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.
Speaker 1: Let's take a look at some stocks on the move today.
Speaker 1: I'm Nathan Hager, joined by Bloomberg Stan Curtis starting us
Speaker 1: off with the biggest decliner in the early trade, Dan,
Speaker 1: why is super Micro sinking this morning? Good morning, Good.
Speaker 3: Morning, Nathan. Super Micro shares are down ten percent SMCI.
Speaker 3: And this is another AI company coming to market and
Speaker 3: looking to raise money. The AI Infrastructure Company is planning
Speaker 3: a seven billion dollar fundraising round using equity and equity
Speaker 3: linked financing. Five billions of that five billion of that
Speaker 3: will be an underwritten offering that is expected to price
Speaker 3: a day. The other two billion is an at the
Speaker 3: market program, so basically direct selling into the market, and
Speaker 3: that's starting no earlier than the third quarter. The company
Speaker 3: as thirty nine billion dollars in orders of orders of
Speaker 3: Nvidia powered servers. The proceeds would be used to help
Speaker 3: pay for the equipment needed, and this was one of
Speaker 3: the early winners of the AI trade. Share skyrocketed in
Speaker 3: early twenty twenty four, but they've now lost about two
Speaker 3: thirds of their value from that peak. They're facing competition
Speaker 3: from the likes of Dell and Hewlett Packard Enterprise on
Speaker 3: the server providing side, and this is the company raising
Speaker 3: money and trying to re establish itself back in the
Speaker 3: server game.
Speaker 1: Now maybe this is the other side of the coin.
Speaker 1: This morning, we're watching shares of Taiwan Semi sore today.
Speaker 3: Yeah, so Taiwan Semi, they were up in Korea, they're
Speaker 3: coming back in the pre market. On the ADR sticker.
Speaker 3: At TSM is down three percent in the pre market,
Speaker 3: and the Taiwan chipmaker report a thirty percent rise in
Speaker 3: monthly sales for May. But Bloomberg did the calculations and
Speaker 3: when we combined those sales with April, the sales data
Speaker 3: shows a twenty four percent rise from a year ago
Speaker 3: for the first two months of this quarter, and analysts
Speaker 3: are looking for a thirty five percent increase. While these
Speaker 3: are big numbers, they're not quite big enough to impress
Speaker 3: Wall Street. TSMC in general does remain bullish on ai
Speaker 3: chip demand, and it did raise its full year guidance
Speaker 3: in April, seeing a large drive from KAPEC spending and
Speaker 3: this pullback does come with ADRs up forty percent year
Speaker 3: to date, So a little bit of profit taking off
Speaker 3: of this news.
Speaker 1: Okay, well, a little bit more positivity, actually, I think
Speaker 1: we could probably say a lot more positivity this morning.
Speaker 1: Away from the tech trade. Cracker Barrel get in a
Speaker 1: bid this morning.
Speaker 3: Shares are up eight percent and we haven't had a
Speaker 3: chance to talk about this company. But it was a
Speaker 3: fun story to cover. It was right, It was an
Speaker 3: absolutely amazing story to cover. Even President Trump got involved.
Speaker 3: So for those of those who those of you who
Speaker 3: haven't been listening faithfully for months, and I'm sure that's
Speaker 3: very few people. Yeah, Cracker Barrel last year basically tried
Speaker 3: to rebrand its company. It moved away from its old
Speaker 3: timing aesthetic, tried to do a logo rebrand, and a
Speaker 3: lot of people rebuilt, including President Trump, who urged the
Speaker 3: company to change the logo back it eventually did. Now,
Speaker 3: Cracker Barrel is looking to embrace Americana. It launched an
Speaker 3: American heritage line that includes a shirt with eagles and fireworks.
Speaker 3: The company also has a collection tied to the two
Speaker 3: hundred and fifty fit two hundred and fiftieth aniverse Reviews
Speaker 3: and independence that the CEO said was selling out fast.
Speaker 3: Those shares are turning around eight percent. It's starting to
Speaker 3: show up in the earnings report, which the company released
Speaker 3: last night. Store traffic is still fading, but declines have
Speaker 3: gotten less steep, and the company is raising its full
Speaker 3: year sales guidance to around three point three billion dollars
Speaker 3: in that top Wall Street estimates.
Speaker 1: Okay, just time to give us a preview of Oracle
Speaker 1: earnings before we hear from them this afternoon. How are
Speaker 1: the stock doing this morning?
Speaker 3: Down three percent? And this is on the back of
Speaker 3: a general selloff, so three percent down in general tech
Speaker 3: is getting hard hit hard today. But you're right, Oracle
Speaker 3: is reporting after the bell. Wall Street is watching to
Speaker 3: see how quickly the company can get massive AI data
Speaker 3: centers built. Cloud infrastructure sales are projected to rise about
Speaker 3: ninety percent. That will be a key area to watch.
Speaker 3: The total cloud segment is expected to bring in ten
Speaker 3: billion dollars of the nearly seventeen billion dollars of sales
Speaker 3: expected for the quarter. This is going to be a
Speaker 3: read on how this AI infrastructure plays playing out.
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