headlines...by halloapp

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11-02-2023

TECH

• Lemonade’s Q3 revenue of $114.5 million beats estimates, while Roku reports surprise profit in Q3 and strong revenue outlook.

• The Bletchley AI Declaration emphasizes the need for better understanding and regulation of AI, while the US and EU take more urgent action. China, the US, and the UK have agreed to collaborate to ensure safe AI development. The UK’s AI Safety Summit sparked a debate on prioritizing immediate risks versus existential risks. UK Prime Minister Rishi Sunak will lead talks at the summit and meet with Elon Musk. The US plans to establish its own institute to regulate AI, overshadowing the UK’s summit.

• MicroStrategy reported Q3 2023 revenue of $129.5 million, while Super Micro Computer reported Q1 2024 revenue of $2.12 billion and raised its full-year revenue guidance to $10 billion to $11 billion.

• AMD’s shares surged over 8% after CEO Lisa Su projected chip revenue to reach $400 million in Q4 and $2 billion next year. The company reported Q3 earnings of $0.70 per share, beating estimates, with revenues of $5.8 billion. Additionally, the demand for AI chips is expected to increase at a rate of 38% annually, generating $384 billion in annual revenue by 2032.

• The UK government will invest £225M to build Isambard-AI, the country’s most powerful AI supercomputer, in collaboration with the University of Bristol and Hewlett Packard Enterprise. It will be 10x faster than the current fastest machine.

• Xage Security raises $20 million in funding to expand zero trust cybersecurity solutions for critical infrastructure and operations in Asia Pacific.

• SEMrush Holdings, Inc. exceeded Q3 earnings and revenue estimates, with $78.72 million in revenue and earnings per share of $0.06.

• US lawmakers are urging the Biden administration to address China’s use of RISC-V chip design technology due to national security concerns.

• SoftBank Corp raises $800 million through Japan’s first listing of bond-type shares, attracting strong demand from investors.

• Atos shares surged 16% after Onepoint acquired a 10% stake in the French IT group, causing a jump in stock prices.

• MeridianLink, Inc. (NYSE: MLNK) announced its Q3 2023 earnings, reporting a 7% YoY increase in revenue to $76.5 million. The company specializes in providing software solutions for financial institutions.

• Japanese trading house Mitsui will acquire a 12.69% stake in Axiata Group’s digital and analytics unit for $58 million, valuing the company at $550 million.

• India’s cyber security agency is investigating complaints of iPhone hacking by opposition politicians after receiving warning messages from Apple.

• PC Connection Inc reported record Q3 2023 earnings per share of $0.97, with increased gross margins and net income despite declining sales.

MEDIA

• Disney is set to acquire Comcast’s remaining 33% stake in Hulu for $8.6 billion, giving Disney full ownership of the streaming service.

• Cedar Fair and Six Flags Entertainment are merging to create an $8 billion theme park powerhouse with 27 amusement parks.

• Electronic Arts Inc. stock slightly declined but outperformed competitors, EA Sports FC surpasses FIFA 23 player count, EA reports strong Q2 earnings.

• Netflix stock rose 2.06%, Amazon stock rose 2.94%, Meta Platforms stock rose 3.51%, Allstate stock rose 1.26%, Travelers Cos. stock rose 1.10%, NRG Energy stock rose 3.49%. Guggenheim upgraded NRG Energy to Buy with a $50 price target.

• Manchester United manager Erik ten Hag faces increasing pressure after team’s 3-0 defeat to Newcastle, admits poor performances.

• Eventbrite’s Q3 2023 results show 21% YoY revenue growth, gross ticket sales of nearly $900 million, and increased adjusted EBITDA margin. They also raised their sales forecast for the full year.

• Live Nation Entertainment’s stock fell 1.8% as the Justice Department probes potential anticompetitive practices in its agreements with artists and venues.

• Miriam Adelson, a Republican mega-donor, met with potential 2024 presidential candidate Nikki Haley in Las Vegas, showing support for her campaign.

• Apple has discontinued its $5 Siri-based ”Voice Plan” for Apple Music, which allowed users to access the entire catalog exclusively through Siri.

• Britney Spears’ memoir, “The Woman In Me,” sold 1.1 million copies in its first week, showing strong interest in her story and personal experiences.

• Hollywood actors and major studios have not resolved concerns about AI in talks to end a strike. The union has presented a revised proposal to limit the use of AI technology. The strike has cost the California economy $6 billion.

CONSUMER

• MercadoLibre, the largest e-commerce marketplace in Latin America, reported strong Q3 results with revenue growth of around 40% YoY in Brazil and 60% YoY in Mexico. The company’s net profit increased by 178.2%, surpassing expectations.

• Hugo Boss AG reports Q3 sales of €1.03 billion, a 15% increase, meeting market expectations and defying a tough consumer backdrop.

• E.l.f. Beauty reports a 76% increase in Q2 sales, reaching $215.5 million, driven by strong performance in retail and e-commerce channels.

• Estée Lauder’s Q1 2024 organic sales declined by 11%, driven by a drop in global travel retail business and weak sales in China. The company has lowered its outlook for fiscal year 2024 and plans to accelerate its profit recovery plan.

• Clorox Co (CLX) faces challenges from inflation, increased costs, and a cyberattack, leading to reduced sales and revised profit forecasts.

• Sustainability group Better Cotton has improved its platform for retailers like Walmart and Marks and Spencer to trace cotton to specific farms.

• DuPont’s Q3 2023 organic revenue declined by 10%, while Donnelley Financial Solutions reported strong Q3 earnings with net sales of $180 million.

• Tempur Sealy’s stock drops 5% as weak US bedding market leads to lower earnings and reduced guidance for the year.

REAL ESTATE

• Builders FirstSource, Inc. reported resilient Q3 results with a gross margin of 35% and $54 million in productivity savings.

• A federal jury has ordered the National Association of Realtors and brokerages to pay $1.79 billion in damages for colluding to keep real estate commissions high. This could reshape the housing market and lead to lower costs. Shares of implicated companies fell.

• WeWork’s potential bankruptcy filing next week could have a significant impact on suppliers and landlords, as the company’s shares have plummeted.

• Equity Residential’s Q3 2023 earnings showed strong performance in East Coast markets but a slowdown in San Francisco and Seattle due to job growth. They adjusted their same-store revenue guidance and discussed their outlook for 2024.

• NNNN REIT Inc. had a strong Q3 2023, with high occupancy levels and solid acquisitions, leading to an increased guidance for core FFO in 2023.

• Vornadoo Realty Trust’s Q3 2023 earnings showed a decrease in FFO compared to last year, but the company remains optimistic about the future.

• Brixmorr Property Group had strong Q3 2023 earnings, with outperformance in leasing, NOI growth, and an increased FFO outlook.

• Meritage Homes Corp’s Q3 2023 results show a 50% increase in sales orders and a record backlog conversion of 96%.

• The Mexican government will spend $3.4 billion to rebuild Acapulco after Hurricane Otis, which caused damages estimated at $15 billion.

TRAVEL

• The Laurentians, Eastern Townships, and Lanaudière regions near Montréal offer winter activities like skiing, snowshoeing, and spa treatments.

ECONOMIC

• Donald Trump Jr. testified in a civil fraud trial, denying involvement in fraudulent financial statements that exaggerated his father’s net worth.

• Unusually large put option trades were made in Tesla, Trade Desk Inc., Johnson & Johnson, Goodyear Tire & Rubber, and more, indicating bearish or bullish outlooks.

• NMI Holdings reported strong Q3 2023 earnings with record financial results and growth in their insured portfolio. Flushing Financial Corporation highlighted progress in their action plan to enhance resilience and strengthen financial performance.

• ING Groep, the largest Dutch bank, reported strong Q3 net profits of EUR1.98 billion, exceeding expectations. They also announced a share buyback program of up to EUR2.5 billion.

• Japan’s Prime Minister Fumio Kishida has approved a $113 billion stimulus package to address inflation, including tax cuts and subsidies.

• Private equity firm CVC Capital Partners has postponed its plans to go public in Amsterdam until next year due to unfavorable market conditions.

• Euro zone manufacturing activity continued to contract in October, with new orders declining sharply. Germany’s manufacturing sector remains in a downturn, while Italian manufacturing contracted for the seventh consecutive month. German unemployment also rose in October.

• Bank of Canada Governor Tiff Macklem warns of rising neutral interest rates, potential inflation from government spending, and possible interest rate cuts.

CRYPTO

• Sam Bankman-Fried’s fraud trial reveals how he and other executives tried to avert the collapse of FTX cryptocurrency exchange, including misappropriation of funds and false assurances to customers.

• SafeMoon founder and executives charged with fraud by US Department of Justice and SEC for diverting investor funds and violating securities laws.

• Bitcoin rises 2.5% to $35,300 after Federal Reserve rate call, seen as safe haven amid Middle East unrest. Analysts predict $150,000 price by 2025. Expectation of SEC approval drives surge to 17-month high of $35,185.

HEALTH

• Eli Lilly’s Q3 revenue beats estimates, driven by strong demand for its diabetes drug Mounjaro, bringing in over $1 billion.

• Novoo Nordisk reports record sales and profits for Q3, with high demand for its weight-loss drug Wegovy.

• Moderna’s shares fell as the company reported a loss and a decline in quarterly sales due to low demand for its Covid-19 vaccine. The company also forecasted lower sales for next year than expected by analysts. Moderna incurred charges of $3.1 billion in the third quarter related to excess vaccine doses and other costs.

• CRISPR Therapeutics’ stock surges 12.4% as FDA advisory committee expresses satisfaction with gene therapy for sickle-cell disease. Approval decision on December 8th.

SPORTS

• The Texas Rangers win their first World Series title, defeating the Arizona Diamondbacks 5-0 in Game 5. Fox broadcasts the game.

• Bob Knight, the fiery and controversial college basketball coach known for chair-tossing, has died at age 83. He won three national titles and had the most wins in men’s college basketball history.

• Manchester United lost 3-0 to Newcastle United in the League Cup, while West Ham beat Arsenal 3-1 with goals from Kudus and Bowen.