Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: The Stock Mover's Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: Let's take a look now, add some stocks making news
Speaker 3: in the week ahead. I'm Nathan Hager, joined by Bloomberg
Speaker 3: Markets Live Managing Editor Christine Aquino with more earnings on
Speaker 3: TEP this week starting Monday with Hymns and Hers Health.
Speaker 3: Weren't they going to beef with Nova Nordisk recently? Christine?
Speaker 3: How are things in telehealth these days?
Speaker 1: That beefough is a thing of the past because they're
Speaker 1: cooperating with each other now, right, And so that is
Speaker 1: one of the reasons why the likes of JP Morgan
Speaker 1: initiated a stock with an overweight rating because of that deal.
Speaker 1: So now before they had a beef and now they
Speaker 1: have a partnership. And so Hins and Hers will be
Speaker 1: selling wee govy on its platform. And JP Morgan is
Speaker 1: saying that that deal could mark a turning point and
Speaker 1: remove a significant legal overhang. So that bothes well for
Speaker 1: its earnings potentially, and you know, we have options of course,
Speaker 1: starting to price that potential move there, we could see
Speaker 1: it potentially a thirteen percent move in the share after
Speaker 1: the company reports earnings, and so if that is all
Speaker 1: fine and dandy, they meet or beat estimates, then that
Speaker 1: could be a thirteen percent share move higher, But otherwise
Speaker 1: it could be a thirteen percent share move lower. So
Speaker 1: we'll see about that.
Speaker 2: Yeah.
Speaker 3: Well, I mean, this stock has already been doing pretty
Speaker 3: well so far this year, has it it? I mean,
Speaker 3: where is the bar when it comes to what investors
Speaker 3: want to see from HIMS this time around?
Speaker 1: Yeah? I mean, of course, the demand for the GLP
Speaker 1: ones very much still sustaining the business model here, and
Speaker 1: I think the fact that you know, they are able
Speaker 1: to pivot because potentially you know, they're now in cooperation
Speaker 1: with Novo and so they're kind of turning themselves from
Speaker 1: a competitor into a retailer in that space, and so,
Speaker 1: you know, I think investors will want to see is
Speaker 1: that business model working, how much kind of gains could
Speaker 1: they expect from that sort of partnership. Is it something
Speaker 1: that could potentially also open up opportunities with other GLP
Speaker 1: one manufacturers and sellers in the market, right, And so, yeah,
Speaker 1: for Hymns and Hers, it's going to be a question
Speaker 1: of how well are they able to pivot after this
Speaker 1: initial legal setback.
Speaker 3: I guess we could call Hymns and her sort of
Speaker 3: tech adjacent, right, because this is going to be kind
Speaker 3: of a busy week for tech earnings overall. We're going
Speaker 3: to hear from Applied Materials on Thursday. This has been
Speaker 3: a pretty crazy quarter for chip makers. Where are we
Speaker 3: expecting chip equipment makers to stack well?
Speaker 1: Based on the movement in the Semiconductor is index that
Speaker 1: we've seen, I mean, I think it's all going to
Speaker 1: be positive, So potentially high expectations for the earnings for
Speaker 1: Applied Materials here, and you know the options data that
Speaker 1: we're seeing at the moment implying about a six percent move.
Speaker 1: After those results, we have seen a spate of analyst
Speaker 1: moves for the stock, ubs raising its price target to
Speaker 1: four hundred and eighty from four hundred and thirty previously,
Speaker 1: Seaport Global Securities giving Applied Materials on new by rating
Speaker 1: and a five hundred dollars price target. So it looks
Speaker 1: like a lot of expectations very positive, especially because of
Speaker 1: all the optimism that we've seen in the chip space
Speaker 1: and our own bloomering intelligence analysts weighing in as well,
Speaker 1: and they're looking for sales and fiscal second quarter finishing
Speaker 1: higher and also similar gains for operating profits. So it
Speaker 1: looks like there's going to be a lot of positivity
Speaker 1: baked in. We'll see if they can deliver on that.
Speaker 3: You could say that there's a lot of positivity baked
Speaker 3: in already. I mean, this stock is serious double digits
Speaker 3: on the year so far. Is it price to perfection?
Speaker 1: I mean, that is definitely the worry every time we
Speaker 1: see such big gains like these, Nathan, I mean, you
Speaker 1: always have the naysayers in the market right say that
Speaker 1: this can possibly keep going at nauseum. But just you know,
Speaker 1: if you look at kind of the plans of the
Speaker 1: biggest hyper scalers when it comes to their cap x right,
Speaker 1: the likes of your alphabets, your Amazon's, your Apples, it
Speaker 1: seems like there is never ending demand at the moment
Speaker 1: for any equipment, any infrastructure related to AI and the
Speaker 1: data center buildout, and so you know, in some ways
Speaker 1: it could be priced perfection, but it may be a
Speaker 1: while yet before we actually see that pullback in stock.
Speaker 3: Speaking of the AI build out, we are going to
Speaker 3: hear from another beneficiary of that phenomenon on Wednesday when
Speaker 3: Cisco Systems reports. What are we expecting from Cisco?
Speaker 1: Absolutely, Nathan, Well, you know, similarly positive things are blooming,
Speaker 1: intelligence analysts saying that they're focusing primarily on Cisco's optical
Speaker 1: and high capacity networking products and that has benefited from
Speaker 1: the AI infrastructure ramp up. As you've mentioned, the expectation
Speaker 1: is for that to keep benefiting from that, and specifically
Speaker 1: for Cisco, that could result in an increase to about
Speaker 1: five billion dollars and its AI order outlooks so not
Speaker 1: too shabby for the stock, and that's really helped shield
Speaker 1: it as well from the software pessimism that we've seen
Speaker 1: in the start of the year, right because they're very
Speaker 1: much levered to that build out that we've seen in
Speaker 1: Given the demand for anything related to that, both hardware
Speaker 1: and software, seems like it could be a positive season
Speaker 1: for Cisco once again.
Speaker 3: I guess one other question is whether Cisco is shielded
Speaker 3: from the hit we've seen from memory costs from so
Speaker 3: many of these companies that have reported so far.
Speaker 1: Yeah, absolutely, definitely something that investors are going to be
Speaker 1: watching out for. You know, how much of their margins
Speaker 1: are they going to be able to protect as costs
Speaker 1: rise in whether that a shortage is set to continue,
Speaker 1: Is there supply chain something that is relatively insulated from
Speaker 1: that dynamic, or is it something that they're going to
Speaker 1: have to contend with as well. So I'm sure the
Speaker 1: investors going to be looking out for any comments from
Speaker 1: the company from their CEO during the analysts call, for sure.
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