“60% of the time, it works all the time.” – Jeff
Hey there carnivores,
Markets rose across the board with nearly every sector getting in on the action (10 of 11 S&P 500 sectors were positive). Even banks had themselves a day.
Today we’re talking about Pfizer making waves.
Jeff & Jason
Positive vibes (and tests) only
Suck it, AstraZeneca.
Pfizer and BioNTech announced early Monday that the companies’ vaccine has proven to be 90% effective in preventing ‘rona boi from infiltrating the immune systems of those of us without evidence of prior infection. Those results are much better than previous vaccines, like, say, AstraZeneca, which, may or may not have killed a guy.
Only 90% though? Yeah, and that’s actually really good. Trust me, I come from a house of learned doctors. Scientists look for at least 75% effectiveness to be considered successful. To put things in perspective, the CDC says a vaccine for influenza reduces the risk of flu illness by 40% to 60%. I’d take those odds…
As a result, US stocks skyrocketed. The Dow was up 1.6k points at one point, and just barely missed hitting 30k before tapering off in late trading. It finished up 2.95% on the day, its biggest gain in 5 months.
Pfizer’s stock rose 10%, including after hours trading.
Winners and losers
Joey Politics isn’t the only one getting the W this week.
Finance, retail and hospitality stocks went bananas thanks to the “good” news.
Carnival Cruise Line’s share price jumped 39% yesterday, leading the charge of beaten down stocks doing their best Undertaker impression. Expedia surged 24.5%, United Airlines was up 19%, and Wynn Resorts surged 27% to name a few.
Zoom, the preferred communication method of pantless CNN legal analysts, dropped 17% as the vaxx news points towards people putting on pants (probably a size or two larger) and actually heading to an office. Other “work from home” plays were also battered.
The bottom line…
The news couldn’t come at a better time. US cases of ‘rona boi and hospitalizations attributed to the virus are over 100k and 61k, respectively, per day.
Lockdowns are being rolled out across Europe and President elect Joe Biden has warned of a “very dark winter” should ‘vid continue to have its way with the third rock from the sun.
Hype beast mode
Supreme will be acquired by VF Corp for $2.1B. This total does not include the additional $300M that VF will pony up to satisfy post-deal closing milestones.
Supreme will join the likes of Vans, North Face, and Timberland as one of the portfolio companies of VF Corp, whose CEO is apparently suffering from a midlife crisis. Should have just bought a Miata..
Supreme is projected to add $500M in revenue and 20 cents adjusted earnings per share by 2022.
VF Corp rose 11.14% during trading.
Beat that meat
McDonald’s will dip its toe back into the meatless market, creating a plant based burger dubbed the McPlant. Sounds like a cool Tony Hawk trick tbh. If you recall, back in September of last year, McDonald’s partnered with Beyond Meat to create the PLT burger, which was shelved after seven months.
The new McPlant will be rolled out and tested on a market by market basis sometime in 2021. So it’s the McRib, but less delicious?
McDonald’s dropped 1.54% on the day. Beyond Meat’s shares dropped 10% on the news, but were sent positive after Beyond stated that its product would be part of the McPlant rollout. The good times however did not last for BYND…
Beyond Meat reported Q3 earnings yesterday… if you could call them that. The company posted a loss of $19.3M or 31 cents per share. If this sounds bad, that because it is, especially bad compared to the same period last year when it posted a net income of $4.1M and 6 cents EPS.
Shares fell 4.05% during trading and another 22.44% after hours.
GM on a hiring spree? Don’t tell all those former assembly line workers…
GM will hire roughly 3k new nerds, I mean, employees, as it looks to expand its technology group. Anyone and everyone specializing in infotainment software, coding in Java, and experience in developing on Android and iOS platforms is welcome to apply. Unless you went to ITT Tech… go work at Ford.
The ultimate goal will be to increase its presence in the EV and autonomous car realm. The VP of electric and autonomous vehicles stated that he wants to see everyone in an EV.