1 00:00:02,520 --> 00:00:07,040 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,480 --> 00:00:15,880 Speaker 2: in the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,960 --> 00:00:18,320 Speaker 1: Let's take a look at some of the stocks on 5 00:00:18,360 --> 00:00:20,720 Speaker 1: the move today in Europe. I'm Stephen Carroll with Lizzie 6 00:00:20,720 --> 00:00:23,599 Speaker 1: Burdon and were joined by Bloomberg reporter Chloe Male. Chloe, 7 00:00:23,640 --> 00:00:27,920 Speaker 1: good morning. Let's start with Pharmaceuticals and GSK raising its 8 00:00:27,920 --> 00:00:29,800 Speaker 1: profit and sales Outlook, what's driving that? 9 00:00:30,200 --> 00:00:32,920 Speaker 3: Well? Yeah, so they upgraded that guidance by quite a 10 00:00:32,960 --> 00:00:36,199 Speaker 3: large margin, and also the quarterly EPs be expectations by 11 00:00:36,240 --> 00:00:38,720 Speaker 3: a long shot. A lot of that was due to sales, 12 00:00:38,880 --> 00:00:42,880 Speaker 3: really strong sales of HIV and immunology medicines. In particular, 13 00:00:43,360 --> 00:00:47,760 Speaker 3: vaccines actually ordered it better than expected, despite some pharmaceutical 14 00:00:48,040 --> 00:00:51,520 Speaker 3: rival saying that there was a lower vaccination raised specifically 15 00:00:51,800 --> 00:00:53,959 Speaker 3: in the US that were weighing a little bit down 16 00:00:54,000 --> 00:00:57,600 Speaker 3: BEFAU FORJSK, seems that that division is still doing quite well. 17 00:00:58,240 --> 00:01:02,160 Speaker 3: This was the last quarter of Emma Warmsley reporting as CEO, 18 00:01:02,280 --> 00:01:04,559 Speaker 3: and this is obviously quite a strong set of results 19 00:01:04,600 --> 00:01:06,559 Speaker 3: to go out on, so I'm sure that she's pretty 20 00:01:06,560 --> 00:01:09,280 Speaker 3: pleased by it. There's new CEO, Luke Mills, will be 21 00:01:09,280 --> 00:01:11,920 Speaker 3: coming in January, and although he has picking up a 22 00:01:11,959 --> 00:01:15,880 Speaker 3: company with very strong growth, there's a few challenges going ahead, 23 00:01:15,880 --> 00:01:17,480 Speaker 3: so there's a lot of There's been a lot of 24 00:01:17,560 --> 00:01:20,840 Speaker 3: investor pressure to update the pipeline of new benefits for 25 00:01:20,959 --> 00:01:24,479 Speaker 3: GSK because a lot of its top sellers, specifically in HIV, 26 00:01:24,640 --> 00:01:28,600 Speaker 3: are facing generic competition. And also GSK hasn't managed to 27 00:01:28,600 --> 00:01:31,720 Speaker 3: strike a deal with the Trump administration on tariff relief 28 00:01:31,760 --> 00:01:34,880 Speaker 3: like AstraZeneca has managed to do. So there's a couple 29 00:01:34,959 --> 00:01:36,920 Speaker 3: of things that the new CEO will have to focus 30 00:01:36,920 --> 00:01:40,080 Speaker 3: on when he comes in. But so far today, at least, 31 00:01:40,080 --> 00:01:42,960 Speaker 3: it seems that investors are reassured from this set of results, 32 00:01:43,000 --> 00:01:46,000 Speaker 3: and they seem quite convinced that GSK can deliver the 33 00:01:46,160 --> 00:01:49,240 Speaker 3: forty pounds in cells that it is targeting by twenty 34 00:01:49,240 --> 00:01:50,080 Speaker 3: thirty one. 35 00:01:50,200 --> 00:01:52,200 Speaker 4: We've also got to talk about Mercedes. It's one of 36 00:01:52,240 --> 00:01:56,560 Speaker 4: the best performing stocks this morning, confident that it's cash 37 00:01:56,800 --> 00:02:00,480 Speaker 4: generation will be strong ahead. Chloe, what are we looking 38 00:02:00,480 --> 00:02:02,680 Speaker 4: out for on the back of the carmaker's earnings. 39 00:02:02,800 --> 00:02:04,480 Speaker 3: Yeah, so it's not super often that we get a 40 00:02:04,520 --> 00:02:07,360 Speaker 3: really positive update like this from a European a carmaker. 41 00:02:07,400 --> 00:02:09,960 Speaker 3: But Mercedes, as you said, is moving much higher this 42 00:02:10,000 --> 00:02:13,360 Speaker 3: morning after confirming its outlook and announcing a two billion 43 00:02:13,400 --> 00:02:15,920 Speaker 3: euroshare buyback. So as you mentioned, that shows that the 44 00:02:15,960 --> 00:02:19,040 Speaker 3: company is confident in that ability to generate cash, and 45 00:02:19,080 --> 00:02:22,240 Speaker 3: that's really helped to reassure investors that the worst might 46 00:02:22,280 --> 00:02:25,120 Speaker 3: actually be behind for a Mercedes. It's the only major 47 00:02:25,480 --> 00:02:28,560 Speaker 3: German automaker that hasn't cut its outlook in recent weeks. 48 00:02:28,560 --> 00:02:31,359 Speaker 3: But it's obviously not completely immune to the challenges that 49 00:02:31,440 --> 00:02:34,520 Speaker 3: are faced by a portion and BMW and others. So 50 00:02:34,760 --> 00:02:37,120 Speaker 3: it's obviously still dealing with the cost of US tariffs, 51 00:02:37,120 --> 00:02:40,360 Speaker 3: which obviously is a key market for large SUVs in particular, 52 00:02:40,960 --> 00:02:43,160 Speaker 3: and China really is the main concern. So sales in 53 00:02:43,160 --> 00:02:46,880 Speaker 3: the country had their worst quarterly performance there since twenty sixteen, 54 00:02:47,680 --> 00:02:51,080 Speaker 3: and that's because demon foiluxury cars is falling and cheaper 55 00:02:51,120 --> 00:02:54,760 Speaker 3: domestic manufacturers like BOAD are gaining more and more market share. 56 00:02:55,280 --> 00:02:56,880 Speaker 3: So it's not out the woods just yet, but that 57 00:02:56,960 --> 00:03:00,320 Speaker 3: is somewhat reassuring today's update from Mercedes. 58 00:03:00,040 --> 00:03:03,160 Speaker 1: And shares up five point seven percent at the moment. 59 00:03:03,240 --> 00:03:06,240 Speaker 1: Let's go to nor Away now softening energy prices hitting 60 00:03:06,280 --> 00:03:07,760 Speaker 1: profits at ecuanor. 61 00:03:07,520 --> 00:03:09,720 Speaker 3: Yeah, not so good news over the energy sector. So 62 00:03:09,840 --> 00:03:12,600 Speaker 3: the third quarter earnings drop because of those weaker oil 63 00:03:12,639 --> 00:03:15,920 Speaker 3: prices and also weaker trading profits. So we knew coming 64 00:03:15,960 --> 00:03:18,600 Speaker 3: into the earning season that oil majors would face pressure 65 00:03:18,680 --> 00:03:21,680 Speaker 3: because oil prices over the third quarter were lower because 66 00:03:21,720 --> 00:03:25,520 Speaker 3: of OPEC ramping up those supplies. There's also the fact 67 00:03:25,520 --> 00:03:28,280 Speaker 3: that volatility and the energy market calmed down a little 68 00:03:28,320 --> 00:03:30,560 Speaker 3: bit as well over to period, which means that there 69 00:03:30,560 --> 00:03:33,960 Speaker 3: were fewer opportunities to profit from really large price swings, 70 00:03:34,120 --> 00:03:37,520 Speaker 3: which explains those weaker trading profits. So we have also 71 00:03:37,560 --> 00:03:41,200 Speaker 3: Shell intert Energies reporting tomorrow, so we'll get a bit 72 00:03:41,240 --> 00:03:43,360 Speaker 3: more detail on how much those companies have been hit 73 00:03:43,600 --> 00:03:46,600 Speaker 3: by those softer oil prices and whether they've been able 74 00:03:46,640 --> 00:03:48,880 Speaker 3: to mitigate that. Of course, the key thing for those 75 00:03:48,960 --> 00:03:52,720 Speaker 3: companies is whether they're able to maintain their shareholder distribution, 76 00:03:52,880 --> 00:03:56,080 Speaker 3: because the ability to withstand those commodity pressures and keep 77 00:03:56,160 --> 00:03:58,760 Speaker 3: up those payouts is really key to their appeal. 78 00:04:00,200 --> 00:04:04,560 Speaker 2: Stockmover's report from Bloomberg Radio. 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