WEBVTT - Wayfair Surges, Palantir Jumps, Spotify Dips as MAU, Operating Income Forecast Miss

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News, The Stock Movers Report,

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<v Speaker 1>your roundup of companies making moves in the stock market.

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<v Speaker 1>Harnessing the power of Bloomberg Data.

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<v Speaker 2>Let's take a look at some of the individual stocks

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<v Speaker 2>on the move today.

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<v Speaker 1>We can do that with Judy la Group from Bloomberg News.

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<v Speaker 2>She joins us here in studio.

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<v Speaker 1>Judy, what are you looking at?

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<v Speaker 2>Good morning, Paul. I heard that you have never heard

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<v Speaker 2>of Wayfair.

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<v Speaker 1>I have never heard of the I.

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<v Speaker 2>Always had to google.

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<v Speaker 1>Dude, Yeah, I know, now I know.

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<v Speaker 2>Well, the first story we're checking, or first company rather

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<v Speaker 2>is Wayfair. Tick er w shares are staring as much

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<v Speaker 2>as twenty eight percent and shares are on track for

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<v Speaker 2>its biggest increase were their biggest increase since April twenty

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<v Speaker 2>twenty five. This is coming after better than expected third

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<v Speaker 2>quarter sales outlook from the company. They beat expectations for revenue,

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<v Speaker 2>EPs and repeat customer orders, and the company also mentioned

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<v Speaker 2>that sales are growing in the US at their fastest

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<v Speaker 2>clip in five years, and the CFO on the earnings

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<v Speaker 2>call this morning said that US revenue growth is really

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<v Speaker 2>being driven by larger volumes, specifically with strength from high

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<v Speaker 2>income consumers, and the CFO called out their luxury segment

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<v Speaker 2>called Paragold, which grew second quarter sales by over a third.

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<v Speaker 2>So Bloomberg Intelligence analysts also wrote that the company's results

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<v Speaker 2>reflect improving execution despite sort of a challenged housing backdrop.

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<v Speaker 2>So definitely a good day for with their today.

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<v Speaker 1>And Paul now knows about wayfare now, you know, all right,

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<v Speaker 1>nice up on your list.

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<v Speaker 2>Sure, Palenteers next on our list. The data analysis software

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<v Speaker 2>company ticker PLTR is rallying as much as twenty one

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<v Speaker 2>percent and it is on track for its biggest increase

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<v Speaker 2>since February twenty twenty five. So certainly it's in the

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<v Speaker 2>news that the company boosted its revenue guidance for the

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<v Speaker 2>full year that beat Wall Street estimates. We also are seeing,

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<v Speaker 2>certainly sales expected to top eight billion for the year,

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<v Speaker 2>and the revenue beat as well, at one point nine

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<v Speaker 2>to four billion versus estimates of one point eight billion.

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<v Speaker 2>But I want to call attention to the CEO's words.

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<v Speaker 2>So we're talking about the term otherworldly that was used,

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<v Speaker 2>but I want to put it in context very quickly.

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<v Speaker 2>So the entire quote as that follows this quarter was otherworldly,

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<v Speaker 2>such an achievement would be caused for astonishment in any business,

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<v Speaker 2>but for one of our size, scale and consequence, it

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<v Speaker 2>is simply staggering. So not only is it sort of

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<v Speaker 2>otherworldly generally, but also for the company. The results were

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<v Speaker 2>really blowing away, certainly management on the call. And I'd

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<v Speaker 2>also like to note too, there is certainly a fear

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<v Speaker 2>among bears for the sort of AI the er case,

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<v Speaker 2>so just the worry that AI would really replace the business.

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<v Speaker 2>But analysts are really sort of understanding that this is

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<v Speaker 2>really not a big issue. So Morgan Stanley analysts specifically

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<v Speaker 2>writing quote the faircase on AI native competition is overstated,

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<v Speaker 2>and Karp also saying that the risks of letting models

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<v Speaker 2>loose within their homes for AI companies is also something

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<v Speaker 2>that calendar has an edge over. So interesting space to watch,

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<v Speaker 2>all right. One more Spotify. Yes, Spotify, the world's largest

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<v Speaker 2>music streaming service ticker spot So shares are now flat.

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<v Speaker 2>They were they had fallen as much as five percent

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<v Speaker 2>earlier in trading today, and they were on track for

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<v Speaker 2>their worst day nearly three months. What we're looking at

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<v Speaker 2>too is certainly the earnings results from the company. The

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<v Speaker 2>third quarter active monthly monthly active users and operating income

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<v Speaker 2>forecasts really miss estimates. Monthly active users came in at

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<v Speaker 2>seven hundred and eighty eight million this quarter, down from

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<v Speaker 2>the seven hundred and ninety three point five million that

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<v Speaker 2>analysts expected, and so while Spotify is traditionally focused on

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<v Speaker 2>growing subscribers, there looks like they're trying to increase prices

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<v Speaker 2>and hoping that their more ardent users will really pay

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<v Speaker 2>more for the service. Bloomberg Intelligence analysts specifically wrote that

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<v Speaker 2>software than expected operating income might signal higher AI spending

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<v Speaker 2>by the company, which was cous for investor concern and

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<v Speaker 2>may have explained the stock movement earlier today in.

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<v Speaker 1>Trading the Stock Movers Report from Bloomberg Radio. Check back

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