producer Orice Index (8:30 a.m. ET), Housing Starts (8:30 a.m. ET), Building Permits (8:30 a.m. ET), Michigan Consumer Expectations / Sentiment (10:00 a.m. ET).

Roku's "Uneven" Ad Recovery

Shares of Roku (Nasdaq: ROKU) fell by 14.70% in after-hours trading on Thursday after the streaming company posted mixed financial results.

Financials: Roku reported a loss of 55 cents per share, which was below estimates. The revenue was $984.4 million, which was better than expected.

Details: While the number of active accounts grew, Roku’s average revenue per user declined.

Quote: “We remain mindful of near-term challenges in the macro environment and an uneven ad market recovery.” - Roku’s letter to investors.

Final Thoughts: Roku, up 33% in the last 12 months, is struggling to generate ad dollars. It is a tough environment in streaming and in media.

DraftKings Sales Fall Short

DraftKings (Nasdaq: DKNG) posted financial results on Thursday that showed growth, but were also slightly below estimates, causing the stock to decline by 3.26% in after-hours trading.

Financials: DraftKings reported revenue of $12.3 billion, which was below estimates. The company also posted a loss

Final Thoughts: Sports gambling can be a tricky market to navigate, especially if there is a recession. DraftKings stock is up 149% in the past 12 months. The company is bullish on its outlook for 2024.

Trends to Watch

Winning: Bitcoin Is Back, Back, Back, Baby (CoinDesk)

Renewed Optimism: Broad Stock Advance Lifts S&P 500 to Record (Wall Street Journal)

AI Wars: Apple Readies AI Tool to Rival Microsoft’s GitHub Copilot (Bloomberg)

Falling: Japan’s Economy Slips Into Recession and to No. 4 in Global Ranking (The New York Times)

Closed Door: DoorDash’s stock drops despite reporting increase in revenue, orders (MarketWatch)

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