WEBVTT - Concentrix Tumbles; AVAV Soars; Nike to Report

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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 take a look at some stocks on the move today.

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<v Speaker 1>I'm Nathan Hanker, joined by Bloomberg Stan Curtis. As we

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<v Speaker 1>get ready to close out one of the best quarters

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<v Speaker 1>for global stocks in about six years. Dan, you're starting

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<v Speaker 1>us off with one stock that is definitely not participating

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<v Speaker 1>in the overall rally.

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<v Speaker 3>Good morning, Good morning, just like my brackets, not participating

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<v Speaker 3>in a lot of the excitement. This falling, So we

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<v Speaker 3>can go to that another time. Concentrics CNXSE. Those shares

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<v Speaker 3>are down twenty four percent in the pre market. This

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<v Speaker 3>company handles customer experience outsourcing, and it is falling after earnings.

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<v Speaker 3>So while the company basically matched both top and bottom

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<v Speaker 3>line estimates for the second quarter, it lowered its top

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<v Speaker 3>and bottom line estimates for the current quarter and fiscal year.

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<v Speaker 3>Noted that it's ix Suite, which integrates AI, is on

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<v Speaker 3>track to double to one hundred and twenty million in

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<v Speaker 3>revenue by the end of the year, and Bloomberg Intelligence

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<v Speaker 3>is saying that this reinforces the concerns that AI is

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<v Speaker 3>shrinking demand for customer experience outsourcing, hence cutting those estimates,

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<v Speaker 3>while while and that's happening faster than higher value in

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<v Speaker 3>AI surfaces services are expanding. So that kind of push

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<v Speaker 3>pull is really being highlighted over this full year outlook.

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<v Speaker 1>And we've got some headlines this morning that have ABVY

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<v Speaker 1>and Merk under pressure. This morning, dan So Merk.

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<v Speaker 3>Is down about half a percent. ABV is down about

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<v Speaker 3>one percent in the pre market right now, and that's

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<v Speaker 3>as a biparison group of US lawmakers has opened national

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<v Speaker 3>security investigations into the drug makers, and that's according to

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<v Speaker 3>a report by Reuters. The report says the probe is

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<v Speaker 3>into whether they have filed whether they have involved in

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<v Speaker 3>clinical trials conducted in China that helped fuel the country's

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<v Speaker 3>military capabilities. The representatives ask for details of the trial

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<v Speaker 3>sites in China, particularly the Shinsha region and military hospitals,

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<v Speaker 3>and they say that Chinese researchers have documented lapses in

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<v Speaker 3>securing informed consent from trial participants in that region. Merk's

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<v Speaker 3>responsor Reuters was at patient safety and ethical integrity our priorities,

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<v Speaker 3>and it follows all global guidelines. While advideclined to comment,

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<v Speaker 3>China's US embassy responded by email that there is nothing

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<v Speaker 3>credible in the committee's action. Those shares under pressure in

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<v Speaker 3>the pre market.

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<v Speaker 1>Okay, so we'll have to watch for more developments around that.

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<v Speaker 1>In the meantime, let's go back to something of an

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<v Speaker 1>AI play for Digital Realty.

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<v Speaker 3>Yeah, Digital Realty. So this is a data center platform

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<v Speaker 3>and it is buying Blackstone's stake and three data centers

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<v Speaker 3>across northern Virginia for three and a half billion dollars.

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<v Speaker 3>Those shares, which are trading under ticker DLR, are down

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<v Speaker 3>four percent in the pre market. The deal is, the

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<v Speaker 3>deal is one point two billion dollars in cash and

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<v Speaker 3>two point three billion dollars in shares. So that two

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<v Speaker 3>point three billion dollars in shares is coming through a

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<v Speaker 3>secondary offering which is going to add a little bit

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<v Speaker 3>of dilution, and those shares are down today. Now, this

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<v Speaker 3>transfers eighty percent of interest in two data centers to

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<v Speaker 3>Digital Realty, fifty percent interest in a third, each of

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<v Speaker 3>which are ninety six megawatts who about three hundred megawatts

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<v Speaker 3>in total. Now, this is something I learned this morning.

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<v Speaker 3>North Virginia is the lead data center hub in the

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<v Speaker 3>US according to CBRE, and it benefits from strong fiber

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<v Speaker 3>connectivity and proximity to major cloud and federal user so

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<v Speaker 3>digital realty is really going and hard in that area.

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<v Speaker 2>This Stock Movers report from Bloomberg Radio. Check back with

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<v Speaker 2>us throughout the day for the latest roundup of companies

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<v Speaker 2>making news on Wall Street and for the latest market

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<v Speaker 2>moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

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