Wake up with Breakfast News!

Wake up to the latest market news, company insights, and a bit of Foolish fun—all wrapped up in one quick, easy-to-read email, called Breakfast News. Delivered at 7:30 AM ET every single market day. See an example of our weekday Breakfast News email & sign-up below.

Germany has added to the week’s trade war uncertainty as new Culture Minister Wolfram Weimer said the country is considering a 10% tax on large online platforms. It would hit sites like Alphabet’s (NASDAQ:GOOG) Google and Meta’s (NASDAQ:META) Facebook. In an interview with Stern magazine, he said such companies “pay hardly any taxes, invest too little, and give far too little back to society.”

• “I believe that we will be having more talks with them in the next few weeks”: Treasury Secretary Scott Bessent told Fox News that trade talks between the U.S. and China “are a bit stalled” at the moment, after the 90-day pause agreed in Switzerland on May 12.
• More tariff wobbles: After the week’s off/on again court battles over President Trump’s tariff authority, markets look set to open weakly today with S&P 500 and Nasdaq futures down 0.2% and 0.3% respectively.

Stock Advisor recommendation Costco (NASDAQ:COST) posted Q3 revenue and earnings beats, respectively up 9% and 13% year over year. Membership income rose 10%, with worldwide membership renewal over 90%. Investors should watch e-commerce sales, with growth slipping to 15.7% from 20% a year ago.

• Up 8% in pre-market trading: Despite economic uncertainty, Ulta Beauty (NASDAQ:ULTA) beat Q1 expectations and lifted its full-year revenue outlook to between $11.5 billion and $11.7 billion. We don’t yet know what effect tariffs might force on retail prices.
• Up to $150 million in tariff costs: Gap (NYSE:GAP) looks set to open nearly 15% down today, after telling us it expects full-year operating income to be hit as a result of tariffs. That overshadowed Q1 results that saw $3.46 billion in revenue and $0.51 EPS both beating analyst estimates. The company plans to reduce its supply chain exposure to China.

Zscaler (NASDAQ:ZS) gained close to 3% in early trading after third-quarter revenue rose 23% with adjusted earnings per share (EPS) up 18%, both ahead of consensus. The cybersecurity specialist predicts $705 million to $707 million revenue in Q4, with AI expected to boost security demand.

• “Unprecedented demand” for AI: Dell (NYSE:DELL) reported a $14.4 billion backlog in AI systems orders and says it expects $15 billion in AI server sales in fiscal 2016, as it posted a Q1 revenue beat but missed EPS estimates. The company raised its Q2 revenue outlook to between $28.5 billion and $29.5 billion.
• Data center revenue up 76%: Marvell (NASDAQ:MRVL) reported AI-led growth in Q1, with total revenue up 63% and EPS soaring 158% year over year. But the stock dipped as those were barely above forecasts.

In an interview with the Diary of a CEO podcast, Airbnb (NASDAQ:ABNB) co-founder and CEO Brian Chesky explained the advantages he sees founders bringing to a company that other managers can’t match. There are parallels here that Fools will recognize. For instance, in TMF's Hidden Gems service, our advisors seek out outstanding medium-to-large businesses with all-in, visionary leadership teams.

• “You can love something, but when you're the biological parent of something, it came from you, it is you”: Business Insider highlighted how Chesky compared founders to parents, citing “a deep passion and love” for the metaphorical business baby.
• “You built it, so you know how to rebuild it": He points out that founders start out having total control of their creations, and may feel able to rebrand the company if necessary.

Which company’s current value would be most immediately hurt if its influential founder-CEO were to step away: Airbnb, The Trade Desk (NASDAQ:TTD), or DoorDash (NASDAQ:DASH)? Become a member to hear what your fellow Fools are saying.