Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The.
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
Speaker 1: today on Nathan Hager joined by Bloomberg's Dan Curtis on
Speaker 1: another morning where chip stocks are in focus, Dan, and
Speaker 1: Advanced micro Devices is top of mind.
Speaker 3: Good morning, Good morning, Yeah, Advanced micro Devices, as you mentioned,
Speaker 3: it is a chip stock that stock right now is
Speaker 3: down nearly six percent in pre market. It came out
Speaker 3: with earnings after hours, and really the timing of these
Speaker 3: earnings is a bit tough for the company itself. We've
Speaker 3: had that chip sell off which you've been talking about,
Speaker 3: weighing on the space. These high flyers, these earning have
Speaker 3: put these earnings reports under more scrutiny. So I think
Speaker 3: some other earnings that might have been shrugged off and
Speaker 3: some other warnings that might have been shrugged off earlier
Speaker 3: are getting a lot of attention this morning. That's really
Speaker 3: really playing out in the pre market right now. So
Speaker 3: looking specifically at AMD, it reported third quarter ear revenue
Speaker 3: of nine point twenty five billion dollars last night, that's
Speaker 3: thirty six percent growth versus the prior year. It beat
Speaker 3: estimates at top to the company's high end of its guidance,
Speaker 3: and even earnings itself came in above Wall Street estimates,
Speaker 3: but again a lot of scrutiny on these names. The
Speaker 3: guidance is causing some concern on Wall Street. The ceoc's
Speaker 3: revenue for the current quarter up twenty five percent, which
Speaker 3: does sound strong, but it's lower than the sixty percent
Speaker 3: growth that AI Darling in Nvidia is expected to post
Speaker 3: in a similar period. AMD has signed agreements with open
Speaker 3: Ai and Oracle to build out AI computing, but again
Speaker 3: fine tooths comb over these the forward guidance could be
Speaker 3: a signal that the payoff from the deals may not
Speaker 3: come as soon as expected.
Speaker 1: Yeah, it looks like the scrutiny is spreading beyond chips
Speaker 1: into the broader tech space given the results that we
Speaker 1: saw from super micro Computer as well Dan.
Speaker 3: Exactly another AI related company, and this one makes servers
Speaker 3: ticker SMCI. That stock is down nearly nine percent in
Speaker 3: the pre market. The company reported first quarter revenue of
Speaker 3: five billion dollars that was well below the six to
Speaker 3: seven billion the company had expected to make. A third
Speaker 3: of the revenue came from GPU related AI servers, but
Speaker 3: sales fell fifteen percent from the year prior as some
Speaker 3: shipments were delayed. The company did raise revenue guidance for
Speaker 3: its current fiscal year by nearly ten percents. That might
Speaker 3: come with smaller margins as it provides more services for
Speaker 3: some of its AI megadeals. The outlook for earnings and
Speaker 3: margins is still murky, and the CEO noted on the
Speaker 3: call that competition the space remains intense.
Speaker 2: Now.
Speaker 1: This morning, we got earnings from Humana, and it's not
Speaker 1: looking like that's giving much help to sentiment either.
Speaker 3: Dan It's not. The company reported ad just a third
Speaker 3: quarter earnings of three dollars and twenty four cents that's
Speaker 3: above the Wall Street estimates. The beat was aided by
Speaker 3: stronger than expected revenue from Medicare members. Medicaid trailed estimates.
Speaker 3: Rising healthcare costs are weighing on the company's profit. Ninety
Speaker 3: one percent of the revenue from premiums went back into
Speaker 3: medical care, a higher proportion than the previous report, While
Speaker 3: the twelve percent gains this year are nowhere near those
Speaker 3: of the AI names we discussed earlier. It's a relatively
Speaker 3: high flyer in the health insurance space. Two of its
Speaker 3: biggest peers, Human and Elements, are down thirty three to
Speaker 3: twelve percent, respectively so far this year. Humana has been
Speaker 3: shielded from expiring health plans from so called Obamacare, and
Speaker 3: the company expects fewer members to drop Medicare advantage plans
Speaker 3: than previously forecasted. But as a relative high flyer, again,
Speaker 3: it's just the scrutiny that the market is bringing out
Speaker 3: amid this somewhat bearish pullback.
Speaker 1: I'm sensing a trend in your report this morning, and
Speaker 1: I mean looking at the results as well from Pinterest
Speaker 1: this morning. That stock is getting crushed.
Speaker 3: Yeah, it's the social media company. It's expecting revenue to
Speaker 3: come in around one point three billion dollars. This is
Speaker 3: a bit of a tariff play, though the CEO sounded
Speaker 3: the alarm that tariffs are impacting home furnishing. That's created
Speaker 3: broad fullback and retailer spending across the United States and Canada,
Speaker 3: where Pinterest gets most of its revenue from. Pinterest has
Speaker 3: strong exposure to retail as its platform is used for
Speaker 3: home decor, and that stock is down nearly twenty percent
Speaker 3: in pre.
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