Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.
Speaker 2: The Stock Movers Report, your roundup of companies making moves
Speaker 2: in the stock market, harnessing the power of Bloomberg Data.
Speaker 3: I'm Jim Stenoveek with Carol Masser. We are joined by
Speaker 3: Bloomberg Television Markets correspondent Nora Melnda for some stocks on
Speaker 3: the move? What do you got, Noura?
Speaker 4: So we can't stop talking about Nike. That's what I've
Speaker 4: got in mind to start things off. Ticker ink e
Speaker 4: a brutal day for the company, down about sixteen percent
Speaker 4: if you look at the size and scope, the lowest
Speaker 4: level since October of twenty fourteen. So no great investors
Speaker 4: not really liking what came out of earning, so they
Speaker 4: said that they expect revenue to decline this quarter and
Speaker 4: through the rest of this year. But what we do
Speaker 4: know is we've been getting reporting that the CEO, Elliott Hill,
Speaker 4: was telling staff that he wants to shift from fixing
Speaker 4: the business to actually driving growth. So we do understand
Speaker 4: that he did breast some frustrations there. But I mean,
Speaker 4: I've also just been looking at the performance of the company,
Speaker 4: and we know that this has really been a company
Speaker 4: that's been really struggling to chart a turnaround story. The
Speaker 4: stock is not about thirty percent so far in twenty
Speaker 4: twenty six. But interestingly, Wall Street I was looking about
Speaker 4: fifty seven percent of the analysts still say to buy
Speaker 4: the stock. But you know, I think in terms of
Speaker 4: Wall Street in their perception today, at least they weren't
Speaker 4: too pleased.
Speaker 5: Wasn't it when the numbers crossed?
Speaker 1: They we didn't get the outlook right away right all
Speaker 1: this country, we were all just kind of waiting for
Speaker 1: a yeah, and then we get it. Weakness and greater
Speaker 1: China re fallowing Converse sales or among management's biggest challenges.
Speaker 1: China is a story we've been talking about for a
Speaker 1: while with Nike.
Speaker 5: See China.
Speaker 4: I did know I thought the Converse were timeless.
Speaker 5: No, I don't know. I don't really wear Converse. The
Speaker 5: daughter chick Taylor's right, Yeah, I guess so, I don't know.
Speaker 5: You know what's amazing?
Speaker 3: They're padding, aren't they what?
Speaker 4: I'm curious?
Speaker 5: Okay?
Speaker 3: Authentic? Well, we reported yesterday Lillie Meyer and Eliza Ronaldshannon
Speaker 3: that a potential suitor for Converse could be an Authentic
Speaker 3: Brands group. They've expressed interest in buying Converse if it's
Speaker 3: put up for sale. According to people familiar with the masters,
Speaker 3: can I just.
Speaker 1: Tell you often when I am on a subway or
Speaker 1: even this morning, I was walking through the platform, the
Speaker 1: subway platform, and I wanted to take a video as
Speaker 1: I walked along, because everybody has sneakers on. Yeah, everybody,
Speaker 1: and they're all different kinds of brands. It is such
Speaker 1: a crowded competitive field. And I know nice all birds
Speaker 1: right right, exactly, all Birds. I remember when they came
Speaker 1: out bottom bottom bottom, but I haven't bought them for
Speaker 1: years a minute.
Speaker 3: Right now, they're winding down after selling assets for thirty
Speaker 3: nine million dollars.
Speaker 1: The thing is Nike is iconic, and I'm not quite sure.
Speaker 1: Is it a bigger nut and harder to move?
Speaker 5: I don't know, I don't know.
Speaker 3: I just want to add one more thing. The interest
Speaker 3: is long standing. Nike so far hasn't engaged in discussions
Speaker 3: with the owner of Reeboking Champion, nor has Authentic made
Speaker 3: any official overture. According to the people who asked not
Speaker 3: to be identified because they weren't authorized to speak publicly about.
Speaker 1: The situation, I'm going to go back to the CFO
Speaker 1: saying they're going to be imagining costs carefully, so that's
Speaker 1: going to put pressure on everybody as they as they
Speaker 1: try to make things turn around.
Speaker 5: Sorry, we like this story too, it's interesting. Thank you,
Speaker 5: multiple chapters to unfold.
Speaker 4: Well, this is a going to name that ended in
Speaker 4: the green today and we can't share some of intel
Speaker 4: I INTC closing hired by about eight percent today. This
Speaker 4: is after the company agreed to pay about fourteen billion
Speaker 4: dollars to pay back half of a plant in Ireland
Speaker 4: that it had previously sold to Apollo Global so Da Davidson,
Speaker 4: the analyst over there, did say that they think that
Speaker 4: this move bodes well for the company's turnaround story. The
Speaker 4: deal will apparently be funded with cash on hand and
Speaker 4: roughly about six and a half billion dollars in new debt.
Speaker 4: So clearly Wall Street was happy with this, and you know,
Speaker 4: stock ending higher on the day. Sixty nine percent of
Speaker 4: analysts on Wall Street do say though, to hold the stock.
Speaker 4: We know that this company is up about thirty percent
Speaker 4: so far in twenty twenty six.
Speaker 1: Got to believe they're not going to do this unless
Speaker 1: they're upbeate about the outlook. Make that spend let's go
Speaker 1: on over to a couple of drugstocks.
Speaker 4: Yeah, I mean, whenever you're looking for news, I feel
Speaker 4: that you know your biotechs, your drug companies, healthcare, they're
Speaker 4: always moving. I'm looking at shares of e Take your
Speaker 4: l Y as well as Novo Nordis ADRs take your Vo.
Speaker 4: So we did see Eliley closing higher by about three percent.
Speaker 4: We do know that the FDA did approve the drug
Speaker 4: maker's obesity pill Fundio under the agency's National Priority Voucher
Speaker 4: Pilot program. We know what's kind of been a back
Speaker 4: and forth with these two companies. They're obviously always duking
Speaker 4: it out, I mean, but both of them really struggled
Speaker 4: this year. So it's really about which company is able
Speaker 4: to bring new things online that their investors can really
Speaker 4: sink their teeth into. And especially when we think about
Speaker 4: the fact that the OBCD space has been a really
Speaker 4: you know, buoyant, what popular industry as of late, this
Speaker 4: is where they really want to lean into. But both
Speaker 4: stocks are down so far this year. Ellllly shares down
Speaker 4: by about eleven percent and Novo Nordius ADR is down
Speaker 4: by twenty eight percent in twenty twenty.
Speaker 5: Six, big all right, good stuff.
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