🐝 Bumble swipes right on IPO

Thursday, September 3, 2020 by Robinhood Snacks | Disclosures

"I just didn't feel a strong WiFi connection with him"

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Hey Snackers,

"We just passed a guy in a jet pack" — 0% fazed. Two airline pilots on separate flights reported seeing a man flying 3K feet above Los Angeles. The FBI is investigating.

The tech-heavy Nasdaq hit a fresh all-time high yesterday and the Dow notched its highest close since February 20th.

1. Bumble is reportedly planning to IPO — let's talk dating in corona-times

Your move, girl... Bumble, the dating app where women have to make the first move, is open to pursuing a public relationship with investors (opposite of going "exclusive"). The beehive-themed dating & networking company is reportedly planning to IPO at a $6B-$8B valuation in early 2021. Dating is hard — it's even harder during a world-shattering pandemic:

  • No more Friday dinner night out: Instead, you're eating TJ’s pad thai in bed while aggressively swiping. That drives engagement for Bumble and Tinder/Hinge-owner Match.
  • No more eye contact across the dance floor: Global online dating was up 82% in March, as you made eye contact with 837 Tinder profile pics instead.
  • No more physical connection: All you need is a strong WiFi connection. Bumble video chat usage soared 93% after a national emergency was declared.

It's a great time to DTR... with investors. While in-person meetups are dead, the need for looove isn't. So dating apps are thriving. Both Bumble and its publicly-traded rival Match make most of their $$$ from paid subscriptions (Bumble Boost, Tinder Plus) – these have grown during the pandemic.

  • Match stock has soared almost 700% since its 2015 IPO, and 40% since January alone.
  • Bumble now has over 100M users worldwide — it's hoping public investors will want to match with it, too.

Online Dating’s stigma is gone, thanks to COVID... We've gone from "we met at a bar" lies to Bumble-themed weddings where you swipe to RSVP (#loveatfirstswipe). There's now more stigma around going to a bar than video chatting with a stranger on Tinder. ~40% of all relationships in the US start online. Since the chances of meeting someone in person are slimmer than ever, that number will likely jump faster. Bumble could find long-term love on the public market.


They never have free samples anyway... Just one day after Walmart unveiled its Amazon Prime competitor Walmart+, Amazon is one-upping its grocery rival (claaaassic Bezos). On Tuesday, the Zon will open its 1st online-only Whole Foods store in Brooklyn. It's basically a Whole Foods that you're not allowed in (no Nuts & Seeds section "browsing"). It'll only be used by Amazon employees to fulfill e-grocery orders in the area.

  • Amazon operates over 500 Whole Foods, offering online grocery delivery from its stores.
  • Amazon's online grocery sales tripled last quarter, because, quarantine.

Getting some bang for its billions... Amazon acquired Whole Foods in 2017 for nearly $14B to sow its grocery oats. That acquisition has lettuce down. Amazon hasn't done much with it besides giving Prime members free grocery delivery and 10% off sale items. But this "Ghost Grocery" warehouse concept could speed up deliveries and ensure that the maple almond butter you want is in stock — instead of asking if you want PB, instead.


This could be Amazon’s big grocery advantage... over Instacart, Walmart, and DoorDash. E-grocery shoppers have to go into stores just like you and us to pick out your goodies before delivering them — that's not very efficient.

  • Speed: All that pushing between shopping carts, little kids, and cheese-gawkers slows the process down. That doesn't happen in a Ghost Grocery.
  • Reliability: In regular stores, there's a decent likelihood that the pesto you ordered is gone. In Ghost Groceries, supplies are closely monitored (and no one storms the pasta aisle).
  • Price: This more efficient fulfillment method could allow Amazon to lower prices or rake in more profit.
What else we’re Snackin’
  • King: DraftKings stock jumped 8% on word that Michael Jordan is taking an equity stake and becoming a special adviser.
  • Play: Lego stacked up some strong earnings — sales jumped 14% as you tried to entertain your home-bound child (or yourself).
  • Bag: Bloomingdale's owner Macy's posted a $431M loss, but said Bloomies is "having a moment" while other department stores suffer.
  • Cut: United plans to cut over 16K jobs when federal bailout $$$ expires — much less than the 36K it warned could be laid off.
  • Banned: India bans Baidu and 100 other apps linked to China, in addition to the 50+ Chinese apps it banned in June (including TikTok).

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Disclosure: Authors of this Snacks own shares of Amazon and Walmart

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