Mark, we have a futures picture for Europe that looks pretty positive for the US, also looking pretty positive. And yet we cover day in, day out, it seems, headlines coming from Asia that talk about restrictions on daily life in some form to try and save energy, reduce demand, restrict access to two energy products or as a result of restrict restricted access. Is that some sort of global disconnect about the severity and the immediacy of the impact that this energy crisis is going to have on the global econ ...

Core Insights - Workday (WDAY) has experienced a significant decline of 31.2% over the last 21 trading days, underperforming both the broader market and its enterprise software peers due to a weaker-than-expected fiscal 2027 subscription revenue outlook, indicating moderating growth after a period of premium expansion [2][3] - The decline has raised concerns about the company's growth model and its resilience in the face of economic downturns, particularly in light of increased scrutiny on AI-related investments and margin durability [3][5] Company Metrics - Workday operates as a $35 billion company, generating $9.2 billion in revenue, and is currently trading at $130.23 [8] - The company has reported a revenue growth of 13.2% over the last 12 months, with an operating margin of 9.4% [8] - Workday's valuation includes a P/E multiple of 53.9 and a P/EBIT multiple of 35.3, indicating a moderate valuation despite strong operational performance [4][8] Historical Performance - WDAY stock has seen a decline of 55.9% from its high of $300.90 on November 17, 2021, to $132.63 on November 4, 2022, compared to a peak-to-trough drop of 25.4% for the S&P 500 [9] - The stock fully recovered to its pre-crisis level by February 9, 2024, and reached a high of $307.21 on February 26, 2024, before currently trading at $130.23 [9] - In previous downturns, WDAY stock declined by 42.9% from its peak of $199.38 on February 18, 2020, to $113.87 on March 18, 2020, and by 32.1% from its peak of $224.30 on July 11, 2019, to $152.29 on October 23, 2019, but recovered fully in both instances [10]

Core Viewpoint - Coinbase Global stock has decreased by nearly 25% over the last month, primarily due to a sharp decline in crypto markets rather than company-specific issues [2] Group 1: Market Dynamics - Bitcoin prices fell from over $120,000 in October to the low-$80,000s in November, significantly impacting Coinbase's stock [2] - A wave of involuntary deleveraging in crypto markets led to automatic selling, exacerbating the price crash [7] - Uncertainty regarding potential Federal Reserve rate cuts in December added pressure on risk assets, particularly in the crypto sector [7] Group 2: Company-Specific Factors - Coinbase's high fixed-cost structure means that declining crypto prices negatively impact its operating leverage, leading to reduced transaction revenues [7] - Monthly Transacting Users (MTU) metric tends to drop as retail investors withdraw during downturns [7] - Institutional fees associated with Assets Under Custody decrease as asset values decline, further affecting revenue [7] Group 3: Financial Performance - Coinbase's revenue growth has been strong, with approximately 23% annual growth over the past three years and nearly 49% growth in the last twelve months, increasing total revenue from around $4.7 billion to $7.0 billion [7] - Operating income is nearing $2 billion, with net income close to $3 billion and net margins exceeding 40% [7] - The stock is trading at a Price-to-Earnings Ratio of 23.5x, in line with the S&P 500, but with higher cash flow and revenue multiples [7] Group 4: Historical Context and Volatility - Coinbase's stock has historically been more volatile, plummeting over 90% compared to a 25% drop for the S&P 500, requiring 911 days for full recovery [7] - During risk-off periods, crypto activity diminishes quickly, leading to contraction in valuation multiples and revenue declines [7] - The stock remains highly correlated with Bitcoin, indicating that significant drops in BTC could lead to further declines in Coinbase's stock due to simultaneous decreases in transaction volumes and asset values [7]