Following yesterday morning’s surprise announcement that Tesla (TSLA - Free Report) CEO Elon Musk was securing a 9.2% share of social media staple Twitter , we saw that stock skyrocket +27%, passing into positive territory for the first time all year. It led the Nasdaq higher in Monday’s regular session, more than doubling the S&P 500’s gains yesterday.
Today we learn Musk will be joining the board of Twitter, and from what we know of his personality and penchant for bringing about results in a timely fashion, Wall Street is paying close attention today, as well. Shares of Twitter are up another +8% in pre-market trading. While on the board, Musk cannot own more than +14.9% of the Zacks Rank #3 (Hold) company (with a current Growth grade of F), but he already owns more than 4x the shares as Twitter CEO Jack Dorsey.
We expect changes, even if it’s difficult to predict what these may be. Musk has shown sensitivity toward criticism from Wall Street and the auto industry at times — could he be expected to try and target his foes via social media? Does he feel there are innovative ways to take on Facebook? Twitter’s $40 billion market cap looks a bit rich to try and take private, but could the richest man in the world try it anyway? The possibilities are various. And curious.
Twitter’s valuation is back to pre-Covid levels. Q1 expectations are for +18.5% year-over-year growth on the top line, but way down from the 16 cents per share reported in Q1 of 2021. The stock took a couple steps down following its big miss in Q3 of last year, and even with the +35% gains for the week thus far, shares are still below those halcyon days. Expect this to be a story followed closely for some time.
The U.S. Foreign Trade Deficit for February matched the January headline of -$89.2 billion, a deeper cut than the -$88.5 billion expected. We remain at record depth in foreign trade deficits — these figures were solvent all the way through the mid-1970s, and fell off a table at the start of the Millennium. Pandemic conditions have worsened these trends, and a bottom is not yet clear from this vista.
After today’s open, the S&P Global (Markit) Services and ISM Services data will hit the tape for the month of March. For the S&P figure, 58.9 is expected, which is exactly in-line with the previous month. The ISM survey is expected to bump higher — 58.0% from 56.5% posted in February. By far most job gains we’ve seen over the past few months have come in the Services sector; today’s read will give us a look at continued growth, though we are at cycle lows.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Following yesterday morning’s surprise announcement that Tesla (TSLA - Free Report) CEO Elon Musk was securing a 9.2% share of social media staple Twitter , we saw that stock skyrocket +27%, passing into positive territory for the first time all year. It led the Nasdaq higher in Monday’s regular session, more than doubling the S&P 500’s gains yesterday.
Today we learn Musk will be joining the board of Twitter, and from what we know of his personality and penchant for bringing about results in a timely fashion, Wall Street is paying close attention today, as well. Shares of Twitter are up another +8% in pre-market trading. While on the board, Musk cannot own more than +14.9% of the Zacks Rank #3 (Hold) company (with a current Growth grade of F), but he already owns more than 4x the shares as Twitter CEO Jack Dorsey.
We expect changes, even if it’s difficult to predict what these may be. Musk has shown sensitivity toward criticism from Wall Street and the auto industry at times — could he be expected to try and target his foes via social media? Does he feel there are innovative ways to take on Facebook? Twitter’s $40 billion market cap looks a bit rich to try and take private, but could the richest man in the world try it anyway? The possibilities are various. And curious.
Twitter’s valuation is back to pre-Covid levels. Q1 expectations are for +18.5% year-over-year growth on the top line, but way down from the 16 cents per share reported in Q1 of 2021. The stock took a couple steps down following its big miss in Q3 of last year, and even with the +35% gains for the week thus far, shares are still below those halcyon days. Expect this to be a story followed closely for some time.
The U.S. Foreign Trade Deficit for February matched the January headline of -$89.2 billion, a deeper cut than the -$88.5 billion expected. We remain at record depth in foreign trade deficits — these figures were solvent all the way through the mid-1970s, and fell off a table at the start of the Millennium. Pandemic conditions have worsened these trends, and a bottom is not yet clear from this vista.
After today’s open, the S&P Global (Markit) Services and ISM Services data will hit the tape for the month of March. For the S&P figure, 58.9 is expected, which is exactly in-line with the previous month. The ISM survey is expected to bump higher — 58.0% from 56.5% posted in February. By far most job gains we’ve seen over the past few months have come in the Services sector; today’s read will give us a look at continued growth, though we are at cycle lows.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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