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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 have a look at some of the stocks on the move today. Hey in Europe, I'm Caroline Hepkin. I'm joined by Bloomberg with border Chloe Malay. Good morning, Chloe. So we're thinking about the Usity Ran conflict, not quite in a hot war, but also no signs really of peace negotiations. And we're thinking about earnings estimates, estimate beating results for st micro Electronics. How have investors reacted there?
Very well?
So, yeah, as you mentioned, better outlook for the second quarter than expected for st micro, and this really shows that demand is picking up once again after this extended slowdown. So sc micro is quite an interesting chip maker because it is exposed somewhat to AI, but not only that, and it has actually a lot of exposure to other end markets, including the automotive and market, industrial personal electronics and market, and so all of that had seen a
little bit of weakness. Of course, if we think about the auto sector, which made up about around forty five percent of the revenue, last year with Tesla as one of the main customers.
That was a market that had been struggling for a little bit.
There was also the personal electronics segment, so Apple is also a main customer there.
That's a big one for st Micro.
Those sectors personal electronics and autos were really hit by tariffs and that had hurt demand in turn for st Micro. But today's results seem to confirm that things are getting back on track from some of those end markets. And st micro is also expanding its air exposure, so that has been a boost. It struck a deal to supply semiconductors to AWS for example, So you know, expectations are
very very high for all of those ship makers. But the big share jump that we saw today forest Micro and the reader cross that we've seen for the likes of Infinian for example, this really confirms that there is actually further to go in terms of that share performance, and it's quite reassuring for investors.
So that's a st Microelectronics. Meanwhile, Heineken not such a positive story.
Why not?
Yeah, Well, the crux of the issues that people don't drink beer as much as they used to really, so Heineken and its closest competitors, so AB and bev and Carsberg, they have all three of them have been dealing with the exact same problem, which is there's been a real slowdown in alcohol consumption across major markets, and today's results from Heineken really confirm that, with beer volumes falling more
than expected. And the problem for Heinigen, and what explains today share price for declining, is that it is actually taking the longest out of those two piers that have mentioned to turn around the business.
To last year, it's said that.
It would cut about seven percent of the workforce to kind of streamline operations get productivity back on track. But today's update seems to show that things are taking a little bit longer than expected.
And you know, if we add the.
Problem of this weaker consumer sentiment now because of that, it's higher energy costs that actually makes a turn around even harder.
So I think.
Maybe the one silver lining is that we do have the World Cup coming later this year, so that might just boost a little bit of the beer volumes.
Yeah, maybe, But there's also the issue around a prolonged wall, which threatens Heineken because that means higher energy prices for that business, although they're also very focus on emerging markets as well in terms of selling that bit. I can't say I know an awful lot about beer drinking, I must admit, But anyway, let's also think about Laurel's latest numbers. I mean, that was quite well received by markets this morning.
Yeah, very well received, a really great morning for Loreal.
Actually it reported very strong and moon for a haircare product, skincare fragrances as well. So that really suggests a rebound of recovery and we're seen as very encouraging where shares
getting a real big boost this morning. So Laurier has proven more resilient to kind of a broader consumer slowdown than some of its peers because it just has such a wide range of you know, it goes from really specialist skincare to very expensive soaps, then kind of mass market cheaper makeup as well, and so it is able to kind of better withstand as some of that slow down.
But the resilience of that global beauty market is interesting in the context of Unilever, for example, getting rid of its food assets and really really wanting to refocus on beauty. So it seems that it's a really lucrative market with young people getting more and more into skincare and aging
population also wanting better skincare. So there's a bit of optimism there for that market, and it really is in contrast with all of those other consumer names warning of all of the pain that there is to come because of the around more.
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, and on Applecarplay and Android Auto with the Bloomberg Business app.