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 1: I'm Carol Messer along with Tim Stenevic. Let's get to
Speaker 1: some stocks on the move on this Wednesday. Joining us
Speaker 1: to do that. Bloomberg News CROSSUSET reporter Isabelle Lee. She
Speaker 1: is in the house.
Speaker 3: Hi, it's April. It's already this month, April fools. But
Speaker 3: I won't be saying much of a joke. I'm going
Speaker 3: to start it with Nike. I tried my best.
Speaker 1: I tried at the top and at the door.
Speaker 3: Good work with me too, Okay. Nike shares are down
Speaker 3: by fifteen percent, that's the lowest and twenty fourteen, so
Speaker 3: really not a good day. The stock has now fallen
Speaker 3: some thirty percent this year, So the retailer gave a
Speaker 3: gloomy outlook for the rest of the year, and they
Speaker 3: also said revenue is expected to decline some two to
Speaker 3: four percent. Bloomberg Intelligence analysts were obviously expecting for more
Speaker 3: growth two percent sales throws in fact, and a bigger
Speaker 3: gain as a year progress. So Nike has been trying
Speaker 3: to regain market dominance, but it hasn't been panning out.
Speaker 3: It's facing a lot of headwinds. Bloomberg Intelligence point I'm
Speaker 3: Goyel said that the war is likely having an impact
Speaker 3: and the pressures will persist. And there was a call,
Speaker 3: it was a Bloomberg schoop that we got a recording
Speaker 3: of as this is a great yes, the CEO, Elliott
Speaker 3: Hill was like, I'm so tired. I know you are too,
Speaker 3: and I thought that was It's good when a leader
Speaker 3: commisserates with you, right.
Speaker 4: It is, But how do you rally the troops in
Speaker 4: an environment where your stock is at a low not
Speaker 4: seen for ten years and you want to get you
Speaker 4: want to try to create excitement. You want to get
Speaker 4: people excited about the brand, so then they have these
Speaker 4: creative ideas that help them get out of this challenging
Speaker 4: environment that they've been in for so long.
Speaker 3: I guess that's his challenge. Hill took over in twenty
Speaker 3: twenty four and it hasn't been that great since then.
Speaker 3: He does seem like he's a kind and emphatic leader,
Speaker 3: at least judging from the stories we've been reading. But
Speaker 3: we know that's not enough and to your point, what
Speaker 3: are you going to do? Morale is very low. It's
Speaker 3: the lowest since twenty fourteen, so more than a decade.
Speaker 2: Act.
Speaker 1: Well, the CFO says, we're going to be managing costs
Speaker 1: carefully as we've been doing, and so that always is
Speaker 1: a little bit of pressure internally as they try to
Speaker 1: kind of write the ship. So anyway, Hill said, I
Speaker 1: hate to lose, and we've got work to do in
Speaker 1: some of these places.
Speaker 4: Okay, Nike under pressure? What else you got?
Speaker 3: Intel? And now this is a stocking degree and up
Speaker 3: by eight and a half percent. So they're buying a
Speaker 3: steak in an Irish manufacturing plant as part of their
Speaker 3: comeback plan. So they agreed to pay fourteen point two
Speaker 3: billion dollars to buy back half of a plant in
Speaker 3: Ireland that it previously sold to a follow So the
Speaker 3: transaction will be financed in cash on hand and the
Speaker 3: issue once of around six and a half billion in
Speaker 3: new debt. And of course this is expected to add
Speaker 3: to their earnings per share. This is the latest move
Speaker 3: for Intel. You know, I thought, why Ireland. Maybe a
Speaker 3: lot of people know this, but I didn't. But the
Speaker 3: Ireland purchase reflects their glowing growing confidence in the business,
Speaker 3: and AMD and Analog Devices also have locations in Ireland.
Speaker 3: I've never been.
Speaker 1: There's a big tech presence right in its Ireland. They
Speaker 1: do a lot to bring in foreign direct investment and
Speaker 1: some of it. Yeah, they've been very, very supportive of
Speaker 1: companies coming in. Where should we go next?
Speaker 3: Tesla, of course, Elon Musk always in the headlines. Sits
Speaker 3: up by just one point eight percent. Just it's still
Speaker 3: a degree, but it's not great news actually, so I'm
Speaker 3: not sure why this stock is popping there because the
Speaker 3: auto business is likely to just get tougher and tougher.
Speaker 3: For Tesla, they delivered about three hundred and seventy two
Speaker 3: thousand vehicles during the last three months. So yes, this
Speaker 3: is up eleven percent from a year ago, but it's
Speaker 3: still ranks or Wood rank among the lowest in recently
Speaker 3: quarterly totals for the company, and sales early last year,
Speaker 3: as we know, were really affected by the backlash against
Speaker 3: Elon Musk and his participation in the Trump government. And
Speaker 3: of course we also know that there were a production
Speaker 3: process tied to Model Y, which just test lasts most
Speaker 3: popular vehicle.
Speaker 1: I just can't wait till they just like lump it
Speaker 1: all into one thing. Really yeah, yeah, I think right. Yeah.
Speaker 4: I asked Craig Trudell about that earlier today in the UK,
Speaker 4: and he covers the entire Auto istry. He's like, this
Speaker 4: is this is something that you know when when SpaceX
Speaker 4: slash XII slash everything else that's in there goes public.
Speaker 4: That's something that investors are going to be looking for
Speaker 4: because it, you know, the center quote unquote synergies with
Speaker 4: the companies. But there's also like the Elon Musk pay
Speaker 4: package that's tied to market cap.
Speaker 1: Yeah, so I know, it just gets it's always interesting
Speaker 1: if it's Elon, it's interesting.
Speaker 3: It's just it might come true. It might come true soon.
Speaker 3: They confidentially filed for an IPO, which I'm sure you
Speaker 3: guys have been reporting over and over.
Speaker 1: Actually, thank you for doing that.
Speaker 3: No, you're so great, is it?
Speaker 1: Belly Bloomberg News crossus that reporter. Check out our Stockover's podcast,
Speaker 1: five minute episodes of the big winners and losers in
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Speaker 4: Happy Birthday, Oh, Happy bir Day fifty.
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