Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The Stock Movers Report,
Speaker 1: your roundup of companies making moves in the stock market,
Speaker 1: harnessing the power of Bloomberg Data.
Speaker 2: Let's take a look at some of the stocks on
Speaker 2: the move today. AM Paul Sweeney alongside John Tucker. We're
Speaker 2: joined by Bomberg's Least Mitaeleish. What are you looking at all? Right?
Speaker 3: We want to start with Taiwan Semiconductor Manufacturing ticker TSM.
Speaker 3: Their shares been up as much as two percent. So
Speaker 3: here's the thing, right, It posted better than expected thirty
Speaker 3: nine percent jump in profit, hiked its projection for twenty
Speaker 3: twenty five revenue growth for the second time this year,
Speaker 3: raise its forecast for capital spending, which is key. So
Speaker 3: what it's basically doing it it's reinforcing hopes on how
Speaker 3: long the global AI boom spending is going to stick around.
Speaker 3: It's also showing a little bit more approof how chip
Speaker 3: makers stand to be among the biggest winners from that boom.
Speaker 3: And that boom and we've talked about it expected to
Speaker 3: push past one trillion dollars in coming years. That's a
Speaker 3: lot of money. Now when we look at chip equipment stock.
Speaker 3: So for example, you look at ASML, which gets seventeen
Speaker 3: percent of its revenue from TSMC, their ADRs are up
Speaker 3: nearly two percent. And then in the US, if you
Speaker 3: watch TSMC suppliers for example like Applied Materials KLA LAMB Research,
Speaker 3: their shares are all up about one percent. So some
Speaker 3: good news for Taiwan semiconductor manufacturing. Where the bad news
Speaker 3: is that is computer hardware storage company Hewlett Packard Enterprises
Speaker 3: ticker HPE. Their shares have been down as much as
Speaker 3: nine percent. What they did, they issued a full year
Speaker 3: forecast for profiting cash flow fell short of estimates. And
Speaker 3: you know HPE, right, it's one of the largest makers
Speaker 3: of computing equipment, so it's betting on networking as this
Speaker 3: major piece of its future expansion. How it wants to expand.
Speaker 3: If you remember back in July, it said that it
Speaker 3: was going to buy Juniper Networks for about thirteen billion dollars.
Speaker 3: But HP they have tighter margins to building these servers
Speaker 3: with those expensive AI chips, and they have made the
Speaker 3: machines a little bit less profitable, and that's the problem.
Speaker 2: The stock was up, you know, seventeen percent your date,
Speaker 2: So it's going to it's giving back a good chunk
Speaker 2: of that today.
Speaker 4: Give me that his When was it that they split
Speaker 4: apart HP and HGP twenty four, twenty fifteen, right.
Speaker 2: Yeah, something like that. Yeah, and HPE and HPQ are
Speaker 2: the two ones.
Speaker 4: But that's just I.
Speaker 2: Mean, hp is one of the founding members of Silicon Valley.
Speaker 4: That's how I think about it.
Speaker 2: Oracle, Intel, those kinds of names.
Speaker 3: I always with those tickers, make them like HPQ.
Speaker 2: I need too on a rock? What do I need
Speaker 2: to do here?
Speaker 4: Exactly?
Speaker 3: H and we'll stick with There were loads of software
Speaker 3: company Salesforce. This one is ticker a CRM. Their shares
Speaker 3: have been up more than about five percent forecast revenue growth.
Speaker 3: It's going to accelerate to double digits in the coming year.
Speaker 3: So that was a big news and that kind of
Speaker 3: ease investor concerns about the pace of the business. What
Speaker 3: investors they were worried about is that customers were spending
Speaker 3: their budgets on AI tools from startup companies instead of
Speaker 3: like traditional vendors like Salesforce. So this kind of reassured
Speaker 3: that for them. They expect sixty billion dollars in annual
Speaker 3: revenue by fiscal year ending in January twenty thirty. That
Speaker 3: excludes any contribution from the planned exquisition they have from Informatica.
Speaker 3: But the company is also going to buy back an
Speaker 3: additional seven billion of shares in the next six months.
Speaker 3: So it's really the good news that the company needed.
Speaker 3: I mean, the stock has taken a hit drop about
Speaker 3: twenty nine percent through Wednesday's closing.
Speaker 2: And it had been such a classic winner, classic software story,
Speaker 2: It's just always going to work. But then people said
Speaker 2: AI is AI going to replace a lot of the
Speaker 2: functionality of some of the salesforce software? That was I
Speaker 2: think the concern I heard from some of the tech books.
Speaker 4: Gee, I sense a common theme running through all these
Speaker 4: stocks this morning, Lisa.
Speaker 3: Well except for the last one, United Airlines. There you go,
Speaker 3: I'll sneak that one in there.
Speaker 4: You just heard from the CEO earlier, Kirby.
Speaker 3: Yes, Remember he was just talking about saying that they're
Speaker 3: getting more corporate clients. He was saying International tray is
Speaker 3: coming back when he was telling Lisa Bromwitz. So it's
Speaker 3: ticker u al. But the problem is that their shares
Speaker 3: have kind of taken a turn. They've slipped down more
Speaker 3: than one percent because analysts a Bloomberg Intelligence are saying
Speaker 3: the airlines results, they're showing signs of saturation even in
Speaker 3: the premium seats that they say more people are starting
Speaker 3: to buy. So that's the difference there. But yeah, they've
Speaker 3: been trying to like focus on that that more expensive
Speaker 3: travel experience.
Speaker 2: I just booked the rub I just booked the rubis
Speaker 2: so pretty January. No, No, we did the like you
Speaker 2: know that the mets A, METSA, the middle the premiumconist.
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