[The beef 675]
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"Jack Dorsey is just a less entertaining Elon Musk." - Jeff
[Read The Beef Online - Click Here](
Hey there carnivores,
Markets were up again on Thursday closing at all-time highs
Today weâre talking Twitter crushing Q4.
Keep raging,
Jeff & Jason
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Flying high
Did you enjoy the end of your 2019? Jack Dorsey sure did.
Twitter reported its Q4 earnings on Thursday, and letâs just say⦠they were prettyyyy, pretty good.
Revenue [came in just a hair over]( $1B ($1.01B to be exact), exceeding expectations of $994.5M, due in large part to a 12% increase in ad revenue. And while EPS fell short (17 cents vs. projections of 28 cents) investors didnât seem to give a f*ck, as the stock rose 8% in premarket trading and 15% on the day.
EPS my a**
Investors were quick to look the other way after the social media company reported its biggest quarterly user growth ever. Monetized Daily Active Users (mdau) [came in at]( 152M compared to expectations of 147.5M. This quarterly gain of 21% crushes the 10% growth that @jack saw during the same period last year.
But not all growth is created equal. Expenses also rose thanks to increased headcount and investment in other "necessary evils" at the worldâs favorite anonymous sh*t talking site.
Twitter made several enhancements to the platform this quarter, such as identifying elected officials and investing in machine learning robotics to decrease the content posted that would violate Twitter's terms of service. We see you, Zero Hedge.
The bottom line...
Twitter. Facebook. Snap. One of these is not like the other.
Twitter's earnings stand out as a bright spot among the Big 3 social media platforms, with Facebook and Snap doing their best MySpace impressions. Facebook showed slowing growth in North America and SNAP missed quarterly sales expectations.
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âï¸ Trying their (as)best(os). A New Jersey state jury ordered Johnson & Johnson [to pay $750M to four victims]( who developed mesothelioma from using its talc-powder products. The initial award was $37.5M ... and the judge presiding over the case already said she planned to reduce the sentence to $186.5M.
âï¸ Cut 'em down to size. China [agreed to cut tariffs on $75B worth of goods]( coming from the US including soybeans, pork, and auto parts, following the signing of the âPhase 1â trade agreement last month.
The tax rate on 916 items in total will be reduced from 10 percent to 5 percent beginning, lovingly, on February 14th. Phase 2 talks are expected to continue should flights in and out of China ever resume.
âï¸ Lung transplant. Juul has [raised $700M of convertible debt]( in a fundraising round that will give the company more flexibility to make long term investments, and hopefully, breathe some life into the vape-maker. The convertible debt can eventually turn into equity if Juulâs valuation is within a certain range, $10B to $25B in this case. The money comes mostly from existing investors who at this point are willing to throw money at the dumpster fire in hopes of not losing their initial investment.
Altria, which purchased a massive stake in Juul worth $38B in 2018 has already written down that amount to $12B. Are you happy now, FDA?
âï¸Pin it up. Uberâs stock [rose 6% after hours]( yesterday as the company announced that it expects to be profitable earlier than initially expected. The ride-sharing company still suffered a loss in Q4... and is facing more regulatory scrutiny... but thatâs showbiz baby! CEO Dara Khosrowshahi indicated that the company is looking to be profitable in Q4 2020, ahead of the initial estimate of 2021.
Not to be outdone, Pinterest [had a stellar quarter]( of its own. The company beat on both top and bottom lines with revenue of $400M topping estimates of $371M. Earnings per share of 12 cents beat out expectations of 8 cents as well. Pinterest's redesigned app helped increase active users to 335M. Somehow all of America, besides yours truly, is on Pinterestâ¦
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