WEBVTT - AMD Predicts Strong Sales Growth, Fedex Gains, CoreWeave Tumbles

0:00:02.520 --> 0:00:07.040
<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News.

0:00:08.560 --> 0:00:12.480
<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

0:00:12.480 --> 0:00:16.240
<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

0:00:17.200 --> 0:00:20.439
<v Speaker 3>I'm Tim Stanebeck along with Carol Masser. Let's take a

0:00:20.440 --> 0:00:24.119
<v Speaker 3>look at some stocks on the move today. We're joined

0:00:24.120 --> 0:00:27.880
<v Speaker 3>by Bloomberg News earning specialists Rachel Whoa she joins us

0:00:27.880 --> 0:00:31.639
<v Speaker 3>here in the studio, A and D a late mover

0:00:31.880 --> 0:00:32.720
<v Speaker 3>after hours.

0:00:32.960 --> 0:00:35.839
<v Speaker 4>Yeah, I think no one expected it, especially with Nvidio

0:00:36.360 --> 0:00:39.919
<v Speaker 4>kind of taking the spotlight earlier today. An AMD, you know,

0:00:40.400 --> 0:00:44.920
<v Speaker 4>clearly one of Nvidia's biggest A chips rivals. So I

0:00:44.920 --> 0:00:46.640
<v Speaker 4>think that the kind of the stock move kind of

0:00:46.680 --> 0:00:49.920
<v Speaker 4>came after the company says it expects annual revenue growth

0:00:49.960 --> 0:00:52.600
<v Speaker 4>to be more than thirty five percent on average over

0:00:52.640 --> 0:00:56.200
<v Speaker 4>the next three to five years. It's CEO Lisas who

0:00:56.280 --> 0:00:58.840
<v Speaker 4>was like speaking at a company event today, And I

0:00:58.880 --> 0:01:01.080
<v Speaker 4>think the numbers likely appe these fears that there's been

0:01:01.080 --> 0:01:03.640
<v Speaker 4>a lot of hype and froth over AI right now,

0:01:04.000 --> 0:01:06.520
<v Speaker 4>and you know, all the huge vending on new AI

0:01:06.560 --> 0:01:10.720
<v Speaker 4>computing systems can be sustained. But I guess those numbers,

0:01:11.240 --> 0:01:13.160
<v Speaker 4>you know, are making investors kind of happy.

0:01:13.440 --> 0:01:15.680
<v Speaker 1>Yeah, we definitely are seeing a movement of appum as

0:01:15.720 --> 0:01:19.200
<v Speaker 1>four percent here and I think some of the overall

0:01:19.360 --> 0:01:21.840
<v Speaker 1>data growth and you know, it just seems like that

0:01:21.920 --> 0:01:24.920
<v Speaker 1>AI trade like giving some support in a big way.

0:01:25.720 --> 0:01:28.039
<v Speaker 1>Fed x fd X is the ticker. What'd you find

0:01:28.040 --> 0:01:29.600
<v Speaker 1>out there? What did we see today?

0:01:29.720 --> 0:01:30.000
<v Speaker 2>Yeah?

0:01:30.040 --> 0:01:33.559
<v Speaker 4>So it's CFO was also speaking today and he said

0:01:33.600 --> 0:01:37.280
<v Speaker 4>that now it expects profits this quarter to improve from

0:01:37.280 --> 0:01:40.000
<v Speaker 4>a year ago. I think this kind of contrasting what

0:01:40.080 --> 0:01:43.920
<v Speaker 4>investors initially expected that it would be slightly worse than

0:01:44.000 --> 0:01:47.120
<v Speaker 4>last year. You know, they were concerned about we holiday season,

0:01:47.240 --> 0:01:50.240
<v Speaker 4>that tot taiffs would affect costs. And then also the

0:01:50.280 --> 0:01:52.600
<v Speaker 4>company will have to ground about four percent of its

0:01:52.600 --> 0:01:56.880
<v Speaker 4>fleet after the fatal ups crash last week. So clearly

0:01:56.880 --> 0:01:59.320
<v Speaker 4>the comments today are relieved to investors as well.

0:02:00.280 --> 0:02:02.280
<v Speaker 3>All right, Well back to AI a little bit. In

0:02:02.360 --> 0:02:04.320
<v Speaker 3>core Weave some big moves from Corewave today.

0:02:04.400 --> 0:02:06.600
<v Speaker 4>Yeah, so you know, it looks like it tumbled today

0:02:06.920 --> 0:02:10.080
<v Speaker 4>after it cut its annual sales forecast. I think this

0:02:10.160 --> 0:02:12.880
<v Speaker 4>kind of came after the company said that data centered

0:02:12.919 --> 0:02:16.120
<v Speaker 4>delay will hurt its fourth quarter results. You know, and

0:02:16.160 --> 0:02:19.320
<v Speaker 4>a company has been racing to expand its data centered network.

0:02:19.400 --> 0:02:21.320
<v Speaker 4>But I think this is a setback that kind of

0:02:21.320 --> 0:02:25.280
<v Speaker 4>shows the growing pains of scaling fast. With CEO also,

0:02:25.480 --> 0:02:28.040
<v Speaker 4>you know on Bloomberg TV earlier today, and you know,

0:02:28.120 --> 0:02:31.040
<v Speaker 4>he said that now it's trying to work to diversify

0:02:31.120 --> 0:02:34.280
<v Speaker 4>its suppliers to avoid kind of similar issues down the road.

0:02:35.440 --> 0:02:37.480
<v Speaker 4>And you know, we've seen the results that despite the delay,

0:02:37.520 --> 0:02:40.359
<v Speaker 4>you know, it's revenue backlog has nearly doubled from a

0:02:40.440 --> 0:02:43.280
<v Speaker 4>year ago, which you know, I think some investors are

0:02:43.320 --> 0:02:46.919
<v Speaker 4>he is assigned that demand for AI computing power remains strong.

0:02:47.240 --> 0:02:47.400
<v Speaker 2>Well.

0:02:47.440 --> 0:02:49.480
<v Speaker 1>Listen, we talked with our Man Deep saying about this

0:02:49.600 --> 0:02:53.360
<v Speaker 1>and Caroline Hide b Tech on BTV who had she

0:02:53.440 --> 0:02:55.639
<v Speaker 1>along with that Leedler spoke to the core Weave CEO,

0:02:55.760 --> 0:02:59.240
<v Speaker 1>but Man Deep saying specifically, right, the backlog is there

0:02:59.360 --> 0:03:03.000
<v Speaker 1>these companies that need the services of core Weave. I

0:03:03.040 --> 0:03:06.839
<v Speaker 1>mean they make these commitments, right, these contracts that they

0:03:07.280 --> 0:03:10.640
<v Speaker 1>need access in order for all the compute if you will,

0:03:10.680 --> 0:03:15.200
<v Speaker 1>that's required by a AI, and so the demand continues

0:03:15.240 --> 0:03:15.720
<v Speaker 1>to be there.

0:03:15.880 --> 0:03:18.040
<v Speaker 3>Yeah, I mean I just wonder, and this is a

0:03:18.120 --> 0:03:21.280
<v Speaker 3>question that we can talk about with Manteep of Blueberg Intelligence.

0:03:21.320 --> 0:03:24.280
<v Speaker 3>Man deep sing But what are the other companies that

0:03:24.320 --> 0:03:28.840
<v Speaker 3>could spring up, not in Corey's place, but could supplement

0:03:28.880 --> 0:03:31.080
<v Speaker 3>what Core We've offers. Went through a few of them today.

0:03:31.240 --> 0:03:33.440
<v Speaker 3>If Core We've does face these challenges. Yeah, and all

0:03:33.480 --> 0:03:35.840
<v Speaker 3>these companies are facing the challenges well. And we've gone.

0:03:35.680 --> 0:03:39.000
<v Speaker 1>From the hyperscalers right, and then you've got the neo

0:03:39.160 --> 0:03:41.440
<v Speaker 1>This are the traditional clouds, the big guys, the neo

0:03:41.520 --> 0:03:44.360
<v Speaker 1>cloud and it just keeps kind of broadening out, but

0:03:44.800 --> 0:03:46.680
<v Speaker 1>the demand continues to accelerate.

0:03:47.160 --> 0:03:49.960
<v Speaker 4>We time for one more hopefully sure, Okay, I mean

0:03:50.000 --> 0:03:52.400
<v Speaker 4>this is something close I guess close to home geographic y.

0:03:53.320 --> 0:03:55.840
<v Speaker 4>This is like a you know as a Solva's Asian

0:03:55.880 --> 0:03:58.840
<v Speaker 4>tech company that space in Singapore. It's known for its

0:03:58.880 --> 0:04:02.920
<v Speaker 4>gaming company. It's it's a digital finance but all ice

0:04:02.960 --> 0:04:06.680
<v Speaker 4>this quarter one shopping platforms Shoppy. A lot of people

0:04:06.760 --> 0:04:08.640
<v Speaker 4>in the region are kind of still buying things on

0:04:08.680 --> 0:04:11.520
<v Speaker 4>the apps, you know, but Shoppy is facing more and

0:04:11.560 --> 0:04:16.080
<v Speaker 4>more competition from TikTok Shop, Ali Baba's Lozada PDDs team

0:04:16.680 --> 0:04:19.320
<v Speaker 4>and you know, everyone's trying to get customers through you know,

0:04:19.360 --> 0:04:23.359
<v Speaker 4>promotions and discounts, cheap deliveries. So this has eaten into

0:04:23.400 --> 0:04:26.480
<v Speaker 4>profits and sees shares were down I Know after its

0:04:26.520 --> 0:04:28.080
<v Speaker 4>earnings missed estimates.

0:04:30.200 --> 0:04:34.200
<v Speaker 2>This stock Movers report from Bloomberg Radio. Check back with

0:04:34.279 --> 0:04:36.880
<v Speaker 2>us throughout the day for the latest roundup of companies

0:04:36.920 --> 0:04:40.040
<v Speaker 2>making news on Wall Street and for the latest market

0:04:40.080 --> 0:04:44.520
<v Speaker 2>moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube,

0:04:44.640 --> 0:04:48.120
<v Speaker 2>Bloomberg dot com, and on Applecarplay and Android Auto with

0:04:48.200 --> 0:04:49.679
<v Speaker 2>the Bloomberg Business app.