Bank of America stock rises after earnings beat, Didi and Rivian shares drop

Bank of America stock is up after impressive Q1 earnings while Didi stock is down due to the company planning to delist in the U.S. and Rivian is down after comments from its CEO on the EV battery shortage.

Video Transcript

RACHELLE AKUFFO: Welcome back to Yahoo Finance Live, everyone. It is time for our Triple Play, the three tickers that we are keeping an eye on this session. Now, I'm going to start off-- my pick is the Chinese company Didi Global with the ticker symbol DIDI.

Now, we did see the shares fell today on news that the company plans to delist from the New York Stock Exchange and after disappointing Q4 earnings data showed a 12.7% decline. It also won't be applying to be listed elsewhere, in compliance with a cybersecurity review by Chinese regulators. Now, the stock taking a beating-- it's down more than 17% today, but it's also down about 60% year-to-date.

And that's coming from additional pressure from Chinese regulators right after its IPO citing data privacy and national security concerns. Chinese regulators saying the delisting from the New York Stock Exchange, though, is an independent corporate decision.

BRAD SMITH: Yeah, one huge thing that we're thinking about with DIDI as well, you look through some of the earnings results-- core platform transactions, that actually for the quarter was sitting at about $2.791 billion. You also saw transactions for the China mobility segment, which is noteworthy there, up and sitting at about $2.307 billion. International segment, that came in at about $484 million for this most recent quarter.

So the delisting here clearly what investors are latching onto. And you had some semblance of inclination to believe that this was going to be the end result for a company in DIDI, unfortunately, as there was so much international conversation about how this would play out, especially for China-based companies.

All right, next up here on Triple Play, we've got to get to Bank of America. I've been tracking that one here on the day-- ticker symbol BAC. Let's load up the chart and see just how it's doing. It was up last time I checked, and it's holding on to those gains here on the day-- sitting higher by about 3.6%-- earnings on the mind of investors. They came in at $0.80 share, and then revenue that came in at $23.33 billion or $23.23 billion in the actuals there that you're looking at on the day.

And then particularly here, one thing that I was zeroing in on was the organic client growth. They added about 228,000 net new consumer checking accounts from Q4 2021. Now, what this also means is that they had a record 38.4-- excuse me, 34.8 million accounts with 92% being primary. And this is massive as you think about the consumer that they are continuing to engage with right now-- not just on the checking account side, but also the investment account side too. 3.3 million, that's up 7%.

And they saw record digital sales. That increased to 53% of their total sales, which begs the question of, how many people are going to continue going in to some of those actual bank branches that we had all been accustomed to and grown up on, at least?

DAVE BRIGGS: When was the last time you did?

BRAD SMITH: I'm going to say earlier this year. I think I go at least once quarterly maybe.

DAVE BRIGGS: Pre-pandemic. I have not been to a bank since pre-COVID. So I think you're right-- it's a good point. There is some good news in here-- cutting overdraft fees dramatically for the consumer next year. But I always listen to the narratives from the CEOs, because Jamie Dimon was a little bit gloom and doom when he came out with their, I think it was a 42-point net loss percentage wise.

And Brian Moynihan said, could a slowdown happen? Sure. But right now, the economy is bigger than pre-pandemic levels. And overall, you read his commentary and it sounds like he's optimistic-- not talking about the likelihood of a recession, optimistic about the state of the economy and the future of the economy. And I like to hear it from the big bank CEOs, because we don't hear a lot of it.

BRAD SMITH: We've got a few more to report, so we'll see exactly where that trends.

DAVE BRIGGS: My play is Rivian, the electric pickup truck-maker-- stock symbol RIVN. Their CEO, RJ Scaringe, who if you remember at one point was the next Elon Musk-- he said in an interview today he believes the EV company can deliver just 25,000 vehicles this year. That is not good-- way down from the original 50,000 estimate. And that's due largely to supply chain issues.

Rivian builds both the R1 pickups and those electric delivery vans for their largest shareholder who, of course, is Amazon. Stock is off by more than 60% this year, and it's down 6% on this news as well. So not a good day for Rivian. Scaringe does not expect semiconductor sale supplies to normalize until next year. They delivered all of 920 vehicles last year-- 83,000 pre-orders.

Here's the quote, though, guys, that I want to get your reaction to that got a lot of headlines. And it was RJ saying all the world's cell production combined represents well under 10% of what we'll need for the next 10 years. So we don't have what we'll need to make batteries-- 90% to 95% of them-- for the next 10 years. Where are we going to get the production to make those electric vehicle batteries, guys?

BRAD SMITH: Yeah. Truly--

RACHELLE AKUFFO: I mean, we did hear from Elon Musk sort of trying to explore different battery options there. But, honestly, Rivian does have this habit of being really plagued by supply chain issues that we didn't see hit other electric companies like Tesla quite as hard. So I'm not sure how even that's going to be. And then you also have a lot of chip manufacturers sort of trying to see internally if they could create their own chips. So that might be a route that they might have to go down.

BRAD SMITH: It also speaks to how far ahead of the rest of the competition Tesla was in creating that production. And that type of head start, first mover advantage, whether you want to give that to them or not because, of course, Tesla has these scaled first mover advantage, but there were some of the other players that had made it to the market first-- Tesla being able to have those lessons learned and ahead of the rest of the major auto manufacturers getting into the market, that speaks for itself. It's significant right now. We'll see how Rivian, especially in the trucking space, where we know how popular that can be, will be able to move forward here on the production front and answer some of those questions.

RACHELLE AKUFFO: Well, if you're looking for some more good news, it's tax day. What to do--