1 00:00:02,520 --> 00:00:08,640 Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The. 2 00:00:08,720 --> 00:00:12,560 Speaker 2: Stock Movers Report, your roundup of companies making moves in 3 00:00:12,600 --> 00:00:15,880 Speaker 2: the stock market. Harnessing the power of Bloomberg Data. 4 00:00:16,440 --> 00:00:18,360 Speaker 1: Let's take a look at some stocks on the move today. 5 00:00:18,360 --> 00:00:21,279 Speaker 1: I'm Nathan Hager, joined by Bloomberg's Dan Curtis on the 6 00:00:21,480 --> 00:00:24,640 Speaker 1: kickoff of Big Tech Earnings Day. We're not expecting to 7 00:00:24,680 --> 00:00:27,880 Speaker 1: hear from some of the major companies until after the closed, Dan, 8 00:00:27,960 --> 00:00:33,639 Speaker 1: but we've already heard overseas from chip designer ASML, and 9 00:00:33,960 --> 00:00:36,160 Speaker 1: that stock is getting a lift this morning. Good morning, 10 00:00:36,720 --> 00:00:37,600 Speaker 1: Good morning, Nathan. 11 00:00:37,680 --> 00:00:41,360 Speaker 3: That's right, ASML. It's the company that makes lithography machines, 12 00:00:41,400 --> 00:00:44,239 Speaker 3: so really high precision companies that chip makers then use 13 00:00:44,520 --> 00:00:47,599 Speaker 3: to create the chips that are fueling this AI boom. 14 00:00:47,880 --> 00:00:51,080 Speaker 3: And ASML really benefiting from the AI boom. They're the 15 00:00:51,080 --> 00:00:53,920 Speaker 3: only company that can make these machines. So it posted 16 00:00:53,920 --> 00:00:57,480 Speaker 3: fourth quarter bookings of thirteen point two billion dollar euros. 17 00:00:57,520 --> 00:01:01,240 Speaker 3: That's nearly double estimates. Over half the sales were driven 18 00:01:01,240 --> 00:01:05,040 Speaker 3: by those top end machines, lithography machines that are needed 19 00:01:05,080 --> 00:01:07,920 Speaker 3: to make these highly accurate chips. And it's interesting to 20 00:01:07,920 --> 00:01:10,440 Speaker 3: look to where these are going, so the proportion of 21 00:01:10,520 --> 00:01:13,720 Speaker 3: sales from the US and South Korea increased, while China 22 00:01:13,800 --> 00:01:17,160 Speaker 3: and Taiwan's portion of those sales fell. As I said, 23 00:01:17,160 --> 00:01:19,640 Speaker 3: the demand is driven by the AI trade. All leading 24 00:01:19,720 --> 00:01:23,000 Speaker 3: chip makers are customers, including TSMC and Intel. It's needs 25 00:01:23,000 --> 00:01:25,520 Speaker 3: to produce the Nvidia chips, so this is really fueling 26 00:01:25,560 --> 00:01:27,959 Speaker 3: the AI trade. This morning, the Nasdaq futures that you've 27 00:01:27,959 --> 00:01:31,280 Speaker 3: been talking about getting a boost just off these earnings alone. 28 00:01:31,360 --> 00:01:35,360 Speaker 3: The company did announce it would cut one seven hundred jobs, 29 00:01:35,520 --> 00:01:37,600 Speaker 3: and that was just in response to complaints about how 30 00:01:37,640 --> 00:01:41,440 Speaker 3: bureaucratic it had become. But overall, the numbers looking pretty good. 31 00:01:41,880 --> 00:01:44,480 Speaker 1: Speaking of job cuts, that's where we're hearing from Amazon 32 00:01:44,520 --> 00:01:45,000 Speaker 1: this morning. 33 00:01:45,560 --> 00:01:48,760 Speaker 3: That's right, more job cuts out from Amazon. It announced 34 00:01:48,800 --> 00:01:51,960 Speaker 3: it will trim up to sixteen thousand corporate roles. That's 35 00:01:52,040 --> 00:01:56,640 Speaker 3: also another effort to reduce bureaucracy and trim management layer 36 00:01:56,600 --> 00:01:58,880 Speaker 3: is something that the CEO has been looking to do. 37 00:01:59,440 --> 00:02:02,880 Speaker 3: These jobs cuts come after fourteen thousand layoffs were already 38 00:02:02,880 --> 00:02:06,360 Speaker 3: announced months ago, and it follows a post pandemic era 39 00:02:06,520 --> 00:02:09,120 Speaker 3: hiring Binch and a lot of this comes in response 40 00:02:09,200 --> 00:02:11,800 Speaker 3: to the company ramping up and spending on AI. Everything 41 00:02:11,880 --> 00:02:16,040 Speaker 3: is going back to AI. This morning. Amazon's seen spending 42 00:02:16,080 --> 00:02:20,440 Speaker 3: nearly one hundred and fifty billion dollars on capital expenditures 43 00:02:20,480 --> 00:02:22,560 Speaker 3: in the current year as it ramps up there. So 44 00:02:22,600 --> 00:02:26,160 Speaker 3: it's looking to reduce bureaucracy and perhaps some of its 45 00:02:26,200 --> 00:02:29,080 Speaker 3: employee costs as it's spending on the infrastructure. 46 00:02:29,320 --> 00:02:32,480 Speaker 1: Now, we got more earnings this morning, including from ge Vernova. 47 00:02:32,639 --> 00:02:35,280 Speaker 1: This company's kind of turned into a tech play as well. 48 00:02:35,919 --> 00:02:38,200 Speaker 3: Yeah, almost everything has turned into a tech play that 49 00:02:38,200 --> 00:02:40,959 Speaker 3: we're talking about. It's just what's moving today. So yeah, 50 00:02:41,000 --> 00:02:45,800 Speaker 3: gee Vernova. Those shares are actually just reversed a little 51 00:02:45,800 --> 00:02:49,760 Speaker 3: bit lower after earnings. The energy equipment company is generally 52 00:02:49,800 --> 00:02:52,639 Speaker 3: benefiting from the AI boom, though it posted fourth quarters 53 00:02:52,760 --> 00:02:57,760 Speaker 3: sales nearly eleven billion dollars at beating estimates, diluted EPs 54 00:02:57,760 --> 00:03:00,600 Speaker 3: of over thirteen dollars a share that was ten dollars 55 00:03:00,680 --> 00:03:02,720 Speaker 3: higher than the Wall Street forecast. A lot of this 56 00:03:02,840 --> 00:03:05,600 Speaker 3: is driven by, as we been talking about the AI boom, 57 00:03:05,720 --> 00:03:09,120 Speaker 3: it has one hundred and fifty billion dollars backlog for 58 00:03:09,400 --> 00:03:12,200 Speaker 3: gas turbines, which are used to power data centers, and 59 00:03:12,280 --> 00:03:14,480 Speaker 3: you know, with the cold boom recently, those were even 60 00:03:14,560 --> 00:03:15,520 Speaker 3: used to try and heat. 61 00:03:15,400 --> 00:03:19,120 Speaker 1: Up some homes, and finally, earnings this morning from AT 62 00:03:19,280 --> 00:03:21,320 Speaker 1: and T as well, those shares are heating up. 63 00:03:21,800 --> 00:03:25,240 Speaker 3: Yeah, those shares are up four percent in the pre market. 64 00:03:25,280 --> 00:03:27,840 Speaker 3: AT and T it reported four hundred and twenty one 65 00:03:27,880 --> 00:03:30,760 Speaker 3: thousand new wireless subscribers in the fourth quarter. That was 66 00:03:30,800 --> 00:03:34,320 Speaker 3: fewer than estimates, but despite that, sales and earnings for 67 00:03:34,360 --> 00:03:38,200 Speaker 3: the quarter both came in above Wall Street estimates. The 68 00:03:38,240 --> 00:03:40,600 Speaker 3: company also has a strong projection for this year. It's 69 00:03:40,600 --> 00:03:42,760 Speaker 3: saying earnings will be about two dollars and twenty five 70 00:03:42,800 --> 00:03:45,120 Speaker 3: cents to two dollars and thirty five cents for this year, 71 00:03:45,320 --> 00:03:49,040 Speaker 3: with even the low end of that above the consensus expectation. 72 00:03:49,440 --> 00:03:52,320 Speaker 3: The company also approved additional share buybacks and expects to 73 00:03:52,360 --> 00:03:55,520 Speaker 3: repurchase eight billion dollars this year, so that money going 74 00:03:55,520 --> 00:03:58,400 Speaker 3: back in shareholders hands, helping to lift that stock up 75 00:03:58,440 --> 00:03:58,960 Speaker 3: four percent. 76 00:04:00,080 --> 00:04:04,520 Speaker 2: Stockmover's report from Bloomberg Radio. Check back with us throughout 77 00:04:04,520 --> 00:04:07,320 Speaker 2: the day for the latest roundup of companies making news 78 00:04:07,360 --> 00:04:10,640 Speaker 2: on Wall Street and for the latest market moving headlines. 79 00:04:10,880 --> 00:04:14,880 Speaker 2: Listen to Bloomberg Radio Live, catch us on YouTube, Bloomberg 80 00:04:14,920 --> 00:04:18,000 Speaker 2: dot com, and on Applecarplay. And Android Auto with the 81 00:04:18,040 --> 00:04:19,400 Speaker 2: Bloomberg Business App.