The Growth Hangover Continues

Neobanks that came public during the pandemic at insane valuations and got crushed over the last few years are roaring back in the current environment. 🏦

Dave Inc. is a digital banking service primarily focusing on cash advances, working off tips and subscription fees rather than overdraft fees. That was a solid business in the ZIRP era of cheap money but faced a reckoning in a higher interest rate environment. 💸

Although mega-cap technology giants like Meta, Alphabet, and Amazon are having no trouble in the advertising market, smaller players like Snap are. That trend continued today, with Pinterest missing revenue estimates. Let’s take a look at the numbers. 👇

The social media company’s adjusted earnings per share of $0.53 topped the expected $0.51. However, revenues of $981 million were $10 million shy of estimates despite rising 12% YoY.

It was another day of records for the U.S. stock market as more and more stocks got snatched up in the bullish animal spirits. Let’s continue this week’s trend of pointing out the ragingly bullish action traders have been dealing with. 👇

Below is a chart of the S&P 500 showing prices rising for 16 of the last 18 months, posting a 25% rally since the end of October. It was also announced after the bell that Super Micro Computer and Deckers Outdoor will join the index, replacing Whirpool and Zions Bancorp. 📈

Today’s action shows that BJ’s may have a branding problem in the retail investing community. Despite the company’s results topping expectations today, sentiment readings from are community are still weaker than you’d expect. 🤔 

BJ’s Wholesale Club revenues grew 8.70% YoY to $5.357 billion, with adjusted earnings of $1.11 per share. While earnings topped expectations, revenue was slightly below, with executives citing an uncertain macroeconomic environment as the primary driver.