Big tech Jumps, Netflix Rise on Stock-Split

On this episode of Stock Movers:
- Apple (AAPL) projected a jump in sales over the holiday season after releasing new iPhones, with sales in the fiscal first quarter expected to rise by 10% to 12%. Revenue from greater China fell 3.6% to $14.5 billion last quarter, but Chief Executive Officer Tim Cook said he believes Apple will return to growth in the region during the current quarter.
- Amazon (AMZN) shares jumped 12% to $249.42 as the markets opened in New York on Friday, after the company posted robust cloud growth that reassured investors about its artificial intelligence investments. The company estimates that its shopping chatbot Rufus will help deliver an additional $10 billion in annual sales, and its call center product Connect is on track to pull in $1 billion in annualized revenue.
-Netflix (NFLX) shares rise as much as 3.7% in premarket trading on Friday after the streaming giant’s board approved a ten-for-one forward stock split to reset its share price to a range that will be more accessible to employees in its option program.

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Episode Transcript

Speaker 1 (00:02):
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. Let's get a check
on these equity markets and normal. Linda has more for us.
What are you watching, Nora.

Speaker 2 (00:21):
Well, we're looking at broader markets all gaining, but we
did see shares of Apple ticker AAPL flipping now into
the red. They were earlier up as much as two percent,
but we're now seeing them lagging a bit down about
two tents of a percent right now. So essentially the
company posted a strong holiday outlook, but they did talk
about a sales as the client in China, and we
know that's really been on the focus of a lot
of investors as we think about supply chain constraints and

(00:44):
we think about the rollout of their new iPhone, we're
thinking about demand there over in China, and so that
seems to be the clear overhang here for the company.
But of course you did see Wall Street trying to
really assess how they felt about this report, especially given
the fact that the forecasts here for the holiday season
seems to be quite robust.

Speaker 3 (01:01):
And again the people are concerned about a lack of
AI strategy, but maybe not that concerned. I don't know, Dan,
I've says, don't worry about it, right so I don't know.
They still make a ton of money from their iPhones,
so absolutely needs to be there right now. And the
services side of the business is just that prints money
as well, so there's no problem there whatsoever, so they'll
figure it out.

Speaker 2 (01:21):
Amazon well, of course, this one doing well. We're seeing
shares of Amazon soaring for their highest level on record here,
up as much as twelve percent, and this of course
is due to its cloud business at posted robust cloud growth.
This was really reassessed reassuring investors rather about the tens
of billions of dollars being spent, especially as we think
about the AI efforts and whether or not they're paying off.

(01:42):
If you think about the peers like Microsoft here, you
know they've really been in focus as to whether or
not they're able to keep up with a lot of
market leaders in this space in terms of this AI
race here. So you are seeing shares jumping right now,
especially as people are really feeling a bit more calmed
fears being a late right now about a potential AI bubble.

Speaker 1 (02:02):
All right, good stuff.

Speaker 3 (02:03):
And then we've got Netflix.

Speaker 2 (02:04):
Netflix. Of course, that's one continues to be in focus.
That's ticker in FLX. We're seeing shares rising up as
much as four percent. This is after ten for one
stock split that we still hear from the company. Of course,
we know the company was valued, you know, really really expensive,
up more than one thousand dollars. You know, when you
go to purchase one share. They're really trying to make
it more affordable and accessible for their employees and their

(02:26):
options program here. But we also know that we are
continuing to see news trickling in about the bid that
they have here for Warner Brothers Studio. Of course, we
did have Reuters reporting that Netflix is actively exploring a
bid for Warner Brothers Discovery. That would be big, that
would be.

Speaker 3 (02:40):
I don't do that, Yeah, primarily because they don't acquire
any stuff, right, they grow internally organically.

Speaker 2 (02:46):
Yeah, this is the juicy story.

Speaker 1 (02:47):
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