☑️ Boe sh*t. After reporting poor earnings and an impressive cash burn rate yesterday (and I mean that in the worst way possible) Boeing announced last night that it is raising $25B via a bond offering. The move has Boeing effectively saying "f*ck you" to the haters who have criticized the plane-maker for trying to get federal aid as part of the various government programs that have rolled out.
The offering had seven different tranches, with maturities ranging between three and forty years, though none of the buyers were disclosed. Only one thing is for sure: more buybacks, baby.
☑️ More like @Whack. Twitter's stock dropped yesterday after it announced a 27% decrease in ad revenue during the last three weeks of March as part of its pre-market earnings release. The social platform reported a net loss of $8M on the quarter compared to $191M during the same time period the year earlier. AND no likes or retweets.
The March numbers weren't so bad but a lack of confidence in anything related to April was what had investors heading for the exits. One Twitter exec pretty much threw his hands up during the earnings call saying "(March) gives you a good sense of what it's been like for us." Thanks for the guidance, pal.
@Jack was nowhere to be found (presumably in Africa or fulfilling his CEO duties at Square) but his company's shares dropped 7.75% on the day.
☑️ Lending a hand. Don't tell the Fed that parts of America are looking to open up and get "back to normal." The nation's central bank is expanding loan offerings (real loans, with real interest... not PPP "loans") and qualifications for its $600B coronavirus relief fund to reach small and midsize businesses. As it currently stands banks lend to companies and the Fed is buying those loans from the banks, bearing most of the risk. Foolproof...
The qualifications have been revised so that employers with 15k employees and $5B in revenue are now eligible to receive relief. Previously the limit was 10k employees and $2.5B in revenue. Harvard is hiring and preparing to reapply as we speak.
The Fed isn't letting banks totally off the hook. For larger companies with higher debt loads, the banks which provide the loans will have to retain a 15% stake of the debt it sells to the Fed, compared to 5% under the old format.
☑️ Making a mil. Gilead reported its fiscal Q4 earnings yesterday just as the drugmaker vaulted itself into the top spot for treating coronavirus.
It appears that Gilead's remdesivir is the anti-coronavirus drug the public has been waiting for. After some confusion on whether or not it actually works, the drug showed 50% of patients who took it for five days improved, and those who took the drug recovered after only 11 days, not the 15 days it took non-users.
The FDA still has not officially approved the drug, but Gilead said it could produce as much as 140k rounds of its 10-day treatment by the end of May and could make as much as 1M rounds by the end of this year. Might want to get that approval first.
Overall, Gilead spent $50M on researching the drug during its final fiscal quarter. It reported a 5% increase in revenue over last year at $5.55B thanks to a bump in sales from people stocking up on prescriptions.
Post a Comment
Post a Comment