Southwest's Activist Investor

And, Microsoft's latest Xbox console.

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Today is Monday, June 10, 2024.

The Early Bird Index today is 73.06.

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Southwest's Activist Investor

It’s been a rough year for Southwest Airlines (NYSE: LUV), and now the airline may have to contend with an activist investor.

Details: The Wall Street Journal reported Sunday that Elliott Investment Management has built a stake of nearly $2 billion in Southwest Airlines and plans to ask for changes at the airline. Southwest did not comment on the report.

Definition: An activist investor buys a large amount of a company's stock to influence change at the company.

Background: Southwest Airlines has struggled this year. It posted a large loss in the first quarter. The company had to deal with airplane delivery delays from Boeing (NYSE: BA) and is cutting pilot hours. Several analysts have downgraded the stock as well.

Go Deeper: Early Bird Prime recently analyzed the best and worst airline stock picks for 2024. Read the analysis now.

Stock Price: Southwest Airlines is down 2.53% this year, although the stock is up 1% in the last 30 days.

Comparing the Field: Some major airlines are up a lot this year, but others are also struggling.

Final Thoughts: Elliott is one of Southwest's largest investors. Hopefully, Elliott influences Southwest to make positive changes for investors.


Nvidia’s Incredible 3,000% Growth, Explained

Shares of Nvidia (Nasdaq: NVDA) are up over 3,000% in the last 5 years. But beyond the chart, what metrics specific to Nvidia can investors view to truly understand what’s behind this company’s incredible growth?

By Segment: Data Centre, Gaming, Professional Visualization, Automotive, OEM and Other.

By Geography: U.S, Taiwan, China, Other Countries.

By R&D: R&D Expenses and R&D Spending as a Percentage of Revenue.

Final Thoughts: The research platform MegaCharts has free charts with all this data for Nvidia. Check out MegaCharts today and become the smartest investor out of your friend group.


Notable Earnings Today: FuelCell Energy (Nasdaq: FCEL), Yext (NYSE: YEXT), Calavo Growers (Nasdaq: CVGW), Skillsoft (NYSE: SKIL).

Notable IPOs Today: N/A.

Notable Equity Crowdfunding Campaigns Ending Today: GG Collective (Seedstarter).

Notable Economic Events Today: N/A.

Microsoft's Latest Xbox Console

Source: Xbox

Microsoft (Nasdaq: MSFT) unveiled several new products during its Xbox Games Showcase on Sunday.

Details: The company introduced its new all-digital Xbox Series X on Sunday, including a white version. The new console is all digital and won’t have a disc drive.

Background: Last year, Sony (NYSE: SONY) sold over 52 million PlayStation 5 systems. Microsoft sold just 27 million Xbox systems.

Stock Price: Microsoft’s stock is up 14% this year, lagging other big tech players.

Final Thoughts: Microsoft needs to close the gap with Sony. The company hopes that this new Xbox does the trick.

Bitcoin’s Holding Pattern 

Although Bitcoin is up 14% over the last 30 days, its price has remained flat over the last two weeks.

Powering the Story: One of the main reasons is the state of interest rates, which many investors expect to stay steady and high for some time.

Final Thoughts: This week’s interest rate decision could impact Bitcoin’s short-term price.

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.