Good Morning! The first pictures of SBF from jail surfaced on the internet (see below). Former Disney channel star (& Harvard/MIT grad) Bridgit Mendler launched a data satellite startup backed by major VCs. Big 7 profits (Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia and Tesla) now exceed almost every country in the world. Goldman Sachs is feeling bullish and hiked its S&P 500 price target to 5,200. Plus why you should choose process over goals, and how to flip workplace stress on its head.

58% of you had to work on President’s Day, but if she was at Cloud 9 in Aspen this weekend, focus on yourself, King. 👑 🙌

We're thrilled to announce a significant upgrade to our Short Squeez Insiders Membership. The goal is to provide the tools you need to excel in all facets of your life. Check it out here.

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Swipe Right for Mergers

2024 is kicking off with some blockbuster mergers.

The latest? Capital One agreed to acquire Discover Financial Services for $35.3 billion, setting the stage for a credit card company that could challenge the Visa and Mastercard duopoly. 

It’s an all-stock deal that valued Discover 27% above Friday’s closing price. Discover shareholders will receive 1.0192 Capital One shares for each of theirs.

The deal positions Capital One to capitalize on the fast-growing credit card market. Capital One and Discover are two of the largest credit card issuers behind JPM and Citi, but Discover also has a payment network, that competes with Visa and Mastercard.

By integrating Discover's network, Capital One will boost its transaction-enabling capabilities but the merger's success hinges on regulatory approval given the size of the deal.

For consumers, it could mean even more credit card options and rewards programs, especially for those with top-tier credit scores. Capital One's planning on retaining the Discover brand, which could help customer loyalty.

The transaction is expected to generate $1.5 billion in synergies and close later this year or early 2025.

Takeaway: Dealmaking has rebounded this year after a slow 2023 (high interest rates and strict antitrust enforcement). Notable recent deals include Exxon's $60 billion acquisition of Pioneer Natural Resources, Chevron's $53 billion purchase of Hess, and Synopsys's $35 billion acquisition of Ansys. The Capital One/Discover tie-up is the largest financial deal since BB&T bought SunTrust for $28 billion in 2019. But don't pop the champagne just yet—this deal’s about to give regulators a field day and then some.

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Introducing the New Short Squeez Insiders

We're excited to announce a significant upgrade to our Short Squeez Insiders membership, marking little over a year since we debuted our Premium Short Squeez membership.

Our NEW membership aims to support the multi-faceted lives of young professionals like you. 

Balancing career ambitions with personal growth and outside-the-cubicle activities can be overwhelming. That's where our Insiders Membership steps in, helping you level up your life across the board.

What’s New?

• Investing Newsletter featuring a markets recap that will keep you abreast of the most important trends in equities, real estate, and economic data, all with an entertaining spin.

• Knowledge Newsletter curating top research, podcasts, articles and links that will hit your inbox Sunday mornings.

• Wellness Newsletter where we delve into the ways you can optimize your physical and mental well-being, even with a busy work schedule.

• Career Newsletter including interviews with industry veterans, job opportunities, recruiting guides, and exclusive updates on comp and other Wall Street trends. 

And here are a couple bonus features you’ll want to check out:

• Portfolios of professional investors (Ackman, Buffett, Burry etc.) that you can find on our revamped website.

• Courses including our private equity course, complimentary with your membership.

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Top Reads

• How Texas came to rival New York as a finance hub (YF)

• Magnificent 7 profits now exceed almost every country in the world (CNBC)

• The downside of having America’s lowest unemployment rate (Axios)

• Singapore’s AI ambitions got $740 million boost with investment plan (CNBC)

• Goldman Sachs lifts S&P 500 target to 5,200 (YF)

• Family offices are trading cash for alternative assets (CNBC)

• Private credit cuts pricing to fend off Wall Street deal grab (BB)

• Bridgit Mendler launches satellite data startup backed by major VCs (CNBC)

• The man who tamed the world’s most troubled bank (WSJ)

• NFL billionaires considering private equity Hail Mary for succession plan (Fortune)

_{CAPITAL PULSE}

Markets Rundown

Markets were closed on Monday for President’s Day.

Private Dealmaking

• Higharc, a cloud platform for homebuilders, raised $53 million

• Bold, an electronic payments infrastructure startup, raised $50 million

• Skylo, a direct-to-device satellite provider, raised $37 million

• Sudo Biosciences, a TYK2 inhibitors developer, raised $30 million

• Traive, an agriculture credit risk startup, raised $20 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

_{BOOK OF THE DAY}

How Women Rise

Leadership expert Sally Helgesen and bestselling leadership coach Marshall Goldsmith have trained thousands of high achievers -- men and women -- to reach even greater heights. Again and again, they see that women face specific and different roadblocks from men as they advance in the workplace.

In fact, the very habits that helped women early in their careers can hinder them as they move up. Simply put, what got you here won't get you there . . . and you might not even realize your blind spots until it's too late.

Are you great with the details? To rise, you need to do less and delegate more. 

Are you a team player? To advance, you need to take credit as easily as you share it.

Are you a star networker? Leaders know a network is no good unless you know how to use it. 

Sally and Marshall identify the twelve habits that hold women back as they seek to advance, showing them why what worked for them in the past might actually be sabotaging their future success.

Building on Marshall's classic bestseller What Got You Here Won't Get You There, How Women Rise is essential reading for any woman who is ready to advance to the next level.

"A myth-busting "how to" for the next generation of women leaders.”

_{DAILY VISUAL}

Laid Off Tech Workers

Global layoffs but the majority took place in the US

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Resilience

Resilience shines brightest when life throws us curveballs, teaching us that it's not the avoidance of struggles but our response to them that defines our strength. The resilient understand that suffering is a shared human experience, not an individual curse, leading them to face life's challenges with a "Why not me?" attitude.

This mindset doesn't trivialize pain but empowers one to confront adversity head-on, recognizing that life's toughest moments are not signs of personal failure but opportunities for growth and learning.

Moreover, the essence of resilience lies in focusing on the positives amidst the negatives, a skill that involves deliberate effort to appreciate the good when bad things happen. Resilient individuals practice mental discipline, distinguishing harmful thoughts from helpful ones, and choosing hope over despair.

This approach to life doesn't ignore the reality of pain but offers a way to navigate through it, ensuring that while we may not have control over every situation, we have the power to choose our reactions, thereby transforming adversity into a pathway to strength.

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Short Squeez Picks

• Why choose process over goals

• How to decide your next decade

• How to get morning light even if you hate getting up early

• How to create luck

• How to flip workplace stress on its head

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Memes of the Day