WEBVTT - BNY Reports; TSMC Outlook; RocketLab Slides

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

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<v Speaker 2>Let's take a look at some stocks on the move today.

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<v Speaker 2>I'm Nathan Hager, joined by Bloomberg's Dan Curtis, starting us

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<v Speaker 2>off with a stock we might not get to see

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<v Speaker 2>on the move for too much longer because Penske Automotive.

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<v Speaker 1>Looks like it's going private, Dan. Good morning.

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<v Speaker 3>Good morning. Shares are PAG, at least for now, while

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<v Speaker 3>it's trading. That's right. The shares are up 9% in

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<v Speaker 3>the pre-market. Penske Automotive Group reports packed to be taken private.

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<v Speaker 3>It's going to be at $ 212 a share. The pre-market

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<v Speaker 3>price is $ 211. 67, so really close to what they're offering.

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<v Speaker 3>I have a positive sign for that deal going through.

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<v Speaker 3>And it's going to be taken private by Penske and Mitsui.

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<v Speaker 3>The overall deal is expected to have a $ 16. 3 billion

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<v Speaker 3>enterprise value and close in the first quarter of next year.

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<v Speaker 3>So that stock really enjoying this news.

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<v Speaker 1>Okay.

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<v Speaker 2>Now, a stock that isn't enjoying earnings news, it seems,

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<v Speaker 2>as bank earnings season continues with the regionals.

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<v Speaker 1>Is PNC. That's right.

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<v Speaker 3>So PNC shares are down 3% in the pre-market. The

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<v Speaker 3>third quarter results rolling out with key net revenue figure

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<v Speaker 3>coming in slightly below estimates. The $ 4. 96 earnings per share

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<v Speaker 3>beating by a penny. The company is seeing net NII

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<v Speaker 3>growth of 15.5% for the full year. That's the upper

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<v Speaker 3>range of the previous guidance, and it They're saying 4%

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<v Speaker 3>growth in the final quarter of the year. That key figure,

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<v Speaker 3>net interest income for the third quarter itself, came in

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<v Speaker 3>at $ 421 billion. That was also a light miss. The

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<v Speaker 3>company noted that while commercial loans increased, funding costs also increased.

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<v Speaker 3>So kind of the higher rates are like a little

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<v Speaker 3>bit of give, a little bit of take in terms

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<v Speaker 3>of that figure. An overall three-quarter provision for credit losses

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<v Speaker 3>was $ 189 million in the third quarter.

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<v Speaker 1>Stable from the second quarter.

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<v Speaker 3>So they're not really adding to their bank accounts to

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<v Speaker 3>adjust for any potential credit losses at the time.

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<v Speaker 1>Okay.

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<v Speaker 2>So bank earnings continue. And of course, the AI sell-off

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<v Speaker 2>theme continues as well. What are some of the names

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<v Speaker 2>that are getting caught up in that?

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<v Speaker 3>Absolutely. So many names. But the highlights are TSMC, ticker

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<v Speaker 3>TSM for the USADRs. Those are down 2%. And that's

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<v Speaker 3>after the company reported third quarter top and bottom line

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<v Speaker 3>figures that beat estimates. This AI sell-off is probably beating

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<v Speaker 3>these shares up a bit, so it's getting caught up

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<v Speaker 3>in the sell-off. The company itself projecting sales up to

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<v Speaker 3>$ 24 billion in current quarter. That is above estimates and

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<v Speaker 3>signals a 44% rise in revenue this year. The company

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<v Speaker 3>says it's expanding capacity at an unprecedented pace just as

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<v Speaker 3>there's so much demand. 20 fabs in progress globally. 13

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<v Speaker 3>of those are advanced fabs in Taiwan. So it's not

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<v Speaker 3>holding back on expanding. But the CEO stressed that the

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<v Speaker 3>company remains in prudent expansion mode. And this is coming

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<v Speaker 3>as we have so much scrutiny over all the bond,

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<v Speaker 3>the debt issuance. and kind of the build-out levels that

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<v Speaker 3>we're seeing across the AI space. And that brings us

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<v Speaker 3>naturally to CoreWeave, CRWV. Those shares are down 7% in

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<v Speaker 3>the pre-market. That's after yesterday's 15% drop. The bond's really

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<v Speaker 3>getting a lot of attention. The bond's due in about,

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<v Speaker 3>I think, six years, trading under 80 cents on the dollar.

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<v Speaker 3>And that got a yikes from Elon Musk on X.

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<v Speaker 3>The CDS is indicating a 50% chance of default in

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<v Speaker 3>the next five years. And this space continues to get

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<v Speaker 3>beaten up. Other neoclouds, Nebius and BIS down 4%. Ren

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<v Speaker 3>is down 4% in the pre-market. So a lot of

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<v Speaker 3>focus on the spending spree.

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<v Speaker 1>The Stock Movers 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-moving headlines,

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