Oracle Drops, Centene Rises, UPS Falls After Stock Downgrade

On this episode of Stock Movers:
- Oracle (ORCL) shares drop after a historic day. Oracle's stock surged to a record in a four-day stretch of gains; adding $89 billion to Larry Ellison's coffers in one day.
- Centene (CNC) shares rise after the health insurer gave positive views of its Medicare Star ratings and said it expects costs improvement in its Medicaid business.
- UPS (UPS) shares fall after the stock was cut to underperform at Bank of America citing the end of the de minimis exemption; BofA also cut Fedex to neutral from buy.

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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):
Christina Quino is here with our Stocks on the Move today. Christine,
you know about Pokemon. I know about Pokemon. I used
to go Pokemon hunting with the Pokemon Go app. It
was a great way to get a walk.

Speaker 2 (00:29):
All right, let's talk about the stocks on the move.

Speaker 1 (00:31):
We're gonna start with Oracle, which was a big mover yesterday.
Absolutely scarlets so thinking a bit of a breather today
Oracle o RCL shares her down more than three percent.
But let's put that into context, right, We did get
that record surge yesterday, up nearly thirty six percent. It
added eighty nine billion dollars to Larry Ellison's coffers in

(00:51):
one day, put him right about Elonos to be the
world's richest person. So not too shabby. Now. The thing
to really focus on, according to Bloomberg Intelligence, that the
dust is selling a little bit is really that backlog
order size four hundred and fifty five billion that exceeds
the orders for Microsoft Aws, Google Clouds, and it really
highlights that Oracle has positioned itself uniquely by focusing on

(01:16):
training AI training workloads rather than some of its arrivals.
We're focusing on provisioning clouds and so basically, you know,
it's focused on fine tuning lms with enterprise data. That's
what gives it the edge in capturing those training workloads
according to Bloomberg Intelligence, and potentially some longevity in the market.
You're also looking at seventeen what's going on there, absolutely

(01:37):
top performer today, so ticker CNC shares are currently up
more than twelve percent. And so the health insurer getting
some good news because it gave positive views of its
Medicare star ratings and it said that it expects costs
to improve in its Medicaid business. So remember right, the
Medicare system, it has a star rating system. The higher

(01:58):
stars you have for the plans that you provide, the
more incentives that you get from the government. That's basically
how it works. And so a lot of health insurance
want to be want to have customers up in those
higher rated plans so they can get more incentives. And
Scenting also reaffirming it's adjusted EPs forecast for the full
year one seventy five per share versus an estimate of
one sixty four. So also some good news there. I've

(02:20):
been caught many conversations with elderly people about how many
stars program has.

Speaker 2 (02:25):
They're very, very concerned about it. All right, let's talk
about UPS.

Speaker 1 (02:28):
UPS not doing too shabby. Today shares up four tens
of one percent, but earlier it was down more than
two percent, and that is because it was cut to
underperform a Bank of America and the analysts they are
assigning the end to the de Minimous exemption. So for
those who don't know demnimous, that was an exemption that

(02:48):
applied to small packages shipped directly to US consumers from
retailers abroad. If they were under a certain size, under
a certain value, they didn't need a customs declaration and duties.
That exemption ended at the end of August, and so
now a lot of analysts are thinking these will be
you know, shares like UPS FedEx also suffering. Will be
the ones that really suffer. Interestingly, it's not a widespread

(03:13):
vidya that UPS is you know, an automatic cell because
of this news. It's actually just you know, the bulk
of analysts still divided whether the stock is a buyer
hold but not certainly certainly not good news. The end
of that exemption for it is company.

Speaker 2 (03:27):
The Stock Movers Report from Bloomberg Radio. Check back with
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