1 00:00:02,520 --> 00:00:09,040 Speaker 1: Bloomberg Audio Studios, podcasts, radio news, The. 2 00:00:08,880 --> 00:00:13,160 Speaker 2: Stock Movers podcast, your roundup of companies making moves in 3 00:00:13,200 --> 00:00:18,599 Speaker 2: the stock market. Harnessing the power of Bloomberg data. Let's 4 00:00:18,600 --> 00:00:20,480 Speaker 2: take a look at some stocks on the move today. 5 00:00:20,560 --> 00:00:25,480 Speaker 3: Bloomberg Cross Asset reporter Isabelle Lee is here in our studio. Isabelle, 6 00:00:25,720 --> 00:00:27,400 Speaker 3: what do you have on your radar? 7 00:00:27,760 --> 00:00:29,440 Speaker 4: First, I'll talk about Caterpillars. 8 00:00:29,480 --> 00:00:33,240 Speaker 1: So this is a company that presented a dual situation 9 00:00:33,360 --> 00:00:35,760 Speaker 1: ship going on and that's I think becoming a new trend. 10 00:00:35,760 --> 00:00:38,600 Speaker 1: The first is if tiff remains in place and the 11 00:00:38,640 --> 00:00:41,519 Speaker 1: economy dips into a recession in the second half, they 12 00:00:41,560 --> 00:00:43,640 Speaker 1: expects likely little were sales this year. That's in line 13 00:00:43,680 --> 00:00:46,720 Speaker 1: with estimates. And the second is without tariffs, if the 14 00:00:46,760 --> 00:00:49,600 Speaker 1: company if we don't see tireffs. The company said, profit 15 00:00:49,640 --> 00:00:51,120 Speaker 1: will be at the top end of that range, with 16 00:00:51,240 --> 00:00:53,680 Speaker 1: sales a little change from last year and to the 17 00:00:53,720 --> 00:00:57,000 Speaker 1: earlier point we made. It's such a diverging situation, but 18 00:00:57,480 --> 00:01:00,400 Speaker 1: it just really paints how much TIFFs will affect the economy. 19 00:01:00,400 --> 00:01:02,320 Speaker 1: And for the quarter, the company posted earnings that fell 20 00:01:02,360 --> 00:01:03,200 Speaker 1: short of estimates. 21 00:01:03,240 --> 00:01:04,960 Speaker 5: We should point out the stock was down as much 22 00:01:04,959 --> 00:01:07,440 Speaker 5: as one point seven percent, right up as much as 23 00:01:07,560 --> 00:01:09,640 Speaker 5: almost three percent, and kind of ended just a little 24 00:01:09,640 --> 00:01:10,720 Speaker 5: bit higher on the day after that. 25 00:01:10,840 --> 00:01:12,400 Speaker 4: Six tenths of roller close there. 26 00:01:12,400 --> 00:01:15,720 Speaker 3: Do you have one zero guidance, do you have no guidance, 27 00:01:15,720 --> 00:01:17,360 Speaker 3: do you have one set of guidance, or do you 28 00:01:17,440 --> 00:01:18,680 Speaker 3: have two sets? That's the question. 29 00:01:18,840 --> 00:01:21,520 Speaker 5: Yeah, and companies in terms of how they are rewarded 30 00:01:21,720 --> 00:01:24,039 Speaker 5: or hurt in terms of stock reaction, it kind of 31 00:01:24,080 --> 00:01:24,919 Speaker 5: is all over the place. 32 00:01:25,680 --> 00:01:29,120 Speaker 4: All right, let's go to Starbucks. Starbucks. 33 00:01:29,120 --> 00:01:31,640 Speaker 1: This is interesting because we have the co really doubling 34 00:01:31,640 --> 00:01:34,440 Speaker 1: down on the progress they've made and said that, you know, 35 00:01:34,760 --> 00:01:36,480 Speaker 1: we're reviving growth, We're doing our best. 36 00:01:36,520 --> 00:01:38,120 Speaker 4: But he did also admit that. 37 00:01:38,319 --> 00:01:41,440 Speaker 1: Okay, results were disappointing, but under the hood, please focus 38 00:01:41,440 --> 00:01:43,240 Speaker 1: on that, and if you think about it, he took 39 00:01:43,280 --> 00:01:45,880 Speaker 1: the helm in September, and he's made a lot of changes. 40 00:01:46,160 --> 00:01:49,320 Speaker 1: He tried to eliminate long lines, he tried to streamline 41 00:01:49,320 --> 00:01:51,880 Speaker 1: the menu. He didn't want people who came in store 42 00:01:52,080 --> 00:01:55,040 Speaker 1: to suffer. And to his point, we have sales same 43 00:01:55,080 --> 00:02:00,320 Speaker 1: Star sales declining one percent and that's falling short of estimates. EPs. Also, 44 00:02:00,560 --> 00:02:03,200 Speaker 1: and let's see the stock today at you lower also 45 00:02:03,280 --> 00:02:04,040 Speaker 1: by six percent. 46 00:02:04,240 --> 00:02:06,400 Speaker 5: Yeah, was down as much as eleven percent, right, so 47 00:02:06,520 --> 00:02:08,679 Speaker 5: bounce kind of as the overall market. I feel like 48 00:02:08,760 --> 00:02:10,840 Speaker 5: him off its lows, but still that's a pretty big hit. 49 00:02:10,919 --> 00:02:13,320 Speaker 5: Got to appreciate kind of his honesty though about some 50 00:02:13,440 --> 00:02:14,720 Speaker 5: of it. 51 00:02:15,000 --> 00:02:17,720 Speaker 1: He seems like he's a really good boss. Remember he 52 00:02:17,760 --> 00:02:20,480 Speaker 1: made headlines when because of his pay package. I got 53 00:02:20,520 --> 00:02:23,360 Speaker 1: them from Chipotle and said that, you know, Starbucks is 54 00:02:23,680 --> 00:02:26,840 Speaker 1: back to we're working from the office, but the CEO 55 00:02:27,200 --> 00:02:27,400 Speaker 1: is it. 56 00:02:27,560 --> 00:02:32,399 Speaker 3: But I mean's got to get to the office in Seattle. 57 00:02:32,440 --> 00:02:34,119 Speaker 3: Have you seen how sunny it is in Newport Beach 58 00:02:34,200 --> 00:02:34,919 Speaker 3: versus Seattle. 59 00:02:35,160 --> 00:02:36,880 Speaker 5: I will say when he was at Chipotle, and many 60 00:02:36,919 --> 00:02:38,840 Speaker 5: folks would weigh in on this, that they were coming 61 00:02:38,840 --> 00:02:42,639 Speaker 5: off a really rocky time. And in terms of he 62 00:02:42,800 --> 00:02:45,200 Speaker 5: took it over just as Covid was sticking in uh, 63 00:02:45,600 --> 00:02:48,520 Speaker 5: digital ordering and so on and so forth, really ramping up, 64 00:02:48,520 --> 00:02:51,200 Speaker 5: and many would say, really turned around that company in 65 00:02:51,280 --> 00:02:52,239 Speaker 5: terms of going forward. 66 00:02:52,240 --> 00:02:55,000 Speaker 4: All right, Snap, not a good day, not a good day. 67 00:02:55,160 --> 00:02:57,720 Speaker 1: And this stock really also saw a roller coaster day. 68 00:02:57,800 --> 00:03:00,440 Speaker 1: It's it ended the day but down by just twelve 69 00:03:00,480 --> 00:03:02,560 Speaker 1: percent as much it was as lower as much as 70 00:03:02,560 --> 00:03:04,720 Speaker 1: seventeen percent earlier in the day, I think, but they 71 00:03:05,400 --> 00:03:09,480 Speaker 1: beat revenue estimates just by a narrow margin. They declined 72 00:03:09,520 --> 00:03:11,520 Speaker 1: to issue a sales forecast for the current period, and 73 00:03:11,520 --> 00:03:13,640 Speaker 1: I think this is really what spook investors, and like 74 00:03:13,639 --> 00:03:17,280 Speaker 1: everyone else, they cited macroeconomic headwinds. Morgan Stanley said that 75 00:03:17,320 --> 00:03:20,640 Speaker 1: this just speaks to maybe how much worst shape the 76 00:03:20,680 --> 00:03:23,040 Speaker 1: business is than they previously thought. We got a slew 77 00:03:23,080 --> 00:03:26,040 Speaker 1: of price target target cuts by Google, Him and Raymond 78 00:03:26,120 --> 00:03:28,320 Speaker 1: James City, and it's just really one of the many 79 00:03:28,360 --> 00:03:30,800 Speaker 1: companies warning about how difficult it is to do business 80 00:03:30,840 --> 00:03:31,480 Speaker 1: in this back rood. 81 00:03:31,720 --> 00:03:33,000 Speaker 3: Okay, what else are you watching? 82 00:03:33,720 --> 00:03:37,040 Speaker 1: I have two surprises, so robin Hood. This one is 83 00:03:37,080 --> 00:03:40,880 Speaker 1: interesting because recal investors falked to Robinhood even amid the tifolatility. 84 00:03:40,920 --> 00:03:43,360 Speaker 1: But I guess because of the tar folatility then you 85 00:03:43,400 --> 00:03:45,200 Speaker 1: want to trade it. It really depends, I mean not 86 00:03:45,240 --> 00:03:48,640 Speaker 1: everyone is just in it for the long term win companies. 87 00:03:48,880 --> 00:03:52,520 Speaker 4: Crypto revenue though doubled, but growth. 88 00:03:52,200 --> 00:03:54,840 Speaker 1: Slowed from each of the four quarters and share slump 89 00:03:54,840 --> 00:03:55,880 Speaker 1: in aftermarket trading. 90 00:03:55,960 --> 00:03:58,320 Speaker 4: It recovered partly by one and a half percent. 91 00:03:58,720 --> 00:04:00,840 Speaker 1: But this was an interesting new because I feel like 92 00:04:00,960 --> 00:04:03,000 Speaker 1: you know, it's interesting to see the growth of Robinhood 93 00:04:03,120 --> 00:04:06,520 Speaker 1: back from the memes stop pandemic Lory days. So now 94 00:04:06,520 --> 00:04:09,480 Speaker 1: it's really a big company that solidified and has a 95 00:04:09,520 --> 00:04:10,360 Speaker 1: good reputation and. 96 00:04:11,160 --> 00:04:13,600 Speaker 4: Three billion dollar market cap company I think. 97 00:04:13,920 --> 00:04:15,560 Speaker 3: Yeah, a lot of people out there would talk about 98 00:04:15,560 --> 00:04:17,320 Speaker 3: the maturation of the platform. 99 00:04:17,680 --> 00:04:20,680 Speaker 4: That's a really great word, maturation. I'm going to use 100 00:04:20,680 --> 00:04:21,360 Speaker 4: that from now on. 101 00:04:21,240 --> 00:04:21,640 Speaker 3: Feel free. 102 00:04:21,760 --> 00:04:24,760 Speaker 5: Can we also just import out they boosted their share 103 00:04:24,800 --> 00:04:27,280 Speaker 5: buy back by they did by half a billion dollars. 104 00:04:27,480 --> 00:04:27,919 Speaker 4: They didn't. 105 00:04:27,960 --> 00:04:29,800 Speaker 1: They're really just doubbling down on a lot of earnings. 106 00:04:29,839 --> 00:04:33,440 Speaker 1: They're building on their investing in credit card offerings, they 107 00:04:33,480 --> 00:04:36,279 Speaker 1: have checkings and savings accounts, and they're continuing really to 108 00:04:36,279 --> 00:04:37,760 Speaker 1: push beyond their memes stock days. 109 00:04:38,000 --> 00:04:39,920 Speaker 3: Okay, you said you had two surprises for us. Robin 110 00:04:39,960 --> 00:04:41,080 Speaker 3: Hood was one of them. What's the other? 111 00:04:41,520 --> 00:04:41,919 Speaker 4: eBay? 112 00:04:42,040 --> 00:04:45,239 Speaker 1: So eBay projected sales for their current quarter that exceeded 113 00:04:45,360 --> 00:04:46,080 Speaker 1: estimates and. 114 00:04:46,040 --> 00:04:46,880 Speaker 4: To a certain next tent. 115 00:04:46,920 --> 00:04:49,400 Speaker 1: eBay is really kind of protected from tariffs because more 116 00:04:49,440 --> 00:04:52,160 Speaker 1: than half of their sales are international, so that leaves 117 00:04:52,160 --> 00:04:54,880 Speaker 1: them to be less reliant on US consumers buying goods 118 00:04:54,920 --> 00:04:55,640 Speaker 1: made in China. 119 00:04:55,800 --> 00:04:57,080 Speaker 4: So that's actually I. 120 00:04:57,040 --> 00:04:59,760 Speaker 1: Didn't realize that, but then I thought that, Okay, actually 121 00:05:00,000 --> 00:05:01,880 Speaker 1: I don't really know people here who use eBay. 122 00:05:01,960 --> 00:05:04,320 Speaker 3: Yeah, Carol just uses it to buy her collectors. 123 00:05:04,680 --> 00:05:08,000 Speaker 4: I do. I just say that that's my thing. 124 00:05:08,400 --> 00:05:10,839 Speaker 5: It's up two percent in the regular trade, but you're. 125 00:05:10,720 --> 00:05:13,440 Speaker 4: Right, the stock has gain ten percent this year. But yeah, 126 00:05:13,480 --> 00:05:15,479 Speaker 4: a little change in extended trading. We'll see you a 127 00:05:15,520 --> 00:05:16,400 Speaker 4: price action tomorrow. 128 00:05:17,680 --> 00:05:21,800 Speaker 2: The Stock Movers podcast from Bloomberg Radio. Check back with 129 00:05:21,880 --> 00:05:24,640 Speaker 2: us throughout the day for the latest roundup of companies 130 00:05:24,680 --> 00:05:27,760 Speaker 2: making news on Wall Street and for the latest market 131 00:05:27,760 --> 00:05:32,160 Speaker 2: moving headlines. 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