GameStop Extends Meteoric Stock Surge on Boost From Musk Tweet

Nintendo Faces Complaint Over ‘Joy-Con Drift’ on Switch Console

Nintendo Co. faces a complaint from a European consumer group over what it calls “systematic problems” with the controllers for the company’s popular Switch games console.

European consumer protection organization BEUC said it filed a complaint with the European Union and national consumer protection organizations after evidence from users showed that in 88% of cases, “the game controllers broke within the first two years.”

The group said some 25,000 gamers and other consumers across Europe, including France, Belgium and the Netherlands, complained about a “recurring technical problem with Nintendo Switch controllers, commonly referred to as ‘Joy-Con Drift,’ according to a statement on Wednesday.

The problem causes a glitch where characters can move within games without any input from the user. The company was sued over the issue in the U.S. in 2019.

A Nintendo spokesperson had no immediate comment.

The consumer groups seek a Europe-wide investigation into the problems, seeking an order for Nintendo to address “the premature failures of its product.” BEUC said until then, “faulty game controllers should be repaired for free and consumers should be properly informed.”

— With assistance by Yuki Furukawa

Generali’s De Courtois, Ryan to Leave in Top Management Overhaul

Assicurazioni Generali SpA’s general manager and chief investment officer are set to leave as part of Chief Executive Officer Philippe Donnet’s overhaul of the Italian insurer’s top ranks.

The departures of Frederic De Courtois and Timothy Ryan may be confirmed at a board meeting called for Wednesday, people with knowledge of the matter said, asking to not be named because the discussions are private.

A spokesman for Generali declined to comment. Neither De Courtois nor Ryan were immediately available for comment.

Donnet, 60, will present a reorganization plan to the board on Wednesday to improve control of key businesses and speed up growth, the people said. He is seeking to accelerate the company’s digital transformation, integrate the management of insurance portfolios and boost the asset management business, people familiar with the matter told Bloomberg earlier this month.

Generali in November confirmed its three-year strategy and financial targets for this year, even as impairments from the Covid-19 crisis and an asset sale caused net income to plummet.

Anthem Issues FY21 Outlook – Quick Facts

Anthem, Inc. (ANTM) said the company expects fiscal 2021 adjusted net income to be greater than $24.50 per share. Operating revenue is projected to be approximately $135.1 billion, including premium revenue of $114.5 billion – $115.5 billion. Analysts polled by Thomson Reuters expect the company to report profit per share of $25.34 on revenue of $129.54 billion. Analysts’ estimates typically exclude special items.

For fiscal 2021, the company projects: medical membership to be in the range of 44.1 – 44.7 million. Fully insured membership is anticipate to be in the range of 18.6 – 19.0 million.

Fourth quarter adjusted net income per share was $2.54 compared to $3.88, a year ago. Operating revenue was $31.5 billion, an increase of 16.2 percent, driven by higher premium revenue due to growth in Medicaid and Medicare.

Anthem, Inc. Q4 adjusted earnings Beat Estimates

Anthem, Inc. (ANTM) announced a profit for fourth quarter that fell from last year.

The company’s bottom line came in at $551 million, or $2.19 per share. This compares with $934 million, or $3.62 per share, in last year’s fourth quarter.

Excluding items, Anthem, Inc. reported adjusted earnings of $0.64 billion or $2.54 per share for the period.

Analysts had expected the company to earn $2.52 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter rose 16.1% to $31.82 billion from $27.41 billion last year.

Anthem, Inc. earnings at a glance:

-Earnings (Q4): $0.64 Bln. vs. $1.00 Bln. last year.
-EPS (Q4): $2.54 vs. $3.88 last year.
-Analysts Estimate: $2.52
-Revenue (Q4): $31.82 Bln vs. $27.41 Bln last year.

GameStop Extends Meteoric Stock Surge on Boost From Musk Tweet

GameStop Corp. continued its skyward march in U.S. premarket trading after an Elon Musk tweet fanned the flames of the stock’s jaw-dropping rally that has sent the company’s market value surging beyond $10 billion.

The stock rose as high as $260, up 76% from the last close of $147.98. That followed Tuesday’s 93% surge, which meant GameStop has risen more than eightfold this month in a dizzying rally fueled by Reddit-charged day traders.

Following a frenzied session on Tuesday, the stock’s gains reached new extremes outside regular hours after Tesla Inc. chief Musktweeted a link to a Reddit thread about the company. Famed fund manager Michael Burrywarned that the manic rally has gotten out of hand, calling the stock’s rise “unnatural, insane, and dangerous.”

GameStop’s surge has captivated Wall Street and stymied short sellers including Gabe Plotkin’s Melvin Capital and Andrew Left’s Citron Research. It has also spurred calls for a Securities and Exchange Commission investigation, though experts say it’s difficult to prove chat-room posts are part of an illicit scheme to manipulate the market.