Coinbase is Profitable Again

Plus, Roku's "uneven" ad recovery.

Today is Friday, February 16, 2024.

The Early Bird Index today is 68.82.

New to this newsletter? Sign up here

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.

irl Media NEWSThe business behind the news, with a healthy dose of sarcasm.


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.

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

Thank you for reading!

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

Want more investing tips? Listen to the podcast.

Show Your Support: Buy Me a Coffee.

Questions or comments? Hit reply to reach out.