1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers report your roundup of companies making moves 3 00:00:12,480 --> 00:00:15,880 Speaker 2: in the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,600 --> 00:00:18,239 Speaker 1: Let's have a look at some stocks on the move 5 00:00:18,280 --> 00:00:21,160 Speaker 1: today here in URB. I'm Caroline Hepget with Jamala Basecci, 6 00:00:21,400 --> 00:00:23,639 Speaker 1: and we joined about Bloomberg's equity to report a SAM 7 00:00:23,680 --> 00:00:28,320 Speaker 1: on second morning SAM So the UK advertising giant WPP 8 00:00:28,800 --> 00:00:30,000 Speaker 1: has dropped. 9 00:00:30,320 --> 00:00:34,000 Speaker 3: Why well, increasingly less of a giant as well, so 10 00:00:34,159 --> 00:00:37,559 Speaker 3: WPP shares lower this morning. The results are actually broadly 11 00:00:37,600 --> 00:00:39,800 Speaker 3: in line, but they're broadly in line with guidance that 12 00:00:39,840 --> 00:00:42,880 Speaker 3: they cut very recently their outlook as well, saying there's 13 00:00:42,880 --> 00:00:45,440 Speaker 3: a lot that there's been a deterioration over the second quarter. 14 00:00:45,640 --> 00:00:47,800 Speaker 3: A lot of its rivals haven't said that, so there's 15 00:00:47,960 --> 00:00:51,199 Speaker 3: maybe an indication that WPP is kind of underperforming itself. 16 00:00:51,520 --> 00:00:53,720 Speaker 3: And actually one thing to note here is that their 17 00:00:53,760 --> 00:00:57,080 Speaker 3: market capitalization has now fallen quite close to four billion 18 00:00:57,120 --> 00:00:59,440 Speaker 3: pounds and it's starting to put them on the edge 19 00:00:59,440 --> 00:01:01,320 Speaker 3: of where they met. They well end up getting demoted 20 00:01:01,320 --> 00:01:03,000 Speaker 3: from the FOOTSA one hundred if there is not a 21 00:01:03,040 --> 00:01:05,600 Speaker 3: sort of change in fortune. And they've been on the 22 00:01:05,640 --> 00:01:08,080 Speaker 3: foot Sea one hundred since nineteen ninety eight, so it 23 00:01:08,080 --> 00:01:10,160 Speaker 3: would be quite a significant turnaround for them. 24 00:01:10,280 --> 00:01:12,559 Speaker 2: Yeah, let's talk about another set of earnings. 25 00:01:12,600 --> 00:01:15,040 Speaker 1: Deutsche Telecom is down following its results. 26 00:01:15,040 --> 00:01:15,720 Speaker 2: So why is that. 27 00:01:16,480 --> 00:01:18,560 Speaker 3: Yeah, I mean that's for the same reason really that 28 00:01:18,640 --> 00:01:20,640 Speaker 3: everyone who's operating in Germany at the moment is having 29 00:01:20,640 --> 00:01:23,440 Speaker 3: a tough time in their mobile market. It's very very competitive. 30 00:01:23,680 --> 00:01:26,759 Speaker 3: You've got four major players all going up against each 31 00:01:26,760 --> 00:01:31,200 Speaker 3: other very hard. To Telephonica, they cut prices with the 32 00:01:31,240 --> 00:01:33,880 Speaker 3: sort of entry level mobile offer. That's added more pressure there. 33 00:01:34,000 --> 00:01:36,120 Speaker 3: You see this actually in results from Vodafone as well 34 00:01:36,319 --> 00:01:38,920 Speaker 3: when they report. So for Deutsche Telecom, that's obviously their 35 00:01:39,000 --> 00:01:41,960 Speaker 3: key market. A lot of that has been offset previously 36 00:01:41,959 --> 00:01:44,800 Speaker 3: for Deutsche Telecom by T Mobile and their stake there, 37 00:01:44,840 --> 00:01:48,040 Speaker 3: which has been very very strong. But they're now also 38 00:01:48,080 --> 00:01:50,640 Speaker 3: starting to see a translation effect there. So because of 39 00:01:50,680 --> 00:01:53,360 Speaker 3: those results coming in in US dollars and being translated 40 00:01:53,400 --> 00:01:56,200 Speaker 3: into a stronger euro, they're facing a currency headwind as well, 41 00:01:56,240 --> 00:01:58,080 Speaker 3: so that the part of the business that had previously 42 00:01:58,440 --> 00:02:01,840 Speaker 3: helped to to offset any weakness they were facing in 43 00:02:01,840 --> 00:02:04,560 Speaker 3: a very competitive German market is starting to show some 44 00:02:04,600 --> 00:02:05,600 Speaker 3: signs of weakness as well. 45 00:02:06,280 --> 00:02:09,280 Speaker 1: Okay, so that's the picture in Germany. But then of 46 00:02:09,320 --> 00:02:13,040 Speaker 1: course no end of countries in Europe really being challenged 47 00:02:13,320 --> 00:02:17,760 Speaker 1: Switzerland because of the tariffs. I mean, it's at the 48 00:02:17,760 --> 00:02:21,600 Speaker 1: moment it doesn't include pharmaceuticals, and Switzon's obviously very big 49 00:02:21,639 --> 00:02:24,080 Speaker 1: in that, to which the company sand does. 50 00:02:24,680 --> 00:02:27,000 Speaker 3: Yeah, so it doesn't you're right, it doesn't include the 51 00:02:27,000 --> 00:02:30,519 Speaker 3: pharmaceutical tarift, but it's added this extra layer of uncertainty 52 00:02:30,520 --> 00:02:33,080 Speaker 3: which has been hovering over the pharmaceutical industry for a while. 53 00:02:33,400 --> 00:02:36,360 Speaker 3: Sandos is a generics maker for the most part, generics 54 00:02:36,400 --> 00:02:39,760 Speaker 3: and biosimilar drugs, and there's a couple of things. So firstly, 55 00:02:39,800 --> 00:02:42,560 Speaker 3: they kept their guidance. There's sort of not a great 56 00:02:42,600 --> 00:02:45,000 Speaker 3: deal of concern in it about tariffs. It's still part 57 00:02:45,040 --> 00:02:47,239 Speaker 3: of the story, but obviously there is still some uncertainty 58 00:02:47,240 --> 00:02:50,320 Speaker 3: on the outlook there. But their operations were better than expected. 59 00:02:50,360 --> 00:02:53,359 Speaker 3: And actually it's interesting to note today that Hickmer Pharmaceuticals 60 00:02:53,400 --> 00:02:56,040 Speaker 3: in London also reported and their results look a little 61 00:02:56,040 --> 00:02:59,160 Speaker 3: bit weaker. Their shares fell today. So Sandos their results 62 00:02:59,160 --> 00:03:02,400 Speaker 3: are slightly ahead of expectations and so looking better against 63 00:03:02,400 --> 00:03:06,480 Speaker 3: a pair, as well as delivering a pretty reassuring outlook. 64 00:03:07,600 --> 00:03:11,840 Speaker 2: The Stockmovers Report from Bloomberg Radio. 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