{"id":66149,"date":"2023-02-02T08:57:54","date_gmt":"2023-02-02T13:57:54","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=66149"},"modified":"2023-02-02T09:04:34","modified_gmt":"2023-02-02T14:04:34","slug":"coffee-with-greta-meta-bets-big-on-its-future","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/02\/02\/coffee-with-greta-meta-bets-big-on-its-future\/","title":{"rendered":"Coffee With Greta: Meta Bets Big On Its Future"},"content":{"rendered":"<p><b>DJIA Futures: <\/b><span style=\"font-weight: 400;\">-27 (-0.1%)<\/span><b>\u00a0<\/b><\/p>\n<p><b>SPX Futures: <\/b><span style=\"font-weight: 400;\">+30 (+0.7%)<\/span><\/p>\n<p><b>NASDAQ Futures: <\/b><span style=\"font-weight: 400;\">+213 (+1.7%)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Good morning friends!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Futures are mixed with tech stocks rallying after a big stock buyback announcement from Meta.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Let\u2019s get right to it!<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Meta Surges<\/span><\/h2>\n<p><b>Meta Platforms <\/b><span style=\"font-weight: 400;\">(META) shares are surging 19.5% ahead of the open after beating Q4 revenue expectations.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here\u2019s how the social media giant\u2019s results compared to analysts\u2019 expectations:\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">EPS: $1.76 vs $2.26 expected<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Revenue: $32.17 billion vs $31.53 billion expected<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Daily Active Users (DAUs): 2 billion vs 1.99 billion expected<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Monthly Active Users (MAUs):\u00a0 2.96 billion vs 2.98 billion expected<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Average Revenue per User (ARPU): $10.86 vs $10.63 expected<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The market shook off the profit miss after the company also announced a $40 billion stock buyback.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That was a signal the company is feeling good about its future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Meta forecast Q1 revenue between $26 billion and $28.5 billion, in line with analysts\u2019 estimates of $27.1 billion.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CEO Mark Zuckerberg said, \u201cOur management theme for 2023 is the \u2018Year of Efficiency\u2019 and we\u2019re focused on becoming a stronger and more nimble organization.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The company expects its total expenses in 2023 to range between $89 billion and $95 billion, lower than the previous outlook of $94 billion to $100 billion.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Meta\u2019s bet on the metaverse continued to cost it money though.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The company\u2019s Reality Labs unit lost $4.28 billion in Q4 and $13.72 billion in all of 2022.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Meta said, \u201cReality Labs operating losses in 2023 will grow significantly year-over-year.\u201d<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">FedEx Laying Off Officers, Directors<\/span><\/h2>\n<p><b>FedEx <\/b><span style=\"font-weight: 400;\">(FDX) shares are up 3.1% in premarket trade after announcing it will lay off 10% of its officers and directors.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The corporate job cuts are part of efforts to cut costs as consumer demand falls.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The CEO said, \u201cthis was a necessary action to become a more efficient, agile organization.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The cuts come on top of FedEx\u2019s previously announced plan to slash $1 billion in costs by parking planes and shutting down some offices.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The company is aiming to cut about $3.7 billion total this fiscal year.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Tesla Expected To Increase Shanghai Output<\/span><\/h2>\n<p><b>Tesla <\/b><span style=\"font-weight: 400;\">(TSLA) shares are rising 2.6% ahead of the open following a <\/span><a href=\"https:\/\/www.reuters.com\/technology\/tesla-raise-shanghai-output-after-price-cuts-stoke-demand-memo-2023-02-01\/\"><span style=\"font-weight: 400;\">Reuters<\/span><\/a><span style=\"font-weight: 400;\"> report the automaker is planning to raise output at its Shanghai factory.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The EV maker has reportedly seen increased demand following price cuts it announced in early January.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A memo seen by Reuters said Tesla plans to produce a weekly average of nearly 20,000 units at the Shanghai location in February and March.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The move to increase production comes after the company cut output in December by about a third from November as it faced lower demand.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Weekly Jobless Claims Fall<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Weekly jobless claims fell unexpectedly at the end of January.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Labor Department reported 183,000 Americans filed initial claims for unemployment benefits last week.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That was down by 3,000 from the week before and lower than 195,000 expected.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It was the lowest level of claims since April 2022.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Continuing claims also fell by 10,000 to 1.66 million in the week ending January 21.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">ECB Hikes Rates By 50bp<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The European Central Bank voted in favor of another 50 basis point rate hike today.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In a statement, the bank vowed to \u201cstay the course in raising interest rates significantly at a steady pace.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The ECB said it plans to hike by another 50bp in March and then future decisions will be data-dependent.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Today\u2019s hike put the eurozone\u2019s key rate at 2.5%.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Although eurozone inflation fell for the third straight month in January, headline inflation remains at 8.5% as high energy prices squeeze consumers.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Key Earnings After The Close<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Here\u2019s a look at the companies set to report earnings after the close today:<\/span><b><\/b><\/p>\n<ul>\n<li aria-level=\"1\"><b>Apple <\/b><span style=\"font-weight: 400;\">(AAPL)<\/span><\/li>\n<li aria-level=\"1\"><b>Amazon <\/b><span style=\"font-weight: 400;\">(AMZN)<\/span><\/li>\n<li aria-level=\"1\"><b>Alphabet <\/b><span style=\"font-weight: 400;\">(GOOGL)<\/span><\/li>\n<li aria-level=\"1\"><b>Ford <\/b><span style=\"font-weight: 400;\">(F)<\/span><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400;\">In Case You Missed It<\/span><\/h2>\n<ul>\n<li aria-level=\"1\"><span style=\"font-weight: 400;\">The Fed hiked rates as expected by 25bp on Wednesday. The FOMC voted unanimously for that hike and said more hikes are still appropriate. But stocks rallied after the Fed chair struck a more dovish tone during his press conference. Jerome Powell told reporters, \u201cwe can now say for the first time that the disinflationary process has started.\u201d The market is betting on 2 rate cuts at the end of this year but Powell said, \u201cGiven our outlook, I don\u2019t see us cutting rates this year, if our outlook comes true.\u201d<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>DJIA Futures: -27 (-0.1%)\u00a0 SPX Futures: +30 (+0.7%) NASDAQ Futures: +213 (+1.7%) Good morning friends! Futures are mixed with tech stocks rallying after a big stock buyback announcement from Meta. Let\u2019s get right to it! Meta Surges Meta Platforms (META) shares are surging 19.5% ahead of the open after beating Q4 revenue expectations.\u00a0 Here\u2019s how the social media giant\u2019s results compared to analysts\u2019 expectations:\u00a0 EPS: $1.76 vs $2.26 expected Revenue: $32.17 billion vs $31.53 billion expected Daily Active Users (DAUs): 2 billion vs 1.99 billion expected Monthly Active Users (MAUs):\u00a0 2.96 billion vs 2.98 billion expected Average Revenue per User (ARPU): $10.86 vs $10.63 expected The market shook off the profit miss after the company also announced a $40 billion stock buyback.\u00a0 That was a signal the company is feeling good about its future. Meta forecast Q1 revenue between $26 billion and $28.5 billion, in line with analysts\u2019 estimates of $27.1 billion.\u00a0 CEO Mark Zuckerberg said, \u201cOur management theme for 2023 is the \u2018Year of Efficiency\u2019 and we\u2019re focused on becoming a stronger and more nimble organization.\u201d The company expects its total expenses in 2023 to range between $89 billion and $95 billion, lower than the previous outlook of $94 billion to $100 billion. Meta\u2019s bet on the metaverse continued to cost it money though.\u00a0 The company\u2019s Reality Labs unit lost $4.28 billion in Q4 and $13.72 billion in all of 2022.\u00a0 Meta said, \u201cReality Labs operating losses in 2023 will grow significantly year-over-year.\u201d FedEx Laying Off Officers, Directors FedEx (FDX) shares are up 3.1% in premarket trade after announcing it will lay off 10% of its officers and directors.\u00a0 The corporate job cuts are part of efforts to cut costs as consumer demand falls.\u00a0 The CEO said, \u201cthis was a necessary action to become a more efficient, agile organization.\u201d The cuts come on top of FedEx\u2019s previously announced plan to slash $1 billion in costs by parking planes and shutting down some offices. The company is aiming to cut about $3.7 billion total this fiscal year. Tesla Expected To Increase Shanghai Output Tesla (TSLA) shares are rising 2.6% ahead of the open following a Reuters report the automaker is planning to raise output at its Shanghai factory.\u00a0 The EV maker has reportedly seen increased demand following price cuts it announced in early January.\u00a0 A memo seen by Reuters said Tesla plans to produce a weekly average of nearly 20,000 units at the Shanghai location in February and March. The move to increase production comes after the company cut output in December by about a third from November as it faced lower demand. Weekly Jobless Claims Fall Weekly jobless claims fell unexpectedly at the end of January.\u00a0 The Labor Department reported 183,000 Americans filed initial claims for unemployment benefits last week.\u00a0 That was down by 3,000 from the week before and lower than 195,000 expected.\u00a0 It was the lowest level of claims since April 2022.\u00a0 Continuing claims also fell by 10,000 to 1.66 million in the week ending January 21. ECB Hikes Rates By 50bp The European Central Bank voted in favor of another 50 basis point rate hike today.\u00a0 In a statement, the bank vowed to \u201cstay the course in raising interest rates significantly at a steady pace.\u201d The ECB said it plans to hike by another 50bp in March and then future decisions will be data-dependent.\u00a0 Today\u2019s hike put the eurozone\u2019s key rate at 2.5%. Although eurozone inflation fell for the third straight month in January, headline inflation remains at 8.5% as high energy prices squeeze consumers. Key Earnings After The Close Here\u2019s a look at the companies set to report earnings after the close today: Apple (AAPL) Amazon (AMZN) Alphabet (GOOGL) Ford (F) In Case You Missed It The Fed hiked rates as expected by 25bp on Wednesday. The FOMC voted unanimously for that hike and said more hikes are still appropriate. But stocks rallied after the Fed chair struck a more dovish tone during his press conference. Jerome Powell told reporters, \u201cwe can now say for the first time that the disinflationary process has started.\u201d The market is betting on 2 rate cuts at the end of this year but Powell said, \u201cGiven our outlook, I don\u2019t see us cutting rates this year, if our outlook comes true.\u201d<\/p>\n","protected":false},"author":41,"featured_media":66152,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-66149","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coffee-with-greta"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=66149"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66149\/revisions"}],"predecessor-version":[{"id":66156,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66149\/revisions\/66156"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/66152"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=66149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=66149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=66149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}