WEBVTT - Meta (Meta), Five Below (FIVE), Kroger (KR)

0:00:02.520 --> 0:00:09.960
<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio news, The Stock Movers Report,

0:00:10.240 --> 0:00:13.400
<v Speaker 1>your roundup of companies making moves in the stock market,

0:00:13.680 --> 0:00:15.880
<v Speaker 1>harnessing the power of Bloomberg Data.

0:00:17.040 --> 0:00:20.000
<v Speaker 2>Stock's on the move today, we can do that. Paul

0:00:20.040 --> 0:00:23.320
<v Speaker 2>swing alongside normal Linda. We're joined by Bloomberg's the Donna Hirich.

0:00:23.520 --> 0:00:27.840
<v Speaker 2>She's processor reporter and team leader as a July for

0:00:27.880 --> 0:00:30.360
<v Speaker 2>Bloomberg News. The Donna, thanks so much for joine yus.

0:00:30.360 --> 0:00:31.000
<v Speaker 2>What are you looking at today?

0:00:31.040 --> 0:00:33.440
<v Speaker 3>Yeah, thanks so much for having me. I'm looking as

0:00:33.520 --> 0:00:36.680
<v Speaker 3>Charlie was at Chairs of Meta Platforms. That's ticker m

0:00:36.880 --> 0:00:40.040
<v Speaker 3>E t A a ticker they actually got from an

0:00:40.040 --> 0:00:44.040
<v Speaker 3>ETF company. Fun fact, really we all remember during the

0:00:44.040 --> 0:00:46.560
<v Speaker 3>pandemic when they changed their ticker. There was this big

0:00:46.840 --> 0:00:49.800
<v Speaker 3>project to start focusing on the metaverse. And now we

0:00:49.880 --> 0:00:53.120
<v Speaker 3>have shares rising as much as five point seven worked on.

0:00:53.040 --> 0:00:55.200
<v Speaker 2>The IPO and we part of the team that came

0:00:55.280 --> 0:00:55.880
<v Speaker 2>up with the FB.

0:00:56.120 --> 0:00:57.240
<v Speaker 1>How about That's good?

0:00:57.520 --> 0:01:01.160
<v Speaker 3>It was a change revam, yes, but shares are up

0:01:01.200 --> 0:01:04.600
<v Speaker 3>today following a Bloomberg report that the company is expected

0:01:04.640 --> 0:01:08.200
<v Speaker 3>to meaningfully cut resources for building the so called metaverse,

0:01:08.959 --> 0:01:11.760
<v Speaker 3>an effort that Mark Zuckerberg wants framed as the future

0:01:11.880 --> 0:01:14.319
<v Speaker 3>of the company, and as Charlie said, the reason for

0:01:14.440 --> 0:01:17.119
<v Speaker 3>changing its name, I.

0:01:17.080 --> 0:01:19.920
<v Speaker 2>Don't get it. I mean, I think it's a shareholders saying, yeah,

0:01:20.160 --> 0:01:22.399
<v Speaker 2>spend the money anywhere else but the metaverse. I think.

0:01:22.600 --> 0:01:24.280
<v Speaker 4>Yeah. I fink if people were kind of thinking it

0:01:24.319 --> 0:01:27.399
<v Speaker 4>was catchy the four letter name in Eta. But it

0:01:27.400 --> 0:01:29.479
<v Speaker 4>seems as though with the metaverse not really working out,

0:01:29.520 --> 0:01:31.200
<v Speaker 4>it starts to make me wonder.

0:01:31.080 --> 0:01:33.120
<v Speaker 3>Once the last time anybody has talked about the metaverse.

0:01:34.080 --> 0:01:36.400
<v Speaker 2>I think your cash flow. Actually more than one hundred

0:01:36.360 --> 0:01:37.800
<v Speaker 2>percent of cash flow comes from Facebook.

0:01:38.520 --> 0:01:44.120
<v Speaker 3>Okay, five below, five below that's ticker five shares up

0:01:44.160 --> 0:01:46.399
<v Speaker 3>as much as three point five percent today, but flat

0:01:46.480 --> 0:01:49.280
<v Speaker 3>right now as we're talking. And the company did raise

0:01:49.360 --> 0:01:52.720
<v Speaker 3>its profit outlook for the third time in the fiscal year,

0:01:53.240 --> 0:01:57.640
<v Speaker 3>lifted by demand for budget friendly goods, and so we

0:01:57.680 --> 0:02:00.640
<v Speaker 3>know this is happening as US consumers sent is sort

0:02:00.680 --> 0:02:05.440
<v Speaker 3>of waning amid high prices and a weaker labor market.

0:02:05.800 --> 0:02:08.720
<v Speaker 3>The company sees comp sales rising about nine point four

0:02:08.720 --> 0:02:11.120
<v Speaker 3>percent to ten point one percent in the physical year,

0:02:11.320 --> 0:02:13.880
<v Speaker 3>and that's up from what it was previously saying would

0:02:13.919 --> 0:02:17.520
<v Speaker 3>be about five to seven percent, so adjusted earnings per

0:02:17.560 --> 0:02:20.360
<v Speaker 3>share now forecast to be higher than the previous guidance

0:02:20.400 --> 0:02:22.200
<v Speaker 3>as well. And so this is really interesting to me

0:02:22.280 --> 0:02:25.679
<v Speaker 3>because you know, it's interesting to see where consumers are

0:02:25.760 --> 0:02:30.080
<v Speaker 3>actually flocking to what types of products they're buying. We

0:02:30.320 --> 0:02:33.000
<v Speaker 3>also have at the same time today a peer a

0:02:33.000 --> 0:02:36.639
<v Speaker 3>five below peer Dollar Tree ticker DLT are also reporting

0:02:36.680 --> 0:02:41.240
<v Speaker 3>better than expected results and raising its outlook in its

0:02:41.639 --> 0:02:44.480
<v Speaker 3>report this week, signaling that discountry jailers are seeing a

0:02:44.560 --> 0:02:47.520
<v Speaker 3>rise and spending from really stretched consumers.

0:02:47.600 --> 0:02:50.760
<v Speaker 4>Yeah, you're seeing everybody trading down, everyone looking for some

0:02:50.800 --> 0:02:54.000
<v Speaker 4>sort of budget. So we are seeing shares of five

0:02:54.040 --> 0:02:57.040
<v Speaker 4>below tick our five up about fifty six percent so

0:02:57.160 --> 0:02:59.680
<v Speaker 4>far this year, so some really strong gains there. You're

0:02:59.720 --> 0:03:01.480
<v Speaker 4>also looking at shares of Kroger right.

0:03:02.000 --> 0:03:05.680
<v Speaker 3>That company shares are only up about one percent so

0:03:05.720 --> 0:03:08.639
<v Speaker 3>far this year, really lagging the broader market. That's secret.

0:03:08.680 --> 0:03:11.800
<v Speaker 3>K are shares down as much as eight percent today

0:03:11.840 --> 0:03:14.359
<v Speaker 3>after it lowered the top end of its full year

0:03:14.400 --> 0:03:18.360
<v Speaker 3>sales forecast, and that to analysts, suggesting that competition is

0:03:18.400 --> 0:03:24.000
<v Speaker 3>intensifying among food sellers. For those discerning consumers we were

0:03:24.040 --> 0:03:29.040
<v Speaker 3>just talking about, Kroger is the nation's largest supermarket operator,

0:03:29.080 --> 0:03:31.680
<v Speaker 3>and it now sees comp sales growing between two percent

0:03:31.720 --> 0:03:37.440
<v Speaker 3>to three percent minus fuel, versus previous guidance of two

0:03:37.440 --> 0:03:42.480
<v Speaker 3>point seven percent to three point four percent increase. So again,

0:03:42.560 --> 0:03:47.080
<v Speaker 3>going back to that consumer picture, what consumers are going toward,

0:03:47.560 --> 0:03:49.840
<v Speaker 3>where they're shopping, and how they're spending their dollars.

0:03:50.480 --> 0:03:52.560
<v Speaker 4>Do we even have some Kroger's up north here? I mean,

0:03:52.560 --> 0:03:54.240
<v Speaker 4>I know we had a ton in Virginia, but have

0:03:54.280 --> 0:03:55.200
<v Speaker 4>you guys been doing a Kurger?

0:03:55.280 --> 0:03:57.480
<v Speaker 2>No, they're around here, not up here.

0:03:57.480 --> 0:03:59.360
<v Speaker 3>But I'm waiting for Wegmans to open.

0:03:59.240 --> 0:04:00.640
<v Speaker 1>Up closer to my That would be good.

0:04:01.160 --> 0:04:01.400
<v Speaker 3>Not that.

0:04:04.040 --> 0:04:05.080
<v Speaker 1>Absolutely you know what they're doing.

0:04:05.120 --> 0:04:07.119
<v Speaker 2>I mean you go in there and you're just blown away. Yes,

0:04:07.200 --> 0:04:09.760
<v Speaker 2>and there's so many people helping you. I don't know

0:04:09.800 --> 0:04:11.120
<v Speaker 2>how they make money. I don't know how the I

0:04:11.120 --> 0:04:12.160
<v Speaker 2>guess it's always.

0:04:13.800 --> 0:04:17.800
<v Speaker 1>The Stock Movers Report from Bloomberg Radio. Check back with

0:04:17.880 --> 0:04:20.479
<v Speaker 1>us throughout the day for the latest roundup of companies

0:04:20.520 --> 0:04:23.640
<v Speaker 1>making news on Wall Street and for the latest market

0:04:23.680 --> 0:04:28.120
<v Speaker 1>moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

0:04:28.240 --> 0:04:31.719
<v Speaker 1>Bloomberg dot com, and on Applecarplay and Android Auto with

0:04:31.800 --> 0:04:33.279
<v Speaker 1>the Bloomberg Business app