1
00:00:02,520 --> 00:00:07,360
Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.

2
00:00:08,560 --> 00:00:12,440
Speaker 2: The Stock Movers Report, your roundup of companies making moves

3
00:00:12,480 --> 00:00:15,880
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.

4
00:00:16,520 --> 00:00:19,360
Speaker 1: I'm Carol Masser along with Tim Stanback. Let's get to

5
00:00:19,560 --> 00:00:22,560
Speaker 1: substocks on the move on this Friday. With us to

6
00:00:22,600 --> 00:00:25,360
Speaker 1: do that is Bloomberg Crossouse at Reporter Janitza Sokova in

7
00:00:25,440 --> 00:00:27,520
Speaker 1: the house, and we're going to start with Oracle. We've

8
00:00:27,520 --> 00:00:29,040
Speaker 1: been talking about this one a lot today.

9
00:00:29,160 --> 00:00:31,080
Speaker 3: We've been talking about it a lot this week and

10
00:00:31,120 --> 00:00:33,440
Speaker 3: in the past month, and it's really check on the

11
00:00:33,520 --> 00:00:36,480
Speaker 3: woe trade. We see the Nazuki is down today. That's

12
00:00:36,479 --> 00:00:38,400
Speaker 3: and Peas down today, and a lot of it came

13
00:00:38,479 --> 00:00:41,320
Speaker 3: after the news that Oorco has pushed back the completion

14
00:00:41,440 --> 00:00:45,240
Speaker 3: dates for some data centers that is developing for open Ai.

15
00:00:45,320 --> 00:00:47,080
Speaker 3: Initially they were going to be in twenty twenty seven.

16
00:00:47,159 --> 00:00:50,000
Speaker 3: Now the day they have is twenty twenty eight. The ticker,

17
00:00:50,000 --> 00:00:52,320
Speaker 3: of course, is all Our cl The stock is down

18
00:00:52,360 --> 00:00:55,160
Speaker 3: about four and a half percent, but it's extending a

19
00:00:55,320 --> 00:00:57,680
Speaker 3: forty percent slump since September.

20
00:00:58,080 --> 00:00:59,720
Speaker 4: There has been a lot of activity in there.

21
00:00:59,800 --> 00:01:04,760
Speaker 3: Sea investors have been growing pretty jittery about Orco in specific,

22
00:01:04,760 --> 00:01:07,199
Speaker 3: because that's a company that's obviously spending a lot of money.

23
00:01:07,400 --> 00:01:10,880
Speaker 3: Orco has been working to deliver three hundred billion contract

24
00:01:10,920 --> 00:01:15,520
Speaker 3: to supply the computing power necessary to train open AI models.

25
00:01:15,880 --> 00:01:19,280
Speaker 3: Capital expenditure, we recently got a report from them, came

26
00:01:19,319 --> 00:01:22,279
Speaker 3: at about twelve billion in the quarter. That's an increase

27
00:01:22,319 --> 00:01:24,959
Speaker 3: of eight port five billion. So this is a number

28
00:01:24,959 --> 00:01:27,399
Speaker 3: of investors have been worried about. It is more than

29
00:01:27,480 --> 00:01:30,680
Speaker 3: analysts we're expecting there of course expected heighth spending. Anyway,

30
00:01:30,680 --> 00:01:33,960
Speaker 3: this is even higher, and you can understand why some

31
00:01:34,000 --> 00:01:37,600
Speaker 3: of the jitters are appearing. And of course circularity of deals,

32
00:01:37,640 --> 00:01:40,479
Speaker 3: it's always the same names, the same names, and Orco

33
00:01:40,560 --> 00:01:40,880
Speaker 3: is there.

34
00:01:41,080 --> 00:01:43,240
Speaker 5: Okay, well, speaking of the same names and the same names,

35
00:01:43,319 --> 00:01:46,919
Speaker 5: let's go to Broadcom Architect, the chip architect that works

36
00:01:46,920 --> 00:01:48,560
Speaker 5: with some of the companies that are trying to take

37
00:01:48,560 --> 00:01:49,160
Speaker 5: on in video.

38
00:01:49,520 --> 00:01:51,560
Speaker 4: Yeah, and that was a big winner.

39
00:01:51,600 --> 00:01:54,240
Speaker 3: The company was up seventy five percent before the so

40
00:01:54,400 --> 00:01:57,640
Speaker 3: off we're seeing now big droll down. Today's shares were

41
00:01:57,680 --> 00:02:01,360
Speaker 3: down more than eleven percent, roatching a twelve percent drop,

42
00:02:01,760 --> 00:02:03,840
Speaker 3: the most inter day since January.

43
00:02:04,080 --> 00:02:08,760
Speaker 4: The sales outlook failed to meet investors' expectation. The ticker

44
00:02:08,840 --> 00:02:10,160
Speaker 4: is avgo.

45
00:02:10,520 --> 00:02:14,679
Speaker 3: It really happened after some unsettling commentary yesterday from their

46
00:02:14,760 --> 00:02:18,080
Speaker 3: CEO that said the company has a seventy three billion

47
00:02:18,160 --> 00:02:23,680
Speaker 3: in AI product orders backlog. He later tried to suit

48
00:02:23,760 --> 00:02:27,519
Speaker 3: investors and said that that figure was a minimum. But nevertheless,

49
00:02:27,600 --> 00:02:29,920
Speaker 3: we're seeing a really really big sale off and the

50
00:02:29,960 --> 00:02:33,520
Speaker 3: combination of ORC and Broadcom is really dragging TechTalks down.

51
00:02:34,160 --> 00:02:36,639
Speaker 4: Investors were seeking more clarity on.

52
00:02:36,480 --> 00:02:38,480
Speaker 3: When and how the company will get a payoff from AI,

53
00:02:38,760 --> 00:02:41,160
Speaker 3: but instead they didn't even get a forecast for AI

54
00:02:41,200 --> 00:02:42,880
Speaker 3: revenue for twenty twenty.

55
00:02:42,600 --> 00:02:44,639
Speaker 4: Six, so you know the worries are there.

56
00:02:44,680 --> 00:02:47,440
Speaker 3: We saw some good number salers will be about nineteen

57
00:02:47,480 --> 00:02:49,760
Speaker 3: billion in the first Riskoo quarter.

58
00:02:49,520 --> 00:02:53,400
Speaker 1: Which Jauan Kinging said that it was a really good quarter.

59
00:02:53,840 --> 00:02:55,800
Speaker 3: The report was good, but no one is looking at

60
00:02:55,800 --> 00:02:58,880
Speaker 3: what's happening now. Everyone is looking at the outlook and

61
00:02:59,000 --> 00:03:03,880
Speaker 3: any small appointment. It has a massive loss. Yeah, digit

62
00:03:03,919 --> 00:03:06,680
Speaker 3: to digit drop on a day. It is just okay, incredible.

63
00:03:06,680 --> 00:03:08,359
Speaker 1: If you don't like the AI trade, just go out

64
00:03:08,400 --> 00:03:09,560
Speaker 1: and buy some yoga pants.

65
00:03:09,680 --> 00:03:13,280
Speaker 4: Yeah, that's the shares of the lemon trade. If you

66
00:03:13,320 --> 00:03:16,200
Speaker 4: want to be up eleven percent today. The ticker is

67
00:03:16,400 --> 00:03:16,680
Speaker 4: l U.

68
00:03:16,880 --> 00:03:20,480
Speaker 3: L U low Lemma shares rallied after the yoga wear

69
00:03:20,520 --> 00:03:23,240
Speaker 3: maker Boost that is fuller outlook and announced that it's

70
00:03:23,400 --> 00:03:26,000
Speaker 3: chief executive officer would step down. There has been a

71
00:03:26,000 --> 00:03:28,079
Speaker 3: lot of competition. There are so many brands that offer

72
00:03:28,120 --> 00:03:30,960
Speaker 3: one hundred dollars yoga pants, and loul Lemon has kind

73
00:03:31,000 --> 00:03:33,679
Speaker 3: of taken the back seat for some time. There is allo,

74
00:03:34,360 --> 00:03:37,880
Speaker 3: you know, Nike has like a scheme's partnership and those

75
00:03:37,920 --> 00:03:41,240
Speaker 3: have been very popular. We're seeing some positive results in

76
00:03:41,320 --> 00:03:44,840
Speaker 3: lul Lemon after a pretty tough few years. Lemo's fisical

77
00:03:44,920 --> 00:03:48,920
Speaker 3: third quarter report had several positive signs. Profit and comparable

78
00:03:48,960 --> 00:03:52,080
Speaker 3: sales is something analysts are pointing that there is some

79
00:03:52,120 --> 00:03:55,280
Speaker 3: optimism there. The company has been pushing to improve their

80
00:03:55,320 --> 00:03:58,440
Speaker 3: products and to increase the alert.

81
00:03:58,560 --> 00:04:01,000
Speaker 4: They have some new things that have been.

82
00:04:00,880 --> 00:04:05,120
Speaker 3: Working, but nevertheless, the company is down fifty percent before

83
00:04:05,720 --> 00:04:06,480
Speaker 3: today's rally.

84
00:04:06,560 --> 00:04:09,839
Speaker 4: So it's been a tough here, but people are looking forward.

85
00:04:09,560 --> 00:04:12,560
Speaker 3: To more yoga pants and more optimism in that area.

86
00:04:12,760 --> 00:04:14,120
Speaker 1: You know, I'm going to live my whole world in

87
00:04:14,120 --> 00:04:16,560
Speaker 1: a pair of yoga pants. Sometimes that's what I'm wearing

88
00:04:16,640 --> 00:04:17,800
Speaker 1: it his studio.

89
00:04:17,839 --> 00:04:19,600
Speaker 4: Just throwing a jacket, wear some yoga pants.

90
00:04:19,640 --> 00:04:22,560
Speaker 5: I'm going to talk about Chip Wilson. He's the Lululemon founder.

91
00:04:22,600 --> 00:04:25,279
Speaker 5: He blasted the company's board after its leadership changes. He

92
00:04:25,279 --> 00:04:28,000
Speaker 5: said the directors failed on succession planning and allowed what

93
00:04:28,080 --> 00:04:32,160
Speaker 5: he calls significant value erosion. Under CEO Talvin McDonald, He's

94
00:04:32,400 --> 00:04:35,200
Speaker 5: making his voice heard as a huge shareholder of the

95
00:04:35,240 --> 00:04:36,160
Speaker 5: company that he founded.

96
00:04:36,320 --> 00:04:40,479
Speaker 1: Yeah, I mean, listen, it's a higher end product. It's

97
00:04:40,560 --> 00:04:44,760
Speaker 1: not inexpensive. You don't often see sales at Lululemon. We'll

98
00:04:44,760 --> 00:04:46,400
Speaker 1: have to figure out there's a lot more competition in

99
00:04:46,400 --> 00:04:46,799
Speaker 1: that space.

100
00:04:46,800 --> 00:04:48,880
Speaker 5: So I forget about your quarterly seventy five dollars credit.

101
00:04:49,000 --> 00:04:52,680
Speaker 4: I just signed up on amex. I use my friend's credit.

102
00:04:52,760 --> 00:04:55,560
Speaker 4: It was really good, right, good stuff, Denia, Thanks so much.

103
00:04:56,800 --> 00:05:00,800
Speaker 2: The stock mover's report from Bloomberg Radio. Check back with

104
00:05:00,920 --> 00:05:03,480
Speaker 2: us throughout the day for the latest roundup of companies

105
00:05:03,560 --> 00:05:06,640
Speaker 2: making news on Wall Street and for the latest market

106
00:05:06,680 --> 00:05:11,160
Speaker 2: moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

107
00:05:11,240 --> 00:05:14,719
Speaker 2: Bloomberg dot com, and on Applecarplay and Android Auto with

108
00:05:14,800 --> 00:05:16,279
Speaker 2: the Bloomberg Business app.