Streetbeat News

Labor Issues

AKTX

Akari Therapeutics announced the implementation of a workforce reduction of approximately 67% starting May 1, as disclosed in their 8-K filing.

Portfolio Pulse from Charles Gross

May 07, 2024 | 9:08 pm

AZPN

EMR

Aspen Technology, Inc. (NASDAQ:AZPN) announced the appointment of David Baker as Senior Vice President, Chief Financial Officer, effective June 3, 2024. Baker, with over 27 years at Emerson Electric Co. (NYSE:EMR), brings extensive financial leadership experience. His role at Emerson involved leading financial planning and analysis and spearheading a cost reset plan for the Automation Solutions business, which achieved record orders, sales, and EBITA in 2022. AspenTech's CEO, Antonio Pietri, highlighted Baker's strategic and leadership skills as crucial for driving corporate strategy and shareholder value. Baker's appointment aligns with AspenTech's focus on digital solutions and innovation for asset-intensive companies during the energy transition.

Portfolio Pulse from Benzinga Newsdesk

May 07, 2024 | 9:08 pm

IRBT

iRobot Corp. (NASDAQ:IRBT) has appointed Gary Cohen as its new CEO, effective immediately. Cohen brings over 25 years of executive leadership and experience in turning around companies. He aims to lead iRobot towards profitability following its recent operational restructuring. Cohen's background includes significant roles at Gillette, Timex, Energizer, and Qualitor Automotive, where he has successfully driven growth and operational efficiencies. His appointment is part of iRobot's strategy to re-orient its business towards innovation, product and commercial strategies, and operational excellence.

Portfolio Pulse from Benzinga Newsdesk

May 07, 2024 | 8:51 pm

TSLA

Tesla Inc (NASDAQ:TSLA) plans a temporary shutdown of its Giga Berlin factory due to upcoming protests against its expansion. The closure, initially reported as four days, is clarified to be effectively one day, considering a public holiday and existing work schedules. The protests aim to highlight environmental concerns over Tesla's expansion. Despite the brief pause, Tesla influencers believe it will not impact vehicle deliveries in Europe.

Portfolio Pulse from Chris Katje

May 07, 2024 | 7:20 pm

FVRR

UPWK

Goldman Sachs reports that the recent surge in U.S. immigration has helped stabilize wages and inflation, avoiding an overheated economy. This rebound in immigration levels, surpassing pre-Covid-19 trends by 1.8 million, has filled labor gaps, especially in low-wage sectors like leisure and hospitality, mitigating extreme wage and price pressures. The report highlights that immigration impacts wage growth and inflation modestly, with potential future declines in immigration not posing significant risks to economic forecasts. Shares of Fiverr International Inc. (FVRR) and Upwork Inc. (UPWK) rallied during the pandemic due to labor market tightness.

Portfolio Pulse from Piero Cingari

May 07, 2024 | 5:47 pm

MSFT

Microsoft Corp. (NASDAQ:MSFT) is closing several Bethesda studios, including Arkane Austin, Tango Gameworks, and Alpha Dog Studios, as part of a restructuring effort. This move will likely lead to the cancellation of updates for various games and result in job losses. The closures are part of a strategy to focus on high-impact projects within Bethesda's portfolio. The gaming industry is currently experiencing a wave of layoffs, with over 10,000 workers affected last year. Despite these cuts, Microsoft remains committed to its gaming endeavors, with several upcoming releases.

Portfolio Pulse from Franca Quarneti

May 07, 2024 | 5:31 pm

RCL

Royal Caribbean Group is engaging in discussions with new and existing markets globally to recruit thousands of workers for its ships and private destinations, responding to record cruise demand, according to Reuters.

Portfolio Pulse from Benzinga Newsdesk

May 07, 2024 | 5:28 pm

KVUE

Kenvue Inc (NYSE:KVUE), a consumer health company, reported Q1 sales of $3.89 billion, surpassing expectations of $3.79 billion. Sales grew by 1.1%, with organic growth at 1.9%. The company saw increases in Self Care and Essential Health segments but faced a decline in Skin Health and Beauty. Adjusted EPS was $0.28, beating the consensus of $0.26. Kenvue plans to cut its workforce by 4% aiming for $350 million in cost savings by 2026, expecting to incur $275 million in restructuring costs over the next two years. The company anticipates 1.0%-3.0% net sales growth and an adjusted EPS of $1.10-$1.20 for FY 2024. KVUE shares rose 4.95% to $20.03.

Portfolio Pulse from Vandana Singh

May 07, 2024 | 4:52 pm

BKIV

IWFH

PTON

Peloton Interactive Inc. (NASDAQ:PTON) shares surged following reports of potential buyout interest from private equity firms. Amid 13 consecutive quarters of losses and a recent disappointing quarterly report, Peloton has been exploring a sale and operational cost reductions. The company announced a CEO transition, a 15% workforce reduction, and a cut in its full-year revenue outlook. Despite a profitable subscription service, high production costs and declining demand for its products have impacted its financials. Peloton's market cap has significantly decreased, making it an attractive acquisition target. Peloton stock is up 12.8%, and exposure to Peloton can also be gained through BNY Mellon Innovators ETF (NASDAQ:BKIV) and iShares Virtual Work And Life Multisector ETF (NYSE:IWFH).

Portfolio Pulse from Anusuya Lahiri

May 07, 2024 | 4:43 pm

SPY

Minneapolis Fed President Neel Kashkari commented that the recent jobs report was softer than anticipated, though not categorically soft. Additionally, he expressed concern over the observation that new lease rates have slightly increased.

Portfolio Pulse from Benzinga Newsdesk

May 07, 2024 | 3:36 pm