Happy Monday afternoon to everyone on The Street. Here's a snapshot of where markets ended the trading session, plus tomorrow's trade idea delivered to you today.

• US markets were closed today in honor of Martin Luther King, Jr. Day. But with the inauguration of President-elect Donald Trump tonight, expect a rollercoaster when the markets reopen tomorrow. So there’s no better time than today to study up with Wall Street’s Cheat Sheet.

Let’s dive in.

Sponsored by Highmoon Capital

Creating a Community of Like-Minded Investors

Interested in joining the next generation’s hedge fund? Consider Silicon Valley-based Highmoon Capital.

The hedge fund seeks to collaborate with clients who are aligned with its philosophy and values. Founded in 2022 by Lumine Lin, Highmoon Capital appeals to the millennial generation. Investment strategies are both disciplined and innovative, ensuring the fund stays relevant and responds to trends that resonate with modern investors.  

Highmoon Capital is currently partnering with US-based accredited investors who meet certain financial criteria established by the SEC.

Clients who might be newer to the world of hedge fund investing are encouraged to join Highmoon Capital. Lin’s group believes in the power of a diverse investor base, where different perspectives yield a more well-rounded approach to investing. 

Ready to learn more about Lin’s market insights in 2025? Click the button below to subscribe to Highmoon Capital's newsletter.

OVERHEARD ON THE STREET

NPR: President-elect Donald Trump is set to sign numerous executive actions on his first day in office. Here are the ones announced so far.

WSJ: China signaled its willingness to negotiate with Trump to save TikTok in the US after the latter proposed a joint venture between the two nations.

ABC: Costco's unionized workers, represented by the Teamsters union with over 18,000 members, have voted to authorize a nationwide strike.

AP: Trump’s inauguration was flanked by powerful tech billionaires in VIP seats, a departure for the populist leader.

Reuters: Trump reportedly plans a trade overhaul but no day-one tariffs, with a memo calling for studies on trade with China, Canada, and Mexico.

TOMORROW’S TRADE IDEA, TODAY

Planet Fitness Has a New Years Resolution

Worth Much More Than $10

Who among us hasn’t bought a Planet Fitness (PLNT) membership in January in the hopes of hitting the gym more in the new year? But in 2025, we’re not the only ones looking to bulk up.

After dropping significantly in 2023 following the unexpected firing of CEO Chris Rondeau, Planet Fitness shares have surged, now hovering near all-time highs. Investors who took advantage of the drop have enjoyed a roughly 125% return since.

But the stock might still be a ways away from its target weight.

Built Business

Planet Fitness’ new leadership has made great efforts to keep its franchisees happy.

This included hiking its famously cheap membership price — $10 per month — which had been the standard since 1998. Memberships for new customers now start at $15 per month, although existing customers remain under the $10 plan. The new price is still just a third of what average full-service gyms cost.

Another aspect of its improvement plan is providing attractive financial incentives to new franchisees, but requiring them to purchase equipment from it regularly at a profit. Royalties are also structured to increase over time.

This aims to provide Planet Fitness with ever-increasing cash flow from its franchisees, while simultaneously serving to lessen the remodeling burden for them.

Still Chasing Gains

Preliminary 2024 data released by the company shows a modest but promising 5% growth in systemwide same-club sales growth. It also enjoys solid free cash flow thanks to its asset-light model.

Planet Fitness believes that it can grow its US locations from 2,722 to 5,000. Many big-box stores remain vacant as retailers struggle and shutter locations, which Planet Fitness views as an opportunity for its expansion. The gym’s popular fitness app is viewed as another potential growth driver.

In other words, bulking season for Planet Fitness may just be getting started.

Sponsored by MoneyPickle

Is Your Portfolio Future-Proof?

You’re getting the best trade ideas — but what’s your plan after you cash in?

Without a smart wealth strategy, gains can disappear faster than they grow. That’s why we’ve made it simple to connect with a trusted, vetted advisor who can help you:

• ✅ Protect your profits from taxes and market swings

• ✅ Build long-term wealth without the guesswork

• ✅ Hit your financial goals faster with a tailored plan

It only takes 30 seconds to get matched — and your first call is completely free, with zero obligation.

Make sure your wins today fuel your future success.

ON OUR RADAR

CNN: Trump and his wife Melania launched a pair of meme coins ahead of the inauguration, alarming some ethics experts.

CNBC: In his final minutes in office, President Joe Biden granted preemptive pardons to several family members, citing concerns over political persecution.

Bloomberg: Mexico is preparing for Trump's mass deportation promises by rolling out an emergency "panic app” for US-based Mexicans facing detention.

AP: Billionaires' wealth surged three times faster in 2024 than in 2023, as elites prepare for the annual Davos gathering.

Reuters: Trump appointed Republican Mark Uyeda as acting SEC chair, replacing Gary Gensler, whose agenda clashed with Wall Street and the crypto industry.

FRIDAY’S POLL RESULTS

Which stock do you think will outperform over the next 12 months?

🟩🟩🟩🟩🟩🟩 Meta Platforms (META)

🟨🟨🟨🟨🟨⬜ AppLovin (APP)