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The Globe’s stars and dogs for the week

The Globe’s stars and dogs for the week

A humorous look at the companies that caught our eye, for better or worse, this week

Zoom Video Communications (DOG)

People are tired of endless Zoom meetings. Now, even investors are developing a case of Zoom fatigue. Shares of the video-conferencing platform had surged more than 700 per cent this year, driven by explosive user growth as businesses, schools and families moved online. But with Zoom Video Communications Inc. projecting that year-over-year revenue growth will slow to 329 per cent in its fiscal fourth quarter – down from 367 per cent in the third quarter – and several promising vaccines spurring hopes for an end to the pandemic, the stock took another hit this week. With the shares down by more than 25 per cent from their October high, Zoom investors are feeling the gloom.

ZM – Nasdaq

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Nikola (DOG)

Investors were hoping Nikola Corp., an electric-truck startup, would be the next Tesla. Now, as Nikola’s stock plunges, they’re wondering if it might be the next DeLorean. Already dogged by allegations of fraud that triggered investigations by the U.S. Securities and Exchange Commission and Department of Justice, Nikola had more bad news for investors this week when it announced that General Motors will not be taking an equity stake in the company or building its Badger electric pickup truck. With the Badger presumably dead and Nikola’s shares in a free fall, investors have had enough of this ride.

NKLA – Nasdaq

BlackBerry (STAR)

Business quiz! Shares of BlackBerry Ltd. soared after the company: a) revived its BlackBerry Bold, BlackBerry Storm and BlackBerry Pearl Flip phones for the holidays, hoping to tap into nostalgia surrounding its brand; b) announced a licensing deal with Coca-Cola, which plans to sell BlackBerry Coke in select test markets; c) announced a multiyear agreement with Amazon Web Services to develop and market BlackBerry’s Intelligent Vehicle Data Platform, a cloud-connected service that allows automakers to read vehicle sensor data to improve safety and performance. Answer: c.

BB – TSX

Carnival (STAR)

Remember when everyone was abandoning cruise ship stocks because of the pandemic? Well, now that vaccines are on the way and the pandemic’s days may be numbered, investors can’t get back on board fast enough. Even as companies continue to suspend voyages, shares of Carnival Corp. – the world’s largest cruise operator – have roughly tripled from their spring lows. Norwegian Cruise Line Holdings and Royal Caribbean Group have posted even bigger gains, as both stocks had their price targets raised by Bank of America this week. Bon voyage.

CCL – NYSE

Splunk (DOG)

You might say Splunk Inc. just went for a dunk. In a stark reminder of how quickly fortunes can change for technology stocks, shares of the data analytics software company shed nearly one-quarter of their value on Thursday after Splunk’s third-quarter revenue missed analysts’ expectations. With Splunk’s fourth-quarter forecast also falling short of Wall Street estimates as pandemic uncertainty slows the company’s transition to a cloud-based, software-as-a-service model, Splunk investors are in a funk.

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SPLK – Nasdaq

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Published at Fri, 04 Dec 2020 23:00:53 +0000

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Written by Riel Roussopoulos

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