Birds Leave The Nest

The Twitter saga continues and is almost too much to keep up with. But, if you were on the site yesterday, you would’ve seen “#RIPTwitter” trending as people speculated that the site could no longer function after Musk’s mass layoffs.

After cutting roughly half the company’s 7,500-person workforce since taking over, Elon Musk issued an ultimatum to the remaining employees. Either sign up to work for the hardcore “Twitter 2.0” or leave. He gave employees until Thursday at 5 pm to make their choice, and initial reports suggested several hundred folks decided to go. πŸ‘‹

However, current estimates are that roughly 1,200 full-time employees resigned on Thursday, which leaves about 1,700 remaining.

A 75% decrease in headcount and Musk’s erratic management approach left many Twitter users concerned about whether the platform could continue in its current state. WithΒ that said, we all woke up this morning, and the site was still active. So it looks like doomsday will have to wait… ⏳

But besides the juicy headlines the Twitter situation generates, the overall situation is important for more than just Musk-related reasons.

Some proponents of his approach say that tech companies today have too many employees and should operate much leaner. The typical example thrown around is that Craiglist only has 50 employees (or something like that). So, if Elon does manage to pull this transformation off, that will likely prompt investors to question other companies’ headcount levels/approaches. πŸ€”

In the meantime, we’ll all sit back and watch this situation unfold on none other than…Twitter. 🍿

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Ryan Cohen’s Next Meme Stock Target

Two weeks ago, we covered the news that activist investor Ryan Cohen had taken a stake in Alibaba, pushing for more share buybacks. But, we noted at the time, it might’ve been more difficult for him to enact meaningful change at a firm that size. And apparently, it seems he might be coming around to that thesis as well. 🀷

That’s because today, it came to light that the GameStop Chairman had bought a significant stake in department store retailer Nordstrom. His purchase makes him one of the company’s top five nonfamily shareholders, and he’s looking to use his influence to shake up the retailer’s board of directions. πŸ‘¨β€πŸ’Ό

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A Match Made In Switzerland

It was another wild weekend in banking news, so let’s go through the headlines and summarize what happened. πŸ“°

The biggest story of the day is the shotgun marriage between Switzerland’s two largest banks. Sunday afternoon, it was reported that UBS agreed to buy its embattled rival Credit Suisse for 3 billion Swiss francs (~$3.2 billion). This was up from the initial $1 billion offer made by UBS and will see investors receive 1 UBS share for every 22.48 Credit Suisse shares they own.Β 

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Auto Industry News

Auto stocks continue to trend heavily after last week’s earnings report from Tesla. As a result, there was a lot of auto news to recap today. πŸ“°

First up, Toyota Motors managed to defend its title as the world’s top-selling automaker for the third straight year…despite falling sales. The company sold 10.5 million vehicles in 2022, with Volkswagen Group behind it at 8.3 million vehicles. πŸ†

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AMC Apes Drunk On Liquidity

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Shares have declined further since then, so let’s discuss how it got here and what happened at today’s shareholder vote.

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