WEBVTT - Week Ahead: Walmart, Home Depot, Deere

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look now at some of the stocks

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<v Speaker 3>making news in the week ahead. I'm John Tucker along

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<v Speaker 3>with Isabel Lee, the Bloomberg Cross Asset reporter. The parade

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<v Speaker 3>of earnings continues, and we're going to start with the

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<v Speaker 3>biggest retailer in the world, Walmart. What's the expectation there?

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<v Speaker 1>Walmart ticker WMT earnings will be on May twenty first,

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<v Speaker 1>that's a Thursday, which I checked right before we came

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<v Speaker 1>on because you said we had to know the day.

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<v Speaker 1>It's Thursday, seven am. ET earnings call is eight am,

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<v Speaker 1>so early wake up if you really want to know

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<v Speaker 1>more about Walmart revenue expected. The consensus estimates is seven

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<v Speaker 1>hundred and forty eight billion dollars adjusted wut at EPs

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<v Speaker 1>two dollars in ninety three cents and deluted EPs two

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<v Speaker 1>dollars ninety three cents. So I could bore you with

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<v Speaker 1>the numbers, but key themes to watch definitely market share gains.

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<v Speaker 1>We know Walmart is positioned to benefit from its value

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<v Speaker 1>and convenience proposition with sustained e commerce momentum. Maybe not

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<v Speaker 1>in New York. I really can't relate whenever.

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<v Speaker 3>I would love to go to I've never been to one.

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<v Speaker 2>Oh my gosh, they're not around here.

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<v Speaker 1>I think I may have been to one, or maybe

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<v Speaker 1>I'm making it up.

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<v Speaker 3>But which makes us more than qualified to talk.

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<v Speaker 1>Yeah, it's a once in a lifetime thing for me.

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<v Speaker 1>I would love to go to. Well, you and I

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<v Speaker 1>can go on a field trip.

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<v Speaker 3>There, we go. We can expense it.

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<v Speaker 2>Now.

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<v Speaker 3>When I talk about Walmart, I said that the world's

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<v Speaker 3>largest retailer, but it's also the world's largest grocery chain too.

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<v Speaker 1>Is a lot of people shop there. So according to

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<v Speaker 1>Jennifer bartist Huss of Bloomberg Intelligence, she's going to be

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<v Speaker 1>looking at online profitability. They're going to see whether e

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<v Speaker 1>commerce margins have improved same star sales and will get

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<v Speaker 1>revenue gains of four to five percent are anticipated. And

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<v Speaker 1>of course you're going to see consumer health. I mean,

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<v Speaker 1>we have all heard this.

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<v Speaker 3>This is kind of a bell weather in terms of

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<v Speaker 3>economic performance for uh, do I dare say the lower

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<v Speaker 3>end consumer?

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<v Speaker 1>Yes, So you're going to see that and we've heard

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<v Speaker 1>time and again and all the radio shows the K

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<v Speaker 1>shaped economy. I just read again a note today that

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<v Speaker 1>travel is going to see heightened K shape economy, and

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<v Speaker 1>I thought, obviously, I mean the higher income will be

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<v Speaker 1>in private jets and I will be in economy, you know, So.

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<v Speaker 3>Okay, let's move on. This is one store I have

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<v Speaker 3>been in. Actually put an Anderson window there. It was expensive.

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<v Speaker 3>But I'm talking Home Depot. One of the things I'm

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<v Speaker 3>seeing more and more at Home Depot. More and more

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<v Speaker 3>like professionals, carpenters, whatever show up. And it's not just

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<v Speaker 3>you know, people like Bozo's like me.

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<v Speaker 1>So, okay, Home Depot ticker is HD. You are not

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<v Speaker 1>a Bozo. But I think home Depot is a kind

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<v Speaker 1>of place that you're welcome on. I think the kind

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<v Speaker 1>of place that you just have what you If you

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<v Speaker 1>need something, it's there Because I go to Home Depot,

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<v Speaker 1>guess for what plans?

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<v Speaker 3>Really?

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<v Speaker 1>Yeah, they see you never noticed because that's not what

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<v Speaker 1>you need. I never noticed the carpentry because I live

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<v Speaker 1>in the tiny New York apartment. But Home Depot is

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<v Speaker 1>also going to report earnings May nineteen. That's a Tuesday. Oh,

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<v Speaker 1>this is even earlier. The release will be at six am.

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<v Speaker 1>ET Earning is called will be nine am, so you

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<v Speaker 1>can have breakfast in between. Revenue expected is one hundred

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<v Speaker 1>and seventy eight billion dollars. Adjusted diluted EPs is sixteen

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<v Speaker 1>dollars and thirty one cents, gap diluted EPs fifteen dollars

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<v Speaker 1>and ninety eight cents, and that's earning sixteen billions. So again,

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<v Speaker 1>key themes to watch your also consumer confidence. I mean,

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<v Speaker 1>uncertainty around inflation and job security has really, I guess,

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<v Speaker 1>deterred people from making large home improvements. Why will you

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<v Speaker 1>remodel your kitchen when you think you're well.

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<v Speaker 3>The other thing is the mortgage rates and what the

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<v Speaker 3>ten years growing up, the thirty year, the long bond

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<v Speaker 3>that was, you know, hovering right around five percent. With

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<v Speaker 3>the latest economic figures that feeds through mortgage rates home

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<v Speaker 3>expenses one hundred percent.

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<v Speaker 1>That's a great point. And I think another key theme

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<v Speaker 1>to watch is we have management indicating they've learned to

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<v Speaker 1>manage tariff, so we'll see how that plays out. I

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<v Speaker 1>feel like tariff we kind of forgot about it.

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<v Speaker 3>When I say.

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<v Speaker 1>Forgot, like new headlines have kind of dominated the market,

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<v Speaker 1>but it's still very alive and well.

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<v Speaker 3>Okay, let's finish up with the last stock on your list.

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<v Speaker 3>And I'm I'm just hoping there's some intersection between artificial

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<v Speaker 3>intelligence and John Deere. I mean, they're building all these

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<v Speaker 3>data centers everywhere they are, and Deer makes stuff that

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<v Speaker 3>you can build data centers with, like tractors and stuff

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<v Speaker 3>like that.

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<v Speaker 1>I guess, yeah, that's actually no ticker is thee. They

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<v Speaker 1>have Earnings also made twenty one Thursday, six am. Earnings

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<v Speaker 1>call is ten am, so you get a longer breakfast

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<v Speaker 1>in between. Net sales is estimated to be forty one billion,

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<v Speaker 1>total revenue forty seven billion dollars net and come four

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<v Speaker 1>point eight billion dollars, et cetera. So they're expected to

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<v Speaker 1>post a better than expected fullier twenty twenty six results. Again,

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<v Speaker 1>to your point, it's driven by maybe agricultural equipment makers

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<v Speaker 1>and the momentum in building construction.

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<v Speaker 3>Well, you know the farmer, you know, we call it farmageddon.

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<v Speaker 3>What's happening on the next right now? Well, yeah, no,

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<v Speaker 3>it's been a very difficult time, especially with the tariffs

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<v Speaker 3>and the planting season. So you know, again, dear something

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<v Speaker 3>of a bill weather for the Yuba's economy.

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<v Speaker 2>Yeah.

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<v Speaker 1>Tariff also, you're right is a key risk and used

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<v Speaker 1>inventory overhang because there's an elevated use tractor inventories which

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<v Speaker 1>continue to weigh a new equipment demand in pricing. I

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<v Speaker 1>guess where do you store these things?

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<v Speaker 3>They're so gigantic and they're Trust me, they're expensive too.

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<v Speaker 1>I can imagine.

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<v Speaker 3>I know from first hand experience.

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<v Speaker 1>Wow.

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<v Speaker 2>The Stockmovers report from Bloomberg Radio. Check back with us

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<v Speaker 2>throughout the day for the latest roundup of companies making

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<v Speaker 2>news on Wall Street and for the latest market moving headlines.

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