|Bid||0.00 x 800|
|Ask||0.00 x 1000|
|Day's Range||29.60 - 30.73|
|52 Week Range||23.05 - 36.83|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
The NYSE has hosted a number of this year's high-profile IPOs this year but Airbnb won't be one of them. Airbnb is planning its public listing for 2020. Cowen CEO & Chairman Jeff Solomon joins Yahoo Finance's Adam Shapiro, Julie Hyman, Andy Serwer, and Hennion & Walsh Asset Management President Kevin Mahn from the New York Stock Exchange to discuss the current IPO market.
Techcrunch Disrupt is where the startup world gathers to see the present and the future of tech in one place. Be inspired by the insights of today's leaders and tomorrow's best startups, learn from industry analysts sharing their business expertise, witness the latest innovations and up-and-coming founders, and make the right connections easily to propel your business forward. The event starts October 2nd in San Francisco. You can buy tickets here: https://techcrunch.com/events/disrupt-sf-2019/tickets
WeWork will be listing its shares on the NASDAQ. The company also outlined sweeping changes in its governance ahead of its trading debut, which is expected on September 23. Yahoo Finance's Adam Shapiro, Julie Hyman, Jared Blikre, and Rick Newman discuss.
TIGER 21 is a $71 billion investment club for the super-wealthy that helps members manage their assets. Michael Sonnenfeldt, chairman of TIGER 21, joined The Final Round to discuss the current sentiment and investing trends of TIGER 21 members.
As WeWork begins looking for new investors ahead of its hotly anticipated IPO, the company is reconsidering its valuation, and might go public at close to $20 billion. Yahoo Finance’s Brian Sozzi and Alexis Christoforous discuss.
The market has been hit with a wave of highly anticipated IPOs this year, but many have fallen flat in public markets. Yahoo Finance’s Brian Sozzi and Alexis Christoforous discuss with former Cisco CEO, John Chambers, and Sprinklr founder, Ragy Thomas.
The stock market was relatively calm on Tuesday as investors await a rate decision from the Federal Reserve on Wednesday. There were still some big movers on the day though, so let's look at a few top stock trades. Top Stock Trades for Tomorrow 1: BoeingAs investors grow optimistic about getting the MAX 737 back in action, Boeing (NYSE:BA) stock is coiling and looking to move higher.InvestorPlace - Stock Market News, Stock Advice & Trading TipsShares have been consolidating between $375 and $385. In order to trigger a move higher, BA stock needs to clear $385. Just overhead -- near $387 -- is the 38.2% retracement. If Boeing can clear both marks, a rally into the $390s is possible. Above the March high and BA may even fill the gap back up over $410. * 7 Tech Stocks You Should Avoid Now If shares resolve lower, see that recent uptrend support (blue line) buoys the name. Top Stock Trades for Tomorrow 2: Aurora CannabisI hate to say it, but investors should have seen the decline coming in Aurora Cannabis (NYSE:ACB) stock. InvestorPlace readers have been leery of ACB for months now, and our recent call that shares may fall again only reiterated that cautious stance.Now breaking below the August lows, let's see if ACB draws in buyers near $5. We can't trust the name on the long side while it's below $5.40 -- at least in the short term. Even if it does reclaim this mark, it's only good for a short-term bounce.Below $5 and the December lows are possible, but let's take it one step at a time and see if it hits $5 to begin with. Top Stock Trades for Tomorrow 3: PinterestPinterest (NYSE:PINS) wants to begin rallying again, but it faces a tough road with high-growth tech stocks under pressure recently. On the charts, there's a lot of overhead, too.$30 is a significant mark, while the 50-day moving average is up at $30.57 and the declining 20-day moving average is at $31.05. $32 has also proven significant. Not to pummel you with numbers, but making matters even more complicated, the 50% retracement is at $29.94 and the 38.2% is at $31.57.So let's simplify it.PINS has a lot of marks between $30 and $32. Above $32 and it has mostly blue skies. Below $30 and it has the 100-day moving average at $29 and uptrend support at $28.Even simpler? Above $32 is bullish, below $28 is bearish. Top Stock Trades for Tomorrow 4: CorningCorning (NYSE:GLW) is getting hit hard on Tuesday, down more than 7%. On the weekly chart above, we can see shares being rejected by the 100-week moving average.It puts a key support zone on watch just below current levels. The ~$27 mark has been notable over the last three years, while the 200-week moving average stepped up as big-time support last month. That's currently at $26.50.Below that mark and GLW is in trouble. If we get a dip down into the $27 area, aggressive investors have a better risk/reward there than here, but GLW isn't my cup of tea. Top Stock Trades for Tomorrow 5: Acadia PharmaceuticalsAcadia Pharmaceuticals (NASDAQ:ACAD) has been a beast lately, gapping from $23.77 to almost $39 in a single move.ACAD stock consolidated that move beautifully in a narrowing range, before resolving higher on Monday. It tried to breakout over $44 again on Tuesday -- which has been multi-day resistance -- but was rejected. * 7 Momentum Stocks to Buy On the Dip Over $44 puts the $44.85 highs on the table and over that, ACAD can regain upside momentum. A break below $40 signals that Acadia needs more time to consolidate.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long PINS. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post 5 Top Stock Trades for Wednesday: BA, ACB, PINS appeared first on InvestorPlace.
What investors might expect from the Fed's two-day policy meeting as Wall Street awaits another rate cut. The latest global oil news after the weekend's attacks on Saudi Arabia. Positive U.S. economic updates. And why JLL stock looks like a buy - Free Lunch
When it comes to investing, everything matters. The fundamentals matter. The stock needs to be undervalued or fairly valued relative to its long-term growth prospects. The optics matter. There needs to be a reason why investors will want to buy the stock for the foreseeable future. And, yes, the technicals matter. The chart needs to support the bull thesis.In this gallery, we will focus on the last of those three characteristics. Specifically, we will be looking at five stocks that have great charts.But, we won't neglect the other two characteristics, either. In other words, we are going to look at five stocks that have great charts, and are simultaneously supported by favorable fundamentals and optics. Why? Because when great charts converge on favorable fundamentals and optics, you usually get a winning stock.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Momentum Stocks to Buy On the Dip Without further ado, then, let's take a look at five stocks to buy with great charts -- and strong fundamentals and optics, too. Stocks to Buy with Great Charts: Okta (OKTA)First up, we have a momentum cloud stock, Okta (NASDAQ:OKTA), which was killed amid the massive September shift from momentum stocks to cloud stocks. And its fundamentals, optics and technicals all say it should bounce back in a big way soon.Let's start with the chart. Throughout the summer of 2019, OKTA stock was forming a bearish head-and-shoulders pattern. Indeed, that head-and-shoulders pattern ended with a big plunge at the end of the summer. But, it appears that this head-and-shoulders pattern has now fully played out. That is, the stock has retraced its way all the way back to the starting point of that head-and-shoulders pattern. OKTA stock appears to be finding support there. It also should find support at the 200-day moving average, which happens to be right around the same level.The technical picture implies that the worst of the recent OKTA selloff is over, meaning the coast is clear to buy the dip.On the fundamentals side, Okta is a big growth cloud security company. It has been, still is and will remain a big growth company with big margins, supported by secular tailwinds in cloud, cybersecurity and the internet of things. Nothing about this secular growth narrative has changed over the past few weeks. As such, the fundamentals remain robust here and support further upside in OKTA stock.On the optics side, the momentum-to-value shift which materialized in September won't last forever. History says it will end, and soon. When it does, the optic backdrop will improve and provide support for a rebound in OKTA stock. General Electric (GE)Next up, we have a beaten up industrial giant, General Electric (NYSE:GE). GE's fundamentals, optics and technicals all imply it could be on the verge of a meaningful breakout.Let's start with the chart. There is one very important thing to watch here -- the 50-day moving average. Specifically, after spending several months sharply below its 50-day moving average, GE stock is on the verge of breaking above the 50-day moving average in a meaningful way. GE stock has only done this once before, back in early 2019. That breakout above the 50-day following a long stint below the 50-day led into a big, multi-month rally in GE stock. The same thing could happen this time around.On the fundamentals side, GE's depressed fundamentals are starting to improve. This breaks down into three things. First, the global economy appears to be stabilizing, and that should provide an upward lift for economically sensitive stocks like GE. Second, GE continues to simplify its operations with asset sales and business divestitures -- moves which create more visibility towards sustained profitability in the long run. Third, GE also continues to reduce its debt load, which ultimately reduces operational risk in the long run and should result in continued multiple expansion for the stock.When it comes to the optics, those look good, too. GE is a very economically sensitive stock. No one wants to buy this stock when the economy appears to be decelerating. But, signs are starting to emerge that the global economy is actually improving, and there's a fresh wave of European Central Bank and U.S. Federal Reserve stimuli on the way which should help improve things even further. As such, over the next few months, the global economic outlook should improve. * 7 Tech Stocks You Should Avoid Now In response, investors will buy into beaten up, economically sensitive stocks like GE. The Trade Desk (TTD)Much like Okta, programmatic advertising leader The Trade Desk (NASDAQ:TTD) is a momentum growth stock which: 1) was damaged meaningfully in the recent pivot out of momentum stocks, and 2) looks ready to rebound in an equally meaningful way.The chart here looks compelling. Since January 2018, TTD stock has formed a solid uptrend. Amid this uptrend, the stock has dropped into technically oversold territory (as defined by a Relative Strength Index reading below 35) only a few times. Each time, TTD stock bounced back from those oversold conditions over the subsequent few weeks to months. Right now, TTD stock finds itself in similar oversold territory. History says what comes next is a sizable rebound rally.It helps that the fundamentals for TTD stock remain very robust. This company is a leader in the field of programmatic advertising, which automates the ad transaction process using data and algorithms. This is a secular growth industry supported by the fact that all processes across the globe are becoming data-driven, automated processes. Nothing about this favorable secular growth narrative has changed recently. Indeed, the last thing we heard from the company was a double-beat-and-raise second-quarter print that showed continued robust revenue growth, margin expansion and profit growth.When it comes to the optics with TTD stock, investor demand should return soon. As mentioned with Okta stock, history says that significant momentum-to-value shifts don't last very long, and when they come to a close, they ultimately result in a big rally for momentum stocks. I don't see this time being any different. As such, current weakness in TTD stock should end with a significant rebound rally. Pinterest (PINS)Next up, we have yet another momentum growth stock, Pinterest (NYSE:PINS). PINS has all the necessary ingredients to stage a meaningful rebound here and now.The technical picture for Pinterest looks very similar to the technical picture of Okta. That is, in late summer 2019, PINS stock was forming a bearish head-and-shoulders pattern. That head-and-shoulders pattern has now fully played out. PINS stock dropped and ultimately found support right around the same level that the head-and-shoulders pattern started. From a technical perspective, it looks like the next few months in PINS stock should be defined by a rebound bid to all-time highs.On the fundamentals side of things, PINS stock remains supported by favorable growth fundamentals. Pinterest is a unique social media platform with hundreds of millions of users. Those users don't go to Pinterest for the same reasons they go to Facebook (NASDAQ:FB) or Twitter (NYSE:TWTR). They go to Pinterest for visual discovery and inspiration -- two use cases which lend themselves particularly well to ads. As such, Pinterest should have no problem over the next several years building out its ad business. Thus, PINS stock will be supported by robust revenue and profit growth -- the sum of which should keep PINS stock on a long-term winning trajectory. * 10 Stocks to Sell in Market-Cursed September On the optics side of things, PINS stock should benefit from the fact that its last earnings report was very, very good. Over the next weeks, investors will look for opportunity in the momentum rubble by identifying stocks which most recently had strong momentum. Pinterest had that. Last quarter, the numbers were so good that PINS stock rallied 20% to all-time highs. Activision Blizzard (ATVI) Last, but not least, we have video game publisher Activision Blizzard (NASDAQ:ATVI). ATVI stock seems fundamentally, technically and optically positioned for a big breakout rally over the next 12 months.Starting with the chart, we can see that ATVI stock appears to be in the first few innings of a multi-month technical breakout. Look at the moving averages in the above chart. A golden cross pattern has emerged. The 50-day moving average has poked its head above the 200-day moving average for the first time in several months. This golden cross pattern has emerged only a few times over the past decade. Each time it has emerged in this way, it preceded a multi-month breakout in ATVI stock.2020 could be a big year for Activision. Next-generation video game consoles from Sony's (NYSE:SNY) PlayStation and Microsoft's (NASDAQ:MSFT) Xbox are launching next year, marking the first console refresh cycle in seven years. More than that, these next-gen video game consoles will have cloud gaming capabilities -- yet another huge advance in the video game industry. Also, Activision's game lineup for 2020 should be stellar.On the optics side, you have a long-term winning stock that went through a rough patch in 2018-2019. Now, the stock appears to be bouncing back from that rough patch. Importantly, it's bouncing back ahead of what is shaping up to be a big 2020. That's a pretty compelling rebound story. Thus, I think buying action in ATVI stock should outweigh selling action for the foreseeable future.As of this writing, Luke Lango was long OKTA, TTD, PINS, FB and ATVI. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post 5 Stocks to Buy With Great Charts appeared first on InvestorPlace.
U.S. internet stocks have been red-hot once again in 2019, gaining roughly 45% year-to-date.Each month, Nomura Instinet analyst Mark Kelley tracks the latest trends in global internet usage by taking a look at Sensor Tower data for the month. In addition, Kelley looks at recent headlines to get a sense of which internet stocks are winning over users. Investors who get ahead of the curve by examining internet usage data can potentially get valuable insight heading into third-quarter earnings season for stocks. * 10 Recession-Resistant Services Stocks to Buy With that in mind, here's a list of Nomura Instinet's top five internet stocks to buy now and their usage trends from the month of August.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Internet Stocks to Buy Now: Spotify (SPOT)Source: Spotify Spotify (NYSE: SPOT) was once again the most downloaded music streaming app in August. The Spotify app had more than 17.7 million downloads. Downloads were up 18% in August from a year ago -- its lowest growth rate since February.However, Spotify downloads again outpaced its closest global competitors in YouTube Music (12.3 million), JioSaavn Music (5.2 million) and Deezer (3.4 million). Kelley says Spotify's 10% price hike in Norway doesn't seem to have had a major impact on revenue or cancellations, potentially opening up the door for higher prices in other regions.Nomura Instinet has a "buy" rating and $190 price target for SPOT stock. InterActiveCorp (IAC)Source: Rob Thurman Via FlickrInterActiveCorp (NASDAQ:IAC) is an 80% stakeholder in Match Group (NASDAQ:MTCH), the parent company of popular dating sites including Match.com, Tinder, OKCupid and PlentyOfFish.One of the biggest overhangs for IAC stock this year has been the launch of a Facebook (NASDAQ:FB) dating service late last year. Kelley says the latest data suggests Tinder has not been negatively impacted by Facebook's service. He says Facebook is a manageable risk for Match, and online dating is far from a "winner take all" market. Subsidiary Hinge was a major growth source in August, with year-over-year downloads up 56%. * 7 Tech Stocks You Should Avoid Now Nomura Instinet has a "buy" rating and $314 price target for IAC stock. Pinterest (PINS)Source: Nopparat Khokthong / Shutterstock.com Pinterest (NYSE:PINS) had 10.7 million downloads in August, up 18% from a year ago. The social media company also opened a new headquarters in Australia in August and reported a large earnings beat after making improvements to its platform.Kelley is projecting a three-year compound annual revenue growth rate for Pinterest of 42% -- the highest among the 12 internet media stocks under coverage and well above the 25% average growth rate of the group. Unlike some of its unprofitable peers, Kelley is also projecting annual net income growth of 45% as well.Nomura Instinet has a "buy" rating and $39 price target for PINS stock. Facebook (FB)Source: rvlsoft / Shutterstock.com Facebook and its advertising business just keep on trucking through all the political controversy, regulation, boycotts, lawsuits and antitrust probes.FB stock is up another 42.8% in 2019. Facebook's WhatsApp was the most downloaded social media app in August, with more than 57.2 million downloads. Messenger was a close second with 55.3 million downloads followed by the Facebook app with 52.5 million downloads and Instagram with 36.9 million downloads. While download growth on these four platforms slowed from a year ago, a clear sweep of the top four spots and a total of nearly 200 million downloads is extremely impressive.Nomura Instinet has a "buy" rating and $235 price target for FB stock. Alphabet (GOOGL)Source: achinthamb / Shutterstock.com In addition to Facebook and Match, Kelley says Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) is the big winner from the August usage data.Behind the four Facebook platforms, YouTube was the most-downloaded social media app in August with more than 23.3 million downloads. Surprisingly, users downloaded Google Search 8.2 million times in August, up 39% from a year ago. Search had previously not gotten more than 5.9 million downloads in any month during the past year. The Google Chrome app also got 6.4 million downloads in August.Nomura Instinet has a "buy" rating and $1,400 price target for GOOGL stock.As of this writing, Wayne Duggan did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Nomura Instinet's Top 5 Internet Stocks to Buy Now appeared first on InvestorPlace.
When Wall Street gets in a mood, it's time to watch out. It's also true the market can forgive and forget just as quickly. As much, when it comes to deeply oversold and out-of-favor growth stocks Pinterest (NYSE:PINS), Zscaler (NASDAQ:ZS) and CrowdStrike (NASDAQ:CRWD), it's time to put these names on your radar as stocks to buy today.While the averages have clawed their way back and into favor with index-focused investors, many risk assets have been left behind. Large-cap tech giants Netflix (NASDAQ:NFLX) and Amazon (NASDAQ:AMZN) are two prolific performers and household names that have largely failed to participate in the market's current rally.Sure, there's company-specific or macro reasons for the treason-like price behavior. There always is. More important, most often those concerns quietly and sometimes quickly disappear -- and are then replaced by as easily defendable supports for making yesterday's whipping boy today's hottest new toy on Wall Street. So, NFLX and AMZN are stocks to buy?InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Discount Retail Stocks to Buy for a Recession Personally, I'm not here to defend NFLX or AMZN shares and their varied levels of investor loathing. I'd rather focus on smaller, up-and-coming companies with big-time growth prospects and oversold price charts. These are stocks to buy if you can get past today's bearish narratives. Growth Stocks to Buy: Pinterest (PINS)Pinterest stock is the first of our growth stocks to buy. The wildly popular, web-based visual discovery platform rocketed higher by nearly 19% in early August after smoking earnings forecasts. The bullish price action set the stage for a market-leading, cup-with-handle breakout to fresh all-time-highs. But the classically strong-looking situation wasn't meant to be.With nary a price driver to account for the complete unwinding of shares, Wall Street and its often fickle -- and sometimes perverse -- behavior took the technically-constructive pattern and sent shares into a well-oversold situation that's tested trend-line support this week.I recommend that Pinterest is a stock to buy today. Investors should size the position for a 10% stop-loss to minimize exposure and exit if nearby support fails. Zscaler (ZS)ZS stock is the second of our growth stocks to buy. The cybersecurity upstart dropped the ball with reduced guidance for its fiscal year amid worries that Palo Alto Networks (NYSE:PANW) is encroaching on its growth. Oh, the worries.I'd be quick to point out it's far from unusual for one quarter's jeers to be replaced by investor cheer the very next reporting period. And ZS stock is no stranger to this phenomenon, either. Chalk up the reversal in price action to sandbagging, better-than-feared results or any number of reasons -- Wall Street has lots of reasons to forgive and forget.One early sign that investors will eventually reconnect with ZS stock is the price chart. Shares of Zscaler are oversold while filling a bullish earnings gap from two quarters ago. ZS stock is testing its lifetime cycle 62% Fibonacci support level. * 10 Battered Tech Stocks to Buy Now My recommendation for this stock to buy is to purchase shares if a confirmed weekly chart bottoming candlestick pattern emerges in the next several sessions while continuing to hold ZS stock's fallout low of $46.04. CrowdStrike (CRWD)CRWD stock is the last of our growth stocks to buy. CrowdStrike is another cybersecurity play and another casualty of earnings. Unlike ZS stock, CRWD appears to have suffered the curse of overly high expectations and valuation concerns as this growth stock topped estimates and boosted both its earnings and sales guidance. Talk of competition from VMware (NYSE:VMW) also helped shares spiral lower.Of the three, CRWD stock is the one I'd be most wary of buying. Shares ripped straight through a prior bullish earnings gap and 62% retracement level. CrowdStrike is now testing the 76% level for support. But if this week's low fails, shares are likely to challenge the June opening low of $56.My recommendation for this stock to buy is to purchase shares above $72, as long as CRWD can hold $65. Both the entry and exit blend the chart with pragmatism in keeping risk contained to roughly 10% -- and keeping investors safely on the sidelines for a more valuable stock to buy if a challenge of the prior low and double bottom pattern are to become a future reality.Investment accounts under Christopher Tyler's management currently own positions in Pinterest (PINS) and its derivatives, but no other securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post 3 Oversold Growth Stocks to Buy Today appeared first on InvestorPlace.
2019 has been a big year for initial public offerings. The year saw the arrival of some of the most anticipated IPO stocks in years, among them Uber (NYSE:UBER) stock.Indeed, it's possible that 2019 will set a record for the most capital raised, topping the $97 billion raised in 2000. WeWork and Peloton are among the well-known companies likely to go public before year-end.That said, post-IPO performance has been mixed. UBER stock, most notably, has been a flop. On the other side of the coin, a food-tech play has been one the best performers of all time, at least in the early going.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Battered Tech Stocks to Buy Now What matters at this point, of course, is not how these IPO stocks have traded so far -- but how they'll trade going forward. In some cases, big gains should continue. In others, early stumbles might look like a buying opportunity -- or a worrisome omen. After all, in many ways the IPO is the easy part. It's keeping investor attention after the offering that can be much more difficult. IPO Stocks: Uber (UBER)Source: NYCStock / Shutterstock.com Uber's IPO got off to a rocky start: Its $45 IPO price gave way almost instantly.UBER stock managed to grind back to those levels on a few occasions. But a disappointing second quarter earnings report last month sent shares tumbling. Uber stock neared $30 late last month before a recent bounce.The performance might be even worse than a 29% decline from the IPO price suggests. Uber executives reportedly wanted a $120 billion valuation ahead of the offering. The company's current market capitalization is less than half that.As I wrote last month, whether UBER stock can rebound likely comes down to one key factor: investor trust in the business model. It might seem stunning given the $58.6 billion valuation, but many investors still believe that the Uber business model will never be consistently profitable.The argument is that Uber simply has bought its growth through driver and rider incentives. To become profitable, those incentives will have to go away. But if and when those incentives go away, Uber's driver and rider pools both shrink.From that standpoint, the cheaper Uber stock price doesn't change the case all that much. If the model works -- if Uber can truly revolutionize not only the taxi industry, but food delivery and even freight -- UBER stock probably rises. If it doesn't, the stock would plunge.It's hard to know for certain which scenario plays out -- but one can at least reasonably assume that Uber stock is going to make a big move going forward. Lyft (LYFT)Source: Tero Vesalainen / Shutterstock.com For Uber's ride-hailing rival, Lyft (NASDAQ:LYFT), post-IPO trading hasn't been much better. LYFT, too, quickly dipped below its IPO price of $72. Like UBER stock, it touched an all-time low last month. And at least relative to its initial price, LYFT has underperformed, declining 38% against Uber's 29%.The broad question about the viability of the ride-hailing model obviously applies to Lyft as well. But there are two key differences in the stories.First, Lyft remains much smaller. Its revenue in the June quarter was less than one-third that of Uber. Of course, that may not necessarily be a bad thing. Lyft clearly has gained market share over the past few years, helped in part by the scandals at Uber. Continued share gains give Lyft a path to better growth going forward than Uber -- and potentially quicker profitability. * 10 Stocks to Sell in Market-Cursed September Second, Lyft doesn't have a delivery business, as Uber does with UberEats. And that might be a weakness, given investor hopes for UberEats rivals like DoorDash and GrubHub (NYSE:GRUB).Meanwhile, LYFT stock still trades at a premium to UBER stock on a price-to-revenue basis. That seems a bit surprising. Investors right now are pricing in further market share gains for Lyft, no matter how the actual market plays out. If Lyft disappoints on that front, the declines could continue. Chewy (CHWY)Source: designs by Jack / Shutterstock.com To some investors, online pet food retailer Chewy (NYSE:CHWY) looks a lot like UBER stock. Yes, growth has been impressive: 2018 revenue was eight times that generated just three years earlier.But, like Uber, bears argue that Chewy simply is creating unprofitable revenue. Indeed, well-known investor David Einhorn compared CHWY stock to that of Pets.com, one of the most infamous of the dot-com bubble stocks.That comparison seems unfair, however. Pets.com generated less than $6 million in revenue in 1999, and was bankrupt just a few months later. Chewy is on track to bring in almost $5 billion in revenue this year, has plenty of cash on the balance sheet and is tracking toward EBITDA profitability.A valuation of $13 billion-plus admittedly is concerning, particularly given that PetSmart paid one-quarter as much to acquire Chewy a little over two years ago. But as a satisfied Chewy customer, I see growth continuing and profitability arriving. If that's the case, CHWY's post-IPO sideways trading should turn into upside soon enough. Levi Strauss (LEVI)Source: Davdeka / Shutterstock.com Denim manufacturer Levi Strauss (NYSE:LEVI) returned to the public markets this year for the first time since 1985. But, at least so far, early returns have been disappointing.LEVI stock got off to a nice start, gaining 32% in its first day of trading in March. But a disappointing fiscal Q2 report undercut the stock. Friday's close of $17.08 leaves LEVI almost exactly even against its IPO price of $17.Near the lows, there's admittedly an intriguing case for LEVI stock. A forward price-to-earnings ratio of just 15.9 leaves valuation reasonable. Growth has been impressive in recent years. Denim demand seems to be holding up well, given results from the likes of American Eagle Outfitters (NYSE:AEO) and Wrangler owner Kontoor Brands (NYSE:KTB), a spinoff of V.F. Corporation (NYSE:VFC). * 7 Stocks to Buy In a Flat Market The worry, however, is that Levi's strong results heading into the IPO aren't sustainable, as a turnaround effort largely is complete. The company still has a big retail business at a time when investors want no part of retail. LEVI looks intriguing here -- but it's tough to argue that it looks compelling. CrowdStrike (CRWD)Source: Piotr Swat / Shutterstock.com Shares of cybersecurity company CrowdStrike (NASDAQ:CRWD) are heading in the wrong direction. Like so many tech IPO stocks in recent years, CRWD got off to a hot start, peaking at just shy of triple its IPO price of $34.The stock now has given back about a quarter of its value, however. Earnings and guidance both looked strong in last week's fiscal Q2 report, but the stock slid anyway.It's likely valuation is a factor. After all, this is a stock trading at roughly 40x this year's revenue guidance, even backing out cash. That's one of the highest figures in all of tech (though not, as we shall see, the highest).That said, investors have been rewarded in this market for focusing on growth over valuation. And CRWD now is back toward levels seen before its first-quarter report. In that report, too, CrowdStrike beat estimates and gave above-consensus guidance. CRWD stock jumped 15% on that release. Why sentiment has reversed isn't necessarily clear -- but if and when it turns back, CrowdStrike stock will be one of the better growth stocks out there. Zoom Video Communications (ZM)Source: Michael Vi / Shutterstock.com The story at video communications provider Zoom Video Communications (NASDAQ:ZM) sounds awfully like that of CrowdStrike.Zoom went public two months earlier, and its shares, too, initially soared. In fact, just like CrowdStrike, its stock stopped just pennies shy of tripling. CRWD since has fallen 25% from its highs; ZM stock has dropped 20%.Like CrowdStrike, strong fiscal Q2 earnings from Zoom Video last week were met by investor selling. ZM stock fell 8% on Friday, the day after its earnings release. And like CrowdStrike, the stock still looks dearly valued. ZM trades at an almost unfathomable 45x the FY20 consensus revenue estimate. * 7 Best Tech Stocks to Buy Right Now Where does Zoom go from here? It seems likely that, at least in the near term, it's going to be market factors that answer that question. As I wrote in April, ZM truly is the perfect stock for this tech market. Growth is enormously impressive, the opportunity is huge, and yet the valuation seems to incorporate all of the good news. As long as investors will keep paying up for growth, ZM stock can rebound. If and when valuation concerns arrive, however, ZM is one of the stocks most likely to crash. Luckin Coffee (LK)Source: Keitma / Shutterstock.com China's Luckin Coffee (NASDAQ:LK) has been one of the more middling IPO stocks so far this year. The IPO priced at $17, and closed its initial day of trading at $20.38. Since then, however, LK stock has gained just 1%.That said, for a Chinese consumer play, even flattish performance doesn't seem that bad. Trade war worries have led to selling pressure on a number of Chinese stocks, but LK stock has managed to hold up and keep an aggressive valuation of about 6x revenue.Even management from Starbucks (NASDAQ:SBUX), which is aggressively targeting the Chinese market, admitted at a recent conference that Luckin's growth was impressive. But Starbucks CFO Patrick Grismer also noted that Luckin's revenue growth has come from "extreme marketing and very aggressive discounts."Between valuation and what may be marketing-fueled hypergrowth, LK clearly is a high-risk play. For investors who see the selloff in Chinese stocks as overdone, however, Luckin Coffee stock could be worth that risk. Pinterest (PINS)Source: Nopparat Khokthong / Shutterstock.com Since its April IPO, Pinterest (NYSE:PINS) has performed reasonably well. The stock is up 60% from its IPO price of $19, albeit with some volatility along the way.But PINS stock has weakened of late, dropping 18% from August highs following a strong Q2 report. As with other IPO stocks, valuation concerns may be a factor. PINS still trades at about 15x 2019 revenue estimates.With year-over-year revenue growth likely near 50%, however, that valuation doesn't seem all that extreme, at least in this market. Pinterest clearly has a solid niche, though InvestorPlace's Josh Enomoto worried that its demographics might be too narrow. That proved to be a significant issue for Snap (NYSE:SNAP), which still trades below its 2017 IPO price amid concerns that its potential beyond younger customers is limited. * The 8 Worst Stocks to Buy Before the Trade Turmoil Cools Off With PINS heading toward levels seen before Q2 earnings, there may be a near-term trading opportunity. Longer term, the performance of PINS likely boils down to whether the company can convince investors its torrid revenue growth can continue for years to come. Slack (WORK)Source: Shutterstock Slack (NYSE:WORK), too, was a victim of a tough week for IPO stocks. WORK stock dropped as much as 16% following second-quarter results due to weak guidance. Shares recovered most of those losses -- but then fell almost 7% on Friday.To be fair, WORK isn't necessarily an IPO stock. Like Spotify (NYSE:SPOT), the company went public via a direct listing, not an actual IPO. Ignoring that distinction, however, WORK clearly has been one of 2019's worst new issues.After Friday's losses, WORK is almost back to its initial price of $26. Guidance is concerning. Competition, most notably from Microsoft (NASDAQ:MSFT), remains intense. And it's not as if the decline makes WORK cheap. The stock still trades at 25x FY2020 revenue estimates and profitability remains a long ways off.Right now, WORK looks like a falling knife. And with at least two-plus months until the next earnings report, patience is required. Beyond Meat (BYND)Source: Sundry Photography / Shutterstock.com Beyond Meat (NASDAQ:BYND) has been the best of 2019's IPO stocks. Even with a pullback from late July highs, the stock is up over 500% from its IPO price of $25.Those gains have drawn quite a bit of scrutiny. More than a few investors have called BYND a bubble. While the opportunity for plant-based "meat" seems large, Beyond Meat doesn't have that opportunity to itself. Impossible Foods, Nestle (OTCMKTS:NSRGY) and Tyson Foods (NYSE:TSN) are among those targeting the market.All that said, there is real value here -- and a real company. Growth has been explosive. Distribution continues to expand. And Beyond Meat is not a play for vegans or for health-conscious customers, but rather traditional meat eaters looking to minimize their environmental footprint or simply replace meat once or twice a week.Beyond Meat is likely to grow for years to come -- the question, at above $150, is whether it can grow fast enough to support an enormously hefty valuation.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Battered Tech Stocks to Buy Now * 7 Strong-Buy Stocks Hedge Funds Are Buying Now * The 7 Best Penny Stocks to Buy The post 10 Big IPO Stocks From 2019 to Watch appeared first on InvestorPlace.
There has been a lot of sideways action in the company's shares since it went public last spring and that pattern could continue in the weeks ahead.
Carnival, Visit Florida, and Visit Wales are some of the travel brands that have advertised on Pinterest. But the digital scrapbooking service has barely tapped the budgets of the largest travel brands. Pinterest, which became a public company in April, is growing in popularity. About 300 million users worldwide logged on at least monthly between […]
In addition to its huge losses, terrible business model, and laughable corporate governance, one of the main reasons WeWork is struggling to go public is the dismal performance of other so-called super-unicorn stocks over the past couple of years.
The correction/profit-taking was bound to happen, but trying to pick the exact day or the exact price point of tops is virtually impossible. Similar to Stitch Fix , I believe the selloff in Pinterest is overdone. Pinterest delivered better than expected revenue and earnings per share back on August 1.
Second=quarter earnings season has come and gone, leaving investors with a mixed bag of results.From a headline perspective, 75% of companies topped profit expectations -- above the five year average profit "beat rate." But only 56% of companies topped revenue expectations -- below the five year average revenue "beat rate." Meanwhile, the revenue growth rate was just 4% -- the slowest reading since mid-2016 -- while the earnings growth rate was negative, marking the first time since early 2016 that the S&P 500 reported back-to-back quarters of negative earnings growth.In other words, it wasn't a great earnings season.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut some stocks did have a great earnings season. That is, some stock bucked the broader "mixed bag" trend and instead reported blowout Q2 numbers which propelled their stocks meaningfully higher.Which stocks crushed it this earnings season? And will they stay in rally mode for the foreseeable future? * 7 Industrial Stocks to Buy for a Strong U.S. Economy Let's answer those questions by taking a deeper look at 7 of the best stocks that absolutely crushed it this earnings season -- all of which are up 15% or more since they reported earnings -- and seeing whether or not these hot stocks can sustain their post-earnings momentum. Roku (ROKU)Source: Michael Vi / Shutterstock.com % Gain Since Earnings Report: 55%Streaming device maker Roku (NASDAQ:ROKU) reported Q2 numbers in early August that smashed expectations on all important metrics, including revenues, profits, active accounts, average revenue per account and margins. The report also comprised sequential revenue growth acceleration, broad margin improvements and sustained robust account growth, as well as a strong guide which implied that all of this positive growth momentum will persist for the next few quarters.ROKU stock shot higher in response. It hasn't slowed since. In the month since the earnings report, ROKU stock has risen a jaw-dropping 55%.This rally seems overextended in the near-term based on valuation and technical concerns. But the long-term growth narrative here is compelling, as Roku is transforming into the cable box of the secular growth streaming TV market. In the long run, that position will translate into tons of ad and subscription-sharing revenue dollars, all of which will be high margin and translate into big profits.Net net, ROKU stock seems overextended in the near term, but has tons of potential to zoom higher in the long run. Pinterest (PINS)Source: Nopparat Khokthong / Shutterstock.com % Gain Since Earnings Report: 20%Freshly public social media company Pinterest (NYSE:PINS) reported Q2 numbers in early August that topped every metric that mattered. Monthly active users topped expectations. Average revenue per user did, too. As did overall revenues and profits. Management also hiked its full-year 2019 revenue and EBITDA guides and sounded an optimistic tone on the conference call with respect to future user growth.PINS stock soared in response. It has largely maintained those gains ever since, and about a month later, the stock is up 20% from its pre-earnings price. * 10 Stocks to Buy for September PINS stock should stay in rally mode for the foreseeable future. The valuation is ostensibly rich at 20-times trailing sales, but this is a really big social media company with a wide reach and unique value prop that is in the very early stages of monetizing its 300 million user and growing platform. Thus, the trailing valuation will naturally be rich because that trailing sales base is growing very, very quickly -- 62% revenue growth last quarter. This big growth will persist for a lot longer, and as it does, PINS stock will more than grow into its rich valuation and head significantly higher in the long run. Take-Two Interactive (TTWO)Source: Thomas Pajot / Shutterstock.com % Gain Since Earnings Report: 15%When it comes to video game stocks, the most important operational metric is bookings, because it is the most indicative of the underlying healthy of the company's business and gaming portfolio. With that in mind, it should make sense that after video game publisher Take-Two Interactive (NASDAQ:TTWO) reported a big bookings beat in its second quarter earnings report about a month go and also hiked its full-year bookings guidance, TTWO stock popped.TTWO stock has added to those gains ever since and today trades 15% above its pre-Q2 earnings price.This big rally in TTWO stock should persist for the next 12-plus months. Take-Two is supported by arguably the most robust content portfolio in the gaming world, headlined by franchises such as Grand Theft Auto, Red Dead Redemption and NBA2K. Consequently, even as the video game market has slumped in 2019, Take-Two has been just fine because Grand Theft Auto Online and Red Dead Online have maintained huge playing audiences.In 2020, Take-Two will do even better, mostly because the company will still have its robust content portfolio and because the video game industry backdrop will dramatically improve with the launch of new cloud gaming platforms and next-gen gaming consoles. All this new hardware innovation in 2020 will supercharge the entire video game market and create a rising tide that will lift all boats, most of all the boat that's at the head of the pack (TTWO stock). Micron (MU)Source: Charles Knowles / Shutterstock.com % Gain Since Earnings Report: 36%Depressed chip-maker Micron (NASDAQ:MU) reported Q2 numbers in late June that had "things are about to get a whole lot better" written all over them. It was a double-beat report, but more importantly, management sounded an optimistic tone on the call with respect to inventory reduction and improved NAND and DRAM pricing trends going forward.MU stock popped in response to those favorable numbers and comments. In the two-plus months since, more evidence has emerged which broadly implies that the worst of the NAND and DRAM market correction is in the rear-view mirror. Consequently, MU stock has stayed in rally mode and is up 36% since its earnings report.This big rally has more runway left. At the end of the day, as goes the DRAM and NAND pricing environment, so goes Micron's profits and so goes MU stock. Right now, there's a lot of data out there which points to the idea that the DRAM and NAND pricing environments are improving, including inventory reductions at Micron, stabilizing demand in Asia and reinvigorated data-center demand. If these improvements persist, then Micron's earnings will bottom soon and start to creep higher within the next 2 to 4 quarters. * Porsche Taycan: Do We Finally Have a "Tesla Killer"? Through that whole earnings bottoming process, MU stock should head materially higher. Target (TGT)Source: Robert Gregory Griffeth / Shutterstock.com % Gain Since Earnings Report: 25%Consumer discretionary stocks had a decent Q2 earnings season, but one consumer discretionary stock which had a monster Q2 earnings season was big box discount retailer Target (NYSE:TGT). In mid-August, Target reported Q2 numbers that were nothing short of spectacular -- big comparable sales growth which topped expectations, above-consensus revenue growth, gross profit margin expansion for the first time in three years, a huge profit beat and a big lift to the full-year profit guide.TGT stock exploded higher in response to the earnings smasher. It has stayed on a winning path ever since. Today, the stock trades 25% above its pre-Q2 earnings price.Although valuation is now a bigger concern that it has been in recent memory, Target stock should be able to run higher for the foreseeable future, driven by continued favorable operating results. Long story short, this company is on fire because they've figured out their omni-channel game and are now everywhere the consumer wants them to be with things line Target.com, buy-online, drive-up, fast delivery, etc. Consumers are warming up to all these options, and as they continue to do so in a healthy labor market, they will continue to spend big at Target.That means comps and profit trends will remain favorable for the foreseeable future. As they do remain favorable, TGT stock should remain on a winning path. Weibo (WB)Source: testing / Shutterstock.com % Gain Since Earnings Report: 20%China stocks didn't have the best Q2 earnings season, but one China stock that did do very well in Q2 was Chinese social blogging platform Weibo (NASDAQ:WB), whose Q2 numbers comprised the exact thing investors needed to see -- stabilization. For the past several quarters, Weibo has suffered from rapidly slowing revenue growth and falling margins. In Q2, revenue growth and margins started to stabilize, and the guide implied that this stabilization will continue into next quarter.As such, the Weibo growth narrative is going from "slowing" to "stabilizing," and this pivot has pushed WB stock up 20% since the company announced Q2 earnings. * 7 Industrial Stocks to Buy for a Strong U.S. Economy So long as trade war headwinds remain relatively muted -- granted, a big "if" -- then WB stock should head significantly higher from here. Not only are this company's core operational trends starting to stabilize, but those trends could potentially improve in a big way if the company's new Oasis platform gains critical traction. Such improvement could mark the beginning of a huge reversal in WB stock, which has dropped from $140 to $40 over the past 18 months. Shopify (SHOP)Source: BalkansCat / Shutterstock.com % Gain Since Earnings Report: 20%One stock that crushed it this earnings season, much like it has crushed it every earnings season over the past few years, is e-commerce solutions provider Shopify (NYSE:SHOP). In early August, Shopify reported a clean beat-and-raise second quarter earnings report that comprised 50%-plus gross merchandise value growth and healthy year-over-year profit margin expansion.Investors cheered the sustained top-line momentum and continued margin progress to the tune of a big post-earnings rally. SHOP stock has tacked onto those gains ever since. Since early August, the stock is up more than 20%.This is nothing new for Shopify stock. Thanks to secular growth tailwinds underpinning a more decentralized and direct approach to the global retail sales model, Shopify's e-commerce tools have seen robust adoption over the past several years. During that stretch, Shopify has rattled off big growth quarter after big growth quarter, while margins have moved higher with increased scale. Also during stock, SHOP stock has taken off like a rocket shop. Over the past 3 years, SHOP stock is up 800%.Those secular growth trends remain alive and well today and will continue to support robust and widespread adoption of Shopify's solutions for the foreseeable future. As such, this growth narrative is still in its first few innings. Over the next several years, Shopify will report many more big growth and big margin expansion quarters -- and the sum of all those quarters will ultimately push SHOP stock markedly higher.As of this writing, Luke Lango was long SHOP. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 3 Artificial Intelligence Stocks to Buy * 7 Industrial Stocks to Buy for a Strong U.S. Economy * 3 Beaten-Down Bank Stocks to Buy and Hold for the Long Term The post 7 Best Stocks That Crushed It This Earnings Season appeared first on InvestorPlace.
It was a modest day in the stock market Friday, with U.S. equities rising slightly despite a jobs report that came up short of expectations. Here are our top stock trades from Friday. Top Stock Trades for Tomorrow 1: Zoom VideoShares of Zoom Video (NASDAQ:ZM) started off higher on the day, but quickly reversed and trended lower throughout Friday's session. The move comes after the company reported earnings.InvestorPlace - Stock Market News, Stock Advice & Trading TipsDiscouraging as its breakdown is, it's even worse that ZM stock failed to hold the vital $90 level. This spot has been support for months now. * 7 Stocks to Buy In a Flat Market If bulls can't reverse ZM stock higher, the 20-day and 50-day moving average may act as resistance in the intermediate term, just as they did on Friday. On the downside, look to see if the 38.2% retracement near $80 can buoy the name. Top Stock Trades for Tomorrow 2: GoGoGoGo (NASDAQ:GOGO) stock has been robust over the past few days, rallying from $4 to almost $5 in just a few trading sessions. It's now approaching the latter -- $5 -- which has been vital over the past year.In the course of those few days, GOGO stock cleared the 20-day, 50-day and 200-day moving averages. If it can clear $5 and possible downtrend resistance, a move up to $6 surely isn't out of the question.If $5 is resistance, look to see if shares of GOGO find support at the 200-day moving average or the rising 20-day moving average -- whichever comes first.GOGO stock is starting to look attractive on a longer time frame, although it is still a speculative play. Top Stock Trades for Tomorrow 3: SnapSnap (NYSE:SNAP) is shaping up as a real beauty here. After hugging its 50-day moving average, shares blasted over downtrend resistance (blue line). We also saw an explosion of call options in the October $20 strikes.The MACD measure is turning in bulls' favor, while the RSI is nowhere near overbought (blue circles). Bottom line? This one could run and the risk/reward is very defined. Traders may consider using a close below the 50-day moving average as their stop-loss.If the markets cooperate, $18 shouldn't be out of the realm of possibilities. Top Stock Trades for Tomorrow 4: PinterestPinterest (NYSE:PINS) hasn't been looking all that healthy lately, falling from $35 last week to $30 at Friday's lows.Down five days in a row and right into support may entice some buyers, though. I know it enticed me -- although I've been wrong before and will be again! I like Pinterest for the long-term and added to my long-term position on Friday.Shares declined right into the 50-day moving average and the 38.2% retracement at $30.02. If this level fails as support, $29 will be on deck. If it does, look to see if PINS can reclaim $32 and get back above the 20-day moving average. Top Stock Trades for Tomorrow 5: MicrosoftMicrosoft (NASDAQ:MSFT) has been one of the more resilient mega-cap tech stocks out there and is still quietly commands the largest market cap among U.S. stocks. * 7 Triple Threat Growth Stocks to Buy for the Long Term Uptrend support (blue line) continues to squeeze MSFT into static resistance near $140. That describes an ascending triangle -- a bullish technical setup. A move over $140 could easily send MSFT to $141.20. Over it and shares are in breakout mode again. Below $136 and the setup will start to fall apart.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long PINS. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Deeply Discounted Energy Stocks to Buy * 7 Stocks to Buy In a Flat Market * 10 Stocks to Buy to Ride China's Emerging Wealth The post 5 Top Stock Trades for Monday: ZM, GOGO, SNAP, PINS, MSFT appeared first on InvestorPlace.
To be honest, Facebook (NASDAQ:FB) stock really only has one major competitor. When looking at the various social media stocks, most of them really have their own niches. Consumers use microblogging Twitter (NASDAQ:TWTR) as a news aggregation site and to voice their own opinions. Pinterest (NASDAQ:PINS) is all about idea generation and shopping. People use Facebook -- and its photo-sharing app, Instagram -- to connect to their friends and family.The problem is, that's exactly what Snap (NYSE:SNAP) does.The rivalry between FB and SNAP has grown fierce in recent years. And both firms have lost and regained the edge when it comes to user adoption and popularity. However, Facebook may finally be getting the upper hand, and it could be poised to kill off Snapchat once and for all.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThanks to a new app that's coming to Instagram, Facebook is directly taking it to SNAP's bread and butter-: messaging to a small, select group of individuals. By removing its one and only real rival , FB could boost its future advertising revenues and FB stock. SNAP Is a Threat to FacebookSNAP has long been a "messaging platform." Its main attraction is enabling the use of pictures and video as a private vehicle of communication between users. And increasingly, that's become the "go-to" way for younger people to communicate with each other. * 7 Industrial Stocks to Buy for a Strong U.S. Economy Many members of Generation Z actually don't have Facebook profiles, while recent reports show that the average Snapchat user spends a ton of time inside the app. Consequently, many marketers are willing to pay to advertise on Snapchat, boosting SNAP stock in the process.No wonder SNAP CEO Evan Spiegel references "communication" prominently in the firm's conference calls and press releases.For Zuckerberg and FB stock, this is a big deal. Facebook has a huge cache of users; 500 million people use Instagram every day, versus about 190 million for Snap. But those users are meaningless if the next generation decides not to become Facebook or Instagram users. Remember MySpace? FB needs to keep users growing and interacting on its various properties to keep the ad revenues growing.To that end, Facebook has taken SNAP head-on, looking to hit the upstart right in the money maker. Facebook unveiled its own "Stories" on its Instagram app three years ago. That move did seem to work. SNAP's user growth has fallen off a cliff since the launch of Stories on Instagream and FB's engagement has kept rising. That is, until recently.During the first quarter of 2019, SNAP managed to add 4 million users. It followed that up with a big 13 million new users in Q2. Driving that growth have been new messaging functions inside the updated version of its key app. The average Snapchat user sends about 34 chat messages per day and was 64% more likely to send a snap to a friend than post to Stories. So, Facebook may have solved its first problem with Snap,but a new issue is hurting FB and FB stock. . Facebook Dons Some New ThreadsThis time, the damage from Facebook's efforts may be enough to finally win the war. After ceasing work on a new messing app called Direct, FB is now developing a new app called Threads, which is located inside Instagram. According to a new report by The Verge, the messaging app will allow users to communicate using traditional text as well as video and photos. The kicker is that Threads will also share other information like location and direction/velocity of movement. Threads is designed to work with Instagram users' "close friends" lists.This is important as those are the features that SNAP fans use the most. As I said before, these features are exactly what's drawing younger users towards Snap's platform.By implementing automated sharing and integrating messaging into Instagram, Facebook could once again regain an edge among younger people. FB has noted that posts and stories by "close friends" spark many more interactions than general posts. And the added benefit of being able to comb through chat/location data could prove to be useful to advertisers. Further, if FB can pull users from SNAP and get them to stay on Instagram, Facebook stock will be boosted even more. FB Stock Has PotentialWhile there are no plans to launch Threads just yet, initial tests look good. A full launch could be around the corner. That would be wonderful for FB stock. Threads has the potential to heighten engagement, create more likes and ultimately, provide plenty of user data to advertisers. That should help raise FB's overall revenues, providing FB stock with a powerful catalyst.Lately, the firm has seen its pace of revenue growth slow as engagements on its main platform has shrunk and Snap has started to eat its lunch.For investors, the new app has plenty of potential. If it launches, it could doom Snap and SNAP stock, allowing Facebook to take back its crown.At the time of writing, Aaron Levitt did not have a position in any stock mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Deeply Discounted Energy Stocks to Buy * 7 Stocks to Buy In a Flat Market * 10 Stocks to Buy to Ride China's Emerging Wealth The post Facebook Stock Likely to Get Boost From FB's Imitation of SNAP appeared first on InvestorPlace.
WeWork parent We Co. did the right thing to add a woman to its board of directors, but the workspace-sharing company still suffers severe corporate governance issues. That's according to IPO Edge Editor-in-Chief John Jannarone, who spoke to Cheddar TV about the new director named in the latest update to We Co.'s prospectus. A quick […]