Today we are watching…
1. Virgin Galactic (#spce)
Insider selling records suggest Virgin Group is getting ready to liquidate all its Virgin Galactic holdings. It has a major stake in Galactic, and most of that is being sold off according to an S-1 form filed to the Securities and Exchange Commission (SEC). Sir Richard Branson is bailing on his business, so it’s surprising to see the stock drop only around 11%. There is a chance that money needs to be raised from the rich start-up to help keep the rest of the Virgin Group afloat. Virgin Australia went bust a few weeks ago, and Branson’s rightly been refused a bailout. However, if Galactic’s future prospects don’t look rosy to the big buys, that’s the reddest of red flags!
2. Pinterest (#pins)
Pinterest will never report earnings on the back of such bullish sentiment again, the stock is up 34% in the past month. Alphabet and Snap reported stellar digits in spite of the coronavirus pandemic, getting analysts excited in their consensus estimates for Pinterest today. The company is tipped to make an $0.08 loss on $270 million in revenue. The commentary of management on both the recent past and short-term future will be the biggest factor moving the stock price today. Most CEOs are reporting “resilience” and the same time as “uncertainty,” so how could tech investors receive that?