Watch us on YouTube Live at 8:30AM EST
General Electric – General Electric unveiled plans to form three public companies focused on the aviation, healthcare and energy sectors. GE will pursue a tax-free spinoff of GE Healthcare, creating a pure-play company in early 2023, in which GE expects to retain a 19.9% stake. It will combine GE Renewable Energy, GE Power and GE Digital into one business, then pursue a tax-free spinoff in early 2024. Following these transactions, GE will be an aviation-focused company. The company expects to incur ~$2B in one-time separation, transition and operational costs, and less than $500M in tax costs.
Luminar Technologies – Sharply higher after the self-driving car sensor startup said it will partner with a range of self-driving sensor companies, including LAZR, to put together a system that automakers can use for driver safety features as soon as 2024.
Roblox Corp – Easily topped market estimates for quarterly bookings as demand for its video games “MeepCity” and “Adopt Me!” stayed strong even after pandemic-led curbs eased. Roblox, among the world’s most popular gaming sites for children, said daily active users grew 31% to 47.3 million during the third quarter and gamers spent 11.2 billion hours on the platform. Bookings surged 28% to $637.8 million, while analysts had expected $636.5 million, according to IBES data from Refinitiv.
Clover Health Investments – Relatively flat in early trading after reporting a Q3 net loss but a 2.5x Y/Y increase in revenues to $427M, topping expectations. The company says lives under Clover Management at quarter-end totaled 129,100, up 125% Y/Y, with Medicare Advantage membership of 67.3K and Direct Contracting lives at 61.8K. For the full year, Clover forecasts total revenues of $1.42B-$1.47B, including projected MA revenues of $780M-$790M and Direct Contracting revenues of $640M-$680M.
Fisker Inc – Shares are set to open at their highest level since March after Credit Suisse initiates coverage on stock with outperform rating and PT of $32. Saying “Fisker offers compelling value proposition – sleek product at high-volume price point, leveraging a de-risked business strategy” The company’s first electric vehicle model, Ocean, which costs ~$37,500, addresses ~30% of the US vehicle market, CS said it sees significant upside potential to Fisker’s $5 bln valuation led by its low relative value compared to Tesla’s TSLA.O $1.2 trillion and Lucid’s LCID.O $60 bln valuation.
Palantir Technologies – Reported quarterly adjusted earnings of 4 cents per share for the quarter, in-line with expectations while revenue rose 35.5% to $392.15 million from a year ago; analysts expected $385.01 million. The company reported a quarterly loss of $102.14 million.
Paypal Holdings – Beat Wall Street estimates for quarterly profit and said U.S. users of its peer-to-peer payment service Venmo would be able to pay on Amamzon.com starting next year. The company emerged as one of the big winners of the COVID-19 pandemic as more businesses moved online and consumers preferred using phones and other digital means to pay bills and to shop. The San Jose, California-based digital payments company’s net income rose to $1.09 billion, or 92 cents per share, in the three months ended Sept. 30, from $1.02 billion, or 86 cents per share, a year earlier. On an adjusted basis, PayPal earned $1.11 per share, above analysts’ average estimate of $1.07. Net revenue in the third quarter rose over 13 percent to $6.18 billion.
Robinhood Markets – Trading lower after saying Monday a third party had obtained access to email addresses of about 5 mln of its customers in an apparent data breach, while full names for a different group of nearly 2 mln people in an incident, which took place on Nov. 3. The company added 310 people had more personal information, including names, birth, dates and zip codes compromised, while 10 customers had more extensive account details revealed. HOOD says attack has been contained and believes no Social Security numbers, bank account numbers or debit card numbers were exposed. As of Q3, Robinhood had 22.4 mln funded accounts.
Virgin Galactic – Narrowed its third-quarter losses and generated revenue in its latest quarter, as the company continues to garner interest from consumers in commercial space travel. The aerospace and space travel company posted a loss of $48.8 million, narrowing from a loss of $92.1 million a year earlier. On a per-share basis, it had a loss of 32 cents, compared with 41 cents a year ago. Analysts on average were projecting a loss of 30 cents a share. Virgin Galactic reported $2.6 million in revenue this quarter. It didn’t post any revenue last year. Research and development expenses decreased 23% to $35.6 million from a year ago while selling, general and administrative expenses jumped 61% to $50 million.
Hertz Global – The rental car company that emerged from bankruptcy earlier this year, said late Monday that its offering raised more than expected at nearly $1.3 billion. Hertz sold 44.52 million shares at $29 each. It had planned to offer 37.1 million shares at $25 to $29 each, a prospectus said. The shares are set to trade on the Nasdaq under the ticker HTZ today. At $29 a share, Hertz is valued at $13.7 billion.
EVgo Inc – Announced extended partnerships with both General Motors and Uber under which rideshare drivers will be granted access to discounted EVgo charging programs based on Uber Pro status.
Innoviz Technologies – Another lidar company set to join NVIDIA’s DRIVE Ecosystem of partners working toward development of autonomous vehicles. Innoviz Technologies is a leading provider of high-performance, solid-state LiDAR sensors and perception software, today announced its advanced perception solution is now supported on the NVIDIA DRIVE platform.