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Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

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Speaker 2: The Stock Movers Report, your roundup of companies making moves

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Speaker 2: in the stock market, harnessing the power of Bloomberg Data.

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Speaker 3: Welcome to the Stock Movers podcast. I'm Charlie Pala joining

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Speaker 3: us today Bloomberg's Christine A. Quino, Managing editor for Markets Live.

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Speaker 3: Got to begin with the homebuilders because there was quite

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Speaker 3: the move today in Paulty. What was going on with

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Speaker 3: Paulty Home.

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Speaker 1: Yeah, absolutely, Charlie, So Paulty Groups at ticker PHM. Those

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Speaker 1: shares finished lower by four point nine percent, and this

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Speaker 1: is because we have seen a series of social media

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Speaker 1: posts from President Donald Trump as well as the Federal

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Speaker 1: Housing Finance AGENC director Bill Paulty, essentially pressuring homebuilders to

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Speaker 1: build homes, which I guess you could say makes a

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Speaker 1: lot of sense, but it's just that added pressure from

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Speaker 1: the administration that's really lighting of our under the stocks

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Speaker 1: in not a positive way. And we should note, of

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Speaker 1: course that Bill Paulty is the grandson of William J. Paulty,

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Speaker 1: who founded Paulty Groups, So a little bit of irony there,

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Speaker 1: but yes, we have seen in our comments essentially just

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Speaker 1: pressure the whole home builder sector in general, we've seen

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Speaker 1: a gauged by the S and P down over nine

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Speaker 1: point six percent just over four days. That's down more

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Speaker 1: than nineteen and a half billion in terms of market

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Speaker 1: value over this period.

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Speaker 3: Indeed, Paulty down every single day this week, dropping four

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Speaker 3: point nine percent today. And not just Paulty, but as

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Speaker 3: you mentioned, other home builders down. D R Horton down

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Speaker 3: four point six percent, KB was down four and a

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Speaker 3: half percent, Toll Brothers down two point six percent. Let

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Speaker 3: us move beyond housing the home builders and into earnings,

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Speaker 3: specifically the airlines and Delta. Delta stock up today. What

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Speaker 3: was going on with Delta after earnings?

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Speaker 1: Yeah, I'm goodings for Delta here, Charlie. So Delta ticker

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Speaker 1: DAL those shares finished four point three percent hire. We

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Speaker 1: did get updated guidance from the carrier regarding its adjusted

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Speaker 1: earnings per share forecast for a full year, and new

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Speaker 1: guidance that also beat the analyst estimate. So now they're

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Speaker 1: seeing just an EPs at about six dollars, whereas the

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Speaker 1: analyst estimate was at five to eighty. It's a very

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Speaker 1: interesting bit of good news, especially it seems like it's

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Speaker 1: a time when all we get is bad news from

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Speaker 1: airlines these day, isn't it. But yeah, this is a

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Speaker 1: rare bit of good news for them.

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Speaker 3: Indeed, we saw a United move higher today, we saw

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Speaker 3: American airlines decline. Though, is there any veracity? Is it

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Speaker 3: worth talking about Delta Airlines as an economic indicator?

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Speaker 1: I mean, certainly, And that's something I think that a

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Speaker 1: lot of analysts on the street are still potentially worried about.

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Speaker 1: We did hear from chief executive Officer Ed Bastian saying

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Speaker 1: that their customer is in a financially good spot. They're

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Speaker 1: not necessarily seeing any pullback in demand. But that's of

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Speaker 1: course something that you would expect us CEO of an

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Speaker 1: airline to say, And so I think for analysts the

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Speaker 1: concern is really whether they will be able to push

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Speaker 1: their premium products, because this is something that Delta has

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Speaker 1: been trying to do more of, and whether consumers will

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Speaker 1: be able to absorb the cost of these premium products,

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Speaker 1: especially at a time when inflation just in general still

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Speaker 1: seems to be a worry for a lot of American households.

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Speaker 3: Yeah, I heard Delta too talking about the quarter, saying

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Speaker 3: that a lot of travelers also to are choosing not

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Speaker 3: to go in the hot summer season, especially some of

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Speaker 3: the older travelers who want to move or go to

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Speaker 3: Europe when say it's a little bit a little bit cooler,

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Speaker 3: not as hot, and that's also helping bookings into the

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Speaker 3: fourth quarter.

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Speaker 2: Now.

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Speaker 3: Also out today with earnings PepsiCo, how do they fare?

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Speaker 1: Yeah, PepsiCo finishing the day higher as well, so tick

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Speaker 1: her pep those airs up more than four percent. And

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Speaker 1: we did get their annual profit outlook and the analysts

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Speaker 1: are just seeing some positives here, right, So in terms

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Speaker 1: of their actual outlook, you know, they're still seeing operating

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Speaker 1: profits at a three point six billion, still below estimates,

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Speaker 1: a net revenue slightly above stimus twenty three point nine

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Speaker 1: to four billion. This is in terms of their third

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Speaker 1: quarter results. In terms of their actual outlook, they're seeing

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Speaker 1: low single digit boost in organic or revenue. But I

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Speaker 1: think what analysts are really seizing upon here is the

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Speaker 1: fact that PepsiCo is working to cut costs and overhaul

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Speaker 1: its portfolio, and they're doing it with such urgency. Chief

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Speaker 1: executive Officer Ramon Laguarta did speak to analysts on a

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Speaker 1: call on Thursday morning and they say that they are

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Speaker 1: still a few eras that they need to work on.

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Speaker 1: But they're doing this with a lot of urgency, and

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Speaker 1: there have been a lot of constructive discussions, and at

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Speaker 1: least for today, investors are taking that to be a

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Speaker 1: positive thing.

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Speaker 3: Indeed, we saw shares of PepsiCo advancing, as you say,

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Speaker 3: interestingly though rival Coca Cola. It was up today by

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Speaker 3: just about four tens to one percent, Coca Cola reports

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Speaker 3: on October twenty First, is it safe to say, so

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Speaker 3: goes Pepsi, then we'll go Coca Cola.

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Speaker 1: I mean, you'd think that they would be working or

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Speaker 1: you know, moving in tandem in this particular market given

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Speaker 1: that competition, right, and so for both of these brands,

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Speaker 1: really it just depends on how they managed to differentiate

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Speaker 1: from each other in terms of, you know, PepsiCo's approach

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Speaker 1: to things. Analysts are pointing to the fact that, you know,

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Speaker 1: there's some fourth quarter trends that could show some improvement,

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Speaker 1: particularly when it comes to mitigating tariff actions, and perhaps

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Speaker 1: also weather might play a part. There might be less

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Speaker 1: weather related pressure, particularly when it comes to their international

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Speaker 1: beverage line.

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Speaker 3: All right, Christina Quino always appreciated, Thank you for spending

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Speaker 3: time with us. And that is the stock Mover's Report.

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Speaker 3: I'm Charlie P.

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