WEBVTT - Brown-Forman Soars, Cybersecurity Stocks Slide, Carnival Drops

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>I want to bring in Bloomberg Managing editor for Markets

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<v Speaker 3>Live Blog, Christina Quino, to take a look at some

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<v Speaker 3>stocks on the move today. We are joined by Christina

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<v Speaker 3>Aquino here in our Bloomberg studio. Do you have anything

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<v Speaker 3>Christine that's not lower today?

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<v Speaker 1>Yeah? Yeah, how about we start with a little bit

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<v Speaker 1>of a merger Friday?

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<v Speaker 2>Okay, sorry, right, yeah, I want to talk.

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<v Speaker 1>About Brown Foreman, that is, of course the maker of

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<v Speaker 1>Jack Daniels. So those shares is a ticker b F

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<v Speaker 1>slash A for the Class A stock up four point

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<v Speaker 1>nine percent today, so very much in the green, one

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<v Speaker 1>of the few shares in the green. And that is

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<v Speaker 1>because we did get news that Brown Foreman is in

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<v Speaker 1>merger talks with Paranol Recard, who is of course the

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<v Speaker 1>maker of Absolute Vodka and so potentially putting all those

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<v Speaker 1>brands together in one big company. And you know these

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<v Speaker 1>are family run businesses still. Yeah, so the Perno, the

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<v Speaker 1>Recar family very much uh still major shareholders in a Parano.

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<v Speaker 1>And then the descendants of Brown form and founder George

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<v Speaker 1>Garvin Brown apparently still largely control the group. And so

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<v Speaker 1>you know, we'll have to have the family's blessing any

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<v Speaker 1>sort of merger. They're probably going to roll their shares

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<v Speaker 1>into a new company if that's fast.

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<v Speaker 3>If if it comes to pass. A big family in Louisville, Kentucky,

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<v Speaker 3>very well known, and I wonder if they will approve

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<v Speaker 3>of this. Yeah, I mean it comes at a time

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<v Speaker 3>in a really interesting time for the spirits industry.

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<v Speaker 4>Do you go out like no, and you and I

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<v Speaker 4>don't drink, don't drink.

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<v Speaker 3>And that's they don't want. So yeah, this is but

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<v Speaker 3>this is the backdrop that you know, these large liquor

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<v Speaker 3>companies are facing right now.

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<v Speaker 4>Yeah, more and more, especially gen Z. But I think

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<v Speaker 4>we're millennials. Are you a millennial?

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<v Speaker 3>A geriatric millennium, that's what they call.

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<v Speaker 4>Yeah, sure, we all don't drink.

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<v Speaker 3>All right, what else you got for us?

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<v Speaker 1>All right? Sadly, this is a stock that is down today,

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<v Speaker 1>that is Polo Alto's ticker PA and W down more

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<v Speaker 1>than six percent at the moment. It's not actually because

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<v Speaker 1>of news related to Paula Alto specifically but actually news

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<v Speaker 1>related to anthropics. So we did get a fortune report

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<v Speaker 1>raising concerns that anthropics artificial intelligence model called Claude Capybara

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<v Speaker 1>might be used by hackers to skirt cyber defenses, and

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<v Speaker 1>so a lot of cyber stocks, including Paula Alto, falling

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<v Speaker 1>as a result of that. We do have you know,

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<v Speaker 1>analysts on Wall Street saying that maybe the markets are

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<v Speaker 1>misinterpreting what we're seeing in the report, but you know,

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<v Speaker 1>it tends to be to trend, especially for a related stocks,

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<v Speaker 1>right like if there's any sort of whiff of vadues,

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<v Speaker 1>especially in this environment, I think the instinct for a

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<v Speaker 1>lot of traders is to sell first and ask questions later.

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<v Speaker 1>And paul Alto getting slides wipe today in that is.

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<v Speaker 4>It bad that when I first read the news article,

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<v Speaker 4>I thought Capybarra, that's exactly and I thought, why did

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<v Speaker 4>they name there?

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<v Speaker 1>I started singing a song from Tik Talk.

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<v Speaker 4>Do you want to I'll.

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<v Speaker 1>Show you to TikTok later the whole thing.

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<v Speaker 3>All right, So we've talked a little bit. We've we've

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<v Speaker 3>talked a little bit about the maker of Jack Daniels.

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<v Speaker 3>Let's go on a cruise, Yes, let's go.

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<v Speaker 1>On a cruise specifgree with Carnival, right, so ticker CC.

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<v Speaker 1>We did get results from that company today. So the

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<v Speaker 1>silver lining is that first quarter results actually mostly beat estimates, EPs,

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<v Speaker 1>sales all looking good. The problem is that its outlook

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<v Speaker 1>was disappointing for a lot of investors.

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<v Speaker 3>Was it due to higher fuel costs? Was it due

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<v Speaker 3>to concerns from the Middle East?

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<v Speaker 1>Yeah, definitely part of that is the higher fuel cost

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<v Speaker 1>Because you know, our blooming Intelleges analysts took a look

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<v Speaker 1>and basically, you know, the guidance assumes from March anyway,

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<v Speaker 1>the guides assumes that there's going to be a full

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<v Speaker 1>year five hundred million dollar hit from higher fuel costs.

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<v Speaker 1>And that's based on the assumption that brent is going

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<v Speaker 1>to be around eighty to eighty five dollars per barrel.

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<v Speaker 1>But just before I came over here, it hit well,

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<v Speaker 1>it was over one hundred dollars already and and so

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<v Speaker 1>you know the estimate is that it could be around

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<v Speaker 1>one ten, one fifteen. So that's an upside to the

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<v Speaker 1>fuel hit that the Carnival Company is going to have

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<v Speaker 1>to contend with.

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<v Speaker 4>There's this story by Bloomberg reporter Red Brown.

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<v Speaker 3>I love this story. I know.

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<v Speaker 4>I'm sorry if you talked about it yesterday, but it's wild.

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<v Speaker 4>Cruise influencers make three hundred and fifty thousand dollars all

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<v Speaker 4>the year, and they lure gen Z folks, maybe Jerry, Yeah,

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<v Speaker 4>tech millennials. They'll also lure you, so we sometimes look,

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<v Speaker 4>don't pay you fifty thousand dollars. That's not nothing. I mean,

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<v Speaker 4>I would take that if.

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<v Speaker 3>You're taking some videos and going on cruises, not.

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<v Speaker 4>That, and we can have it approved by Bloomberg.

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<v Speaker 1>Hey, I mean, I would say yes to that gig.

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<v Speaker 3>Christina Quino, Managing editor for Bloomberg Markets Live blog. For

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<v Speaker 3>more conversations like this, check out our new Stock Movers podcast.

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