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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 stocks on the move today. I'm Nathan Hager, joined by Bloomberg's Valerie Titel, keeping an eye on Warner Brothers, Discovery and Netflix this morning, because along with Wall Street, here's President Trump is keeping an eye on those stocks as well.
Good morning, Valerie, Hey, Good morning Nathan.
Yes, President Trump over the weekend saying that the amount of market share the combined Netflix Warner Brothers Discovery entity could have could be a problem when it comes to regulatory approval. So we're seeing the shares of Netflix and Warner Brothers reverse just a little bit of the move that they had on Friday. Netflix is higher by one point three percent, Warner Brothers is down just less than one. Now this can all really come down to, Nathan, how
the regulators define the streaming market. A combined entity of Warner Brothers, Discovery, which includes HBO, Max and Netflix, would have around four hundred and fifty streaming users, which is nearly half of the traditional streaming market. But if you include the likes of YouTube other short form video content since is TikTok, you get a really different picture of the market in which Netflix could argue that it doesn't
give it a dominant stance. But all that being said that this is going to face a lengthy Justice Department review. Even the European Union might get involved. So again, this deal is a bit on shaky footing this morning. If you look at how the odds on polymarket have changed, they were around sixty percent on Friday and they've now dropped all the way down to twenty three percent of a chance of this Netflix Warner Brothers deal closing by the end of twenty twenty six.
Wow.
Yeah, big move there, And I imagine we're going to see some pretty big moves in the Magnificent seven stocks now that we've got this pretty interesting call from Ed yard Anny of yard Denny Research.
Well, the big underperformer this morning is Tesla on one point six percent, and as you mentioned, it does come after a Wall Street veteran Yar Denny saying that he's going underweight Max seven stocks versus the rest of the S and P five hundred. So we're seeing some of the mag seven stocks trade a bit softly to start this Monday. When it comes to Tesla, they were also
downgraded by Morgan Stanley to equal weight from overweight. The analysts there saying that a lot of the positive non auto catalysts have already been priced into the stock and they don't see a lot of upside here. So Tesla leading the losses for the Max seven this morning, down one and a half percent.
One of the biggest upside movers this morning is Confluent on some potential merger Monday news.
Merger Monday news as reported by The Wall Street Journal that IBM is in talks to acquire Confluent in a deal that could be valued around eleven billion dollars. So we're seeing shares of Confluent up twenty eight percent. Shares of IBM are just flat to the downside this morning, but it could be essentially the biggest acquisition that IBM has done in modern history if this does get announced.
It's all about its repositioning its business around AI. Confluence platform is used to manage data streams, which has become an increasingly important issue for companies looking to integrate their data into AI models. Whilstree Journal has been reporting that this deal could be announced as students today.
And speaking of repositioning Valerie, We've got a new stock to watch in the SMP five hundred this morning.
Yeah, SMP quarterly rebalancing of the index will include Carvana come the December twenty second rebound. So we're seeing shares of Carvana up nine percent on the back of this news. So it seems a bit unexpected at least by the market and does follow a strong performance by the used auto dealing company. So Carvana on the upside of nine percent, it's already gained around one hundred percent this year, so adding to a strong performance in twenty twenty five.
This stock mover's report from Bloomberg. 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.