1 00:00:02,520 --> 00:00:09,960 Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The Stock Movers Report, 2 00:00:10,280 --> 00:00:13,440 Speaker 1: your roundup of companies making moves in the stock market. 3 00:00:13,680 --> 00:00:17,560 Speaker 1: Harnessing the power of Bloomberg Data. Let's take a look 4 00:00:17,560 --> 00:00:19,720 Speaker 1: at some stocks on the move today. I'm Nathan Haker, 5 00:00:19,800 --> 00:00:23,560 Speaker 1: joined by Bloomberg's Dan Curtis on a very busy earnings morning. 6 00:00:23,600 --> 00:00:25,680 Speaker 1: But we got to talk about the health insurers, Dan, 7 00:00:25,760 --> 00:00:28,479 Speaker 1: because they are plunging pre market and they're not getting 8 00:00:28,560 --> 00:00:29,520 Speaker 1: much help from earnings either. 9 00:00:29,560 --> 00:00:33,880 Speaker 2: Good morning, Good morning. That's right, United Health, especially in 10 00:00:33,920 --> 00:00:37,120 Speaker 2: the headlines today. It's a bit of a two first 11 00:00:37,120 --> 00:00:39,400 Speaker 2: so let's break it down for you. First off, was 12 00:00:39,440 --> 00:00:43,400 Speaker 2: this morning we did get United Health earnings out, So 13 00:00:43,479 --> 00:00:46,120 Speaker 2: fourth quarter revenue was one hundred and thirteen billion dollars. 14 00:00:46,120 --> 00:00:48,760 Speaker 2: It was just shy of estimates. Big news is the 15 00:00:48,760 --> 00:00:52,440 Speaker 2: company's projecting a decline in revenue this year. Now that 16 00:00:52,479 --> 00:00:55,360 Speaker 2: would be the first time this company saw contraction since 17 00:00:55,440 --> 00:00:59,720 Speaker 2: nineteen eighty nine, So a really really really rare occurreage 18 00:00:59,760 --> 00:01:02,400 Speaker 2: for this company that's pushing shares down. They're down thirteen 19 00:01:02,440 --> 00:01:05,679 Speaker 2: percent right now in the pre market. Company did have 20 00:01:06,120 --> 00:01:09,080 Speaker 2: a few bright spots. Adjusted earnings for twenty twenty six 21 00:01:09,120 --> 00:01:12,360 Speaker 2: at seventeen seventy five a share was higher than estimates. 22 00:01:12,880 --> 00:01:16,080 Speaker 2: The company is reducing assets to navigate after to navigate 23 00:01:16,280 --> 00:01:19,480 Speaker 2: of changing regulations after it's built up for decades and decades, 24 00:01:19,640 --> 00:01:21,680 Speaker 2: and it's looking to the shed about two point eight 25 00:01:21,720 --> 00:01:24,360 Speaker 2: million members from its insurance business. So it looks like 26 00:01:24,440 --> 00:01:27,280 Speaker 2: it's a bit of a rebuilding year this year on 27 00:01:27,280 --> 00:01:32,160 Speaker 2: on that loss. And this comes after yesterday where all 28 00:01:32,240 --> 00:01:36,160 Speaker 2: the insurers got clobbered in post market after the US 29 00:01:36,319 --> 00:01:40,560 Speaker 2: proposed holding payment rates for private medicare basically flat. This 30 00:01:40,680 --> 00:01:43,760 Speaker 2: is a crucial rate that analysts were expecting to rise 31 00:01:43,840 --> 00:01:46,319 Speaker 2: up to six percent for this year. So basically that 32 00:01:46,440 --> 00:01:52,320 Speaker 2: means that for certain for premiums in private for premiums 33 00:01:52,400 --> 00:01:54,559 Speaker 2: for private medicare plans are going to be held flat. 34 00:01:54,600 --> 00:01:56,120 Speaker 2: The amount of money of the company gets in and 35 00:01:56,120 --> 00:01:59,040 Speaker 2: that's a mid rising costs. So that's really put weighing 36 00:01:59,040 --> 00:02:01,440 Speaker 2: down the whole industry. As I said, United Health down 37 00:02:01,480 --> 00:02:06,600 Speaker 2: thirteen percent, Humana down fifteen percent, CVS Health down nearly 38 00:02:06,680 --> 00:02:09,000 Speaker 2: twelve percent in the pre market, so the whole space 39 00:02:09,080 --> 00:02:11,480 Speaker 2: is down. In United Health has fallen even more after 40 00:02:11,480 --> 00:02:12,480 Speaker 2: the earnings came out. 41 00:02:12,480 --> 00:02:14,040 Speaker 1: All right, let's get to some more of the earnings 42 00:02:14,040 --> 00:02:16,040 Speaker 1: as well. We heard from General Motors and it seems 43 00:02:16,040 --> 00:02:18,520 Speaker 1: like investors have decided they like what they saw there. 44 00:02:19,320 --> 00:02:21,600 Speaker 2: Yeah, six billion dollars in the pocket is some good 45 00:02:21,639 --> 00:02:24,840 Speaker 2: news for the morning. And GM authorizes six billion dollars 46 00:02:24,880 --> 00:02:28,160 Speaker 2: share buyback, so those shares are up nearly five percent 47 00:02:28,240 --> 00:02:31,320 Speaker 2: in the pre market. The company also reported fourth quarter 48 00:02:31,360 --> 00:02:33,960 Speaker 2: earnings of two dollars and fifty one cents a share 49 00:02:34,080 --> 00:02:37,959 Speaker 2: that topped estimates. It has strong guidance for the year. 50 00:02:37,960 --> 00:02:41,240 Speaker 2: It sees earnings before interest in taxes called EBIT at 51 00:02:41,240 --> 00:02:44,160 Speaker 2: thirteen to fifteen billion dollars for this year, which would 52 00:02:44,160 --> 00:02:46,880 Speaker 2: be a two billion growth from last year. And a 53 00:02:46,919 --> 00:02:49,720 Speaker 2: lot of this guidance is coming from selling larger trucks 54 00:02:49,720 --> 00:02:52,680 Speaker 2: and SUVs, which is more profitable for the company, and 55 00:02:52,720 --> 00:02:55,639 Speaker 2: also fury evs, which tends to weigh on earnings a 56 00:02:55,639 --> 00:02:57,480 Speaker 2: little bit more. They don't make quite so much money 57 00:02:57,480 --> 00:02:59,799 Speaker 2: off of those, so some regulatory shifts from the White 58 00:02:59,800 --> 00:03:03,080 Speaker 2: House benefiting GM, so some good news on that. 59 00:03:03,560 --> 00:03:06,960 Speaker 1: Speaking of trucks, some good news for ups trucks as well. 60 00:03:07,480 --> 00:03:11,280 Speaker 2: That's right, Big Brown came out. It beat fourth quarter 61 00:03:12,000 --> 00:03:14,639 Speaker 2: both top line and bottom line. That was aided by 62 00:03:14,639 --> 00:03:17,720 Speaker 2: domestic shipping, which accounts for over sixty percent of the 63 00:03:17,760 --> 00:03:20,680 Speaker 2: company's sales. The company has been cutting back on less 64 00:03:20,680 --> 00:03:24,400 Speaker 2: profitable segments. That's showing up. It made more money per package. 65 00:03:24,440 --> 00:03:28,800 Speaker 2: It shipped more packages than expected, so making more money overall, 66 00:03:28,840 --> 00:03:31,120 Speaker 2: which is always good news for the stock, and that's 67 00:03:31,320 --> 00:03:35,000 Speaker 2: aiding the stock three percent this morning. The company also 68 00:03:35,040 --> 00:03:38,720 Speaker 2: did come out with guidance for revenue of about ninety 69 00:03:38,760 --> 00:03:41,960 Speaker 2: billion dollars this year. That was more than expected, but 70 00:03:42,000 --> 00:03:44,800 Speaker 2: it's also another strong signal because it's the first year 71 00:03:44,840 --> 00:03:46,720 Speaker 2: it's provided full its first time in the year it's 72 00:03:46,720 --> 00:03:51,720 Speaker 2: provided full year guidance amid all the trade switches and 73 00:03:52,200 --> 00:03:54,400 Speaker 2: tariff regime changes over the last year. 74 00:03:55,240 --> 00:03:59,240 Speaker 1: This stock mover's report from Bloomberg Radio. 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