00:00 Speaker A
We’re watching memory chip stocks Olaplex and Henkel and Navan. First up, let’s get to the memory chip stocks. Um this is a really interesting story. Google out with some research that basically talks about new memory compression technology that would allow large language models to operate with less memory, fewer memory chips in other words.
00:23 Speaker A
What’s interesting about this is the research actually didn’t come out just now. It came out something like last week or last year rather, and the company is just now sort of re publicizing it if you will. But what’s interesting is it’s hitting some of these memory chip stocks here. We’ve got Micron, SanDisk, Western Digital all down.
00:40 Speaker A
Of course, the context is these stocks have performed very, very well year to date. So this sell off coming the back on the back of that. And there has been some pushback by analysts that this idea that Google’s putting forward would actually fundamentally affect the demand for these memory chips which are in very short short supply and on back order.
00:54 Speaker A
Let’s also talk about Olaplex and Henkel. Olaplex is selling itself to Henkel of Germany for $1.4 billion dollars. Now, why is this interesting? Olaplex, if you’re not familiar with it, is a hair care brand. And when it first came out, it went viral, in particular it was known for its leave-in conditioners. I have one sitting in my cabinet that’s been sitting there for some time.
01:13 Speaker A
But then there were some lawsuits and complaints about the company that it was actually causing damage to hair, so the stock um took quite a hit. This is one of the crop of the class of 2021, when it had its IPO in 2021. And the IPO by the way was at $21 a share. It’s now selling to Henkel for $2.6.
01:30 Speaker A
So yes, the stock is up, but that puts it in a little bit of perspective. And finally, Navan, this is an online expense management company that has been gaining some market share and the company came out with an unexpected profit last quarter, revenue up 35% year-over-year. The shares are up 24% today.
01:50 Speaker A
Um Bloomberg intelligence out and talking about that this company is turning free cash flow flow positive on the back of these numbers it just reported. That is ahead of schedule, according to other analysts. And Bloomberg Intelligence says that the agentic AI tools that Navan makes should continue to to disrupt legacy providers in the corporate booking space.
02:08 Speaker A
By the way, this one is also a recent IPO and the stock is also down since its IPO went public back in October at 25 bucks a share. While it’s up a lot today, it’s still just over $11.
