WEBVTT - Oracle Lower; Hugo Boss Offer and Stitch Fix Outlook

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news, The Stock Mover's Report,

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<v Speaker 1>your roundup of companies making moves in the stock market

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<v Speaker 1>harnessing the power of Bloomberg Data. Let's take a look

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<v Speaker 1>at some stocks on the move today. I'm Tom Keen

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<v Speaker 1>with Paul Sweeney and Bloomberg's Alexis Christophers.

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<v Speaker 2>Let's start with Oracle, because it is down more than

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<v Speaker 2>nine percent here pre market. Let's remember, though, the stock

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<v Speaker 2>is up thirty five percent in just the past three months.

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<v Speaker 2>So Oracle, after yesterday's closing bell out with a really

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<v Speaker 2>solid quarterly earnings report, a strong AI growth. But what

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<v Speaker 2>Wall Street's fixating on, and we see this with a

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<v Speaker 2>lot of companies, is what's it going to be spending on?

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<v Speaker 2>What are its capital expenses going forward? It plans to

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<v Speaker 2>spend seventy billion dollars. That is much more than Wall

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<v Speaker 2>Street was expecting. And you know, it's a database software company,

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<v Speaker 2>but it's been refashioning itself as this provider of computing

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<v Speaker 2>power for artificial intelligence work. So it's in barking on

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<v Speaker 2>this massive build out of data centers for really it's

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<v Speaker 2>the most important customer, which is open AI. And so

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<v Speaker 2>we've got shares of Oracle under pressure today, Like I said,

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<v Speaker 2>down more than nine percent.

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<v Speaker 1>Give us another stock to save the moment.

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<v Speaker 2>I'm all for it, all right, Let's go to Hugo

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<v Speaker 2>Boss and throw a little fashion into our morning. So

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<v Speaker 2>this stock is up nine percent. Fraser's Group of England,

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<v Speaker 2>it's a British based company, of course, looking to buy

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<v Speaker 2>the rest of Hugo Boss it doesn't already own for

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<v Speaker 2>two point three billion dollars. This is cump Fraser, of course,

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<v Speaker 2>back by billionaire Mike Ashley. They already own about twenty

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<v Speaker 2>six percent of Hugo Boss. But Boss has been going

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<v Speaker 2>through it. You know, they've been hit by software demand

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<v Speaker 2>in China because they have those high end suits, you know,

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<v Speaker 2>high end threads, persistent weakness, and women's wear because they're

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<v Speaker 2>not just a men's wear company. Fraser owns sports Direct already.

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<v Speaker 2>They want to add Hugo Boss to the portfolio. They

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<v Speaker 2>made an all cash bid for the German label, and

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<v Speaker 2>Bloomberg Intelligence is saying, you know, at a four percent premium,

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<v Speaker 2>they're not so sure shareholders are going to go for it,

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<v Speaker 2>but that there's nobody else really waiting in the wings

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<v Speaker 2>and something needs to happen for Hugo Boston.

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<v Speaker 1>Where is Julian Wilson today. That's a KPMG and about

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<v Speaker 1>a roll up in all this fashion stuff, and she said, yeah,

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<v Speaker 1>that's sort of the tendency.

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<v Speaker 2>The other it's getting smaller, you know, the industry is

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<v Speaker 2>getting smaller. One my trips over to London for Bloomberg,

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<v Speaker 2>I've got to pack the dress shoes. That's a problem.

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<v Speaker 2>Hugo Boss store in our building opened up early.

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<v Speaker 1>I got my shoes.

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<v Speaker 2>Since then, I've been a huge fan of full service.

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<v Speaker 1>Yes, I love it.

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<v Speaker 2>Let's stick with fashion and go stitch Fix, the online

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<v Speaker 2>personal styling service up one point three percent. It looks

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<v Speaker 2>like the turnaround started by their CEO, Matt Bear a

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<v Speaker 2>couple of years ago is finally taking hold. They have

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<v Speaker 2>reversed to client and clients. They're revamping their personal shopping features,

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<v Speaker 2>improving the consumer experience. They're posting year over year revenue

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<v Speaker 2>growth quarter over quarter. Active client growth still down year

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<v Speaker 2>over year. By the way, on active client growth, some

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<v Speaker 2>of the newest ways for clients to shop and engage

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<v Speaker 2>a of course, it's using AI powered style visualization tools.

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<v Speaker 2>I don't know what that means, but it sounds awfully fancy,

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<v Speaker 2>and things like that are bringing people back, you know,

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<v Speaker 2>highly customized shopping experiences, bringing people's back to stitch.

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<v Speaker 1>Fix this stock Moover's report from Bloomberg Radio. Check back

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<v Speaker 1>with us throughout the day for the latest roundup of

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<v Speaker 1>companies making news on Wall Street and for the latest

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<v Speaker 1>market moving headlines. Listen to Bloomberg Radio Live, catch us

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