The Rundown - StubHub Files for IPO, BYD Annual Sales Top $100B for First Time

Episode Date: March 24, 2025

Stock market update for March 24, 2025.

Public.com presents the rundown. Your daily market update in five minutes. My name is Zadani, and today is Monday, March 24th. In today's episode, we preview this upcoming week. We are expecting an inflation report and an earnings report from GameStop. We also tell you why this one Chinese carmaker might become more valuable than Tesla and why Warren Buffett might have seen it coming. Then stick around to the end of the show to find out why 23 and me is going bankrupt,

and how the Boston Celtics set a new record, and it has nothing to do with their play on the court. We've got a great show for you today. Let's go. Well, the stock market squeezed out a winning week last week, despite some choppy trading. The S&P 500 was up 0.5% for the week, while the NASDAQ was up 0.2%.

So it wasn't a huge gain, but both these indices did snap a four-week losing streak, which was nice to see. Now, outside of the Fed meeting last week, it was kind of a quiet week. In fact, it was one of the lowest volume weeks of the year, according to Barron's. Maybe Wall Street traders were on spring break or something. I don't know.

You know, it probably helps that there was no random tariff tweets from Trump last week. But that could change this week because we are about a week out from the April 2nd date. That's the date that Trump has said that reciprocal tariffs will go into effect. Now, there hasn't been much details on the specifics of the reciprocal tariffs. I'm hoping we get some more information this week so we're not just hit with everything all at once on April 2nd. So I'm going to keep an eye out for that and we'll see how the markets react. Also, this week we are getting the PCE inflation report. That's the Fed's preferred inflation gauge.

That drops on Friday. And we have somewhat of an interesting earnings lineup this week, Lulu Lemon, dollar tree, and GameStop all report earnings. So that should be fun, especially the GameStop one. GameStop is not having a great year. Their stock is down around 20% so far. So we'll see if the earnings report will spark a rally. I'm sure there's still a lot of GME bagholders out there. Like Warren Kitty, what is he up to these days?

I just checked his Twitter profile, and he hasn't posted since January 22nd. I wonder if he's scheming something up. So it's a bit of a slow week than usual. Maybe the GameStop earnings will be interesting. And you never know with Trump. You might tweet something out that might cause mayhem again. Also, Q1 is about to come to an end, and earnings season is about to rant back up. So make sure you guys are subscribed for the podcast to stay in the loop.

Let's run through some headlines. And we got to start with B.Y. The Chinese automaker has been on a hot streak recently. Last week, BYD announced they developed a new battery tech that can charge a car battery in five minutes and provide 250 miles. And now Bloomberg is reporting that BYD sales in 2024 topped $100 billion. That's more than Tesla. I mean, at this point, BYD is starting to dominate the car industry.

They sold 1.7 million EVs last year worldwide. That's slightly less than Tesla's $1.8 million. And unlike Tesla, the company doesn't just sell EVs. They also sell plug-in hybrids. Overall, last year, BYD sold 4.2 million cars. That's almost as much as Ford. And the company expects to sell 5 to 6 million cars this year. So they're putting up some big numbers despite not selling cars in the U.S.,

which is one of the largest car markets in the world. And the reason they can't sell in the U.S. is because of major tariffs on Chinese-made cars. But outside of China, they're starting to become popular in Asia, Australia, and even Europe. And you know who saw all this coming? Warren Buffett. That's right. Berkshire Hathaway first invested in BYD back in 2008. And as it today, they currently own 6.9% of the company. Now BYD stock has gone up around 50% this year. Their market cap is around $150 billion. But that's still much less than Tesla's $800 billion market cap, which is the largest for an automaker in the world. Honestly,

I wouldn't be surprised if BYD became the most valuable car maker in the world at some point. hype around the company right now. I mean, I've seen some of the videos of these B-Y-D cars. They look incredible. I'm not going to lie, I kind of wish we had them here in the U.S. All right, let's shift gears and talk about Stubhub. The online ticket marketplace has filed for an IPO on the New York Stock Exchange under ticker symbol STUB. They officially made the filings on Friday moving forward with the plan to go public after postponing it last year due to market conditions. Now, whenever a company goes public, they have to file something called in S-1, which gives some insights on the financials. And here's, here's what the numbers revealed.

Stubhub's annual revenue grew by 30% to $1.77 billion in 2024. Now, despite making all that revenue, the company lost $2.8 million last year, but they did make a $405 million profit in 2023. Now, a lot of that has to do with Taylor Swift's Ares tour. In fact, her concert tickets raise Stubhubhub's gross sales by 14 percentage points in 2023. I wonder if she's going to invest in the IPO. Now, Stubhub has been thinking about going to pay. public for years now. They first thought about it in 2022 via a direct listing, but then they backed out of that. Then they were going to do it last year after having a strong 2023. They ended up postponing that as well. But now they're finally planning on doing it and they filed the S1 with the SEC.

I mean, I feel like last year would have been a good time because the markets were pretty frothy, but I guess better late than never, right? Now, zooming out a bit, the IPO pipeline seems to be pretty hot coming up. You got Stubhub, you got Kalarna, you got Korweave. It looks like private companies are finally to see a window of opportunity after the IPO drought that we had over the past couple of years. Markets are a bit choppy right now, so it'll be interesting to see how these companies perform once they finally go public. Remember, as soon as these companies go public, you'll be able to buy and sell them on the public app. No pun intended. Let's talk about some stocks making moves today. Boeing shares are rising after President Trump gave the aerospace giant a contract to build

the Pentagon's new F-47 jet. This new aircraft, is expected to replace the F-22, and the project costs are estimated to be around $50 billion per the Wall Street Journal. Now, I can't remember the last time Boeing has had some good news, so investors are rejoicing. Shares of Boeing are up around 2% this morning on this news. It's still crazy to me that a couple astronauts got stuck up in space for nine months because of Boeing's aircraft just stopped working properly.

Now, speaking of a problem, 23 and me is having a lot of problems right now, and their shares are plummeting after the DNA testing company filed. for bankruptcy. I guess there weren't enough people ordering DNA testing kits to figure out if they were 5% Italian. 23 and me really went downhill after a hack back in 2023 led to a loss of personal data of nearly 7 million people. The company had to pay a $30 million settlement because of the data loss and they've been dealing with weaker demand. It's kind of a tough business, right? Because it's cool to get your DNA tested once, but why would you keep doing it? That's the issue the company was running into, and that's why they have to file for bankruptcy. Shares of 23 and

me are down around 44% this morning on this news. Let's wrap the show with a fun fact. The Boston Celtics have sold for $6.1 billion, becoming the biggest acquisition in sports history. The buyout was made by a group of investors led by some random private equity guy named William Chisholm. He co-founded a company called STG. Now, I tried to Google this guy. Not a lot of information on him. Like, his LinkedIn page is pretty blank. But it looks like Billy Chiz had the bread to take over the NBA champs, and the Celtics will now be under new ownership.

You know, Celtics just won the NBA championship last year. They won over 18 titles, making them the most successful franchise in NBA history, which is why they were able to command a $6-plus billion price tag. Now it'll be interesting to see if these private equity guys can keep this franchise on the top or, you know, ruin everything. Private equity kind of has a reputation. So, we'll see what? happens. Well, all right, guys, that's the rundown for today. Hope you guys are having a good start to the week. If you guys enjoyed today's episode and have like nine extra seconds, consider giving us a

five-star rating on Apple or Spotify. Voting today's Spotify poll. Leave us a comment on Spotify. All that engagement really does help us out and it helps other people find the show. And if you guys missed our deep dive episode over the weekend, I highly recommend checking that out. It's about if Timu can survive Trump's Trade Wars. A pretty good episode, a lot of great information. And it's on video so you can watch that episode on Spotify or YouTube, whichever you prefer. Thank you guys so much for listening. Shout out to Mike and Connor for all the help behind the scenes and we'll see you guys back here tomorrow. This is the rundown, your real-time resource for news events and trends in the markets. All views presented in the show reflect the opinions of the guests.

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