Today is Tuesday, April 26, 2022.
New to this newsletter? Sign up here
Rich Guy Buys Blue Bird: Elon Acquires Twitter
The run of Twitter (NYSE: TWTR) as publicly-traded has come to an end after the social media giant announced Monday that Elon Musk is acquiring it and turning it into a private company.
Details: Twitter’s board of directors unanimously agreed to be acquired for $44 billion. Shareholders will receive $54.20 in cash for each share of Twitter common stock. This is a 38% premium to the stock price on April 1.
Further Action: The deal is still subject to the approval of Twitter stockholders and regulatory agencies. Technically, the deal could get struck down, but it’s unlikely.
Numbers: Since Elon began his quest to buy Twitter, the share price is up 31%.
Final Thoughts: Now that Twitter will become a private company, it is no longer a concern for retail investors.
Notable Earnings Today: Alphabet (Nasdaq: GOOGL), Microsoft (Nasdaq: MSFT), United Parcel Service (NYSE: UPS), General Electric (NYSE: GE), PepsiCo (Nasdaq: PEP), Visa (NYSE: V), 3M (NYSE: MMM), General Motors (NYSE: GM), Valero Energy (NYSE: VLO), Enphase Energy (Nasdaq: ENPH), Raytheon Technologies (NYSE: RTX), Chipotle Mexican Grill (NYSE: CMG), JetBlue Airways (Nasdaq: JBLU), Texas Instruments (Nasdaq: TXN), Waste Management (NYSE: WM), QuantumScape (NYSE: QS), D.R. Horton (NYSE: DHI), Skechers USA (NYSE: SKX), Archer-Daniels-Midland (NYSE: ADM), Range Resources (NYSE: RRC), Ares Capital (Nasdaq: ARCC), Avery Dennison (NYSE: AVY), Boyd Gaming (NYSE: BYD), Canadian National Railway (NYSE: CNI), Canon (NYSE: CAJ), Capital One Financial (NYSE: COF), Centene (NYSE: CNC), Chubb (NYSE: CB), Corning (NYSE: GLW), Equity Residential (NYSE: EQR), Exact Sciences (Nasdaq: EXAS), F5 (Nasdaq: FFIV), Fanuc (OTCMKTS: FANUY), Hubbell (NYSE: HUBB), Juniper Networks (NYSE: JNPR), Mondelez International (Nasdaq: MDLZ), MSCI (NYSE: MSCI), Navient (Nasdaq: NAVI), Northern Trust (Nasdaaq: NTRS), Novartis (NYSE: NVS), Sherwin-Williams (NYSE: SHW), Shutterstock (NYSE: SSTK), Teradyne (Nasdaq: TER), TransUnion (NYSE: TRU), Travelzoo (Nasdaq: TZOO), UBS Group (NYSE: UBS), Wyndham Hotels & Resorts (NYSE: WH), Brown & Brown (NYSE: BRO), Calix (NYSE: CALX).
Notable IPOs Today: N/A.
Notable Equity Crowdfunding Campaigns Ending Today: Guac (Republic), Modal Living (StartEngine), Passion Tree (StartEngine).
Notable Economic Events Today: Core Durable Goods Orders (8:30 a.m. ET), S&P/CS HPI Composite (9:00 a.m. ET), CB Consumer Confidence (10:00 a.m. ET), New Home Sales (10:00 a.m. ET), API Weekly Crude Oil Stock (4:30 p.m ET).
Whirlpool Hit by War in Europe
Shares of Whirlpool (NYSE: WHR) jumped 2.87% in after-hours trading on Monday after the home appliances company posted mixed earnings results.
Financials: Whirlpool reported earnings per share of $5.31, which was better than expected. But the revenue of $4.9 billion was below estimates.
The Bad: Demand in EMEA (Europe, the Middle East, and Africa) dropped and revenue declined due to the war. Whirlpool pledged to initiate a strategic review of its EMEA business. Inflation was a challenge and the company lowered its sales goals for the year.
The Good: Whirlpool had robust sales growth, especially in North America. The company authorized a $2 billion share repurchase program, which will help grow the stock price. The dividend also increased.
Numbers: Shares of Whirlpool are down 13% in the past 6 months, and 24% in the past 12 months.
Final Thoughts: Whirlpool needs to turn around its business in Europe. If it can fix that, the stock has a chance to succeed.
Chia’s 2022 Price Outlook
After peaking at an all-time high price of over $1,500 last year, how has the cryptocurrency Chia performed?
Numbers: While the price of Chia did hit $85 briefly in February, it has since hovered around $65.
Final Thoughts: Can Chia regain some momentum later in the year?
Trends to Watch
New Classic: The Chevrolet Corvette is officially going electric (CNN)
Good News: U.S. FDA approves Gilead’s Covid-19 drug remdesivir for young children (CNBC)
Trouble: Chinese Markets Tank as Investors Worry About Covid-19 Lockdowns (The Wall Street Journal)
Momentum: Bitcoin Recovers Above $40K After Dipping Earlier to 6-Week Low (CoinDesk)
Thank you for reading!
Forward to a friend and tell them to sign up here.
Want more investing tips? Listen to the podcast.
Questions or comments? Hit reply to reach out.