__A game of chicken…__ The pandemic was tough for [Tyson](https://robinhood.com/stocks/TSN). Last year, meat giants pushed to keep facilities open as Covid spread, which resulted in shutdowns and 150+ worker deaths. But after masks and testing failed to control the surge, Tyson [required](https://www.nytimes.com/2021/11/04/business/tyson-vaccine-mandate.html?campaign_id=4&emc=edit_dk_20211104&instance_id=44583&nl=dealbook&regi_id=83712167&segment_id=73513&te=1&user_id=05114d149fce45660cf01aea64f5af7e) its 120K workers to get vaxxed in August, becoming one of the first large employers to mandate vaccines. The move was unpopular, but it worked: 

- __96%__ of Tyson workers are now vaxxed, after 61K workers got jabbed post-mandate.
- Tyson’s profit jumped 40%+ last quarter from 2020, despite $55M in Covid expenses.

__The great vax rush…__ is just starting. Yesterday, Biden said private employers with 100 workers or more have until January 4 to ensure their employees are fully vaccinated — or make sure they get weekly testing. The plan covers a whopping 84M workers, and it’s been polarizing: 50K Americans have died from Covid since October, *but* four in 10 say they’ll quit if they’re required to get vaxxed. This isn’t Biden’s first mandate. In September, he announced similar requirements for 4M+ federal workers. 

- __Early adopters:__ __[Google](https://robinhood.com/stocks/GOOGL)__, __[IBM](https://robinhood.com/stocks/IBM)__, and __[United Airlines](https://robinhood.com/stocks/UAL)__ already imposed their own mandates, and few workers quit. 
- __Late vaxxers:__ __[Walmart](https://robinhood.com/stocks/WMT)__, __[Amazon](https://robinhood.com/stocks/AMZN)__, __[JPMorgan](https://robinhood.com/stocks/JPM)__, and others still don’t require employee vaccination. Last month, only 13% of businesses had vax mandates. 
- __Objectors:__ Trade groups representing __[UPS](https://robinhood.com/stocks/UPS)__, __[Disney](https://robinhood.com/stocks/DIS)__, and __[Fidelity](https://robinhood.com/stocks/FNF)__ say Biden’s rule is too expensive. Twenty-four states threatened to sue to block it.

Tenders

It’s good to prep for the inevitable… even when it seems *evitable*. Tyson is in a better spot than others because it adopted an unpopular policy early. Now it may dodge expensive last-minute vax pushes and big fines. Companies with unvaxxed employees could pay a $14K fine for *each* noncompliant worker, which could add up for companies like Walmart, which has 1.6M employees. Experts say Biden’s mandate could cut the number of unvaxxed workers from 25M to 3.4M.

Biden pushes large employers to pull a Tyson and require vaccines ASAP

__Publix is sweating...__ __[Kroger](https://robinhood.com/stocks/KR)__, aka America's largest grocery chain, owns supermarket staples like Food 4 Less, Ralphs, and... Kroger. The 138-year-old Cincinnati-based grocer has 2.8K stores in 35 states. Now Kroger is getting techy to expand beyond its OG stores. Last year, Kroger [debuted](https://snacks.robinhood.com/newsletters/6CYbtZgaeQFf8W6pRxaYg0/articles/mvQBKD7b2NxVm6KXrVAa9/) two "ghost kitchens," or delivery-only restaurants. Kroger is going all out on ghost *grocery*.

- __Giant robo-warehouse:__ Kroger is [breaking into](https://www.cnbc.com/2021/11/04/kroger-is-taking-on-publix-in-florida-without-opening-a-single-grocery-store.html) Florida with a brand-new robot-powered warehouse that's nearly the size of eight football fields.
- __Call them Grobots:__ Grocery robots retrieve items like bananas, steak, and oat milk from the warehouse, passing them on to delivery drivers.
- __DIY delivery:__ Kroger is using its own grocery-delivery fleet, unlike __Publix__ (which uses __Instacart__) and __[Albertsons](https://robinhood.com/stocks/ACI)__ (which uses __[DoorDash](https://robinhood.com/stocks/DASH)__).

__The e-cart is hot...__ It’s a massive investment for Kroger, and a risky bet on its ecomm strategy. Kroger has already opened two automated warehouses, with plans for at least nine more over the next two years, including in the Northeast. It spent $55M just to *build* its FL warehouse and hired 900 employees to service it. Last year, Walmart [unveiled](https://gizmodo.com/walmart-wants-to-build-20-000-square-foot-automated-war-1840950647) plans to build a similar warehouse with robots that can pick 800+ grocery products/hour. Here's why:

- __Online grocery makes up 12% of all grocery sales__ — down from 20% mid-pandemic, but *way* up from 2% pre-pandemic. 
- __Half of US households ordered e-groceries__ in September. Kroger thinks that number will keep growing. 

The Grobots have arrived [onurdongel/E+ via Getty Images]

Grobot

__"Once it's obvious, it's too late"...__ Every time an industry transitions, there’ll be winners and losers. Kroger’s CEO believes that *leading* a blooming trend is key to staying relevant. Its main challenge will be to scale ecomm while turning a profit in an infamously low-margin industry. Robots, delivery fleets, and new warehouses are *pricey*. TBD if Kroger can make e-orders as profitable as — or even more profitable than — IRL sales. Kroger thinks it can break even in three years.

Ghost grocery: Kroger wants to lead the e-grocery trend with robots, not stores 

Biden’s big vax mandate, Kroger’s robo “ghost grocery,” and more of today’s top Snacks stories

Dow Jones

S&P 500

Nasdaq

Bitcoin

💉 Biden’s big vax mandate

__Foreclosed…__ __[Zillow’s](https://robinhood.com/stocks/Z)__ stock plunged this week after the company reported a $330M quarterly loss and said it planned to end its house-flipping business, Zillow Offers. Zillow’s OG biz links home sellers to buyers for a fee. But in 2019, Big Z branched into iBuying — aka making instant cash offers on houses based on "Zestimates" and cutting out agents in the middle. Zillow’s goal: Fix up properties and resell them at a profit. Zillow’s iBuying revenues soared to $1.2B last quarter, but profits tanked:

- __Big losses:__ Offers lost $420M last quarter, which pulled Zillow into the red after making $40M in total profit in the same period last year. 
- __Empty houses:__ Zillow still needs to offload 18K houses. It expects to sell them at a 5% to 7% loss, and to lay off a quarter of its workers.

__iBlunder…__ Since Zillow already calculated Zestimates, iBuying seemed like a natural expansion two years ago. But it soon discovered the market wasn’t that simple: Home prices soared during the pandemic, and labor and supply shortages raised the cost of repairs. 

- __Veteran house-flippers__ __[Opendoor](https://robinhood.com/stocks/OPEN)__ and __[Offerpad](https://robinhood.com/stocks/OPAD)__ slowed their iBuying when the buying boom began to diminish in October, but Zillow bought *more* homes at above-market rates.
- __Blame the algo:__ Zillow said it ended up “unintentionally purchasing homes at higher prices” than the expected selling prices because of a faulty formula.

The dog days of iBuying [JDC/Stone via Getty Images]

Scroll

__Look before you pivot…__ Companies need more than a market opportunity to pull off new business lines — they need the right infrastructure too. Despite Zillow’s failure, others are still iBuying: Last month, tech-focused rivals Opendoor (which reports earnings next week) and __[Redfin](https://robinhood.com/stocks/RDFN)__ said they planned to *boost* iBuying. High demand for real estate is expected to continue: home prices jumped 15% this summer from a year ago, after a five-year decline.

Zillow’s house-flipping business flopped — then its stock dropped 30% in two days

__I've got the Powell...__ Probably Fed Chairman Jerome Powell's morning pump-up song. Yesterday the Fed finally [approved](https://www.wsj.com/articles/fed-dials-back-bond-purchases-plots-end-to-stimulus-by-june-11635962417?mod=hp_lead_pos1) plans to start scaling back its economy-boosting bond-buying program. The Fed will start this month, buying $15B less in bonds — *and will end bond purchases altogether by June*. ICYMI: The Fed has been dropping a whopping $120B a month to buy Treasury and mortgage bonds, adding trillions to the money supply since the pandemic started. Quick refresher:

- __The Fed buys bonds__ from banks, and that cash flows through banks to consumers and businesses via loans. More money = fewer problems.
- __All that new cash__ helped bring us ultralow interest rates, which made borrowing easier and boosted spending — but also contributed to rising prices.

__Feeling #flated...__ The Fed has been monitoring inflation, unemployment, and recovery — and decided the time was ripe to dial back economic medicine. While the Fed still expects inflation to be temporary, prices have been surging longer (and higher) than anticipated. Blame shortages, supply-chain headaches, and soaring consumer demand. Twelve-month inflation is at its [highest](https://www.wsj.com/articles/fed-dials-back-bond-purchases-plots-end-to-stimulus-by-june-11635962417?mod=hp_lead_pos1) level in decades, and oil prices have jumped 42% from last year. BTW: Fed officials don’t want to raise interest rates (by *selling* bonds) until they've fully ended bond purchases.

Jerome

__Wall Street isn't sweating...__ Stocks jumped yesterday after the Fed’s announcement, and have been cruising around records for weeks. Investors aren’t surprised: The Fed has been signaling it would taper bond purchases for nearly the whole year. Wall Street also sees the move as a sign that the economy is strong and ready for less hand-holding. The unemployment rate fell to 4.8% in September, just 1.3 percentage points higher than the pre-pandemic rate. While the US's growth majorly [slowed](https://www.cnbc.com/2021/10/28/us-gross-domestic-product-increases-at-2point0percent-annualized-pace-in-q3-vs-2point8percent-estimate.html) last quarter, the economy is expected to grow 5.6% this year as recovery continues.

The Fed is phasing out its market-boosting economic medicine, but investors aren’t rattled

Zillow’s iBuying bust, the Fed’s big money move, and more of today’s top Snacks stories

🏡 Zillow’s iBuying bust

__“Squid Game” over...__ Halloween is past us, but trends based on __[Netflix's](https://robinhood.com/stocks/NFLX)__ "biggest-ever" new series *aren't*. A crypto coin called Squid [launched](https://coinmarketcap.com/alexandria/article/i-lost-everything-how-squid-game-token-collapsed) last week at $0.01. The “play to earn” currency professed to let buyers play online games based on the South Korean thriller. Three days later, Squid was up 44,100%, to $4.42. As it gained media coverage, Squid [soared](https://www.washingtonpost.com/world/2021/11/02/squid-game-crypto-rug-pull/) *23 million percent* between October 26 and November 1, hitting nearly $2.9K. Yesterday it crashed to nearly $0.

- __“Rug pull” strategy:__ It's assumed that Squid's creators sold all the coins for real money, causing the coin to plummet, from $2.8K to nearly $0.
- __Scam vibes:__ Creators cashed out, stealing [$3.3M](https://www.washingtonpost.com/world/2021/11/02/squid-game-crypto-rug-pull/) from investors who never had a chance to sell Squid coins because of a buy-only restriction imposed by the developers. 

__Cracks in the honeycomb...__ There were red flags: a typo-ridden Squid website (“frist game,” “need pay the ticket”) and a leadership team that didn't exist on __[Google](https://robinhood.com/stocks/GOOGL)__ or LinkedIn — like: CEO Kevin Sam, "Founder of Squid Game." (BTW: Netflix reportedly said it was not affiliated with the coin). But Squid isn’t the only parody coin that’s surged recently: 

- __Coin explosion:__ Creating alt-coins is relatively simple, and about 100 new cryptos are created daily, adding to the 13.5K already in existence. 
- __Coins can be listed on decentralized exchanges__ as soon as they’re created, with virtually no due diligence. 
- __Coin crowding:__ In January, __[Bitcoin](https://robinhood.com/crypto/BTC)__ made up 70% of total crypto value. Now it makes up less than half as trend-driven altcoins have gained traction. Two meme-inspired coins, __[Dogecoin](https://robinhood.com/crypto/DOGE)__ and __Shiba Inu__, are among the [top 10](https://www.cnbc.com/2021/11/01/whats-driving-surge-in-meme-cryptocurrencies-shiba-inu-and-dogecoin.html) cryptocurrencies.

The Wild West of “Squid Game” [Matthias Clamer/Stone via Getty Images]

Squid

__It's a cautionary coin tale…__ Crypto markets and exchanges lack the controls and fraud protections that the stock market has. But SEC Chairman Gary Gensler wants the “Wild West” of crypto to be regulated in the same way the SEC oversees securities like stocks and bonds. While regulation could take years, the Squid debacle highlights the unique risk of investing in crypto without conducting due diligence.

Squid scam: Trend coin plunges to nearly zero after scammers steal millions from investors

__Hardcover kind of day…__ The Justice Department is eyeing yet another antitrust crackdown. Yesterday the DOJ filed to [block](https://www.wsj.com/articles/justice-department-sues-to-block-penguin-random-houses-acquisition-of-simon-schuster-11635866422) publisher __Penguin Random House__ from buying rival __Simon & Schuster__ from __[ViacomCBS](https://robinhood.com/stocks/VIAC)__, a $2.2B deal announced last year.

- __Regulators argued__ the combined company’s 27% market share would give it too much influence over which books are published and how much authors are paid. Penguin is the world’s largest publisher. 
- __Both publishers insisted__ the industry is [competitive](https://www.wsj.com/articles/justice-department-sues-to-block-penguin-random-houses-acquisition-of-simon-schuster-11635866422), thanks to publishers of all sizes and “newer entrants like __[Amazon](https://robinhood.com/stocks/AMZN)”__ (yes, the world’s biggest *bookseller* is also expanding its publishing biz). They plan to appeal the decision.

__Trust-bustin’s back…__ In July, Biden warned businesses across healthcare, tech, agriculture, and banking of plans to put an end to anticompetitive practices. But since then enforcement has been uneven. The DOJ blocked __[American Airlines](https://robinhood.com/stocks/AAL)__ and __[JetBlue](https://robinhood.com/stocks/JBLU)__ from merging to form an airline with a 24% market share, but other mergers have sailed through:

- __Eat up:__ The DOJ allowed __[UberEats](https://robinhood.com/stocks/UBER)__ to gobble up rival __Postmates__ in a $2.6B deal that gave the company a 37% food-delivery market share.
- __Sweet talk:__ The DOJ also signed off on a $26B merger between __[T-Mobile](https://robinhood.com/stocks/TMUS)__ and __Sprint__ that gave the biz an estimated 29% market share.
- __Plug in:__ The DOJ has allowed lots of Big Tech mergers and acquisitions. Most notably: __[Facebook](https://robinhood.com/stocks/FB)__ and Instagram.

Bookend

__Not all antitrusts are created equal…__ Regulators can crack down on airlines and publishers with the same anti-monopoly rules they’ve used to prevent mega-mergers for decades, while more omniscient businesses like Big Tech have been harder to tackle. But Big Tech is poised to face increasing antitrust pressure. Numerous bills have been proposed to curb Big Tech’s dominance, including a [bipartisan one](https://www.reuters.com/world/us/big-tech-face-another-bipartisan-antitrust-bill-2021-10-14/) in October aiming to prevent mega-platforms like Amazon, __[Apple](https://robinhood.com/stocks/AAPL)__, and Google from favoring their own products over those from third parties.

Antitrust regulators push back against Big Books amid antitrust scrutiny

The Squid-scam plunge, Big Book antitrust, and more of today’s top Snacks stories

🦑 The Squid scam plunge

__Candy Apples for breakfast...__ Being stuck in the Happiest Place on Earth isn’t as fun as it sounds. On Sunday, a woman who had visited Shanghai Disneyland tested Covid-positive somewhere else. Cue: China [locked](https://www.wsj.com/articles/shanghai-disneyland-suspends-operations-as-visitors-queue-for-covid-19-tests-before-exiting-11635755117?mod=breakingnews) over 30K Shanghai Disneyland visitors and staff inside the park. Visitors were forced to get Covid tested before being released from Mickey's house before midnight.

- __One picture of the scene__ shows __[Disney](https://robinhood.com/stocks/DIS)__ fireworks erupting behind people in hazmat suits. One visitor's reaction: “I never thought that the longest queue in Disneyland would be for a nucleic acid test.”
- __The 30K people tested negative,__ but were ordered to self-isolate for two days and take several more tests. The Disney fiasco is a stark example of China’s zero-tolerance Covid policy.

__Déjà vu...__ China's crackdown is reminiscent of the one instituted early in the pandemic. Except now, China has an 80% vaccination rate (higher than the US), and it's logging about 50 cases a day, out of a population of *1.4B*. For reference: The US recorded 30K cases on Saturday. Over the past few months, China has mandated business closures, event cancellations, and mass testing in certain areas. Meanwhile, other countries are loosening up:

- __Australia,__ which used to fine people thousands of $$$ for violating lockdowns, just eased border restrictions for vaccinated citizens.
- __South Korea and Japan__ relaxed distancing measures, while Thailand reduced quarantine requirements for vaxxed tourists.
- __The US__ plans to lift travel restrictions for fully vaxxed global travelers on Monday.

Unmagical

__Uncertainty is the bane of economies...__ especially when people aren’t sure when it'll end (China's goal = zero Covid cases). Economists believe China's policy could stunt its recovery. Chinese consumers have already started spending less on in-person activities. China’s economy grew only 4.9% last quarter, a dramatic slowdown from the previous quarter — and its full-year growth projections are being lowered. China’s approach could also exacerbate global supply chains, which are facing major delays from Asia.

China locks over 30K people inside Disneyland as its “zero-tolerance” Covid policy hits the economy

__Potassium-packed Peach Mango…__ __[Coke](https://robinhood.com/stocks/KO)__ has invested in electrolytes before: In 2018 Coke spent $300M for a 15% stake in __BodyArmor__, which makes coconut-water-based sports drinks. But that was just a sip. Yesterday Coke [announced](https://www.cnbc.com/2021/11/01/coca-cola-buys-full-control-of-bodyarmor-for-5point6-billion-.html) plans to swallow BodyArmor’s entire biz for $5.6B — its largest brand acquisition *ever*. 

- __Growth-thirsty:__ BodyArmor’s sales are on track to hit $1.4B this year, though Gatorade sales were still 5X higher in 2020.
- __Power-aided:__ BodyArmor’s share of the sports-drink market has 6X’d over the past four years, surpassing Coke’s 30-year-old Powerade.
- __Vita-hungry:__ Thanks to “healthy” branding and partnerships with pro athletes like Naomi Osaka and Mike Trout, BodyArmor’s sales have 6X’d since 2018.

__Functional is fashionable…__ The market for “functional” beverages (think: vitamin-packed energy drinks) was worth $100B+ last year, and is expected to nearly *double* by 2030. Big Bev brands want a taste of the action: __[Pepsi](https://robinhood.com/stocks/PEP)__ bought Rockstar Energy for $4B last year, Coke acquired protein milk company __Fairlife__, and __[Dr. Pepper](https://robinhood.com/stocks/KDP)__ bought low-sugar fruit drink __Bai__ for $1.7B.

B12 or be gone [We Are/DigitalVision via Getty Images]

Electrolytes

__Buying rivals > building rivals…__ especially for giant consumer companies. For Coke, it may be quicker to buy and distribute existing “health” brands like BodyArmor than to develop and market new brands in-house — especially since it’s known for sugary sodas. That’s why Candy giant __Mars__ scooped up __Kind__ power bars last year and __[Nestlé](https://robinhood.com/stocks/NSRGY)__ bought plant-based brand __Sweet Earth__.

Coke splurges $5.6B for health-focused Gatorade rival BodyArmor — its largest purchase ever

China’s Disneyland lockdown, Coke’s biggest purchase, and more of today’s top Snacks stories

🎢 China’s Disneyland lockdown

__Fly like a G20...__ or Air Force One over the Colosseum. Over the weekend, leaders of the world's 20 biggest economies met IRL for the first time in two years — *minus* Russia's Putin and China's Xi, who called in via video. The two-day summit was held in Rome, but it wasn't a breezy Roman holiday. Why it matters:

- __Econ impact:__ G20 countries account for more than 80% of the world's economic output, 75% of its trade, and 60% of its population.
- __Climate impact:__ The G20 — which includes the US, China, Germany, India, and Brazil — accounts for 80% of greenhouse-gas emissions.
- __Biz impact:__ G20 leaders [endorsed](https://www.aljazeera.com/news/2021/10/31/g20-leaders-endorse-global-corporate-minimum-tax) a minimum global tax rate of 15% for multinational corporations, aiming to implement it in 2023.

__Climate vitals…__ Greenhouse-gas concentrations hit a record last year, and the planet is "way off track" in capping rising temperatures, the UN says. This exacerbates extreme weather and rising sea levels. Rich countries are lagging behind their $100B/year [pledge](https://www.wsj.com/articles/rich-nations-lag-behind-in-meeting-100-billion-climate-funding-pledge-in-blow-to-cop26-11635184234) to help developing nations transition to greener energy. 

__Covid checkup...__ While 70% of US adults are fully vaxxed, only half the world’s population has received a shot. The goal was to vaccinate at least 40% of each country's population by the end of 2021 — we’re still far from that. [Most](https://www.nytimes.com/interactive/2021/world/covid-vaccinations-tracker.html) African countries have fully vaccinated less than 10% of their population.

__Recovery screening...__ Thanks to Delta surges, supply-chain backlogs, and rising prices, global economic recovery is in [danger](https://www.brookings.edu/research/october-2021-update-to-tiger-the-global-economic-recovery-is-in-danger-of-stalling/) of stalling. The US economy's growth [slowed](https://www.cnbc.com/2021/10/28/us-gross-domestic-product-increases-at-2point0percent-annualized-pace-in-q3-vs-2point8percent-estimate.html) sharply last quarter — so did China's.

The G20’s colossal battle [Grant Faint/The Image Bank via Getty Images]

__With great power comes great responsibility…__ So the G20 is setting shared targets for the Earth’s biggest problems. On the Covid front, leaders committed to trying to vaccinate 70% of every country by mid-2022. The US plans to donate 1B+ doses by next fall. On climate, leaders [pledged](https://www.nytimes.com/2021/10/31/climate/g20-coal.html) to stop financing coal power plants abroad, and “pursue efforts” to limit the average global temp rise to 1.5 °C  by 2100.  At the UN climate summit this week, powerful nations have another chance to further their ambitious goal: global carbon neutrality by 2050.

Global checkup: The G20 summit tackles climate change, Covid, and the economy

__Post-Halloween scaries…__ shipping delays. Holiday spending is expected to smash records this year, but retailers are *sweating* to meet demand. Nearly everything is in short supply, and materials and labor costs are surging. Amazon paid the price last quarter when profit plunged by nearly half from last year. The ’Zon expects to face billions in extra costs *this* quarter to hire 310K seasonal staff, among other costs. Meanwhile, __[Target](https://robinhood.com/stocks/TGT)__, Amazon, __[Best Buy](https://robinhood.com/stocks/BBY)__, and __[Walmart](https://robinhood.com/stocks/WMT)__ launched Black Friday sales early to ease delays.

__Ask app not to track…__ Big Tech earnings are over, but fallout from Apple’s privacy change *isn’t*. Facebook’s ad-sales growth majorly [slowed](https://snacks.robinhood.com/newsletters/1jAVVspgAe5mlsMnz9NEph/articles/2Vosrdk3nhKReYL818wjC7/) from the previous quarter (33% growth vs. 56%). Facebook and __[Snap](https://robinhood.com/stocks/SNAP)__ blamed Apple’s iOS update — which lets users opt out of ad tracking — for the disappointing numbers. __[Google](https://robinhood.com/stocks/GOOGL)__, __[Twitter](https://robinhood.com/stocks/TWTR)__, and Amazon weren’t as affected. To position itself for growth, Facebook is becoming a “metaverse company” (new name: Meta). The metaverse could be a hub for virtual interaction and commerce, from VR shopping to games. Read: *less reliance on iPhone ad $$*.

Zoom Out

Stories we’re watching...

__Double shot…__ __[Moderna](https://robinhood.com/stocks/MRNA)__ and __[Pfizer](https://robinhood.com/stocks/PFE)__ drop earnings this week. 68% of Americans over the age of 12 are fully vaxxed — *and 92% of that group had either Moderna or Pfizer shots*. Unlike __J&J__, both have chosen to profit from Covid-vax sales. Last quarter, Moderna [revealed](https://snacks.robinhood.com/newsletters/7smONUNjrn1RF9LBhEgLe7/articles/4GUGqbhYGdsfyMcKDiqUuK/) a whopping $3B profit on $4.2B in vax sales. Meanwhile, Pfizer raised its yearly vaccine sales forecast to $33.5B, from $26B. The FDA just approved Pfizer’s vax for kids as young as 5, while nearly one in 10 Americans has received boosters of the three authorized vaccines.

__La Mer skincare routine…__ Now reach for the bronzer. Beauty giant __[Estée Lauder](https://robinhood.com/stocks/EL)__ owns brands like MAC, Clinique, Too Faced, and La Mer. The beauty industry lost $175B last year as masks replaced lip gloss and foundation. But matte is back: For fiscal year 2021, Estée’s sales and profits surpassed pre-pandemic levels. We’ll see whether the beauty boom is still accelerating when Estée unpacks earnings tomorrow. 

Events

Coming up this week...

- __[Musky](https://snacks.robinhood.com/newsletters/584AsHjh5TeKtgP50rjco/articles/36KAN7Gde6BNGFOScj0LQ8/):__ Elon and other billionaires balked at a proposed (now dead) “billionaires tax,” which would’ve taxed unrealized gains on unsold investments. 
- __[Cheesy](https://snacks.robinhood.com/newsletters/539Y2n8dEQ1Dq1nUhKhYql/articles/5gFcP4oLqF2pWyDl2grWoV):__ __[McDonald's](https://robinhood.com/stocks/MCD)__, __[Coke](https://robinhood.com/stocks/KO)__, and __[Kraft Heinz](https://robinhood.com/stocks/KHC)__ dished out strong earnings after hiking prices on American food staples, from Bagel Bites to Big Macs. Thank the “staple advantage.”
- __[Juicy](https://snacks.robinhood.com/newsletters/6fvWNlLj06lmuzw6LGoQJT/articles/4ADArtfh2xKfYOP5GrK3Ip/):__ __Hertz__ is splurging $4B+ for 100K __[Teslas](https://robinhood.com/stocks/TSLA)__ in a massive bet on large-scale EV rentals. The goal: appeal to enviro-conscious, commitment-phobic consumers.

ICYMI

Last week's highlights...

The G20’s global checkup, Big Tech’s Apple problem, plus more of today’s top Snacks stories

🌎 G20 tackles Covid and climate

__Primed for disappointment...__ With the holidays approaching and shortages wreaking global havoc, all eyes were on __[Amazon](https://robinhood.com/stocks/AMZN)__ earnings yesterday. Refresher: Amazon’s sales hit a record $125B for the quarter ending last December, but year-over-year growth has been slowing. The Zon's shares *still* haven't recovered from lackluster earnings in July. Its latest earnings were even worse than expected.

- __Plunging profit:__ Profit plunged by nearly half, to $3.2B, down from $6.3B in the same quarter last year — way worse than expected.
- __Slo-mo sales:__ Sales grew just 15% from last year, to $110B — slowing from 27% growth in the previous quarter, and 44% in the one before that.
- __Forlorn forecast:__ Amazon expects sales to slow even *more* this quarter, as buyers return to IRL stores. Rival __[eBay](https://robinhood.com/stocks/EBAY)__ also lowered forecasts for online holiday shopping.

__Save the Ted Lasso ’fit for *next* Halloween...__ That's when it's arriving. Holiday spending is expected to smash records this year, but retailers are sweating to meet demand. Nearly everything is in short supply, and materials and labor costs are surging. Amazon expects to face *billions* in extra costs this quarter to manage higher shipping prices and rising wages — "all while doing whatever it takes to minimize the impact on customers." It plans to hire 150K seasonal staff in the US, 50% more than last year — plus 160K workers overseas.

Haunted by shortages, rising costs, and gift orders [inhauscreative/E+ via Getty Images]

Spooky

__A capital advantage is a *competitive* advantage...__ And Amazon has plenty of capital. Think: $30B in cash and nearly 1M US employees. One of every 153 American workers [is](https://www.businessinsider.com/amazon-employees-number-1-of-153-us-workers-head-count-2021-7) on Amazon's payroll. That's how it doubled the size of its fulfillment network during the pandemic, and went on a mass hiring spree to meet demand. Everyone is dealing with supply and labor headaches. But Amazon is one of the few that can afford to adapt at that scale to keep customers happy.

Amazon drops bummer earnings, haunted by rising costs and holiday demand

__I’ll take fries with that…__ Food giants __[McDonald’s](https://robinhood.com/stocks/MCD)__, __[Coca-Cola](https://robinhood.com/stocks/KO)__, __[Kraft Heinz](https://robinhood.com/stocks/KHC)__ — aka McCocaKraft — [reported](https://www.nytimes.com/2021/10/27/business/mcdonalds-kraft-heinz-coca-cola-earnings.html) better-than-expected sales this week, despite raising prices of fan favorites like Big Macs, Heinz ketchup, and Coke Zero. The deets:

- __Less happy meals:__ McD’s jacked up prices by 6%, but big appetite for the new Saweetie Meal helped push sales 10% higher than pre-pandemic levels.
- __More cheese for mac:__ Heinz raised prices for two-thirds of its products, from Kraft mac and cheese to Heinz ketchup — but still boosted profits and its annual forecast.
- __Costlier Coke:__ Coca-Cola lifted the price of its bevvies, yet still sold more drinks than it did pre-pandemic thanks to global thirst for fizzy drinks like Fanta.

__McDouble or nothing…__ Global food prices hit a 10-year high this month, straining low-income families and causing buyers to shell out up to 40% more for staples like PB. Rising costs of ingredients like beef and sugar also led food giants such as McCocaKraft to raise prices. __[General Mills](https://robinhood.com/stocks/GIS)__ and __Chock Full O’Nuts__ tried to shrink or swap products to mask price hikes (#shrinkflation and #swapflation). But McCocaKraft chose the other option: good old-fashioned #flation.

Arches

__The “staple advantage” is real…__ And Coke, McDonald’s, and Kraft are staples of US snack culture. Together, the tasty trio has a nearly $500B market cap — but their well-known brand names also have *huge* value. With inflation up across the board, many customers are willing to accept slightly higher prices for some go-to goodies like McNuggets, Diet Coke, and Bagel Bites. For smaller companies that haven’t reached “staple” status, it might prove harder to raise prices without hurting sales.

Food giants served up tasty earnings despite rising costs — because buyers won’t bail on Big Macs

Amazon’s spooky earnings, McCocaKraft’s “staple advantage,” and more of today’s top Snacks stories

🎃 Amazon’s spooky earnings

__Badgley Mischka dress for the rehearsal dinner...__ Minus the $700 price tag. Designer clothing rental pioneer __[Rent the Runway](https://robinhood.com/stocks/RENT)__ made its Wall Street runway debut yesterday. Shares opened for trading 9% above their $21 IPO price, but closed the day down 8%. The 13-year-old company lets you rent chic clothes, bags, and accessories for a fraction of the sticker price. RTR handles the dry cleaning, so you don't quick-wash a $400 blouse.

- __Subscription-first:__ Subs account for more than 80% of RTR's revenue. The "most loved" subscription plan lets you rent up to eight items a month for $135.
- __"Closet in the cloud":__ RTR carries 700+ designers, and the average member *rents $37K worth of clothes yearly*. Members get special prices if they choose to buy.

__"Need a gown for the gala"...__ But not mid-pandemic. Last year, RTR lost more than half its subscribers, and its loss widened to $171M (it's still not profitable). Even though 90% of its customers still WFH, proms and posh parties are coming back: In September, RTR subscribers rebounded to 112K — down from 134K pre-pandemic, but up 2X from September last year.

- __Premium on experiences:__ RTR CEO Jennifer Hyman says the pandemic pushed consumers into “valuing experiences over ownership.”
- __Sharing is trendy:__ The secondhand market is the fastest-growing portion of apparel, and RTR isn't the only one feeling the love.
- __Publicly traded rivals__ like __[Poshmark](https://robinhood.com/stocks/POSH)__, __[The RealReal](https://robinhood.com/stocks/REAL)__, and __[ThredUp](https://robinhood.com/stocks/TDUP)__ are riding the wave of sustainability trends with already-worn fashion.

Strutting to the Nasdaq gala in (rented) couture [stock_colors/E+ via Getty Images]

Strut

__Sharing > owning...__ This 2021 theme isn't only about sustainability. The pandemic taught us that life — and plans — can change *fast*. You don't want to splurge on a gown when the event could be canceled at any moment, or invest in a car when you don't know where you'll be in a month. That's why __[Airbnb](https://robinhood.com/stocks/ABNB)__ is thriving with rentals like yurts and car companies like __[Volkswagen](https://robinhood.com/stocks/VWAGY)__ are launching subscriptions.

Rent the Runway struts onto the public market as sharing catches up to ownership

__Alert Elon…__ Elon Musk’s personal wealth rocketed past $250B this week, cementing his position as Earth’s richest person (insert Bezos side-eye). But this week a Democratic senator drew up the [deets](https://www.wsj.com/articles/how-the-billionaires-income-tax-would-work-11635325201) for a first-of-its-kind “billionaires tax,” proposed as part of Biden’s $2T spending package. This would be a tax on *unrealized* gains — aka investments that have risen in price but haven’t been sold. Quick refresher:

- People are taxed on income (think: wages, salary) — *not* on total net worth (think: cash + all unsold investments). Many stock holdings aren’t taxed unless they’re sold for profit, when they can become *realized* gains.
- That’s why many billionaires pay shockingly low taxes: Mark Zuckerberg’s base pay as __[Facebook](https://robinhood.com/stocks/FB)__ CEO is $1 — his net worth is $120B+, thanks to all his FB shares. 
- The proposed 24% tax rate on unrealized gains would apply to anyone with $1B+ in assets, or $100M in income for three straight years. The tax [reportedly](https://www.axios.com/billionaire-tax-democrats-explain-b6817590-3cb5-4806-b846-b51d9e4e099f.html) wouldn’t apply to real estate, but *would* apply to crypto.

__Billionaires weren’t happy…__ Cue Elon’s disappointed [tweet](https://twitter.com/elonmusk/status/1452792781726961668). Elon’s wealth surged $36B on Monday alone after __[Tesla’s](https://robinhood.com/stocks/TSLA)__ stock spiked. Under the tax, he’d owe $7.8B if he ended the year with just those gains, even if he never sold his Tesla shares. America’s 732 billionaires — a quarter of the world’s total — would be the *only* people affected by the tax. It would reportedly generate $250B to fund the Democrats’ $2T agenda. But because of political opposition and a lack of legal precedent, the proposal has already been shot down.

B-tax

__This B-tax was just a first draft…__ While the number of Americans who own stocks is growing, gains remain unequal: The top 1% gained 5X more from stocks and funds during the pandemic than the bottom 90%. With US wealth inequality worsening — the top 1% own 32% of US wealth while the bottom half own 2% — support for some type of billionaire tax remains high.

A proposed first-of-its-kind “billionaires tax” would’ve been a major blow to the 1%’s wealth

Rent the Runway’s IPO, the “billionaires tax,” and more of today’s top Snacks stories

💃 Rent the Runway’s market debut 

__Just preordered Adele on vinyl…__ From new album launches to pod subscriptions, __[Spotify](https://robinhood.com/stocks/SPOT)__ wants to be *the* hub for creators. It [unveiled](https://techcrunch.com/2021/10/20/spotify-partners-with-shopify-to-add-merch-to-artists-profiles/) two creator tools last week, partnering with __[Shopify](https://robinhood.com/stocks/SHOP)__ to let musicians add merch to their profiles and announcing plans to expand video podcasting. The deets:

- __Virtual merch table:__ Spotify integrated with Shopify to let artists promote and sell merch in the app, like [this](https://shop.spotify.com/artist/0NB5HROxc8dDBXpkIi1v3d/product/logo-tie-dye-bucket-hat?utm_medium=app&utm_source=spotify&utm_term=00a4661c355bbef2e0ba332599ad9bc5eee78c64f0ff5ae3877f44) $30 tie-dye Remi Wolf hat.
- __Watchable pods:__ Spotify plans to expand the in-app video podcasts it tested last summer to give creators more ways to reach fans and earn subscription $$. Fans can already watch Joe Rogan’s pod.

__There’s an app for that...__ Spotify gives artists ways to profit from their music. But there’s no central hub for creators to monetize their entire brand: Many artists use Shopify to sell merch, __Substack__ to launch newsletters, and __Patreon__ to fundraise. So Spotify is investing in new features to be a one-stop-shop where artists drop new music, sell merch, and engage with fans.

- __Plugged in:__ Last year Spotify gave creators tools to raise money through __Cash App__, __GoFundMe__, and __[PayPal](https://robinhood.com/stocks/PYPL)__, and host virtual events on __Twitch__, __Instagram__, and __YouTube__.
- __Paywalled:__ In April, Spotify launched a paid subscription where participating creators received 100% of revenue for the next two years. 
- __Fans First:__ In June, Spotify relaunched a Substack-style email tool that lets artists promote offers like concert presales.

Payday

__Spotify wants to be the public square for creators…__ With the creator economy valued at $100B+, __[Twitter](https://robinhood.com/stocks/TWTR)__, YouTube, __TikTok__, and __[Snap](https://robinhood.com/stocks/SNAP)__ are building tools to attract exclusive content. The company that ultimately wins over creators may be the one with the best tools *and* biggest user base. Spotify has 165M paying listeners — more than __[Apple](https://robinhood.com/stocks/AAPL)__ and __[Amazon](https://robinhood.com/stocks/AMZN)__ *combined*. Now it’s focused on giving creators *more* ways to get paid.

Spotify makes a move with merch and video to be the one-stop hub for artists

__Ask app not to track?__ __[Facebook](https://robinhood.com/stocks/FB)__ missed quarterly sales expectations as ad-revenue growth slowed big-time from the previous quarter (33% growth vs. 56%). FB blamed Apple’s iOS update, which lets users opt out of ad tracking — and warned it could continue hurting sales. BTW: Snap blamed its earnings miss on the iOS change too. (Twitter didn’t feel a hit.) But the real highlight of FB’s results was the metaverse. 

__BRB, I’m inside the internet…__ FB is doubling down on its vision of an immersive digital future. FB wants to be a metaverse company — *not* a social company (it’s even planning a meta-focused name change). Instead of engaging with just a screen, the metaverse is an internet you can be *inside of*. Think: going to a VR concert with friends' avatars, shopping at VR stores, working in a virtual office, and even owning VR real estate. Facebook’s meta moves:

- __In 2014,__ FB bought VR headset company Oculus, which will be a key entry point into its metaverse. Think: Facebook Horizon, a recently launched VR gaming world.
- __In August,__ Facebook [launched](https://snacks.robinhood.com/newsletters/PhMLZ9g0Tr6lipu2kAVK9/articles/5s5gUS6A80hsWzlO2rQq6Q/) a Sims-like VR office, which can be accessed free...  *with a $300 pair of Oculus Quest 2 headsets*.
- __In September,__ Facebook [unveiled](https://snacks.robinhood.com/newsletters/IoFpxzaCMWYIRwnWz8IHa/articles/6aRpVMxqEwEvfe2Crkv3qp/) its first AR smart glasses, designed by Ray-Ban.
- __Now,__ FB will start reporting financial results from Facebook Reality Labs, which houses its VR and AR products.

Speeding into the metaverse [THEPALMER/E+ via Getty Images]

Zucker-verse

__FB’s rebrand is about self-reliance…__ FB expects its investment in the metaverse to reduce its total operating profit by a whopping $10B this year. But that could be worth it if it means Facebook won’t have to be as dependent on *other* companies to make $$$. Ad sales currently make up 97% of FB’s total — and rely on your scrolling on Apple and __[Google](https://robinhood.com/stocks/GOOGL)__ phones. But the metaverse could be a hub for virtual interaction *and* commerce, from games and ticket sales to hangouts, all powered by Facebook.

Facebook looks to make its metaverse future a reality as ad growth winds down

FB’s metaverse results, Spotify’s creator hub, and more of today’s top Snacks stories

👾 FB’s metaverse results

__Going Ludicrous on the weekend…__ Car-rental giant __Hertz__ [is buying](https://www.bloomberg.com/news/articles/2021-10-25/hertz-said-to-order-100-000-teslas-in-car-rental-market-shake-up?sref=q3KSFp38) 100K __[Teslas](https://robinhood.com/stocks/TSLA)__ for an estimated $4.2B, the biggest EV purchase *ever*. Hertz is paying *full sticker price*. Hertz said Tesla Model 3s would be available for rent early next month. Shares of both companies spiked 10% yesterday, and Tesla’s market cap hit $1T, putting the EV leader in the trillion-dollar club with __[Apple](https://robinhood.com/stocks/AAPL)__, Microsoft, __Saudi Aramco__, Google, and Amazon. 

__Hertz so good…__ Renting a Tesla for your weekend getaway requires less commitment than dropping $42K on a Model 3. The Hertz deal will give Tesla more exposure (rentals = test drives). And it could be a *game changer* for Hertz, which emerged from bankruptcy just four months ago. 

- __Rental-flation:__ Hertz liquidated 30% of its fleet when car prices were high, generating *more* cash on top of the nearly $6B in bankruptcy investments and $10B in loans.
- __EV-olution:__ As gas prices rise and sustainability booms, Hertz could set itself apart from competitors with Teslas-for-rent. Hertz plans to attract EV-curious renters with its revamped fleet, which will be __20%__ electric when its Teslas arrive over the next year. 
- __If you’re not first...__ you may be last. Hertz’s mega-deal will suck up 10% of Tesla’s production capacity, making it hard for rivals __Enterprise__ or __[Avis](https://robinhood.com/stocks/CAR)__ to copy its strategy.

Looking for Teslas in Terminal 2 [freemixer/E+ via Getty Images]

Tessie

__Low commitment + low impact = high appeal…__ Hertz is tapping into two key trends: commitment-phobia and sustainability. [70%](https://www.marshalltribune.com/premium/brandpoint/new-survey-how-companies-are-responding-to-the-delta-variant,22645) of US companies will continue offering remote or flexible work options, and over [a third](https://www.salamancapress.com/news/state/report-over-a-third-of-gen-z-and-millennial-workers-are-looking-for-a-new/article_bb774d1c-37e0-5ed8-9f81-e42835d4b505.html) of Gen Z and millennial workers are looking for new jobs. When you don’t know where you’ll be, commitment is daunting. That’s why __[Volvo](https://robinhood.com/stocks/VLVLY)__, __[Nissan](https://robinhood.com/stocks/NSANY)__, __[Porsche](https://robinhood.com/stocks/POAHY)__, and Land Rover have launched short-term car subscriptions. Meanwhile, __[Volkswagen](https://robinhood.com/stocks/VWAGY)__ [rolled out](https://snacks.robinhood.com/newsletters/5FNosAv8NvHNCzrNb49Ii6/articles/1yqb3lrhGUbJa7JDStTRvD/) an *EV-specific* subscription.

Hertz buys $4B+ worth of Teslas in a major bet on large-scale EV rentals

__12% Greek, 30% Irish, 100% allergic to cats...__ Also: related to a medieval Spanish king. __[23andMe](https://robinhood.com/stocks/ME)__, one of the leading DNA-testing companies, has genotyped nearly 12M customers through its ancestry and health kits. 23andMe [went public](https://www.bloomberg.com/news/articles/2021-06-17/23andme-dna-testing-company-goes-public-following-branson-deal?sref=q3KSFp38) in June via a SPAC, and shares have fallen 15% since. The bulk of its revenue comes from spit tests, but those kit sales have slowed. Now...

- __23andMe is buying Lemonaid Health for $400M.__ The telehealth startup offers “affordable” access to care and delivers meds from its own pharmacies.
- __23andMe wants to integrate genetic data with primary care.__ Lemonaid doctors [will use](https://www.bloomberg.com/news/articles/2021-10-22/23andme-to-buy-telehealth-provider-lemonaid-in-care-expansion?sref=q3KSFp38) 23andMe's reports to help determine which drugs are best suited to patients.

__"You have more neanderthal DNA than 78% of customers”...__ an [example](https://investors.23andme.com/static-files/8db681b8-4ea3-452f-a3e6-3a151d8866d9) insight from 23's subscription service. It launched with the goal of using genetics to lead a personalized healthcare revolution. It’s been trying to connect the dots between DNA testing and healthcare for *years*. A whopping 80% of its customers allow their genetic info to be used for research.

- __In 2015,__ 23andMe launched a therapeutics unit to use its saliva samples to develop drugs.
- __In 2018,__ it sold access to users' DNA to pharma giant __[GlaxoSmithKline](https://robinhood.com/stocks/GSK)__, and sealed a four-year deal to collab on drug development.
- __In 2019,__ it sold the rights to a psoriasis drug it developed using its trove of genetic data to pharma company __Almirall__.
- __Last year,__ it introduced a subscription product called 23andMe+ that gives consumers personalized health info. Think: predispositions for diabetes and celiac and muscle composition.

__The future of healthcare could be personalized...__ But it could take a while. Genetics will likely be central to the future of healthcare: 70% of providers think genetic tests will improve clinical outcomes. Other testing companies like __Color__ and __Helix__ are also positioning genetics as the future. But genetics still hasn't been adopted into primary care, and its value/benefit versus generic care hasn't been fully verified.

23andMe is buying Lemonaid for $400M in a bid to lead DNA-based healthcare

Hertz’s $4B Tesla splurge, 23andMe’s healthcare push, and more of today’s top Snacks stories

🔌 Hertz’s $4B Tesla splurge 

__DIY holiday gift inspo...__ Some want a hand-poured soy candle, some want a multibillion-dollar company. __[PayPal](https://robinhood.com/stocks/PYPL)__ was [reportedly](https://www.bloomberg.com/news/articles/2021-10-20/paypal-said-to-explore-purchase-of-social-media-firm-pinterest) in talks to buy __[Pinterest](https://robinhood.com/stocks/PINS)__ for a whopping $45B — a cushy premium on its $40B market cap. It would’ve been the biggest acquisition of a social-media company *ever*. But late on Sunday, PayPal [said](https://www.reuters.com/technology/paypal-says-is-not-pursuing-acquisition-pinterest-2021-10-25/) it was *not* pursuing a Pinterest acquisition “at this time.” Pinterest shares plunged on the news. At first tap, the pairing might have seemed random:

- __PayPal__ is the *$300B* online payments giant, with 400M+ users. It rose to fintech fame thanks to its handy checkout button on retailers' sites.
- __Pinterest__, which IPO’d in 2019, is the wholesome social network where 450M people create mood boards for chateau-style weddings, man caves, and latte art. 

__Came for the vintage Pin-spo...__ left with the vintage jeans. The PayPal-Pinterest reports  come at a time when product discovery and spending are shifting to social apps like Insta and __TikTok__. US shopping on social sites is expected to jump 36% this year, to $36B. Not coincidentally: Many Pins have "shop" buttons that connect to merchants' sites. Pinterest is where people start the shopping journey — a payments company like PayPal might be interested in finishing it.   

- __Buying an audience:__ More than half of Pinterest users are women between the ages of 24 and 49, a lucrative demo that makes the bulk of families’ spending decisions. Nearly half of Americans who make $100K+/year are Pinners.
- __Social shopping:__ If PayPal integrated its payment system with shoppable Pins, it could boost its transaction revenue from 450M+ Pinners
- __Selling #ads:__ Pinterest’s revenue from retailers’ “Promoted Pins” would've helped PayPal diversify its income, which mainly depends on payments volume. 


From Pin to pan [mapodile/E+ via Getty Images]

Pin-spo

__PayPal wants “super app” status…__ TBD if it can execute. Super apps like Alipay and __[Alibaba](https://robinhood.com/stocks/BABA)__ are used widely across Asia to shop, bank, chat, and post — all in one. Despite its big ambitions and $19B in cash to splurge, PayPal still hasn’t integrated with Venmo, which it bought in 2013 (you can’t Venmo someone who only has PayPal). PayPal isn’t pursuing a Pin-quisition at this time — but if it *does* eventually buy Pinterest or another social platform, seamless integration would likely be key to turbocharging its social-ecomm ambitions.


How PayPal’s rumored interest in Pinterest connects to the social-shopping boom

__Immunity boost…__ not a ginger shot. The FDA [authorized](https://www.cnbc.com/2021/10/20/fda-clears-johnson-johnson-and-moderna-booster-shots-for-millions-of-people.html) __[Moderna](https://robinhood.com/stocks/MRNA)__ and J&J boosters last week. __[Pfizer](https://robinhood.com/stocks/PFE)__ had already gotten the green light, so people who are at high risk or 65+ can now choose from *three* boosters. Dr. Fauci expects people under 65 to be eligible for boosters soon. Pfizer said Friday that its vax is safe for kids — now the FDA’s reviewing the results. 80% of US adults are fully vaxxed, but the push isn’t over. And some un-vaxxed workers are quitting to avoid vax mandates.

__Bit by bit…__ Crypto mainstreamification continues. __[Bitcoin](https://robinhood.com/crypto/BTC)__ prices hit a record $67K last week after two Bitcoin futures ETFs started trading in the US for the first time.  These ETFs do not invest directly in Bitcoin, but they make crypto more accessible. 200M people now own $2.5T in crypto, and it’s attracting more individual and institutional investors. __[Morgan Stanley](https://robinhood.com/stocks/MS)__, __[Goldman Sachs](https://robinhood.com/stocks/GS)__, and __[Wells Fargo](https://robinhood.com/stocks/WFC)__ all launched Bitcoin funds this year. Looking ahead, crypto giants are building more crypto tools, and more Bitcoin futures ETFs are expected to launch this month.


__FB under fire...__ __[Facebook](https://robinhood.com/stocks/FB)__ reports earnings today, while in the thick of a public-trust crisis. First, WSJ’s bombshell coverage of internal FB files underscored Instagram’s [toxicity for teens](https://www.wsj.com/articles/facebook-knows-instagram-is-toxic-for-teen-girls-company-documents-show-11631620739). Then, *two* whistleblowers said FB puts profits over user safety. Last quarter, FB’s booming ad sales drove revenue to a record $29B. But it warned that __[Apple’s](https://robinhood.com/stocks/AAPL)__ iOS update, which now lets users opt out of ad tracking, could hurt profits. It already hurt __[Snap](https://robinhood.com/stocks/SNAP)__, whose stock plunged 22% Friday after it dropped disappointing results. 

__Restocking TP…__ During the pandemic, __[Amazon](https://robinhood.com/stocks/AMZN)__ won over IRL shoppers as we scanned digital shelves for lockdown essentials. Amazon’s sales hit a record $125B for the quarter ending last December, but year-over-year growth slowed last quarter. Still, the ’Zon could make up half of US online sales this year. Ahead of holiday demand and supply-chain troubles, it plans to hire 150K seasonal staff, 50% more than last year. Amazon is set to drop earnings on Thursday.

- __[iGoods](https://snacks.robinhood.com/newsletters/5Qf6hTGbxi3ycxNel4iFWN/articles/4yofVJEch3IvKJyk5grov3/):__ Apple’s latest product launch put health-tracking water-resistant AirPods at the center of its expanding health and fitness push.
- __[RT](https://snacks.robinhood.com/newsletters/77ThjNNSIgRUvl3kUTIBDA/articles/33uYEXDJVvl3OkeDFFWczR/):__ Trump’s new company, which wants to take on Big Tech and “create a rival to the liberal media,” is going public via a SPAC called __[DWAC](https://robinhood.com/stocks/DWAC)__. DWAC stock soared 9X on the news. 
- __[UnFIFA](https://snacks.robinhood.com/newsletters/1iXdhJ9cuLxX5Bwh9QlBCx/articles/BYvgwKMBvDHg09uwKcRZs/):__ __[Electronic Arts](https://robinhood.com/stocks/EA)__ might bail on longtime teammate FIFA — after $20B+ in sales of the best-selling sports game franchise ever — because of a contract dispute.

Last week's highlights....

PayPal Pinterest rumors, Bitcoin’s big week, and more of today’s top Snacks stories