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Walgreens limits Gummy Mango candy sales to one bag per customer 2024-05-03 21:01:00+00:00 - Taste It Tuesday: Candied fruit Taste It Tuesday: Candied fruit 02:49 Walgreens is now a candy destination, thanks to TikTok. The pharmacy chain said it is ramping up production of Walgreen's Nice! Gummy Mango peelable candy, and limiting online sales to one bag per customer due to high demand for the squishy treats, fed by social media. Walgreens Nice! brand Gummy Mango peelable candy and Gummy Burst Pineapple. Walgreens Part of the retailer's lower-priced Nice! house brand of snacks and drinks, the miniature versions of mango fruit —which sells for $1.99 a bag — first appeared in September 2023 in 2,500 Walmart stores. The idea for the candy came from a vendor relaying peelable mango trends they were seeing in Asia, Marty Esarte, vice president of Walgreens' owned brands, said in an email. "TikTokers discovered the candies in January and before we knew it, products were flying off the shelves," Esarte said. In one video on the platform, a TikToker describes picking up a bag of the candy at Walgreens after seeing it "all over social media." Walgreens is increasing inventory for the mango-flavored product to 8,000 stores on May 22. A new peelable banana gummy will launch in 5,700 stores on the same day, also selling for $1.99 a bag, the company said.
5 takeaways from Week 2 of testimony in People v. Trump 2024-05-03 20:55:30+00:00 - It was another historic week in the first criminal trial against a former U.S. president. New York state prosecutors built their case, and the judge fined the defendant for violating a court order nine times. Here are five top takeaways from the second week of testimony in People v. Donald Trump: 1. Presumptive nominee held in criminal contempt One of the biggest takeaways this week was something that happened without a witness on the stand. Judge Juan Merchan ruled Tuesday that the former president violated a gag order nine times. Merchan only imposed fines rather than jail, but the judge threatened the latter punishment for future violations. The judge also held yet another hearing Thursday on potential additional violations. No matter the outcome of this trial, the presumptive GOP presidential nominee serially skirting a court order in his case merits emphasis. 2. Prosecutors build their case In his opening statement last week, prosecutor Matthew Colangelo told the jury that the case is about Trump trying to corrupt the 2016 presidential election and then covering it up by lying in his New York business records “over and over and over again.” Among the witnesses the state used to build on that theory this week were Keith Davidson, a lawyer who represented alleged hush-money recipients Karen McDougal and Stormy Daniels, and former Trump aide Hope Hicks. Davidson’s testimony gave an inside look at how the purported payoff scheme came together ahead of the election, while Hicks’ gave jurors an inside view from the Trump camp. (Trump has pleaded not guilty and denied having sex with the former Playboy model McDougal and adult film actress Daniels.) 3. The ‘Access Hollywood’ tape is crucial The infamous tape released a month ahead of the 2016 election continues to dominate throughout the trial. Both Davidson and Hicks testified to the impact of the recording that contained Trump bragging about being able to grab women by their genitals. “It wasn’t until ‘Access Hollywood’ that interest sort of reached a crescendo,” Davidson testified Tuesday, explaining how the deal went down to secure Daniels’ silence as Trump successfully sought the White House. Hicks said Friday that it was a “damaging development” for the campaign. 4. Not every witness is ‘big,’ but they matter Most people following the case are familiar with Hicks and, perhaps to a lesser extent, Davidson. But jurors also heard from lower-profile witnesses who are nonetheless important to proving the state’s case. For example, the jury has now heard from Gary Farro, the banker Cohen dealt with to carry out the alleged hush money payoff. Prosecutors also called more technical witnesses to the stand, such as a forensic analyst to bring out evidence from Michael Cohen’s phones. 5. Introducing Michael Cohen Cohen himself still hasn’t testified, but he certainly has come up — and not in a flattering way. The lawyer Davidson and the banker Farro both made clear how Cohen was difficult to deal with and even deceptive. At first glance, one might think prosecutors wouldn’t like that unceremonious airing of a potentially important witness yet to come. But it may benefit them because when Cohen takes the stand, his unscrupulous character won’t be a revelation to the jury. Indeed, Manhattan jurors may feel like they already know him by then. Subscribe to the Deadline: Legal Newsletter for weekly updates on the top legal stories, including news from the Supreme Court, the Donald Trump cases and more.
Employers added 175,000 jobs in April, marking a slowdown in hiring 2024-05-03 16:18:00+00:00 - Hiring across the U.S. slowed in April, a sign the Federal Reserve's efforts to shackle economic growth and curb inflation is chilling the labor market. American employers added 175,000 jobs last month, well below expectations of roughly 232,000 and off dramatically from the blockbuster job creation in March, when employers added a surprising and upwardly revised 315,000 jobs. The nation's unemployment rate was little changed at 3.9%, continuing a 27-month stretch of remaining below 4%, the longest since the 1960s, the U.S. Department of Labor said Friday. The smallest increase in payrolls in six months allayed concerns that an overly hot economy would prevent the Federal Reserve from cutting interest rates later this year. Wall Street applauded the report, with stocks sharply higher and bond yields falling. In the wake of the data, interest-rate futures showed a slightly larger chance of a cut in July, albeit still under 50%. The probability of a September rate cut increased to about 75% from 60% on Thursday, according to CME Group. What it means for a Fed rate cut Some analysts stressed that one report does not in itself represent a trend, and that the Fed would need to see further evidence that inflation is under control before reducing borrowing costs. "The report does not change our call for the Federal Reserve to wait until September before cutting interest rates. The labor market is still healthy, and the Fed needs to see several months of benign inflation data before lowering rates," Nancy Vanden Houten, lead U.S. economist at Oxford Economics. Art Hogan, chief market strategist at B. Riley Wealth, said there is more good news than bad in the report. "Coming into today's print, the three-month average was 260,000, now it's 230,000," said Hogan. "Today's 175,000, while below expectations, is actually a terrific number as you average things out over the last three months." In addition to payrolls, data on wages and hours also came in weaker than expected. "The silver lining to today's weaker-than-expected nonfarm payrolls number is it likely takes some pressure off the annualized increase in wages," said Hogan, noting that annualized wage growth has slowed to 4.3%, from 5.1% earlier this year. "Wages are still going up, but not at such a pace from keeping the Fed from ever finding a reason to cut interest rates." "A slowdown in payrolls to a decent pace to start the second quarter, coupled with a slowing in wage gains, will be welcome news to policymakers, who think the current policy stance is restrictive and will weigh on demand, economic activity and inflation over time," Rubeela Farooqi, chief U.S. economist at High Frequency Economics, said in a report. "Current readings also support the view that rate cuts — and not hikes — are the base-case scenario for the Fed this year," Farooqi added. Surprisingly strong economic growth and stubbornly high inflation have pushed back the Fed's timeline for nudging down borrowing costs for consumers and businesses. The central bank said Wednesday it was holding its benchmark interest rate at a two-decade high of roughly 5.3%, with Fed Chair Jerome Powell acknowledging that inflation is receding more slowly than policymakers expected. Starting in March of 2022, the Fed raised its short-term rate 11 times in trying to restrain surging inflation as the economy rebounded from the pandemic. Although many economists expected the campaign to tighten monetary policy to tip the U.S. into recession this year, robust job gains, healthy consumer spending and strong corporate profits have kept the economy chugging.
Apple’s Earnings Show Investors Its Strength and Its Weakness 2024-05-03 13:28:00+00:00 - Key Points Apple stock is up after a double beat and a whopping $110 billion share buyback. However, the report is also telling for what it lacks – that is, clarity about the company’s direction on AI. The upcoming developer’s conference will set the short-term outlook for AAPL stock. 5 stocks we like better than Apple Apple Inc. NASDAQ: AAPL stock is up more than 6% after the company announced a whopping $110 billion share buyback authorization. In addition to the buyback, Apple rewarded shareholders with a 4% increase to its quarterly dividend. Shareholders of record as of May 13, 2024, will receive a 25-cent per share dividend on May 16, 2024. That makes it 12 consecutive years of dividend increases for Apple. Apple isn't alone among technology stocks when it comes to rewarding shareholders with buybacks. The amount of the buyback is a reminder that Apple is a cash-rich company. But if you've been waiting for Apple to announce the next big thing, particularly as it comes to AI, you'll have to wait a little longer. Get Apple alerts: Sign Up Overall, the earnings report was better than expected. Apple beat analysts' expectations on the top and bottom lines. Revenue of $90.8 billion narrowly beat estimates of $90.6 billion. The company also posted earnings per share of $1.53, which beat expectations of $1.50. But Apple critics, of which there are many, will point out that revenue was lower year-over-year. And although the company saw year-over-year growth in Services, it wasn't enough to offset a decline in iPhone sales. The bears will also claim that a $110 billion buyback (with interest rates near 5%) is a desperate attempt to hide the company's lack of a growth plan. Making a Call on the iPhone Isn't Clear Apple Today AAPL Apple $183.38 +10.35 (+5.98%) 52-Week Range $164.07 ▼ $199.62 Dividend Yield 0.52% P/E Ratio 28.52 Price Target $204.11 Add to Watchlist As expected, investors were keenly interested in the company's iPhone sales. The iPhone makes up 52% of Apple's revenues. So, while the company is branching out into other areas, the iPhone will continue to drive stock price growth in the foreseeable future. Apple reported a decline in iPhone revenue. However, the revenue of $45.96 billion was only slightly lower than the forecasted $46 billion. Part of that was because the 8% sales drop in China was not as bad as forecasted. The more encouraging news from China is that Apple believes there's evidence the bottom may be in. And worldwide, approximately 25%-30% of Apple's iPhone base haven't upgraded their devices in over three years. Of course, it's fair to ask why those users haven't upgraded. And the resilience of the consumer suggests that it's hard to play the inflation card. What's more likely is that iPhone owners believe there haven't been sufficient feature enhancements to justify the $1,000 price tag. The Company's AI Position Remains Undefined The other area that investors wanted to hear from Apple was artificial intelligence. From 2017 through 2023, Apple has purchased over 20 AI startups. That goes against the argument that Apple has nothing better to do with its cash. But the company has still not launched its own large language model (LLM), which is another reason that consumers are holding off on upgrading their iPhone. This is a story that has many layers. Apple is not known for being first in areas like AI. One reason for the delay in this case is the company's plan to develop its LLM for local access (i.e., on-device) on its iPhone 18. That's different from the cloud-based setup that most companies currently use. Apple will also want to ensure that iPhone users can still get the privacy features they've come to expect when AI is added to the iPhone. It's a big reason why Apple is fighthing back against the DOJ lawsuit to protect its walled garden. Another reason is that Apple gets paid to grant access to its iOS. In 2022, For example, Alphabet Inc. NASDAQ: GOOGL paid Apple $20 billion to be Safari's default search engine. They'll be paying that and more to ensure that Google Gemini will work on Apple's iOS system. Don't Like AAPL Stock, Wait a Month Apple will host its Worldwide Developer Conference (WWDC) in June. This conference has historically been the time when Apple releases its latest innovations. The company has traditionally been deliberate when it comes to innovations. However, investors are getting nervous. With that in mind, every year seems like it's the most important WWDC ever. It may actually be the case this year. The buyback announcement will keep AAPL stock propped up. Early analyst reaction shows price targets moving higher than the consensus. But if Apple is going to justify the lofty price projections of those analysts, they'll have to do more showing and less telling. Before you consider Apple, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Apple wasn't on the list. While Apple currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Here are the job candidates that employers are searching for most 2024-05-03 13:13:00+00:00 - How to get your resume past AI and in front of a human How to get your resume past AI How to get your resume past AI What do Australia, Canada, the U.K. and the U.S. have in common beyond a common tongue? Try a dearth of nurses, mechanics and electricians. That's according to a recent analysis by career site Indeed.com that ranks the 10 job sectors with the most sought-after job candidates by employers and recruiters based on what resumes they searched for in 2023 across the four countries. "Resume search is a proactive step that suggests that other (more passive) strategies, such as simply posting a job advertisement online, haven't been so successful," according to the report, which found that for each country, resume search trends were in sync with talent shortages. Despite the different labor market challenges faced by each country, Indeed found they share "common pain points," or industries where talent shortages are most acute: health care, hospitality, and skilled trades such as electricians and plumbers. Among the latter, mechanics accounted for the highest number of resume searches in all four countries. In the U.S., registered nurses topped the list of most-searched resumes, accounting for 4.1% of searches, while sales ranked second. Several of the sectors listed as most in demand involve jobs that don't necessarily require a college degree — noteworthy given the soaring cost of college. Here are the top 10 most searched for job resumes in the U.S., according to Indeed.com. Registered nurse Sales Nurses (in general) Mechanic Accountant Electrician Customer service Chef or cook Physical therapist Retail
Bargain Alert: 3 Large Caps With Extremely Oversold RSIs 2024-05-03 12:57:00+00:00 - Key Points Shares of Intel have once again frustrated investors, but the RSI suggests the stock is extremely oversold. Gartner had been trading well, but a run of bad weeks and a poor earnings report are weighing heavily on the stock. IBM is also interesting to watch, and a rare RSI reading in the low 20s suggests we could soon see a bounce. 5 stocks we like better than Gartner Everyone appreciates a good deal, whether it's when buying goods or buying stocks. When it comes to the latter, one of the more popular tools for identifying potential bargains on the stock market is the Relative Strength Index (RSI). The RSI considers a stock's recent performance over the past 14 trading days, and assigns a value that ranges between 0 and 100. A reading above 70 indicates the stock may be overbought and due for a pullback, while below 30 suggests it could be oversold and due for a bounce. The more extreme the reading within this range, the more reliable the signal. Get Gartner alerts: Sign Up With equities in general having a weak start to Q2, mostly thanks to inflation rearing its ugly head, many stocks that benefited from the broad rally over the past two quarters are finding themselves under pressure. However, after falling an alarming 5% through the middle of last month, the S&P 500 index looks to have stabilized and is on the verge of turning up again. Let's look at three large caps still feeling the pressure, as seen in their extreme RSI readings. If the broader market can manage to turn north, then we could be looking at some outsized gain potential. Intel Today INTC Intel $30.90 +0.39 (+1.28%) 52-Week Range $26.85 ▼ $51.28 Dividend Yield 1.62% P/E Ratio 32.19 Price Target $39.75 Add to Watchlist Shares of tech titan Intel have been sinking like a stone since January, as they are being left well and truly in the dust in the race for AI. But an RSI reading of 22 is almost unheard of for a company of their size. Indeed, over the past 10 years, Intel's RSI has only ever been this low on 3 other occasions, showing how rare this is. Weak forward guidance from the company's earnings report last week didn't do them any favors either, but at some point, you have to be wondering when the worst-case scenario is fully priced in. Intel's shares are currently back trading at 1998 levels, but almost all the analysts covering the stock have price targets way higher. Wells Fargo, for example, gave them a price target of $38 last week, while Barclays gave a target of $40. From the $30 that Intel closed at last night, that means they're targeting an upside of some 30%. In tandem with the extreme RSI reading, this screams short-term bounce. Gartner Today IT Gartner $428.64 +9.60 (+2.29%) 52-Week Range $295.43 ▼ $486.54 P/E Ratio 42.65 Price Target $474.50 Add to Watchlist Gartner is a different story altogether but no less interesting. Their shares tagged an all-time high fairly recently, back in March to be exact, but have been sliding since then. This week then saw a sharp drop off the back of a weak earnings report , where they missed their revenue target and issued weak forward guidance. In situations like this, it's unsurprising that a stock falls hard, as investors are forced to quickly re-price it in light of the updated outlook. But with an RSI reading that was as low as 26 on Tuesday of this week, it feels a little extreme right now. Even though they trimmed their price targets accordingly after last week's report, the teams at UBS Group and Robert W. Baird both reiterated their Buy ratings on the stock and have a fresh price target of $510 and $517, respectively. That's pointing to an upside of some 25% from current levels, which should be enough to tempt most investors to take a closer look. International Business Machines Today IBM International Business Machines $165.71 +1.02 (+0.62%) 52-Week Range $120.55 ▼ $199.18 Dividend Yield 4.01% P/E Ratio 18.77 Price Target $181.29 Add to Watchlist Having managed to stage one of their best rallies in recent years through most of Q1, it's all been going quite badly for IBM shares since March. The stock is down almost 20% since then, with an RSI reading of 22 showing just how harsh a slide that's been. But it's worth noting that it's only fallen this low just 3 times in the past decade, and Thursday's price action suggested the bears might be running out of steam. IBM had sunk to fresh lows during the session but rallied to close at their high of the day. This is a classic signal that suggests that buyers are stepping in en masse to grab a bargain, and it will be interesting to see if this continues into next week. Before you consider Gartner, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Gartner wasn't on the list. While Gartner currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
DraftKings Q1: Strong Customer Acquisition and Product Innovation 2024-05-03 12:45:00+00:00 - Key Points DraftKings achieved a strong year-over-year revenue increase, exceeding expectations and demonstrating its ability to capitalize on the growing online gaming market. With significant financial improvements, DraftKings is making strides toward achieving sustainable profitability while maintaining its impressive growth trajectory. DraftKings' strategic focus positions the company for continued success in the evolving online sports entertainment and gaming landscape. 5 stocks we like better than DraftKings DraftKings NASDAQ: DKNG is a prominent player in the online sports entertainment and gaming industry. Draft Kings’ earnings report for the first quarter of 2024 was recently released, showcasing impressive financial performance and solidifying its position as a leader in the rapidly expanding consumer discretionary market. However, in an uncertain economic climate where discretionary spending is tightening, a critical question arises: can DraftKings maintain its performance and continue its growth trajectory in the face of potential oncoming economic headwinds? Get DraftKings alerts: Sign Up DraftKings Unveils Strong Financials DraftKings financial report release revealed solid revenue figures for Q1 2024, reaching $1.175 billion, a substantial 53% year-over-year increase. This impressive growth surpassed DraftKings’ analyst community estimates, demonstrating the company's ability to capitalize on the growing demand for online sports betting and iGaming experiences. While the company reported a net loss of $142.57 million, this figure represents a significant improvement from the net loss of $397.15 million in Q1 2023, highlighting DraftKings' progress toward achieving profitability. DraftKings also reported a positive adjusted EBITDA of $22.39 million, starkly contrasting the negative $221.61 million reported in the same quarter of the previous year. This significant improvement underscores the company's effective cost-management strategies and its ability to leverage its expanding scale to drive operational efficiency. Fueling the Growth Engine DraftKings Today DKNG DraftKings $41.82 -1.21 (-2.81%) 52-Week Range $21.07 ▼ $49.57 Price Target $47.45 Add to Watchlist Several factors contributed to DraftKings' strong Q1 performance. The company's strategic focus on customer acquisition has proven successful, as evidenced by the 23% year-over-year growth in Monthly Unique Payers (MUPs), reaching 3.4 million. This growth reflects the effectiveness of DraftKings' marketing initiatives and its ability to attract and retain customers in a competitive market. Furthermore, DraftKings' expansion into new jurisdictions has played a crucial role in its growth trajectory. The successful launch of its online sportsbook in Vermont and North Carolina has broadened the company's market reach and contributed to its expanding customer base. As more states legalize online sports betting and gaming, DraftKings is well-positioned to capitalize on these emerging opportunities and solidify its presence across the United States. Product innovation remains a cornerstone of DraftKings' strategy, as the company continuously invests in developing new and engaging products to enhance the customer experience. This commitment to innovation is reflected in the 25% year-over-year increase in Average Revenue per MUP (ARPMUP), reaching $114. The company's focus on enhancing its mobile app technology, expanding its game offerings, and introducing innovative features like same-game parlays has successfully driven customer engagement and boosted revenue generation. DraftKings' ability to optimize its structural sportsbook hold percentage has also contributed to its improving financial performance. By carefully managing its pricing strategies and risk management practices, the company has achieved a higher hold percentage, which translates to a greater share of revenue from customer wagers. Future Outlook and Strategic Guidance Looking ahead, DraftKings has raised its fiscal year 2024 revenue guidance to a range of $4.8 billion to $5.0 billion, reflecting the company's confidence in its continued growth trajectory. The company also projects a positive adjusted EBITDA for the year, ranging from $460 million to $540 million. These ambitious projections demonstrate DraftKings' belief in its ability to achieve sustainable profitability while maintaining its impressive growth momentum. Several potential catalysts could further propel DraftKings' growth in the coming year. Continued expansion into new states as they legalize online sports betting and iGaming presents a significant opportunity for market share growth. Additionally, ongoing product innovation and strategic partnerships could enhance the customer experience and drive further engagement, leading to increased revenue generation. However, DraftKings also faces potential challenges and risks that warrant consideration. The regulatory landscape for online sports betting and iGaming remains complex and subject to change, which could impact the company's operations and market access. Additionally, competition within the industry is intense, requiring DraftKings to maintain its focus on innovation and customer acquisition to retain its leading position. DraftKings’ Commitment Beyond Profits DraftKings’ sustainability approach recognizes its responsibility as an online sports entertainment and gaming leader and is committed to promoting social responsibility and sustainability. Responsible gaming remains a top priority for the company, as evidenced by its comprehensive initiatives and programs designed to educate users about responsible gambling practices and provide support for those who may develop problematic gambling behaviors. DraftKings actively engages with local communities, contributing to charitable causes and supporting initiatives promoting positive social impact. The company also strives to minimize its environmental footprint by implementing sustainable practices within its operations. DraftKings' Q1 2024 earnings report provides insight into a company on a trajectory of impressive growth and improving profitability. Its strategic focus on customer acquisition, expansion into new markets, and product innovation has positioned it as a leader in the online sports entertainment and gaming industry. As the market continues to expand and evolve, DraftKings is well-equipped to capitalize on emerging opportunities and solidify its position as a dominant force in the industry. While potential challenges and risks remain, DraftKings' commitment to responsible gaming, technological innovation, and social responsibility reinforces its long-term sustainability and value proposition for investors. As the company continues to execute its strategic vision, it is poised to deliver value for its shareholders and shape the future of the online sports entertainment and gaming landscape. Before you consider DraftKings, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and DraftKings wasn't on the list. While DraftKings currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Carvana’s Q1 Earnings: A Profitability U-Turn 2024-05-03 11:31:00+00:00 - Key Points Carvana achieved record profitability in Q1 2024. The company's success is attributed to operational efficiencies, cost reductions, and a strategic shift toward profitability. Carvana anticipates continued growth in retail unit sales and adjusted EBITDA throughout 2024, leveraging its robust infrastructure and expanding service offerings. 5 stocks we like better than Carvana Carvana NYSE: CVNA is a renowned online used car retailer known for its innovative approach to car buying. Carvana’s earnings report for the first quarter of 2024 has recently been released, and the report has defied Carvana’s analyst community expectations. After years of prioritizing rapid expansion, the company has successfully shifted its focus toward profitability, resulting in a significant turnaround that has captivated investors and analysts. Carvana's stock price surged by over 35% following the Q1 earnings release, demonstrating a renewed confidence in the company's ability to navigate the complexities of the automotive sector and emerge as a leader in the space. Get Carvana alerts: Sign Up Q1 Financial Triumph for Carvana Carvana's financial report for the first quarter reveals a series of record-breaking achievements that underscore the effectiveness of the company’s strategic shift. Carvana reported a remarkable 16% year-over-year increase in retail unit sales, reaching a total of 91,878 vehicles sold. This growth translated into a 17% year-over-year rise in revenue, totaling $3.061 billion for the quarter. Carvana Today CVNA Carvana $121.67 +5.17 (+4.44%) 52-Week Range $6.92 ▼ $124.20 P/E Ratio 53.36 Price Target $73.44 Add to Watchlist The most striking aspect of the report is Carvana's newfound profitability. The company achieved a net income of $49 million, marking a significant milestone after experiencing losses in previous periods. This translated to a net income margin of 1.6%, a substantial improvement compared to the negative margins of the past. Furthermore, Carvana's adjusted EBITDA reached a record $235 million, with an impressive 7.7% margin that positions the company as the most profitable public automotive retailer in the United States. Carvana's success extends beyond top-line metrics. The company's gross profit per unit (GPU) reached an all-time high of $6,432, demonstrating its operations' efficiency and ability to generate substantial profit from each vehicle sold. Moreover, Carvana effectively managed its selling, general and administrative (SG&A) expenses, achieving a significant reduction per unit. This cost control and increased sales volume further contributed to the company's profitability gains. The ADESA Acquisition Carvana's acquisition of ADESA, the second-largest wholesale vehicle auction platform in the United States, deserves particular attention. This strategic move provided Carvana with a significant physical footprint, including vast acres of land and hundreds of thousands of parking spaces near major population centers. This acquisition bolstered Carvana's inventory capacity and enabled further vertical integration of its supply chain, allowing for greater control over vehicle acquisition, reconditioning and distribution. The ADESA integration is still underway, and Carvana expects to unlock further efficiencies and cost savings as the process progresses. As Carvana expands its reconditioning capabilities at ADESA locations, it anticipates reductions in inbound transportation costs and faster inventory turnover. This enhanced operational efficiency will improve profitability and support the company's ambitious growth targets. Carvana’s Optimistic Future Carvana's outlook for the remainder of 2024 suggests its Q1 success is not a one-off anomaly. The company anticipates a continued sequential increase in retail unit sales and adjusted EBITDA throughout the second quarter and the full year. This projection is based on several key factors, including: Leveraging Existing Infrastructure: Carvana has a robust infrastructure supporting significant growth. Its network of reconditioning facilities can currently process up to 1.3 million vehicles annually, potentially reaching 3 million once its ADESA locations are fully optimized. This extensive infrastructure positions Carvana to scale its operations efficiently and meet growing demand. Carvana has a robust infrastructure supporting significant growth. Its network of reconditioning facilities can currently process up to 1.3 million vehicles annually, potentially reaching 3 million once its ADESA locations are fully optimized. This extensive infrastructure positions Carvana to scale its operations efficiently and meet growing demand. Enhancing Customer Experience: Carvana remains committed to providing a seamless and convenient online car buying experience. The company continues to invest in technology and process improvements to streamline the customer journey, from browsing and financing to purchasing and delivery. Carvana remains committed to providing a seamless and convenient online car buying experience. The company continues to invest in technology and process improvements to streamline the customer journey, from browsing and financing to purchasing and delivery. Expanding Service Offerings: Carvana aims to become a one-stop shop for all automotive needs beyond car sales. The company is exploring opportunities to offer additional services, such as insurance, maintenance and repair, to enhance customer value further and generate additional revenue streams. Carvana’s Debt Balancing Act Carvana's substantial debt load remains a concern for investors. The company has taken steps to address its debt obligations, including refinancing existing debt and extending maturities. The recent achievement of adjusted EBITDA exceeding capital expenditures and interest expense is a positive development demonstrating Carvana's ability to generate sufficient cash flow to cover its financial obligations. However, investors should continue monitoring Carvana's debt levels and ability to manage its debt effectively, especially in a rising interest rate environment. The company's future profitability and growth will be crucial in its ability to service its debt and maintain a healthy financial position. Challenges on the Road Ahead Despite its recent triumphs and promising future, Carvana acknowledges potential challenges that could impact its growth trajectory. The used car market is highly competitive, with numerous established players and emerging startups vying for market share. Macroeconomic factors like inflation and interest rate fluctuations could dampen consumer demand and affect affordability. Potential supply chain disruptions and inventory management challenges could also pose obstacles to Carvana's expansion plans. However, Carvana is well-equipped to navigate these challenges. Its efficient online business model allows for greater flexibility and cost control than traditional dealerships. The company's strong brand recognition and reputation for customer satisfaction provide a competitive advantage. Furthermore, Carvana's commitment to innovation and data-driven approach enable it to adapt effectively to changing market conditions and consumer preferences. Carvana's impressive Q1 2024 performance and strategic vision for the future create a promising scenario for the company. Its innovative online platform, efficient operations and commitment to customer satisfaction have positioned it as a leader in the used car market. While challenges and risks remain, Carvana's ability to adapt to changing market conditions and execute its growth strategy suggests a bright future for the company. Before you consider Carvana, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Carvana wasn't on the list. While Carvana currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Banks Were Right in Boosting Shake Shack Stock Before Earnings 2024-05-03 11:30:00+00:00 - Key Points Shares of Shake Shack rose by 3.8% after the company's first-quarter earnings, beating an inflation-choked economy during the year. Double-digit EPS growth projections align with the company's new profitable path, and margins suggest the stock could have an even higher ceiling. Markets and analysts bid up the stock, comfortable knowing that the brand may keep beating expectations. 5 stocks we like better than Shake Shack After announcing results for the first quarter of 2024, arguably the most essential release of the year as it sets the tone for any stock, shares of Shake Shack Inc. NYSE: SHAK moved higher by as much as 3.8% in the first hours of the trading session. Investors have much to digest in the company’s release, though one trend remains steady. Those on Wall Street saw it fit to boost the stock’s valuations before the earnings announcement. Markets as a whole felt comfortable bidding up the company’s valuations as well as the stock’s price action relative to peers. Get Shake Shack alerts: Sign Up However, as part of the consumer discretionary sector, investors wonder if Shake Shack still has some fuel left in the tank to deliver double-digit growth this year despite the United States seeing an inflation-choked consumer base across the board. Shake Shack’s Value Proposition Beat Inflation Concerns According to financial stocks' quarterly results, the U.S. consumer still suffers from stubbornly high inflation rates. Bank of America Co.'s NYSE: BAC earnings show rising credit card delinquencies and deteriorating FICO scores. Subsequently, readings of U.S. consumer sentiment declined to their lowest levels since 2022 despite reaching a three-year high recently. While this may be bad news in the short term, it also gives the Federal Reserve (the Fed) another angle to consider in its path to potential interest rate cuts to bail out the consumer. Consumer discretionary stocks like Netflix Inc. NASDAQ: NFLX plummeted by as much as 20% following its first-quarter results, pointing to weakening demand for the year due to tighter consumer budgets. Shake Shack's motto is delivering the best ingredients and quality at an affordable price tag. This enables the consumer to still have a dine-out experience without breaking the bank. For this reason, the company's market capitalization has risen above that of its closest competitor. A $4.6 billion market cap places Shake Shack above BurgerFi International Inc. NASDAQ: BFI and its $10.6 million size. Shake Shack’s size is only the beginning as a proxy for market sentiment. A Stellar Start to The Year Shake Shack Today SHAK Shake Shack $107.47 +2.53 (+2.41%) 52-Week Range $52.79 ▼ $110.90 P/E Ratio 195.40 Price Target $97.94 Add to Watchlist In the company’s press release , investors can find reasons behind Wall Street’s preference for Shake Shack stock. A net revenue increase of 14.7% over the year beats expectations during a tight inflation year. But wait, there’s more. A net profit of $2.2 million blows the $1.6 million net loss in the previous year, giving investors and analysts hope for sustained and growing brand profitability. Seeing that the company opened six total new locations during the quarter, growth could be attached to Shake Shack in more ways than one. Analysts believe earnings per share (EPS) could jump by as much as 40.9% this year, compared to the restaurant industry’s average expected growth of 16%. The company’s financials can make this bold prediction more of a reality. Shake Shack's gross margin in the past 12 months was 36.6%, which is on par with Wendy's Co.'s NASDAQ: WEN 35.6% gross margin. These high margins can only be achieved through pricing power and brand loyalty, features that come to life in Shake Shack’s operating cash flow (a proxy for net income). Last year, the company recorded $19.8 million in cash flow, which nearly doubled to $30.6 million this quarter, attracting the market’s attention. Standing At the Top of The Group Analysts at Truist Financial Co. saw enough evidence to boost Shake Shack’s price targets up to $115 a share, calling for a 9% upside from where the stock trades today. Although these ratings are a positive sign for the stock, bullish signs don’t stop there. Now trading at 96% of its 52-week high, the stock could be flirting with an attempt to make new all-time highs soon. Through this rally, markets sent investors a few key signals. Because Shake Shack’s EPS growth is set to beat the rest of the retail sector, markets feel comfortable paying a premium. A P/E ratio of 229.6x, 889% above the sector’s 23.2x valuation today, can only be justified by above-average growth rates. When compared to other valuation methods, such as the price-to-book (P/B) ratio, Shake Shack still leads. A multiple of 9.5x goes above the sector’s 4.9x valuation by 94%. After issuing strong 2024 guidance in its shareholder letter, the company is giving investors even more reasons to add this one to their watchlists. Before you consider Shake Shack, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Shake Shack wasn't on the list. While Shake Shack currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
For Cardinal Health, the Proof Will be in Its Performance 2024-05-03 11:18:00+00:00 - Key Points Cardinal Health stock is up about 1% after a mixed earnings report. The stock is trying to find support after falling nearly 7% on news that its contract for OptumRx will expire in June. Analysts will be weighing if the company’s growth expectations are enough to lift a stock that’s already up about 26% in the last 12 months. 5 stocks we like better than Cardinal Health Investors are familiar with the phrase "buy the rumor, sell the news." However, Cardinal Health Inc. NYSE: CAH proved that investors can buy and sell the news. CAH stock is up slightly over 1% after posting mixed earnings on May 2, 2024. Cardinal Health missed somewhat on the top line but beat earnings estimates by 6%. Both revenue and earnings were higher on a year-over-year (YOY) basis by 8% and 19%, respectively. Cardinal Health is one of the premium medical stocks and one of the largest distributors of healthcare products and services. The company also manufactures medical products and some pharmaceuticals. It's not uncommon for a conglomerate like Cardinal to show strength in one category and weakness in others. However, when you dig into the report's details, you can see that the company is showing growth in all its business units. Get Cardinal Health alerts: Sign Up Will the earnings report be enough to put a floor on CAH stock, which is down more than 7% in the last month? Almost all of that loss has come in the last two weeks after the company announced its contract with UnitedHealth Group Inc. NYSE: UNH for OptumRx would expire in June. The Loss of Optum May Not be Optimal Cardinal Health Today CAH Cardinal Health $98.91 -4.07 (-3.95%) 52-Week Range $77.56 ▼ $116.04 Dividend Yield 2.02% P/E Ratio 43.96 Price Target $105.79 Add to Watchlist Investors are concerned that OptumRx, the company's pharmacy benefits provider, accounted for approximately 16% of its 2023 revenue. The company believes it can cover that significant gap. The company is maintaining its full-year and 2025 guidance based on expected high demand for its high-margin specialty drugs. Specifically, it expects a 4% to 6% compound annual growth rate (CAGR) for the segment. Cardinal also plans to lessen the impact of the Optum loss through new customer wins and "other actions." For the full year, Cardinal Health forecasts earnings per share in the range of $7.30 and $7.40. That's up from prior guidance of $7.20 to $7.35. The company is forecasting 26% YOY earnings growth at the low end. Cardinal Health is a dividend aristocrat that has increased its dividend for 27 consecutive years. The company didn't provide any dividend information. However, investors will likely receive an announcement of a dividend increase in the next week or so. Analyst Sentiment Will Dictate the Short-Term Trend The increase in CAH stock after the earnings report provides support at the level hit after the Optum news. Now, investors will have to see if analysts believe that Cardinal Health will deliver on its optimistic forecasts. Heading into earnings, CAH stock was up about 26% in the last 12 months and was fairly priced based on the consensus price target. However, the company's forward price-to-earnings (P/E) ratio of 14.2x and PEG ratio of 1.2 would support the idea that Cardinal Health is undervalued compared to those growth expectations. Analysts were relatively quiet about the OptumRx news. The Cardinal Health analyst ratings on MarketBeat showed that Wells Fargo & Company NYSE: WFC reiterated its Underweight rating on CAH stock and lowered its price target to $94 from $96. Before you consider Cardinal Health, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Cardinal Health wasn't on the list. While Cardinal Health currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Apple sales fall less than expected, CEO sees return to growth 2024-05-03 05:32:00+00:00 - By Stephen Nellis, Max A. Cherney and Yuvraj Malik (Reuters) -Apple on Thursday reported a smaller than expected decline in quarterly revenue, and Chief Executive Tim Cook told Reuters the company expects a return to sales growth in the current quarter as it invests in AI features to be unveiled in the coming months. Apple increased its cash dividend by 4% and authorized an additional program to buy back $110 billion of its stock. The buyback is the largest in the company's history, according to Investing.com analyst Thomas Monteiro. Shares of Apple surged roughly 7% in extended trade after the report. Apple's results suggest the company may be regaining its footing in the smartphone market, despite stiff competition and regulatory challenges. Long considered a must-own stock on Wall Street, Apple shares have underperformed other Big Tech companies in recent months, falling 10% this year as it struggles with weak iPhone demand and tough competition in China. Apple said fiscal second-quarter revenue fell 4% to $90.8 billion, beating the average analyst estimate of $90.01 billion, according to LSEG data. For Apple's current quarter, which ends in June, Cook told Reuters the iPhone maker expects "to grow low-single digits" in overall revenue. Wall Street expects 1.33% revenue growth to $82.89 billion, according to LSEG data. Apple faces a raft of challenges across its business. Smartphone rivals such as Samsung Electronics have introduced competing devices aimed at hosting artificial-intelligence chatbots. On the regulatory front, Apple's services business, which contains its lucrative App Store and was one of the few areas of growth in the fiscal second quarter, is under pressure from a new law in Europe. In the United States, the Department of Justice in March accused Apple of monopolizing the smartphone market and driving up prices. For the fiscal second quarter, IPhone sales fell 10.5% to $45.96 billion, compared with analyst expectations of $46 billion. Apple executives said in February that the year-ago fiscal second quarter had benefited from a $5 billion surge in iPhone sales as the company caught up from supply-chain snarls during pandemic lockdowns. Excluding that one-time phenomenon, iPhone sales were down only slightly as the Cupertino, California, company's signature product faces stiff competition. In China, Huawei Technology has gained market share. Cook said that iPhone sales still experienced "growth in some markets, including China." But Apple's revenue decline in China was not as steep as analysts expected, with Greater China sales of $16.37 billion for the fiscal second quarter that ended March 30, down 8.1% and above analyst expectations of $15.59 billion, according to data from Visible Alpha. Story continues Apple has said little about its product plans for artificial intelligence, the technology on which rivals Microsoft and Alphabet's Google are placing huge bets. The company started ramping up research and development spending last year, and Cook said the company has spent more than $100 billion on R&D in the past five years. "We continue to feel very bullish about our opportunity in generative AI and we're making significant investments," he said. "We're looking forward to sharing some very exciting things with our customers" at events later this year, Cook said. Apple's quarterly earnings per share were $1.53, above Wall Street estimates of $1.50, according to LSEG data. Sales in Apple's services segment, which also represents Apple Music and TV offerings, rose to $23.87 billion, above analyst expectations of $23.27 billion, according to LSEG data. Analysts had expected Mac sales to decline in the fiscal second quarter, but they instead grew to $7.5 billion, compared with estimates of $6.86 billion, according to LSEG data. "They were really driven by the strength of the new MacBook Air that's powered by the M3 chip," Cook said. "About half of our MacBook Air buyers during the quarter were new to the Mac." The company's sales in the iPad segment declined to $5.56 billion, below analyst expectations of $5.91 billion. In the company's wearables segment, which represents sales of Apple Watches and AirPods headphones, sales fell to $7.91 billion, compared with analyst estimates of $8.08 billion, according to LSEG data. (Reporting by Stephen Nellis and Max Cherney in San Francisco and Yuvraj Malik in BengaluruAdditional reporting by Noel Randewich in Oakland, CaliforniaEditing by Matthew Lewis)
Apple beats Q2 estimates as iPhone sales decline 10% 2024-05-03 04:35:00+00:00 - Apple (AAPL) reported second quarter results Thursday that showed sales fell less than feared during the quarter while profits topped estimates, sending shares up as much as 4% in extended trading. Apple's Greater China revenue, which includes mainland China, Taiwan, Singapore, and Hong Kong, slid 8% year over year to $16.37 billion. That, however, was better than the $15.87 billion analysts were expecting. The company's all-important iPhone revenue topped out at $45.96 billion, down from $51.33 billion in Q2 last year. Overall, Apple reported earnings per share (EPS) of $1.53 on revenue of $90.8 billion. Wall Street was anticipating EPS of $1.50 on revenue of $90.3 billion, according to analyst estimates compiled by Bloomberg. The company also announced it was authorizing an additional $110 billion for share repurchases and increased its dividend to $0.25 per share. Apple is dealing with a one-two combination of a resurgent Huawei and a slowing economy in China, which is cutting into its sales. Still, Apple CFO Luca Maestri told Yahoo Finance's Josh Lipton that the company saw growth in mainland China. The company's stock is off some 10% year to date and 2% over the last 12 months. Shares of Big Tech rivals like Microsoft (MSFT) and Google (GOOG, GOOGL), meanwhile, are up 30% and 58% over the last year, respectively. Mac revenue came in at $7.45 billion versus an anticipated $6.79 billion, while iPad revenue hit $5.55 billion. Analysts were expecting $5.91 billion. Wearables, which includes AirPods, the Apple Watch, and Vision Pro, saw revenue of $7.91. Wall Street was looking for $8.28 billion. But there was one bright spot for Apple in the quarter: Services revenue hit $23.87 billion, up from $20.91 billion last year, an all-time record. Analysts were expecting $23.28 billion. Apple is also gearing up for its Worldwide Developers Conference (WWDC) in June, where it will reportedly unveil the latest versions of its iOS, macOS, watchOS, iPadOS, and visionOS operating systems. One of the biggest announcements at the show will likely be how Apple will integrate generative AI into its various products. The company is late to the generative AI party, with rivals across Big Tech already rolling out their own product offerings to consumers and enterprise customers. But that doesn’t mean Apple has been twiddling its thumbs. The company has been busy buying up AI firms and building its own large language model to potentially power its AI efforts. And Maestri told Yahoo Finance that the company is making significant investments in generative AI technologies. Story continues Apple is also looking to work with OpenAI, Google, and others to get its AI offerings up to snuff, according to Bloomberg's Mark Gurman. Generative AI is still a relatively niche product among consumers. Sure, Google and Samsung offer generative AI capabilities on their smartphones, and PC makers are increasingly leaning into so-called AI PCs, but the applications still feel largely like tech demos rather than game-changing features that will significantly drive sales. Apple has the opportunity to change that. Subscribe to the Yahoo Finance Tech newsletter. (Yahoo Finance) Update: This article has been updated to reflect a change in Apple's Greater China revenue estimates. Email Daniel Howley at dhowley@yahoofinance.com. Follow him on Twitter at @DanielHowley. For the latest earnings reports and analysis, earnings whispers and expectations, and company earnings news, click here. Read the latest financial and business news from Yahoo Finance.
"Blue Sky, Clear Sailing": Zefiro Sponsored Athlete Erika Reineke Wins Major Qualifying Sailing Event 2024-05-02 22:41:00+00:00 - Loading... Loading... Erika Reineke of Miami, Florida is sponsored by Zefiro, and has competed in sailing events in 30 countries worldwide. After winning a major qualifying event, Ms. Reineke will be racing for the U.S. in the world's preeminent athletic competition in France this summer. Zefiro has also hired several providers to provide investor relations services for the Company. FORT LAUDERDALE, Fla., May 02, 2024 (GLOBE NEWSWIRE) -- ZEFIRO METHANE CORP. (Cboe Canada: ZEFI) (the "Company", "Zefiro", or "ZEFI") is pleased to announce that Erika Reineke , a yacht-sailing champion who is sponsored by Zefiro, has qualified to be a contender competing for the U.S. in the world's preeminent athletic competition taking place in France this summer. Ms. Reineke was victorious in the qualifying event held in Miami, which was initially announced by Zefiro in a press release dated February 20, 2024 . "There is a somewhat metaphorical connection between sailing as a sport, and Zefiro Methane Corp. as an environmental services company. Not only is sailing a non-polluting sport, but it is also something that is done using entirely ‘clean' power in the form of natural winds," said Zefiro Founder and Chief Executive Officer Talal Debs PhD. Dr. Debs continued, "On behalf of the entire team at Zefiro Methane Corp., we congratulate Erika Reineke on her victory which has qualified her for the summer games in France. The world of sailing is extraordinarily competitive, and we are very proud to have Zefiro's logo displayed on Erika's boat sails and sailing gear. I am thankful that Zefiro has been given the opportunity to be an official supporter of Ms. Reineke, whose fierce dedication and competitiveness embodies the spirit of Zefiro as an organization." Erika Reineke is a former US Rolex Yachtswoman of the Year (2017), four-time Collegiate Singlehanded National Champion (2013-2016), and four-time NCAA All-American (2013-2015, 2017). Reineke is also a current member of the US SailGP team and the America's Cup (AC) Women's team. Zefiro recently released a video on its YouTube channel to commemorate Ms. Reineke's victory. This video can be viewed by clicking on the image below or by clicking on the following link: https://www.youtube.com/watch?v=vH2mLfisphY Zefiro-sponsored athlete Erika Reineke is shown in action in the video above, as well as in dialogue with Zefiro Founder and CEO Talal Debs PhD. To view the video, click here . Readers using news aggregation services may be unable to view the media above. Please access SEDAR+ or the Investors section of the Company's website for a version of this press release containing all published media. Zefiro Methane Corp. is also pleased to announce that it has engaged several service providers for investor relations. Details of each provider and their respective agreements are listed below. The New Money Team (Market Awareness): The agreement is for USD $30,000 for a six-month strategic digital marketing program. ITG Market Maker Services: ITG is to provide market-making services on the Cboe Canada, Inc. exchange. The fee on a monthly basis is CAD $6,000 per month Stockhouse.com: Strategic digital marketing services, at a one-time fee of CAD $1,000. Native Ads: Strategic digital marketing services and advertising, at a one-time fee of CAD $5,000. Oil and Gas Bulletin: Newsletter service, with a total fee of CAD $60,000 for an extensive nine-month program of coverage. ArmChair Trader: Armchair is based in the UK and provides a sophisticated newsletter to its constituency in the UK, Canada, and the Middle East, at a total fee of USD $25,000 for a six-month term. Solidaire Investments: Solidaire will make introductions relating to road shows. The contract is for CAD $15,000 per month and this will be on a month-to-month basis based specifically upon performance. Iman Khatam: Services to be provided shall include advising with regard to media awareness and online awareness strategies. The contract is for CAD $100,000 with a term of three months. About Zefiro Methane Corp. Zefiro is an environmental services company, specializing in methane abatement. Zefiro strives to be a key commercial force towards Active Sustainability. Leveraging decades of operational expertise, Zefiro is building a new toolkit to clean up air, land, and water sources directly impacted by methane leaks. The Company has built a fully integrated ground operation driven by an innovative monetization solution for the emerging methane abatement marketplace. As an originator of high-quality U.S.-based methane offsets, Zefiro aims to generate long-term economic, environmental, and social returns. On behalf of the Board of Directors of the Company, ZEFIRO METHANE CORP. Loading... Loading... "Talal Debs" Talal Debs, Founder & CEO For further information, please contact: Zefiro Investor Relations 1 (800) 274-ZEFI (274-9334) investor@zefiromethane.com For media inquiries, please contact: Rich Myers - Profile Advisors (New York) media@zefiromethane.com +1 (347) 774-1125 Forward-Looking Statements This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information is often, but not always, identified by the use of words such as "seeks", "believes", "plans", "expects", "intends", "estimates", "anticipates" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. In particular, this news release contains forward-looking information including statements regarding: the Company's intention to reduce emissions from end-of-life oil and gas wells and eliminate methane gas; the Company's partnerships with industry operators, state agencies, and federal governments; the Company's expectations for continued increases in revenues and EBITDA growth as a result of these partnerships; the Company's intentions to build out its presence in the United States; the anticipated federal funding for orphaned well site plugging, remediation and restoring activities; the Company's expectations to become a growing environmental services company; the Company's ability to provide institutional and retail investors alike with the opportunity to join the Active Sustainability movement; the Company's ability to generate long-term economic, environmental, and social returns; and other statements regarding the Company's business and the industry in which the Company operates. The forward-looking information reflects management's current expectations based on information currently available and are subject to a number of risks and uncertainties that may cause outcomes to differ materially from those discussed in the forward-looking information. Although the Company believes that the assumptions and factors used in preparing the forward-looking information are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed timeframes or at all. Factors that could cause actual results or events to differ materially from current expectations include, but are not limited to: (i) adverse general market and economic conditions; (ii) changes to and price and volume volatility in the carbon market; (iii) changes to the regulatory landscape and global policies applicable to the Company's business; (iv) failure to obtain all necessary regulatory approvals; and (v) other risk factors set forth in the Prospectus under the heading "Risk Factors". The Company operates in a rapidly evolving environment where technologies are in the early stage of adoption. New risk factors emerge from time to time, and it is impossible for the Company's management to predict all risk factors, nor can the Company assess the impact of all factors on Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ from those contained in any forward-looking information. Forward-looking information in this news release is based on the opinions and assumptions of management considered reasonable as of the date hereof, including, but not limited to, the assumption that general business and economic conditions will not change in a materially adverse manner. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information. The forward-looking information included in this news release is made as of the date of this news release and the Company expressly disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable law. Statement Regarding Third-Party Investor Relations Firms Disclosures relating to investor relations firms retained by Zefiro Methane Corp. can be found under the Company's profile on SEDAR+ at www.sedarplus.ca/ . A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/f2136362-3c97-439a-aafc-1c9acb0b461b
Apple reports slumping iPhone sales as global demand weakens 2024-05-02 22:34:00+00:00 - Apple released its earnings report on Thursday, revealing a drop in overall revenue fueled by slackening iPhone sales. Earnings exceeded market expectations, however, and Apple’s shares rose in after-hours trading. Tim Cook, Apple’s chief executive, said in a statement released before the call that “Apple is reporting revenue of $90.8bn for the March quarter, including an all-time revenue record in services”. The iPhone maker reported revenue of $90.8bn, down 4% year-over-year, but surpassing anticipated earnings of $90.1bn. It declared $0.25 in cash dividend for each share, an increase of 4%. iPhone revenue was $45.96bn, down 10% from the same time period last year, whereas Wall Street’s estimations were $46bn. The company also reported that its board had authorized a $110bn stock buyback. “Longer term, I think that Apple’s shift to a service business model is a robust approach to compensate for its dependence on iPhone sales performance,” said Forrester vice-president and principal analyst Thomas Husson. Apple unseated Samsung late last year as the world’s largest smartphone provider, capturing about 20% of the global market share. Shipments of Apple’s smartphones declined in the first quarter of this year, however, as Chinese competitors such as Huawei gained ground. Samsung, which saw a lighter fall in its shipments than Apple, took back the top spot among smartphone makers in the first months of 2024. Cook also said Apple would make “significant investments” in generative AI in the coming quarter, in line with similar announcements from Amazon, Alphabet, Microsoft and Meta in recent weeks. He repeatedly brought up artificial intelligence, claiming that the MacBook Air was the “best consumer laptop for AI”. “We continue to feel very bullish about our opportunity in generative AI,” Cook said on the call. “We are making significant investments and we’re looking forward to sharing some very exciting things with our customers soon.” As with many big tech companies over the past year, Apple made cutbacks in several departments, laying off a sizable number of employees. It shuttered a decade-long project in February to produce an autonomous electric car and laid off about 600 workers last month following the announcement. It is estimated the development of the car, codenamed Project Titan, cost Apple roughly $10bn. The company’s electric vehicle operation had a long history of turmoil, but the full shutdown of the multibillion-dollar effort surprised both the public and Apple employees working on the project. When the electric vehicle project was canceled, Apple executives also announced that they would be dedicating more resources to artificial intelligence projects. Apple has been poaching AI researchers from other tech companies such as Google, according to a Financial Times analysis, and is quietly setting up an AI research lab in Zurich. Apple has also been releasing AI research papers that may predict new features in its phones. Apple has been less public about its foray into generative AI than rivals like Microsoft and Google, but has similarly poured money into staffing up and acquiring AI startups. It is expected to reveal more of its plans for integrating generative AI into smartphones later this year. The Vision Pro headset, Apple’s first new gadget in a decade, was released in early February. According to its two most recent earnings reports, the product does not make a significant contribution to Apple’s revenue. The company is also facing numerous legal battles in the coming months, as regulators in the US and Europe have issued fines and levied antitrust lawsuits. The US Department of Justice filed a landmark antitrust lawsuit in March, accusing Apple of engaging in “a broad, sustained, and illegal course of conduct” to establish a smartphone monopoly. “Apple creates barriers and makes it extremely difficult and expensive for both users and developers to venture outside the Apple ecosystem,” Merrick Garland, the attorney general, said while announcing the suit. European authorities also fined Apple €1.8bn for EU antitrust violations, alleging that the company blocked competition from other music streaming services through unnecessary restrictions on its app store. Apple has rejected the allegations from European and US regulators, and vowed that it will contest the cases against its business practices. Apple’s stock price declined in recent months to fluctuate around $170 per share, down from its all-time high of around $199 which it hit last December. Shares of Apple rose in the days before the earnings report after a well-known financial analyst at Bernstein upgraded the stock to a prediction that it would outperform current market expectations and advised people to buy Apple stock. Cook ended his part of the call touting Apple’s commitment to environmentally-friendly operations, and putting a positive spin on the company’s forthcoming products. “I couldn’t be more excited for the future we have ahead of us, driven by the imagination and innovation of our teams and the enduring importance of our products and services in people’s lives,” Cook said.
Peloton, once hailed as the future of fitness, is now sucking wind. Here's why. 2024-05-02 22:27:00+00:00 - Peloton's Alex Toussaint says hitting “rock bottom” forced him to move away from "dark space” Connected fitness company Peloton, known for its tech-enabled stationary bikes and treadmills, has cycled through yet another chief executive. On Thursday, the beleaguered company announced Peloton CEO Barry McCarthy is stepping down from his roles as company CEO, president and board director. He will be succeeded by interim co-CEOs Karen Boone and Chris Bruzzo, both Peloton board members. Peloton also announced it is cutting 15% of its staff — or 400 employees — as it tries to trim costs. The job cuts mark the fifth time Peloton has reduced its headcount since the company peaked in 2021. As the company struggles to regain its stronghold in the fitness industry and among consumers, questions are being raised about what the future has in store for the formerly red-hot fitness fad. "Hard as the decision has been to make additional headcount cuts, Peloton simply had no other way to bring its spending in line with its revenue," McCarthy said in a statement announcing his departure Thursday. He added that the move was necessary as the company prioritizes "the necessary task of successfully refinancing its debt." Based in New York, Peloton was among the companies that were well-positioned during the COVID-19 pandemic, benefitting tremendously from lockdown policies that kept Americans isolated indoors. At its height, it was valued at $50 billion, and had long waitlists for its equipment. With the fate of crowded gyms and fitness studios uncertain at best, it appeared during the pandemic that the future of fitness would be in-home equipment. Peloton's sales surged, and the company couldn't keep up with customer demand. That is until 2021, when restrictions eased and gyms and fitness studios reopened. Peloton, which had funneled money into meeting the mountain of unprecedented consumer demand, appeared to be caught flat-footed. Still recovering from COVID Eric Koester, adjunct professor at Georgetown University's McDonough School of Business, described Peloton as a "company that is still trying to find itself post-COVID," adding that it's eventual new CEO will likely take one of two tacks. "A company that hit those heights and came back to earth now has to decide how to pivot," Koester told CBS MoneyWatch. That could mean either focusing on developing new in-home fitness products and attacking the traditional gym business industry, or focusing on embracing its existing customer base and capitalizing on their devotion to the brand. "The company has rabid fans, and maybe the company crossed the chasm into the mass market too hard and not everyone was a believer," Koester said. On Thursday, interim co-CEO Bruzzo blamed flagging sales on consumers continuing to adjust to post-pandemic life."We are still dealing with the whiplash, the normalizing that occurred post-COVID," he said on a call with investors. Faced with cash-flow issues, numerous defective product recalls, and a dwindling subscriber base, it seems Pelaton has failed to capitalize on the unsolicited boost the unprecedented event of a global pandemic, provided it with. How is a company that was recently hugely popular among both consumers and investors now floundering? A lifetime's worth of demand One argument is that while the pandemic caused demand for Peloton's fancy fitness machines to skyrocket, the sudden explosion in consumer interest actually hurt the company. "Some people believe the pandemic was the best thing to happen to Peloton, but I believe it was the worst," BMO Capital Markets analyst Simeon Siegel told CBS MoneyWatch. That's because what was somewhat of a niche, luxury fitness company with limited appeal, quite suddenly, entered the zeitgeist and became a symbol of the lockdown phase. "It was a really great idea with a very strong following and a great community, that was propelled onto the big stage and basically pulled forward a lifetime's worth of demand," Siegel said. In Siegel's view, the company mistook the fleeting pandemic-era demand for transformative growth that would be long-lasting. "What happened was the pandemic created the perfect environment for people to want to buy a Peloton," Siegel said. To be sure, some consumers who were drawn to Peloton during the pandemic may have since given up on fitness altogether. Rockstar moment Had the pandemic never occurred, Peloton might not be as well-known as it is today, but it would likely be a company "with a fairly steady growth rate and incredibly loyal fanbase that pays a profitable monthly fee," Siegel said. "It would be a smaller, healthier business that never reached that rockstar moment." BNB Paribas managing editor and senior equity analyst Laurent Vasilescu said the company has had plenty of time to reposition itself post-pandemic, but failed to do so under McCarthy's leadership. "I think he tried to do too many things too fast and didn't really hone in on just the core business. I don't have an answer for them; I don't know where they go from here," Vasilescu said. "But I think it's just going to become a smaller company to the point that one day you're not going to care."
Novo Nordisk sales up 26% driven by GLP-1s, misses 11% on Wegovy 2024-05-02 22:25:00+00:00 - Novo Nordisk (NVO) stock was trading down Thursday despite strong first quarter results, beating Wall Street consensus, led by the blockbuster GLP-1s Ozempic for diabetes and Wegovy for weight loss. Novo posted total sales up 25%, totaling $9.5 billion in revenue from all of its drugs and beating estimates of $9.2 billion. Wegovy brought in $1.3 billion and Ozempic sales totaled $3.9 billion for the quarter. CEO Lars Jørgensen told Yahoo Finance the company is now filling 27,000 new prescriptions per week of Wegovy — more than five times the 5,000 per week being filled at the end of the last quarter of 2023. Still, Novo missed Wall Street estimates of Wegovy sales by 11%, even as supply has increased, prescriptions have increased, and the company lowered the price based on those metrics and increased competition from Eli Lilly's (LLY) Zepbound. Novo declined to provide an exact price. Meanwhile, the approval of Wegovy for obese patients with cardiovascular disease risk earlier this year has opened a new revenue source: Medicare dollars. "We are now sailing into the CMS [Centers for Medicare & Medicaid Services] part of our business, where obesity medicine has not been available in the past," Jørgensen said. He added that the company is confident in its growth outlook for the year. "We are very comfortable in ... our ability to ramp and get to many more patients and thereby also deliver the broad benefits that comes with treating both obesity and type 2 diabetes," Jørgensen said. Government pressures Novo, Europe's most valuable company, is also a target of many government investigations, ranging from US pricing and patent concerns to Novo's home country, Denmark, restricting access to Novo's GLP-1s — preferring cheaper alternatives — beginning Nov. 25. The Federal Trade Commission recently sent a warning letter to 10 companies, including Novo Nordisk, concerning "junk" patents of Ozempic and its older weight loss drug Saxenda, as well as older type 2 diabetes drug Victoza. The FTC has been going after what it deems improper or inaccurate patent listings, which it says curbs competition in the long run. Jørgensen said he doesn't like the term "junk patents" and believes the company is ethical about its patent filings. He noted that the patents the FTC flagged cover devices used by Novo for its drugs rather than the drug compounds themselves — which is where a majority of pharma competition lies. "We have tried to follow what we believe was the requirement in terms of listing the patents covering the products we have on the market. So it's important for me to underline this is not linked to the compound patent, the basic molecule, and honestly we can live without the patent on devices being listed on the Orange Book," he said. Story continues Donna Cooper holds up a dosage of Wegovy, a drug used for weight loss, at her home, March 1, 2024, in Front Royal, Va. (Amanda Andrade-Rhoades/AP Photo, File) (ASSOCIATED PRESS) Meanwhile, there are ongoing concerns about the list price of Ozempic. Jørgensen defended the pricing, noting that it is down 40% compared to when it launched in 2018, and that companies compete more on rebates, fees, and discounts — with pharmacy benefits managers — which skews the conversation. "I think it's important to get into the details of these [points] to get a true and fact-based discussion around the price .. .in the US market," Jørgensen said. Anjalee Khemlani is the senior health reporter at Yahoo Finance, covering all things pharma, insurance, care services, digital health, PBMs, and health policy and politics. Follow Anjalee on all social media platforms @AnjKhem. Click here for in-depth analysis of the latest health industry news and events impacting stock prices Read the latest financial and business news from Yahoo Finance
Radix to showcase benefits of intelligent emission inventory at OTC Houston 2024 2024-05-02 22:06:00+00:00 - Loading... Loading... HOUSTON, May 02, 2024 (GLOBE NEWSWIRE) -- Radix, a global technology solutions company, announced its participation in the Offshore Technology Conference 2024, taking place at NRG Stadium in Houston, Texas from May 6 to May 9, 2024. For yet another year since its founding in 2010, Radix will contribute to the most significant topics impacting the future of offshore energy. The Radix delegation at OTC 2024 will be led by its Global CEO, João Chachamovitz, North America CEO, Alexander Clausbruch and Global Head of Energy and Sustainability, Natalia Klafke. Radix will demonstrate how it drives the net-zero journey of oil and gas customers using advanced technologies and Artificial Intelligence to offer a set of innovative and sustainable solutions. By presenting the Decarbonization Framework, they'll showcase how the structure of an intelligent emission inventory that tracks and consolidates information, reports, and mapping, can improve predictability, and reduce emission costs. "Radix's participation at OTC Houston 2024 comes at a time where companies are still navigating the complexities of decarbonization," says Alexander Clausbruch, CEO North America, Radix. "We are keen to meet with customers and showcase how our Decarbonization Framework can take a lot of the guesswork out of the equation, leading to a more streamlined process that yields actual results. OTC remains a flagship event to attend in our calendars, and this year is no different. We are excited to demonstrate our past success stories in the offshore oil & gas market, and how Radix is poised to provide the most innovative and technological solutions for sustainable and safe operations." "Radix has always been about creating value and accelerating growth for our customers to deliver sustainable outcomes," adds Natalia Klafke, Global Head of Energy and Sustainability. "By combining technology, data, and engineering expertise, we can help companies achieve their emission goals in a more effective way, with real-time feedback at every step." Radix will be located at the Brazilian Pavilion #723, booth #19 during OTC 2024, where they will meet with offshore customers and partners to share their global success stories. About Radix Founded in 2010, Radix is a privately held global technology solutions company providing consulting, engineering, operations technology, and data and software technology solutions. Radix combines key capabilities and practices to empower customers to thrive along their digital transformation journey. Radix provides technology-based, data-driven solutions to industrial and non-industrial companies worldwide. Radix has experience leading projects in more than 30 countries and has more than 1,700+ employees around the globe, with North American headquarters in Houston, Texas, main headquarters in Rio de Janeiro, additional offices in Sao Paulo and Belo Horizonte, and a presence in Singapore and Amsterdam. To learn more, visit www.radixeng.com. For more information contact: Company Contact: Citalouise Geiggar, citalouise.geiggar@radixeng.com Radix A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/061fd81a-a4e6-471f-9192-5af5f0f17e64
Madison Square Garden Entertainment Corp. to Host Fiscal 2024 Third Quarter Conference Call - Madison Square Garden (NYSE:MSGE) 2024-05-02 21:56:00+00:00 - Loading... Loading... NEW YORK, May 2, 2024 /PRNewswire/ -- Madison Square Garden Entertainment Corp. MSGE will host a conference call to discuss results for its fiscal third quarter ended March 31, 2024 on Thursday, May 9, 2024 at 10:00 a.m. Eastern Time. The Company will issue a press release reporting its results prior to the market opening. To participate via telephone, please dial 888-660-6386 with the conference ID number 8020251 approximately 10 minutes prior to the call. The call will also be available via webcast at investor.msgentertainment.com under the heading "Events." For those who are unable to participate on the conference call, you may access a recording of the call by dialing 800-770-2030 (conference ID number 8020251). The call replay will be available from 1:00 p.m. Eastern Time on Thursday, May 9, 2024, until 11:59 p.m. Eastern Time on Thursday, May 16, 2024. The webcast replay will be available on the website until Thursday, May 16, 2024. About Madison Square Garden Entertainment Corp. Madison Square Garden Entertainment Corp. (MSG Entertainment) is a leader in live entertainment, delivering unforgettable experiences while forging deep connections with diverse and passionate audiences. The Company's portfolio includes a collection of world-renowned venues – New York's Madison Square Garden, The Theater at Madison Square Garden, Radio City Music Hall, and Beacon Theatre; and The Chicago Theatre – that showcase a broad array of sporting events, concerts, family shows, and special events for millions of guests annually. In addition, the Company features the original production, the Christmas Spectacular Starring the Radio City Rockettes, which has been a holiday tradition for 90 years. More information is available at www.msgentertainment.com. Contacts: Ari Danes, CFA Senior Vice President, Investor Relations, Financial Communications & Treasury Madison Square Garden Entertainment Corp. (212) 465-6072 Justin Blaber Vice President, Financial Communications Madison Square Garden Entertainment Corp. (212) 465-6109 SOURCE Madison Square Garden Entertainment Corp.
Tenaya Therapeutics to Highlight Growing Capabilities in Capsid Engineering, Gene Editing and Manufacturing at the American Society of Gene and Cell Therapy 27th Annual Meeting - Tenaya Therapeutics ( 2024-05-02 21:56:00+00:00 - Loading... Loading... SOUTH SAN FRANCISCO, Calif., May 02, 2024 (GLOBE NEWSWIRE) -- Tenaya Therapeutics, Inc. TNYA, a clinical-stage biotechnology company with a mission to discover, develop and deliver potentially curative therapies that address the underlying causes of heart disease, today announced that it will present seven abstracts focused on the company's growing capabilities for discovering and advancing genetic medicines for heart disease at the upcoming American Society of Gene and Cell Therapy (ASGCT) 27th Annual Meeting, being held May 7-11, 2024, in Baltimore, MD. Tenaya has established integrated internal capabilities to broadly enable modality agnostic target validation and the design and manufacture of adeno associated virus (AAV)-based genetic medicines focused on the treatment of heart diseases. The company's pipeline includes two clinical-stage gene therapies for cardiomyopathies, as well as earlier-stage research related to gene therapy, gene editing and cardiac cell regeneration, all using adeno-associated virus (AAV) as a delivery vehicle. Tenaya's seven presentations at this year's ASGCT will highlight new capsid engineering insights, the company's emerging gene editing efforts, and manufacturing process optimizations intended to enhance the safety and efficacy profiles of AAV-based gene therapies. Details of the presentations are as follows: Capsid Engineering and Promoters Tenaya has established an active capsid engineering effort encompassing the identification and comparison of known and novel capsids, which are then tested across multiple species to characterize transduction and expression in specific heart cells and/or liver detargeting. At ASGCT, new data from murine and non-human primate studies will be presented comparing previously identified AAV-based capsids, AAV9, AAVrh10 and AAVrh74, for cardiac cell tropism and transgene expression. In two other posters, Tenaya scientists will present new data describing a novel approach to creating a library of promoters for cardiac-specific gene expression, as well as detailing efforts to design more compact cardiac-specific promoters to accommodate larger gene therapy or gene editing therapeutics. Wednesday Poster Session, May 8, 2024, at 12 pm ET AAV9, AAVrh.10, and AAVrh.74 Exhibit Different Cell Type Tropisms in the Heart Following Systemic Delivery and AAV9 Mediates Superior Cardiomyocyte Transgene Expression in Murine and NHP (abstract #2662) Lead author: Ze Cheng, Ph.D., Senior Scientist Chimeric and Rationally Designed Compact Promoters for Cardiac-Specific Gene Expression (abstract #464) AAV DNA shuffle library of GH Loop Variable Regions for Directed Evolution of Cardiotropic Capsids (abstract #482) Lead author: Prasad Konkalmatt, Associate Director, AAV Capsid Engineering Gene Editing Tenaya scientists will present preclinical results suggesting that gene editing of the R14del variant of the phospholamban (PLN) gene may hold promise as a treatment for PLN-R14del-associated dilated cardiomyopathy. Tenaya has developed a gene editing therapy utilizing a single AAV vector designed to deliver a proprietary self-inactivating CRISPR-Cas9 and PLN- R14del-mutation-specific single guide RNA. Previously, Tenaya shared data from a mouse model showing that the company's gene editing vector corrected the PLN-R14del mutation while leaving the wild-type PLN gene intact resulting in preserved heart function, reduced fibrosis and extended survival. This year's presentation will replicate that set of data in the same model of disease using self-inactivating vectors designed to decrease the risk of off-target edits without any diminishment of efficacy. Friday Poster Session, May 10, 2024, at 12 pm ET Precision Editing of PLNR14del Mutation Using a Self-Inactivating, All-in-One AAV Vector to Rescue PLN-R14del-Associated Cardiomyopathy (abstract #1701) Lead author: Huanyu Zhou, Ph.D., Senior Scientist Product Development and Manufacturing Clinical supply of TN-201 and TN-401 gene therapies was manufactured under current Good Manufacturing Practice regulations at Tenaya's Genetic Medicines Manufacturing Center using the company's proprietary Sf9 recombinant baculovirus (Sf9/rBV) production process at the 1000L scale. At ASGCT, Tenaya researchers will present abstracts related to increasing yield and scalability associated with Sf9/rBV manufacturing processes. Loading... Loading... Tenaya has also internalized the HEK293 manufacturing platform up to the 200L scale. Tenaya researchers will present data on a novel small molecule additive that increases the productivity of HEK293-based AAV manufacturing processes, which may have implications for improved scalability, productivity and costs. Friday Poster Session, May 10, 2024, at 12 pm ET Development of a Scalable High Yield HEK293 Expression Platform for AAV Manufacturing (abstract #1531) Lead author: Charles Feathers, Process Development Manager Utilization of Tenaya's AAV Productivity Boosting Small Molecule (SMB) for Intelligent Design of HEK293 Cell Line to Improve AAV Productivity (abstract #1530) Development of Highly Productive, Rhabdovirus-free Sf9 Insect Cell Line for Large-scale AAV Production for Cardiovascular Gene Therapies (abstract #1533) Lead author: Jackson Leong, Process Development Associate Scientist, To view full event programming, please visit the ASGCT 27th Annual Meeting website. Following the conference, Tenaya's presentations will be available in the "Our Science" section of the company's website. About Tenaya Therapeutics Tenaya Therapeutics is a clinical-stage biotechnology company committed to a bold mission: to discover, develop and deliver potentially curative therapies that address the underlying drivers of heart disease. Leveraging integrated proprietary core capabilities enabling target identification and validation, design of AAV-based genetic medicines and in-house manufacturing the company is advancing a pipeline of novel therapies with diverse treatment modalities for rare genetic cardiovascular disorders and more prevalent heart conditions. Tenaya's most advanced candidates include TN-201, a gene therapy for MYBPC3-associated hypertrophic cardiomyopathy (HCM), TN-401, a gene therapy for PKP2-associated arrhythmogenic right ventricular cardiomyopathy (ARVC), and TN-301, a small molecule HDAC6 inhibitor being initially developed for heart failure with preserved ejection fraction (HFpEF). Tenaya also has multiple early-stage programs progressing through preclinical development. For more information, visit www.tenayatherapeutics.com. Forward-Looking Statements This press release contains forward-looking statements as that term is defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release that are not purely historical are forward-looking statements. Words such as "will," "may," "promise," and similar expressions are intended to identify forward-looking statements. Such forward-looking statements include, among other things, the presentation of data covering Tenaya's capabilities for discovering and advancing genetic medicines; and the therapeutic and commercial potential of Tenaya's capsid engineering, gene editing and manufacturing process optimizations efforts. The forward-looking statements contained herein are based upon Tenaya's current expectations and involve assumptions that may never materialize or may prove to be incorrect. These forward-looking statements are neither promises nor guarantees and are subject to a variety of risks and uncertainties, including but not limited to: availability of data at the referenced times; risks associated with the process of discovering, developing and commercializing therapies that are safe and effective for use as human therapeutics; Tenaya's ability to develop, initiate or complete preclinical studies and clinical trials, and obtain approvals, for any of its product candidates; Tenaya's continuing compliance with applicable legal and regulatory requirements; Tenaya's ability to raise any additional funding it will need to continue to pursue its business and product development plans; Tenaya's reliance on third parties; Tenaya's manufacturing, commercialization and marketing capabilities and strategy; the loss of key scientific or management personnel; competition in the industry in which Tenaya operates; Tenaya's ability to obtain and maintain intellectual property protection for its product candidates; general economic and market conditions; and other risks. Information regarding the foregoing and additional risks may be found in the section entitled "Risk Factors" in documents that Tenaya files from time to time with the Securities and Exchange Commission. These forward-looking statements are made as of the date of this press release, and Tenaya assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Contact Michelle Corral VP, Corporate Communications and Investor Relations Tenaya Therapeutics IR@TenayaThera.com Investors AnneMarie Fields Stern IR AnneMarie.Fields@SternIR.com Media Wendy Ryan Ten Bridge Communications wendy@tenbridgecommunications.com
Amgen scraps experimental weight loss pill, moves forward with injection 2024-05-02 21:56:00+00:00 - The Amgen logo is displayed outside Amgen headquarters in Thousand Oaks, California, on May 17, 2023. Amgen on Thursday said it will stop developing its experimental weight loss pill and instead move forward with its injectable drug and other products in development for obesity. The announcement is a setback for Amgen, which is among several drugmakers racing to join the red-hot weight loss drug space dominated by Novo Nordisk and Eli Lilly , which some analysts say could be worth $100 billion by the end of the decade. But the company has other opportunities to capture a slice of the market. "Given the profile we've seen with [the oral drug], we will not pursue further development. Instead, in obesity, we're differentially investing in MariTide and a number of preclinical assets," Jay Bradner, Amgen's chief scientific officer, said during an earnings call Thursday. Amgen is developing an injectable obesity treatment called MariTide, which is in an ongoing midstage trial in obese or overweight adults without diabetes. The company will release initial data from that study later this year, and Bradner said Amgen is "very pleased" with the results so far. The company said it is working with regulators to plan a late-stage trial for the treatment. Amgen said Thursday it is planning a stage two trial on the drug in diabetes treatment as well. Amgen shares rose more than 10% in extended trading Thursday. Amgen also has other drugs in development for weight management. The drugmaker's oral drug, called AMG-786, is the second weight loss pill to be discontinued over the past year. Pfizer in December scrapped a twice-daily version of its obesity pill, danuglipron, after patients had a difficult time tolerating the drug in a midstage trial. The company is now developing a once-daily version of that drug. Investors are laser-focused on Amgen's pipeline of experimental weight loss treatments. Amgen hopes to stand out among the crowded field of potential players with a different approach. The company's experimental injection helps people lose weight differently from the existing injectable drugs. Much similar to Novo Nordisk's Wegovy and Eli Lilly's Zepbound, one part of Amgen's treatment activates a gut hormone receptor called GLP-1 to help regulate a person's appetite. But while Zepbound activates a second hormone receptor called GIP, Amgen's drug blocks it. Wegovy does not target GIP, which suppresses appetite like GLP-1, but may also improve how the body breaks down sugar and fat. Amgen's injectable treatment also appears to help patients keep weight off after they stop taking it based on some clinical trial data. The drugmaker is also testing its drug to be taken once a month or even less frequently, which could offer more convenience than the weekly medicines on the market. Patients given the highest dose of Amgen's MariTide — 420 milligrams — every month lost 14.5% of their body weight on average in just 12 weeks, according to data from the phase one trial published in February in the journal Nature Metabolism.