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Google's $100 Million Strategy

Google's $100 Million Strategy

Today is Tuesday, August 29, 2023.

The Early Bird Index today is 54.70.

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Google's $100 Million Strategy

Google parent Alphabet (Nasdaq: GOOGL) ticked up by 0.31% in after-hours trading on Monday after a report claimed that the company is leaning into its maps data in order to build new lucrative products.

Details: According to a report by CNBC, Google plans to license some map data to companies involved in renewable energy, such as solar installers, and real estate companies. This includes new application programming interfaces (APIs) with energy information and air quality details. Google did not comment on the report.

Powering the Story: CNBC said that Google hopes to generate up to $100 million in the first year of the launch of this new offering.

Stock Price: Alphabet’s stock is up 47% this year, but the stock is down about 1% in the last 30 days.

Final Thoughts: Google’s Maps business doesn't generate a lot of income. Given the headwinds in the traditional advertising business, this could be a good way to diversify Google’s revenue.

Notables

Notable Earnings Today: Nio (NYSE: NIO), Hewlett Packard Enterprise (NYSE: HPE), HP (NYSE: HPQ), Best Buy (NYSE: BBY), PVH (NYSE: PVH), J.M. Smucker (NYSE: SJM), Box (NYSE: BOX), Big Lots (NYSE: BIG), Donaldson (NYSE: DCI), ZTO Express (NYSE: ZTO), Bank of Montreal (NYSEARCA: FNGD), Joyy (Nasdaq: YY), Malibu Boats (Nasdaq: MBUU), Ambarella (Nasdaq: AMBA), Catalent (NYSE: CTLT), Bank of Nova Scotia (NYSE: BNS), American Woodmark (Nasdaq: AMWD), Golden Ocean Group (Nasdaq: GOGL), nCino (Nasdaq: NCNO), Pinduoduo (Nasdaq: PDD).

Notable IPOs Today: Amerant Bancorp Inc. (NYSE: AMTB), Almacenes Éxito S.A. (NYSE: EXTO), Madison ETFs Trust (NYSE Arca: MAGG).

Notable Equity Crowdfunding Campaigns Ending Today: BeONE Sports (Netcapital), Harvest Today (Netcapital), Drink Monday (StartEngine), EO2 Concepts (StartEngine).

Notable Economic Events Today: S&P/CS HPI Composite (9:00 a.m. ET), CB Consumer Confidence (10:00 a.m. ET), JOLTs Job Openings (10:00 a.m. ET), API Weekly Crude Oil Stock (4:30 p.m. ET).

Hedera’s Unlock Causes Price Drop

Photo by Maxim Hopman / Unsplash

The price of the cryptocurrency Hedera fell over 4% on Monday, lagging behind the crypto market, due to an unlock.

Definition: An unlock refers to staggered releases of coins. Investors are prevented from selling before the unlock.

Details: Hedera has an upcoming unlock, which means that the supply of Hedera is starting to outpace demand.

Background: Earlier this month, Hedera formed a partnership with the U.S. Federal Reserve. The price of Hedera jumped due to the partnership, but it has since fallen more than 6%.

Final Thoughts: Hedera also received some good news on Monday. The integrated carbon exchange program PanXchange formed a partnership with the Hedera Network. Still, Hedera’s price volatility might make some investors feel uneasy.

HEICO’s Declining Operating Margin

Despite posting better-than-expected financial results on Monday, aerospace and electronics company HEICO (NYSEL HEI) fell by 5.83% in after-hours trading.

Details: The problem with HEICO was that its operating margin dropped in the quarter.

Final Thoughts: HEICO is up 10% this year but down 4% in the last 30 days. Earlier in 2023, investors were concerned about HEICO's debt.