Speaker 1: Bloomberg Audio Studios, podcasts, radio News, The.
Speaker 2: Stock Movers Report, your roundup of companies making moves in
Speaker 2: the stock market. Harnessing the power of Bloomberg Data. Let's
Speaker 2: take a look at some stocks on the move today.
Speaker 1: I'm Tom Keen with Paul Sweeney and Bloomberg's Alexis Gastaffers.
Speaker 3: I thought it would be appropriate to start with Cracker
Speaker 3: Barrel since they're known for their big country breakfasts. We're
Speaker 3: sort of still in the breakfast time, right, Yep, it's
Speaker 3: almost nine am, all right, So Cracker Barrel in the
Speaker 3: news here ticker simple CBRL. It is up fifteen and
Speaker 3: a half percent, guys this morning. It is up forty
Speaker 3: three percent year to date. And really, what this story
Speaker 3: tells us, it's the recovery there at Cracker Barrel continues.
Speaker 3: Remember that customer backlash changed its logo, redesigned its restaurants,
Speaker 3: thought it was going modern, and consumers went, wait a minute,
Speaker 3: we love you because you're nostalgic and old timy. So
Speaker 3: they went back, and we're seeing things pick up now.
Speaker 3: Store traffic it is still falling, but declines have gotten
Speaker 3: less steep, So I guess that's good. News for the stock,
Speaker 3: and the chain did raise its full year revenue guidance.
Speaker 3: The company has since been focusing on improving its food,
Speaker 3: its service, and it's also I don't know if you've
Speaker 3: gone in one recently. I saw pictures of this online.
Speaker 3: They have this American heritage line for the country's two
Speaker 3: hundred and fifty your birthday. So I mean everything from
Speaker 3: you know, T shirts to the salt and pepper shakers,
Speaker 3: Route sixty six signs or selling like hotcakes.
Speaker 1: I haven't looked at a restaurant financial statement in a while. Oh,
Speaker 1: can we remind ourselves this is a tough business. It's
Speaker 1: a tough business. You're bringing in a dollar and you're
Speaker 1: hoping to make three or four cents, yep. And so
Speaker 1: it's all about volume. And so you've got your core
Speaker 1: customers make up the backbone of your of your restaurant,
Speaker 1: and for Crackerbow, the core goers are just okay, that's deep.
Speaker 2: We're addicted to Nvidia.
Speaker 1: No, I'm addicted to the biscuits and gravy there.
Speaker 2: To die for.
Speaker 3: But the margins are those restaurants for sure. All right,
Speaker 3: let's move on to a retailer now, and that would
Speaker 3: be Chewy the pet supply company, Tom, I think you
Speaker 3: are a big consumer there for your pets of the Chewy.
Speaker 3: The stock is down one and a half percent here
Speaker 3: pre market, and it has been a tough year for
Speaker 3: Chewy because the stock is down thirty eight percent year
Speaker 3: to date. Mixed quarterly results from the company, adjusted earnings
Speaker 3: coming in in line with estimates. Nets sales rose about
Speaker 3: eight percent, narrowly beating the street. The company did cut
Speaker 3: its full year sales outlook maintained its profit outlook. Some
Speaker 3: are saying that look, the stock could be down even
Speaker 3: more because Chewy avoided the worst case scenario. A couple
Speaker 3: of weeks ago, the CEO came out and said, you know,
Speaker 3: consumers are more stretched than ever entering the new year.
Speaker 3: So maybe it's a case of it's not great, but
Speaker 3: it could have been worse.
Speaker 1: And the income statement, I got five cents six cents
Speaker 1: on the dot. What's a tough living? Yeah, I just
Speaker 1: you know, you do your Chewy probably you know the food,
Speaker 1: the pads, the Chewy.
Speaker 3: Bones out it. Oh yeah, these items yeah.
Speaker 1: I mean the Chewy bones are the best.
Speaker 3: We's how you know that?
Speaker 1: The dollar?
Speaker 3: Yeah, that's rough stuff.
Speaker 1: Do you have another one I do.
Speaker 3: I do so several large trucking companies. I actually have
Speaker 3: two for one for you here. So I've got FedEx
Speaker 3: Freight and Old Dominion. They are coming under pressure. Amazon
Speaker 3: announced an expansion of its shipping service. It is called
Speaker 3: less than truckload services. That's when you carry shipments that
Speaker 3: are larger than parcels but smaller than full truckloads. And
Speaker 3: they're going to expand that business to any kind of
Speaker 3: destination across the country, from third party warehouses to retail partners.
Speaker 3: And that has the transportation industry all in a tizzy.
Speaker 3: This they first announced this, uh, like a couple of
Speaker 3: weeks ago. UPS was hurt because of it, third party
Speaker 3: logistics firms like C. H. Robinson, and now we're seeing
Speaker 3: FedEx Freight and Old Dominion sell off. By the way,
Speaker 3: FedEx Freight was spun off from FedEx just a few
Speaker 3: weeks ago.
Speaker 1: I worked on the IPO of Old Dominion Freightlines and
Speaker 1: nineteen ninety one as a senior banker. How about that.
Speaker 1: I still may have the model for it, if I
Speaker 1: can take it down on a floppy disk.
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