WEBVTT - Snap Continues Sliding; Disney and AMD Sink

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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 3>Let's check a look at some stocks on the move today.

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<v Speaker 3>I'm Tom Keen with Paul Sweeney and Bloomberg's Lisa Matteo.

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<v Speaker 4>Okay, I want to start with Snap. This is the

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<v Speaker 4>biggest move of volume this Morning's down about nineteen percent.

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<v Speaker 4>It's the owner of Snapchat, the social media app. Second

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<v Speaker 4>quarter sales that were just shy of Wall Street's average estimates.

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<v Speaker 4>But the bigger news actually came on the call with investors.

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<v Speaker 4>The company points into this slowdown in advertising revenue growth,

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<v Speaker 4>and a big reason for that, they said, was this

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<v Speaker 4>technical issue they had with their ad buying tools that

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<v Speaker 4>happened earlier this year. So what happened is that the

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<v Speaker 4>company shipped an update to their advertising auction and it

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<v Speaker 4>invertedly allowed marketers to buy ads at substantially reduced prices.

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<v Speaker 4>So that was a big mistake.

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<v Speaker 3>This is five hundred and six people enjoying Santa Monica, California. Yeah,

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<v Speaker 3>Evan Spiegel, who's an item. I've never used snap? Lisa

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<v Speaker 3>is Yeah, it's.

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<v Speaker 4>The kids love it. Correct, Yeah, the kids love it.

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<v Speaker 4>It's they just like it better than all the others.

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<v Speaker 3>Oh, but she's a font to wisdom today.

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<v Speaker 1>I yes, tiktoky.

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<v Speaker 3>It's just unbelievable.

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<v Speaker 4>But it's a big thing for them because they get

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<v Speaker 4>like ninety percent of their revenue from advertising. So that

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<v Speaker 4>was a huge mistake. They said it's fixed and advertising

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<v Speaker 4>revenue growth has improved, but yeah, that was that was

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<v Speaker 4>a big mistake for them. Disney Okay, their shares have

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<v Speaker 4>been down two percent. Third quarter results disappointed some investors.

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<v Speaker 4>So on the bad side of things, revenue from conventional

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<v Speaker 4>TV network sports programming fell short. Income from conventional entertainment

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<v Speaker 4>TV fell twenty eight percent. Disney Film Studio suffered a

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<v Speaker 4>loss with sports programming folly short, though they did have

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<v Speaker 4>that announcement about the NFL acquiring a ten percent stake

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<v Speaker 4>in ESPN Sports programming. The good news for them a

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<v Speaker 4>strong performance in their theme park streaming business. Income at

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<v Speaker 4>the Theme parks division grew about thirteen percent of the

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<v Speaker 4>quarter revenue advance eight percent. The streaming business actually earned

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<v Speaker 4>a quarterly profit of three hundred and forty six million,

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<v Speaker 4>So good and bad on both sides of them.

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<v Speaker 1>For Disney, I mean, Disney is like everybody else. They're

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<v Speaker 1>just trying to say, hey, focus your tension on these

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<v Speaker 1>bright China objects. For us, it's streaming and it's theme parks,

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<v Speaker 1>which you're real they're gonna be huge. They are usually profitable,

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<v Speaker 1>get even more so with the streaming business, and just

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<v Speaker 1>kind of ignore the legacy cable networks, broadcast networks. And

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<v Speaker 1>in fact, a lot of companies are saying, we're just

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<v Speaker 1>gonna spin those things off.

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<v Speaker 4>So we don't have the movie, Like I'm surprised about

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<v Speaker 4>the movie.

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<v Speaker 1>Yeah, that stuff goes, comes and goes. You can't worry

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<v Speaker 1>about that.

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<v Speaker 3>So you know what they're worth when they spin them off.

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<v Speaker 1>We're gonna find out.

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<v Speaker 2>We're gonna get two big.

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<v Speaker 1>Transactions coming hitting the market. But if it's going to

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<v Speaker 1>be well below I think where their current stocks are

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<v Speaker 1>te okay, next.

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<v Speaker 4>All right, Advanced micro Devices taker AMD down more than

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<v Speaker 4>six percent before the bell. It's the second largest maker

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<v Speaker 4>of AI processors. Right, so analysts they saw the results

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<v Speaker 4>as mixed. Something they really looked closely at was a

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<v Speaker 4>company situation in China. They say, it's return to that

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<v Speaker 4>market is a little tough to predict. And the reason

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<v Speaker 4>why is because you remember, like the Trump administration, they

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<v Speaker 4>barred those shipments of the high quality chips of China

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<v Speaker 4>back in April. Then it reversed the course and that

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<v Speaker 4>raise hopes that AMD and in Video could resume sales,

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<v Speaker 4>but AMD CEO said that their licenses are still under review,

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<v Speaker 4>so you know, they didn't include any revenue from those

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<v Speaker 4>chips and their guidance.

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<v Speaker 2>The Stock Mover's report from Bloomberg Radio. Check back with

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