Root Inc | | | Good Afternoon! | Hey, everyone. It's Adam from Elite Trade Club. Here’s what moved the market today. |
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| | | | Markets 📈 | New tariff threats set the stock market on edge today, resulting in losses all around for U.S. indexes. The Nasdaq Composite was hit the worst, dropping its total by close to three percent. | DJIA [-0.45%] S&P 500 [-1.59%] |
| Nasdaq [-2.78%] Russell 2K [-1.59%] |
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| | Market-Moving News 📈 | Ride Sharing | Tesla Shifts Gears Toward Ride-Hail Ambitions | | Tesla (NASDAQ: TSLA) took a big step toward ride-hailing by applying for a transportation charter-party carrier permit in California. The move, uncovered in documents reviewed by Bloomberg, positions the electric vehicle maker to operate its fleet for paying customers. The California Public Utilities Commission holds the key to Tesla’s next chapter. | The company files for the same permit type used by Alphabet’s Waymo, signaling its intent to enter the ride-hailing fray. Tesla’s talks with state officials mention driver’s license checks and drug-testing plans, pointing to human drivers steering the service at first. | Unlike Waymo, Tesla lacks a driverless deployment permit from California’s Department of Motor Vehicles, though it tests autonomous vehicles with safety drivers in the state. | Elon Musk’s outfit is pushing this initiative as its core car-selling business faces headwinds. The company recently recorded its first annual sales drop in over a decade, prompting a pivot toward new ventures. Tesla aims to roll out ride-hailing in California by year-end, building on Musk’s earlier pledge to launch in Austin this June. | For investors, Tesla’s bid marks a tangible shift, rooted in paperwork and strategy, as the company eyes a fresh revenue lane in a crowded market. |
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| | Financial Services | Capital One Escapes Consumer Watchdog’s $2 Billion Fight | | Capital One (NYSE: COF) emerges from a legal storm as the U.S. Consumer Financial Protection Bureau (CFPB) drops a hefty legal action against the bank. | The agency, which had targeted Capital One last month, accused it of shorting customers on savings account interest payments. That case, spotlighting billions in alleged losses, fizzles out under fresh pressure from the Trump administration. | The CFPB walks away from its claims just as Donald Trump moves to gut the agency, a shift underscored by his rapid staff cuts and office closures since taking office. Capital One faced scrutiny for handling interest payouts, but the dismissal lifts that cloud today. The bank offered no immediate comment on the news. | This isn’t the CFPB’s only retreat. The agency axed another lawsuit against a student loan servicer earlier today and scraped a case against an online lender last week. | For Capital One, though, the focus sharpens on this moment, and a major legal risk fades as the watchdog reels from Trump’s overhaul. Investors eyeing the bank see a cleaner slate now, with the government’s about-face reshaping the landscape. | Capital One is a key player in U.S. banking, and the dropped case, tied to consumer savings, gives the bank breathing room amid a stormy regulatory shift. |
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| | | | Restaurants | Papa Johns Beats Estimates, Eyes Growth in Competitive Pizza Market | | Papa John's (NASDAQ: PZZA) posted stronger-than-expected fourth-quarter results, citing steady international growth and strategic efforts to enhance its competitive position. The company reported higher revenue and profits than analysts expected, focusing on improving customer value and expanding market share. | Sales at comparable stores in North America experienced a downturn, yet they held steady within the anticipated projections. In contrast, international locations flourished, demonstrating growth that surpassed expectations and painted a picture of robust expansion. | CEO Todd Penegor passionately highlighted the company's unwavering dedication to refining its operations and embracing digital growth. | Papa Johns outlined initiatives to refine its menu offerings, optimize loyalty programs, and streamline its operations for better efficiency. The company also highlighted plans to enhance its digital experience to attract and retain customers in a competitive market. Papa John's is optimistic about its performance. It anticipates that comparable sales will either hold steady or experience modest increases. | Company executives have reiterated their commitment to a strategic approach prioritizing long-term profitability. They emphasized the importance of remaining adaptable to changing consumer preferences and market dynamics, ensuring that the brand can respond effectively to demand shifts while enhancing its operational efficiency and customer satisfaction. |
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| | Top Winners and Losers 🔥 | | Montrose Environmental Group Inc [MEG] $23.13 (+33.08%) | Montrose Environmental offered record results and strong 2025 guidance as part of its four-quarter report, pushing its stock price higher. | Root Inc [ROOT] $123.95 (+25.57%) | Root shares jumped today after the company announced strong earnings and profitability in its Q4 2024 financial report. | Aris Water Solutions Inc [ARIS] $30.98 (+20.73%) | Aris Water Solutions updated shareholders on strong earnings and a boost to its quarterly dividend as the biggest highlights of its latest earnings report. |
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| | | | Ibotta Inc [IBTA] $34.01 (-46.09%) | Ibotta fell sharply as a weak forecast for the coming year triggered a number of analyst downgrades. | Digimarc Corporation [DMRC] $15.39 (-43.08%) | Digimarc lost ground after its Q4 2024 financial report showed a drop in subscriptions, ending contracts, and uncertainty about its future. | Tandem Diabetes Care Inc [TNDM] $21.75 (-35.25%) | Tandem Diabetes Care didn’t leave investors with much hope in its fourth-quarter update, sending shares down. |
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| | Technology (Sponsored) | | | The Magnificent Seven—Apple, Microsoft, Alphabet, Amazon, Nvidia, Meta Platforms, and Tesla—have redefined market leadership. | But as their record-breaking growth slows, the focus shifts to the next generation of industry leaders. | Analysts have identified seven global companies with the potential to rise above the rest in 2025. | These stocks are poised to surge, fueled by growing market share, robust cash flows, and innovative strategies that set them apart from the competition. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) | Position yourself to capture the next wave of market-defining opportunities. | Click here to uncover the “7 Stocks That Will Be Magnificent in 2025” before the market catches on. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) |
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| | That's it for today! Please, write us back, and let us know what you think of the Closing Bell Roundup. We're always eager to hear feedback! | Thanks for reading. I'll see you at the next open! | Best Regards, — Adam G. Elite Trade Club |
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