• Bay Area Times
  • Posts
  • Arm stock +28% on 1st day of trading, reaching $70B market cap, 26 P/S

Arm stock +28% on 1st day of trading, reaching $70B market cap, 26 P/S

Brought to you by:

Top stories today:

  1. Arm stock +28% on 1st day, reaching $70B market cap, 26 P/S
  2. Google gives access to Gemini AI to select partners
  3. Instacart to price IPO at $10B market cap, from $9B
  4. Artificial womb group seeks 1st human clinical trial
  5. Flexport revenue -70% to $0.7B in H1 2023

0. Data and calendar

All values as of 6 AM ET / 3 AM PT, other than S&P500 close (4 PM ET / 1 PM PT).

All times are ET.

1. Arm stock +28% on 1st day of trading, reaching $70B market cap, 26 P/S

The stock reached a price-to-sales ratio of 26

  • Vs. 35 P/S for NVIDIA, which grew revenue +101% YoY and profits +9x in the July quarter. Arm's revenue is flat, in contrast. - CNBC

  • Arm likely left money on the table, even with its already premium valuation of $54.5B in the IPO (20x P/S). - Bloomberg

  • Can Arm grow into its valuation? - Semianalysis

2. Google gives access to Gemini AI to select partners as it nears release

  • Trained on Google’s proprietary data, leading to fewer hallucinations and making it especially accurate in understanding user intentions.

  • Google did not give access to its top model, still in development, which will challenge GPT-4. - The Information

Prediction markets give 72% odds of Gemini being released in Q4

Google's top AI model today ranks #13, behind models built by OpenAI, Anthropic, Meta, and MosaicML

  • Once accepted, Sidebar gives you a Personal Board of Directors, matching you with a small group of brilliant peers.

  • Users can message their group 24/7 and attend fast-paced meetings to solve their biggest challenges at work, faster.

  • Employer reimbursements possible: many Sidebar members get their membership fees covered by their employer.

Why spend a decade finding your people – join Sidebar today. Sign up for the growing waitlist of over 4,000 top senior leaders, and apply to become a founding member. - Sidebar

*Sponsored.

4. Instacart expected to price IPO at $10B market cap, rather than $9B

Still -74% vs. its ATH valuation of $39B in 2021:

Read more: WSJ.

5. Artificial womb group seeks 1st human clinical trial

  • $100M raised to test artificial wombs for babies that are born before 37 weeks.

    • 13.4M preterm births/year.

    • 0.9M deaths/year.

  • Sep. 19-20: FDA to convene a meeting of independent advisers to discuss the trial. - Nature

6. Flexport revenue -70% to $0.7B in H1 2023, worse than broader freight collapse

  • Expeditors (competitor) had its revenue -50% in H1 2023.

  • Flexport 2021 revenue had been +2x to $3.2B, with positive EBIT.

  • Flexport burned $300M of cash in H1 2023.

  • Founder Ryan Petersen just came back as CEO. - The Information

7. U.S. attempts to catch up China, Russia in hypersonic missiles

Read more: WSJ.

8. Interesting tweets, memes, and videos

9. Other headlines

AI

  • Databricks raises $500M at $43B.

  • MSN publishes embarrassing AI-written obituary.

  • Anthropic, BCG partner up to deliver LLMs to enterprise.

Tech

  • Twitter launches government ID verification.

  • WhatsApp denies it is exploring ads.

  • Adobe sales +10% to $4.89B, weak guidance even with AI.

  • Amazon updates visual search, AR search.

  • Microsoft, Oracle expand cloud partnership, to share servers.

  • Unity closes offices following death threat after price hike.

  • Twitter CEO Yaccarino brings in new exec team.

  • Salesforce to hire 3K employees after firing 8K in January.

  • Trust & Will makes online estate planning easy & affordable.*

  • Range, backed by Google's AI Fund, has revolutionized wealth management.*

*Sponsored.

Tech & law

  • SCOTUS pauses order for WH to stop contact with social media.

  • Elon's denial of Starlink in Crimea being probed by Senate Dems.

    • Netanyahu to meet him in SF amid antisemitism accusations.

  • Teams unbundling doesn't satisfy EU regulators, readying complaint.

  • Googlers told to avoid using words like “bundle,” “lock up”: trial.

  • Google reaches $93M settlement with CA over location tracking.

Biotech

  • MDMA works for PTSD in Phase 3 trial.

  • Evodiff, Microsoft's version of AlphaFold, open sourced.

  • Clock Bio raises $4M for reprogramming.

  • Gain-of-function research: scientists ask for standards.

Business

Crypto

  • SBF's defense notes leaks to NYT.

  • Paradigm's 2021 fund has -5% IRR.

  • Binance US accused by SEC of not cooperating with probe.

    • Lost head of legal and CRO.

  • Genesis ceases crypto trading operations.

U.S. politics

World

  • Zelensky to visit D.C. next week as Congress debates $24B in aid.

  • Russia seeks to expand naval presence in Mediterranean via Libya.

  • New U.S. sanctions hit Russian military supply chains, leaders.

  • Chinese defense minister under investigation for corruption: U.S.

  • Saudi Arabia's crown prince to be interviewed by FOX on Sep. 20.

Was this newsletter forwarded to you? Sign up here. Liked it? Forward it to friends and get rewards (see below).

What did you think of today's newsletter?

Login or Subscribe to participate in polls.

Disclaimer: The Bay Area Times is a news publisher. All statements and expressions herein are the sole opinions of the authors or paid advertisers. The information, tools, and material presented are provided for informational purposes only, are not financial advice, and are not to be used or considered as an offer to buy or sell securities; and the publisher does not guarantee their accuracy or reliability. You should do your own research and consult an independent financial adviser before making any investments. Neither the publisher nor any of its affiliates accepts any liability whatsoever for any direct or consequential loss howsoever arising, directly or indirectly, from any use of the information contained herein. Assets mentioned may be owned by members of the Bay Area Times team.

Please read our Terms of Service and our Privacy Policy before using Our Service.

Subscribe to keep reading

This content is free, but you must be subscribed to Bay Area Times to continue reading.

Already a subscriber?Sign In.Not now