Bloomberg Audio Studios, podcasts, radio news, The Stock Movers Report, your roundup of companies making moves in the stock market harnessing the power of Bloomberg Data. Let's take a look at some of the stocks on the move today on Paul Swine alongside Norm Me.
Linda, We're joined by Bloomberg's John Tucker. John, what do you got for us tech standout this morning? You want to guess what it is? Yes, Alphabet reporting a surgeon demand for the cloud and artificial intelligence services for the quarter just handed. So that's pleasing investors. They sent their shares up, even as the company said that capital spending
for the year will be higher than expected. So third quarter sales, this is when you strip out the partner payouts, rose to eighty seven and a half billion dollars, the company's investing record amounts. Try to push progress in AI and infuse answers and assistance from the large language model that it has Gemini into some of the popular products, including search. So the company says capex for the year is going to be ninety one billion to ninety three
billion dollars. That's up from the eighty five billion of earlier estimates. And what seems to set it apart from Microsoft and Meta is that Alphabet was able to prove two investors that the spending on artificial intelligence is actually paying off.
And John just put that into context, ninety billion of capecs this year.
In twenty twenty one, they had twenty five billion in CAPEX. So just scramp up enormous investors they've been clamoring for this evidence. Revenue from products built on Google's generative AI models here it is, grew more than two hundred percent from a year earlier. So the investment in infrastructure research is really paying off at this point.
And we're releasing a divergent in divergence in terms of the equity market.
Trade right now shares a rule up about eight percent, but Meta town more than ten percent right now. Yeah, so I mean it's pretty stark. Let's move on to food. Mexican Grill you will see, Paul, they are on occasion that's falling, cutting the full year outlook for the third time this year. It appears that diners are pulling back from eating out in the fast casual food category. The burrito chain now sees sales for the full year slipping
into the low single digit range from a year earlier. Earlier, they projected that performance would be flat. By the way, in the third quarter, comp sales rising slightly, but it also fell short of Wall Street expectations. So the new CEO, Scott boat Royd, said, this was the analyst call. The consumer slowdown is really affecting our business in a meaningful way.
Chipotli has fallen about thirty four percent. This is the stock with a five point seven percent rise for a comparable consumer discussionary companies in the S and P five hundred restaurants struggling with consumer reluctance to spend for the restaurant holding Paul, are you getting a bowl or a burrito? Taco's chicken? Yeah, that's how I roll.
That's okay.
Yeah, I got to try the taco Starbucks. On the other hand, the CEO there used to be the CEO at Chipotle. He says, you know, things are looking up. The comparable sales broke a string of comparable sales declines at Starbucks. By the way, Uh, if you go to Chipotle enough times, you'll need some weight loss medication. And Paul's what's your what's your Starbucks order? It's like a double short Noka double on Saturdays. Have no idea.
I don't know either. Yeah.
Anyway, Novo nordis making an unsolicited bid for Metsarah and this has sparked a real heated battle with Pisor. They're both trying to get their hands on uh they were, Metsarah's weight loss drug in order to gain some of the lost ground in this booming, cut throat market. Novoe offering to buy the company for at least six and a half billion. We're trying to trump an earlier agreed upon deal with Pfizer. Met Sarah called the new offer superior to the previous one from Pfiser, which had actually
accepted just last month. Pfiser counters that Novo's attempt to derail the deal is reckless and an attempt to abuse its dominant market positions. Actually this morning making some what sounds like some legal arguments.
This stock Moover's report from Bloomberg Radio. Check back with us throughout the day for the latest roundup of companies making news on Wall Street and for the latest market moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube, Bloomberg dot com, and on Applecarplay, and Android Auto with the Bloomberg Business app.