1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:10,080 --> 00:00:13,520 Speaker 2: This is the closing bell on this stock movers report 3 00:00:13,760 --> 00:00:16,720 Speaker 2: the company's making moves at the close of US trading 4 00:00:16,880 --> 00:00:21,480 Speaker 2: with Carol Masser, Tim Stenebeck, Romain Bostik, and Katie Greifeler. 5 00:00:22,680 --> 00:00:26,920 Speaker 3: Remember, in an environment where consumers are focused on value, 6 00:00:26,960 --> 00:00:30,600 Speaker 3: that's exactly what McDonald's is leaning into and has been. 7 00:00:30,760 --> 00:00:35,040 Speaker 3: The company's chairman and CEO Chris Kemsinski saying that McDonald's 8 00:00:35,080 --> 00:00:38,239 Speaker 3: value leadership is working quote by listening to customers and 9 00:00:38,240 --> 00:00:40,880 Speaker 3: taking action, we have improved traffic and strengthened our value 10 00:00:40,880 --> 00:00:44,560 Speaker 3: and affordability scores. That focus helped increase global system wide 11 00:00:44,560 --> 00:00:47,520 Speaker 3: sales by eight percent, delivered strong comp sales growth across 12 00:00:47,520 --> 00:00:50,640 Speaker 3: all segments this quarter. The momentum we've built reinforces the 13 00:00:50,640 --> 00:00:53,120 Speaker 3: progress we've made with our strategy and has earned us 14 00:00:53,159 --> 00:00:55,400 Speaker 3: the right to look forward together as a system. 15 00:00:55,480 --> 00:00:58,360 Speaker 1: All right, So, just to rehash, we've got now McDonald's 16 00:00:58,360 --> 00:01:00,480 Speaker 1: bouncing around here but up about two point seven percent 17 00:01:00,520 --> 00:01:02,960 Speaker 1: here in the aftermarket again, US sales growing at the 18 00:01:02,960 --> 00:01:05,520 Speaker 1: fastest pace in more than two years in the fourth quarter. 19 00:01:06,080 --> 00:01:09,800 Speaker 1: Value meals continue to resonate with cost conscious diners companies 20 00:01:09,840 --> 00:01:13,360 Speaker 1: focus on affordability helped improve traffic in the fourth quarter. 21 00:01:13,480 --> 00:01:16,160 Speaker 1: Diners also spending more per visit in the United States 22 00:01:16,440 --> 00:01:20,120 Speaker 1: due to successful marketing promotions. That's the words of the company, 23 00:01:20,480 --> 00:01:22,760 Speaker 1: and so our team kind of doing some analysis. Red 24 00:01:22,760 --> 00:01:25,360 Speaker 1: Brown thank you so much at Bloomberg News, saying that 25 00:01:25,360 --> 00:01:28,600 Speaker 1: the results suggests that McDonald's gaining markets share as consumers 26 00:01:28,720 --> 00:01:31,720 Speaker 1: change their spending habits in response to higher costs, despite 27 00:01:31,720 --> 00:01:36,240 Speaker 1: its decline in operating margin that did miss Wall Street expectations. 28 00:01:36,240 --> 00:01:39,080 Speaker 1: Always keeping an eye on margins. All right, as we 29 00:01:39,120 --> 00:01:41,720 Speaker 1: watch for some more earnings, including Cisco to report after 30 00:01:41,760 --> 00:01:44,120 Speaker 1: the closing bell, let's go to some of the individual gainers. 31 00:01:44,360 --> 00:01:46,000 Speaker 1: This was the number one gainer in the S and 32 00:01:46,040 --> 00:01:49,160 Speaker 1: P five hundred. We're talking about Generak holdings, this one 33 00:01:49,240 --> 00:01:51,360 Speaker 1: finishing just off its highs of the day, but still 34 00:01:51,400 --> 00:01:54,000 Speaker 1: good enough for gain of about eighteen percent in the 35 00:01:54,040 --> 00:01:58,800 Speaker 1: Wednesday trade maker of Generators forecasting a twenty twenty six 36 00:01:58,920 --> 00:02:01,960 Speaker 1: ebit of margin range with the midpoint above Alics consensus. 37 00:02:02,240 --> 00:02:04,000 Speaker 1: We should point out that net sales for the fourth 38 00:02:04,080 --> 00:02:07,760 Speaker 1: quarter did miss analyst estimates, but Kibang coming out and 39 00:02:07,800 --> 00:02:10,240 Speaker 1: saying that they do expect shares to trade higher on 40 00:02:10,240 --> 00:02:13,960 Speaker 1: that twenty twenty six outlook and positive data center developments. 41 00:02:14,040 --> 00:02:16,359 Speaker 1: Keep in mind the stocks up about sixty percent year 42 00:02:16,400 --> 00:02:18,440 Speaker 1: to date, third best performer in the s and P 43 00:02:18,560 --> 00:02:21,160 Speaker 1: five hundred. Here in twenty twenty six, we caught up 44 00:02:21,160 --> 00:02:24,440 Speaker 1: with the company's CEO and they really entered big time 45 00:02:24,440 --> 00:02:27,880 Speaker 1: in the fourth quarter into the AI world, and that's 46 00:02:27,919 --> 00:02:31,440 Speaker 1: by offering up some large megawatt generators. So that is 47 00:02:31,480 --> 00:02:35,520 Speaker 1: a big play in big generator huh pun intended when 48 00:02:35,560 --> 00:02:38,040 Speaker 1: it comes to their financials going forward, So some good 49 00:02:38,040 --> 00:02:41,240 Speaker 1: stuff there. This is when we don't talk about tickers 50 00:02:41,360 --> 00:02:44,560 Speaker 1: s w Smurfitt, West Rock and that one finishing with 51 00:02:44,600 --> 00:02:47,200 Speaker 1: a gain of just shy of ten percent. Stock is 52 00:02:47,280 --> 00:02:49,880 Speaker 1: up about thirty percent year to date and again a 53 00:02:49,919 --> 00:02:53,520 Speaker 1: top gainer in the SMP five hundred, up the most 54 00:02:53,560 --> 00:02:56,360 Speaker 1: I think since around July of twenty twenty four, after 55 00:02:56,400 --> 00:02:59,560 Speaker 1: the packaging company reported adj justa ibita for the fourth 56 00:02:59,600 --> 00:03:03,600 Speaker 1: quarter that beat the average analyst estimate. So some outperformance there. 57 00:03:04,280 --> 00:03:07,720 Speaker 1: And one more Micron Technology great reader when it comes 58 00:03:07,760 --> 00:03:10,960 Speaker 1: to the semi space, up almost ten percent in today's session, 59 00:03:11,000 --> 00:03:13,400 Speaker 1: a top gainer in the Nasdaq one hundred. The company 60 00:03:13,440 --> 00:03:16,800 Speaker 1: CFO Mark Murphy assuring investors at the company is producing 61 00:03:17,120 --> 00:03:21,600 Speaker 1: it's new much prized HBM four memory chips in high volumes. 62 00:03:21,840 --> 00:03:24,799 Speaker 1: That product line is the leadst generation of Micron's high 63 00:03:24,840 --> 00:03:28,919 Speaker 1: bandwidth memory now being delivered to customers. Murphy coming out 64 00:03:28,919 --> 00:03:32,640 Speaker 1: saying this during a research event put on by Wolf Research, 65 00:03:33,200 --> 00:03:35,400 Speaker 1: and that stock is up about forty percent year to day. 66 00:03:35,440 --> 00:03:38,960 Speaker 3: Tim All right, Well, Cisco just crossing second quarter adjusted 67 00:03:39,000 --> 00:03:42,880 Speaker 3: earnings per share did beat estimates, second quarter adjusted gross margin, 68 00:03:42,920 --> 00:03:46,800 Speaker 3: coming in shy of estimates at sixty seven point five percent. 69 00:03:46,840 --> 00:03:49,200 Speaker 3: Second quarter services revenue. This is a look back three 70 00:03:49,240 --> 00:03:52,080 Speaker 3: point seven one per billion dollars. That beat estimate. Second 71 00:03:52,120 --> 00:03:56,280 Speaker 3: quarter adjusted EPs beat estimates at a dollar four. Second 72 00:03:56,320 --> 00:03:59,520 Speaker 3: quarter product revenue beat estimates at eleven point six four 73 00:03:59,640 --> 00:04:02,880 Speaker 3: billion dollars. Second quarter revenue all in coming in just 74 00:04:02,880 --> 00:04:05,680 Speaker 3: above estimates at fifteen point three billion dollars. Here's the 75 00:04:05,720 --> 00:04:09,600 Speaker 3: red headline, though, and it's the outlook. Cisco sees fiscal 76 00:04:09,640 --> 00:04:12,920 Speaker 3: You're adjusted earnings per share four dollars and thirteen cents 77 00:04:13,240 --> 00:04:15,920 Speaker 3: to four dollars and seventeen cents. The company saw four 78 00:04:15,960 --> 00:04:18,839 Speaker 3: dollars and eight cents to four dollars and fourteen cents 79 00:04:18,880 --> 00:04:21,839 Speaker 3: after hours, Scarlett Cisco shares hired by about one point 80 00:04:21,880 --> 00:04:22,480 Speaker 3: five percent. 81 00:04:22,600 --> 00:04:25,680 Speaker 4: Yeah, you gave the bottom line outlook from Cisco. Here's 82 00:04:25,720 --> 00:04:28,279 Speaker 4: the top line outlook from Cisco. Full your revenue sixty 83 00:04:28,320 --> 00:04:31,599 Speaker 4: one point two billion to sixty one point seven billion. 84 00:04:31,680 --> 00:04:35,440 Speaker 4: Previously it had seen sixty point two billion to sixty 85 00:04:35,520 --> 00:04:39,840 Speaker 4: one billion, so raising the range of its revenue forecast. 86 00:04:39,839 --> 00:04:41,760 Speaker 4: There you can see the stock currently up about one 87 00:04:41,760 --> 00:04:43,920 Speaker 4: point three percent at the moment, all the company boosting. 88 00:04:43,920 --> 00:04:46,000 Speaker 3: It's dived in two percent as well, to forty two 89 00:04:46,160 --> 00:04:48,960 Speaker 3: cents per share. Just a little preview for what we 90 00:04:48,960 --> 00:04:50,839 Speaker 3: got coming up in just a few minutes. Wou Jinho 91 00:04:51,120 --> 00:04:53,200 Speaker 3: is senior Hardware, a networking analyst. He's on set with 92 00:04:53,279 --> 00:04:55,400 Speaker 3: us right now. He's listening, he's looking at the Bloomberg. 93 00:04:55,440 --> 00:04:57,960 Speaker 3: He's taken notes for what we're going to be talking about. 94 00:04:58,320 --> 00:05:01,239 Speaker 3: Cisco shares hired by about one one point one percent 95 00:05:01,600 --> 00:05:03,760 Speaker 3: in the after hours. Let's go to some of the 96 00:05:03,839 --> 00:05:07,040 Speaker 3: decliners on the day. Will we potentially await more earnings 97 00:05:07,040 --> 00:05:10,240 Speaker 3: and analysis shares A Mattel look at this twenty five 98 00:05:10,279 --> 00:05:13,640 Speaker 3: percent to the downside. This is the biggest plunge going 99 00:05:13,680 --> 00:05:16,920 Speaker 3: back to nineteen ninety nine. Holiday results fell short of 100 00:05:16,920 --> 00:05:19,640 Speaker 3: analysts estimates. The company issued a twenty twenty six forecast 101 00:05:19,640 --> 00:05:22,640 Speaker 3: for lower profit. The stock was up six point one 102 00:05:22,680 --> 00:05:26,640 Speaker 3: percent through the year. For the close of regular trading yesterday, 103 00:05:27,360 --> 00:05:30,039 Speaker 3: fourth quarter earnings excluding some items total thirty nine cents 104 00:05:30,040 --> 00:05:32,440 Speaker 3: a share, that missed the fifty four cent average of 105 00:05:32,680 --> 00:05:36,000 Speaker 3: analysts estimates. The company said that shortfall in December sales 106 00:05:36,000 --> 00:05:39,799 Speaker 3: in the US that grew less than projected also shares 107 00:05:39,839 --> 00:05:44,799 Speaker 3: of Robinhood taking tumble today. The company announcing earnings yesterday 108 00:05:44,839 --> 00:05:47,120 Speaker 3: after the close. Shares felt today by eight point eight 109 00:05:47,200 --> 00:05:49,920 Speaker 3: percent lower fourth quarter profit due to sharp declines in 110 00:05:49,960 --> 00:05:54,240 Speaker 3: bitcoin and other cryptocurrencies. But vlad Tenev he said that 111 00:05:54,640 --> 00:05:57,200 Speaker 3: the companies at the beginning of a prediction market super 112 00:05:57,240 --> 00:06:00,560 Speaker 3: psychicly aims to expand into several new markets later this year. 113 00:06:00,600 --> 00:06:03,039 Speaker 3: I know you guys spoke with him a little about 114 00:06:03,040 --> 00:06:06,279 Speaker 3: an hour ago. What did he tell you didn't? Yeah, 115 00:06:06,279 --> 00:06:06,840 Speaker 3: what did he say? 116 00:06:06,960 --> 00:06:09,599 Speaker 5: Talk a lot about prediction markets and that super cycle. 117 00:06:09,640 --> 00:06:11,919 Speaker 5: We talked a bit about, you know, what kind of 118 00:06:11,960 --> 00:06:15,000 Speaker 5: returns their customers are actually seeing when it comes to 119 00:06:15,120 --> 00:06:16,160 Speaker 5: prediction monekets. 120 00:06:16,200 --> 00:06:17,960 Speaker 3: Did you say returns in prediction markets? 121 00:06:18,080 --> 00:06:19,120 Speaker 5: I did see you're talking. 122 00:06:18,920 --> 00:06:22,920 Speaker 3: About returns like we're talking about returns on a stock, right, 123 00:06:23,080 --> 00:06:24,719 Speaker 3: or when is that how we should be looking at 124 00:06:24,800 --> 00:06:25,800 Speaker 3: prediction markets. 125 00:06:25,920 --> 00:06:28,839 Speaker 5: Well, I'm not making that case, but I am talking about, 126 00:06:28,880 --> 00:06:31,240 Speaker 5: you know, whether or not people are seeing money when 127 00:06:31,240 --> 00:06:33,039 Speaker 5: they make bets on prediction markets or. 128 00:06:33,160 --> 00:06:34,400 Speaker 3: I heard the house always win. 129 00:06:34,320 --> 00:06:37,360 Speaker 5: A lot of market money. Well, you know that is 130 00:06:37,440 --> 00:06:40,560 Speaker 5: the sneaking suspicion out there, Tim, And certainly there's been 131 00:06:40,560 --> 00:06:44,440 Speaker 5: a lot of research, a lot of academic studies, and 132 00:06:44,440 --> 00:06:46,560 Speaker 5: also just a lot of concern about, you know, whether 133 00:06:46,600 --> 00:06:48,279 Speaker 5: people are getting their faces ripped off. 134 00:06:48,360 --> 00:06:50,240 Speaker 3: So yeah, I mean I think and Carol brought this 135 00:06:50,320 --> 00:06:52,000 Speaker 3: up a little early on our program. We were talking 136 00:06:52,040 --> 00:06:54,159 Speaker 3: about this the regulators out there, right, if you're a 137 00:06:54,160 --> 00:06:57,200 Speaker 3: sports gambling site or app, and you're regulated in a 138 00:06:57,200 --> 00:06:59,280 Speaker 3: different way than than one of these apps than like 139 00:06:59,320 --> 00:07:01,520 Speaker 3: a prediction market, it's up like, you know, we got 140 00:07:01,560 --> 00:07:05,520 Speaker 3: to potentially see some regulatory changes down the line, or 141 00:07:05,600 --> 00:07:08,520 Speaker 3: regulatory risk, I guess you could say. Finally, Shares of 142 00:07:08,640 --> 00:07:11,600 Speaker 3: Lift taking a hit today. The company fell after the 143 00:07:12,440 --> 00:07:14,720 Speaker 3: shares fell after the company issued a disappointing forecast at 144 00:07:14,720 --> 00:07:17,920 Speaker 3: miss Wall Street estimates down seventeen percent on the day. 145 00:07:17,960 --> 00:07:23,320 Speaker 2: Today the Stock Movers Report from Bloomberg Radio. Check back 146 00:07:23,360 --> 00:07:25,600 Speaker 2: with us throughout the day for the latest roundup of 147 00:07:25,640 --> 00:07:28,960 Speaker 2: companies making news on Wall Street and for the latest 148 00:07:28,960 --> 00:07:33,120 Speaker 2: market moving headlines. Listen to Bloomberg Radio Live, catch us 149 00:07:33,200 --> 00:07:36,920 Speaker 2: on YouTube, Bloomberg dot com, and on Applecarplay and Android 150 00:07:36,960 --> 00:07:38,960 Speaker 2: Auto with the Bloomberg Business App.