Buy Now Pay Later Stock Soars After 2024 Guidance Beat

Good morning. It's January 16th, and today we'll take a look at Q4 results from BofA, Morgan Stanley, and United Healthcare.

Technology

This Tech Company Could Disrupt the $1 Trillion Smartphone Industry

While Apple’s era of innovation may have slowed, a new contender is shaking up the smartphone world in ways no one saw coming.

This disruptor, now trading under the Nasdaq ticker $MODE, has turned smartphones into income-generating assets, helping users save and earn over $325M+.

With an astounding 32,481% revenue growth in just three years, it’s positioned to disrupt the $1 trillion smartphone industry in the same way Uber redefined transportation and Airbnb transformed hospitality.

This is your chance to invest in a pre-IPO opportunity that’s already attracted over 30,000 shareholders. Shares are currently priced at just $0.26.

Click here to secure your stake in the next big tech revolution before it’s too late.

*Mode Mobile recently received their ticker reservation with Nasdaq ($MODE), indicating an intent to IPO in the next 24 months. An intent to IPO is no guarantee that an actual IPO will occur. *Please read the offering circular and related risks at invest.modemobile.com.

Futures 📈

What to Watch

Earnings:

• UnitedHealth Group [UNH]: Premarket

• Bank Of America [BAC]: Premarket

• Morgan Stanley [MA]: Premarket

• U.S. Bancorp [USB]: Premarket

• J.B. Hunt Transport Services [JBHT]: Aftermarket

• Bank OZK [OZK]: Aftermarket

Economic Reports:

• Initial jobless claims  [Jan]: 8:30 a.m.

• U.S. retail sales [Dec]: 8:30 a.m.

• Import price index [Dec]: 8:30 a.m.

• Philadelphia Fed manufacturing survey [Jan]: 8:30 a.m.

• Business inventories   [Nov]: 10:00 a.m.

• Home builder confidence index [Jan]: 10:00 a.m.

Healthcare

UnitedHealth’s Revenue Miss Sparks Stock Decline

UnitedHealth Group (NYSE: UNH) shares are down 3.6% in premarket trading today due to its disappointing fourth-quarter earnings report, which revealed a rare revenue miss.

Despite surpassing profit expectations and reaffirming its 2025 guidance, the healthcare giant’s $100.81 billion revenue is below the analysts’ $101.60 billion forecast. This is the first time in 17 quarters that UnitedHealth has not beaten revenue estimates.

Net income for the quarter has risen to $5.54 billion, or $5.98 per share, from $5.46 billion, or $5.83 per share, a year earlier. Adjusted earnings per share of $6.81 are higher than the analysts’ expectations of $6.73.

However, the revenue shortfall from UnitedHealth’s Optum and UnitedHealthcare divisions is causing investors to become jittery, further fueled by ongoing political scrutiny over pharmacy benefit managers.

CEO Andrew Witty emphasized the company’s focus on improving transparency in healthcare services and reiterated plans to deliver 2025 revenue between $450 billion and $455 billion, with adjusted EPS projected at $29.50 to $30.00.

The recent killing of UnitedHealthcare head Brian Thompson has placed additional focus on the company’s management and claims processes. Analysts remain optimistic about growth in the Optum business, though investor unease lingers.

UnitedHealth’s stock decline is expected to shave 156 points off the Dow Jones Industrial Average, highlighting its market influence and the broader implications of its performance.

Banking

BofA Profit Surges, Buoyed by Trading and Investment Banking Gains

Bank of America (NYSE: BAC) reported a significant rise in profit for the fourth quarter today, driven by robust trading activity and a rebound in investment banking.

The firm’s net income has surged to $6.7 billion, or $0.82 per share, compared to $3.1 billion, or $0.35 per share, a year earlier. Adjusted earnings per share of $0.82 are above analysts' expectations of $0.77.

The bank’s revenue from sales and trading has climbed by 10%, marking its 11th consecutive quarter of growth. Equities revenue has grown by 6%, while fixed income, currencies, and commodities are 13% higher. BofA’s investment banking fees have also jumped 44% year-over-year to $1.7 billion.

Despite the strong results, BofA’s stock is down by a modest 0.6% in premarket trade.

CEO Brian Moynihan expressed optimism about the bank's momentum heading into 2025, highlighting growth in deposits, loans, and net interest income (NII).

NII has increased by 3% year-over-year to $14.4 billion, exceeding expectations. The bank forecasts NII to rise further, reaching $14.5–$14.6 billion in Q1 and up to $15.7 billion by the end of 2025.

Despite outperforming earnings estimates, BofA's stock rose 2.7% in premarket trading, though it lagged behind some peers in 2024. Analysts anticipate a stronger dealmaking environment in 2025, fueled by President-elect Donald Trump’s pro-business agenda and a steeper yield curve benefiting banks' lending margins.

AI

This AI Stock Could Outshine Nvidia in 2025

As Nvidia (NVDA) faces mounting challenges—from waning AI chip demand to antitrust investigations in China—a new player is emerging in the AI space, catching the attention of top investors and analysts.

This under-the-radar stock has already outperformed, hitting a 52-week high while NVDA stumbles.

Analysts are calling it the “invisible” AI stock poised to lead the next wave of innovation in 2025.

Even Wall Street legend Marc Chaikin and CNBC’s Jim Cramer have taken notice, with Chaikin naming it his #1 AI pick for 2025.

Don’t miss your chance to discover the name and ticker of this potential game-changer.

[Click here to access the full report and uncover the ticker now.]

Banking

Morgan Stanley Reports $3.7B Q4 Profit Amid Banking Recovery

Morgan Stanley (NYSE: MS) reported a significant increase in fourth-quarter profit today, driven by a strong rebound in investment banking activities. The firm’s earnings of $3.7 billion, or $2.22 per share, for the quarter are more than double as compared to $1.5 billion, or $0.85 per share, in the same period last year.

Investment banking revenue has surged 25% year-over-year to $1.64 billion, mirroring similar gains reported by Goldman Sachs and JPMorgan earlier this week. A wave of mergers and acquisitions in the fourth quarter have boosted fees, while a strong U.S. economy and reduced interest rates provided additional momentum.

Shares in the firm are trading 1.2% higher today in premarket trade.

The bank also benefited from increased activity in equity markets, as rallying stock prices spurred initial public offerings and secondary share sales. Simultaneously, lower borrowing costs encouraged corporate bond issuance, further lifting investment banking revenue.

This marks a promising close to the year for Morgan Stanley and other Wall Street banks, which have seen a resurgence in dealmaking and market activity. Analysts attribute the positive trends to expectations of lighter regulatory oversight under incoming President Donald Trump and broader economic optimism.

Sezzle Inc. [SEZL] - Last Close: $259.57

Sezzle Inc. is a buy now, pay later (BNPL) payment platform that enables consumers to split purchases into interest-free installments.

The company's stock is up 26% in premarket trading today after announcing that its 2024 adjusted earnings and revenue are expected to surpass prior guidance.

In the previous quarter also, Sezzle had reported a 71.3% year-over-year increase in total revenue to $70 million and a net income of $15.4 million ($2.62 per diluted share).

Powell Max Limited [PMAX] - Last Close: $1.38

Powell Max Limited is a Hong Kong-based financial communications services provider. The company has a market capitalization of approximately $20 million and a price-to-earnings (P/E) ratio of 51.

Its stock is surging 65%+ during premarket trading today after it announced a new acquisition strategy targeting financial communications service companies with annual revenues between $1.5 million and $5 million yesterday

Symbotic Inc. [SYM] - Last Close: $26.77

Symbotic Inc. is into AI-enabled robotics technology, specializing in automating supply chains for retailers and wholesalers.

The company's stock is surging more than 20% before the opening bell today after announcing a $200 million cash deal to acquire Walmart's robotics division to enhance Walmart's automated supply chain capabilities.

Additionally, Symbotic secured a $520 million agreement with Walmart to develop AI-driven robotics platforms for the retailer's pickup and delivery centers, covering an initial order for hundreds of stores.

Mobile Industry

This Tech Disruptor Could Redefine the Smartphone Industry

A quiet revolution is reshaping the smartphone market. A cutting-edge company is turning smartphones from a monthly expense into a source of income—an innovation that could redefine the $1 trillion industry.

With users collectively earning and saving over $325M+ and an astonishing 32,481% revenue growth over three years, the stage is set for massive disruption.

Think of how Uber transformed taxis or Airbnb reshaped hospitality—this is the kind of impact at play.

Now, you have the chance to get in early at just $0.26 per share.

Click here to uncover this game-changing opportunity before it takes off.

Everything Else

• BP targets $2 billion in savings with a major workforce reduction plan.

• London-based hedge fund Arini reported stellar gains, eyeing expansion into direct lending.

• TransUnion strengthens its foothold in the Mexican credit market with a $560 million acquisition.

• Insight Partners announced a $12.5 billion fund to back software companies worldwide.

• A new global basketball league aims to challenge the NBA with $5B backing.

• Swedish EV maker Polestar faces challenges scaling amid weak demand and competition.

• Italy attracts tech giants with €10 billion push for cloud and AI infrastructure.

That’s all for today. Thank you for reading. If you have any feedback, please reply to this email.

Best Regards,

— Adam Garcia
Elite Trade Club

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