WEBVTT - InPost Offer, Next Streak, Adidas Slumps

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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.

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<v Speaker 3>Let's take a look at some of the stocks on

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<v Speaker 3>the move today here in Europe. I'm Caroline Hepka with

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<v Speaker 3>Lizzie Burden and we joined by Bloomberg with Porta Cloma Ley.

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<v Speaker 3>Good morning. Impost heavily shorted, but now might have gotten

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<v Speaker 3>actually some positive mail.

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<v Speaker 1>Yeah, absolutely, it's a big move for Imposts today, which

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<v Speaker 1>is in the very exciting business of operating parcel lockers.

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<v Speaker 1>It said it had received an indicative proposal for a

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<v Speaker 1>potential acquisition of all the shares in the company. It

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<v Speaker 1>didn't disclose any detail on price or on who the

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<v Speaker 1>bidder is, but this was exciting enough to really get

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<v Speaker 1>the shares jumping this morning about twenty percent. So in Posts,

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<v Speaker 1>as you said, has been one of Europe's most heavily

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<v Speaker 1>shorted stocks and its shares fell about thirty seven percent

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<v Speaker 1>in twenty twenty five. But then yes, we had a

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<v Speaker 1>big boost in the share price, but eleven percent boost

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<v Speaker 1>because which was seen as a sign that short sellers

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<v Speaker 1>were closing out some of those bets, so it's been

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<v Speaker 1>a really busy start to the year for InPost, but

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<v Speaker 1>we'll be keeping an eye on developments with this potential deal.

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<v Speaker 1>As mentioned, we still have no detail on price and buyers,

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<v Speaker 1>so the market will be very interested in that once

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<v Speaker 1>we start getting some of those details.

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<v Speaker 3>And it seems like the UK retailer Next got it

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<v Speaker 3>got what it wanted for Christmas, Chloe.

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<v Speaker 1>Why yeah, absolutely, Next did quite well over Christmas, which

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<v Speaker 1>tells us something quite reassuring about the UK consumer, perhaps

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<v Speaker 1>given that Next is widely considered to be a bell

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<v Speaker 1>weather for the UK high street, so it boosted its

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<v Speaker 1>profit forecast for a fifth time this financial year. Is

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<v Speaker 1>said that seals were really strong over the holiday period,

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<v Speaker 1>and that also includes the UK, where growth was expected

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<v Speaker 1>to be much more muted than it actually ended up being. However,

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<v Speaker 1>there's always a butt with these things. A Christmas period

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<v Speaker 1>was strong, but that doesn't mean that the rest of

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<v Speaker 1>twenty twenty six will necessarily be the same. Next worn

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<v Speaker 1>that profit in sales would grow at a slower pace

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<v Speaker 1>in the year ahead, and that is primarily primarily primarily

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<v Speaker 1>because of rising unemployment. So of course, if we if

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<v Speaker 1>someone is unemployed. That means that that discretionary spending like

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<v Speaker 1>clothes is going to be the first thing that goes

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<v Speaker 1>out the window. So Next is usually quite cautious with

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<v Speaker 1>its guidance. That perhaps explains how I was able to

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<v Speaker 1>lift it five times this year. But it's worth keeping

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<v Speaker 1>in mind that cautious tone and not getting too excited

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<v Speaker 1>about the prospects for British retail in twenty twenty six.

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<v Speaker 3>Yeah interesting, Okay, So that from Next, which is one

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<v Speaker 3>of the big High Street Bell Weathers shoes come in

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<v Speaker 3>pairs and added us So do downgrades. What has happened?

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<v Speaker 1>Yeah, Tidas was double downgraded by a Bank of America.

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<v Speaker 1>The analysts have said that they expect lower growth for

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<v Speaker 1>the company going forward, also said that investor interest in

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<v Speaker 1>that sector was really starting to wane in some what

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<v Speaker 1>some ways say is quite harsh. They said that the

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<v Speaker 1>company's and up cycle was old news, so that maybe

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<v Speaker 1>seems to indicate that the company might not be able

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<v Speaker 1>to kind of always ride the wave of consumer enthusiasm

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<v Speaker 1>for its retro sneakers, which was really what I's been

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<v Speaker 1>driving the growth over the last couple of years. And

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<v Speaker 1>this comes just a few weeks after Nike, which is

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<v Speaker 1>obviously the most direct competitor, worn that sales would also

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<v Speaker 1>take a hit for them with a weakness in China

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<v Speaker 1>in particular. So it seems that across the board for

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<v Speaker 1>those spots where stocks there's maybe a lack of catalyst

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<v Speaker 1>going forward and some weakness that we need to take

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<v Speaker 1>into account.

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<v Speaker 3>Oh, I've fallen for the New year resolution. I bought

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<v Speaker 3>a new pair of trainers. You ladies are going to

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<v Speaker 3>have to keep me on target for actually using them.

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<v Speaker 2>You can never have enough shoes, Caroline. The Stock Movers

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<v Speaker 2>Report from Bloomberg Radio. Check back with us throughout the

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<v Speaker 2>day for the latest roundup of companies making news on

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<v Speaker 2>Wall Street and for the latest market moving headlines. Listen

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<v Speaker 3>Mm HM