Podcast Summary
Volkswagen tests QuantumScape's battery tech, Costco reports sales growth, McDonald's faces Middle East challenges: Volkswagen's positive test results for QuantumScape's battery technology led to a stock surge, Costco reported a strong sales increase for December, and McDonald's faced challenges in the Middle East due to geopolitical tensions
QuantumScape Corporation's battery technology passed a significant test by Volkswagen, leading to a 43% surge in the company's stock price. The stock is expected to report earnings in February. Meanwhile, Costco reported a 9.9% increase in net sales for December, with total and comparable sales up 8.5%. An additional shopping day due to the timing of New Year's Day contributed to the sales growth. McDonald's, however, faced business impacts in the Middle East due to the ongoing conflict between Israel and Hamas, with some markets experiencing significant declines and misinformation about the brand. The CEO addressed the situation in a New Year's message to employees and McDonald's Oman made a donation towards relief efforts in Gaza. In other news, Zscaler will host its annual meeting as a catalyst to watch.
Constellation Brands to Release Q3 Earnings Amidst Market Volatility: Constellation Brands is expected to beat earnings and revenue estimates, but markets had a down day and sectors varied in performance. Pre-market, futures are down, crude oil is up, and Bitcoin is above $43,000. Notable pre-market movers include Peloton and Microsoft, while PepsiCo products face potential price hikes and hospital struggles persist.
Constellation Brands is expected to release its Q3 earnings results today with estimates of $3 EPS and $2,540,000,000 in revenue. The company has a strong track record of beating both EPS and revenue estimates in the past two years. Meanwhile, markets had a down day on Thursday with the Nasdaq being the worst performer, and major averages ending lower. Energy was the worst-performing sector, while health care and financials led the gains. Pre-market, Dow, S&P 500, and Nasdaq futures are in the red, while crude oil is up, and Bitcoin is above $43,000. Peloton is a notable pre-market mover, up 2.6% after announcing an exclusive partnership with TikTok. Additionally, there have been articles about PepsiCo products being pulled from retailers due to price hikes, and potential hospital struggles amid a rise in COVID and flu cases. Microsoft is also making headlines as it may soon replace Apple as the world's most valuable company.
US Jobs Report and Fed Speech Scheduled for Today: Two major economic events today: US jobs report with 170k new jobs predicted and 3.8% unemployment rate, followed by Fed's Barkin speech providing insights on the economy
Two significant economic events are scheduled for today. Firstly, at 8:30 AM, the US jobs report for December will be released with economists predicting 170,000 new jobs and an unemployment rate of 3.8%. Secondly, at 1:30 PM, the Fed's Thomas Barkin will speak before the Maryland Bankers Association. These events are crucial as they provide insights into the current state of the labor market and the Federal Reserve's perspective on the economy. Stay tuned for further developments. To delve deeper into the stock market and gain valuable insights from real investors, consider joining the Seeking Alpha community at seekingalpha.com/subscriptions. Have a great weekend!