WEBVTT - Tesla Rises, 3M Higher, Verizon Falls on Subscriber Decline

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>The Stock Movers podcast, 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 3>Let's take a look at some stocks on the move today.

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<v Speaker 3>We're joined by Bloomberg's Isabel Lee. Isabelle, what are you

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<v Speaker 3>looking at?

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<v Speaker 1>Verizon? So shares are kind of flat, but Verizon reported

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<v Speaker 1>a larger than expected decline in mobile phone subscribers. That's

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<v Speaker 1>much more than analysts we're expecting. So this is the

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<v Speaker 1>result of heavy competition and of course less spending by

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<v Speaker 1>federal agencies as the Trump administration really moves to slash

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<v Speaker 1>those jobs. And this is a big deal because Verizon

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<v Speaker 1>is the largest US wireless provider. It's also a significant

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<v Speaker 1>reversal from the previous quarter when they reported more than

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<v Speaker 1>half a subscribe half a million subscribers added. So in general,

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<v Speaker 1>we know that Verizon AT and T and T Mobile

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<v Speaker 1>are really locked in this tight race. For example, last

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<v Speaker 1>Christmas holiday, Verizon ended at seasonal promotions, but its rivals didn't.

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<v Speaker 1>And also customers are keeping their phones longer, like I've

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<v Speaker 1>owned my phone for years now.

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<v Speaker 3>Oh yeah, Paul had like an iPhone yeah, ten, it

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<v Speaker 3>wasn't that bad. It was like an ipon ten for

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<v Speaker 3>very very long, long long time. Also, taking a look

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<v Speaker 3>at three AM, I love this company because they make

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<v Speaker 3>literally everything. Their big jam is this the adhesives, right,

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<v Speaker 3>but you can put the adhesives on anything like posters

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<v Speaker 3>to stuff you use in planes.

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<v Speaker 1>What did they say? I do love three AM. Also

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<v Speaker 1>my tape at home is three AM and it's also

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<v Speaker 1>considered an economic bell weather because it's portfolio of really

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<v Speaker 1>just a thousand of consumers and multiple industrial products give

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<v Speaker 1>it a broad exposure to the economy. So for today,

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<v Speaker 1>shares are edging higher nearly eight percent. We have a

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<v Speaker 1>three AM standing by its full year guidance, but it

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<v Speaker 1>did also acknowledge the risks of the unfolding trade war,

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<v Speaker 1>so the company said tariffs will have a negative impact

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<v Speaker 1>of as much as forty cents a share on full

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<v Speaker 1>year earning. But still I think it's the outlook that

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<v Speaker 1>really are boosting investors. So the company also this is important.

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<v Speaker 1>The arrives around eleven percent of its sales in China,

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<v Speaker 1>and we know that the Trumped administration has imposed blanket

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<v Speaker 1>tarre of one hundred percent, so it's really interesting to

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<v Speaker 1>see how that will play out, but I think it's

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<v Speaker 1>the positive outlook that's boiling the stock.

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<v Speaker 3>And a better tape too. They also decay that they're

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<v Speaker 3>looking for some product shifts could be possible, or looking

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<v Speaker 3>at customer surcharges as well. And we can't let you

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<v Speaker 3>go on that talk in Tesla what to expect after

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<v Speaker 3>the bell today?

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<v Speaker 1>It's earning stay today and investors are really looking at

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<v Speaker 1>this stock once again and looking to Elon Musks for

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<v Speaker 1>any excitement that he may inject back in the company.

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<v Speaker 1>We know that the one of the biggest notable Tesla

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<v Speaker 1>bulls have called the Tesla stock a quode red moment,

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<v Speaker 1>and it's really interesting because Tesla had allows you start

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<v Speaker 1>to the year. As we all know, Elon Musk has

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<v Speaker 1>really engaged himself in a lot of political entanglements and

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<v Speaker 1>a lot of customers have been mad. And we have

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<v Speaker 1>news just today that the treasuries of eight US states

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<v Speaker 1>have written an open letter to Tesla's board of directors

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<v Speaker 1>expressing concern about the direction of the company. But still

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<v Speaker 1>the stock is edging higher. I feel like investors are

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<v Speaker 1>hopeful for where the company we will go. Adjusted EPs

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<v Speaker 1>is at forty four cents. That's the estimate of Bloomberg consensus,

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<v Speaker 1>and EPs is thirty three sents, so we'll see it exciting.

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<v Speaker 1>Whende Bell closes today.

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<v Speaker 2>The Stockmovers podcast from Bloomberg Radio. Check back with us

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<v Speaker 2>throughout the day for the latest roundup of companies making

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

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