2023-12-13 06:50:22 ET
Summary
- SpaceX's insider shares are expected to be valued at $180 billion, reflecting strong investor demand and the success of its Starlink service.
- XPO has been approved to acquire 28 service centers owned by Yellow Corp, expanding its presence in the freight industry.
- Snapchat+ surpasses 7 million subscribers and introduces new AI-based features for users.
Listen below or on the go on Apple Podcasts and Spotify
Elon Musk's SpaceX ( SPACE ) value said to be closer to $180B. (00:26) XPO to acquire 28 former Yellow service centers. (01:25) Snapchat+ ( SNAP ) surpasses 7M subscribers, rolls out new AI features for users. (01:54)
This is an abridged transcript of the podcast.
SpaceX ( SPACE ) will offer insider shares for $97 apiece, increasing the company's valuation to around $180B .
This is from a Bloomberg report that cited people familiar with the matter.
This represents a considerable rise from the previous expected valuation of $175B, as the space firm was evaluating offering shares at about $95 apiece .
However, the terms and size of the tender offer have not been finalized yet, according to the report .
The higher valuation is likely due to strong investor demand for the rocket maker's shares and its rapidly expanding Starlink internet-from-space service, which crossed 2M active users this year.
SpaceX has also become a key launch provider for NASA, and has a major deal worth billions of dollars to develop its Starship rocket into a lunar lander to send astronauts to the moon.
A federal bankruptcy court has approved an offer from XPO (NYSE: XPO ) to acquire 28 service centers that are owned by now bankrupt Yellow Corp. ( OTC:YELLQ ).
The LTL freight provider is purchasing 26 of the locations and will acquire the leases for the other two locations.
The acquisition is expected to close by the end of the year.
The locations of the centers include Atlanta, Houston, Indianapolis, Las Vegas, Minneapolis, and Nashville.
Snap (NYSE: SNAP ) on Tuesday said its paid Snapchat+ subscription service now had more than 7M subscribers , and that it was rolling out new artificial intelligence ( AI ) based features for users.
The company had targeted 10M subscribers for the service when it launched Snapchat+ in July last year. It is now more than halfway to that mark in less than 18 months. In September Snap ( SNAP ) said the service had surpassed 5M users.
Snapchat+ costs $3.99/month.
The new features include using AI through voice commands to create and send a Snap. It also allows a user to extend the framing of an image if the original was zoomed in too close. Subscribers can also now create AI selfies together.
Snap ( SNAP ) said the new features were rolling out now and that regional availability may vary.
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On our catalyst watch for the day,
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Fontainebleau Las Vegas will open its doors. The 3,644-room hotel complex will be the first new resort on the Las Vegas Strip since Resorts World opened in 2021.
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Amdocs ( DOX ) will hold a webcast called "Unlocking the Transformative Power of Generative AI."
U.S. stocks on Tuesday ended higher.
The Nasdaq ( COMP.IND ) advanced 0.70%, while the S&P 500 ( SP500 ) added 0.46%. The Dow ( DJI ) climbed 0.48%.
Of the 11 S&P sectors, eight ended in the green, led by Tech and Financials. Energy topped the three losers.
The 10-year yield ( US10Y ) was down 3 basis points to 4.21%. The 2-year yield ( US2Y ) was little changed at 4.73%.
Now let’s take a look at the markets as of 6 am. Ahead of the opening bell today, Dow, S&P and Nasdaq futures are in the green. The Dow is up 0.1%, the S & P 500 is up 0.1% and the Nasdaq is up 0.1%. Crude oil is up 0.4% at less than $69 per barrel. Bitcoin is down 1% and just above $41,000.
In the world markets, the FTSE 100 is up 0.3% and the DAX is up 0.1%.
The biggest movers for the day premarket: Xponential Fitness (NYSE: XPOF ) is up 7% following Stifel's upgrade from hold to buy.
On today’s economic calendar:
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8:30 am The producer price index report for November will be released.
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2:00 p.m. The Federal Reserve Open Market Committee will release its statement on interest rates.
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2:30 p.m. Federal Reserve Chairman Jerome Powell will hold a press conference.
For further details see:
Wall Street Breakfast Podcast: SpaceX Valuation Reportedly Nears $180B