Speaker 1: Bloomberg Audio Studios podcasts, radio News.
Speaker 2: The Stock Movers podcast, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: I'm Carol Masser along with Tim Stenovich. Let's take a
Speaker 3: look at some stocks on the move today. Joining us
Speaker 3: right now is just Matt and Bloomberg News Deputy team
Speaker 3: leader for US equities stocks you're watching. A lot of
Speaker 3: it had to do with those earnings after the closes on.
Speaker 4: The back of Nvidia's report after the bell yesterday, so
Speaker 4: I wanted to highlight Dell. The ticker symbol is d
Speaker 4: Ell here, and so looking at that and after hours
Speaker 4: trading up about four percent. So this is a big
Speaker 4: move because it is a leading provider of computers and
Speaker 4: servers for AI and it actually that stock had soared
Speaker 4: nearly sixty percent through today's close since it's low's in
Speaker 4: early April, so it had been on a tear after
Speaker 4: stumbling earlier this year too. So when you're looking at
Speaker 4: that stock important because it still is off actually about
Speaker 4: thirty six to thirty seven percent from its most recent
Speaker 4: high back actually a year ago. It was last May.
Speaker 4: So if you're looking at this of course, Actually a
Speaker 4: lot of it has to do is that animalsts. We're
Speaker 4: anticipating that some of its guidance would potentially come in
Speaker 4: weak here, but some of those numbers not surprisingly came
Speaker 4: in better than expected. So it's annual profit outlook toped
Speaker 4: estimates on that server demand. So that's why you're seeing
Speaker 4: some of that actually rising there too. And then especially
Speaker 4: on the back of what we're expecting with the AI story,
Speaker 4: and then in video as well. Of course, every report
Speaker 4: when it comes to in videos a blockbuster report, but
Speaker 4: specifically to Dell core Weave, it's actually a cloud computing
Speaker 4: company that we've covered very closely when it comes to
Speaker 4: the most recent IPOs here as well as Elon Musk's XAI.
Speaker 4: Those are both customers of Dell's hardware for their AI
Speaker 4: infrastructure build out. So the potential here that this is
Speaker 4: better than expected actually really helps those customers. And especially
Speaker 4: when you're thinking about in video with the top four customers,
Speaker 4: whether it's Amazon, Alphabet as well as Microsoft, so some
Speaker 4: of these customers tied to AI, and especially when it
Speaker 4: comes to those providers like Dell, it's still doing better
Speaker 4: than expected here in the back of that concern about
Speaker 4: AI spending slowing down.
Speaker 1: Okay, that's Dell. What about Costco?
Speaker 4: So coost not surprisingly the taker symbol on this, so
Speaker 4: that one day implied move was expected to be actually
Speaker 4: around nine percent if you're looking at this stock to
Speaker 4: it's actually flat only up about three tens of a
Speaker 4: percent if you're looking at this now. And then also
Speaker 4: its stock is off more than thirty five percent off
Speaker 4: of its all time high last touch also not too
Speaker 4: long ago as well. But also if you're looking at this,
Speaker 4: it's important because the retailer generated earnings per share about
Speaker 4: four dollars and twenty eight cents. That's above Wall Street
Speaker 4: analysts expectations. But it also suggests that Costco is growing
Speaker 4: its business even more here and then it has if
Speaker 4: you're thinking about Costco relative to some of its competitors,
Speaker 4: because it does have in some ways it has been
Speaker 4: a little bit more immune to some economic volatilities because
Speaker 4: the customers pay a fee to shop. Add it had
Speaker 4: more than eight hundred stores, so the ski is a
Speaker 4: little bit more affluent than some of its competitors here.
Speaker 4: But that actually fared better than expected. So, especially in
Speaker 4: the wake of when you're thinking about target Oswald's, Procter
Speaker 4: and Gamble Craft Heeign some of those consumer package good companies,
Speaker 4: those have been the ones, and it's particularly Walmart, but
Speaker 4: the consumer package good companies when you're thinking about and
Speaker 4: Jen partash Is at Bloomberg Intelligence has talked a lot
Speaker 4: about this, especially over the last six months, when you're
Speaker 4: thinking about those promotions if you're at the grocery store
Speaker 4: trying to figure out, you know, buy one, get one
Speaker 4: fifty percent off. Because of those issues they've been dealing
Speaker 4: with volumes, especially in the aftermath of coming out of
Speaker 4: COVID and dealing with those inventories. That's something that you're
Speaker 4: starting to see still be more of an issue for
Speaker 4: consumer package good companies, and not as much so when
Speaker 4: you're thinking about some of those big box retails.
Speaker 3: You know, just looking at some of the right Through
Speaker 3: and Costco, about a third of their US sales come
Speaker 3: from goods important from other countries, and so the company
Speaker 3: has been diversifying its sourcing execs in recent months, noting
Speaker 3: that they're working to minimize the impact of levies and consumers.
Speaker 3: You just talked about some of this.
Speaker 1: I'm trying to think of what I like, what I
Speaker 1: get at Costco a countrym.
Speaker 3: Another time, mister Kirkland, do you have a Costco membership?
Speaker 1: I do have a Costco membership.
Speaker 3: Yeah.
Speaker 1: We actually live really close to a Costco. Do you
Speaker 1: really yes, but here's the Costco near me. It is
Speaker 1: too crowded to actually step foot into on a weekend.
Speaker 3: Believe they have an online They do, they do.
Speaker 1: The problem is that it's very expensive, Like it still
Speaker 1: ends up being cheaper than you know when you're buying
Speaker 1: in bulk, but it's like the prices don't even compare
Speaker 1: to when you go and get it yourself.
Speaker 3: So they charge you more for the online.
Speaker 1: I don't think it's them specifically. I think it's Instacart
Speaker 1: or whoever it is. Oh I got up charge.
Speaker 3: Yeah, so they don't have an online.
Speaker 1: They do, but they partner with Instacart.
Speaker 3: Oh okay, yeah, all right, Sorry we digress.
Speaker 1: So we do we do Costco like I'd say, we
Speaker 1: do it. We have a membership, but we do it
Speaker 1: every like six months and we do a huge order.
Speaker 2: Yeah.
Speaker 3: I mean, I was thinking about Lisa Mateo on surveillance
Speaker 3: every morning, and if there's a Costco story or she
Speaker 3: talks about heading into the weekend like it's going to
Speaker 3: be a two cart again.
Speaker 4: It's right, like really kind of stiffer kids too.
Speaker 1: You gues should go to New Jersey to do. I'm
Speaker 1: telling you the Brooklyn Costco it is like way too crowded.
Speaker 3: That's what you should probably do. I mean, there's not
Speaker 3: one near me. Don't look for me to go shop.
Speaker 1: I was gonna say, hey, Master Costco, what about a
Speaker 1: Red Robin gourmet burger? Because shares are surging.
Speaker 4: Now, this is a company's market cap is less than
Speaker 4: one billion, but wanted to fifty.
Speaker 1: Five million dollar market cap company. It's way less than
Speaker 1: a billion. It's less than fifty six million.
Speaker 4: Don't we call.
Speaker 3: That a micro cape right?
Speaker 4: Actually, it definitely is a microcap type of stock. I'm
Speaker 4: pointing it out because after I was trading are our
Speaker 4: GB's the taker symbol up about fifty six percent in
Speaker 4: after hours trading here, So there's a big move of course,
Speaker 4: even though it has a smaller market cap, So those
Speaker 4: adjusted earnings swung to a profit and revenue did rise
Speaker 4: as well.
Speaker 3: Isn't up fifty five percent in the after mark?
Speaker 4: That's why I wanted to bring that one up.
Speaker 3: Said, it's a three dollars stock right, So it doesn't dollars.
Speaker 1: This company's in the midst of a turnarout. I mean
Speaker 1: the company's CEO, David Pace, He's only been there for
Speaker 1: a month at this point. He said, we're pleased with
Speaker 1: our strong start to the year, as we delivered increases
Speaker 1: in both sales and profits during the first quarter. He
Speaker 1: also said, though nevertheless, we are far from claiming victory.
Speaker 1: There's still more work to be done as we continue
Speaker 1: the comeback journey of this beloved brand and capture the
Speaker 1: significant opportunity in front of us.
Speaker 4: That's right, It's last all time high was touched in
Speaker 4: August of twenty fifteen. It looks like here looking at
Speaker 4: that ex straw down function in the terminal. So it's
Speaker 4: a doubt about almost one hundred percent since that last
Speaker 4: all time high. So to Carol's points, is stock just
Speaker 4: trading above three dollars.
Speaker 3: I had their towering onion rings going back a few years,
Speaker 3: like when my daughter was younger. It was a good
Speaker 3: place to take like a kid and probably towering onion
Speaker 3: rings with perhaps a little cocktail, some kind of fun
Speaker 3: drink off the menu.
Speaker 4: You know, I've never been to one, but now I
Speaker 4: kind of want to go after Carol Master was just.
Speaker 1: Are you sure you're talking about a red robin.
Speaker 3: Yeah, Okay, I know You're like, it's just the woman
Speaker 3: who had Yeah's cargo.
Speaker 1: Yeah, That's what I'm wondering.
Speaker 3: I am a diversified kind of gal. I'm just gonna say,
Speaker 3: you know, sometimes you gotta have a terring onion. I'm
Speaker 3: or a blumin onion. Have you ever read a bloomin onion?
Speaker 1: I think yeah, I think inege we had a Bloomin onion.
Speaker 3: I'm I've backed off of fried stuff. That's what I'm
Speaker 3: gonna say.
Speaker 1: Are you still doing French fries?
Speaker 3: And I am? I feel like we'll be in an
Speaker 3: airport and like Tim is always hungry. She's like, ah
Speaker 3: see at the green because he's like running for food
Speaker 3: and he's such a sweet guy. He's like, hey, you
Speaker 3: want some fries.
Speaker 1: I always get her from buy me fries because I
Speaker 1: love it to Carol Masser.
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