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Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market, harnessing the power of Bloomberg Data.
Speaker 1: Let's take a look at some stocks on the move today.
Speaker 1: I'm Nathan Hager, joined by Bloomberg Stan Curtis with the
Speaker 1: update on Universal Music Group. A big bid this morning,
Speaker 1: with one big name potentially thinking of buying the company.
Speaker 1: Good morning Dan.
Speaker 3: Good morning Nathan. That's right. Billionaire activist Bill Ackman is
Speaker 3: proposing a deal with Universal Media Group which could be
Speaker 3: worth sixty five billion dollars. Ackman's Pershing Square proposed a
Speaker 3: merger with the company to merge the company with a
Speaker 3: US based acquisition company, effectively moving the listing from Amsterdam
Speaker 3: to New York. Pershing's proposal would give UMG shareholders just
Speaker 3: over five years per share plus a stake in the
Speaker 3: new company. Those shares are up of ten percent in
Speaker 3: Amsterdam trading. They're around nineteen year ows a share That
Speaker 3: is well below the approximately thirty euro a share value
Speaker 3: that Ackman has assigned to this deal. And that's because
Speaker 3: of uncertainty it looms over the company. Because French billionaire
Speaker 3: Vincent Bulleray has an eighteen percent steak and an extra
Speaker 3: ten percent steak if you add in his Vivendi holding
Speaker 3: proxy steak, and that has been that is leading to
Speaker 3: some certainty, uncertainty over whether this deal will actually get done.
Speaker 3: The shares are surging most nearly three years, but they
Speaker 3: are still down over thirty percent from last year's high.
Speaker 1: All right, well, well we wait for that possibility of
Speaker 1: Universal music shifting. It's listing to New York. The stocks
Speaker 1: that are trading on Wall Street to the upside the
Speaker 1: most this morning, really dominated by health insurance.
Speaker 2: That's right.
Speaker 3: So Humana is up nine percent in the pre market
Speaker 3: market ticker hum Other insurance companies CBS six percent, and
Speaker 3: United Health up over five percent in the pre market.
Speaker 3: That says the US Medicare program says it will pay
Speaker 3: private insurres nearly two and a half percent more in
Speaker 3: twenty twenty seven. That was higher the initial proposal in January,
Speaker 3: which was originally going to be a flat rate. JP
Speaker 3: Morgan TD Cowan analysts were looking for a one to
Speaker 3: one point five increase in the figure. So this coming
Speaker 3: in stronger than what Wall Street had expected. That level
Speaker 3: influences how much of nearly half a trillion dollars flow
Speaker 3: through to private healthcare plan plans, and the change is
Speaker 3: expected to add over thirteen billion dollars in additional payments
Speaker 3: to Medicare and to Medicare advantage plans. So this is
Speaker 3: a positive as positive sign for those insurers this morning.
Speaker 1: And some positive signs as well for Broadcom some potential
Speaker 1: deal news of a sort.
Speaker 3: There, that's right, So Broadcom announced a long term agreement
Speaker 3: with Google to develop and supply something called tensor processing units.
Speaker 3: These are chips that were originally used for search but
Speaker 3: have found renewed demand a from AI users. Shares of
Speaker 3: Broadcom take our avgo up nearly three percent in the
Speaker 3: pre market. Alphabet has just turned flat. That was trading
Speaker 3: up one percent earlier this morning. This deal has it
Speaker 3: so Broadcom will take Google specifications and create fully formed
Speaker 3: designs that can then be sent for manufacturing, and both
Speaker 3: companies will work with Anthropic, the AI company behind Claude,
Speaker 3: which is considered one of the best AI models right now,
Speaker 3: and that will eventually give the AI company access to
Speaker 3: three point five gigawatts of computing power. Nvidia is down
Speaker 3: over one percent as its chips face increasing competition.
Speaker 1: And just quickly, Dan, why are we seeing Apple shares
Speaker 1: in the red this morning?
Speaker 3: So we have a report from Nike saying that Apple's
Speaker 3: foldable iPhone has hit engineering snags that has the shares
Speaker 3: down about one percent in the pre market. The report
Speaker 3: cited unidentified people saying the first shipments could be delayed
Speaker 3: by months. Apple is under pressure to catch up to
Speaker 3: competitor Samsung, which released its first foldable phone over six
Speaker 3: years ago. However, those delays are seen potentially pushing this
Speaker 3: release out even farther.
Speaker 2: This Stockmover's report from Bloomberg Radio. Check back with us
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