Delta Airlines is offering a $30,000 no-strings-attached payment to each of the 76 passengers aboard Delta Flight 4819, which crash landed at Toronto Pearson International Airport on Monday. Now the question emerges: what is the right amount of money to offer to a person who survived your plane crash? Stocks retreated from all-time highs yesterday as Walmart had its worst day in over a year. Walmart's underwhelming outlook spilled over to other parts of the market, like banks, as investors fretted about the health of the US economy. Let's get down to quiz-ness: test your knowledge of this week's newsletters with our Snacks Seven quiz. |
- Warren Buffett announced that he has a nearly billion-dollar stake in which booze company?
Check your answer.
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Megaretailers' best business? Not retail, that's for sure. |
Megaretailers Alibaba and Walmart reported earnings yesterday, with Alibaba jumping 8% after crushing expectations across the board and Walmart dipping 7% after reporting that it expects slower profit and sales growth. Revenue for Walmart was up 4%, but it's the forecast that dimmed the prospects for the company, with execs indicating they're expecting sales to grow just 3% to 4% this year. Adding to the indignity, after years of outrunning the seemingly inevitable, Walmart has finally fallen behind e-commerce archrival Amazon. Walmart said it brought in $180.6 billion in sales last quarter, while Amazon's Q4 saw the company bring in $187.8 billion. For the full year, Amazon's margins last year were 3x that of Walmart's. And once you get into the weeds, you start to see that these so-called retailers are increasingly making their profits beyond their retail operations. |
- Walmart's been nursing an ad business that was worth $4.4 billion last year, in no small part because the profit margins on ads are a bonanza compared to the razor-thin margins of its retail operations.
- Alibaba's core retail business was responsible for less than half its revenue, as the company has been increasingly trading on its incredibly lucrative and fast-growing cloud computing business, not to mention an exploding AI business.
- Amazon's online store was only responsible for only $247 billion out of its $638 billion total in 2024, with its Amazon Web Services division delivering $107.6 billion — and far juicier margins.
- If anything, Amazon was mostly in the news yesterday for seizing control of James Bond, yet another side hustle.
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It sure seems like being a massive retailer is mostly just a way to spin up a reliable business that can drive some of your more profitable side hustles. It's going great for the cloud computing juggernauts that incidentally operate an e-commerce giant, even if times are getting tougher for the brick-and-mortar colossus attempting to stoke the flames of a promising ad business. |
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PE Funding
Secured by $100MM+ Dermatology Disrupter — Opportunity Closing Soon |
🧪 Survivor to founder… Facing an infection with a 70% fatality rate and no available cure, Bradley Burnam decided to develop one himself and Turn Therapeutics was born. The $123M1 company is on a mission to deliver unparalleled developments in advanced wound care, eczema, and onychomycosis2 – an estimated combined $25B+ market. 🤝 Backed and funded… Having already secured $15M+ in total funding across all offerings, the company built on the back of Burnam's cure has received a commitment from PE group, GEM, to purchase up to $75 million of stock upon a public listing.3 ✨ NASDAQ ticker secured…Turn Therapeutics was granted its Nasdaq ticker, TTRX.4 The company is inviting all to invest in its crowdfunding campaign on StartEngine: a unique opportunity to be an early investor in a biotech company that has the potential to revolutionize healing. ⏰ Closing soon… This campaign ends in less than 30 days, so don't miss your opportunity to invest today! Invest in Turn Therapeutics5 |
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PE Funding Secured by $100MM+ Dermatology Disrupter — Opportunity Closing Soon |
🧪 Survivor to founder… Facing an infection with a 70% fatality rate and no available cure, Bradley Burnam decided to develop one himself and Turn Therapeutics was born. The $123M1 company is on a mission to deliver unparalleled developments in advanced wound care, eczema, and onychomycosis2 – an estimated combined $25B+ market. 🤝 Backed and funded… Having already secured $15M+ in total funding across all offerings, the company built on the back of Burnam's cure has received a commitment from PE group, GEM, to purchase up to $75 million of stock upon a public listing.3 ✨ NASDAQ ticker secured…Turn Therapeutics was granted its Nasdaq ticker, TTRX.4 The company is inviting all to invest in its crowdfunding campaign on StartEngine: a unique opportunity to be an early investor in a biotech company that has the potential to revolutionize healing. ⏰ Closing soon… This campaign ends in less than 30 days, so don't miss your opportunity to invest today! Invest in Turn Therapeutics5 |
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Cruise stocks sank yesterday after the US secretary for commerce suggested that operators would soon have to start paying taxes. The idea sent Royal Caribbean down 8%, Norwegian Cruise Line down 5%, and Carnival down 6% on the day. This provokes the understandable question: wait, cruise companies aren't paying taxes? It's a longstanding practice in the industry to register ships under the flag of a country like Panama or Liberia, even if a given vessel is predominantly based in the United States or has a business shepherding mostly Americans around the Caribbean islands. Cruises have surged in popularity and strongly rebounded from the doldrums of the pandemic, but the new possibility that doing the bulk of their business in international waters won't be enough to save them from the External Revenue Service clearly has investors spooked. |
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It appears that "take to the sea" hardly constitutes a viable strategy for avoiding tax litigation, and just because you can get to the Cayman Islands more reliably than most of the Fortune 500 doesn't mean the taxman won't eventually catch up with you. |
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The 20 biggest US stocks are just one trade away |
The 20 largest U.S. stocks represent $23.1 trillion in market cap — close to the total of the 480 other stocks in the S&P 500 ($27.8T).6 Through iShares Top 20 U.S. Stocks ETF (TOPT), investors can access some of the largest companies by market capitalization in the U.S — all in a single trade.7 6 Standard & Poor's indices for market cap as of Nov. 30 2024. |
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The 20 biggest US stocks are just one trade away |
The 20 largest U.S. stocks represent $23.1 trillion in market cap — close to the total of the 480 other stocks in the S&P 500 ($27.8T).6 Through iShares Top 20 U.S. Stocks ETF (TOPT), investors can access some of the largest companies by market capitalization in the U.S — all in a single trade.7 6 Standard & Poor's indices for market cap as of Nov. 30 2024. |
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Yesterday's Big Daily Movers |
- Shares of Palantir fell after reports that the Trump administration plans to reduce defense spending by 8% per year.
- Hasbro raked in the Monopoly money after beating Wall Street expectations, slashing costs, and announcing plans to invest more in its biggest brands, like Play-Doh and "Magic: The Gathering."
- Shake Shack surged on cost-cutting success, solid guidance, and plans to aggressively expand.
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- It might better to be a weed company landlord than an actual weed company
- Data shows we are so far past peak iPhone hype. Can the 16e turn things around?
- DOGE might start counting gold bars at Fort Knox. That could embolden the crypto bulls, who are trying to will a strategic national bitcoin reserve into existence
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- January existing home sales
- University of Michigan Consumer Sentiment (final)
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Advertiser's disclosures:
1 There is no guarantee that the stated valuation and other terms are accurate or in agreement with the market or industry valuations. 2 The Company's Formula (Gx-03/Hexagen/Atopx) Has Received 510k Marketing Approval As A Medical Device Indicated For The Management Of Wounds, Burns, and Symptoms Related To Atopic Dermatitis/Eczema. The Company Is Pursuing New Drug Approvals for this Formula For The Treatments of Moderate to Severe Eczema and Toenail Fungus. 3 Liquidity commitment activates on/is contingent upon a public listing. 4 Turn Therapeutics recently received their ticker reservation with Nasdaq (TTRX), indicating an intent to IPO in the next 24 months. An intent to IPO is no guarantee that an actual IPO will occur. 5 Please read the offering circular and related risks at StartEngine's Turn Therapeutics webpage. This is a paid advertisement for Turn Therapeutics Regulation CF Offering. This Reg CF offering is made available through StartEngine Primary, LLC, member FINRA/SIPC. Investing in private company securities is not suitable for all investors because it is highly speculative and involves a high degree of risk. It should only be considered a long-term investment. You must be prepared to withstand a total loss of your investment. Private company securities are also highly illiquid, and there is no guarantee that a market will develop for such securities. 7 Visit www.iShares.com to view a prospectus, which includes investment objectives, risks, fees, expenses and other information that you should read and consider carefully before investing. Investing involves risk, including possible loss of principal. Funds that concentrate investments in specific industries, sectors, markets or asset classes may underperform or be more volatile than other industries, sectors, markets or asset classes and the general securities market. The Funds are distributed by BlackRock Investments, LLC (together with its affiliates, "BlackRock"). The iShares Funds are not sponsored, endorsed, issued, sold or promoted by S&P Dow Jones Indices LLC, nor does this company make any representation regarding the advisability of investing in the Funds. BlackRock is not affiliated with S&P Dow Jones Indices LLC. iCRMH1224U/S-4104889 BLACKROCK and iSHARES are trademarks of BlackRock, Inc. or its affiliates. All other trademarks are those of their respective owners. |
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Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate... See more |
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