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The Stock Movers Report, your roundup of companies making moves in the stock market. Harnessing the power of Bloomberg data. Let's take a look now at some stocks making news in the week ahead. I'm Nathan Hager joined by Christina Aino, managing editor for Bloomberg Markets live on a week where we're going to hear from a few more companies reporting earnings as we wind down the season. Christine, a few household names this week, including Nike on Tuesday.

Are investors finally going to hear the turnaround is swishing upward for a change?

I see what you did there, Nathan. That is definitely the hope. Uh very interesting though because they announced a leadership change uh shortly before the earnings results which are due on the 30th of June. So apparently David Denon will take over as CFO in August. And interestingly he is not an insider. He hasn't been a career uh uh employee at Nike. Uh he's actually moving from Fizer and has done similar stints at Lowe's and CVS as well.

So that's quite interesting bringing in an outsider rather than someone who's familiar with the business and familiar with a turnaround plan. So

obviously a pretty big change from bringing in a former insider to be the CEO. So what kind of fresh blood or fresh look at the company could we expect once they report earnings this week?

Yeah, I mean that is the big question, isn't it Nathan? That's something that investors and analysts will definitely note. I mean, Cityroup analysts uh noting that it is quite surprising that they're doing this just ahead of those fourth quarter results, especially because the company is still under immense pressure to really show the results of this turnaround plan. The stock price is still hovering at around the lowest since 2014 and investor confidence is a little bit still uh at the lows, but you know, maybe a fresh blood uh might be just what the company needs for a bit of a turnaround here.

But we'll find out more uh when they give us the details next week.

Absolutely. Uh also on Tuesday, we're going to get results from Constellation Brands after the bell. It's been a tough time uh for the beer and wine business. Are we going to be able to raise a glass to these results?

I mean, based on the assessment from Jeffrey's analysts, there's still a lot of caution on that front, Nathan. I mean, they're worried about just the overall trend of declining alcohol consumption trends in the US because, you know, the younger generation don't drink as much anymore. I don't know what's up with that. Uh, [laughter] but that's definitely something that is uh a bit of a negative for Constellation Brands.

Jeff in particular, uh, still expecting their company to reiterate those organic sales around minus 1% to plus 1%. Uh but one silver lining is they do have strong ad spending for the World Cup, but then that also cuts into their earnings margin. So we'll see if that pays off uh when we get those results. Might be a little bit early, but you know, a little bit of positive momentum can't hurt the brand at this moment.

Yeah. So, a lot of crosswinds there, not just from uh consumer changing habits and and those uh advertising spending uh potential headwinds there, but I mean the entire beverage industry has been dealing with rising commodity costs uh from what's been happening in the Middle East as well. I mean, that could have an impact on the results too, couldn't it?

Yeah, absolutely. I mean, margins definitely something to watch for constellation brands. I mean, some of the costs for raw materials, aluminum cans, for instance, have gotten a lot more expensive over the last few months. Of course, we know that uh flows through the straight of Hormuz finally starting to flow. We've been getting reports uh on that as well as uh US and Iran make headway uh toward kind of a striking a longerterm deal.

But yeah, it takes a little bit of time, doesn't it? I mean, we've definitely seen a lag in some of those prices uh when it comes to kind of uh coming back down from the recent high. So, that's something that uh Constellation brands will definitely have to answer for when we hear from them next week.

Yeah. And I'll be interested to hear as well about how they might be adapting to those changing consumer habits because it seems like there's been a lot more interest as well uh in non-alcoholic beer and wine. So, we'll be watching that, too. On Wednesday, we're going to hear from General Mills. And correct me if I'm wrong, Christine, but it seems like the last few months have been pretty rough for name brands at the grocery aisle.

Am I remembering that right?

Yeah, that's absolutely right. It has been a tough period but we are seeing for instance Bloomberg intelligence analysts saying that perhaps actually the worst of it might be over for some of the national food brands uh like General Mills uh they're projecting that uh some of the sales uh for these brands could climb about 3% to 4% this year. I mean, of course, house brands have an advantage, especially when it comes to costs uh for consumers, but I think there's a little bit of room now for some of the brand names to gain back some of that ground.

And, you know, another theme actually that could be going well for General Mills is the pet food business because we know that people love spending money on their pets and that is something that could be a bright spot potentially.

Okay. Um, I kind of wonder though, um, whether a company like General Mills and some of its competitors as well might be, uh, weathering some of these, uh, issues around price by doing something that I've seen over the last few months, if not years. Um, packaging getting smaller. Is that something we could hear about on the call?

Yeah, I mean, that's certainly one way to mitigate some of the costs, right, that that that we've been talking about in relation to other uh, companies. I mean certainly if you're spending less on packaging uh especially given the current uh era of still high raw material prices uh that that certainly helps for sure. Um and so yeah maybe something that uh could at the margin help General Mills kind of gain more solid footing here.

But yeah, we'll we'll hear from them uh on the 1st of July is when their earnings are due. [music]

The stock movers 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 moving headlines, listen [music] to Bloomberg Radio Live. Catch us on YouTube, Bloomberg.com, and on Apple CarPlay and Android Auto with the Bloomberg Business [music] App.