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 1: Let's take a look at some of the stocks on
Speaker 1: the move today.
Speaker 3: Joining us now is Bloomberg News Cross Asset reporter Emily Graffeo.
Speaker 3: You're looking at shares of Walmart. We've been talking about
Speaker 3: this all day. What's going on there?
Speaker 4: I know, I hope you guys aren't like sick of
Speaker 4: talking about Walmart. Maybe everyone on Wall Street is, But yeah,
Speaker 4: I mean, this was really the big earnings of potentially
Speaker 4: the week.
Speaker 1: Walmart ticker WMT.
Speaker 4: The stock drop, that's kind of why I think it
Speaker 4: grabbed everyone's attention today. It was the second worst performer
Speaker 4: in the S and P five hundred. It was the
Speaker 4: biggest INJRO day drop since March. In the shares they
Speaker 4: actually closed down about five percent. It was a rare
Speaker 4: profit miss, so they missed expectations on profit for the
Speaker 4: first time.
Speaker 1: In three years.
Speaker 4: And then the big question with Walmart was like, we
Speaker 4: have all these tariffs potentially, how is that going to
Speaker 4: trickle down to retail companies? And actually it seems like
Speaker 4: the company itself is absorbing the tariffs more than them
Speaker 4: passing them on to the consumer. So if you read
Speaker 4: our Bloomberg News story, it says tariffs have started to
Speaker 4: materialize at Walmart in higher prices, but the impact has
Speaker 4: been limited. Prices rose one percent in the US during
Speaker 4: the quarter, So you would have expected if the company
Speaker 4: was really passing the cost of tariffs onto consumers, you'd
Speaker 4: say a much bigger number than just one percent.
Speaker 5: Okay, So that's Walmart for US. Day Force is also
Speaker 5: a company that you're watching.
Speaker 4: Day Force is a human resources software provider like back
Speaker 4: office for I guess every business.
Speaker 1: The ticker is day A.
Speaker 4: Yeah.
Speaker 1: It's also in the S and P five hundred. It
Speaker 1: was Oh is it getting no?
Speaker 5: I mean if it gets bought out and taken private?
Speaker 3: Right?
Speaker 4: Oh? Yes, that will be it will be gone. It
Speaker 4: will be gone. And that's exactly why it was up.
Speaker 4: It was up two percent today. It's up about thirty
Speaker 4: percent over the last four days. And this is all
Speaker 4: on deal news. Toma Bravo will take them private for
Speaker 4: seven dollars a share in cash. And then we also
Speaker 4: got news that now Goldman Sachs is getting involved. They
Speaker 4: committed a six billion dollar debt financing package to support
Speaker 4: the acquisition. So this is just like very big names
Speaker 4: on Wall Street.
Speaker 5: What I think is so interesting about this is our
Speaker 5: Bloomberg News team with the scoop earlier this week about this,
Speaker 5: and that's the day that you saw the stock close
Speaker 5: twenty six percent higher. Tuesday, it fell, then Wednesday it
Speaker 5: was up by three percent. Today by two point four percent,
Speaker 5: So a lot of the upside was earlier in the
Speaker 5: week before that. Thoma Brov actually talked about that.
Speaker 4: Yes, yes, so the price the seventy dollars a sharing
Speaker 4: cash represents a roughly thirty two percent premium to the
Speaker 4: price before Bloomberg News had scooped that this deal was
Speaker 4: in the works.
Speaker 3: I want to get to what has been a really
Speaker 3: interesting story that we've been talking about today. Yes, Cracker Barrel,
Speaker 3: tell us what's going on there and why we saw
Speaker 3: the client sitting and.
Speaker 5: No, we are not bored of talking about talking about
Speaker 5: I still don't get it.
Speaker 4: I saw this story and I was like, oh, like,
Speaker 4: BusinessWeek is going to love this. Cracker Barrel ticker CBRL.
Speaker 4: It was down as much as fifteen percent today close
Speaker 4: the day down seven percent. It's because they're redesigning their logo.
Speaker 4: And by the way, the stock has fallen for the
Speaker 4: last five days.
Speaker 1: They're redesigning their logo logo. They're like stripping.
Speaker 4: Out every element that made cracker barrel that kind of
Speaker 4: old farmhouse esthetic and they just made it this very
Speaker 4: modernized cracker barrel logo. It's just like the text and
Speaker 4: like a yellow circle. Now this has become politicized.
Speaker 1: Donald J. Trump weighed in on x about the changes, but.
Speaker 5: I don't true Junior or Donald or the asident.
Speaker 4: I'm sorry, sorry, Donald Trump Junior, excuse me, Oh my gosh.
Speaker 4: Maybe the president will also weigh in, and so, of
Speaker 4: course it's now becoming politicized.
Speaker 1: But we don't even need to focus on that. I
Speaker 1: think we should focus on the fact that they remodeled,
Speaker 1: they changed their logo.
Speaker 4: People on social media are really upset, and the shareholders
Speaker 4: obviously don't.
Speaker 1: Like the change.
Speaker 3: I mean, I think people get so used to just
Speaker 3: having something that they're used to, right, So I think
Speaker 3: maybe that's not Everyone loves change, and we're seeing that
Speaker 3: reflected here in the trade.
Speaker 5: But it doesn't affect the company's stock price. I mean,
Speaker 5: there are we talked about this, people are going, well,
Speaker 5: Michael Halen and Bloomberg Intelligence has a note oubt and
Speaker 5: he says, it's not like what happened with Nanheuser Busch
Speaker 5: and the marketing stuff earlier, Like this is not going
Speaker 5: to affect the company for an extended period of time.
Speaker 5: But still the stock has been taken ahead.
Speaker 1: Yeah.
Speaker 3: The commentary has also been that they feel as though
Speaker 3: this may appeal to younger audiences, ditching the rock and chair.
Speaker 5: Okay, so it's just a logo.
Speaker 1: People a logo are very upset.
Speaker 4: No, but it's tim It's not just the load remodeled
Speaker 4: their interiors about a year ago.
Speaker 1: So this is part of a broader rebrand.
Speaker 4: And you look at what people are saying on Reddit
Speaker 4: on our Cracker Barrel, because Cracker Barrel has really intense
Speaker 4: stands saying what in the world is this They took
Speaker 4: They basically took down all the farmhouse choch keys.
Speaker 1: They added these like bright fluorescent lights that I mean,
Speaker 1: I wouldn't want to go in there.
Speaker 4: Someone else said, I've been going to Cracker Barrel for
Speaker 4: forty nine years since i was a kid with my grandmother.
Speaker 1: And like it's just the redesign they don't approve with that.
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