WEBVTT - Instacart Drops, Lululemon Rises, Micron Jumps on Upbeat Forecast

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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 2>Let's take a look at some of the stocks on

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<v Speaker 2>the move today. We can do that with Bloomberg. Alexander.

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<v Speaker 1>Someone know about alex What are you looking at it?

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<v Speaker 1>Good morning, guys. The first name I'm looking at is Instachart.

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<v Speaker 1>That stock is falling this morning after Reuter's reported that

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<v Speaker 1>the FTC sent the grocery delivery company a civil investigation demand.

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<v Speaker 1>The FTC is seeking information about one of the company's

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<v Speaker 1>AI pricing tools. Apparently a study showed that some shoppers

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<v Speaker 1>got prices up to twenty three percent higher. The FTC

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<v Speaker 1>declined to comment on this, but they told Reuters that

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<v Speaker 1>they are quote disturbed. In a blog post data December eighteenth,

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<v Speaker 1>instacart said that recent reports around that surge and pricing

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<v Speaker 1>inaccurately blurred together fundamentally different things ab price test, dynamic pricing,

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<v Speaker 1>and surveillance pricing. So we'll be interesting to see what

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<v Speaker 1>the FTC finds. The stock right now is down about

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<v Speaker 1>one point five percent, but a lot less than it

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<v Speaker 1>was in pre market trading. All right, good one to

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<v Speaker 1>watch for. What's next? Of course, we have Lulu Lemon today.

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<v Speaker 1>Activist investor Elliott Management has built a stake of more

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<v Speaker 1>than a billion dollars in the company. Elliott apparently has

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<v Speaker 1>been working for months with retail executive Jane Nilsen. She

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<v Speaker 1>is a former chief financial officer and chief operating officer

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<v Speaker 1>for Ralph.

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<v Speaker 2>Laura.

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<v Speaker 1>Nielsen is viewed by the activist investor as a potential

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<v Speaker 1>CEO candidate. Of course, the company had said that CEO

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<v Speaker 1>Calvin McDonald would be stepping down at the end of January.

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<v Speaker 1>Just taking a look at shares right now, they're up

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<v Speaker 1>about seven percent. The stock rallied eleven percent since Friday,

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<v Speaker 1>when they boosted their full year outlook and also announced

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<v Speaker 1>the departure of McDonald. However, if you look at Lululemon shares,

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<v Speaker 1>they're down about forty six percent this year, So completely

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<v Speaker 1>understandable that Elliott would want a turnaround in this company.

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<v Speaker 1>You Micron, Yeah, a positive sign for the AI trade.

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<v Speaker 1>Looking at shares of Micron right now, they are surging

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<v Speaker 1>about eleven percent. This is, of course, the largest US

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<v Speaker 1>maker of computer memory chips. The company gave an upbeat

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<v Speaker 1>forecast for the current quarter. They also signaled a surge

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<v Speaker 1>in demand and supply shortages are allowing the company to

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<v Speaker 1>charge more for their products. Analysts had estimated about four

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<v Speaker 1>point four billion dollars in revenue for the average period,

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<v Speaker 1>but Micron actually blew out expectations. Their revenue will be

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<v Speaker 1>eighteen point three billion to nineteen point one billion. It

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<v Speaker 1>is benefiting from the voracious appetite for AI computing components.

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<v Speaker 1>Its executive vice president of operations said that this is

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<v Speaker 1>the most significant disconnect between demand and supply that he's

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<v Speaker 1>seen in twenty five years.

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<v Speaker 2>The Stock Mover's report from Bloomberg Radio. Check back with

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