Alphabet Jumps; Meta and Microsoft Slide; Chipotle Dives

On this episode of Stock Movers:

- Alphabet (GOOG) shares are higher after reporting earnings yesterday. The Google parent reported third-quarter results that beat expectations. Analysts are especially positive on its cloud-computing business.

- Meta (META) shares are sliding after its earnings. The Facebook parent reported third-quarter results and gave an outlook. Analysts noted some concern over the company’s heavy spending.

- Microsoft (MSFT) shares are lower this morning also following earnings yesterday. Analysts are broadly positive on the report, especially growth in its Azure cloud-computing business, but said investor expectations were elevated. Microsoft along with fellow Magnificent 7 peers Alphabet and Meta racked up some $78 billion in capital expenditures last quarter — an 89% increase from a year earlier

- Chipotle (CMG) is diving in the premarket as it cut its full-year outlook for a third time this year as diners pulled back from eating out at the fast-casual chain. The company now sees sales for the full year slipping in the low-single digit range from a year earlier, and Chief Executive Officer Scott Boatwright said “The consumer slowdown is really affecting our business in a meaningful way."

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Episode Transcript

Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news.

Speaker 2 (00:08):
The Stock Movers Report, your roundup of companies making moves
in the stock market, harnessing the power of Bloomberg Data.

Speaker 1 (00:16):
Let's take a look at some stocks on the move today.

Speaker 2 (00:18):
I'm Nathan Hager, joined by Bloomberg's Credit Gupta on a
very busy earnings morning after a very busy earnings afternoon.

Speaker 1 (00:25):
Good morning Critty, Good morning Nathan. We got to start
off with the tech earnings.

Speaker 3 (00:28):
Here we are in the kind of the heat of it,
the eye of the storm, if you will. The biggest
moves to the upside are coming from the likes of Alphabet.

Speaker 1 (00:36):
You got to keep a eye on those Class C shares.

Speaker 3 (00:38):
Goog is your ticker, treating out two hundred and ninety
five dollars share higher by about seven point three percent
this morning. Alphabet coming in with a very strong beat
on their cloud unit, and.

Speaker 1 (00:48):
This is a very big deal.

Speaker 3 (00:49):
They are the number three player in a market that
is very much domuminated by Microsoft's Asia business and Amazon
Web services. So the fact that Alphabet is not only
growing but gaining markets is kind of a double win.
So the market really applauding that this morning two ninety
five is where we are goog Hire by seven percent.

Speaker 1 (01:09):
It is not all well though.

Speaker 3 (01:10):
In the tech sector you are seeing some major moves
to the downside. Meta, for example, was the big loser
this morning. Investors are getting a little worried about that spend.
We've been here before. We've seen Meta go all in
on the likes of the metaverse and weren't fully able
to execute it. There are worries now that we're seeing
the same thing happen when it comes to their posturing
around AI. M Eta is your ticker six hundred and

(01:32):
eighty nine dollars a share, down about eight point three
percent and dropping as we speak. Things not looking good
there either. Also seeing some weakness this morning in Microsoft
shares MSFT is your ticker five hundred and twenty nine
dollars a share, down a just shy of three percent.
It looks like they came out some pretty good numbers,
but this is what happens when you have an A

(01:54):
plus plus student. It looks like they just didn't deliver
to the same extent that the street wanted to. So
this morning down about two point three percent five twenty
nine for MSFT.

Speaker 1 (02:03):
I want to take a step away.

Speaker 3 (02:04):
From the tech space because we are seeing quite a
bit of earnings also weakness when it comes to those
consumer names. So Chipotle is the one that's really getting
beat this morning. They had their earnings after the bell yesterday,
thirty two dollars a share for CMG. It looks like
down get this, almost nineteen percent. They're really worried about
getting their consumer in cutting their outlook for the third
time this year, really talking about the pinch and the

(02:26):
disposable income that a lot of Americans are facing. A
different conversation when it comes to Starbucks SBUX. Is your
ticker down about three percent trading just I have eighty
two dollars a share.

Speaker 1 (02:37):
They've come back to the growth picture.

Speaker 3 (02:39):
They're saying strong international sales are helping push that market
up and push those their bottom line higher. But that
being said, it looks like there is still some weakness
baked into those shares. So keep an eye on the
consumer names Chipotle, Starbucks as well. Just because I'm on
a roll with the with the downers here where it
came out with their earnings this morning. M RK is
your ticker chairs down three percent this morning? Eighty three

(03:01):
dollars in change. They beat those revenue expectations, but they
are pushing towards a new pivot when it comes to
some of the new drugs in their portfolio, but the
market not necessarily liking what they see. Nathan, I'm gonna
end with some positivity if I can here Eli Lilly shares.

Speaker 1 (03:16):
They're excited about their new products.

Speaker 3 (03:18):
Hire by five and a half percent, Lly, boosting the
revenue forecast and beating their s.

Speaker 2 (03:25):
This stock mover's 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
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