Speaker 1: Bloomberg Audio Studios, podcasts, radio News.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 1: Let's take a look at some stocks on the move
Speaker 1: this week. I'm Tim Staneveek along with Carol Masser, and
Speaker 1: we're joined by Bloomberg News Deputy team leader for US
Speaker 1: Equities Jessmanton Jess Lot Moving this week, what did you pick?
Speaker 3: The top performer and the best performer in the S
Speaker 3: and P five hundred was Western Digital. The ticker symbol
Speaker 3: is WDC, so if you use the MLV function you
Speaker 3: could see that on a weekly basis. So this is
Speaker 3: a digital stored solutions compatible with MAX and PCs and
Speaker 3: things like that. So hard disk drives obviously, and this
Speaker 3: is a big time when you're thinking about generative AI
Speaker 3: and how it's going to have a huge impact on
Speaker 3: those large corporations and how they do business. So what
Speaker 3: really kind of catapulted this rally this week on a
Speaker 3: weekly basis up almost fifteen percent this week was basically
Speaker 3: Morgan Stanley ended up naming the stop as its top
Speaker 3: picked and how this what was once thought of as
Speaker 3: a laggard could end up becoming more of an industry
Speaker 3: type winner because usually it gets overshadowed by Seagate, which
Speaker 3: I will mention if you look at that ticker STX
Speaker 3: this week also one of the top performers, up twelve
Speaker 3: percent on a weekly basis. So Eric Woodring is the
Speaker 3: analyst at Morgan Stanley, so he has a firm and
Speaker 3: basically maintained this by rating on the data storage company.
Speaker 3: So it boosted its price target to ninety nine dollars
Speaker 3: and it was previously ninety two dollars. And the big
Speaker 3: thing on this is if you just look from a
Speaker 3: valuation perspective, is what he was arguing. He was believing
Speaker 3: that Western Digital's twenty percent valuation discount over some of
Speaker 3: its larger peers is basically being overlooked compared to what
Speaker 3: is happening on the fundamental side, and they see that
Speaker 3: more probability in the future and some of the issues
Speaker 3: it had from a management perspective is expected to improve.
Speaker 3: So that, of course one of the top performers this
Speaker 3: week along with Seagate.
Speaker 4: Yeah, that was one of the gainers from throughout the
Speaker 4: week for me as well. I mean this dock now
Speaker 4: up about one hundred and four percent year to date,
Speaker 4: so quite a tear. It makes me think we got
Speaker 4: to look at these sectors or get these CEOs on right.
Speaker 1: Yeah, sounds good. Hey, speaking of a stock that did
Speaker 1: pretty well this week, Broadcom chicker AVG pretty well, not
Speaker 1: as well as Western Digital, but still very well.
Speaker 3: Right, So up almost thirteen percent on a weekly basis,
Speaker 3: and as you mentioned, the ticker avgo and of course
Speaker 3: the share storing on its work with open Ai to
Speaker 3: create a new AI chip, and just recently in recent weeks,
Speaker 3: people were talking about when it came to in videos
Speaker 3: revenue forecasts not coming in quite as strong as what
Speaker 3: analysts had be anticipating, as kind of a rare to
Speaker 3: see the poster child of AI do that. But then
Speaker 3: still you can't overlook Broadcom because it's still seen as
Speaker 3: a key AI beneficiary and so the fact that it's
Speaker 3: holding up well and also actually added more than two
Speaker 3: hundred billion dollars to the company's market cap on Friday.
Speaker 3: So if you're looking at the chip designers and how
Speaker 3: it's benefiting from a post chat GBT boom, that actually
Speaker 3: gave investors some more optimism on the AI story. On
Speaker 3: the back of some components with an nvidious report recently
Speaker 3: about that missed some of analysts expectations.
Speaker 4: Broadcom now up about almost forty five percent year to date,
Speaker 4: so definitely some momentum into that. One not having such
Speaker 4: a great week Lululemon.
Speaker 3: Lulu is the ticker symbol, So Lulu down seventeen percent
Speaker 3: this week and that was basically it's worst weekly performance
Speaker 3: since March of twenty twenty. So unfortunately, I mean, when
Speaker 3: you think about some of the ath leisure were and
Speaker 3: maybe more expensive compared to some of its counterparts, and
Speaker 3: what that's a tell on the economy. Unfortunately, it's having
Speaker 3: this elusive recovery that's prompting seven analyst cuts and actually
Speaker 3: more than that now, so the shares hit its lowest
Speaker 3: level since the onset of the pandemic. And unfortunately, what
Speaker 3: happened here and why this happened, It actually cut its
Speaker 3: outlook for both the third quarter and the third year
Speaker 3: and the full year rather so it actually was hurt
Speaker 3: by weak demand. And then also a component of that,
Speaker 3: of course, probably not surprisingly is trade and tariffs under
Speaker 3: the Trump administration. So you're seeing the by rating of
Speaker 3: those shares dropping two. It's lowest since twenty fourteen if
Speaker 3: you're looking at the an R functions, So like TD
Speaker 3: Cowen analyst John kernin, so the company needs to strategically
Speaker 3: pivot as the company's entering this new phase, and so
Speaker 3: just looking at the pain in that company's stock right now.
Speaker 3: Unfortunately that had actually recent years still outperformed many of
Speaker 3: its peers. So whether that's a tell on the economy,
Speaker 3: we'll have to wait and see in the cup next
Speaker 3: few months.
Speaker 4: Whether it's company specific or something more broadly in terms
Speaker 4: of consumer spending. The stock, by the way, shares of
Speaker 4: Lulu down fifty six percent year to date.
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