WEBVTT - Closing Bell: Nvidia Jumps, Rocket Labs Slides, Hewlett Packard Enterprise Soars After Earnings

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, Radio News.

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<v Speaker 2>This is the closing bell on this stock movers report

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<v Speaker 2>the company's making moves at the close of US trading

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<v Speaker 2>with Carol Masser, Tim Stenebeck, Romain Bostik, and Katie Greifel.

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<v Speaker 3>Well, speaking of what gained today, we got to start

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<v Speaker 3>with looking at Nvidia and ARM. In Vidia shares rising today,

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<v Speaker 3>what more than six point two percent? We'll go ahead

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<v Speaker 3>and round that up six point three percent today. Armholdings

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<v Speaker 3>hitting a new intra day record today, up at its

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<v Speaker 3>best levels more than twenty percent, but closing fifteen point

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<v Speaker 3>seven percent higher today. This after in Nvidia announced a

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<v Speaker 3>new product that combines an armed central processing unit CPU

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<v Speaker 3>and a Blackwell generation graphics processor. We're talking about the

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<v Speaker 3>RTX Spark super chip. It'll debut in laptop and desktop

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<v Speaker 3>computers from Dell and Lenova. It'll run Microsoft's Windows ARM

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<v Speaker 3>operating system. Jensen announced this in Taiwan overnight. It'll allow

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<v Speaker 3>for you know, so called aipcs. We had a great

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<v Speaker 3>chat with Ian King a little earlier.

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<v Speaker 1>How much are these things going to cost?

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<v Speaker 3>Oh, we don't know about that yet, Okay, but what

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<v Speaker 3>we do know and I guess Also, what we don't

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<v Speaker 3>know is like what normal people will do with these aipcs.

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<v Speaker 3>Qualcom's been talking about this for years, But what you know,

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<v Speaker 3>given what people do on computers right now and on

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<v Speaker 3>their smartphones right now, you know in the way they

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<v Speaker 3>interact with.

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<v Speaker 1>I love Qualcom because I'd also like to point out

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<v Speaker 1>that Christiano Amone, the CEO of Qualcomb, was also on

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<v Speaker 1>that same stage, and nobody's talking about them for some reason,

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<v Speaker 1>because they basically have the same thing.

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<v Speaker 3>Last check they do and my last check, shares of

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<v Speaker 3>Qualcom were down more than eight percent, but I haven't

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<v Speaker 3>I haven't looked in the last couple of hours. Also,

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<v Speaker 3>MGM Resorts International today shares surging this after we learned

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<v Speaker 3>Barry Diller has made an offer for the remaining portion

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<v Speaker 3>of MGM Resorts International he doesn't already own, finishing the

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<v Speaker 3>day up more than sixteen percent. The proposal is for

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<v Speaker 3>the seventy four percent we'll call it of MGM Resorts

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<v Speaker 3>that it doesn't already own. It values the company at

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<v Speaker 3>eighteen point eight billion dollars including debt. Diller believes the

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<v Speaker 3>market quote materially undervalues the power and durability of MGM assets.

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<v Speaker 3>Which have real world assets that AI cannot easily replicate

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<v Speaker 3>or disintermediate and exceptional digital growth opportunities once again. MGM

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<v Speaker 3>resorts up by sixteen percent today. And finally, how about

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<v Speaker 3>a little movie theater AMC Entertainment twenty two and a

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<v Speaker 3>half percent higher today. We saw several movie theater stocks

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<v Speaker 3>actually move higher today after a record box office weekend

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<v Speaker 3>for the independent distributor of backrooms, closing out the strong

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<v Speaker 3>May lineup AMC shares they're heavily shorted. They said that

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<v Speaker 3>after yet another strong weekend at the box office in May,

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<v Speaker 3>they have seen the highest attended month of May going

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<v Speaker 3>back to twenty nine.

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<v Speaker 1>Have you seen this movie yet?

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<v Speaker 3>I have not. I have not seen it, Emily, I

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<v Speaker 3>have not seen any movies.

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<v Speaker 1>Ro May I know, well you have you have tiny kids?

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<v Speaker 3>Yeah, all you're watching our cartoons. I watched Marty Supreme

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<v Speaker 3>on HBO Max a few weeks ago.

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<v Speaker 4>With your children came out a while ago.

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<v Speaker 3>They did come out for me. That did not come

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<v Speaker 3>out a while ago. I thought it was I thought

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<v Speaker 3>it was fun, okay, really yeah?

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<v Speaker 2>Why yeah?

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<v Speaker 5>I heard it was stressful.

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<v Speaker 3>Well that's all the movies from those guys.

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<v Speaker 5>Yeow yeah, I don't.

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<v Speaker 1>It's not keep you see cut gems, it's a uncut

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<v Speaker 1>jams that's still recovering.

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<v Speaker 3>Yeah, yeah, all right, I'm gonna let Emily go.

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<v Speaker 4>Well, go to the decliners. Similar theme to what Tim

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<v Speaker 4>was just talking about here, starting with Intel, Intel lower

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<v Speaker 4>as in Nvidia enters the PC market with a new ship,

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<v Speaker 4>so a new chip that's weighing on shares of chip

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<v Speaker 4>maker's Intel. It's also weighing on Qualcom, as we had discussed.

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<v Speaker 4>I picked Intel because it's a bigger market cap company,

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<v Speaker 4>but Qualcomb did fall about eight percent. Intel closing the

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<v Speaker 4>day down about four point six percent. The shares were

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<v Speaker 4>down about ten percent in the last five days. Almost

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<v Speaker 4>twenty seven billion dollars in market cap erased for Intel.

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<v Speaker 4>Though just today, I'm also looking at shares of rocket Lab.

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<v Speaker 4>Shares of Spacelink stocks declined today, rocket Lab down about

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<v Speaker 4>fourteen point seven seven percent. This is all coming after

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<v Speaker 4>a Blue Origin rocket exploded last week, so that trade

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<v Speaker 4>in Spacelink stocks continuing into this week. The Jeff Bezos

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<v Speaker 4>backed firm Blue Origins New Glen rocket blew up on

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<v Speaker 4>Thursday evening while undergoing a test on a Florida launch pad,

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<v Speaker 4>and this, of course is ahead of its plans for

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<v Speaker 4>it to deploy satellites for Amazon's Leo, which is a

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<v Speaker 4>rival network to Starlink. Yeah. And then finally Ford shares

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<v Speaker 4>dropping sorry Romine.

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<v Speaker 1>Yeah sorry, we're getting earnings right now out of Hewlett

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<v Speaker 1>Packard Enterprise crossing the wire and the shares on fire

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<v Speaker 1>up about fifteen percent. A lot of questions as to

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<v Speaker 1>whether they would be participating, of course, in this AI boom.

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<v Speaker 1>Net revenue in the most recent quarter up forty percent

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<v Speaker 1>to ten point seven billion dollars. The street was looking

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<v Speaker 1>for nine point seven so basically came in about a

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<v Speaker 1>billion dollars over that. Networking revenue was the star of

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<v Speaker 1>the show, two point six to nine billion. That's up

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<v Speaker 1>from about one point billion at one point one billion

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<v Speaker 1>the previous year here, so a huge acceleration and growth there.

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<v Speaker 1>Adjusteddps also beat seventy nine cents a share. The street

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<v Speaker 1>was looking for fifty four cents. Here's your forecast for

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<v Speaker 1>the full year. The company says expected ads todps three

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<v Speaker 1>thirty five. The three forty five a share that's more

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<v Speaker 1>than a dollar more than what it had previously guided for.

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<v Speaker 1>On both the top and low end of that range

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<v Speaker 1>of seeds free cash flow of three and a half

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<v Speaker 1>billion dollars for the full year, up from its previous

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<v Speaker 1>guidance of two billion dollars. So you get the story here.

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<v Speaker 1>This is a company projecting a huge acceleration in growth,

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<v Speaker 1>and you now see those shares accelerating up twenty four

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<v Speaker 1>percent in the after hours trade.

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<v Speaker 5>Yeah, just amazing. Let's talk about this shares a little

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<v Speaker 5>bit more here, because I mean, heading into these results

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<v Speaker 5>today alone, we saw HPE shares rise by more than

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<v Speaker 5>nine percent for the full year. For twenty twenty six,

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<v Speaker 5>year to date, shares hired by ninety seven percent on

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<v Speaker 5>a total return basis. There was this idea out there

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<v Speaker 5>that maybe HP Enterprise, maybe they faced a high bar

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<v Speaker 5>after what we saw from Dell, But clearly if that

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<v Speaker 5>bar was set even higher, they seem to surpass at

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<v Speaker 5>least take a look at the after shares reaction here,

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<v Speaker 5>a higher by nearly twenty five percent at this.

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<v Speaker 3>Point, Okay, you guys are watching what's happening with Hewlett

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<v Speaker 3>Packard Enterprise. I'm watching what's happening after hours with Credo Tech,

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<v Speaker 3>which going into today's print shares were up this year

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<v Speaker 3>by close to sixty percent. Shares getting I wouldn't say

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<v Speaker 3>crushed given what they've done this year, but still down

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<v Speaker 3>double digits right now. Fourth quarter revenue coming in just

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<v Speaker 3>above estimates at four hundred and thirty seven million dollars,

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<v Speaker 3>but let's look at the first quarter outlook cease first

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<v Speaker 3>quarter revenue for sixty five to four seventy five that

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<v Speaker 3>comes in above estimates a four hundred and sixty million

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<v Speaker 3>dollars first quarter justy gross margin above estimates at sixty

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<v Speaker 3>seven to sixty nine percent. The estimate estimate was for

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<v Speaker 3>sixty five percent. I guess not enough for the high

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<v Speaker 3>hopes that investors had going into this. Shares down about

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<v Speaker 3>twelve and a half percent in the after hours, but

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<v Speaker 3>again this shares up significantly this year, close to sixty percent.

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<v Speaker 2>This stockmover's report from Bloomberg Radio. Check back with us

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<v Speaker 2>news on Wall Street and for the latest market moving headlines.

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