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.
I'm Jim STENOVEEC along with Carol Master. Let's take a look at some stocks on the move today. Joining us now is Bloomberg News Equities reporter Alexandra Semenova. What do you see, hey, guys, So I have to start with Robin Hood.
Those shares are down about ten percent right now, so really ugly day for the company. This is after they reported lower fourth quarter profit and a big part of it was the route that we've seen in crypto markets, sharp declines in bitcoin and other tokens weighing on results. For the online brokerage, net income tumbled thirty four percent to six hundred and five million dollars or about sixty six cents a share. That was about two cents more
than the average analyst estimate. Total revenue, however, is the figure that missed Wall Street estimates, and revenue from crypto trading fell thirty eight percent. Obviously, with bitcoin down about fifty percent from its October high, and I know Vlad Tenev is going to be on the close later today, so we have three testing what he says, by the way, guys, Robin Hood is reminding us of the laws of physics
right now, what goes up must come down. Because to Zeke Fox about that, it was one of the hottest stocks last year, more than two hundred percent in twenty twenty five. It is now down some thirty percent year to date, so obviously the bar was really high going into these results aside from the crypto route. And also
something interesting is they spoke extensively about prediction markets. The CEO said that we're just at the beginning of a prediction market super cycle, so it's got to be interesting to say how now business grows.
I'm glad you mentioned that because I feel like that's one area of the of the business, or one area that Robin had hads that not every competitor has. Yeah, the question there's a lot of questions I think for regulators though, about Okay, what does it mean if you're doing prediction markets and it's actually sports betting.
If you're a gambling site, you're going to be like, well, wait a minute, we're regulated, you aren't, So I exactly I think this one is we got to keep an eye on it, but a lot to be determined. Hey, let's go to Nike and you're keeping a watch on that one.
I actually was taking a look, guys on Meta Platforms. I think that's worth mentioning today because Bill Ackman, his Pershing Square, said that they took a sizeable stake in the company. Everyone has been talking about how much capex is a concern for some of these hyperscalers, specifically Meta, but he said that investors are actually underestimating the long
term potential of these investments. He said that the money manager acquired a stake in Meta that amounts to about ten percent of its capital at the end of the year. So really strong testament of the confidence and metas ai endeavors here. And also there was some separate news today that Meta will spend more than ten billion dollars on
a data center campus in Lebanon, Indiana. You guys know, of course, they said that they expect to spend as much as one hundred and thirty five billion dollars this year.
Yeah, I think that's interesting. Is this a typical acman bet.
Not really right, So I think we've really seen him invest in some of these big tech companies ten percent.
That's a big kind of all in, not all in, but largely in on the trade. All right, Meta platform, forgive us or forgive me for mis quoting that Lululemon. What's going on here?
Yeah, so it is a bonus season and we're talking about bonuses at Lululemon, which apparently are going to come in below target. We had an amazing report out at Bloomberg today. There was audio of the conversation that they had internally saying that people won't get the bonuses that hopefully they're anticipating. The company's chief people and culture officers said that they are tied to global business results, which
obviously for Lulu Lemon haven't been that great. They've been struggling with competition from Alo Yoga, other newcomer, and obviously there was that story recently also that they had these get low leggings that were see through and they had to pull them off the market really quickly. So it's performance probably weighing on those bonuses.
Well.
The stock was down twenty five percent twenty twenty four. It was down forty six percent in twenty twenty five. There was recently management shakeup at the top. I don't know should this be surprising to people who compensation is.
It's called a bonus because you hit targets and you do well.
So I mean, company doesn't do well, then you're not going to get.
Pass Wall Street. They know about this right exactly in a big way. But it continues to struggle and find its way. Good stuff than as always, Thank you, thank you, pleasure to join you, always a pleasure to have you. Bloomberg News Equities reporter Alexandra Semenova joining us with Stock.
Movers, the Stock Movers 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, com, and on Apple CarPlay and Android Auto with the Bloomberg Business app. Mm hmm