Speaker 1: Bloomberg Audio Studios, podcasts, radio News.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market. Harnessing the power of Bloomberg Data.
Speaker 3: Let's take a look at some stocks on the move today.
Speaker 3: I'm Nathan Haker, joined by Bloomberg's Valerie Titel and Valerie
Speaker 3: I'm thinking Microsoft is going to be a stock to
Speaker 3: watch today, Wondering if investors are breathing a bit of
Speaker 3: a CYHB relief after some of the latest developments around
Speaker 3: the future of open Ai.
Speaker 1: Good morning, Hey, good morning, Nathan, Happy Friday to you. Yes,
Speaker 1: we are seeing Microsoft have a decent rally this morning.
Speaker 1: It's up one point three percent in pre market trade.
Speaker 1: It's on the back of as you mentioned, open Ai
Speaker 1: and Microsoft announced in a joint statement yesterday that they
Speaker 1: have reached preliminary terms on a revised partnership. Comes after
Speaker 1: some painstaking negotiations between the two, but the announcement has
Speaker 1: calmed fears about the turmoil in that Microsoft's relationship with
Speaker 1: open Ai. Remember, open ai is currently a non profit
Speaker 1: and Microsoft is currently their biggest backer. But perhaps a
Speaker 1: restructuring of open ai, which does deal with a nonprofit
Speaker 1: getting one hundred billion dollars of its equity stake. Maybe
Speaker 1: another signal that chatgybt maker is coming closer.
Speaker 4: To converting itself into a for profit company.
Speaker 3: Well, staying in the tech space, we just got some
Speaker 3: earnings from Adobe. Apparently you say AI, you say good
Speaker 3: things about AI, and the stock just jumps.
Speaker 1: Well, Adobe is just shy of four percent in pre
Speaker 1: market trade. They did ease investor concerns that they are
Speaker 1: dealing with tough competition from new AI entrants into the space. Remember,
Speaker 1: Adobe is the maker of software, but more for creative professionals.
Speaker 1: They beat on expectations when it comes to earnings and
Speaker 1: raised their full year guidance. Analysts were also quite positive
Speaker 1: on their upgrade to their annual recurring revenue metric, being
Speaker 1: that software big, a big thing that software companies track.
Speaker 4: It's Adobe up nearly four percent.
Speaker 3: Okay, moving from AI to OURH formerly known as Restoration Hardware.
Speaker 3: Why has that stock got your attention this morning?
Speaker 1: It's down nine point nine All that will do it,
Speaker 1: that's why.
Speaker 4: But there was some.
Speaker 1: Colorful language from the CEO, which is also attracted attention.
Speaker 1: But they announced that they were cutting their sales out
Speaker 1: look for the full year. They cited mounting impacts from
Speaker 1: new US tariffs that have resulted in product delays. But then,
Speaker 1: for the second time this year, the CEO on the
Speaker 1: earnings call gave some quite colorful language as to why
Speaker 1: they need to discount their products, saying that the furniture
Speaker 1: industry will go broke if they don't offer discounts to
Speaker 1: stay afloat amid a weak housing market. He called the
Speaker 1: housing market the third year of the worst housing market
Speaker 1: he's seen in his thirty eight years in this industry.
Speaker 1: So housing having an impact on the luxury furniture space,
Speaker 1: with restoration hardware down nearly ten percent.
Speaker 3: And we're seeing some big impact this morning as well
Speaker 3: for Warner Brothers. Discovery moving higher and maybe having to
Speaker 3: make its name even longer.
Speaker 2: Well.
Speaker 1: It rose yesterday on a speculation that Paramount sky Dance
Speaker 1: was about to make an offer for the company. It
Speaker 1: rose nearly thirty percent and is rising another five and
Speaker 1: a half percent so far in pre market trade. Now,
Speaker 1: this has got a lot of interesting things going on.
Speaker 1: Paramount sky Dance. It was a studio that was taken
Speaker 1: over by independent filmmaker David Ellison, who is the father
Speaker 1: of Larry Ellison, who is the co founder of Oracle,
Speaker 1: who has saw that ginormous jump in net.
Speaker 4: Worth after that Oracle rally.
Speaker 1: Warner Brothers enterprise value stends it around seventy billion, and
Speaker 1: that's basically what Larry Ellison has made in his net
Speaker 1: worth with the Oracle rally this year. But the very
Speaker 1: important part about this is that the paramount bid is
Speaker 1: a bid for the entire company, and Warner Brothers just
Speaker 1: a few months ago was considering splitting into.
Speaker 4: Two different publicly traded companies.
Speaker 1: So that's the reason why the aggressive move higher for
Speaker 1: Warner Brothers today.
Speaker 3: And I know you meant to say that David Elson
Speaker 3: is the son of Larry Ellison, Oracle co founders, so
Speaker 3: just to clarify that.
Speaker 2: The Stockmover's report from Bloomberg Radio. Check back with us
Speaker 2: throughout the day for the latest roundup of companies making
Speaker 2: news on Wall Street and for the latest market moving headlines.
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