WEBVTT - Housing Stocks Sink, Netflix Gains, Nvidia Up Before Earnings

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

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 1>Let's get to some stocks on the move on this

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<v Speaker 1>and video Wednesday. I'm going to call it Bloomberg News

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<v Speaker 1>Equities team leader and deputy team leader for US Equities

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<v Speaker 1>Carmen Rhinicky. She is in the house and she joins

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<v Speaker 1>us with some stocks on the move. Let's start with

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<v Speaker 1>this one. It's definitely on my gainer list. Exxon.

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<v Speaker 3>Yeah, so right now, this is the top gainer in

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<v Speaker 3>the S and P five hundred ticker AXO n SO

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<v Speaker 3>shares are up about twenty percent right now. So this

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<v Speaker 3>is the maker of taser, right, and it also does

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<v Speaker 3>public safety software, so shares our up after earnings. They

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<v Speaker 3>reported earnings that were better than Wall Street's expectations, and

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<v Speaker 3>analysts really cheered it because they see this company as

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<v Speaker 3>an AI winner. So they're using AI sort of across

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<v Speaker 3>their software platforms, and so this is.

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<v Speaker 1>That it's been is looking at me like, well, because yeah,

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<v Speaker 1>we have and they're very bolth they're so bullish on this.

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<v Speaker 4>Yeah, and the company also you know, the body cameras

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<v Speaker 4>and the footage.

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<v Speaker 1>The robotics is something I think they're exploring a lot

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<v Speaker 1>of different things.

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<v Speaker 4>Sorry, but we digress.

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<v Speaker 3>Yeah, So, I mean they're just seen as one that

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<v Speaker 3>could be a winner as opposed to disrupted as we've seen.

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<v Speaker 3>You know, it's software stocks really get hit there. So

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<v Speaker 3>that's ax on. Another place that I'm looking today is

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<v Speaker 3>the housing sectors.

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<v Speaker 4>That's an interesting story.

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<v Speaker 3>Yeah, I've been looking at the housing index at fifteen

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<v Speaker 3>home so it's down about four percent today, the worst

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<v Speaker 3>since October. So there are kind of a few things

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<v Speaker 3>going on here. First of all, lows so ticker LW

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<v Speaker 3>shares are down, the company forecast full year sales that

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<v Speaker 3>were short of expectations and sort of signaled that there's

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<v Speaker 3>still weakness and you know, uncertainty in the housing market.

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<v Speaker 3>And then secondarily, so investors are really hoping that Trump

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<v Speaker 3>would address this more in the State of the Union

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<v Speaker 3>speech last night, and he did a little bit, but

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<v Speaker 3>I guess not as much as investors are really hoping,

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<v Speaker 3>so sending shares of those homebuilding stocks down today.

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<v Speaker 1>No more specificity right in terms of a policy that

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<v Speaker 1>might address the housing affordability issue. Let's go to Netflix.

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<v Speaker 1>What's going on there?

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<v Speaker 3>Yeah, So Netflix NFLX is up six percent today. This

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<v Speaker 3>is the best day since April twenty second, Earth Day,

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<v Speaker 3>So basically what happened this morning. So Warner Brothers Discovery

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<v Speaker 3>said they have a new offer for Paramount's guidance and

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<v Speaker 3>that could lead to a better deal than the existing

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<v Speaker 3>agreement that they have with Netflix. So investors seem to

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<v Speaker 3>be excited about this because it would mean, you know,

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<v Speaker 3>Netflix is no longer in this deal and they could

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<v Speaker 3>walk away with a breakup fee of two point eight

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<v Speaker 3>billion dollars. So we're seeing shares having you know, some

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<v Speaker 3>resurgence after it's had a really you know, pronounced selloff

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<v Speaker 3>from looking June June of last year.

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<v Speaker 4>Well, that's what's so remarkable about this is that investors

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<v Speaker 4>have been pretty bearish on the idea of this company

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<v Speaker 4>taking on these other assets. So, I don't know, it's

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<v Speaker 4>interesting to see a stock move like this today higher

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<v Speaker 4>given that it's coming from a place where investors have

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<v Speaker 4>sent the signal this is a lot of money to spend,

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<v Speaker 4>and we're not entirely convinced it's the right way to

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<v Speaker 4>spend the money. Yeah, I don't know.

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<v Speaker 1>I'm thinking of what are you thinking of? Who did

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<v Speaker 1>we talk to you yesterday? From Moffatt Nathanson and specifically

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<v Speaker 1>oh Rob Fishman. And basically like, if Netflix doesn't get it,

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<v Speaker 1>it's kind of okay, Like they can walk away, and

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<v Speaker 1>I think they're going to be buyers. Just looking for

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<v Speaker 1>the commentary that he had, he said, with Netflix's stock

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<v Speaker 1>at current depress levels, investors should win either way. We

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<v Speaker 1>see longer term benefits of owning Warner Brothers assets not

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<v Speaker 1>properly reflected these levels. But if Netflix walked away from

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<v Speaker 1>the deal, the company's core fundamental drivers a subscriber and

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<v Speaker 1>ad growth plus pricing power should rebuild investor confidence that

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<v Speaker 1>Warner Brothers was truly nice to have and not a mustag.

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<v Speaker 4>Exactly, you're not going to quit.

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<v Speaker 1>I thought that was smart.

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<v Speaker 4>I think that makes sense. You're not going to quit

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<v Speaker 4>Netflix because it doesn't have the sopranos.

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<v Speaker 1>Right, You'll be okay, right, still be watching winning by

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<v Speaker 1>walking away, exactly, I.

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<v Speaker 4>Think we can all learn something from that.

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<v Speaker 1>It's okay times right, it's a decision.

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<v Speaker 4>It's better than the deal's not done. We don't know,

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<v Speaker 4>we don't know how. He did say he's like, I

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<v Speaker 4>have no idea who's going to win this?

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<v Speaker 1>No, right, exactly?

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<v Speaker 4>Okay, sorry, it's also in Vidia day.

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<v Speaker 3>You're watching that exactly, so we've got to talk about it.

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<v Speaker 3>In Vidia shares are up two point two percent right now,

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<v Speaker 3>and this is a little notable heading into earnings because

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<v Speaker 3>the stock has not seen a lot of momentum in

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<v Speaker 3>the past really few months, so investors sort of rotating

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<v Speaker 3>away from those big tech stocks into maybe like less

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<v Speaker 3>risky parts of the market. But today we're seeing green

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<v Speaker 3>on the screen. Heading into these earnings, a lot of

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<v Speaker 3>things investors will be watching for, mostly the guidance, you know,

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<v Speaker 3>if Jensen's and Jensen can sort of reinvigorate you know,

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<v Speaker 3>investor enthusiasm around AI and sort of under the hood,

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<v Speaker 3>I'll be looking at gross margins, right they say anything

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<v Speaker 3>about China, and then of course that that guidance, you know,

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<v Speaker 3>what they're seeing, especially after we saw so much spending

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<v Speaker 3>from the hyperscalers sort of forecast into the future.

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<v Speaker 2>The Stock Movers Report from Bloomberg Radio. Check back with

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<v Speaker 2>us through out today for the latest roundup of companies

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