Meta stock gains 4% as it takes on Twitter 🐦
Twitter vs Threads: Tension between Mark Zuckerberg and Elon Musk is high. A couple of weeks ago, they both agreed to fight each other in a cage after Meta announced its latest rival to Twitter: Threads.
Meta’s stock keeps on climbing: Meta’s stock price is up over 130% since January and this latest move has seen it climb even further. The decision to transfer Instagram users’ handles and followers directly over to Threads has investors excited.
A potential ‘Twitter killer’: Twitter is in a bit of a mess. Most recently, it introduced a limit on how many tweets a user can see in a day, which as you can imagine, didn’t go down well. Are investors sensing blood in the social media space? Time will tell.
Tesla shares jump 7% thanks to impressive delivery numbers 🚗
Musk’s master plan: Whilst Twitter may be in a bit of a mess, Musk’s plan of boosting sales by slashing Tesla prices appears to be working after it outperformed its expected deliveries for Q2.
Breaking records: Tesla reported a record-breaking 466,140 vehicles delivered in Q2, which is a whopping 80% higher than this time last year. Historically, one of Tesla’s largest challenges has been deliveries, so this is particularly exciting news for investors.
Looking ahead: The 7% boost has added a cool $57 billion to Tesla’s market cap, but whether the stock stays at this level may depend on Tesla’s Q2 financial results on the 19th July. There may have been a lot of deliveries, but that’s come as a result of slashed prices. Will this harm Tesla’s Q2 profit numbers, and in turn, its share price?
Virgin Galactic plummets 16% despite a successful launch 🚀
Successful launch, slumping share price: Last week, Virgin Galactic sent 3 Italian passengers and 2 Virgin pilots into space on its first commercial spaceflight. The mission was successful, so why is the stock suffering this week?
Extreme tourism: Tourism to extreme destinations has been criticised as of late, mainly due to the recent OceanGate catastrophe. In the wake of this tragedy, investors are questioning the long-term viability of extreme commercial tourism.
An unproven business model: Despite launching successfully, many investors are also doubtful of Virgin Galactic’s business model. Currently, the company can only launch one flight per month which isn’t enough for a healthy cash flow.
What have we learned this week? 🤓
Meta is copying, again: Meta has a history of copying social media rivals, and whilst the markets have reacted positively, savvy investors will know Meta’s clones haven’t always taken off.
Tesla’s plan is working, so far: Musk’s decision to lower Tesla prices to stoke demand was a risk, especially given its previous issues with delivery. But the early signs are positive.
Extreme tourism is both feared and profitable: Whether it’s tourism to outer space or to the depths of the ocean, extreme tourism is undoubtedly a profitable market, set to reach $1 trillion by 2030 according to Grand View Research’s report. But sentiment can change, and that’s certainly happened after the devastating OceanGate incident.
*Figures correct as of July 5th 2023.
Past performance does not guarantee future results. Capital at risk when investing.
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