Speaker 1: Bloomberg Audio Studios, podcasts, radio News.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Let's take a look at some stocks on the move
Speaker 3: today in Europe. I'm Rachel Levens with Caroline Hekka here
Speaker 3: in London. We're joined by Bloomberg reporter Chloe Malay. Chloe,
Speaker 3: good to have you here. Let's kick off with SAP,
Speaker 3: talk us through the moves that we're seeing that.
Speaker 1: Yeah, it's very interesting from SAP today. This is of
Speaker 1: course not a visual medium, so I can't show the
Speaker 1: to day share price chat, but it is a very
Speaker 1: interesting chart because we essentially saw a lot of weakness
Speaker 1: going into the results last night, partly because we had
Speaker 1: Service Now, which is another software company but in the US,
Speaker 1: coming out with very disappointing results. So the mood going
Speaker 1: into the SAP report last night was, you know, based
Speaker 1: on fears that this is a sector that's already facing
Speaker 1: all of that AI disruption and now facing the impact
Speaker 1: of the Iron War. But then very surprisingly we actually
Speaker 1: saw very strong numbers from SAP, and so that's led
Speaker 1: to a massive rebound in the shares this morning. So
Speaker 1: the strategy for the company has been to convince customers
Speaker 1: that new AI services within SAP's products are worth paying for,
Speaker 1: and today's results seem to confirm that customers are willing
Speaker 1: to do so, and so analysts have said that the
Speaker 1: results really came as a relief. This actually echoes a
Speaker 1: little bit of what happened with Declo Systems yesterday as well,
Speaker 1: another software company that had been hit really badly during
Speaker 1: the software sell off, of pessimism going into the results
Speaker 1: and then metrics come in in you know, in line
Speaker 1: or above expectations. So perhaps this shows that the software
Speaker 1: sector is okay, at least for now.
Speaker 4: Okay, So some relief on SAP switching to Volvo the
Speaker 4: truck maker, not the car maker. They've raised their market forecast.
Speaker 4: How do investors see that?
Speaker 1: Yeah, it seems that perhaps the worst is over for
Speaker 1: that truck market, that truck sector. So, as you said,
Speaker 1: just raise this outlook for the European truck market. And
Speaker 1: that is after a very good first quarter for orders,
Speaker 1: and that was both in Europe but also in the America.
Speaker 1: So this signals perhaps some early recovery in that track
Speaker 1: industry after a really prolonged slump in demand and that
Speaker 1: slowed down that we had seen as really due to
Speaker 1: tariff costs, of course, but then also a lack of
Speaker 1: clarity on regulation as well. But now we have got
Speaker 1: a new tariff environment that is known, that is fairly stable,
Speaker 1: and there's also clarity on the emissions regulation from the
Speaker 1: US Environmental Protection Agency, so a lot of demand has
Speaker 1: been unlocked as a result of that greater clarity. We've
Speaker 1: also seen markets, construction markets and commercial vehicle markets rebound recently.
Speaker 1: So all of that is really benefiting Volvo and its trucks,
Speaker 1: and we've seen shares for Volvo and also for its
Speaker 1: closest rival, Diamond Truck, actually move higher this morning. So
Speaker 1: good news all around for the industry.
Speaker 2: Very interesting.
Speaker 3: So finally electroluxe and we're seeing a bit of a slide.
Speaker 3: Tell us more about what's going on there.
Speaker 1: Yeah, a massive, yeah, a massive job. Shares drop twenty
Speaker 1: five percent this morning for Electrolux. It seems that people
Speaker 1: aren't buying many home appliances, and that's very bad news
Speaker 1: for Electrolux. It reported much weaker than expected results for
Speaker 1: the first quarter, and that was due in particular to
Speaker 1: weakness in North America. It also announced a big capital
Speaker 1: rais and also announced a new joint venture with one
Speaker 1: of its piers called Midair. So a lot of news
Speaker 1: to digest and so, and it's just saying that the
Speaker 1: structure of the joint venture is quite complex, it could
Speaker 1: create some governance problems down the line, that it kind
Speaker 1: of complicates the structure of the group and might also
Speaker 1: bring some competition risk. And then they also noted that
Speaker 1: this weakness in North America which I've mentioned, and then
Speaker 1: also the rights issue will definitely be weighing on those
Speaker 1: shares at least in the short term, although perhaps that
Speaker 1: could be laying the groundwork for some improvement a little
Speaker 1: bit laid down the line.
Speaker 3: But in the meantime, we are seeing a lot, a
Speaker 3: lot of weakness for electrial LUTs.
Speaker 2: This morning the Stock Mover's Report from Bloomdio. Check back
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