1 00:00:02,520 --> 00:00:07,440 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 --> 00:00:16,280 Speaker 2: in the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,520 --> 00:00:18,279 Speaker 1: Let's take a look at some of the stocks on 5 00:00:18,560 --> 00:00:22,759 Speaker 1: the move today. I'm Paulsuni alongside Alexis Christophers and Bloomberg's 6 00:00:22,800 --> 00:00:23,960 Speaker 1: Lisa Matael Lisa, what are you got for s? 7 00:00:23,960 --> 00:00:26,440 Speaker 3: All right? I want to start with FedEx. Take our FDx. 8 00:00:26,480 --> 00:00:29,040 Speaker 3: Their shares have been up as much as five percent 9 00:00:29,080 --> 00:00:30,960 Speaker 3: before the bell. They've kind of slipped back a bet 10 00:00:31,160 --> 00:00:34,080 Speaker 3: a bit too, about one percent. So the big news 11 00:00:34,120 --> 00:00:35,879 Speaker 3: is that they expect this one billion dollars hit from 12 00:00:35,920 --> 00:00:39,559 Speaker 3: trade volatility President Trump Tariff's one thing, but also the 13 00:00:39,600 --> 00:00:42,200 Speaker 3: loss of that key exemption for low value goods. Remember 14 00:00:42,240 --> 00:00:43,479 Speaker 3: that demnimous. 15 00:00:42,960 --> 00:00:43,760 Speaker 4: Rule to Minimus. 16 00:00:43,840 --> 00:00:46,120 Speaker 3: Yes, yes, yes, okay, So a big part of the 17 00:00:46,159 --> 00:00:50,280 Speaker 3: reduction to adjusted operating profit comes from lower shipments from 18 00:00:50,360 --> 00:00:53,479 Speaker 3: China to the US. The CFO put it out there, 19 00:00:53,479 --> 00:00:55,920 Speaker 3: he said about it three hundred million dollars due to 20 00:00:56,000 --> 00:00:59,240 Speaker 3: the higher cost of clearing goods through customs. So that 21 00:00:59,360 --> 00:01:01,760 Speaker 3: was the kind of netive side On the positive side, though, 22 00:01:01,800 --> 00:01:04,560 Speaker 3: they did reinstate their profit and sales forecasts. They said 23 00:01:04,600 --> 00:01:06,559 Speaker 3: revenue is going to grow by four to six percent 24 00:01:06,640 --> 00:01:10,520 Speaker 3: in the current fiscal year. So despite trade pressure, the 25 00:01:10,600 --> 00:01:12,759 Speaker 3: results were kind of enough to kind of boost those 26 00:01:12,760 --> 00:01:15,200 Speaker 3: shares a bit higher. Like I said, they are starting 27 00:01:15,240 --> 00:01:18,720 Speaker 3: to pair back up about one percent. But FedEx is 28 00:01:18,800 --> 00:01:21,160 Speaker 3: just like seen as this predictor where the large economy 29 00:01:21,200 --> 00:01:21,560 Speaker 3: is headed. 30 00:01:21,640 --> 00:01:23,720 Speaker 4: That's what they're seen as a billweather for Shure Weather 31 00:01:23,840 --> 00:01:28,240 Speaker 4: exactly exactly, just like Leonard Okay, for the housing market. 32 00:01:27,959 --> 00:01:30,240 Speaker 3: L e N as the ticker, their shares have been 33 00:01:30,280 --> 00:01:32,720 Speaker 3: down as much as three percent. So it's really the 34 00:01:32,800 --> 00:01:35,200 Speaker 3: sign of a challenging market for home builders. That's what 35 00:01:35,240 --> 00:01:38,000 Speaker 3: they showed. This was despite you had a recent drop 36 00:01:38,040 --> 00:01:41,360 Speaker 3: in mortgaget rates too, so this is kind of showing you, 37 00:01:41,360 --> 00:01:44,160 Speaker 3: you know, the forecast for quarterly home orders they missed 38 00:01:44,480 --> 00:01:49,240 Speaker 3: those estimates. Affordability concerns, unsteady job market, they say, that's 39 00:01:49,320 --> 00:01:52,440 Speaker 3: keeping buyers on the sidelines. Another thing they said builders 40 00:01:52,480 --> 00:01:55,680 Speaker 3: are facing a lot of competition. Also something the supply 41 00:01:55,720 --> 00:01:59,720 Speaker 3: of available resale homes they say have been growing, so 42 00:02:00,120 --> 00:02:02,240 Speaker 3: don't want as many new homes because they have the 43 00:02:02,280 --> 00:02:05,400 Speaker 3: resale ones and in some areas of the Sun Belt markets, 44 00:02:05,400 --> 00:02:08,280 Speaker 3: that's where builders are really busy. The prices are starting 45 00:02:08,320 --> 00:02:08,799 Speaker 3: to drop. 46 00:02:09,040 --> 00:02:11,160 Speaker 1: So those have heard that in Texas. I've heard that 47 00:02:11,240 --> 00:02:13,840 Speaker 1: in Florida. We had some folks. Somebody was in here, 48 00:02:14,240 --> 00:02:17,680 Speaker 1: Daniel D. Martino booth from She's down in Dallas, Texas. 49 00:02:17,680 --> 00:02:20,560 Speaker 1: She was saying, finally, finally, price it's starting to break 50 00:02:20,560 --> 00:02:22,240 Speaker 1: the little bit. Prices are starting the fall. 51 00:02:22,040 --> 00:02:24,840 Speaker 4: There places like Austin, right, which was red hot. 52 00:02:24,680 --> 00:02:27,560 Speaker 1: Yep, yep. In South Florida somebody. Yeah, but we've seen that. 53 00:02:27,600 --> 00:02:29,919 Speaker 1: I mean, that's just kind of the not boom and bus, 54 00:02:29,919 --> 00:02:31,440 Speaker 1: but it's just kind of the syclicality of the real 55 00:02:31,520 --> 00:02:31,960 Speaker 1: estate market. 56 00:02:32,000 --> 00:02:34,360 Speaker 4: I guess it's normalizing. It's normalizing just a. 57 00:02:34,360 --> 00:02:35,359 Speaker 2: Bit, all right. 58 00:02:35,480 --> 00:02:37,920 Speaker 3: And we have to bring out the Intel because it 59 00:02:37,960 --> 00:02:40,200 Speaker 3: was a big story yesterday, right Take her I INTC. 60 00:02:40,800 --> 00:02:43,040 Speaker 3: Yesterday they had a twenty three percent rally word of 61 00:02:43,160 --> 00:02:45,880 Speaker 3: n videos, you know, five billion dollar investment in the company. 62 00:02:46,160 --> 00:02:48,680 Speaker 3: So basically the two companies going to co develop chips 63 00:02:48,680 --> 00:02:51,799 Speaker 3: for PCs and data centers. But ahead of the bell, 64 00:02:51,840 --> 00:02:54,080 Speaker 3: their shares have been lower down about half a percent, 65 00:02:54,200 --> 00:02:56,720 Speaker 3: so the excitement may be starting to fade. You also 66 00:02:56,760 --> 00:02:59,959 Speaker 3: had City Group. They downgraded the stock to sell from 67 00:03:00,080 --> 00:03:02,280 Speaker 3: neutral and they pointed to a kind of their rich valuation. 68 00:03:02,400 --> 00:03:05,720 Speaker 3: So it's kind of a big difference from yesterday to today. 69 00:03:05,800 --> 00:03:07,519 Speaker 4: But you know what, guys at the government right made 70 00:03:07,520 --> 00:03:10,880 Speaker 4: that nearly ten billion dollar investment in Intel last month, 71 00:03:11,080 --> 00:03:14,200 Speaker 4: So based on yesterday's big stock rally, the government has 72 00:03:14,280 --> 00:03:18,440 Speaker 4: made about four billion dollars at least on payper Not 73 00:03:18,520 --> 00:03:21,120 Speaker 4: bad for a day's work, right, I'm too bad, And. 74 00:03:21,080 --> 00:03:22,720 Speaker 3: It's kind of like showing how that's a different world 75 00:03:22,720 --> 00:03:26,000 Speaker 3: out there. So Scholastic is the last one. It's taker 76 00:03:26,280 --> 00:03:29,760 Speaker 3: schl and their shoes really taken a hit down about 77 00:03:29,800 --> 00:03:32,600 Speaker 3: ten percent before the bell a wider loss last quarter. 78 00:03:33,360 --> 00:03:36,320 Speaker 3: So this is what we were talking about schools delaying, pulling 79 00:03:36,360 --> 00:03:39,120 Speaker 3: back on the purchases because they just don't know about 80 00:03:39,120 --> 00:03:42,360 Speaker 3: federal and state funding. That's really been in the headlines lately. 81 00:03:42,600 --> 00:03:45,520 Speaker 3: So you had their Education solutions revenue, it dropped about 82 00:03:45,520 --> 00:03:47,840 Speaker 3: twenty eight percent. I didn't realize there were so many 83 00:03:47,880 --> 00:03:51,120 Speaker 3: areas to Scholastic, Like you have the book publishing distribution. 84 00:03:51,200 --> 00:03:54,600 Speaker 3: That revenue rose, book fairs revenue climbed, but you had 85 00:03:54,600 --> 00:03:58,160 Speaker 3: book club's revenue that fell and their entertainment revenue which 86 00:03:58,160 --> 00:04:00,480 Speaker 3: I didnt even think about that fell also because of 87 00:04:01,480 --> 00:04:02,400 Speaker 3: production delays. 88 00:04:03,240 --> 00:04:07,440 Speaker 2: The Stockmovers Report from Bloomberg Radio. 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