Speaker 1: Bloomberg Audio Studios, podcasts, radio news, The.
Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: 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 Hager, joined by Bloomberg's Valerie Titel. Starting off
Speaker 3: with the stock of the day that's dragging tech shares lower.
Speaker 3: Yesterday was Oracle and Valerie. This morning, it's Broadcom. Good morning, Hey.
Speaker 1: Good morning, Nathan. Happy Friday. Yes, another down day for
Speaker 1: the NASDAG it looks like we're headed for on the
Speaker 1: back of Broadcom earnings and the shares dropping around six
Speaker 1: percent so far in pre market trade. They gave an
Speaker 1: outlook that essentially just failed to meet expectations. The market
Speaker 1: was disappointed to hear that the order backlog is only
Speaker 1: seventy three billion dollars over the next six quarters. And
Speaker 1: to add to that, the CEO during the conference call
Speaker 1: with analysts failed to give a revenue forst for twenty
Speaker 1: twenty six, just giving one for Q one of next year.
Speaker 1: And I think all this combined just highlighted concerns that
Speaker 1: have been lingering over Broadcom, that of tightening profit margins
Speaker 1: for the chip maker. Broadcom does compete with Nvidia in
Speaker 1: the highly competitive AI chip market space, so Broadcom on
Speaker 1: a back foot, leading the nasdak lower down six percent.
Speaker 3: I meanwhile on the front foot of all stocks. Lulu
Speaker 3: Lemon for a change, Valerie.
Speaker 1: Yeah, lul Lemon is in the green after earnings, up
Speaker 1: nearly ten percent in pre market trade. They raised their
Speaker 1: full year outlook and their sales beat expectations in the
Speaker 1: third quarter, which was driven by growth in international markets.
Speaker 1: But the juicy announcement came later that their CEO will
Speaker 1: be stepping down in January. Now the retailer has yet
Speaker 1: to find a replacement, but I think the market and
Speaker 1: analysts investors are kind of excited about the prospect of
Speaker 1: a new CEO, perhaps a new strategy after a period
Speaker 1: of sluggish growth for the company. The stock is on
Speaker 1: some fifty percent year to date, and it's been struggling
Speaker 1: with sales growth recently. That really did peak after COVID
Speaker 1: when we were all wearing y yoga clothes at home
Speaker 1: in our couch. Since then, really the sales growth through
Speaker 1: Lemon hasn't been pretty, and I think the market is
Speaker 1: excited that perhaps the leadership change could shake things up
Speaker 1: at the at leisure ware retailer.
Speaker 3: And some regulatory change, at least reports of it, seems
Speaker 3: to be met pretty well by investors in UBS.
Speaker 1: Over in Switzerland, Ubs hitting a seventeen year high, the
Speaker 1: highest price for UBS since two thousand and eight, up
Speaker 1: three and a half percent in trade in Switzerland, and
Speaker 1: this comes after some reports that Swiss lawmakers have proposed
Speaker 1: allowing UBS to use at one bonds instead of equity
Speaker 1: to meet capital requirements. Now, these proposals could give us
Speaker 1: a way out of this political standoff between UBS and
Speaker 1: the Swiss regulators. Remember it was reported earlier that UBS
Speaker 1: had had talks with Treasury Secorary Scott Bessett looking at
Speaker 1: moving there headquarters out of Switzerland to other areas which
Speaker 1: have less onerous legislation. And this comes after a recent
Speaker 1: effort to tighten bank rolls in Switzerland. The planned capital
Speaker 1: reforms have really been a big cloud over UBS's share
Speaker 1: price ever since the Swiss government started discussing this last year.
Speaker 1: But it seems like UBS is reacting very positively to
Speaker 1: this new proposal, which would give it some reprief on
Speaker 1: the regulation front. They're up three and a half percent.
Speaker 3: Speaking of repriefs, there's some reports out there that President
Speaker 3: Trump is thinking of reclassifying cannabis, maybe giving the regulations
Speaker 3: a little bit of relief there. What's that doing for
Speaker 3: cannabis stocks this morning?
Speaker 1: They are surging. We have Tilray brands up twenty eight percent,
Speaker 1: canopy growth of twenty two percent, and various others having
Speaker 1: double digit gains this morning. And this is on the
Speaker 1: back of reporting that President Trump is expected to direct
Speaker 1: his administration to reclassify marijuana as a less onerous drug.
Speaker 1: The change would classify cannabis and the same bucket as
Speaker 1: codeine and anabolic steroids rather than where it's currently classified,
Speaker 1: which is next to heroin and LSD. Now, the Trump
Speaker 1: administration has sought to crack down on drug trafficking and
Speaker 1: taken another a tougher stance on other drugs, one of
Speaker 1: those being fensanyl, which I guess caused the tariff explosion
Speaker 1: with China earlier this year.
Speaker 2: This Stock Movers report from Bloomberg Radio. Check back with
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