WEBVTT - Micron Drops, Synaptics Bought by Onsemi, Rocket Lab Extends Gains

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

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

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<v Speaker 2>in 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 Hager joined by Bloomberg Stan Curtis with a

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<v Speaker 1>big focus on big tech this morning. The selloff continues

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<v Speaker 1>and a lot of that Dan may be driven by

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<v Speaker 1>Micron technology. Didn't they just report like massive earnings blowout

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<v Speaker 1>this week?

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<v Speaker 3>Good morning morning, Nathan. That's right, And to be honest,

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<v Speaker 3>I'm looking forward to the weekend with all the volatility

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<v Speaker 3>and memory serials right now. It's been a long week

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<v Speaker 3>of up and downs years. But yeah, so Micron shares

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<v Speaker 3>are down over five percent in the pre market. We

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<v Speaker 3>have Memory on the backfoot. Sand disc SNDK is down

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<v Speaker 3>nearly six percent in the pre market, and the AI

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<v Speaker 3>trade is on the back foot today. So as you said,

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<v Speaker 3>you know, after Wednesday session we got this massive blowout

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<v Speaker 3>earnings report. Yesterday the shares closed at inched out a

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<v Speaker 3>record high and now they are back down again. So

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<v Speaker 3>this is on as kind of everything in the space

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<v Speaker 3>is on the back foot. We've had some news coming

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<v Speaker 3>out overnight. We've had open Ai looking to delay its

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<v Speaker 3>IPO plans according to The New York Times. That's pushing

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<v Speaker 3>back against the AI space. We also had news overnight

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<v Speaker 3>of Micron's competitor, Samsung sk Heinex in South Korea preparing

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<v Speaker 3>to announce hundreds of billion dollars worth of new investments

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<v Speaker 3>on Monday. According to South Korea media reports, that pushed

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<v Speaker 3>those memory makers shares lower. Some seeing echoes of China's

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<v Speaker 3>Common Prosperity push a few year years ago, which was

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<v Speaker 3>an effort to reduce wealth and equality, and so the

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<v Speaker 3>AI trade is just getting challenged today. We have the

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<v Speaker 3>cost concerns on the side of memory. We had Apple

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<v Speaker 3>raising prices and now revenue concerns over the Open AI

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<v Speaker 3>reported delay, really pressuring the space. As you said, volatile

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<v Speaker 3>week for the memory maker. We've had two to ten

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<v Speaker 3>percent moves from Micron already this week. It's ended last

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<v Speaker 3>week at one and thirty three dollars. So we are

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<v Speaker 3>set to just inch out a little bit of gains

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<v Speaker 3>on a very multiple week all over the place, but

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<v Speaker 3>just up a tiny bit.

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<v Speaker 1>Yeah, certainly, so a tough week for the chip stocks,

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<v Speaker 1>but not everything in the tech sector is in the red.

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<v Speaker 1>This morning, we got some deal news that's given a

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<v Speaker 1>pop to a company called Synaptics.

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<v Speaker 3>So Synaptics shares are up four percent in the pre

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<v Speaker 3>market under ticker Syna is a smart device semi conductor maker,

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<v Speaker 3>and on Semi has agreed to buy. To buy it,

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<v Speaker 3>investors will get one point three to five shares of

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<v Speaker 3>on Semi for every shehriff Synaptics held, and that's about

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<v Speaker 3>a nineteen percent premium based on last closing price. That said,

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<v Speaker 3>we now have one ticker oh and down thirteen percent

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<v Speaker 3>on the backside of this deal. On Semi sees the

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<v Speaker 3>next wave of AI adoption being in the physical world,

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<v Speaker 3>driving the need for systems that can quote, sense to

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<v Speaker 3>side and act in real time. However, analysts say this

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<v Speaker 3>is bringing it farther away from the AI data centers,

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<v Speaker 3>which is where all the money is, so those shares

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<v Speaker 3>are on the back foot. And this follows basically Synaptic

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<v Speaker 3>trying to buy Allegro Microsystems last year and then dropping

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<v Speaker 3>the bid, So this is just another deal they are

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<v Speaker 3>trying to get to grow the business.

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<v Speaker 1>And we got some more deal news in the tech space,

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<v Speaker 1>but this involves a deal with the federal government for

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<v Speaker 1>rocket Lab.

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<v Speaker 3>Yeah, a rocket company that's not SpaceX, and it secured.

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<v Speaker 2>They exist.

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<v Speaker 3>They secured a NASA contract, So take our RKLB is

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<v Speaker 3>up about two percent in the pre market. Rocket Lab

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<v Speaker 3>was selected to provide three electron launches for two missions,

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<v Speaker 3>so two back to back launches in about a year

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<v Speaker 3>or more from now, in a separate launch early in

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<v Speaker 3>twenty twenty seven. All the launches to take place from

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<v Speaker 3>New Zealand. So it's getting these NASA contracts and that's

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<v Speaker 3>helping lift some shares in that space.

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<v Speaker 2>This morning, this stock Movers report from Bloomberg Radio. Check

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