headlines...by halloapp

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11-03-2023

TECH

• Top tech firms, including Meta, Google DeepMind, and OpenAI, have agreed to allow governments to vet their AI tools before release. The UK’s first-ever AI Safety Summit resulted in the signing of the Bletchley Declaration, addressing safety concerns and emphasizing global collaboration. Elon Musk expressed support for aligning the US, UK, and China on AI safety. The UK government has announced the launch of the AI Safety Institute, backed by leading AI companies.

• Amazon is accused by the FTC of using a secret algorithm called “Project Nessie” to raise prices and limit competition from Walmart-owned Jet.com. The algorithm allegedly generated over $1 billion in excess profits for Amazon. The FTC also claims that Amazon deleted internal communications to hinder the antitrust investigation. Amazon denies the allegations and plans to challenge the lawsuit in court.

• The Biden administration issues an executive order regulating AI, emphasizing transparency, safety, and national security vulnerabilities. Legislation is being introduced in response.

• Elon Musk seeks to reject SEC’s attempt to make him testify in Twitter investigation, calling it burdensome and seeking irrelevant evidence.

• Palantir Technologies achieved strong Q3 results with GAAP profitability, a 33% YoY growth in its U.S. commercial business, and 80 deals of $1 million or more. The company’s stock price surged over 20% following the earnings report.

• EPAM Systems Inc reported a 6.1% revenue decrease in Q3 2023, but sees signs of stabilization in certain sectors. Trupanion Inc reported a 22% revenue increase and enrollment growth in Q3 2023.

• Universal Display Corporation reported Q3 2023 revenue of $141 million, a 12% decline, but expects revenue of $565-590 million for the year.

• DigitalOcean Holdings Inc reported solid Q3 2023 earnings, with revenue growing 16% YoY to $177 million, leading to a jump in stock prices.

• Generative AI is revolutionizing industries, including software engineering, healthcare, workforce management, and asset management, driving innovation and improving business functions.

• Viavi Solutions Q1 2024 revenue slightly below midpoint of guidance range, with 20.1% YoY decline; ZimVie reports Q3 2023 net sales decrease.

• Apple CEO Tim Cook has confirmed that the company is investing in generative AI, but did not provide specific details.

• Dropbox beats revenue guidance with a 7.1% YoY increase to $633 million in Q3 2023, but faces pressure in Teams and document workflow businesses.

• Elon Musk’s AI startup xAI will release its first AI model to a select group on November 4, claiming it is the best available.

MEDIA

• Jeff Bezos, founder of Amazon, is relocating to Miami to be closer to family and Blue Origin’s operations in Cape Canaveral.

• The FBI raided the home of Brianna Suggs, a top fundraiser for NYC Mayor Eric Adams, in a public corruption investigation.

• Cedar Fair and Six Flags are merging in an $8 billion deal, creating a leading amusement park operator with a total of 27 parks and $3 billion in revenue. The merger aims to boost post-pandemic recovery in the theme park industry.

• Grand Canyon Education is undervalued, while Perdoceo Education Corp and Grand Canyon Education report positive Q3 results with improved student retention.

• FuboTV’s Q3 revenue surges to $320.9 million, subscriber count reaches 1.48 million, and stock rises 15% with raised outlook.

• Penn Entertainment reported Q3 revenues of $1.62 billion and plans to launch ESPN BET on November 14, leading to a stock jump of nearly 13%.

• The 2023 World Series between the Texas Rangers and Arizona Diamondbacks had the lowest TV viewership in history, averaging 9.1 million viewers.

• Danny DeVito and daughter Lucy debut in Broadway play “I Need That,” a comedy drama about a hoarder in New York City.

• Fans in Liverpool gather to buy the new Beatles single “Now and Then,” the final song completed with AI technology, featuring John Lennon’s vocals.

• Disney is purchasing Comcast’s 33% stake in Hulu for $8.61 billion, securing full ownership of the streaming platform.

• Major shareholder Wildcat Capital Management intends to vote against Consolidated Communications Holdings’ $3.1 billion takeover, claiming it undervalues the company.

• Fox Factory Holding Corp reported a Q3 net income of $35 million, a 19.1% decrease in net sales, and acquired Marucci Sports for $572 million.

CONSUMER

• The National Retail Federation predicts US holiday sales will grow by 3-4%, slower than last year, due to factors like higher interest rates and financial strain.

• Amazon is closing its physical clothing stores in California and Ohio to prioritize its online fashion shopping experience and grocery stores.

• Tile Shop Holdings Inc. and Haverty Furniture Companies experienced decreases in sales, while Floor & Decor Holdings lowered its full-year guidance.

• WW stock drops over 10% as Q3 revenue falls 14%, with a 6% increase in subscribers and improved operating income.

• FIGS, a healthcare lifestyle brand, experienced a 10.7% increase in net revenue in Q3, with active customers growing by 19.6%. Adjusted EBITDA was $24.4 million. The company’s shares rose 9.3% in after-hours trading due to raised sales growth outlook.

• Universal Corporation’s Q2 2024 earnings call revealed a 46% increase in operating income, driven by strong demand for leaf tobacco.

• Bright Horizons Family Solutions (NYSE:BFAM) reported strong Q3 results with 20% YoY revenue growth and 33% adjusted EPS growth.

• Newell Brands, Fortune Brands Innovations, and Conagra Brands stocks all outperformed the market with significant gains.

REAL ESTATE

• National Association of Realtors CEO Bob Goldberg resigns amid a $1.8 billion verdict for inflating commissions and sexual harassment allegations.

• Ventas Inc. beat Q3 estimates with strong demand for assisted living properties, while NexPoint and RE/MAX reported net losses.

• US mortgage rates have decreased slightly to 7.76% after reaching their highest level since 1995, providing some relief for homebuyers.

• Google has terminated its development agreement with Lendlease for four projects in the San Francisco Bay Area due to market conditions.

• Ares Commercial Real Estate Corp (ACRE) reported Q3 2023 earnings of $9.2 million and declared a dividend of $0.33 per common share. ACRES Commercial Realty Corp. reported its Q3 2023 earnings, highlighting loan originations and real estate investments, as well as the health reimbursement portfolio. Apartment Income REIT Corp (AIRC) reported Q3 revenue of $197.31 million, a 1.8% YoY decline, and EPS of $0.64. AIRC reported a 10.3% increase in Q3 2023 Pro forma FFO, driven by growth in revenue and NOI. ACRES Commercial Realty Corp. reported a net decrease to the loan portfolio of $45.3 million in Q3 2023.

TRAVEL

• Playa Hotels & Resorts NV experienced a net loss of $10.5 million in Q3 2023, with a 4.8% increase in Net Package RevPAR.

ECONOMIC

• Donald Trump’s sons, Eric and Don Jr., testified in a New York court, denying involvement in their father’s fraudulent financial statements.

• Continuing unemployment claims in the US rose to 1.82 million, signaling a potential softening in labor demand. Weekly jobless claims rose moderately.

• Australian Prime Minister Anthony Albanese is visiting China to improve trade relations and stability, despite tensions in the South China Sea.

• Macquarie Group’s first-half net profit fell 39% to AUD 1.42 billion ($923m), prompting a AUD 2 billion ($1.29bn) share buyback.

• Large US asset managers are facing outflows as investors hold cash in money market funds due to rising interest rates and geopolitical uncertainty.

• Private equity funds are establishing offices in the Gulf to strengthen connections with sovereign wealth funds and wealthy families, as global fundraising for alternative investments declines.

• Goldman Sachs will promote 608 executives to managing directors in 2022, down from 643 in 2021, according to a company memo.

• The IRS has announced increased contribution limits for 401(k)s and IRAs in 2024, allowing individuals to save more for retirement. The 401(k) contribution limit will be $23,000 and the IRA contribution limit will be $7,000.

CRYPTO

• Sam Bankman-Fried, founder of FTX, has been found guilty on all seven counts of fraud and conspiracy, potentially facing up to 110 years in prison. $8 billion in customer funds went missing.

• Coinbase beats Q3 revenue expectations with $674 million, but reports a seventh consecutive quarterly loss due to declining trading volumes.

• PayPal has been subpoenaed by the SEC for information on its stablecoin PYUSD, with a market cap of $158M.

HEALTH

• DHI Group, Inc. reported Q3 2023 earnings of $0.02279 EPS, missing expectations of $0.03 EPS. Total revenue declined 3% year-over-year.

8×8, Inc. reported Q2 2024 earnings with an EPS of $0.14, beating expectations of $0.09. The company saw growth in its CPaaS business and improved operating costs.

Genera**Holdings**gs Inc. reported Q3 2023 earnings of $1.64 per share, beating expectations of $1.51 per share.

Confluent, Inc. reported a Q3 2023 EPS of -$0.30494, missing expectations of -$0.01 due to factors such as customer-specific events and macro pressures.

DoorDash, Inc. reported better-than-expected earnings for Q3 2023, with an EPS of $-0.19 compared to the expected $-0.45.

EyePoint Pharmaceuticals reported better-than-expected earnings for Q3 2023, with an EPS of $-0.33 compared to the expected $-0.62.

Nevro Corp. reported better-than-expected earnings for Q3 2023, with an EPS of -$0.65 compared to expectations of -$0.77.

Sar**Therapeutics**utics beats earnings expectations with reported EPS of -$0.46, exceeding expectations of -$1.63 for Q3 2023.

Glaukoss Corporation reported Q3 2023 earnings with an EPS of -$0.5, beating expectations of -$0.56. Net sales were approximately $78 million.

The**Marcus**s Corporation reported Q3 2023 earnings with EPS of $0.

• Novo Nordisk and Eli Lilly face high demand for weight-loss drugs but struggle to meet supply, causing manufacturing challenges and shortages.

• MetLife reported Q3 2023 adjusted earnings of $1.5 billion, up 35%, driven by higher investment income and strong underwriting margins.

• Insulet Corporation’s Q3 2023 results show over 27% growth in Omnipod sales, driven by the success of Omnipod 5.

SPORTS

• Ben Stokes, England’s all-rounder, will have knee surgery after the Cricket World Cup, aiming to return for the India test series.

• Victor Wembanyama, a rookie for the San Antonio Spurs, scored 38 points and led the team to victory against the Phoenix Suns.

• Erik ten Hag faces pressure as Manchester United manager due to underwhelming signings and poor results, but will stay for the upcoming match against Fulham.