WEBVTT -  Nvidia Gains, Dell Rises, Hewlett Packard Enterprise Falls After Defense Contract

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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 of the stocks on

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<v Speaker 2>the move today. We can do that with Bloomberg Tatchena Dari, gotcha,

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<v Speaker 2>what are looking at?

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<v Speaker 3>I'm looking at a tree off tech stocks today, and

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<v Speaker 3>we'll kick it off with Nvidia, which is up about

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<v Speaker 3>two percent, recovering or one point five rather recovering nicely

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<v Speaker 3>from that sell of yesterday. But the important news that

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<v Speaker 3>crossed earlier today was that Chinese regulators have blocked by

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<v Speaker 3>Dance from using nvideo chips and new data centers in

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<v Speaker 3>a recent months. And that's important because this company bought

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<v Speaker 3>more Nvidian chips than any other Chinese company in twenty

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<v Speaker 3>twenty five, the Information reports, and it signals a tougher

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<v Speaker 3>stance for China at the time when officials are still

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<v Speaker 3>discussing whether to ease those restrictions that the CEO has

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<v Speaker 3>really really a lot bit for. So this is not

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<v Speaker 3>bothering the market today and now, because we know Nvidia

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<v Speaker 3>has more demand they then supply at this point. But

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<v Speaker 3>it remains a lingering question for this stock longer term.

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<v Speaker 3>What do we do when the world's most valuable company

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<v Speaker 3>cannot access one of the largest markets out there.

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<v Speaker 2>Yeah, well, it seems like though the Greenland screen shows

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<v Speaker 2>that you know, Mark is not bothered by this today, right,

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<v Speaker 2>let's talk about Greenland screen.

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<v Speaker 1>Speaking of talk to us about Dell. What's going on.

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<v Speaker 3>There Dell Technology. The struck is up five percent year

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<v Speaker 3>tickers d E, l L, and they bring more positive

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<v Speaker 3>news for the AI story. The company boosted its a

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<v Speaker 3>full year forecast for shipments of its AI servers. These

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<v Speaker 3>service are needed to support the current data center boom

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<v Speaker 3>in the country, so it's a strong signal of demand

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<v Speaker 3>for the AI story, particularly as this comes after just

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<v Speaker 3>last month Dell roughly doubled its growth estimates in sales

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<v Speaker 3>and profit for the next two years, so very very

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<v Speaker 3>strong fundamentals there. On the cost side, they also bring

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<v Speaker 3>good news in their operating margin, which has come at

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<v Speaker 3>twelve point four period above estimates of eleven point two.

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<v Speaker 3>And the company certainly could use some good news at

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<v Speaker 3>this point as it has suffered quite the blow in

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<v Speaker 3>the latest attach route. It's here today. Gain Now has

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<v Speaker 3>been trimmed to about fourteen percent. In October, it was

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<v Speaker 3>as high as nearly fifty.

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<v Speaker 2>Rich go all the wealthy people in the world Bloomberg

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<v Speaker 2>calculates their wealth. Nobody has a better analysis of personal

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<v Speaker 2>wealth than rich go on Bloomberg. Michael Dell number nine,

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<v Speaker 2>one hundred and fifty five point five billion dollars. It's

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<v Speaker 2>been a good year for mister Dell's wealth, up thirty

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<v Speaker 2>two billion dollars. Pretty solid, good for him. HPE Hewlett

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<v Speaker 2>Packard Enterprises Hewlett Packard.

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<v Speaker 3>The shares are about flat now, they've given up those

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<v Speaker 3>earlier gains from this morning. There's a little bit of

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<v Speaker 3>a mixed news coming from this company. Last night it

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<v Speaker 3>announced a cloud contract with the Defense Department, which is

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<v Speaker 3>technically good news, but it's also announcing a sweeping restructuring

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<v Speaker 3>plan to eliminate about ten percent of its workforce globally

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<v Speaker 3>as it's using AI to boost efficiency. And this is

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<v Speaker 3>interesting because first we talk a lot about the downs

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<v Speaker 3>with AI. Are company seeing value, yes or no? But

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<v Speaker 3>at the same time we see people or companies rather

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<v Speaker 3>cutting jobs, and the market is not taking this easily.

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<v Speaker 3>The first reaction is always to see a stock decline

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<v Speaker 3>and then the sort of the stock recovers as we

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<v Speaker 3>realize this is ultimately a margin profit booster. But at

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<v Speaker 3>the same time, I think it speaks to the question,

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<v Speaker 3>what do we do when our labor market will be

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<v Speaker 3>heavily impacted by more.

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<v Speaker 2>I'm not buying it when people tell me, oh, it's

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<v Speaker 2>not going to impact the label. I think it's impacted

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<v Speaker 2>big time, negatively across many industries, if not all industurers.

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<v Speaker 1>I say the Stock Movers report from Bloomberg Radio. Check

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