Hey Snackers,
Forget RVs, hotel rooms, and tropical beaches â the most creative "work-from-anywhere" location is a ferris wheel. This Japanese "Amusement Workation" park is perfect for screaming after Zoom calls.
US stocks notched their best week in three months. The White House raised its coronavirus stimulus offer to $1.8T on Friday, nearing the $2.2T bill Democrats passed earlier. Doesn't sound like either will get green-lit soon.
On the pod: Microsoft's letting employees WFH forever. Tune into our 15-minute pod to hear what "hybrid work" means for you (and your paycheck).
Defining the relationship... with the law. Marijuana stocks got high last week on two hits of legalization news (sorry, had to). Aurora Cannabis shares popped 9% while Canopy Growth and Tilray surged over 24%. The pro-weed news:
Hash out the deets... While recreational pot use is legal in 11 US states, marijuana is still an illegal Schedule I drug at the federal level, along with LSD and heroin. That's why it's basically impossible for American cannabis stocks to trade on US exchanges. Aurora, Canopy, and Tilray (which trade on US exchanges) are Canadian. Expanding the legal pot market is key to their success â especially since the past two years have been a buzz kill...
Investors feel uncomfy in the legal gray area⊠Since soaring on legalization in Canada, cannabis stocks have taken a hit partly because companies havenât DTRâd with the US government. Their illegal federal status not only complicates costs and access to capital, but also limits the size of their market. Last weekâs boost suggests weed needs to become federally legit for canna-companies to reach the next level.
Channeling Jimmy Neutron... with the jeanius energy. Levi's offset corona-losses last quarter with a 52% surge in online sales. The jean legend's total sales fell 27% from last year, but it notched a profit and the stock popped on positive momentum. Also â Levi's just launched a "recommerce" site to sell your old jeans. Denim-recycling is sustainable and bankable: Levi's can cash in on the same pair of hip-huggers five times (instead of Poshmark).
Not left on read... Cloud company Twilio helps other companies talk to customers (think: text notifications, emails, support calls). Clearly, it's a good time to be in remote communications: Twilio stock jumped last week after the company raised its sales expectations for the quarter, and has nearly doubled this year on growth. But Microsoft's new calling/messaging service brings XL-sized competition. Twilio's reported $3.2B acquisition of customer data startup Segment could help it level up â just throw in a burrito to seal the deal.
Like the NBA Finals... DraftKings brought the tension. The sports betting stock had soared since September as live sports (besides Russian ping-pong) returned. But the stock dunked 20% last week on news that DraftKings is selling 16M new shares. These fresh shares dilute the value of existing stock, so stockholders will own less of the overall company. Also potential nail-biters: company insiders are cashing out on $832M of stock, and at least three NFL teams reported new COVID-19 cases last week.
Empty out the wine cellar... and throw on the "sad tunez" playlist. Santa Barbara-based Sonos got dumped by Apple. The Fruit is done selling headphones/speakers from "outsiders" like Sonos, Logitech, and Bose â Apple's going 100% DIY-audio. That kills speculation that Apple could acquire Sonos, like it snatched up Beats in 2014. Sonos stock dropped 11% last week on the breakup. Pssst: Apple's new speakers and over-the-ear headphones could show up at its big hardware event tomorrow.
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Disclosure: Authors of this Snacks own shares of Apple and Disney
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