The Best One Yet - “Make Winnebago-ing a verb” — Thor Industries’ resurgence. DocuSign’s fun funnel. Wahed’s Islami-Fintech

Episode Date: June 9, 2020

Thor Industries’ sales of Winnebagos over the last month show how vacations have changed. DocuSign is thriving in the corona-conomy, but we’re focused on how e-signatures are just the top of the fun funnel of its true business. And Wahed raised a fresh $25M to scale its shariah-compliant investing product, taking Islami-Fintech to 130 more countries.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. It is Tuesday, June 9th. Stocks kicked off this week with some mojo. Aggressively. S&P 500, it's now back to where we started the year 2020. It's actually slightly above where we started 2020. Which bizarrely means that 2020 has been a win for American stocks. A little asterisk. We're still down from our February Mountain Peak. But Jack and I still made this the best snacks daily we have ever done. For our first story, Thor Industries. Sounds like the kind of company that would, you know, crush you and your family. The maker of Airstreams announced its RV business is firing on multiple cylinders. It's also the only product Jack and I can think of that is an office, a home, and a vacation all built into one. That is multitasking. Second story, good luck closing the deal without e-signature pioneer docus sign. You can fax it over

to ASAP. Its stock barely even took a hit during the depths of the coronavirus. But digitally slapping John Hancock's onto that TPS report, that's actually just a front business. It isn't even an e-signature business. Snackers, it's all about the funnel. For our third and final story, well, he'd figured out that finance isn't one-size-fits-all religion. Yeah, apparently different cultures

literally need different tech products sometimes. So the Sharia-compliant fintech app just hit $100 million valuation by targeting Muslim clients. We're looking at the future of custom and kosher investing. But Snackers, before we get into those, let's talk some T-Boy Tuesday.

Be T-Boy Tuesday to everyone out there. You look fantastic. by the way. Rewind back to the beginning of March. We had our first week of coronavirus hoarding. Yep, we gave you the updates on a week by week basis. Week number one, hoarding toilet paper. My favorite week number six hair clippers, which apparently I don't have because my hair looks absurd. We've got an update for you because we're on week number 14. Feels like week number 473. It never gets old. And the new quarantine hoarding product for this week apparently is bikes. Can you really hoard something that you're only buying one of though? Apparently these families are like, I get one for me, one for you,

and one for like our 12 next generations of grandkids. You're not getting a 24 pack of bicycles, Nick. It's like the 12 days of Christmas over there in bicycle land. According to the National Biker Dealers Association, that would be a great business card to have. Really charming business community. 83% of bicycle shops nationwide are worried about their inventory levels. And if you think about it, it's because bikes get you from A to be in a city without having to jump on public transit, even though we all appreciate a good Metro card. Also, you stay outdoors, you get fit, and COVID apparently doesn't transmit as well outdoors as it does inside. That's why it's a highly COVIDed item, new thing, Jack, and I've noticed. I love that highly coveted item. Now, to meet demand for this highly COVIDed item,

mechanics are working 24-7 in the plants like their toilet paper mills or something. Turns out bike sales jumped 39% just in March, and they're expecting bigger numbers in April and May. Word on the street. Nick's looking for his first bike, and as the guy who taught Nick how to bike, Yeah, Nick, I'll send you a short list of recommendations. Grew up in New York City, really only learned how to hail a cab and swipe a card. Nick goes from zero to one mile per hour in like 13 seconds in the highest gear. Nick, you need to lower the gear to start. I pad my shins with like soccer and ankle protectors when I get on these things.

Let's get to our three stories. 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. You know, we're not recommending any securities.

Nope. 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 Fenra slash SIPC. For our first story, Thor Industries can't make enough RVs right now.

Campers and recreation vehicles are the new hot vacation or home or office or all of the above. Tends to be all of the above. Now, Snackers, last month. Twitter announced the option for permanent work from home. Last week, we discussed Vakasa in their work from someone else's home. Now, with Thor, we have completed the trifecta work from anywhere. Thor Industries has a ridiculously tough guy name. Honestly, Jack and I tried to whiteboard this thing. We tried to come up with tougher names. We couldn't really think of that many. The only I could think of was Axe Body Spray, which is a little insecure. And Monster energy drink, it's like,

what are you compensating for a monster? In the meantime, you got Thor Industries. Sounds like a Norse god is about to pummel you to nothing. My puppy river bumped into a dog named Thor, it could have eaten her in one bite. Anything named Thor should come with a hammer made in Iceland. Now, there is a manufacturing company based in Elkhart, Indiana named Thor. Also, that's a very intense name. Anything coming out of there that has to do with, like, wreck vehicles probably has a disdain for pedestrians.

Elkhart Ice School is either the Elks or the hearts or the elkarts. And this company happened to whip up a bunch of like Eagle Scout named RV recreation vehicles. You got the bison. You got the J-Co. You got the Buccaneer. You got the Keystone. Jack, what kind of bird of prey do I got a kill to put you in a keystone today? But Thor is probably most known for the Airstream, which is the classic and the ultimate Father's Day gift. Yeah, that's coming up this month. You may want to crowdsource that with like 50 people to get one for dad. All those kids who used to say, I was the fifth Kramer brother. Yeah, get them involved in this one. That's how this goes down. So Jack and I jumped into the earnings report for this company. Turns out sales actually fell 33%

last quarter, but the first quarter ended in April. And then the CEO's like, okay, April was bad. Let me tell you about May. This is wild. The CEO actually said this quote. This is a quote. Every North American Thor dealer I have spoken to in the last few weeks has been very excited about May sales. Can we just say for a second how awesome this is that this guy calls up the dealership selling his company stuff? It's a CEO calling up like, you know, Tom at Roundtree Ford in Brattleboro. Like, that's awesome. Anyone get in like a text from Sachin' Adela saying, hey, how's out? working for you lately? It's a great move, and the stock rose 13% on that bullish and intimate quote from the CEO. So here's why this is all going down, Snackers. Once dealerships started reopening in May,

Thor dealerships saw first-time buyers of three different breeds. A whole bunch of first-time buyers, and the first-time buyer was the classic vacationer. Yeah, your RV is like a total sanitized haven, there's no air travel required, masks are optional, you know how it goes down. It's your place, masks are optional. Cancel the trip to Italy? Boom. Spend that money on Arvary on Lake Tahoe for the month of August instead. The second type of first-time RV bar was the one that needed a mobile home office. Oh, yeah, your house has become like a full-time sell for you and your whole family while you're bunkered down. You're kind of trapped in there, so instead just put an RV in the driveway and bang out a 9-to-5 workday in the driver's seat.

And then you got the third breed of buyers, which are the first-time home buyers. Your rent, you think it's too damn high? Replace that rent with an RV financing instead. The rent shrinks, and you got the freedom to live wherever you want. want until someone toes you off the property. So, Jack, what's the takeaway for our buddies over at Thor Industries? Demand for vacations has increased, not decreased, during the coronavirus. That's right, total shocker-snackers. We're all afraid of germs and mask, and you're afraid

your face is going to get sweaty and sticky like every day. But even though we're afraid of traveling, we're all craving a break from coronavirus routines that we've carved out and done every single day to last three months. And in a natural American habit, people aren't waiting for a vaccine to go on vacation. They're just changing their type of vacation. Jaw-dropping data from Airbnb this weekend. More nights have been booked for U.S. Airbnb listings in the end of May than in the end of May from last year. More this year than last year. Local Airbnbs. More during the COVID-19 crisis than last year when no one knew what COVID-19 was. The vacation industry, it's still thriving. It's just not big. Like Disney. Or blowout. Like Italy.

For our second story, docusines earnings show that e-signatures are here to stay. Everything is going exactly according to plan. Yeah, which reveals like the highly frustrating issue, doing the old digital name signature squibly thing. Signing my signature with my fingertip looks beautiful. Yeah. Signing with my mouse pad? No. Etch-a-skatch.

It's like a Benjamin Button situation. It looks more like what we did in third grade. We're devolving backwards. I'm going to double down on my etch-a-sketch-inology here. Now Snackers, docusign you may know because you've signed a lease somewhere and you had to just click a billion times to initial, initial, initial, initial. But its latest earnings report show that you have to master the digital signature now. Extremely bold words from the CEO the other day. This is like a mic drop.

We don't anticipate customers returning to paper or manual processes after COVID-19 chills out. Whoa, heads up Xerox. Doid Shrew just put a hit on DocuSign CEO. Turns out only 30% of paperwork was actually done digital. before COVID-19. And that's when people were working from offices, which are the only places that still have printers in the first place. Now you're at your mom. She's got like the Canon AB-4300 that jams every time you try printing something in black and white. It says it's a wireless printer. You're not using it wirelessly. It never, ever works wirelessly. So right when Tom Hanks, like announced on Instagram that he had COVID-19, Google searches tripled for DocuSar.

Then 68,000 customers joined over the next couple months. Then revenues spiked by 39% last quarter. That's what DocuSign just announced. And we all know why. Because every business was thinking this. If Tanya doesn't sign by noon, the fulfillment is canceled. Yeah, we got to get these signatures. And we need them really quickly.

DocuSign has been winning in the COVID-19 era. Now, here's the thing about their e-signature snackers that fascinated Jack and I. They're basically a free sample, and you've been getting force-fed them for the last three months. It's like the Trader Joe's vegan pesto. to try this thing at the end of I'll Sings. They're handing it out with crackers, and they're like shoving it in your face. There was an abrupt surge in free and urgent e-signature use cases for DocuSign last quarter. They said it actually led their quarter, and that's because you're like socially distant vet

visit. Probably the pen is infected, and that vet needs DocuSign ASAP to make the visit happen. Now, one of DocuSign's big profit areas is real estate, and there's actually been a freeze in the real estate industry, which is hurting DocuSize. So suddenly, like, the DocuSine team had to get creative here. they started doing new ideas, new businesses. For example, new customers, the government. State unemployment agencies are using DocuSign to get these millions of unemployed people signing their papers. And then there are all the doctor's offices that have resisted DocuSign for years because they love putting you in a corner and saying, hey, here's 42 pieces of the paper. We need you to sign every one of them and give us the same information again.

Basically, a lot of late adopters to digital signatures are signing up right now during this crisis. Perfectly put jack. So what's the takeaway for our buddies over? at DocuSign. Docusine is a shining example of a top of funnel strategy. Snackers, get this, 70% of the e-signature market, it is controlled and dominated by DocuSign. Adobe is the other big player in this space. Yeah, they dabble to a two, but that's not where the money is for DocuSign. E-signatures are free. E-signatures are just the top of funnel that's designed to get customers in the door. DocuSignin's like, hey, you're signing here, you're using our e-signature product for free, then we'll flow you down to the money-making stuff.

hope you end up signing up for a bigger deal like contract management, reminders about when another contract needs to be re-signed, an automated document analysis. Your A-Signature isn't a profit puppy for docusign. It's a powerfully fun top of funnel marketing tool. For our third and final story, Wahid is Sharia compliant fintech that just raised $25 million. It's like the halal guys, but for billions of dollars of money. They're now worth over $100 million dollars keeping things all over there. And this company is in robo-advising. One of the many areas of the fintech industry. FinTech is like a beautiful woven mosaic. You got the digital banking, you got commissioned free stock trading, you got online insurance. And you got robo advising, which is pretty much let R2D2 and his

algorithms invests your money for you. Pretty much. The tech invests so you don't have to think about it. Oh, and they take a little fee on top of it just to keep things cool. It's fine print, but that fine print becomes really big when you have a lot of money. So Jack and I notice that something fascinating. One startup that's applying that not so novel business model to a target market. Muslims. Specific target market, but a huge target market. Huge target market. Now, Wahid's saw a problem with like your typical robo advisor. It'll probably spread your money across like the entire US stock market. Turns out diversification is rule number one in book econ 101 of good investment portfolio theory. So a typical robo advisor will invest your money in Coca-Cola and Caterpillar, but it'll

also invest your money in some alcohol stocks, pork stocks, tobacco stocks, gambling, porn, cannabis, or maybe in some companies that aren't morally fit, like the ones that are recklessly indebted. So much debt just makes us sick. So clearly, a typical robo-advising product could be at odds with Sharia law, the fundamental religious concept of Islam. It's similar to the Ten Commandments, but this is focused on the Quran. We've got to tell you, Islamic finance is actually a whole thing. Capital I, capital F. For example, you're not supposed to be getting paid interest directly. There's a whole another way that that process goes down. There's been tenants of Islamic finance that go way back

to the 7th century. So there's a lot we could talk about here. Which then means that Wahid is kind of updating things for the 21st century, many centuries later. Because being a good Muslim extends to your financial investment decisions. So Wahid is robo advising, but they filtered and screened out the bad stocks that aren't Sharia compliant. Smithfield Pork, not in there. Las Vegas Sands, not in there. Definitely not in there, especially when Las Vegas Sands is serving Smithfield poor. So, Wohydd is primarily in the United States and the United Kingdom so far, but now it's worth over $100 million and they plan to expand to 130 different countries. So Jack, what's the takeaway for our buddies over at Wahead? Cotiorizing is a big and growing business model. Snackers,

our generation values, values, and purpose, it's obsessed with them. Some are obsessed with cruelty-free, other sustainable, vegan, fair trade, made in USA, only. You got others focusing on black owned, gender equity, no stocks that contribute to global warming, a lot of options here. These kind of sound like dietary restrictions, but those could be applied to financial restrictions too. And the financial world could be making more special products that only invest in the companies that cater to your financial restrictions highly customized. We know you're only eaten vegan, but are you only investing in vegan stocks? That kind of delicious carb-free customization you'd think would mean a much more limited audience,

and it typically does. But guess what? Wahid picked a financial restriction, Sharia compliant, that could appeal to 2 billion Muslims worldwide. Jack Kineau, whip up the takeaways for us

for T-Boy Tuesday. We're going to edit the old Wikipedia page for Thor. They're not RVs. They're vacation vehicles, work vehicles, full-time residents,

vehicles. And we notice vacations are still happening. They just look a little different. Our second story, the companies that weren't docu-sounding before are probably docusigning now.

It actually became a verb because it includes a verb. Free e-signature samples. They're the top of docusines, top of funnel strategy. Third and final story, Wahid, is whipping up halal ETF portfolios for the world's two billion Muslims.

We're thinking about the other financial restrictions like Dolphin Safe Tuna ETFs. Time for our snack fact of the day. This one sent in by Yassin Saeed in Fairview, New Jersey, who made us observe something interesting. Nick, have you noticed the big cannabis companies? Don't use the word marijuana anywhere on their website

or in their products. Believe it's Aurora Cannabis, not Aurora Pot. Well, we looked into it. According to Encyclopedia Britannica, cannabis was first brought to the United States by early Mexican migrants, and it became illegal because of xenophobia. So as like the anti-marijuana trend gained steam in the U.S., it was commonly called marijuana instead of its biological name, cannabis. Because marijuana sounded exotic, foreign, and something you don't want to get into. It was part of America's first war on drugs in the 1930s and marijuana ended up like feeling like it had a negative connotation in the name. If you look into the history of this first war on drugs, it's pretty clear the word marijuana is a negative connotation. It's like the wildlings versus the free folk. John Snow calls

them the free folks. Cercy calls them the wildlings. Snackers, you may want to be calling you cannabis from now on. Let's call it cannabis from now on. We're going with what Aurora cannabis is doing. Also, quick shout out to Angelina, who is a bit of a mentor to fellow snacker Bella. Yeah, they bonded over their of snacks, it has flourished into a full-on networking like Bonanza. Mentors and mentees who snack together, stay together. We endorse you both on LinkedIn for snacks. Thanks everybody for snacking. Ask your buddies this week, H-Y-H-Y-S-D. Have you had your snacks daily? We'll see you tomorrow. 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.