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Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The Stock Movers Report,

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Speaker 1: your roundup of companies making moves in the stock market,

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Speaker 1: harnessing the power of Bloomberg Data.

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Speaker 2: Let's take a look at some stocks on the move today.

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Speaker 2: I'm Tim Keen with Paul Sweeney and Bloomberg's Lisa Mantelior.

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Speaker 2: She is so prepared. Let me think, are you gonna

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Speaker 2: lead with cloud flair this morning? Or did you think

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Speaker 2: you'd stay on script?

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Speaker 3: I'm not even going there. I know you won't like that.

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Speaker 3: I'm sick of what we've been talking about all morning long. Yeah,

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Speaker 3: Warner Brothers, Discovery WBD shares have been all over the map. Netflix,

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Speaker 3: their shares have been down as much as three percent.

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Speaker 3: They've been changing to But the big news, Yeah you

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Speaker 3: said it. They greet to buy Warner Brothers. It's a

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Speaker 3: seventy two billion dollar cash in stock deal. Warner Brothers

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Speaker 3: shareholders receiving twenty seven dollars seventy five census share and

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Speaker 3: cash and stock in Netflix. Before the closing of the sale,

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Speaker 3: you guys just talked about Warner Brothers completing the plan

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Speaker 3: spin off of this network's division that includes the cable

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Speaker 3: channels but this is just a big shift for Netflix.

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Speaker 3: I mean, it's never made a deal of this scope

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Speaker 3: because it's one of Hollywood's most valuable companies without the

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Speaker 3: benefit of the library of the studio. So now it

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Speaker 3: has it. It's, you know, the owner of the HBO network.

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Speaker 3: It shows like White Lotus, Warner Brothers Studios, Film and

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Speaker 3: TV Archive, like Harry Potter and Friends. So I'm just wondering,

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Speaker 3: like how Netflix is going to put its stamp on it,

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Speaker 3: Like is it going to keep things?

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Speaker 4: That's a great question. Yeah, yeah, smartest question exactly.

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Speaker 2: Well, the Blue the Detroit Lions screen Blue Button help

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Speaker 2: us here with what you mentioned earlier, this young culture,

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Speaker 2: Yeah does with this iconic franchise.

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Speaker 4: One of the things you don't do is you don't

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Speaker 4: go step on the toes of the senior creatives at

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Speaker 4: Warner Brothers. You got to be very careful. Let these

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Speaker 4: creative people do what they do. But the question is

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Speaker 4: simply going to be for Netflix, how do I maximize

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Speaker 4: the value of whatever content's coming off of that Warner

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Speaker 4: Brothers studio. Maybe it's gonna be on Netflix, maybe it's

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Speaker 4: gonna be in a theater, maybe it's gonna be I'll

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Speaker 4: sell it to a third party like CBS or NBC.

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Speaker 4: So you've got to be really smart about that. The

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Speaker 4: good news is Wall Street likes the Netflix matter.

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Speaker 3: Yes, yes, yes they do. You talk about the banks,

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Speaker 3: I mean they line up fifty nine billion dollars of

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Speaker 3: financing from Wall Street banks. That's a big number.

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Speaker 2: No, that's a huge number.

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Speaker 4: But Steve Flynn was just mentioning from Lierberg intelligence, the

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Speaker 4: market is very deep. Netflix is a great credit, so

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Speaker 4: it should not be a problem, believe it or not.

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Speaker 3: Oh my gosh, sure it continues. All right, So we

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Speaker 3: go from Warner Brothers Netflix, I have to hit Hewlett

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Speaker 3: Packer Enterprises taker HP because they're shared and taking a

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Speaker 3: hit down as much as nine percent server and cloud

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Speaker 3: software company. Right, it's trying to make it's trying to

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Speaker 3: take on some big customers. But the complexity of those

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Speaker 3: customers AI projects, that's the issue, and it's weighing on

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Speaker 3: their sales. So they logged lower than expected revenue in

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Speaker 3: the fiscal fourth quarter. The reason why all so, the

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Speaker 3: CFO explained it, saying that customers are hitting the delays

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Speaker 3: and development of their AI products because some of their

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Speaker 3: larger sale customers of HbA. They've been trying to add

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Speaker 3: to its portfolio that they weren't ready to receive and

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Speaker 3: pay for the company's product on time, so that was

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Speaker 3: a huge issue. HPA did back its revenue outlook. They

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Speaker 3: raise its adjusted earnings view for fiscal twenty twenty six.

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Speaker 3: But yeah, the shares are down as much as nine percent.

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Speaker 3: Now we go to my wheelhouse is all to beauty, okay,

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Speaker 3: Ulta Tom's excited up as much as six percent raise

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Speaker 3: it's fullier outlook. Reported better than expected results third quarter. Still,

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Speaker 3: people are still spending cosmetics, fragrances, hair supply, yes, even

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Speaker 3: snail slime for your face. It's all there, all in

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Speaker 3: one shop. Fragrances they tend to be a little bit

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Speaker 3: more expensive, but the lower prices on the cosmetics means

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Speaker 3: those items are still within the budget, so shoppers have

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Speaker 3: been continuing to go there. They built out their loyalty

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Speaker 3: program branded internationally and that was huge for the company.

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Speaker 3: They opened their first stoor in the Middle East and

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Speaker 3: November over in Kuwait, and they want to expand to

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Speaker 3: to the United Arab Emirates, but also to Saudi Arabia.

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Speaker 1: The Stock Movers report from Bloomberg Radio. Check back with

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Speaker 1: us throughout the day for the latest roundup of companies

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