The Best One Yet - “Ice cream & 🐸” — GameStop’s 200% re-pop. Airbnb’s first earnings. The economy of missing things.

Episode Date: February 26, 2021

An ice cream tweet, a frog emoji, and a CFO.... We’re jumping in SnacksStyle to why GameStop’s stock just tripled in 24 hours. Airbnb whipped up its first ever public earnings report. And a new Executive Order is targeting the Economy of Missing Things (spoiler: We’re in a Cold Trade War).$GME $ABNBGot a SnackFact? Tweet it @RobinhoodSnacks @JackKramer @NickOfNewYorkWant a shoutout on the pod? Fill out this form:https://forms.gle/KhUAo31xmkSdeynD9Learn 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. It is Friday, February 26. Tech stocks took another dive yesterday on inflation and interest rate concerns. All right. So Jack and I cover that on Wednesday's pod if you want to learn more about that kind of a story. At the time, Wednesday's pod was our best pod yet.

It was our best one yet. But Jack, technically, what does that make today's? Today is our best pod yet, guarantee. Yeah, actually, today's is better. Today's the best one yet. Jack, first story, what do we got? GameStop repopped over 200%. Wednesday afternoon and Wednesday evening.

All right, this is wild. It involved an ice cream tweet, a frog emoji, and a CFO. For our second story, Airbnb just announced its maiden quarterly earnings report as a publicly traded stock. Jack, so many adjustates. There were a lot of adjustates in this. Asterisk, asterisk. For our third and final story, the economy of missing things. We just got an executive order from President Biden that wants to destroy the economy of missing things.

Tesla's missing a computer ship. It's in the economy. economy of missing things. But Snackers, before we hit those three fantastic stories, wonderful Mix Jack. Happy 30th anniversary to The Silence of the Lambs. And FBI agent battling an SAT 1600 cannibal. Who happens to love wine? Who wouldn't? It's a timeless storyline, Nick. Yeah, it is. It's also the classic movie that is now becoming a schmovie. Right, a schmovie. When you take a really long movie and split it up into a 10-episode show for your binging pleasure. If you're a streamer, that's what you do when you're

run out of creativity. Now, CBS is turning Silence of the Lambs into its very own shmovie. You probably saw like six commercials for it during the Super Bowl because that was on CBS. And that's what we're talking about. Now, Hollywood already did like three sequels about Hannibal Lecter. Now they're making it even. This show, this shmovie, correction, is called Clarice because one schmovie for Clarice is about the same as three sequels for Hannibal Lector. Early highlight of this pot is the self-correction jack. I'm impressed that you put it out their full disclosure. Now, Silence of the Lambs also happens to hold a record that Jack and I think makes a nice little bit of trivia. The Silence of the Lambs is just one of three movies ever to win the

grand slam of Academy Awards. Okay, Jack, I got this for you. Best picture, best actor in a leading role, best actress in a leading role, best director. Now, the other two, besides Silence of the Lambs, not Titanic. Sorry, Jack and Rose. Also, not Lord of the Rings, one, two, or three. Sorry, Sam and Frodo. The other two. movies to hit the grand slam of Academy Awards. We'll tell you after the bottle. Are we going to hit a three stories now? Yeah, Snackers are going to love or they're going to hate this story.

Let's hit our three story. You're tuned in the snacks daily. We spoke to the lawyers and we got to get something legal out the way. The 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 Rapperhood Financial LLC LLC Member Fenra

Slash SIPC For our first story There was an HR move A tweet A frog emoji And then GameStop stock repopped It's cultural investing

And it's happening Outside of stock markets too Okay We gotta sprinkle A little context on this In late January GameStop stock Did what GameStop stock does

GameStop Sword thousand percent in less than one month to $483. Yep, as short-selling hedge funds got beat at their own game. And then GameStop stock dropped back down to around $50, but the Richter scale just started buzzing again. Yes, Wednesday. After we finished recording Thursday morning's podcast, GameStop jumped over 100% in just the last hour of trading. It happened so fast. The stock exchanges, they actually hit to halt trading of GameStop stock. twice. And then after tripling to $170 a share, GameStop stock settled down yesterday, finishing at $108. Okay, so Jack, now we have to settle down for a second. It's a lot.

To be clear, Snackers, we don't know the cause of this latest GameStop momentum in the last 72 hours. But two things happened with GameStop in the past week that we're going to tell you about. Okay, so this is wild. First, the CFO. On Tuesday, the CFO announced he was resigning, or some speculate he may have been pushed out of the company. Yeah, and that move supports, you know, the bullish view of GameStop stock. Right, an older brick and mortars retail guy is out so you can get fresh e-commerce blood to come in. Okay, so that was the CFO. But then the second thing happened, the emoji.

The founder of Chewy.com has a big investment in GameStop, and he even joined the board of directors of the company. Yeah, this guy's focused on e-commerce. He seems dedicated to turning GameStop around. And on Wednesday, he tweeted a picture of a McDonald's vanilla ice cream cone with a caption that was just the frog emoji. That's it. And those are the only two things we could find to help explain why GameStop stock pop.

Yeah, that's also it. You got an HR shakeup. You got a mysterious tweet triggering viral stock buying of GameStop stock. It wasn't just GameStop. No. AMC theaters, Blackberry, and the whole gang, they popped on Wednesday afternoon, too. So Jack, what's the takeaway for our buddies over at GameStop? Investing was driven by profits only. Now, it's driven by culture too. For many, GameStop is an expression of straight up anti-Wall Street

sentiment. Now, some do buy GameStop stock because they believe in the core business. But for many, GameStop stock is an investment in online camaraderie. That's culture. And culture investing has spilled beyond stock markets. And Jack and I are seeing cultural investing create entirely new types of investable things. This is wild. In sports, someone just bought the digital video highlight of LeBron James posterizing some guy as he dunked. It was for $208,000.

It was an investment in a virtual trading card. In crypto, you can own a digital token because you love that Shiba Inu mascot. It's an investment in a feeling, the feeling of an adorable doge meme. In art, they have embraced non-fungible tokens, NFTs. which is blockchain-enabled ownership of a digital image. It's an investment in an image, an image file that's uniquely yours. And in general, you can invest in whatever Elon tweets about if you want. Yeah, you're investing in fandom.

We don't know whether culture investing is just a fad, if it's a trend, or if it's a forever thing. Investing used to be driven by profits only. Right now, it's driven by culture too. So far, though, culture investing has been based on momentum, and momentum can stop or even reverse quickly. For our second story, Airbnb just announced its first earnings as a publicly traded company. Congrats.

Expectations were incredibly high. Really high. They were like, they were pretty high. And then it dropped a doozy of a loss. Jack, we have not seen a company dropped this many adjusted, adjusted, adjusted profits since Uber 2019? Since Uber, like last quarter. If you don't count the succulents we bought for the whole office, it just don't count the succulents. Don't include them. It doesn't count.

Snackers. Uber's infamous for adjusted profits, but Airbnb technically had a $3.9 billion loss last quarter. It's first quarter as a publicly traded company. Let that sink. And it lost about as much money as worth a quarter of a lift, $3.9 billion. But that is mostly because Airbnb gave away a bunch of stock to their employees who've been hanging around the company for a while. And that stock cost money. These were one-off, one-time costs that were related to their IPO, which was just a few months ago. It's like the closing cost when you buy a house. It's really expensive. Yep, but you just pay it once and never again. Okay, okay. So like, we're like, all right, we'll give you a break, Airbnb.

Let's forget about the IPO driven loss in your first ever earnings, but Jack, the report was still bad. It was still kind of bad. Revenues get the Snackers. Revenues fell 22% to $859 million for the travel experience company. Now, we know we're in the middle of a pandemic, but what about all the picks we're seeing of our buddies going back to the land and like cooking dinner over a fireplace every night. Basically, Timmy. That's what we're seeing Timmy now. Now, Airbnb literally said in their earnings, we were kind of surprised by this, that their sales were only, quote unquote, only down 22%. Yeah. 22% is a big fraction. It is a big fraction. And yet, Jack and I found one single bright spot for Airbnb. Let us say only for you. You shouldn't say only yourself.

Jack, perfectly put. So what's the takeaway for our buddies? down the street over at Airbnb. Airbnb thinks it's in its PMP. It's post-marketing prime. Snackers, at some point in your 20s, you realize you're done sneaking into events without a wristband. It's embarrassing, Nick, when your significant other watches, you get escorted out of the New England Aquarium. Well, some point, post-IPO, companies hope to be done with marketing themselves, and I hope to hear this aquarium story. Goal number one, Nick, is to become a verb. But close and second is to become a big enough household name that you don't. don't need to spend on ads, you don't need to spend on marketing. Well, get this, Airbnb, just cut

its spending on marketing by a whopping 66% last year. Airbnb must think that it's become a household name. They must think they've achieved PMP. They must think. Yep, they're in their post-marketing price. Yes, and when people think, get me out of the house right now, apparently they've been thinking Airbnb. And long term, being in your post-marketing prime cuts a big cost from your budget. And that could bring real profits, not adjusted ones. For our third and final story, we've got to talk about the economy of missing things. A new executive order is trying to end the economy of missing things in the States. In the last year, Snackers, their experience you've missed.

Jack and I have missed them. We've all missed them. We've missed them. Birthdays, concerts, last call for mall, bachelor's parties. That's a great one. There also are a lot of physical things that we're missing. Toilipaper, hair clippers, grape nut cereal, it's been a bummer. But then there are the crucial physical things that are missing that are like no joke.

Which brings us to the missing things economy. COVID-19 has exposed that the United States relies on the rest of the world for some pretty crucial supplies. Okay, Jack, here we go. Case in point, long cotton swabs for virus testing. They're made in Italy and we couldn't get enough. Second one here, Jack, P, P&E, like N95 masks for virus preventing. About half of those were made in China, and we couldn't get enough. All right, finally, Jack, semiconductors, semiconductor chips that run like your Peloton, your AirPods, your pickup trucks.

Those are actually made in the U.S., Europe, and Japan, but we still can't get enough of those right now. That is the missing economy. And just the other week, we told you about how Ford ran out of computer chips. They had to shut down a Kentucky factory. They couldn't make any more cars. Yesterday, Bloomberg reported that Tesla is shutting down their Model 3 production for two weeks, because even Silicon Valley's car company has run out of computer chips. Tesla is basically a rolling computer, and they're out of computer chips. That's why Joe Biden signed an executive order this

week to review supply chains that are crucial for items to fill the gaps that are missing economy. The core part of this executive order, and a hundred day long review of four key products. First, chips and batteries, which we need for electric cars. Second, pharmaceuticals and rare earth elements, which we need for healthcare and for national defense. By the way, China dominates when it comes to rare earth elements. And we need rare earth elements for national defense. Okay, so the likely result for this executive order to crush the missing economy, more production of this crucial stuff happening at home over time. So Jack, what's the takeaway for our buddies in the missing economy? We've entered the cold trade war. Yeah, basic principle of economics, countries should

only produce what they're comparatively better at producing. Import the rest from your neighbors abroad. Over in France, they're making some pretty good Pinot Noir. Why not import our Pinot all the way from Paris? But there's a problem the last administration noticed. Where something gets produced matters for politics, for power, and for protection. So the last administration, they fought a multi-front trade war to encourage buying of U.S.-made stuff. They slapped a 25% tariff on that French wine, which makes the French pino less competitive to like a cashman. California cab. With this administration, we haven't ended the trade war. We're still experiencing a trade war. Jack and I just noticed it seems to be a cold trade war. Instead of new tariffs on

foreign goods like President Trump, Joe Biden's trying with this executive order to push more things to be made here, probably through government support eventually, or maybe a government mandate. So our new president is fighting against the economy of missing things. Even if it's more cold than hot. Jack, can you whip up the takeaways for us over there? Culture investing is real, and it got GameStop to $483 a share. So far, culture investing has been based on momentum, and momentum can stop. For a second story, Airbnb just announced a gigantic, unadjusted loss of $3.9 billion. But it may be in its PMP, it's post-marketing prime. Love it. I just got a bowflex to get in my PMP. For our third and final story, the economy of missing things

was highlighted during the pandemic. Some reason that sounded inappropriate, but I like that you said, It's in a cold trade war, not a hot one. Now, time for our snack fact of the day. This one sent in by Tiffany Schmidt in lovely Ann Arbor, Michigan. Black women are the unsung heroes of the 60s space race, not just as NASA and mathematicians and engineers, but also as food scientists. In 1967, NASA contracted stoferers,

yes, the same stofer's in the frozen aisles today, to provide meals for the Apollo 11 crew during their 21-day quarantine following the return from space. The Stoufers Touch Kitchen employed Julie Stewart and Sarah Thompson to create these meals and ensure food safety. Julie Stewart designed recipes including the Salisbury Stroganoff, which is selected and prove as a meal, and Sarah Thompson was a quality control supervisor to ensure compliance with the FDA and NASA's stringent requirements. Jack, I think that's a record second time we've mentioned Stoufers on a pod this week. Stouffer is great company.

It's also the 28th time we've heard about incredible accomplishments from black people during black History Month. Good point. And some of them are painful and unjust inequalities that we're still living with today. Snackers, thanks for the snack facts and for lending your voice to the pod this month. Honestly, we loved having your voices on the pod. Thanks for making the effort. Oh, we got a trivia question we need to answer. Yeah, we do. Good point. What are the other two movies besides the Silence of the Lambs to win the grand slam of Academy Awards? Best Picture, Best Director, Best Actor in a Leading Roll, Best Actress in a Leading Roll. All right, we're going to travel back a few decades.

The first one, it happened one night. Frank Capra, 1934. The second one, one flew over the cuckoo's nest, starring Jack Nicholson in 1975. Snackers, have a fantastic weekend. Remember to yell your buddies, H-Y-H-Y-S-D. Have you had your snacks daily? I honestly can't wait for Monday's pie. We can't.

If you know, you know. And before we go, congrats to Chiqué and Janine, celebrating 10 epic years together. and getting married this weekend. Congrats to James, who just did his first Barry's boot camp in San Francisco in a while. I assume in the marina, that's the one I'd been going to, too. Speaking of modest accomplishments, congrats to Jim Campbell, who ate 40 chicken wings in San Francisco. I assume somewhere near that Barry's boot camp.

There seems to be a connection here. And congrats to Jared and Lenine Wheeler for getting married in Omaha, Nebraska. And Jesse and Felicia is Cayerto on their 10-year anniversary in Rio Alto, California. Congrats to Nestor Ibanez for getting promoted in by. Boston. And Cato Tool got a real estate agent license in Maine. And Sergio Garcia got a new job in Washington. Kenny Reed, congrats on the new baby. Happy birthday, Jason Yin in Changs, Changsiao, China. And Josh Price in Sports with New Hampshire. And Matt Brooks in Boston. And Geitha Mariki in Sacramento. And Alexander Dominguez in Miami, Florida. And Tommy Jung in Vienna, Virginia. And T. Swift, we mean Connor

Clark in Syracuse, New York. And Hector de Real in Englewood, California. And Carol McLaughlin in Belly Mena, Ireland, and Nate Zager in Plano, Texas, and Paul Rivera in San Diego, and Ben Francis and Vicki Spears and Chattanooga Tennessee. Finally, Brandon from Queens. Yes. You're the ambassador of T-Boy. This is Jack. Nick and I both own stock of Airbnb. 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.