WEBVTT - Amazon, Coinbase Drop; Tapestry Rises

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>I'm Carol Messer along with Tim Stenevik. Let's get to

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<v Speaker 3>some stocks on the move this past week. For that,

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<v Speaker 3>we're joined by Bloomberg News crossasset reporter Emily Garfeo joining

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<v Speaker 3>us here in studio.

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<v Speaker 2>Where should we begin?

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<v Speaker 3>This has been an interesting week.

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<v Speaker 4>This has been a really interesting week, And I guess

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<v Speaker 4>we'll start with Amazon because obviously tech was in focus

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<v Speaker 4>this week, a lot of volatility. Amazon specifically was down

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<v Speaker 4>for the last four straight trading sessions. It finished the

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<v Speaker 4>week down twelve percent, and then today the company announced

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<v Speaker 4>plans to spend two hundred billion dollars this year on

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<v Speaker 4>data centers, chips, and other equipment. And like we've seen

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<v Speaker 4>with other companies Microsoft and Alphabet in recent days, these

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<v Speaker 4>companies that are now saying we're going to spend a

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<v Speaker 4>lot on AI. Before investors were cheering that, and now

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<v Speaker 4>we're seeing equity investors not liking that news, bringing up

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<v Speaker 4>the fact that when are we going to see a

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<v Speaker 4>return on this spending. But really interesting to watch because

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<v Speaker 4>the markets did end you know, hire today, but Amazon

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<v Speaker 4>did not recover. It closed down Friday, was down almost

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<v Speaker 4>six percent just on Friday alone, but then again closing

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<v Speaker 4>twelve percent down on the week.

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<v Speaker 1>Andy Jasse, the CEO of Amazon, he's very optimistic, right,

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<v Speaker 1>he says that most of that spending will be for

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<v Speaker 1>AI workloads. He's remember he's the guy behind AWS their cloud. Yeah,

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<v Speaker 1>the cloud. I mean, that's that's why he got this

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<v Speaker 1>job and running the whole company. But like you said,

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<v Speaker 1>investors want to know when when they're going to start

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<v Speaker 1>seeing the payot. One hundred and forty one billion dollars

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<v Speaker 1>is what analysts thought, Yeah, it would be right, sixty billion.

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<v Speaker 2>But I feel like so.

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<v Speaker 3>Much the commentary that we've heard, even Mark Mahiney, like,

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<v Speaker 3>these people are spending because they have to spend big,

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<v Speaker 3>right the demand is there, and so if they don't,

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<v Speaker 3>you know, you risk potentially falling behind. Right in this

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<v Speaker 3>AI kind of arms race, I don't even know if

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<v Speaker 3>you could.

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<v Speaker 2>Call it that.

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<v Speaker 3>But let's get to Tapestry. So we go from something

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<v Speaker 3>you know, lot of tech AI two leather good.

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<v Speaker 4>Yeah, something rooted in reality, something we can touch and

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<v Speaker 4>feel a leather bag. So Tapestry is the parent of Coach.

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<v Speaker 4>This is Tacker. TPR was up nineteen percent on the week,

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<v Speaker 4>one of the best performers in the S and P

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<v Speaker 4>five hundred, and they adjusted their earnings per share guidance

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<v Speaker 4>for the full year. Net sales were up fourteen percent

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<v Speaker 4>year every year. In their recent earnings, the company also

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<v Speaker 4>said they acquired three point seven million new customers globally

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<v Speaker 4>in the second quarter.

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<v Speaker 3>Wow.

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<v Speaker 4>We had a great piece at Bloomberg News about how

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<v Speaker 4>gen Z this was a couple months ago, but like

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<v Speaker 4>gen Z is really into coach bags. They've had quite

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<v Speaker 4>a Y two K revival, so people want to buy

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<v Speaker 4>these do.

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<v Speaker 1>We often hear of apparel companies or fashion companies talking

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<v Speaker 1>about number of customers they've acquired, Like, I don't know,

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<v Speaker 1>you know what that sounds. It sounds very tech like.

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<v Speaker 4>I mean, you know it was in the additional comments

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<v Speaker 4>from the seat from the company. It wasn't like it's

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<v Speaker 4>a metric.

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<v Speaker 1>To hear from a company like this, because it's very like,

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<v Speaker 1>does it mean they're they're filling out? You know, when

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<v Speaker 1>you go to a website to do some online shopping,

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<v Speaker 1>you're like Okay, get fifteen percent off, put in your

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<v Speaker 1>your email. And then you put in your email, They're like, oh,

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<v Speaker 1>actually you need to put in your phone number two.

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<v Speaker 3>And then I'm like, I do think companies are increasingly tracking.

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<v Speaker 3>Is this a return customer? Is this a new customer?

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<v Speaker 3>Is this a new demographic that we're reaching. I do think.

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<v Speaker 3>I mean, listen, they're collecting so much data on us.

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<v Speaker 3>It's like crazy, we should get free stuff all this

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<v Speaker 3>information that they're getting. All right, So that was an

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<v Speaker 3>interesting one. Let's go to Coinbase.

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<v Speaker 4>Okay, finally, Coinbase ticker coin it was down fifteen percent

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<v Speaker 4>on the week. We did see a little bit of

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<v Speaker 4>a recovery at least on Friday, but I mean, this

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<v Speaker 4>is a cryptocurrency exchange, so it's very tied to what

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<v Speaker 4>crypto markets are doing. It was falling for like three

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<v Speaker 4>straight weeks almost. It was up thirteen percent on Friday,

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<v Speaker 4>but still down fifteen percent on the week. Coinbase has

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<v Speaker 4>earnings next week, so a lot of focus there on

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<v Speaker 4>just how much of the crypto what we call a

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<v Speaker 4>crypto winter, the crypto downturn, is going to impact Coinbase.

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<v Speaker 4>The analysts are expecting that they'll have their first revenue

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<v Speaker 4>drop since twenty twenty three. It's been rough for crypto again.

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<v Speaker 4>There was a little bit of a rally on Friday,

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<v Speaker 4>but right now bitcoin is down about forty five percent

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<v Speaker 4>from its peak, nearly erasing all of the losses since

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<v Speaker 4>Trump was elected. He was really supposed to support this industry,

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<v Speaker 4>and it seemed like he was really good for prices

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<v Speaker 4>at first, but in recent weeks we've seen that rapidly,

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<v Speaker 4>rapidly change.

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<v Speaker 3>What a wild trade this week. I want to throw

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<v Speaker 3>one in if I can. Hymns and Hers Health, which

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<v Speaker 3>is actually down fifteen percent for the week overall, but

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<v Speaker 3>what we're seeing right now in the aftermarket is a

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<v Speaker 3>dip lower down about nine percent. Some headlines crossed after

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<v Speaker 3>the close today. FDA taking action to combat copycat weight

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<v Speaker 3>loss drugs, so citing Hymns and Hers and other compounding pharmacies.

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<v Speaker 3>And the FDA to combat misleading direct to consumer advertising,

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<v Speaker 3>so again taking some action versus non FDA approved GLP

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<v Speaker 3>one drugs. Yeah.

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<v Speaker 1>Novo Nordisk warned this week that Hymns and Hers compounded

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<v Speaker 1>someemglitude pill, some glue tide pill excuse me, could post

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<v Speaker 1>patients safety risk. Hyms and Hurst confirmed it would enable

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<v Speaker 1>providers to prescribe the needle free weight loss option to

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<v Speaker 1>its specialty telehealth platform on Thursday. You know, I was

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<v Speaker 1>surprised to hear the news earlier this week that YMS

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<v Speaker 1>and hers would be doing this because.

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<v Speaker 3>We know that bought this question up as soon as

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<v Speaker 3>you heard it.

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<v Speaker 1>Because there's not a shortage anymore. So you can't compound

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<v Speaker 1>medicines that are patented anymore. Qurey FDA regulations because there's

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<v Speaker 1>not If there's not a shortage, all right, you can

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<v Speaker 1>do it. If there's a shortage, it's a loophole.

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<v Speaker 3>So it was already down on the week, but taking

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<v Speaker 3>another leg down aftermarket. Thank you so much.

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<v Speaker 4>Thank you.

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<v Speaker 3>I've been a busy week. Have a good weekend this week.

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<v Speaker 2>The Stockmovers report from Bloomberg Radio. Check back with us

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