Today we are watching…
1. Facebook (#fb)
Mark Zuckerberg is going back on the plane to Washington to be grilled again by the government. This time, it’s about his plans for Libra! Authorities still have doubts about Facebook’s own “cryptocurrency,” despite it being anchored to traditional currencies. Some think it’s because Libra would legitimize blockchain and that could curb its own powers to govern the global financial system. That’s not too far-fetched a conspiracy, but it doesn’t stack up with why major companies like PayPal, Visa, and Mastercard, are also having second thoughts. Many Facebook investors see Libra as the future of the company’s earnings, so it will be up to Zuckerberg to save it on October 23rd!
2. Bed Bath & Beyond (#bedbath)
It’s not every day that a stock rockets 20%, especially a retail stock! Investors in Bed Bath & Beyond, however, are in party mode. The retailer needed a CEO, Tritton was the target man, and yesterday, he officially took over. This is a stock that’s prone to overnight surges. Whenever it beats earnings it jumps ridiculously, just as it did after being targeted by activist investors. Clearly, the market is desperate for a silver bullet to save Bed Bath. But despite the stock spikes, the company hasn’t stopped drifting the wrong way. Tritton needs to optimize Bed Bath’s online store, stop it couponing itself to death, and differentiate it with some kind of competitive advantage. Can he do it?