It was bound to happen. Or was it? In any case, Google’s parent company Alphabet reigned supreme, albeit briefly, as the world’s most highly valued company, just edging out Apple. It happened when shares of Google’s parent company Alphabet jumped, giving it a market valuation of $533.4 billion. That figure narrowly pushed aside Apple’s market cap of $532.7 billion. But Alphabet still deserved that boost, if only for just a moment, seeing as how it nailed its earnings. Revenue for Alphabet jumped almost 20% to $17.3 billion while analysts didn’t even expect Alphabet to get past $16.9 billion. The company also took in a profit of $8.67, once again beating expectations of $8.08. Those earnings were fueled in large part by its mobile ad sales figures. It was news of those fabulous earnings that sent shares of Alphabet up 4.2%, and even hitting an all-time high of $784.77, which then caused its market cap to slip past Apple. And then, just like that, it was over, as shares of Alphabet dipped leaving Apple to once again reclaim its spot as the world’s most highly valued company.
Michael Kors had a very good holiday season (in a backhand sort of way) judging by its recently released earnings. So just how good were they? Well, the company’s drop in comparable sales was much smaller than expected. Got that? So yeah, there was still a drop, it’s just that the drop wasn’t that bad. Phew. Those sales, by the way dropped only .9% even though analysts predicted Michael Kors would drop 4.5%. What a way to boost investor confidence. Sort of. But it’s still good, even in that ironic kind of way, because investors were starting to wonder if Michael Kors had the capacity to grow any more, or did it already go as high as it could go way back when? Naturally, shares jumped a whopping 19% on the very exciting, very un-disappointing news and gave those shares their biggest one-day percentage gain in two years. Company revenue also picked up by 6.3% to $1.4 billion, beating predictions of $1.36 billion. Profit, however, fell to $294.6 million, from the $303.7 million it posted at the same time last year. The company added $1.59 per share, but once again, analysts only expected $1.46 per share.
As if Yahoo didn’t have enough problems, now the tech company is facing a nasty lawsuit. The suit claims, among many other things, that Yahoo was biased against men – specifically, the company managers that govern the “Media Org.” The former employee also took issue with the company’s QPR – as in Quality Performance Review charging that the ratings system favored women. But wait – there’s more. The lawsuit then charges that Yahoo didn’t give adequate warning in the wake of mass lay-offs and violated the WARN Act. The WARN Act is a law requiring companies to give 60 days notice prior to mass lay-offs. The lawsuit is being brought by ex-Yahoo employee Gregory Anderson. Anderson worked at Yahoo for four years and served as an editorial director. Apparently, he was part of a large group of people – 600 at that – who were laid off around the same time as him. So what’s Anderson hoping to get out of this, should he miraculously prevail against an immensely powerful and influential company? Well, the usual unspecified damages, back pay and benefits, plus $500 for every single day where he was entitled to receive warning about impending mass lay-offs. Hmmm, I wonder what the other 11,000 employees who were laid off between 2012 and 2015 will do if Anderson actually wins? Naturally Yahoo did not comment on the lawsuit. But you know what it will comment on? It’s earnings, which came out today and once again, more mass lay-offs are coming down the pike.