Globe stars and dogs of the week

Altria Group (DOG)


Talk about the money going up in smoke. Less than four years after tobacco giant Altria Group paid nearly US$13 billion for a 35% stake in Juul Labs Inc., the US Food and Drug Administration this week ordered the controversial maker to electronic cigarettes to withdraw all of its vaping. devices and cartridges on the market. Even before the FDA decision sent Altria shares plummeting, the cigarette maker had written down the value of its stake in Juul to US$1.6 billion amid growing concerns over the rapidly rising market. vaping and nicotine addiction in adolescents and young adults. Kids, this is why you should never start smoking tobacco – or investing in tobacco.

Voyager Digital (DOG)


Hedge funds. Crypto. Huge loans. What could go wrong? Shares of Voyager Digital plunged more than 50% on Wednesday after the crypto trading platform said it “may issue a notice of default” to Three Arrows Capital for a roughly $660 million crypto loan it would take. the troubled hedge fund didn’t repay (probably just some kind of misunderstanding). With its business already reeling from the crash in bitcoin and other cryptocurrency prices, Voyager said it secured cash and crypto lines of credit from Alameda Ventures Ltd. to “meet the liquidity needs of customers during this dynamic period”. Yes, very “dynamic” times indeed.

Revlon (STAR)


Have you heard the expressions “put lipstick on a pig” and “if pigs could fly”? Well, meet the new “flying lipstick pig”: cosmetics giant Revlon. Burdened by long-term debt of US$3.3 billion and facing supply chain disruptions and rising costs, the company filed for Chapter 11 bankruptcy on 16 June in order to reorganize its capital structure. But instead of falling, the stock has been climbing ever since, propelled by speculators trying to make a quick buck by driving up the stock price. “Oink, oink, you look beautiful, darling!”

Weber (STAR)


Business Quiz! Shares of outdoor grill maker Weber rose after: a) Ford unveiled the new “F-150 Barbecue Edition” pickup, with a built-in Weber grill for tailgate parties; b) McDonald’s announced that it would replace all of its human burgers with “next-generation Weber grills that use artificial intelligence and machine learning to cook burgers to perfection every time”; c) Traders on Reddit’s WallStreetBets forum touted Weber’s heavily shorted stock, triggering a short squeeze that sent the price higher as bearish investors bought stocks to cover their positions. Answer: c.

Carnival (STAR)


They say a rising tide lifts all boats – and that was certainly the case for cruise ship stocks this week. Shares of Carnival, Royal Caribbean Cruises and Norwegian Cruise Line Holdings all jumped after Carnival, the world’s largest cruise operator, said booking volumes in the quarter ended May 31 nearly doubled from the previous quarter and were the highest since the start of the pandemic. With more than 90% of Carnival’s fleet now in service and the company generating positive cash flow from operations during the quarter, investors are enjoying a good trip.

A humorous look back at the companies that caught our attention, for better or for worse, this week

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