WEBVTT - Verizon Earnings Preview; Domino’s Pizza Slides; Qualcomm Gains

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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 1>Let's take a look at some stocks on the move today.

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<v Speaker 1>I'm Nathan Hager, joined by Bloomberg's Dan Curtis, starting off

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<v Speaker 1>with some merger Monday news. I think we could say

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<v Speaker 1>in the pharma space, Dan, is that right?

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<v Speaker 3>Good morning, Good morning, Nathan. That's right. We have news

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<v Speaker 3>that Eli Lilly ticker Lly is buying Ajax Therapeutics. We're

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<v Speaker 3>up to two point three billion dollars in cash. That

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<v Speaker 3>has shares of Eli Lily up about two tenths of

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<v Speaker 3>a percent in pre market. Ajax Therapeutics is a private

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<v Speaker 3>company the deal has. The deal is for Ajax, which

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<v Speaker 3>has a treatment in phase one clinical trial which is

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<v Speaker 3>used to treat a group of rare blood cancers, and

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<v Speaker 3>proof of concept data behind this is expected later this year.

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<v Speaker 3>The details are still emerging, but it looks like it's

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<v Speaker 3>an upfront payment plus edition payments for clinical and regulatory

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<v Speaker 3>milestones that Ajax may hit. So that giving Eli Lilly

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<v Speaker 3>a little bit of a light pop early trading.

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<v Speaker 1>Okay, So along with the M and A news, We're

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<v Speaker 1>expecting a whole lot of news this week on the

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<v Speaker 1>earnings front. This morning we heard from Domino's Pizza. Did

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<v Speaker 1>they deliver Dan?

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<v Speaker 3>Well, they're cooling off in pre market, so now I

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<v Speaker 3>guess they missed their delivery target. First quarter top and

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<v Speaker 3>bottom line missed estimates. US same store sales growth was

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<v Speaker 3>zero point nine percent, with analysts expecting a two point

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<v Speaker 3>six percent expansion. That is weighing on shares trading under

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<v Speaker 3>ticker DPZ. Those are down four percent in the pre market.

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<v Speaker 3>International growth was also weak. It unexpectedly saw a fall

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<v Speaker 3>of zero point four expen zero point four percent. They

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<v Speaker 3>are looking for growth there. The CEO noted that the

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<v Speaker 3>pizza chain is facing an intensifying macro and competitive environment,

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<v Speaker 3>and we're waiting for details on guidance during the call.

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<v Speaker 3>Analysts expect Dominoes to cut its full year outlook as

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<v Speaker 3>it relies more heavily than rivals on lower income consumers

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<v Speaker 3>who are feeling the squeeze from the energy shocks.

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<v Speaker 1>Okay, well, one of the biggest gainers pre market is Qualcom.

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<v Speaker 1>What's going on with them?

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<v Speaker 3>Yeah, ticker q com is up over eleven percent in

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<v Speaker 3>the pre market. That's after a Business Standard report says

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<v Speaker 3>Open ai is reportedly collaborating with Media Tech and Qualcom

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<v Speaker 3>to develop an AI focused mobile phone. The report cites

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<v Speaker 3>TF international security analyst mingchi Quo. Qualcom would reportedly be

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<v Speaker 3>involved in making the processors for this phone, and quote

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<v Speaker 3>says that current phones are constrained by system level permission

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<v Speaker 3>by iPhone and Android. Basically, developing a phone would give

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<v Speaker 3>the AI system direct access without being restrained by the

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<v Speaker 3>phone maker's rule. So sounds like an aiphone is at

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<v Speaker 3>least being considered.

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<v Speaker 1>Oh wow, some so even more AI development here and

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<v Speaker 1>even bigger gain this morning for Oragonon. Is that how

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<v Speaker 1>you pronounce this one, Dan.

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<v Speaker 3>I'm saying Organon. Mom is from organ So that might

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<v Speaker 3>just be why the tickers ogn regardless of however you

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<v Speaker 3>say the company and name, and those shares are up

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<v Speaker 3>sixteen percent in pre market as Indian company Sun Pharmaceutical

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<v Speaker 3>is acquiring the women's healthcare company. The US company will

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<v Speaker 3>be bought for fourteen dollars per share in cash. That's

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<v Speaker 3>nearly a fourteen billion dollar deal, and that deal is

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<v Speaker 3>expected to close early next year. Organon's flagship products include

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<v Speaker 3>a contraceptive implant and a fertility stimulation drug, and the

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<v Speaker 3>news of this potential type was out a few weeks ago.

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<v Speaker 3>There's been some back and forth over the last few weeks,

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<v Speaker 3>so we finally have news that this deal is going forward.

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<v Speaker 1>Now you're closing us out here with a decliner. What's

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<v Speaker 1>behind the fall for ge Veranova this morning?

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<v Speaker 3>Yeah, perry By is downgrading the power equipment company to

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<v Speaker 3>neutral from buy. That has shares down about two percent

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<v Speaker 3>in pre market. The BNP perry Boss sees growth momentum

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<v Speaker 3>hard to sustain as ninety percent of turbine capacity is

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<v Speaker 3>already contracted through twenty thirty. In order to keep the

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<v Speaker 3>true directory, companies would have to book projects not yet

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<v Speaker 3>approved or backstop by power purchase agreement, so that far

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<v Speaker 3>out there's a little bit less see through it to

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<v Speaker 3>where the growth could come from. BNP Parabod does know

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<v Speaker 3>it's not a bear case though.

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<v Speaker 2>This Stockmovers report from Bloomberg Radio. Check back with us

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

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

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