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Speaker 1: Bloomberg Audio Studios, podcasts, radio news, The.

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Speaker 2: Stock Movers Report, your roundup of companies making moves in

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Speaker 2: the stock market, harnessing the power of Bloomberg Data.

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Speaker 3: Let's take a look at some stocks on the move

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Speaker 3: today with us the one and only Bloomberg News process at.

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Speaker 3: Reporter Isabelle Lee here in the house.

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Speaker 1: Where would you like to begin the one and only

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Speaker 1: micro strategy more strategy tickers mstr So the stock has

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Speaker 1: fluctuated strategy? I know me too.

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Speaker 3: Is it called strategy?

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Speaker 1: Yes, shoot headline it looks like sailor strategy. But his

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Speaker 1: strategy is to buy bitcoin. So the stock has fluctuated strategy, simple,

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Speaker 1: very simple, use leverage, buy bitcoin. Okay, So the stock

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Speaker 1: is now down up to percent, it was down earlier,

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Speaker 1: so fluctuating between gains and losses. But why are we

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Speaker 1: talking about strategy today? Because it's emerging as a new

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Speaker 1: contender to be part of the S and P five

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Speaker 1: hundred night. So that is a big thing. They recently

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Speaker 1: emerged as a candidate. And this is a scenario that's

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Speaker 1: seemed far fetched just a few months ago. So what change?

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Speaker 1: Last quarter? They had a fourteen billion dollar unrealized gain

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Speaker 1: and this delivered the profitability requirement for the index eligibility

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Speaker 1: in theory undercurrent rules, So SMP is different from outther

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Speaker 1: indexes because there's a little bit more nuanced there. There's

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Speaker 1: what they call committee discretion, So even if a stock

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Speaker 1: is eligible, it doesn't mean it will be included. In fact,

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Speaker 1: a lot of these cell side shops they have at

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Speaker 1: least twenty in their list. But of course strategy is

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Speaker 1: the one that gains attention. And it's really interesting because

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Speaker 1: if admitted, passive funds would have to buy fifty million

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Speaker 1: shares approximately sixteen billion dollars. And of course, do I

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Speaker 1: even need to mention that this is a big win

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Speaker 1: for cryptobroson just take play.

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Speaker 4: It would be. It would be a big win if

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Speaker 4: it happens. We should know coinbase and block are already

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Speaker 4: in there, so there's sort of like this fintech idea

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Speaker 4: that maybe that's true.

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Speaker 1: But an analyst told me that it's hard to ignore

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Speaker 1: a player this big. So the minimum threshold to be

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Speaker 1: included in the S and P five hundred is twenty

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Speaker 1: two point seven billion micro strategy or strategy, it's nearly

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Speaker 1: one hundred. Yeah, it's really wild, but I must say

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Speaker 1: again that there are almost two dozen eligible companies, but strategies,

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Speaker 1: of course the one gaining.

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Speaker 4: In app love and Robinhead markets Carvana. It sounds like

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Speaker 4: you know a lot about this. Maybe you have a

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Speaker 4: story that's among the most red on the Bloomberg terminal.

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Speaker 4: Hopefully that focuses on this exact thing. So check that

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Speaker 4: one out if you want more information. They're broad coaming.

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Speaker 3: Am I crazy? Wait?

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Speaker 1: Okay?

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Speaker 3: Like twenty twenty two micro strategy was like a fourteen

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Speaker 3: dollars stock Yes, like, I just I know that doesn't

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Speaker 3: mean anything.

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Speaker 4: Go back and look at bitcoin and what it was doing.

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Speaker 3: Then, okay, I know, I know.

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Speaker 1: I know, I just I don't know click side note.

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Speaker 1: Micro strategy is all right in then't ask that one

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Speaker 1: hundred But arguably the SMP is a much bigger stage,

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Speaker 1: almost double in side So still.

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Speaker 4: Yeah, it means. It means even if you don't want

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Speaker 4: to own bitcoin, you're going to own it through if

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Speaker 4: it joins the sea.

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Speaker 1: The cold logic of investing. Vanguard, who we know has

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Speaker 1: as two digital assets. They're one of the biggest holders. Oh,

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Speaker 1: strategy just kind of wild.

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Speaker 3: Hey, speaking about what investors are holding on to today,

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Speaker 3: are buying into this is your number one gainer in

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Speaker 3: the Nasdaq one hundred and s and P five hundred.

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Speaker 3: We are talking about Broadcom.

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Speaker 1: Broadcom ticker is AVGO, So it's helping open ai design

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Speaker 1: and produce an a accelerator that will start shipping in

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Speaker 1: twenty twenty six. So this is a lucrative sphere that

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Speaker 1: is really dominated by Navidea. So obviously Broadcome investors are

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Speaker 1: cheering the move. You see their biggest inter day vile

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Speaker 1: since April, and of course you see Nvidia slump their

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Speaker 1: biggest intra day since at least May. So the order

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Speaker 1: of the accelerator total more than ten billion. This is

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Speaker 1: a big deal. Open Ai is really experiencing a lot

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Speaker 1: of shortages and now they're actually broadening out. They used

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Speaker 1: to be only exclusively with Microsoft, but now brought out

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Speaker 1: to Oracle, Corewave and Google.

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Speaker 3: Fascinating story, right, like, look at how these cycles are

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Speaker 3: just moving so quickly and who might be I'm not

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Speaker 3: saying and video's doing just fine, but it's just a

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Speaker 3: reminder you're not always on top, correct, it may not

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Speaker 3: stay there forever?

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Speaker 4: Speaking of cycles, is at leisure in some sort of

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Speaker 4: cycle right now?

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Speaker 1: Lula Lama tickers Lulu it's down almost twenty percent. That's

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Speaker 1: after they cut their outlook disappointment investors for a certain

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Speaker 1: straight quarter. Yes, and their share is at the lowest

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Speaker 1: level since the onset of the pandemic. And investors are

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Speaker 1: so spooked that at least seven analysts downgraded to a

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Speaker 1: stop in a single day, pushing the share of buy

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Speaker 1: recommendations of the company to the lowest since twenty fourteen.

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Speaker 1: And I love Lula Leammon personally, and a lot of

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Speaker 1: my peers do. I mean the quality is prey, Yeah,

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Speaker 1: full transparency.

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Speaker 3: No pun intended.

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Speaker 4: That you're going back in time.

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Speaker 3: You're gonna have to if you can't understand that.

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Speaker 1: But I agree that I think the quality of yes,

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Speaker 1: my leggings from my college days, which was yesterday. No,

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Speaker 1: I'm kidding, but so great. Yeah.

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Speaker 4: But the pushback on this is that, yeah, they were

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Speaker 4: early to market and they sort of created this market.

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Speaker 4: Now there's so much competition in this space, and you

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Speaker 4: walk around New York City in the summer, and what

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Speaker 4: do you see people wearing. It's not necessarily Lulu Lemon.

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Speaker 1: It's not dominated by Lemon anymore. And consumers sweaty Betty, Yes, everything,

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Speaker 1: and while you're very aware, I love it.

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Speaker 4: That's what I hear.

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Speaker 1: Consumers are now more value focused and they're kind of

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Speaker 1: I don't want to say overpriced, but they're expensive. They're

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Speaker 1: almost one hundred dollars for a legging.

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Speaker 3: So isn't all.

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Speaker 4: That stuff expensive though, like the companies that I just.

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Speaker 1: Mentioned, Yeah, but it rarely goes on sale, I guess,

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Speaker 1: Carol and I a yeah. And they're also affected by tariffs,

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Speaker 1: so just very quickly, they're affected by the the Minimus exemption.

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Speaker 1: This is where low value shipments under eight hundred will

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Speaker 1: now be taxed. And of course, I mean if you

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Speaker 1: order leggings, you'll expect that to be taxed, so that's

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Speaker 1: obviously affecting. And Lula Lemon also lowered both a revenue

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Speaker 1: and EPs outlook, So tough times for Lula Lemon.

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Speaker 2: The Stock Mover's report from Bloomberg Radio. Check back with

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Speaker 2: us throughout the day for the latest roundup of companies

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Speaker 2: making news on Wall Street and for the latest market

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Speaker 2: moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

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Speaker 2: the Bloomberg Business app,