Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: This 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 today.
Speaker 1: I'm Nathan Hager, joined by Bloomberg's Dan Curtis. As the
Speaker 1: flood of earnings continues. Before we get to the stocks
Speaker 1: that are reporting this morning, we got to talk about
Speaker 1: four of the mag seven.
Speaker 2: Kind of a mixed reaction.
Speaker 3: Dan, Good morning, Good morning. It is a mixed reaction
Speaker 3: between the four companies. We have seven hundred and twenty
Speaker 3: five billion dollars of pledged capex this year, and today's
Speaker 3: reaction is telling us what the market thinks of those plans.
Speaker 3: So first up, we have Alphabet trading under ticker Googl.
Speaker 3: Those shares are up seven percent. The company behind Google's
Speaker 3: first quarter revenue came at ninety five billion dollars, topping estimates.
Speaker 3: Very importantly, the cloud business grew at a record sixty
Speaker 3: three percent, seeing twenty billion dollars and topping estimates. That's
Speaker 3: a positive sign of return on AI spending. Shares are up.
Speaker 3: The company expects to spend up to one hundred and
Speaker 3: ninety billion dollars on CAPEX this year, but markets are
Speaker 3: seeing that being put to good use. Meta on the
Speaker 3: other hand, out of the four, this one's leading to
Speaker 3: the downside. Those shares are down at nine percent in
Speaker 3: the pre market. That company liftingkapex plans to one hundred
Speaker 3: and forty five billion dollars from one hundred and twenty five.
Speaker 3: The increase driven partly by conviction that the AI strategy
Speaker 3: is paying off, but they're also noting higher component parts costs,
Speaker 3: especially in memory. It's you know as it is. The
Speaker 3: concerns are that the investment to play catch up in
Speaker 3: AI won't pay off, and one question Zuckerberg was unable
Speaker 3: to provide details on how Meta will make returns on
Speaker 3: AI spending. That those shares getting punished in pre market.
Speaker 3: Microsoft also down two percent. The company's anticipating quote modest
Speaker 3: acceleration end quote, and it's a zor cloud unit in
Speaker 3: the second half of this year. That's a key measure
Speaker 3: of its AI strategy. That comes as both Amazon and
Speaker 3: Alphabet projected stronger growth. So Microsoft seeing a little bit
Speaker 3: less return on that spending, and it is planning to
Speaker 3: spend big. It's saying up to one hundred and ninety
Speaker 3: billion dollars in CAPEX. Finally, to round up the seven
Speaker 3: hundred and twenty five billion dollars Amazon, those shares are
Speaker 3: up two percent. Amazon Web Services known as AWS and
Speaker 3: its KEYAI measure posted fastest growth rate in twenty twenty two,
Speaker 3: so again CAPECS paying off. There. That company has promised
Speaker 3: to spend about up to two hundred billion dollars this year.
Speaker 3: It now has a three hundred and sixty four billion
Speaker 3: dollar contract backlog, a lot of that coming from Open
Speaker 3: Ai and Anthropic, so that company is bringing customers even
Speaker 3: as it spends big.
Speaker 1: All right, well, we have just time to talk about
Speaker 1: some of the stocks that have reported this morning. Looks
Speaker 1: like a pretty good reaction to Eli Lilly's results.
Speaker 3: That's right. Tick Our l Y is up six percent
Speaker 3: in the pre market. The company is raising its full
Speaker 3: year revenue guidance, now projecting up to eighty five billion dollars.
Speaker 3: It's also adding two dollars per share onto its EPs
Speaker 3: guidance top end thirty five dollars per share. One Q
Speaker 3: revenue came in with a beat. Manjaro sales were eight
Speaker 3: point six billion dollars higher than estimates, over forty percent
Speaker 3: of total sales. Add in another GLP one product, zep Bound.
Speaker 3: Those GLP one products were nearly two thirds of the
Speaker 3: company's total revenue for the quarter.
Speaker 1: And hot on Eli Lilly's heels as Caterpillar.
Speaker 3: Yeah, that is up six percent. It does make you know,
Speaker 3: big machines. It also makes energy. Those shares up six
Speaker 3: percent as machinery power and energy sales of sixteen and
Speaker 3: a half billion dollars top estimates by a billion dollars.
Speaker 3: That part of the business sales generators, engines, and gas turbines.
Speaker 3: That is a hot space in the AI trade because
Speaker 3: those provide electricity to the energy intensive data center. Shares
Speaker 3: have already doubled over the past year.
Speaker 2: This stock mover's report from Bloomberg Radio. Check back with
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