Market Beats | Supermicro Faces Delisting Risk; Home Depot Co-Founder Dies; Boeing Workers End 53-Day Strike; Ferrari’s China Sales Plunge 29%; Goldman Sachs Promotes Largest-Ever Partner Class.

1. Supermicro Faces Delisting Risk

2. Home Depot Co-Founder Dies

3. Boeing Workers End 53-Day Strike

4. Ferrari China Sales Plunge 29%

5. U.S. Services Sector Growth Hits New High

6. NielsenIQ Plans IPO Next Year

7. Goldman Sachs Promotes Largest-Ever Partner Class

1. Supermicro Faces Delisting Risk

Supermicro (SMCI) is set to provide updates after the market closes today regarding recent allegations of financial fraud. Last week, its auditing partner Ernst & Young resigned abruptly.

The company’s stock had soared earlier this year but has since plunged 75% from its March peak. The U.S. Department of Justice has also launched an investigation.

In August, Supermicro missed the deadline for filing its 10-K annual report. Nasdaq required the company to submit a remediation plan by mid-November; if approved, the deadline could be extended to February 2025.

Wedbush analysts believe Supermicro could likely face delisting due to the absence of an auditor.

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2. Home Depot Co-Founder Dies

Home Depot announced today on its official website that billionaire co-founder Bernard Marcus has passed away at the age of 95.

Marcus served as Home Depot’s CEO for 19 years and as Chairman from 1978 until retiring in 2002.

According to Bloomberg, Marcus had a net worth of $7.4 billion. As of September, he had donated $1.8 million to Donald Trump’s campaign. In 2019, Marcus publicly supported Trump, leading to a boycott against Home Depot.

Home Depot is the world’s largest home improvement retailer, employing 475,000 people.

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3. Boeing Workers End 53-Day Strike

IAM, the union representing 33,000 Boeing engineers, announced that 59% of its members voted in favor of a new labor contract, ending a 53-day strike.

Under the agreement, union workers will receive a 38% wage increase over four years.

IAM District 751 President Jon Holden said over 26,000 members participated in the vote, and the union hopes employees can quickly return to work.

Year-to-date, Boeing’s stock has fallen 41%, marking its worst performance since 2008.

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4. Ferrari China Sales Plunge 29%

Ferrari reported a 2% decline in global supercar shipments during the third quarter, impacted by broader industry weakness.

Sales in Ferrari’s China market plunged 29%, although the company and analysts stressed that overall global demand remains solid.

Ferrari shares traded in Milan fell as much as 6.1% today, marking their largest decline since May, but remain up more than 33% year-to-date.

Despite challenges, Ferrari’s performance is relatively strong compared to other automakers dependent on China.

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5. U.S. Services Sector Growth Hits New High

New data shows the U.S. services sector index rose to 56 in October, the highest since July 2022 and surpassing nearly all economists’ forecasts. An index above 50 indicates growth.

The Institute for Supply Management (ISM) reported that the indexes for new orders and business activity rose to 57.4 and 57.2, respectively, signaling continued momentum into the fourth quarter.

Continued employment gains, low unemployment, and limited layoffs suggest strong consumer spending in Q4.

ISM’s employment index increased by 5 points to 53, marking the highest level since August 2023.

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6. NielsenIQ Plans IPO Next Year

NielsenIQ, a consumer-data company backed by Advent International and KKR, plans to go public in 2025 at a valuation of around $10 billion. The company is currently consulting with several investment banks regarding the IPO.

NielsenIQ helps retailers and manufacturers understand consumer behavior and identify new growth opportunities.

In 2021, Advent acquired Nielsen Global Connect (now NielsenIQ) for $2.7 billion.

Year-to-date, the amount raised by IPOs in the U.S. has surged 64% year-over-year to $40 billion.

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7. Goldman Sachs Promotes Largest-Ever Partner Class

Goldman Sachs is set to announce this week the largest partner class in its history, expected to surpass the 80 partners named in 2022.

Every two years, Goldman promotes senior executives into its elite partnership ranks, representing less than 1% of the firm’s workforce. Currently, Goldman Sachs has around 400 partners.

CEO David Solomon promoted 69 new partners one month after becoming CEO in 2018, and another 60 in 2020.

Although Goldman Sachs has increased the number of female partners in recent promotions, as of early this year, women represented just 20% of partners.

Under Solomon’s tenure, Goldman’s employee count increased 17% to 46,400.

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This content is sourced from Financial Times, Bloomberg, and The Real Deal, among other financial news outlets.