Snowflake Outlook; AT&T Acquisition; Urban Outfitters

On this episode of Stock Movers:
- Snowflake (SNOW) shares are higher after giving a strong outlook for quarterly sales, with product revenue expected to increase about 25% to as much as $1.04 billion in the quarter ending in July. The company raised its full-year forecast for product revenue to about $4.33 billion, despite an uncertain economic environment, and its shares gained 9.9% in premarket trading.
- Urban Outfitters (URBN) jumped after the apparel retailer reported net sales for the first quarter that beat the average analyst estimate. Analysts note strength in its namesake UO brand and are positive about the retailer’s margin expansion. Analysts note strength in its namesake UO brand and are positive about the retailer’s margin expansion.
- AT&T (T) shares are on the move this morning on news it agreed to buy the consumer fiber operations of Lumen Technologies Inc. for $5.75 billion, expanding its fast broadband service in major cities. The deal is subject to regulatory approval and is expected to close in the first half of next year, helping AT&T reach its goal of putting its fiber-optic lines within reach of 60 million locations by 2030.

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:00):
Let's take a look right now. Some of those stocks
on the move today. It's our movers are stock movers.
I'm Tim Keen with Paul Sweeni enjoining us, just back
from Lululemon. BLOOMBERGS Lisa Manteo, Lisa, what do you have
you know?

Speaker 2 (00:12):
Since you mentioned it, We'll start with retail. Okay, this
is like an upbeat sign because other retailers, we've heard
it be imponing to economic uncertainty. But then you have
Urban Outfitters. Their shares have been up as much as
nineteen percent what they reported with double digit sales growth
in the first quarter. What are analysts saying? They're noting
the strength in the namesake Urban Outfitters brand, but it

(00:34):
also owns brands like Anthropology, Free People. Analysts also positive
about their margin expansion. Bloomberg Intelligence, though, does say the
one setback is that Free People brand. It's a comparable
sales growth, it's a little bit below estimates, but all
other categories were up. The CEO what does the CEO say?

Speaker 1 (00:52):
Right?

Speaker 2 (00:52):
That's what people want to know. They say they're customers,
they're resilient, they continue to shop. There's no signs of
a slowdown, stop the.

Speaker 1 (00:58):
Show stop stock movers right now, Paul, you said it best.

Speaker 2 (01:01):
The restaurants are packed.

Speaker 1 (01:03):
Yeah, I mean, and you're taking retails like, okay, that's
what they're seeing a retail animalsts. I think it's as
hard as being a biotech analysts. I have no idea
how they do it. And for retail you have to
judge fashion, like what's going to How do you do that?
I don't know. I mean it's not just pe ratio
and earnings and stuff. You got it, like, oh, I
think this is going to sell this season.

Speaker 2 (01:22):
And then it's price too, because the CEO CO always
said that they're raising the prices.

Speaker 1 (01:26):
She has some of the field for what people want.

Speaker 2 (01:28):
I just got an email from uh Rockton here and
he says, get back on stock movers.

Speaker 1 (01:33):
Okay, chat not stock movers.

Speaker 2 (01:36):
You got it. So AT and T. The big news
here is that had agreed to buy the consumer fiber
operations of Lumen Technologies. The price egg five point seventy
five billion dollars. So what that does It expands its
broadband services in cities like Denver in Las Vegas. So
you have shares of AT and T. They've been up slightly,
but Luhman really singing good boost from this. Their shares

(01:57):
have been up as much as ten percent, so we'll
see this could help them kind of expand the broadband service.

Speaker 1 (02:03):
That also ten years total return six point per year.
JP Morgan Advising AT and T Morgan Stanley advising UH
Lumen Technology. So house of Morgan getting paid. There you go,
that's what I do the first to go and see
which one they make a lot of money on a
small transaction, especially on the sell side. Do you want

(02:25):
to represent the sell side? You get a big feel
on the cell side who's selling the lumen? You want
to get?

Speaker 2 (02:31):
That side you want to get.

Speaker 1 (02:32):
But if you're JP Morgan AT and T is a
house account for you, do they have interns doing this transaction?
Or like senior people. Senior people made the phone call
and they need to dump it down, dump it to
this down on people like me. And did you say
all weeks to seven days in a row? It absolutely
and pop tarts.

Speaker 2 (02:47):
Rocked in just emails and he says, get back on style.
What's next? Okay, software company Snowflake there s there has
a been up about Snowflake, right, okay, so let me
let me break it down for you. Snowflake. They make
software to ingest analyze data from a variety of sources.
Who is their competition Other vendors like data Bricks not

(03:09):
sure if you've heard of them, but also cloud infrastructure
providers like Microsoft, Alphabets, Google. So that's who their competition is.
So it gave this strong outlook for sales it followed
the launch. It had a lot of big, huge lineup
of new products over the last year. If you want
the specifics. Product revenue expected to increase twenty five percent
to as much as one point zero four billion in
the quarter ending in July. It also raises full year

(03:31):
forecast private revenue's about four point three to three billion
from four point two to eight billions. Right, Paul helped
me here. Forty buys eleven holds on sell. I'm shocked.
Dan Ives of web Bush has an outperform.

Speaker 1 (03:46):
I'm pretty much a top tick target of two thirty
ninety up to two thirty. It's still some room to move. Yeah,
he knows what he's doing.

Speaker 2 (03:53):
What is SAFT fleet Technology Technology exactly? Software company? So, yes,
software you have, but their competition Microsoft, Alphabets, Google too,
So