Hey Snackers,
California fish enjoyed an open bar this weekend when a Sonoma County winery leaked nearly 100K gallons of Cabernet into the Russian River. The wine was (literally) flowing.
Stocks ended the week lower, and the Dow dropped 170 points Friday, as more cases of the deadly cornavirus were confirmed.
Not as sexy as cars... But perhaps more formidable. While the news buzzes with shiny stories on Tesla and fancy new electric car models, one player in the electric push has gone relatively unnoticed: the electric delivery van. Big companies are realizing the 4-wheeled space between cars and semi trucks could become climate cursaders:
As e-commerce delivery continues to grow... More and more vans are hitting the streets. And companies like Amazon are increasingly incentivized to electrify their fleets to save money on fuel, gain independence from volatile oil/gas prices, and lower greenhouse gas emissions.
The biggest shift to electric... may not come from consumers buying individual cars — it might come from companies buying work vehicles. This new EV alliance suggest that companies are enthusiastic about electric vehicles for the same reason Amazon is. These businesses operate some of the largest vehicle fleets in the world, and their investment in EV could move the needle faster than individual consumer purchases can. And the money coming from corporate budgets could fuel innovation in electric that filters down to consumer cars.
All Uber the place... Uber's had a lot in its trunk lately, from working to disqualify its California drivers from being employees to dealing with a potential London ban. But the stock surged 5% after the company sold its Uber Eats India biz to Indian food delivery competitor Zomato. Uber's taking the "dominate or ditch" approach: leave markets where it's not #1 so that it canfocus on markets where it is (or could be). While some could see this exit as quitting, investors see it as a money-losing company finally making profit-chasing moves.
Real meat, minus the animal... Memphis Meats just raised a beefy $161M to develop cell-based meat, the biggest ever fundraise for a lab-grown meat startup. The company "feeds" cells taken from animals, then grows the tissue into a hunk of beef you can cook and fit in a taco. And you thought plant-based was wild. The world wants twice today's meat by 2050, and lab-grown meat could deliver by requiring less land and water (which are both running out) than raising animals. Plus, fewer animals will have to perish.
Not in the green... Weed delivery leader Eaze (aka "the Uber of pot") has a cash problem — it's almost out of the stuff. It's reportedly about to lay off employees and can't afford to pay its bills. Eaze wasn't making enough $$$ by acting as a delivery middle guy for 3rd party Cannabis producers, so it's whipped up a new strategy: "Touching the plant". Produce and sell its own weed directly through depots. Eaze's struggles though are reflective of a whole Cannabis industry not growing as fast as investors hoped.
Remember when... checkered Vans were a must-have middle-school staple and Timberlands made you an official adult? Those days are gone for VF Corp, which owns both the brands (along with The North Face). VF shares fell 10% last week as Vans and Timbs sales slow. So it's looking to sell off its industrial work apparel divisions so it can fix its more fashionable consumer labels.
Disclosure: Authors of this Snacks own shares of Uber, Amazon, and Tesla
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