The Best One Yet - “Jeep Grand Wagoneer… is back” — Jeep’s nostalgia-wagon. Campbell running out of Soup. Samsung = 11% of Korea’s GDP.

Episode Date: September 4, 2020

Campbell’s soup is having a sodium-filled moment… but the stock just dropped 7%. Jeep unveiled a new $100K Woody that reveals how nostalgia = $$$. And Samsung is splurging $2B on the biggest medicine factory in history because going wide is what Samsung does.$CPB $FCAUWant a shoutout on the pod? We got the form for Snackers to fill out right here: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, September 4th. Snackers, the Dow slipped by 800 points. That's 3% yesterday for no particular reason. Bringing back beginning of the summer vibes, worst loss since June 11th. But Snackers, stocks were up by 4% the previous 10 days? True story. So we're still up 1% over that span. You got to sprinkle some context on this thing. If stocks grew 1% every 10 days, Jack, how would that look? That would be a fantastically fabulously, good year of stock gains. Based on that context, we decided to make today's snacks daily the best one yet. For our first story, after 50 years of hibernation, Campbell's Soup had quite a 20-20. Yeah, canned foods are having a moment, but investors think you're full of soup. Second story, Samsung doesn't just make cell phones that burst into flame spontaneously. That is a fun feature of the galaxy, though. Samsung, we're never going to forget about that story. The South Korean enormous company

is splurging $2 billion on the biggest medicine factory in history. Our third and final story, the Jeep Grand Wagoner, also known as the Woody, the Beaver, or the Wood wagon is coming back. Snackers, Jeep's 22, all-new throwback is a shiny example of turning nostalgia into money. But Snackers, before we jump into that wonderful mix of stories, happy Labor Day weekend. Our last pod before Tuesday, by the way. Now, it's called Labor Day Weekend because we're all working too damn hard, so I'm glad we're taking a day out. Yeah, it's also a four-day work week and a three-day holiday weekend. Can somebody please make that permanent?

Every week should be a four-day work week with a three-day weekend. Slap it on a bumper sticker, make it a campaign slogan. Jack and I, we've been saying this for years. Someone could become president with that single slogan. Make it the new normal, but in the meantime, treat yourself this weekend to some ice cream. And as you do, remember our dearly depinted flavors over at Ben and Jerry's Flavor graveyard.

Jack, moment of silence. From the Waterbury, Vermont-based dairy company owned by Unilever that actually has a flavor graveyard on their corporate campus. It's a real tourist attraction because not all flavors make it in the big leagues like Cherry Garcia and Americone Dream Day. Classics. Case in point, those snackers, pour a scoop out for holy canoli. Holy canoli. It was actually a Ben and Jerry's ice cream from 1997 to 1998. Creamy ricotta, pistachio, and literally was canoli ice cream. The next one, there's actually a tombstone for this. Shweddy Balls was an actual flavor. Holiday Season Limited Batch.

2011 to 2011, inspired by an SNL skit. And the third one here, Vermonty Python, born in 2006, perished in 2008. Rubbish, nice run, though. No herring in this one, or Knights of Knee. That wasn't a nice move at all, wasn't it? But Snackers, no flavorless forever, except for half-baked. We're thinking full-baked should happen over with our buddies at Benning Jersey. 90% cookie dough, 10% ice cream.

Let's in our three stories. daily. We spoke to the lawyers and we got to get something legal out the way. Snacks about the hearing food is air candy. They don't reflect the views of the Robin Hood 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.

Snacks is digestible. Business news for you. Robohood Financial, LLC, member FINRA slash SIPC. For our first story, Jeep just unveiled a whole whole. new Grand Wagonier that's topping out at $100,000. Jeep is the latest company cashing in on nostalgia at a very high price. Snackers, we're talking the 2002 Jeep Grand Wagonier, a remake of the iconic wood-paneled wagon on wheels. Full disclosure, Snackers, my family had a Wagoner, a 1988 Jeep Grand Wagoner in the year 2008. The only car that incorporates timber. And for disclosure, Snackers,

I once saw them fit an entire platoon of Jack Kramer's family in this thing. Three in the front, three in the middle, three in the back. It was like an Amtrak. Warning, when a wood wagon full of Kramer is coming, get out of the way. Created in 1963, it had an unchanged style until the last production in 1991. Yeah, it's back now. But outside of the Jeep CJ7 and the Jeep Renger, this is the most recognizable Jeep. You can Google it if you still can't picture what we're describing. The new one doesn't have the whole. hallmark like wood panels on the doors, but instead, it substituted in insane luxury. Nick,

this thing goes up to a hundred thousand dollars, a Jeep for a hundred thousand dollars. Average car price jack, what are we clocking in at these days? Like a third of that. Doesn't run on gas, runs on caviar. We're calling this thing the latest luxury ride for weekend warriors. And that's because you got two parents up in the front, but then you got five kids in the back, each with their own TV. That is not a typo. There are seven, 10-inch screens in this Jeep Grand Wagon here. Feels like Times Square. He got Francesca casting like Netflix on the left side. Finley's binging on HBO Max on the right side of the car. Each family member can be completely disconnected from each other because they're connected to their screens through Bluetooth from the phones. But this is why this one

car is a much bigger deal than just one car. Apparently, America has returned to the late 2000s when giant SUVs ruled the earth. The Chevy Suburban, the Cadillac Escalade, the Ford Expedition, the Hummer. Nick, these things are tanks. SUVs with their own zip codes, they have a dedicated census taker, fun fact. The lower the gas prices, the bigger, the big car demand, and they are back. And despite the trends of electrification and autonomous cars, the SUV segment we've noticed is reverting back to importance. We've covered on this pod the last few months, the Hummer, the Ford Bronco, the Jeep Grand Ragoner, they're all coming back in remade versions.

So you got like culture moving to the future with plant-based everything, but then you've got a counterculture of U.S.-made SUVs also coming back. These are Titanic's, and they are perfect for the entire family heading from Nick's hometown of the Upper East Side to Jack's hometown of Mountsdale, Vermont for the weekend.

And all the way, you can literally watch the entire Lord of the Rings trilogy. You could probably film the thing in this place. You can watch the movies at different times because there's seven different screens. So, Jack, what's the takeaway for our buddies over at Jeep and the entire car industry? Nostalgia is being commoditized and you see it in all these darn remakes. Jack, our favorite pastime.

Chatting with buddies about our favorite pastime. I'm so true. Our favorite consumer of pastime, Jack. New versions of things we used to love. Snackers, there are two reasons we're seeing more nostalgia in the economy right now. And the first is that marketers are being lazy. Honestly, it's easy to just remake something. But the second is that marketers,

that nostalgia is an emotion that drives spending. Movies are packed with remakes like The Lion King, Top Gun, Zoolander 2. You got Stranger Things popular because it reminds us of the 80s. Even consumer technology like Blackberry and Motorola Razors, they're trying to make a comeback tapping into our nostalgia. You can create an entirely new product and then convince people to love it. That sounds very hard. Or you could modernize something Americans already love and are sad is gone.

That sounds pretty easy. For our second story, Campbell Soup's stock has never been healthier than during quarantine. But the stock just dropped 7% after updating us on its plans for the future. Kind of nice for a company when global events result in people obsessively hoarding your core product. It's not an apocalyptic bunker. No. Unless it's stocked with cream of broccoli. Jumbalaya.

Snackers, in the meantime, though, Campbell's suit has seen its sales over the last three months jump 12%. That is really high growth for a company that sells food created by baby boomers. That's unchanged since baby boomers. So Jack and I jumped in snacks style. I looked at this product by product. And it looks like Prego sauce sales jumped 19% last quarter. Right. Campbell Soup owns Prego and Tomato sauce Tuesday and Wednesday and Thursday and Friday.

That's what you're having. They also own Cape Cod potato chips whose sales were up 7%. Pairs nicely with Netflix and a Cabernet. Yes, it does, Jack. And then their core baby love. of soup. Soup sales surged a whopping 52% last quarter. Nick, Fauci just clarified something on CNN. I better get a couple more cases just in case. Oh, and warning, Snackers, apparently Campbell's Soup is running out of broth. Chicken broth, which is, of course, the juice cleanse of soups.

But the one thing Jack and I noticed they're like really proud of over a Campbell soup was they said they added 6.4 million customers across quote-unquote all generations, including millennial cohort. soup. We're millennials, we don't like labels. Co-hort sounds like a military summer camp. Please don't use that with us. How to alienate yourself from a millennial. Refer to them as a cohort. And then the CEO went a little bit further and said, you know what? The kids these days, they're mixing our soup with cauliflower rice, which is a great thing. Translation, we know kids prefer fresher and healthier food than what we have. Yeah, they do. But they need sauce for it, and we can be the sauce. So their soup is no longer the main product. It is now just something you sprinkle on what you actually want it to do. All right,

Overall, the earnings report sounds pretty good. So why did the stock plummet 7% on Thursday? Jack, this feels like a moment for us to what's the takeaway for our buddies over at Campbell's Soup. Customer growth is fun. Customer retention is funerer. Snackers, past success is like already reflected in the stock price that you're seeing today. Where the stock goes from here depends on the outlook for Campbell Soup in the future. It's not what have you done for me lately.

It's what will you do for me tomorrow. Well, the CEO just dropped this doozy. We all knew there would be a pivot eventually back to healthier recipes. That's depressing. And it didn't help that the CEO then added, we may be a bit behind on our soup aisle of the future vision. This is Campbell Soup's time to, like, keep millennials in their customer base for the long term. The biggest opportunity they'll ever have to keep us slurping.

And their biggest idea to retain millennials and Gen Z slurpers? What is it, Jack? More soup of different flavors. Yeah, no special branding. no on-the-go packaging, no snack-sized portions, just basic. It looks like Campbell's not doing much to innovate to retain millennials and gen's ears. For our third and final story,

Samsung is not the company you think it is. It's about to build the biggest drug super plant in the world. Honestly, if you don't have a drug manufacturing arm, what are you even doing? Having your own biotech subsidiary is totally in season. I'm working biotech. Snackers, we've seen Kodak trying to transform. into a pharmaceutical company, and we just told you how Nestle just bought a peanut allergy company.

Samsung's feeling the peer pressure and is building a $2 billion super plant they just announced this week. We measured this thing out bigger than the Louvre. Now, the way this is working, they're not going to come up with the drugs in a laboratory. They're just going to mass produce it. Yeah, so the pharmaceutical companies do all the research, Samsung does all the actual work. And Samsung's biologics division that this is in, it's seen drug manufacturing orders triple to $1.5 billion in the past. year. So this $2 billion bet on a new complex is that they think this is the kind of demand that's going to last long term post-COVID. Here's the thing about Samsung. It's actually Korean, and it means

three stars. Yeah, and those three stars, we noticed to represent big, numerous, and powerful. Those are synonyms, but the same thing. Those are kind of synonyms. Actually, Samsung's logo used to have three stars, but they ditched it, and now it's just the thing written on the bottom of your TV. Jack's going all the way back to 1938 here when it was founded by a man who, just wanted to have a small trading company selling noodles and fish. And today, it is an unprecedented power in the South Korean economy for one company. 11% of the Korean economy is Samsung. 78 subsidiaries and affiliates are just cranking out good economic output. Snaggers, nothing freaks jack out more than a really high GDP ratio situation.

The cell phones and semiconductors, Nick, is what we all know Samsung for the most. But they don't stop there. They're also pumping out fridges and washing machines. And they have a heavy industries division, which is apparently the world's largest shipbuilder in its class. These guys do ships. Oh, also, they have Samsung life insurance. And they don't want just that for white collar jobs. They also have a hospitality resort division. And they don't stop there. They have a advertising company. This is like Wayne Industries Times 100. It's a Batman worthy complex structure. And each of those affiliate companies has its own stock. They're trained in South Korea, but not available in the United States.

And they're all loosely owned and controlled by the Lee Dynasty, a powerful family in South Korea. By the way, Samsung also launched the Galaxy Z-Fold 2 last week. Snackers, we don't always cover Samsung because the company is pretty opaque and hard to understand, and their stock isn't available here. And the Lee family should probably be Succession Season 2, South Korea Division. So, Jack, what's the takeaway for our buddies over at Samsung?

Apple focuses on quality. Samsung tries to do quality and quantity. Yeah, emphasis on the quantity. Smartphones, they're the most important product in the economy, and it's Apple versus Samsung when it comes to that. While Apple announces one iPhone per year, Samsung is selling over 100 smartphone models. And we notice that Samsung does the same thing across all its divisions.

It's not just making one medication. In this $2 billion mega facility, it will be able to make any medication. That's because Samsung's corporate empire is all about providing a range of options. So it's able to provide customers a product, regardless of the price point that customer needs. Honestly, not a strategy that Jack and I typically see in the United States. Looks so like it's working because globally, 20% of smartphones are Samsung smartphones.

Big, numerous, powerful. Jack, I'm going to miss you for the three-day weekend, but can you whip up the takeaways for us before we leave? Jeep is bringing back the Grand Waggonier tapping into our nostalgia. Kind of a lazy move, but it's easier to remake than it is to do something original. Second story, Campbell's soup had a great round. Investors aren't sure it'll continue. Yeah, the kids are eating cauliflower rice now, so Campbell's thinks they'll want it to canned gravy. Third and final story. We mostly know Samsung in the U.S. as an electronics company. But it's really a one-of-a-kind force in the South Korean economy. Now, time for our snack fact

the day, which comes from Thomas Baggio, lived in Portland for a while, but now he's hanging out in Hawaii. Must be nice, Tom. The reason we mentioned the Portland. He wanted to clarify something we mentioned on a pod. We said the Portland Timbers, which is one of Portland's pro soccer teams, we wondered if they had a stump as a mascot. Easy thing for us to Google, but we didn't. So Tom is pointing out they don't have a stump as a mascot. But they do have a true outdoorsman who is a lumberjack as their mascot, a real live human being. This soccer team literally has a guy who slices down a piece of lumber throughout the whole game whenever they score a goal. He's got a chainsaw and it's basically like,

like a whole bunch of slices of lumber. Jagger was such a natural. I can smell the bark. I can smell the bark right now. Nick, you know I worked for one week in the winter of 2009 as a lumberjack and got fired.

Snackers, I go to this guy for my rural needs. Jack Tommy had to ride a bike. Now, before we go, Snackers, we want to say congratulations to Richmond and Camry in Provo, Utah, just got married. And congrats to Ben and Emily for four years in Indianapolis, Indiana.

And Ryan and Andrea in five years in Alexander. Virginia, AJ and Kacha, 23 years destination unknown. Mani and Brianna Mollin married Das Weekend. Tom and Kate Anyard, congrats on getting hitched in Atlanta, Georgia. Maddie McRitchie moving to New York City, love the move. And happy birthday to Salma Bouillad in Casablanca, Morocco, into Savannah-Rosin in Muscle Shoals, Alabama.

And China Sparks in Milford, Michigan. And Arpin Patel turning 32 in New York City. And Michael Chen in Hong Kong. And Chad Leonard in Tacoma, Washington. but moved from the legendary Southern Vermont. Chad, we're basically neighbors. I'm from Bradleboro, Samantha Ramsey, Kat Romanov in Babylon, New York. Happy birthday.

And Gustavo Torres from Ensenada, Mexico. Happy 30th birthday to Stephen Berry in Los Angeles, California, from Tallina. And Brad, listening for one year to snacks, happy anniversary from Cincinnati, Ohio. Snackers, before we go, have a fantastic three-day weekend. We're going to miss you guys. Oh, quick correction here? Yeah. Brown Formin the liquor company based in Louisville, Kentucky, not Tennessee.

Our bet on that one, we're good for it, Kentucky. Home of Muhammad Ali also. Snackers, if you got buddies this weekend on the grill who's not snacking. Weird. Could you ask him, H, Y, H, Y, Y, SD? Have you had your snacks daily past the ketchup? Have a great weekend, Nick and I'll see you Tuesday. If you know, you know.

This is Jack, Nick on Stock of Apple. 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 Robinhood 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.