Airline Stocks Post-Crash; GE Lower; Oracle AI Demand

On this episode of Stock Movers:
- Boeing (BA) shares are lower this morning as a Boeing 787 Dreamliner aircraft operated by Air India crashed shortly after taking off in Ahmedabad, with 242 passengers and crew on board, and no reports of survivors. The crash occurred in a residential area and is considered one of the worst accidents involving the 787 Dreamliner, with Indian Prime Minister Narendra Modi calling it "heartbreaking beyond words".
- General Electric (GE) shares are following Boeing lower on the plane crash in India. The Boeing plane that crashed was powered by two General Electric Co. GEnx engines. GE Aerospace said in a post on X that it is assembling an emergency response team to go to India to support the investigation.
- Oracle shares (ORCL) jumped today after the software company reported fourth-quarter results that beat expectations as demand for AI infrastructure remains strong. Analysts were especially positive on remaining performance obligations (RPO). The CEO said she sees “dramatically higher” revenue growth in fiscal 2026.

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Episode Transcript

Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news. The Stock Movers podcast,
your roundup of companies making moves in the stock market,
harnessing the power of Bloomberg data. It has become popular.

Speaker 2 (00:19):
It is a podcast Stock Movers. You see it a
number of times a day. No one does it better
than Lisa Matteo. Lisa, all right, we want to start
with Boeing. Their shares have been off as much as
seven percent. I mean, the news flow started just before
five o'clock Wall Street time this morning. One of it's
seven eighty seven Dreamliner aircraft. It was operated by Air India.
A crash shortly after taking off from Mddabad. It was

(00:41):
headed to London. But this really stands to be the
worst accident involving Boeing's Dreamliner. It's popular with airlines because
it's more fuel efficient, so airlines like having the Dreamliner. Yeah,
the plane. This is what I just found too. It
was powered by two General Electric engines. So now GE
shares are being affected, so their shares are down about
four percent.

Speaker 1 (01:02):
Seven has many engines, and I believe the seven eighty
seven is either GE or Rolls Royce.

Speaker 2 (01:07):
Yes, correct, So yeah, so this one was two ge
Engines and then Air India if you know it was
it's owned by Tata Group. It was Flight AI one
seventy one. No reports of survivors, but it really what
it's doing. It just extends kind of this series of
serious fatal incidents, you know, the civil aviation industry this year.
So you see this trickle down effect to other airlines.

(01:30):
For example American Airlines and Delta, their shares have been
off more than one percent this morning. United Airline shares
have been off as much as two percent. And then
with news like this, we also tend to look at
companies like Lockheed Martin, but their shares really haven't been
affected this morning. But Boeing shares, yes, have been off
as much as seven percent. From Boeing, we go to Oracle.

(01:51):
This is on the upside. Their shares have been up
as much as eight percent. The reason why strong demand
for AI infrastructure. The company said they projected cloud in
for such our sales are going to jump more than
seventy percent in the fiscal year. And it's really been known.
Oracle is known for its database software, but it's been
trying to become this major player in cloud computing, like

(02:11):
renting out computing power, storage, and we've seen like the
demand for data center capacity, right, I mean, Oracle is
jumping on it. The traditional injury giants like Amazon, they've
been stretched to the limits. So Oracle is finding its
spot here and it's signed customers. It has Elon musks xai,
it has meta platforms as some of their customers. And
if you remember even earlier this year, it had that

(02:33):
joint venture announced Stargate, right, so they're going to provide
open AI with this big, big, massive sums of computer power.
We should have a disclaimer that Oracle has been a
wonderful supporter or what we're doing.

Speaker 1 (02:43):
Yep, we thank them for that.

Speaker 2 (02:45):
What's your next? STU? Sure, I want to get to
gamesop because their shares have been taking a hit down
as much as eighteen we're not games up. People say
it's kind of like a mean stuff. I know, A
means I know, I know. But what the news here
is that they're planning to offer one point seventy five
billion dollars worth of convertible bond, So they plan to

(03:07):
use the proceeds from those zero coupon bonds for things
like potential acquisitions, making investments. But what gainstop really did.
They issued one and a half billion dollars worth of
CONVERTIBLEMB in March, and that was to fund bitcoin purchases,
So this is kind of a different angle to game Stop.

Speaker 1 (03:25):
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