WEBVTT - Concentrix and Digital Reality Lower; AVAV Jumps

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. This 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. Let's take a look

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<v Speaker 1>at some stocks on the move today. I'm Tom Keen

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<v Speaker 1>with Paul Sweeney and Bloomberg's Alexis.

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<v Speaker 2>It's a podcast and it may be a quiet day

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<v Speaker 2>on the market. So we've got a lot of stock

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<v Speaker 2>movers today. So let's get to Concentrics. This ticker symbolist

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<v Speaker 2>cn XC. It is a call center company and it

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<v Speaker 2>is taking it on the chin this morning, down twenty

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<v Speaker 2>five percent, missed second quarter earnings expectations, issued poor guidance,

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<v Speaker 2>and really the sector in general's taking a hit because

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<v Speaker 2>it's got his French peer Teleperformance down about thirteen percent.

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<v Speaker 2>In Europe, concerns around AI on customer service outsourcing companies,

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<v Speaker 2>a lot of their clients are realizing, wait a minute,

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<v Speaker 2>we don't really need your services. We can bring this

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<v Speaker 2>in house Physici.

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<v Speaker 1>Concentrics, I don't know, Fremont four hundred and fifty five

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<v Speaker 1>thousand people. Wow wow. And in certain geographies like the Philippines,

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<v Speaker 1>this is a huge deal.

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<v Speaker 2>Yeah, I don't know. Much about AI, but it just

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<v Speaker 2>seems to me like AI, this call center business could

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<v Speaker 2>be disrupted by a well. An RBC analyst in Europe,

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<v Speaker 2>in a note to clients said the results are concerning

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<v Speaker 2>because quote, they feed fears that outsourcing customer services is

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<v Speaker 2>a fast withering industry, ouch and concentric by the way,

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<v Speaker 2>down about forty percent so far this year. Let's move

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<v Speaker 2>on to digital realty and that is also down today

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<v Speaker 2>about four and a half percent. Blackstone's going to sell

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<v Speaker 2>its stakes in a trio of data centers across Northern

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<v Speaker 2>Virginia to Digital Realty for three and a half billion dollars.

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<v Speaker 2>This is part of a partnership Blackstone and Deal Digital

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<v Speaker 2>Realty are working together on data center investments located not

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<v Speaker 2>just in Northern Virginia, but also in Paris and Frankfurt.

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<v Speaker 2>Believe it or not, Morthern Virginia apparently is just a

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<v Speaker 2>big data center destination at the moment. But digital realty selling,

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<v Speaker 2>do I want to be the buyer? Yeah, exactly, which

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<v Speaker 2>I think is why digital realty is coming under some

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<v Speaker 2>pressure here today. But so far this year it's up

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<v Speaker 2>twenty three percent. Let's get to a winner. I want

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<v Speaker 2>to talk about a winner aero Vironment. Aero Vironment ticker

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<v Speaker 2>symbol AVAV stock is up twenty seven percent here in

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<v Speaker 2>the pre market. It's a defense company reported fourth quarter

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<v Speaker 2>results that beat estimates. Forecast for revenue this year or

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<v Speaker 2>for twenty twenty seven at the midpoint, also exceeding estimates.

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<v Speaker 2>Analyst notes strength and its drone business. We're hearing more

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<v Speaker 2>and more about the drone business, how it's infiltrating other areas,

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<v Speaker 2>and so other defense and drone related companies moving higher

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<v Speaker 2>on this arrow vironment news Companies like Unusual Machines and

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<v Speaker 2>Vichet Precision are higher. I mean Foreign affairs as an

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<v Speaker 2>article on drons, and I'm trying to read everything I

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<v Speaker 2>can on it.

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<v Speaker 1>And all you got to do is look at the

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<v Speaker 1>news and look at like, you know, we're focused on the.

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<v Speaker 2>Mid East, Ukraine in Russia. When you look at the stories,

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<v Speaker 2>it's OMG, this is all brand new. Yeah, but you

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<v Speaker 2>know what, Please don't fly your drones near airports. Can

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<v Speaker 2>we not do that?

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<v Speaker 1>We have two.

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<v Speaker 2>Incidents here are our airports recently with this it's dangerous stuff.

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<v Speaker 2>Time for one more really quick, please, Microsoft. It is

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<v Speaker 2>a basically unchanged but not unchanged for first the year

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<v Speaker 2>so far, heading for its worst month in twenty six years.

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<v Speaker 2>I don't know how this happened, but it's due to

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<v Speaker 2>concerns that the company is not going to fare well

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<v Speaker 2>in a world marked by artificial intelligence. I guess Wall

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<v Speaker 2>Street wants to hear more from Microsoft and its plans

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<v Speaker 2>for how it's going to survive or you know, you know,

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<v Speaker 2>be in the race for AI. Stock is down eighteen

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<v Speaker 2>and a half percent this month. It is a race

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<v Speaker 2>more than six hundred billion in market value. Lots of

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<v Speaker 2>analysts though out there, say it is valued at the

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<v Speaker 2>cheapest we've seen in about a decade. For Microsoft.

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<v Speaker 1>This stock mover's report from Bloomberg Radio. Check back with

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<v Speaker 1>us throughout the day for the latest roundup of companies

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<v Speaker 1>making news on Wall Street and for the latest market

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<v Speaker 1>moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

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