Hundreds of investing and finance newsletters hit my (and maybe your) inbox every week. This is the best of the best.
This week, we bring you
- AI Trained on YouTube Without Consent
- Alphabet’s $23 Billion Cybersecurity Gambit
- DoorDash’s ‘Seamflation’
- Cinema’s Global Revenue Set to Hit $44B
- Europe’s Hydrogen Revolution
- Audible’s AR Magic Brings Stories to Life
- 3 Stocks To Consider
Thanks for reading.
Wyatt
A recent investigation revealed that major tech companies, including Apple, Anthropic, Nvidia, and Salesforce, used content from over 170,000 YouTube videos to train AI models without creators’ consent.
This dataset, called “YouTube Subtitles,” contains transcripts from over 48,000 channels, ranging from popular creators to educational institutions. The use of this data raises ethical and legal questions about AI training practices and content creators’ rights.
Table of Contents
Alphabet’s $23 Billion Cybersecurity Gambit
Alphabet is reportedly eyeing its biggest acquisition ever, with a potential $23 billion deal for cybersecurity startup Wiz.
This move comes just weeks after Alphabet walked away from talks with HubSpot, signaling the tech giant’s aggressive expansion strategy. If successful, the deal would value Wiz at nearly double its previous $12 billion valuation from just two months ago.
Is this Alphabet’s next YouTube-level success story?
DoorDash’s ‘Seamflation’
New York City’s new minimum wage law for delivery workers has led to a staggering 58% increase in food-delivery fees.
While delivery workers now earn $19.26 an hour, consumers are bearing the brunt of the cost, paying an average of $20.1 million weekly in delivery fees.
Despite the price hike, demand remains strong with 2.8 million deliveries completed in Q1, up 8% from the previous year.
Cinema’s Global Revenue Set to Hit $44B
Despite recent challenges, the cinema industry is staging a dramatic comeback. With a 30.4% rise in box office spending in 2023 and anticipated blockbusters on the horizon, global cinema revenue is projected to reach $44 billion by 2026.
While this falls short of pre-pandemic levels, it signals a resurgence in the industry, bolstered by innovative revenue streams and the enduring appeal of the big screen experience.
Is the cinema’s happy ending just beginning?
Europe’s Hydrogen Revolution
Plug Power is leading the charge in Europe’s hydrogen refueling station boom, having successfully deployed 13 stations across the continent in just 24 months.
This expansion is part of a broader push towards decarbonization, particularly for commercial vehicles that can’t easily transition to electric batteries. With 250 hydrogen refueling stations globally, Plug Power is positioning itself as a key player in the clean energy transition.
Audible’s AR Magic Brings Stories to Life
Audible has launched a groundbreaking global augmented reality (AR) campaign, transforming 12 screens across the US, Canada, and the UK into immersive storybook worlds.
Using GroupM’s WinDOOH technology, the campaign creates interactive experiences without requiring viewers to use mobile devices. This innovative approach, part of Audible’s first global marketing campaign, aims to demonstrate how audio storytelling can fuel imagination and transport listeners to new realities.
What I’m reading
I get a lot of mail asking where I find all this good stuff. Here are a few of my favorite newsletters, all of which are free to subscribe to:
One-stop shop for the day’s biggest stories in the business of sports, music, and entertainment, sent daily.
Early Bird Stock Market News
Daily overview of the stories driving today’s market, every morning at 7AM.
Weekly newsletter covering strategy, startups, marketing, decision-making, and the mindset of founders.
Stock ideas
Here are three of my favorites from this past week.
Analysis provided by public.com.
Remember to always DYOR.
CNH Industrial NV($CNH)
Bull Case:
- Undervalued Market Position: CNH trades at ~7x depressed earnings despite being the second-largest agricultural equipment manufacturer globally.
- Operational Improvements: Recent initiatives are expected to reduce costs by $710 Million.
- Aggressive Share Repurchases: The company has repurchased almost $1 Billion worth of stock in the last two quarters.
Bear Case:
- Cyclical Industry Risks: The agricultural equipment market is cyclical, and fears of a continued slowdown could impact CNH’s performance.
- Ownership Reshuffling Concerns: The recent Milan delisting led to forced selling by European passive funds, creating short-term price pressure.
Day One Biopharmaceuticals ($DAWN)
Bull Case:
- Promising Drug Approval: Ojemda received accelerated approval for relapsed/refractory BRAF-altered pediatric low-grade glioma.
- Significant Market Potential: With an estimated 700 patients per year at $400k per patient, peak sales could reach $600 Million.
- Strong Pipeline: The company has a clear catalyst pathway, including Ojemda’s launch, pivotal frontline study results, and a combo study readout.
Bear Case:
- Competitive Landscape: The company faces competition from established MEK inhibitors and potential new entrants in the BRAF-altered cancer treatment space.
- Launch Execution Risks: A slow launch, the need for molecular diagnostic profiling, and potential safety signals could impact the drug’s adoption.
KKR ($KKR)
Bull Case:
- Berkshire-like Evolution: KKR is transforming into the ‘Berkshire of alternatives’, simplifying financial reporting and shifting towards quality compounders.
- Diversified Investment Platform: KKR has expanded beyond private equity into credit, real estate, and infrastructure.
- Long-term Ownership Focus: KKR’s strategy of investing in businesses with competitive advantages and high switching costs, positions it for sustained growth.
Bear Case:
- Valuation Gap: With a market cap of $98.27 Billion compared to Berkshire’s $890 Billion, KKR may face challenges in closing this valuation gap.
- Market Perception: As KKR transitions from a pure-play private equity firm to a diversified investment platform, it may struggle to communicate its evolving value proposition to investors.
That’s it for this week.
If you write amazing content and want to be featured, please send it through for consideration.
Cheers,
Wyatt
Disclosures
- There are affiliate links above; we’ll get a couple of bucks if you take action after you click.
- Nothing above is financial advice. DYOR, you filthy animal.
