Speaker 1: Bloomberg Audio Studios, Podcasts, radio News, The.
Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market, harnessing the power of Bloomberg Data.
Speaker 3: I'm Carol Messer along with Tim Stanevik. Let's get to
Speaker 3: you some stocks on the move. Bloomberg News Crosshouse at
Speaker 3: reporter Emily Graffeo is in the house. DraftKings, place your bets,
Speaker 3: place your best.
Speaker 4: Well, yeah, so this stock dk NG, it's down about
Speaker 4: fourteen percent right now, thirteen point five and the revenue
Speaker 4: forecast for twenty twenty six miss they see six point
Speaker 4: five billion to six point nine billion. But I feel
Speaker 4: like talk of this stock is reminding a lot of
Speaker 4: people on Wall Street just how much competition DraftKings, a
Speaker 4: sports betting company has from prediction markets.
Speaker 1: Right.
Speaker 4: So, and I think it was Matt Levine who pointed
Speaker 4: out a few weeks ago in a column that just
Speaker 4: the consumer that wants to get involved in making bets.
Speaker 4: I think you pointed out that you can be eighteen
Speaker 4: on polymarket and Calshi and trade stocks, you can make bets,
Speaker 4: and you can't with DraftKings. So there's a whole kind
Speaker 4: of scope of regulatory issues that might make DraftKings more
Speaker 4: vulnerable to competition. They said, though they're not seeing a
Speaker 4: discernible impact from predictions prediction markets on the revenue, and
Speaker 4: they see prediction markets as a massive opportunity for the company.
Speaker 4: I'm not sure how I.
Speaker 3: Wait, wait, but prediction markets aren't opportunity.
Speaker 1: There are opportunity, and they're not seeing an effect. Yeah,
Speaker 1: I don't understand that.
Speaker 4: So DraftKings and also flutters FanDuel have launched their own
Speaker 4: versions of prediction markets products. But again, what we've seen
Speaker 4: is that the stocks of a lot of these online
Speaker 4: betting companies.
Speaker 1: If you can bet on the Super Bowl using robin
Speaker 1: Hood's prediction markets, then why would you use DraftKings or FanDuel.
Speaker 4: Yeah, I'm not sure. Again, they're saying it's a massive opportunity.
Speaker 3: We'll have to I mean, at some point regulators have
Speaker 3: to say this is gambling, right, right, and so we
Speaker 3: need to regulate this.
Speaker 4: Yeah, right now, these prediction markets are arguably working in
Speaker 4: somewhat of a regulatory gray area, and they're just taking
Speaker 4: advantage of it while they can. So yeah, yeah, all.
Speaker 3: Right, let's go to travel.
Speaker 1: Let's travel somewhere.
Speaker 4: You guys are in a very like Friday.
Speaker 1: You know this, it's a three day weekend, right? Oh?
Speaker 4: Yes, right, so maybe that's just Friday, it's a it's
Speaker 4: a holiday weekend. Yeah, Okay, are if you're traveling, are
Speaker 4: you using Expedia or are you just asking sometimes munication?
Speaker 1: Yeah, sometimes you don't even know if you're using an
Speaker 1: Expedia brand.
Speaker 3: Wasn't there someone in the newsroom who just talked about h.
Speaker 1: Paul Sweeney came by and he was like, these uh
Speaker 1: ll ms are amazing when it comes to travel, travel,
Speaker 1: but did it get it right? Like did it meet
Speaker 1: an itinerary where that you actually want to do?
Speaker 4: I mean, the street has definitely caught on to that
Speaker 4: idea that travel agencies and honestly, this is part of
Speaker 4: that broader idea that any software company we're at large
Speaker 4: is really at risk. Here for AI.
Speaker 3: Toscrict AI scare right.
Speaker 4: Expedia take her xp x e XPE down five percent
Speaker 4: right now, is down as much as ten percent, around
Speaker 4: the lowest levels since November right now. And this was
Speaker 4: despite the fact that they had pretty strong earnings very recently.
Speaker 4: Fourth quarter revenue grow was the fastest in three years.
Speaker 4: Sales and gross bookings also meet estimates, but if you
Speaker 4: look at what Wall Street said Canter Fitzgerald, they have
Speaker 4: a neutral rating on the stock. They said, until we
Speaker 4: gain confidence on Expedia's AI strategy, we're keeping this neutral rating.
Speaker 4: And BI kind of noted the same thing as well.
Speaker 4: AI is a long term risk for the broader online
Speaker 4: travel industry.
Speaker 3: Yeah, there's this, there's somewhere this AI scare. You know,
Speaker 3: I'm not going to take a perspective, but you think
Speaker 3: about it and you can understand how things are going
Speaker 3: to change and evolve and whether.
Speaker 4: Or not.
Speaker 1: Market every day for the past two weeks.
Speaker 4: Absolutely right, And yeah, it's like a whammy for Expedia
Speaker 4: because it's like travel agencies, but it's also just yes,
Speaker 4: software companies more broadly are the trade has been very
Speaker 4: risk off for software right now.
Speaker 1: Okay, two decliners. Now let's go to something in the green.
Speaker 4: Yes, we'll end on a high note. I'm looking at
Speaker 4: sure As Applied Materials AMAT is the ticker. It's up
Speaker 4: a nine percent right now, actually a record high, and
Speaker 4: this is also speaks to an AI trend. They're the
Speaker 4: largest US supplier of chip making gear and they had
Speaker 4: pretty good earnings overall yesterday after the closed net sales
Speaker 4: beat adjusted EPs beat, and yeah, they expect revenue of
Speaker 4: approximately seven point sixty five billion in the second quarter.
Speaker 4: The global and also domestic build out of data centers
Speaker 4: is something that they will benefit from because again they're
Speaker 4: they're a supplier, so.
Speaker 3: Forty this year and that's after a nearly sixty percent
Speaker 3: game last year.
Speaker 4: Yeah. Yeah, we saw a number of analysts hiking price
Speaker 4: TRD and highlighting the magnitude of the forecast beat that
Speaker 4: this company had.
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