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Coca-Cola and Microsoft Sign Billion-Dollar Agreement, Apple Event Set for May 7, and More News

Fernanda T
Latest News
April 24 2024 7:28AM

Coca-Cola (NYSE:KO) – Coca-Cola has signed a new five-year contract, worth US$1.1 billion, with Microsoft (NASDAQ:MSFT), utilizing its cloud computing and artificial intelligence services, including Azure OpenAI. The agreement aims to enhance Coca-Cola’s productivity with tools like Microsoft’s Copilot.

Apple (NASDAQ:AAPL) – Apple announced an event on May 7, with no details revealed, but rumors suggest the launch of the long-awaited renewed iPad Pro and iPad Air. The company seeks to revitalize falling sales in the tablet market amid economic uncertainties.

Alphabet (NASDAQ:GOOGL) – Alphabet is injecting 600 million euros (640.62 million dollars) into a new data center in Groningen, the Netherlands, creating 125 jobs. Since 2014, Alphabet has invested more than 3.8 billion euros in digital infrastructure in the Netherlands, emphasizing sustainability and positive community impact. Additionally, Google has postponed until 2025 its decision to phase out cookies in the Chrome browser amid concerns and regulatory reviews. The plan, which aims to transform digital advertising, is subject to agreements with regulators. This occurs while the company faces antitrust scrutiny and seeks to replace cookies with its Privacy Sandbox initiative. Additionally, Mobvoi, a Chinese AI startup backed by Alphabet, ended its first day of trading down in Hong Kong, with shares falling 3.2% below the initial offering price, raising $41 million, below the $200 to $300 million target from last year.

IBM (NYSE:IBM) – IBM is in advanced negotiations to acquire cloud software provider HashiCorp (NASDAQ:HCP), boosting its offerings in the area. IBM, under CEO Arvind Krishna, has been pursuing acquisitions to strengthen its cloud presence.

Oracle (NYSE:ORCL) – Larry Ellison, chairman of Oracle, announced on Tuesday that the company plans to move its corporate headquarters to Nashville, highlighting the city as a health hub. The new campus, designed by Norman Foster, will include a community clinic and a concert hall, aiming to integrate into the local community.

Super Micro Computer (NASDAQ:SMCI) – Shares of Super Micro Computer advanced 3.3% in pre-market trading after analysts at KeyBanc, led by Tom Blakey, initiated coverage with a Sector Weight rating. They highlighted the company’s position as a leading provider of full-stack IT solutions at rack scale, benefiting from AI growth trends.

Trump Media & Technology Group (NASDAQ:DJT) – On Tuesday, Donald Trump secured a stock bonus worth $1.3 billion from the company operating his social media app Truth Social. This award, derived from the SPAC deal, will increase his stake in Trump Media & Technology Group to $4.1 billion.

Rubrik – The data security and cloud startup Rubrik, backed by Microsoft (NASDAQ:MSFT), received about 20 times more orders than the number of shares available in its planned initial public offering. The company aims to raise up to $713 million.

Starbucks (NASDAQ:SBUX) – U.S. Supreme Court justices signaled support for Starbucks against a court order to rehire seven employees fired in Memphis as they sought unionization. The case, centered on the National Labor Relations Act, could impact future injunctions on contested labor practices. The final decision is expected in June.

Walmart (NYSE:WMT) – The majority-owned fintech startup One by Walmart began offering “buy now, pay later” (BNPL) loan options for expensive items in some U.S. stores, joining Affirm (NASDAQ:AFRM) as a choice for customers. The initiative seeks to expand the retail giant’s financial offerings to customers.

Williams-Sonoma (NYSE:WSM) – Williams-Sonoma agreed to pay a civil fine of $3.18 million to settle FTC charges of false “Made in USA” claims for some products. A revised order, requiring judicial approval, increases the original fine from $1 million.

JPMorgan Chase (NYSE:JPM) – The CEO of JPMorgan Chase, Jamie Dimon, expressed confidence in the robust U.S. economy, highlighting strong employment and healthy consumer finances. Dimon warned about the persistence of inflation and advocated a pragmatic approach to public policy. Additionally, future plans for government participation were mentioned. In other news, a Russian court ordered the seizure of funds from JPMorgan Chase’s bank accounts in Russia, as part of an action brought by state bank VTB to recover $439.5 million blocked abroad. JPMorgan sued VTB in New York last week.

UBS Group AG (NYSE:UBS) – Executives from UBS expressed concerns about tighter capital requirements proposed by the Swiss government, warning that they could require between $15 to $25 billion additional. Despite this, they reiterated their commitment to returning excess capital to shareholders through dividends and share buybacks.

Tesla (NASDAQ:TSLA) – Tesla announced on Tuesday the dismissal of 6,020 employees in Texas and California, in addition to cutting about 400 jobs, or about 3% of the workforce, at its gigafactory in Germany near Berlin, without forced layoffs. The cuts aim to reduce costs, combat slowing demand, and falling margins. In other news, Tesla has set the price of its new high-performance Model 3 at 335,900 yuan, equivalent to US$46,364.29, in China. Deliveries of the vehicle are scheduled to begin in the third quarter of this year. Tesla also launched a performance variant of its compact sedan Model 3 in the United States for US$52,990. Moreover, Elon Musk announced that the humanoid robot Optimus could be marketed by the end of next year, aiming to meet labor demands in sectors such as logistics and retail. Musk highlighted that Tesla is well-positioned for this endeavor.

Fisker (NYSE:FSR) – Fisker faces the imminent possibility of filing for bankruptcy protection in 30 days unless it obtains adequate relief from creditors to meet debt obligations. The electric vehicle startup is in financial distress after failures in investment negotiations and falling shares.

Polestar Automotive (NASDAQ:PSNY) – Polestar Automotive, the Swedish electric vehicle manufacturer, is planning to transfer production of cars destined for Europe to its U.S. factory due to rising geopolitical tension. The company explores exporting the Polestar 3 from the U.S. to the European Union amid investigations into tariffs. Additionally, Polestar launched its own smartphone for the Chinese market in collaboration with the smartphone manufacturer Xingji Meizu Group. The phone, integrated with Polestar EVs, comes with up to 1 terabyte of storage and a 50-megapixel camera, starting at $1,019.

Boeing (NYSE:BA) – The Federal Aviation Administration (FAA) is investigating allegations of retaliation by Boeing against two engineers who requested an engineering review on the 777 and 787 jets. The union SPEEA denounced unfair labor practices. Boeing denies retaliation, while the union seeks access to a crucial report.

Spirit AeroSystems (NYSE:SPR), Boeing (NYSE:BA)Spirit AeroSystems agreed to advance payments of $425 million to Boeing, aiming to address issues such as high inventories and reduced cash flow, following FAA restrictions on 737 MAX production. The agreement aims to sustain Boeing’s contractual production and stabilize operations.

Ryanair Holdings (NASDAQ:RYAAY) – The CEO of Ryanair Holdings, Michael O’Leary, expressed optimism about the new leadership at Boeing Co. and the possibility of increased production, aiming to deliver 40 jets to Ryanair before the high travel season. He emphasized the importance of continuity and precise execution.

JetBlue Airways (NASDAQ:JBLU) – JetBlue Airways warned on Tuesday that it no longer expects to achieve break-even in its adjusted operating margin for this year, with depressed revenues due to excess capacity in Latin America. Its shares fell about 17%, to $6.25. The company expects second-quarter revenue to decline up to 10.5% compared to the previous year. JetBlue is also seeking compensation from Pratt & Whitney due to engine issues, which are expected to keep an average of 11 aircraft out of service throughout the year.

L3Harris Technologies (NYSE:LHX) – L3Harris Technologies of the U.S. will cut 5% of its workforce, about 2,500 employees, as part of cost-saving measures. The cuts, not focused on the recent acquisition of Aerojet Rocketdyne, aim for efficiency and cost savings, aligned with the multi-year LHX NeXt plan of $1 billion.

Palantir Technologies (NYSE:PLTR) – Shares of Palantir are rising 2% before the market opens, after registering an increase of more than 5% over the past two days, recovering after six consecutive days of losses.

Bunge (NYSE:BG) – The Competition Department of Canada has expressed serious concerns about the proposed acquisition of Bunge by Viterra, backed by Glencore (LSE:GLEN), posing an obstacle to the agricultural merger valued at $34 billion. The deal faces scrutiny over potential anti-competitive effects, awaiting government decision.

Pfizer (NYSE:PFE), BioNTech (NASDAQ:BNTX), Moderna (NASDAQ:MRNA) – Pfizer and BioNTech have filed a petition in London to invalidate Moderna’s patents on key vaccine technology for Covid-19, amid a global legal battle. Moderna claims patent infringement by Pfizer and BioNTech, while these argue technological improvements. The billion-dollar sales of both vaccines highlight the significance of the case.

Lumen Technologies (NYSE:LUMN) – Lumen Technologies plans to cut less than 7% of its staff to reduce expenses amid growth and cash challenges. The costs related to personnel cuts are expected to reach between $90 million to $100 million, with completion anticipated by the end of the second quarter. Analysts have expressed skepticism about the company’s ability to recover, despite improvements in business trends.