1 00:00:02,520 --> 00:00:09,960 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. The Stock Movers Report, 2 00:00:10,280 --> 00:00:13,520 Speaker 1: your roundup of companies making moves in the stock market, 3 00:00:13,680 --> 00:00:17,200 Speaker 1: harnessing the power of Bloomberg Data. Take a look at 4 00:00:17,200 --> 00:00:18,959 Speaker 1: some of the stocks on the move to dampul Swing. 5 00:00:18,960 --> 00:00:22,200 Speaker 1: Alongside Normal Linda, I were joined by bloom Merchant, Natalia, 6 00:00:22,280 --> 00:00:23,920 Speaker 1: Kenny Javich and Natali What are you looking at? 7 00:00:24,200 --> 00:00:26,200 Speaker 2: Cava is one of the biggest stock movers today. The 8 00:00:26,239 --> 00:00:29,520 Speaker 2: ticker is Cavea. The stock is down by seventeen percent. 9 00:00:29,600 --> 00:00:32,880 Speaker 2: This is the biggest drop on record. It came after 10 00:00:32,920 --> 00:00:36,199 Speaker 2: the company reduced its forecasts for the full year. So, 11 00:00:36,240 --> 00:00:39,800 Speaker 2: for example, now sales at established locations will expand at 12 00:00:39,840 --> 00:00:43,839 Speaker 2: six percent for this year. Previously, the company expected an 13 00:00:43,880 --> 00:00:46,720 Speaker 2: increase of as much as eight percent. So the message 14 00:00:46,760 --> 00:00:49,479 Speaker 2: is very clear. People customers here in the US are 15 00:00:49,520 --> 00:00:53,720 Speaker 2: spending less on restaurants. And it's interesting also that results 16 00:00:53,760 --> 00:00:56,680 Speaker 2: come just a couple of days after another restaurant chained 17 00:00:56,640 --> 00:01:00,600 Speaker 2: Sweet Greens right post a disappointed ernest outlook, and the 18 00:01:00,640 --> 00:01:04,280 Speaker 2: stock also plunged at the most on record. If I'm 19 00:01:04,280 --> 00:01:05,600 Speaker 2: not mistaken, No. 20 00:01:05,680 --> 00:01:08,880 Speaker 3: It's really interesting, especially thinking about the flat pass casual situation. 21 00:01:09,000 --> 00:01:11,800 Speaker 3: I immediately think of a Chipotle, but I mean compassed 22 00:01:11,800 --> 00:01:15,760 Speaker 3: the Mediterranean version. Other guys go there, I've been. 23 00:01:16,080 --> 00:01:16,679 Speaker 2: I've never been. 24 00:01:19,520 --> 00:01:20,040 Speaker 1: No, I haven't. 25 00:01:20,319 --> 00:01:21,960 Speaker 2: I'm not a big fan of the For me, feta 26 00:01:22,000 --> 00:01:24,080 Speaker 2: cheese and feta cheese is in everything. 27 00:01:24,200 --> 00:01:25,840 Speaker 3: And I were looking at the menu earlier. But a 28 00:01:25,880 --> 00:01:28,560 Speaker 3: lot of people are big fans, so you know, really interesting. 29 00:01:28,600 --> 00:01:31,640 Speaker 3: But you're watching on Holdings. 30 00:01:31,080 --> 00:01:33,720 Speaker 2: Right, So this is a retail space. The company's stickers 31 00:01:33,800 --> 00:01:36,400 Speaker 2: O N O N. The stock is down by almost 32 00:01:36,520 --> 00:01:39,800 Speaker 2: three percent that came. This is a Swiss maker of sneakers, 33 00:01:39,840 --> 00:01:43,200 Speaker 2: begged by Roger Federer. So the move comes after Jeffers 34 00:01:43,280 --> 00:01:48,160 Speaker 2: analysts downgraded the stock to underperform from hold. Also, they 35 00:01:48,200 --> 00:01:51,560 Speaker 2: cut price target to forty dollars from fifty. It's currently 36 00:01:51,600 --> 00:01:54,080 Speaker 2: trading at forty eight dollars, and this is also the 37 00:01:54,160 --> 00:01:58,800 Speaker 2: lowest price target across all Wall Street analysts tracked by Bloomberg. 38 00:01:59,200 --> 00:02:01,640 Speaker 2: So the main idea here is that Jeffery says that 39 00:02:02,480 --> 00:02:06,920 Speaker 2: sales growth is already picking and notably, this downgrade comes 40 00:02:07,000 --> 00:02:10,760 Speaker 2: just a day after the company posted better than expected 41 00:02:10,800 --> 00:02:15,000 Speaker 2: forecast and it boosted its sales outlook for the full year. Notably, 42 00:02:15,040 --> 00:02:18,040 Speaker 2: when we look at sales across the global regions, we 43 00:02:18,120 --> 00:02:21,480 Speaker 2: saw that there was a one hundred percent increase in 44 00:02:21,520 --> 00:02:25,360 Speaker 2: revenue coming from Asian markets, about seventeen percent growth coming 45 00:02:25,400 --> 00:02:28,160 Speaker 2: from the US. But when we look at revenue breakdown, 46 00:02:28,200 --> 00:02:31,919 Speaker 2: we know that Asia counts for just five percent of revenue. 47 00:02:31,960 --> 00:02:34,680 Speaker 2: And here in the US, this is the most important market. 48 00:02:35,160 --> 00:02:38,799 Speaker 2: Revenue accounts for about more than fifty percent of total 49 00:02:38,840 --> 00:02:41,160 Speaker 2: revenue comes from the US. So it's a big market. 50 00:02:41,440 --> 00:02:43,680 Speaker 3: Yeah, I mean, I'm looking at the street though, we're 51 00:02:43,720 --> 00:02:47,000 Speaker 3: seeing eighty seven point five percent of Wall Street has 52 00:02:47,000 --> 00:02:49,440 Speaker 3: a by holding twenty eight buy two holds two seals. 53 00:02:49,880 --> 00:02:54,080 Speaker 3: Hedgi has a short calling it Okay, what's happening there? 54 00:02:54,320 --> 00:02:58,200 Speaker 2: Right? So the ticker is for the stock cr WV. 55 00:02:58,720 --> 00:03:01,200 Speaker 2: This is a big store we have been following this year. 56 00:03:01,280 --> 00:03:04,120 Speaker 2: This is a company that previously went public. The stock 57 00:03:04,240 --> 00:03:07,440 Speaker 2: is done by eleven percent. So first, let's talk about 58 00:03:07,520 --> 00:03:09,799 Speaker 2: second quarter results. On the one hand, we do see 59 00:03:09,800 --> 00:03:12,960 Speaker 2: that second quarter sales tripled to one point twenty one 60 00:03:13,000 --> 00:03:18,160 Speaker 2: billion dollars, above expectations. However, net loss was wider than expected, 61 00:03:18,200 --> 00:03:22,440 Speaker 2: and more importantly, for the third quarter, the company's sale 62 00:03:22,480 --> 00:03:27,040 Speaker 2: operating income forecast came weaker than analysts expected. So the 63 00:03:27,120 --> 00:03:28,959 Speaker 2: main message here is that, on the one hand, the 64 00:03:29,000 --> 00:03:33,400 Speaker 2: company has a really strong pipeline of orders from even 65 00:03:33,440 --> 00:03:36,840 Speaker 2: from new clients such as OpenAI, but as Bloomberg Intelligence 66 00:03:36,880 --> 00:03:40,680 Speaker 2: is saying, it can come with the cost of pressures 67 00:03:40,680 --> 00:03:41,640 Speaker 2: on margins and cash. 68 00:03:41,640 --> 00:03:47,400 Speaker 1: Loow the Stock Mover's report from Bloomberg Radio. Check back 69 00:03:47,400 --> 00:03:49,640 Speaker 1: with us throughout the day for the latest roundup of 70 00:03:49,680 --> 00:03:53,000 Speaker 1: companies making news on Wall Street and for the latest 71 00:03:53,000 --> 00:03:57,240 Speaker 1: market moving headlines. 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