Hey Snackers,
Seattle Seahawks QB Russell Wilson dished out $12K in Amazon stock to some teammates (+ a nice note).
Markets are channeling the generosity. The S&P 500 and Nasdaq jumped to record highs Tuesday after positive corporate earnings reports from a wide range of companies. More on that below.
Snap back... First, CEO Evan Spiegel changed his office uniform from t-shirt to nicer t-shirt. Then Snap rolled out its Games initiative last month. Now the mojo's officially returned after its 1st quarter earnings beat expectations. Our highlights:
World War Gen Z... This report was a reminder of how incredibly engaged the youngest generation of adults (and future adults) in America is with Snap:
But are they taking ads from Facebook?... Both Twitter and Snap's earnings delighted Tuesday (Twitter stock rose 16%, Snap gained 7%). Both grew ad revenues — But where were those ads before switching to Twitter & Snap? They could've taken ads away from Google or Facebook. Zuck will reveal some answers when his baby releases earnings later today.
Schedule more playdates... with the Pawtucket, RI-based team over at Hasbro. The 2018 Toys 'R' Us bankruptcy dropped toy sales nationwide 2% last year. But Hasbro stock jumped 14% Tuesday on signs it survived the play-pocalypse.
Dust off the top-bunk play box... Hasbro has found new retail shelf-space in grocery and drug stores to replace losses at Toys 'R' Us. But here are the toys heroically headlining its comeback:
It's all about "The Disney Playbook"... Turn your childhood characters into profit ecosystems. Disney pumps out Star Wars theme parks and toys to complement its films. Hasbro rival Mattel's giving Barbie live-action big screen treatment this year. To keep up, Hasbro needs a movie/event/resort future for its Nerf/Twister/Furby past.
Update: The trade war's still raging... The US reamins in tit-for-tat mode with China and Europe on international trade. And the trade taxes slapped on each other (aka tariffs) oozed out of Tuesday's serving of earnings reports.
🤬__The loser:__ Harley Davidson — Its profits dropped 27% and shares fell Tuesday.
💵__The winner:__ Whirlpool — Its profits rose 10% and shares jumped Tuesday.
Tariffs aren't equal opportunity impacters... Most of America's economy is service-related. Apps, software, billable hours, haircuts. None of that is affected by tariffs, which hit imports and exports only. That's mainly manufacturing companies, like Harley and Whirlpool — And the impact is amplified (positively or negatively).