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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 1: I'm Jim Stunnibeck along with Emily Griffail. Let's take a

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Speaker 1: look at some stocks on the move today. Joining us

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Speaker 1: is Bloomberg News Equities reporter Natalia Kenievich. She joins us

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Speaker 1: here in the Bloomberg Studio. This is the one that

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Speaker 1: I guess it's too everybody is talking about foot Locker and.

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Speaker 3: Dix exactly, so we do see huge price moves. So

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Speaker 3: for example, now Dick Sportson is down by fourteen percent.

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Speaker 3: On the other hand, Footlocker is up by eighty five percent. Guys,

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Speaker 3: So for Footlockers specifically, right, so the company was a

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Speaker 3: little bit struggling with this turnaround. We know that it

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Speaker 3: relied on Nike heavily than Nike chose direct to consumer approach,

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Speaker 3: and Footlocker was really kind of struggling with assertainment and goods.

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Speaker 3: So this deal is largely viewed by the market right

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Speaker 3: as a positive development. On the other hand, we see

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Speaker 3: that for Dick Sporting it's not such a good idea

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Speaker 3: right at least how analysts see this move. When I

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Speaker 3: asked people why this deal is happening, why do they

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Speaker 3: need this foot locker in their portfolio, they said, basically,

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Speaker 3: foot locker can bring a little bit bigger exposure to

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Speaker 3: because this is a lifestyle thing and they can have

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Speaker 3: how to say, they can have more access to why

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Speaker 3: the range of consumers plus foot locker also has global exposure. Okay,

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Speaker 3: what else are you watching Core with? Yes, so we

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Speaker 3: reported on this company before the IPO. We followed the

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Speaker 3: IPO pretty closely. The stock is currently, if I'm not mistaken,

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Speaker 3: still treating above its IPO price earnings. Everyone was watching

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Speaker 3: what they are going to deliver. Two things. So, first

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Speaker 3: of all, of course we know about this new kind

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Speaker 3: of extension of this deal with open Ai, which is

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Speaker 3: a positive development. However, we do see that the stock

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Speaker 3: is down because some analysts were disappointed with increased kapex plan.

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Speaker 3: The reason why it's so important because analysts I spoke

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Speaker 3: with I did a preview on earnings and they said

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Speaker 3: the biggest problem for COREWV is that, yes, it's an

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Speaker 3: AI story and AI infrastructure demand is still there, but

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Speaker 3: the company has an huge amount of debt. The problem

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Speaker 3: here is that Core with wasn't able to get as

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Speaker 3: much equities because they basically cut the IPO right price,

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Speaker 3: and they weren't able to get as much as they

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Speaker 3: wanted through equities, and they have to borrow. They have

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Speaker 3: to now they increase their debt and they are one person,

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Speaker 3: one analyst told me that they borrow it somewhere between

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Speaker 3: ten to fourteen percent interest rates. It's pretty It is

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Speaker 3: a lot, and this is one of the biggest issues

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Speaker 3: for some investors and analysts. But other than that, it's

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Speaker 3: a pretty positive, you know story for AI.

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Speaker 1: Yeah, the shares bounced around a little today, but they

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Speaker 1: still reach an all time high actually, which is pretty remarkable.

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Speaker 1: The market cap emily thirty one point five billion dollars

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Speaker 1: out well just a few months ago. Yeah, this was

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Speaker 1: back in March. That's bigger than a lot of car companies.

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Speaker 1: Oh yeah, it is about the same stairs tick your

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Speaker 1: ste exactly.

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Speaker 3: I don't think that our viewers or listeners have heard

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Speaker 3: about this company potentially before today and including me actually.

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Speaker 3: But the reason why I decided to cover this stock

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Speaker 3: it is it still is the close the best performing

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Speaker 3: stock in the S and P five hundred today, it's

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Speaker 3: up by almost nine percent. This is a very good,

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Speaker 3: you know example of how these small stocks in very niche,

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Speaker 3: you know, areas of the market can deliver really good returns.

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Speaker 3: The stock is up by twenty percent on a year

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Speaker 3: to date basis. It is focuses on patient care, infection prevention, sterilization,

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Speaker 3: and analysts are pretty optimistic about those results. So it's

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Speaker 3: just like a good reminder that we should keep it

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Speaker 3: out on smaller stocks as well. Yeah, medical equipment, I'd

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Speaker 3: be curious to see like their supply chain and where

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Speaker 3: they're manufacturing.

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Speaker 1: They're based in Ohio.

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Speaker 3: There's a lot of factories in Ohio.

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Speaker 1: Potentially they're doing a lot of business there. Yeah. At

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Speaker 1: eighteen thousand Nina, eighteen thousand employees, Yeah, that's pretty massive,

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Speaker 1: a market cap of close to a little over twenty

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Speaker 1: four billion dollars.

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Speaker 2: The Stock Movers Report from Bloomberg Radio. Check back with

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Speaker 2: us throughout the day for the latest roundup of companies

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Speaker 2: making news on Wall Street and for the latest market

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Speaker 2: moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

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Speaker 2: the Bloomberg business

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Speaker 1: App mm hmm