1. U.S. Private School Tuition Hits Record High；
2. BlackRock Defaults on Shanghai Office Loan；
3. Robinhood Revenue Surges；
4. CVS Stock Soars 15% After-Hours；
5. AppLovin Stock Up 8x in a Year；
6. Bezos’ Rocket Company Plans Massive Layoffs；
7. Jollibee Lifts Foreign Ownership Cap
1. U.S. Private School Tuition Hits Record High
A survey of 53 U.S. private schools shows that annual tuition for day schools has increased by 7.4% to $49,284, while boarding school tuition has risen by 5.3% to $73,080, both reaching historic highs.
This sharp increase is attributed to schools delaying tuition hikes during the pandemic. Rising inflation, higher teacher salaries, and increasing material costs have forced schools to pass expenses onto students.
Despite the price hike, 60% of private schools reported an increase in enrollment for the 2024 academic year, indicating that demand remains strong.
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2. BlackRock Defaults on Shanghai Office Loan
Insiders reveal that BlackRock has opted to default on loan payments for a Shanghai office tower and surrendered the property to lender Standard Chartered.
In 2018, BlackRock acquired the waterfront office building with a 780 million yuan ($110 million) syndicated loanprovided by Standard Chartered.
The loan was initially due in September 2023, but Standard Chartered granted a one-year extension. However, the lender refused to offer a second extension.
Shanghai’s office vacancy rate surged to 21.5% in Q3 2024, the highest in over 20 years. Despite offering a 30% discount, BlackRock has been unable to sell the building.
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3. Robinhood Revenue Surges
Stock trading platform Robinhood reported Q4 revenue of $1.01 billion, surpassing Wall Street’s $940 million estimate. Revenue from crypto trading soared 700% to $358 million.
CEO Vlad Tenev stated that Robinhood is doubling down on R&D and aims to integrate all financial products, including trading and custody services, into its platform.
Crypto has been the biggest growth driver, with retail traders flooding the market following Bitcoin’s surge past $100,000 under the Trump administration.
Robinhood posted a $916 million profit in Q4.
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4. CVS Stock Soars 15% After-Hours
Pharmacy giant CVS reported Q4 earnings per share of $1.19, exceeding analyst estimates of $0.92. The better-than-expected performance of its Aetna insurance unit was a key factor.
CVS has struggled in both its insurance and retail pharmacy businesses in recent years, but Q4 results show signs of recovery.
After-hours trading saw CVS stock surge by 15%, the biggest one-day gain since October 1999.
Aetna’s medical loss ratio (MLR)—the percentage of premiums spent on healthcare—came in at 94.8%, slightly lower than expectations. However, CVS warned that high medical service usage will continue to pressure profits.
Q4 revenue hit $97.7 billion.
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5. AppLovin Stock Up 8x in a Year
Mobile gaming and advertising firm AppLovin expects Q1 revenue of $1.36 billion to $1.39 billion, exceeding analysts’ $1.32 billion forecast.
In Q4, total revenue surged 44%, beating 32% growth expectations, while ad revenue skyrocketed 73%.
AppLovin also announced an AI-powered personalized ad software in its early development phase, which aims to enhance user engagement and response rates.
Following the earnings report, AppLovin shares jumped 24% in after-hours trading. Over the past year, the stock has gained 700%.
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6. Bezos’ Rocket Company Plans Massive Layoffs
Insiders report that Jeff Bezos’ space company, Blue Origin, is preparing significant layoffs to refocus on rocket launch development.
On Thursday morning, Blue Origin held an all-hands meeting and is expected to announce hundreds, possibly thousands, of job cuts.
Just last month, Blue Origin finally launched its flagship rocket, New Glenn, after years of delays.
At its peak, Blue Origin employed 14,000 people since its founding in 2000.
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7. Jollibee Lifts Foreign Ownership Cap
Philippine fast-food giant Jollibee Foods announced that the Philippine Stock Exchange has approved the removal of its 40% foreign ownership cap. The company’s stock jumped 8.9%, the biggest gain since October 2020.
Analysts believe that lifting the foreign ownership limit will attract more global investors, boosting demand and growth potential.
Jollibee is more popular than KFC and McDonald’s in the Philippines.
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This content is sourced from Financial Time, Bloomberg, and The Real Deal, among other financial news outlets.