WEBVTT - Applied Materials Sinks; Reddit Rally; Gemini Lower

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news, The.

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<v Speaker 2>Stock Movers Report, your roundup of companies making moves in

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<v Speaker 2>the stock market, harnessing the power of Bloomberg data. Some

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<v Speaker 2>of the.

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<v Speaker 1>Stocks that have reported earnings solid results from Applied Materials.

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<v Speaker 1>Why is the stock down down? Good morning, Good morning,

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<v Speaker 1>that's right.

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<v Speaker 3>So shares of Applied Materials are down about five percent

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<v Speaker 3>in the pre market underticker AMAT, and that was after

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<v Speaker 3>a beat and rays quarter. So just for some background,

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<v Speaker 3>the company sells machine software and services used to manufacture

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<v Speaker 3>semiconductor chips, and it has been on a tear so

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<v Speaker 3>far this year. As of yesterday's closed, it was up

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<v Speaker 3>over it was up one hundred and eight percent in

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<v Speaker 3>twenty twenty six. It had been outperforming other peers. Take

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<v Speaker 3>a look at a company like Lamb Research, which was

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<v Speaker 3>about ten percentage points underperforming Applied Materials, And so what

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<v Speaker 3>seems to be happening in the pre market now is

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<v Speaker 3>a little bit of pricing on that outperforming out performance.

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<v Speaker 3>It's been very strong. It's been a little bit stronger

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<v Speaker 3>than peers, and after the results, it seems like markets

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<v Speaker 3>are questioning, well, is it that much better than some

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<v Speaker 3>of the other companies. So what actually happened? What did

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<v Speaker 3>we learn after the bell? Well, we learned that the

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<v Speaker 3>company is more optimistic than it was before, and it's

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<v Speaker 3>really put out, you know, a relatively strong note, and

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<v Speaker 3>even analysts were generally positive about both the results and

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<v Speaker 3>the forecast that the company put out. The few one

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<v Speaker 3>point a weakness I saw when reading through the summary

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<v Speaker 3>was a basically nand a type of memory that is

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<v Speaker 3>in very high demand for AI. It's having strong growth

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<v Speaker 3>this year. The company is forecasting slightly slower growth next year.

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<v Speaker 3>So a little bit of a hesitation trepidation there from

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<v Speaker 3>the company, but in general it was pretty strong. We

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<v Speaker 3>just have the market trying to figure out, you know,

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<v Speaker 3>how much stronger is it than Peers today?

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<v Speaker 1>Okay, so well we continue to watch those shares move.

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<v Speaker 1>I've got to think a lot of investors are keeping

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<v Speaker 1>an eye on what US drone makers are doing now

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<v Speaker 1>that President Trumps announced this bit big tariff on drones

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<v Speaker 1>imported into this country.

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<v Speaker 3>That's right, one hundred percent is a pretty big number.

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<v Speaker 3>I mean that devil basically doubles the cost of importing

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<v Speaker 3>drones from foreigners, and so that has US drone makers

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<v Speaker 3>and companies that also make drone parts surging in the

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<v Speaker 3>pre market. Unusual Machines UMAC is really catching my eye.

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<v Speaker 3>That's up thirteen percent. Other companies redcat are A RCAT

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<v Speaker 3>up seven percent, Air Environment, which is trades underticker AVAV

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<v Speaker 3>up three percent. So Unusual Machines in particular is a

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<v Speaker 3>standout there. I'll just put it out there. Donald Trump

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<v Speaker 3>Donald Trump Junior has been an advisor to the company

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<v Speaker 3>since twenty twenty four. He previously invested in the stock,

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<v Speaker 3>and this company is adding to it one hundred and

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<v Speaker 3>seventy five percent rally over the last year. The stock

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<v Speaker 3>itself eight buys, no holder sell ratings and an average

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<v Speaker 3>price target of nearly forty dollars. That was forty five

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<v Speaker 3>percent above yesterday's closing price. A lot of optimism around

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<v Speaker 3>the stock, and that is continuing this morning.

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<v Speaker 2>Yeah.

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<v Speaker 1>Well, I guess there's a lot of excitement around it

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<v Speaker 1>as well. It is the biggest gainer in the pre market.

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<v Speaker 2>Yeah.

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<v Speaker 3>So REDD is up twelve percent in the pre market URDDT,

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<v Speaker 3>and the company is set to join the S and

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<v Speaker 3>P five hundred before trading opens on Tuesday. The inclusion

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<v Speaker 3>is important as it means funds that track the S

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<v Speaker 3>and P five hundred will need to buy shares. This

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<v Speaker 3>is called passive funds, so they track the index. If

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<v Speaker 3>a stock goes into the index, they need to buy it.

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<v Speaker 3>As of the close, the stock and rally three hundred

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<v Speaker 3>and sixty five percent from its IPO in early twenty

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<v Speaker 3>twenty four, despite a bit of a pullback from last

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<v Speaker 3>year's high and with a market cap about thirty billion dollars.

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<v Speaker 3>That means it'll be around, you know, the three hundredth

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<v Speaker 3>largest company in the index of three hundred out of

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<v Speaker 3>five hundred, pretty in the middle, and it's going to

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<v Speaker 3>go in and replace Avalon Bay Communities, which is being

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<v Speaker 3>acquired by Equity Residential.

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<v Speaker 1>All right, just time to tell us why Gemini Space

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<v Speaker 1>Station is not doing so hot this morning?

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<v Speaker 3>Yeah, not hot at all. So the shares of Gemini

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<v Speaker 3>Gemi are down six percent in the pre market. This

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<v Speaker 3>is the digital asset platform led by the Winklevi Twins.

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<v Speaker 3>Winklevoss Twins, if you'd like it, posted the fourth consecutive

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<v Speaker 3>quarterly loss in s last year's IPO, so second quarter

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<v Speaker 3>loss of one hundred and eight million dollars. It worked

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<v Speaker 3>out to eighty nine cents per share loss that was

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<v Speaker 3>wider than Wall Street expected, and this is a relatively

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<v Speaker 3>small crypto exchange in marketer size matters, and Bitcoin has

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<v Speaker 3>been on the back play.

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<v Speaker 2>This stock Moover's report from Bloomberg Radio. Check back with

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