PayPal Expands Venmo to Amazon

Today is Tuesday, November 9, 2021.

PayPal Expands Venmo to Amazon Through New Partnership

Shares of PayPal (Nasdaq: PYPL) dropped 5.04% in after-hours trading on Monday after the fintech giant posted mixed earnings results, but announced a new partnership.

Numbers: PayPal reported a $1.11 earnings per share, which was better than analyst projections. But, its revenue of $6.18 billion fell slightly under expectations.

Challenges: In particular, its eBay (Nasdaq: EBAY) numbers were not that good, with eBay marketplaces volumes dropping 45%. The company also lowered its full-year guidance.

New Partnership: On the bright side, PayPal announced a new partnership that will allow users in the U.S. to pay with Venmo while checking out on Amazon (Nasdaq: AMZN).

Quote: “The strength of PayPal’s two-sided platform and ubiquity in our core markets has set us up to grow at scale, expand our work with existing merchants and attract new partners.” - PayPal President and CEO Dan Schulman.

Final Thoughts: PayPal was very successful during the pandemic. It will need partnerships, such as the new one with Amazon, to help the company in a post-pandemic world.

Notables

Notable Earnings Today: Palantir (NYSE: PLTR), Nio (NYSE: NIO), Coinbase (Nasdaq: COIN), BioNTech (Nasdaq: BNTX), Upstart (Nasdaq: UPST), Sysco (NYSE: SYY), DoorDash (NYSE: DASH) ADT (NYSE: ADT), Aurora Cannabis (Nasdaq: ACB), Blue Apron Holdings (NYSE: APRN), Callaway Golf (NYSE: ELY), Cardinal Health (NYSE: CAH), Coca-Cola Europacific Partners (Nasdaq: CCEP), Hostess Brands (Nasdaq: TWNK), Krispy Kreme (Nasdaq: DNUT), RingCentral (NYSE: RNG), Wynn Resorts (Nasdaq: WYNN).

Notable IPOs Today: Apeiron Capital Investment Corp. (NYSE: APN), Third Coast Bancshares, Inc. (Nasdaq: TCBX), Stran & Company, Inc. Common Stock (Nasdaq: STRN), Society Pass Incorporated Common Stock (Nasdaq: SOPA), Hertz Global Holdings (Nasdaq: HTZ).

Notable Equity Crowdfunding Campaigns Ending Today: PromoDrone (StartEngine), Clew (Wefunder).

Notable Economic Events Today: Producer price index (8:30 a.m. ET).

AMC Slips Due to CEO Comments

Even though AMC Entertainment (NYSE: AMC) posted positive earnings Monday, shares of the stock fell 4.64% in after-hours trading due to concerns expressed by the CEO.

Numbers: Revenue for the quarter reached $763 million and the company reported a 44-cent loss per share; both were better than analyst projections.

The Bad: AMC CEO Adam Aron said in the press release that the company is still “not yet where we want and need to be.” Aron cited the virus as a challenge and the company needs “to sell more tickets in future quarters than we did in the most recent quarter” because the adjusted EBITDA is still below pre-pandemic levels.

The Good: However, Aron also noted that October theatre admissions revenues were the highest of any month since the pandemic and that the company has more than $1.8 billion in liquidity at the end of the quarter.

Final Thoughts: AMC was hit hard during the pandemic, but the company still enjoys strong support among retail investors. The company is also innovating with new types of content and the acceptance of cryptocurrency.

Ethereum Price Prediction for the Immediate Future

While the price of Ethereum recently hit an all-time high, what does the future hold for the surging cryptocurrency?

Seeing 8s: Goldman Sachs (NYSE: GS) global markets managing director Bernhard Rzymelka said last week that the price of Ethereum could hit $8,000 by the end of this year, according to Business Insider.

Blockchain: Last week, Business Insider also reported that JPMorgan (NYSE: JPM) suggests holding Ethereum instead of Bitcoin because of the many uses of its blockchain.

Going to 10K: David Gokhshtein, CEO of PAC Protocol, predicted last month that Ethereum will hit $6,000 fast and that “$10,000 is programmed,” according to Cointelegraph.

Final Thoughts: There are certainly many people who are bullish about this crypto.

Trends to Watch

Data Breach: Robinhood Hack Exposes Millions of Customer Names, Email Addresses (The Wall Street Journal)

Nothing to Smile About: SmileDirectClub Shares Fall on Wider-Than-Expected Loss (The Steet)

Keep Going Up: Bitcoin Soars Past $67K for the First Time as Ether Also Sets Record High (CoinDesk)

Beware: Fed Warns Meme Stocks Could Pose Some Risks (The New York Times)

Happy Retirement: Tripadvisor CEO will step down next year (The Boston Globe)

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