Oil companies are printing money
Plus: AMC announces strongest earnings in two years & Zoom’s pandemic dust is settling while Hilton’s climbing.
Hello there,
Oil prices rise on concerns of reduced supply from Russia, while automobile and industry stock prices decline.
Why it matters: Not just stocks with exposure to Russia are being affected but volatility is also picking up as countries are looking to isolate Russia from the global financial system. With oil prices breaking the $100 per-barrel benchmark and Russia being a large oil producer, energy-producing stocks are booming - Exxon Mobil (XOM) shares are up 0.9%, Chevron (CVX) also reached an all time high yesterday but this high energy price is hurting other sectors, like automobile and industrial stocks.
General Motors (GM) is down by 4.9% and Caterpillar (CAT) is down by 2.6%. (Barrons)
AMC announces strongest earnings in two years
AMC announced a revenue of $1.17 billion and a net loss of $134.4 million for the quarter.
Why it matters: After reporting fourth-quarter earnings, the movie theater chain stocks went up 2.4% yesterday. Following a tough January, AMC's (AMC) stock has thrived despite February’s market mayhem. The stock rose more than 15% last month, which is the best month since August 2021, which had 27%. The company has put in place initiatives to beef up growth like non-fungible token efforts, sale of branded popcorn in grocery stores and many more. Nevertheless, buckle up for some volatility in stock prices. (Barrons)
Zoom’s pandemic dust is settling while Hilton’s climbing.
Hilton has hit near-identical returns as Zoom since the pandemic began.
Why it matters: One company that has benefitted from the Covid-19, ushering in the stay-at-home era has to be Zoom (ZM), and another that has suffered with the pandemic, travel and leisure Hilton (HLT). I guess we can say it has come full circle as Hilton, the largest U.S. hotel and lodging chains, has bounced back with returns as Zoom when the pandemic hit. Hilton has recorded revenue of $1.84 billion, up from $890 million in a year, despite the coronavirus variants' impact. (Bloomberg)
That’s it from us today,
See you tomorrow.