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This is the closing bell on the stock movers report the company's making moves at the close of US trading with Carol Masser, Tim Stenovak, Romain Bostik, and Katie Greifel.
All right, so let's get to some of the individual gainers, if I may. Let's go to Paramount Skydance and Netflix. Definitely some outperformance. Paramount Skuyddance up almost twenty one percent guys today, and you have Netflix up about fourteen percent. Here we know Paramount clinching that deal finally for Warner Brothers Discovery out maneuvering Netflix after a month's long battle by Green to pay one hundred and eleven billion for
the legendary Hollywood studio. We should point out them renovering. Well, here's the deal. We could have a lot of conversations because Tim and I have talked about maybe Netflix was just really smart host.
Prize scholars that they didn't have yesterday.
Yeah, Netflix, right, they had, right.
But that's also interesting too because I mean, we didn't really talk about this happened while we were on air, because Ted Sarandos was at the White House and he did come out of the White House. Reporters asked him what happened? You like, I'm not doing any media, And then, of course a few minutes later we got the headlines
that they were moving on. But there's been a lot of speculation here about what Paramount is pain, whether it's too much, whether and a lot of jokes online saying the hey, maybe if Sarando's just waits a couple of years, he can actually maybe buy some of those assets at a fire sale when a Paramount, you know, maybe if Paramount doesn't execute on that.
Yeah, let's be conspiracy theorist for a moment. What if Netflix was all about just pushing up the price and increasing the cost of this deal and like the.
Cut of your jib there increasing the day. Where's your tinfoil hat? Is that down there on the balancee?
I mean, come on, like, I don't know.
All right, we're moving along.
It's been a great saga to watch. But anyway, Paramount and Netflix definitely outperforming in today's session. Let's go on over to Dell, number one gainer in the S and P five hundred, jumping by the most in two years, stock up about twenty one almost twenty two percent today, pretty much finishing at its highs of the session. This is after the company gave an outlook for sales of
its artificial intelligence servers that exceeded estimates. Definitely a sign of our best demand for machines helping fuel the AI data center build that company, by the way, saying it will generate about fifty billion dollars in AI server revenue in the current fiscal year which ends in January of twenty twenty seven, and investors liking what they heard from
that company. And then I got to mention Block take our xyz this one finishing up just shy of seventeen percent here, up the most in about two years, at least intra day after the company center was reducing its workforce by nearly half in a bet on AI.
Yes, mister boss, Oh no, but this is important before we move to Tim's decliners here, because I mean, obviously, if Block does pull this off, the idea that they have these efficiencies and are able to continue generating the same revenues and profits with a lot less, that's great.
But what does that mean for the economy If a company can look at their workforce and say we can get rid of forty percent of y'all at some point this is like, isn't this the AI gloom and doom that we all were all kind of dismissing a few months ago with regards to you know, how it's just going to kill all the jobs? And then what I mean, who's going to be left to buy these services? If nobody has.
Exactly who uses Square? If nobody has any money?
Yeah, spend thank you, Ted.
What if it's just over hiring, you know, just trying to co cost mister Dorsey, who some have questioned before in terms of his management.
That's what I'm saying, though, Carol, if you're own conspiracy theory a little bit adjacent. I mean, you're talking about a stock that's down how much from a twenty twenty one peek? Can you continue to expand headcount? It's easy to say, oh, well we're going to be more efficient. Okay, look in the mirror. Maybe you over hired by I don't know sixty percent.
You can come on anytime.
That still lost jobs.
I will say he did. He did address taking from.
The economy, right, but where are those people going?
But is it indicative of AI and what it's going to do in the future. I don't know, we don't know, or is this a very block specific Jack Dorsey story. I don't know.
We'll tell you in eighteen. I think that's what happens.
Yeah, what did our team say that you get to watch in terms of some of the business expansions and things that's done, whether or not we see the growth in those areas. If you don't, then maybe maybe it isn't just AI helping out here.
Okay, the jury is still out on that, but the conspiracy theories live on. Let's get to some of the decliners on the day today. Do you want to start with the banks? Look at this the KBW Bank Index falling close to five percent, financial firms grappling with signs that private credit issues are starting to emerge following a series of blows from the threat of AI. The KBW Bank Index earlier in the day fell as much as
six percent, all twenty three members sliding. To end the day, you have Goldman Sachs down seven point five percent, Morgan Stanley down six point one percent, Capital One down six percent, JP Morgan down one point nine percent, every member in the red today. Credit spreads also started widening. Wall Street back UK mortgage lender collapsed, adding to fear that banks could face rising defaults in the opaque world of a private.
And you saw the great story that we had about that letter that was circulating around Goldman Sacks asset management. The idea here that basically, you know, trying to reassure clients that what's happening right now, redemption rate, software exposure still relatively low and contained.
Yeah, we're going to be doing a deep dive. And I'm a little more on Blue Houl in a minute. Both James Crombie who edits credit Jenitor for credit in just a few minutes. So if you guys want to come over and join that conversation.
Well Bailey can come here.
Wow, thank you. Let's look at what happened to in video after yesterday's route post earnings on Wednesday, shares some Video today fell another four percent, this after a five point five percent decline, adding to the sell off. Today, the stock priced at less than twenty two times forward earnings, well below its five year average of thirty seven. Basically even with the S and P five hundred, it's multiple. So some people, at least according to that valuation, are
seeing this. Dare I say as of value right now, Investors are concerned that the hundreds of billions of dollars in spending pledged by AI developers will have to be scaled back, which would likely hit Nvidia's revenue heart. And finally, Blue Owl to finish out just a tough month for the company, shares on track for their biggest monthly decline in nearly four years. Shares fell today by six percent
Anxiety turbulence over the private credit industry. Concerns over the industry have mounted after Blue Owl halted redemptions in one of its funds and decided to sell some assets Telpay investors. That spark to drop in the firm's market value. Bluell shares down by six percent today.
I'm so fascinated by this story, and I'm fascinated by just how much all these other names are getting dragged down, like Goldman and KKR and Apollo and others. And they gets see the idea too. It's not even so much whether there truly is a crack going on underneath the surface. It's out the idea of transparency. And some of these
companies are more important their CEOs. They need to get out there and start talking about this, assuming that there is nothing to hide there, I do want to quickly they'll point out what we saw in the moving yields, because there was a bit of a flight to safety, not only here on this day, but quite frankly for the month as well. I mean, you take a look at that drop in yields. Of fact, this is actually the best month for treasuries on a price basis in
about a year. TLT up four percent. That's the main etf that tracks long dated bonds. Four percent gain right now for the month of February, and that's pretty much the gains for the years. That gives you a sense of just how much things have flipped and sentiment in the past month.
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