The Best One Yet - “How to lose a $2.9B guy in 90 days” — Uber acts like McConaughey. Tinder’s corona-conomy DTR. The worst jobs report ever.

Episode Date: May 11, 2020

Uber stock rose 18% last week despite an earnings report soaked in blood. Match’s earnings reveal how Tinder has fallen behind, but it’s trying to make it up to everyone with video chat and trivia. And the worst monthly jobs report ever has us comparing what’s happening in the actual economy with what’s happening on Wall Street (spoiler: totally different).Learn more about your ad choices. Visit podcastchoices.com/adchoices Hosted on Acast. See acast.com/privacy for more information.

This is Nick. This is Jack. And this is Snacks Daily. Welcome back. It is Monday, May 11th. Dude, did you hear the news? We're getting Adele? No, no. Stocks rose 3.3% last week. On some horrible economic data. Yeah, it was a really brutal situation. It was terrible. But this is the best one yet. Jack, can you tell us the first story for the T-boy? Call up Kate Hudson and McConaughey. The couple that snacks together stays together. Uber's starring in a new film that we're calling How to Lose $2.9 billion in 90 days. Did we mention it starring Uber?

Second Story Check. Crosby Stills and Nash, I believe. No Young. Once famously said, Love the One You're With. Never truer in the quarantine era. And by the way, that's kind of a problem for Tinder. Tinder's owner Match Group just announced earnings that surprised us.

No video? And impressed us. Team trivia? For our third and final story, we're doing the worst monthly jobs report ever. Actually, just in the past 90 years. Basically, it was 90 years. Sometimes you got to round up a little bit to ever.

We're looking at main streets reality in America compared to Wall Street. Spoiler, they're 100% different. But before we jump into all that, yesterday was Mother's Day. Mom, Mom, Mommy, Mommy, Mom. Your mom, you know, casually gave you life. This should be a 48-hour holiday. Jack and I have discussed that many times. Even though it's the day after Mother's Day,

we are going to ask you to treat your mama to a T-boy brunch. Mix things up a bit. Serve her some daffodils Benedict, maybe with a bouquet of post. Thanks. Kelly Johnson, a great snacker. Hit us up on Twitter. She's from Chicago. She whipped up a snack fact, but we promoted it to an intro story for today's pot.

Does not happen often, but when it does, it's a special tea boy. Kelly points out that more phone calls are made on Mother's Day than any other day of the year in the United States. Get this snackers. 122 million calls are made on the second Sunday in May. There aren't even that many moms in the United States. Number two, by the way. is New Year's Day, which gets $112 million, like 8% fewer, and number three is Valentine's Day coming in at 109 million phone calls.

Add this all up, and Mother's Day basically powers the economy in the month of May. Except for white pants, which are huge this time of the year in the east coast of the United States. You're supposed to wait for Memorial Day, but these days were rounded down on that. Now, if you forgot yesterday, which like happened to me once or twice in my 32 years as a son, you can still get belated Flowers Benedict. That's nice too for Mom. And if you did celebrate Mother's Day yesterday, do it again. Again, because once again, she gave you life. Imagine a mom getting flowers on Sunday for Mother's Day, and then flowers on Monday

for Mother's Day plus want. Be that snacker, and we'll hit our three stories. You're tuned in the snacks daily. We spoke to the lawyers. It's snacks about the hair ain't food. It's air candy. They don't reflect the views of the robberhood family. It's all informational just so.

We're not recommending any securities. It's not a research report or investment advice. Not an offer or sale of a security. Right. Snacks is digestible, business news for you. Robberhood Financial, LLC, member FINRA slash SIPC. For our first story, Uber lost nearly $3 billion in just the last three months. And yet, the stock still jumped 6% on Friday.

Snackers, this is the biggest loss for Uber. Since last year when I lost $5 billion. Yeah, I lost $5 billion last year. Also, they mentioned the word adjusted in their earnings report, 99 times. That's like 99 huge financial grains of salt. We're talking the sea salt kind, the one that comes from like province and southern France, like the kind you save for special salmon. Uber is infamous for using the word adjusted to make a bad metric look good. Yes, we control finding that to see 99. We jump in snacks out of everything we do. Now, you're curious snackers probably,

how do you lose $2.9 billion in 90 days? First, treat yourself to some fancy foreign blame. McConaughey would do it and we know he's listening. Uber invested in D-D-D-D-D, the Uber of China, and it invested in Grav, the Uber of Southeast Asia. And that means that Uber owns stock in other companies just like you and me. And guess what? Stock markets have fallen, even for the private companies that Uber has invested in. So basically, Uber whipped out its trading app, checked it and was like, damn, we're down $1.9 billion. Yeah, you're bummed that you're down $114 billion on whatever stock.

They're down $1.9 billion on their stocks. Again, with a B, which leads us to the second. In the second way you could lose billions of dollars. Uber continues to splurge on friends so that they'll finally like you. When Jack and I were diving in Snacksdow, we noticed the earnings report showed its marketing spend only slipped 14% last quarter. They continue to relentlessly send you push notifications that are like $3 off rides, even though you're not moving and don't need a ride. And then they know maybe you're not riding, but you do need to eat food. And then they like splurge Jack and I with like $10 off your first order Uber eats the other day.

They send you an email with the subject line, don't ignore us. We're not. talking about rides. We're talking about food. It's not creepy. It's cool. No, it's kind of creepy. And the third reason, Uber is losing $2.9 billion in 90 days. This is the last one that Uber actually has no control of whatsoever. Yeah, you're not allowed out of your house and Uber rides dropped 80% in the month of April. Now, we've talked about the power of diversification among companies. Yes. While Uber rides has fallen 80%, Uber Eats is up 89% as people order delivery food. Let that sink in, left arm down, right arm up. kind of bounces out a little bit. So Uber's overall revenue still managed to rise last

corner thanks to Uber Eats. And thanks to two normal months of business in January and February. So Jack, what's the takeaway for our buddies over at Uber? Investors still have one and only one question for Uber. When is profit coming? It's like when are Ross and Rachel going to get married? When are profits coming to Uber? Now, just a few months ago, CEO Dara said the P-word of profit would happen in the fourth quarter of this year 2020. You'd think, though, that Dara Coast Oshahi, the CEO of Uber, that's no longer valid, right, because of the global pandemic. However, after the earnings report, he stated on Thursday that quote-unquote reaching profitability as soon as possible remains a strategic priority for us. He admitted that COVID-19 is going to delay

that profit milestone, but by quarters, not by years. And crucially, Dara pointed out that riots have actually increased in just the past three weeks. And that's why investors shot the stock up 6% even though it lost $2.9 billion in 90 days. But sadly, Jack and I want to point out, that means Uber has laid off 14% of its workforce in the last week just to nail those profits. COVID-19 has been devastating for workers. And by profits, we mean adjusted profits. For our second story, matches earnings show that Tinder needs to DTRU. The old DTRU define the relationship with your users. Tinder could also use a little DTRA. ESD. You down to socially distance?

It should got to be a feature on this right now. Can you just click that off? This is unprecedented for match. For the first time, it had fewer users one month than it had the month before. We're talking March compared to February. And that's because your old first date fear used to be like food in your teeth or your hair catching fire on a votive. I assumed votive was a typo, but it's actually a fancy word Nick uses for candle. You got to turn your home into a sanctuary jack. I've told you a hundred times. So the old first state feels were pretty tame compared to the new one, which is getting COVID. And that's why Tinder only added 100,000 singles this past quarter. And you know, all those singles were added in January and

February. There weren't joining Tinder in March. During the same period last year, Tinder had four times as many new Tinderers. Also bad news for Tinder, it had way fewer of those fancy gold subscriptions, which I believe gives you a filter on your pictures that makes your jaw look more robust. 10 bucks a month and boom, you can like cut sharp edges around that chin. That was all kind of predictable, to be honest. But our biggest shocker in this earnings report for Match Group, which owns Tinder, the lack of innovation coming from the Tinder app. Yeah, the team at Match decided to announce that they're launching in-app videos for video dating this summer. That doesn't start officially until June 21st. No, and rival Bumble has had that technology for like a year. In-app dating is so

crucial because you can't physically see somebody. So you might want to video chat with them in Tinder because you're not comfortable giving them your phone number yet to do FaceTime. But what Jack and I found intriguing was a critical new feature that Tinder is testing. In-app trivia night. Nick, I got a trivia question that goes deep to my heart. Please. What is the only word in the English language that ends with the letters M and then T? Jack, everyone knows it's Mountain, the short version of the word. It's not the abbreviation for Mountain. It's actually dreamt, and that was a trivia question. Alex and I got right.

That's right. Trivia Night can lead to marriages. I think I just found an adjusted answer to that trivia question. So Tinder's testing out this feature called trivia, which is basically like walking into a bar without anybody's and just joining Trivia Night, except on your app. Yeah, you got Kelly and Julian and Marissa and Abdul. They're all together in this trivia thing,

but it's not about matching with someone directly. It's about just starting conversations with anyone. You're not picking future maybe Mr. Him, Future Maybe Mr. Her. No, you're picking like anybody. This is all about the group. So, Jack, what's the takeaway for our buddies over at Match? In the Corona Economy, you're either a social network or you're straight up anti-social. Snacker Zoom is hosting all your ex-camp friends for a group catch-up.

That's a social network. Slack is where your office happy hour happens. That's a social network. Facebook, Twitter, TikTok, they're all getting record engagement. Tinder recognize that to survive as a dating app in the socially distant world, it must pretty much become a social network. And the fact that it's testing in-app group trivia signals that. The Snacks Challenge. How far can you run, bike, jog, or walk during one episode of Snacks daily? We're a little more than halfway through the pot. If you're running a Snacks Challenge,

time to turn around. For our third and final story, the unemployment rate in the United States just jumped from 4.3% to 14.7%. And Wall Street, honestly, seems not to care one bit. Packers, we're talking about the one time a month employment situation report that comes out from the federal government. Nick texted me Friday morning. He's like, what's the employment situation? That's literally the name of this report, the employment situation. Honestly, it sounds like a Tom Cruise movie. The first Friday of each month, 8.30 a.m. Easter time. We wake up. Tons of information in this report for how is the economy doing last month. How many people are employed? Jack's making tea. I'm having sparkling water. We jump into this thing and we jumped in snacks style. The key, though, is the answer to one question. That's what we're focused on. Yes. Are you unemployed?

The government goes through in surveys loads and loads of Americans. How many people responded, yes, I am unemployed. Full disclosure, we clearly don't know the exact number on that one. Turns out that number, though, very sadly, jumped to 14.7%. 14.7%. That is the unemployment rate right now. And that's almost definitely an undercounting. Exactly. Because unemployed requires you to be looking. actively for work. So if you're not actively searching for work, you don't show up in this 14%. And you can't be job searching when no one's open for business and hiring. We know from a separate report, the weekly jobless claims, that 33 million Americans have filed for unemployment since the coronavirus began. So the unemployment rate is probably more like 20% actually. And of course,

we want to sprinkle a little context on that 14.7% unemployment rate number. Now, we all remember Lehman Brothers. Nick and I were sophomores in college. Remember it well. The recession that occurred after Lehman, the worst the unemployment rate got back then was 10% in 2009. And for a little more bite of context, just last year in April 2019, the unemployment rate was only 3.6%. Now we're at 14.7% unemployed is the highest unemployment rate since the Great Depression when 25% were unemployed. Snackers, let this settle in. This is Great Depression level-ish unemployment rate stuff. 14.7% unemployment rate, the worst in my lifetime. Okay, so that's the freaky stuff about what's going on in the economy.

But then let's take the one train and go downtown to Wall Street, Jack. Despite the incredible gloom of the economy of the United States, stocks are up, up, up, up, up. The NASDAQ, the heavy-hitting tech index, is positive for the year in 2020, up 30% since March. The NASDAQ is up in 2020. I can't believe it. The S&P 500, the 500 most valuable companies in the United States, has rallied 30%. percent since its bottom in late March. And the Dow, which every news company is like, the Dow's up 16 points, even though no one knows what it means. It's made up of the 30 American classic big companies,

and it's only down 17 percent from the record high it achieved in February before coronavirus before coronavirus hit the United States. For reference, we've seen stocks fall for a lot worse for less costlier disasters in the past. I think stocks dropped 17 percent just because of the trade war a couple years ago. And we're still in the trade war. So Jack, what's the takeaway for our buddies who are the Wall Street and the Main Street? Now, the stock market tends to recover faster than the economy, but still. Stock prices are a leading indicator snackers. They tend to improve before the economy and business profits do. So you could argue stocks are supposed to be this high because tech companies are resilient in the coronavirus. More people are using the internet than ever,

and most of the big American companies in the S&P 500 are tech companies. And Congress and the have injected, you know, a casual trillions of dollars to fill the hole from the shutdown. But still. Heavy emphasis on this but still. Adjusted but still. The trade war has never been worse as the Trump administration blames China for this virus. And markets are bullish on remdesivir, even though health experts aren't. Soon we'll know if market optimists who have boosted stocks 30% in the past month are wrong or if they're right, depending on where stocks go. We'll be covering all that on snacks. We got your back. Jack, can you whip up the takeaways for us, please, already to start the week?

How to lose $2.9 billion 90 days starring Uber. McCona! Talk about low expectations. Uber stock rose 18% last week because people thought this would be even more billions. For a second story, match groups dating apps aren't getting any love in the corona economy. When meeting in person isn't possible, make your app a social media app. Third and final story, the U.S. economy is badly wounded. But Wall Street's like barely got a scratch.

they don't even need a band-aid for snacker. Stocks recover faster than the economy can. But still, I mean, come on. Seriously. Adjust it. Now, time for our snack fact of the day. This one's sent in from Trevor Kowalski in Red Hook, New York. Red Hook's uptown, right? Not uptown, not Brooklyn. Upstate. Upstate, New York. By the way, Trevor, a COVID-19 researcher, keep crushing it, Trevor. The circular GE logo, General Electric, which we see on GE products like refrigerators, microwave, stove tops. Can't escape it. You see it in a lot of places, but internally at General Electric, they call that logo the meatball. Yes, Trevor, thank you for the inside knowledge. My grandfather worked at G and Schenectady. Never shared this with us. Fun facts, Schenectady to New York zip code? One, two, three, four, five. Not too shabby.

Hey, match, drop that in your trivia feature now. Also, happy birthday to Trent Lichten, Walter, from Aspen. By the way, Trent, copyright that name. It sounds like the next great craft beer. Aspen, California. Beautiful. That's from Michael Holland, your good buddy. By the way, Trent's been a snacker for over two years now. Let's double that. Let's make it three and four. They're from Colorado.

Not sure if you call it Colorado. Snackers, have a fantastic week. We couldn't have started out better than with you. Ask your buddies this week, H-Y-H-Y-S-D. Have you had your snacks daily? If you know, you know. The Robin Hood Snacks podcast you just heard reflects the opinions of only the hosts who are associated persons of Robin Hood Financial LLC

and does not reflect the views of Robin Hood Markets, Inc., or any of its subsidiaries or affiliates. The podcast is for informational purposes only and is not intended to serve as a recommendation to buy or sell any security and is not an offer or sale of a security. The podcast is also not a research report and is not intended to serve

as the basis of any investment decision. Robin Hood Financial LLC, member FINRA, SIPC.