The Week Ahead

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Welcome Back! It’s time to kick off another Week Ahead newsletter.

Last Week’s Earnings Highlights 📰

• JP Morgan: JPM was down 6.5% on Friday despite beating Revenue and Earnings estimates. However, JPM maintained their conservative FY24 guidance, disappointing the street.

• Wells Fargo: Revenue and Earnings beat expectations, with shares trading flat on the day. Wells is guiding to a 7%-9% decline in FY24 Net interest income.

• BlackRock: BLK was down 2.8% on the day despite EPS of $9.81 (vs. estimates of $9.34). AUM grew 15% y/y and hit a record $10.5T in 1Q24.

• Citi: Revenue and Earnings beat expectations, with Shares down 1.8% on the day.

• Delta: Revenue was in line with estimates and EPS beat expectations. Delta CEO Ed Bastian emphasized that consumers are continuing to spend in discretionary travel. Guidance of $3-$4B in FCF for the FY was reaffirmed.

The week ahead of us 🔍

Upcoming Earnings: We’ve got a busy week of earnings ahead.

• Monday: Goldman Sachs, Charles Schwab, M&T Bank

• Tuesday: UnitedHealth Group, Johnson & Johnson, Bank of America, Morgan Stanley, PNC, Bank of New York Mellon, Ericsson, United Airlines, Interactive Brokers

• Wednesday: ASML, Abbott Laboratories, Prologis, CSX, U.S. Bancorp, Travelers, Crown Castle, Kinder Morgan, Las Vegas Sands, Equifax, Discover Financial, Citizens

• Thursday: Taiwan Semi, Netflix, Marsh & McLennan, Blackstone, D.R. Horton, Nokia, Ally Financial, Western Alliance Banc, Alaska Air

• Friday: Procter & Gamble, American Express, Schlumberger, Fifth Third Bancorp, Huntington, Regions Financial

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Headlines 🔍

• The latest Israel and Iran updates

• U.S. Stocks on Friday had their worst day since January due to sticky inflation, a slide in JPM shares, and rising geopolitical worries related to Israel and Iran.

• StubHub is looking to go public this summer at a $16.5B valuation. Stubhub was acquired in 2020 for $4B by European competitor Viagogo.

• Wall Street Reclaims $16 Billion of Deals Lost to Private Credit

• Blackstone and Blue Owl participate in $2B direct loan for data center, Park Place

• Italy will now let digital nomads or remote workers work in Italy for up to a year.

• Boomers aren’t moving out of their big homes - exacerbating the U.S. Housing Crisis

• Universal Studios is taking on Disney in their own backyard

• Activist Investors are criticizing a potential Paramount & Skydance deal

• Australia Exploring Tax Changes to Drive Green Tech Production

• Housing is unaffordable for too many Americans, and stricter regulations mean higher costs, Atlanta Fed president says

Transactions: M&A 💭 

Lok’nStore (LON: LOK), an operator of real estate based in UK, has reached a definitive agreement to be acquired for $478.89M by Shurgard Self Storage (BRU: SHUR).

Winthrop Technologies, an operator of a data center construction company, has entered a definitive agreement to be acquired for $440.16M by Blackstone (NYS: BX).

Alpine Immune Sciences (NAS: ALPN), a clinical-stage biopharmaceutical company dedicated to discovering and developing protein-based immunotherapies, has reached a definitive agreement to be acquired for $4.9B by Vertext Pharmaceuticals (NAS: VRTX). Centerview advised on the sale.

Boart Longyear, a U.S.-based ASX-listed company with a large market share in the global mineral drilling services and drilling equipment industry, was acquired for $371.00M by American Industrials Partners. Jefferies advised on the sale.

Hu-Friedy Mfg., a manufacturer and provider of dental instruments and instrument management solutions, has entered into a definitive agreement to be acquired for $787.50M by Peak Rock Capital.

HysetCo, an operator of hydrogen taxis dedicated to the development of hydrogen mobility, was acquired for $217.04M by RAISE Group, Eiffel Investment Group, and Hy24.

ibus Networks and Infrastructure, a provider of telecommunications and connectivity services, wax acquired for $200.00M by National Investment and Infrastructure Fund. Avendus Capital advised on the sale.

4Com Group, a provider of business phone systems and services, has reached a definitive agreement to be acquired for for $272.01M by Mr. Matthew Riley.

Food Circle Supermarket, a retailer and supplier of online surplus healthy food, was acquired for $379.55M by Huddled Group (AIM: HUD).

Transactions: Private Placements 💭

Zum, provider of on-demand ride and care services, raised $140.00M of Series E funding led by GIC at a pre-money valuation $1.16B.

Windrose Technology, developer of a redesigned heavy-duty truck platform, raised $110.00M of Series B2 venture funding led by Huifeng Datong Fund.

TORL BioTherapeutics, operator of a drug development company intended to focus on antibody-drug conjugates (ADCs), raised $158.00M of Series B2 venture funding led by Deep Track Capital.

Revolut, developer of a foreign exchange and money-transferring applications, raised $139.36M of venture funding led by 2B Global Capital, Visi Capital, and Blue Lion Global.

PayJoy, provider of consumer financing services intended for people in emerging markets, raised $398.94M of Series C venture funding led by Citi Ventures and Warburg Pincus at a pre-money valuation of $510.00M.

Nexamp, provider of turnkey clean energy services, raised $520.00M of Series 1E venture funding led by Manulife Investment at a pre-money valuation of $1.08B.

Guesty, developer of a cloud-based property management software, raised $130.00M of Series F venture funding led by Kohlberg Kravis Roberts at a pre-money valuation of $825.7M.

FloQast, a developer of cloud-based close management software, raised $100.00M of Series E venture funding led by BDT & MSD Partners, WiL, Meritech Capital Partners, and Sapphire Ventures at a pre-money valuation of $1.5B.

Essence Healthcare, developer of cloud-based application software designed to assist healthcare service providers, raised $100.00M of venture funding from undisclosed investors.

Cobot, operator of a robotics company, raised $100.00M of Series B venture funding led by General Catalyst at a pre-money valuation of $360.00M.

Noteworthy Chart 🧭

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