ON this episode of Stock Movers
- Coreweave (CRWV) shares are down after the company agreed to buy Core Scientific in an all-stock deal worth about $9 billion to expand its artificial intelligence data center capacity.
- Tesla (TSLA) shares fell after Elon Musk announced he's forming a new political party, the "America Party", which will focus on House and Senate seats for the next 12 months.
- Expedia (EXPE) shares are higher after Wells Fargo raised the firm's price target on Expedia to $178 from $149 and keeps an Equal Weight rating on the shares.

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On this episode of Stock Movers:
- Tesla (TSLA) shares are lower this morning after Elon Musk announced he's formed a new political party, the "America Party." The shares have already declined 22% this year as the CEO's politicking has hurt Tesla's standing with car buyers. Devoting resources and attention to a new political party runs counter to what Musk told Tesla investors during the company's last earnings, in April.
- CoreCivic (CXW) shares are rallying on the passage of President Trump's signature tax bill. Shares in Geo Group (GEO) are also rallying in the premarket, with the bill adding billions of dollars for immigrant detention centers. Geo Group and CoreCivic are the two largest detention contractors. On Friday, Trump signed a sweeping budget bill that includes $45 billion for new immigration jails—part of $150 billion in new funding to carry out his immigration and border-control agenda.
- Stellantis (STLA) is sliding this morning as Bank of America cuts the automaker to neutral from buy, with the broker expecting to see a “very weak” first-half report on July 29. While the US appears strong, Stellantis’s positioning in Europe looks bad, BofA says. Analyst Horst Schneider says that while Stellantis shares have fallen around 30% year to date and more than 50% since last summer’s capital markets day, it is “too early for ‘bottom-fishing,’”
- MGM Resorts International (MGM) is lower after Goldman Sachs initiates coverage of MGM Resorts International with a recommendation of sell due to a volatile Las Vegas market, while Caesars Entertainment gets a buy rating. MGM has high-sensitivity to a “choppy” Las Vegas market and is the most macro-sensitive among Goldman’s casino coverage, the bank writes in a note

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On this episode of Stock Movers:
- Tesla (TSLA) falls as much as 7.6% in premarket trading on concern that Elon Musk’s move to form a new political party will draw a backlash from President Donald Trump.
- CrowdStrike Holdings (CRWD) slides 1.8% in US premarket trading. Piper Sandler cut the software company to neutral from overweight after it surpassed the investment bank’s price target.
- OpenAI has agreed to rent a massive amount of computing power from Oracle (ORCL) data centers as part of its Stargate initiative, underscoring the intense requirements for cutting-edge artificial intelligence products.The AI company will rent additional capacity from Oracle totaling about 4.5 gigawatts of data center power in the US, according to people familiar with the work who asked not to be named discussing private information.

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On this episode of Stock Movers:

- European medical technology stocks have dropped after China hit back at the European Union’s restrictions on its medical device makers. Companies such as Philips, Elekta, and Siemens Healthineers are “minimally affected” because of their “strong local presence,” Jefferies analyst Julien Dormois writes in a note

- Shell shares fell as much as 3.2% after the oil giant’s second-quarter update pointed to a weaker performance than anticipated, which is set to hit earnings expectations, according to analysts. RBC noted that this is the first weak performance after years of positive updates.

- Stellantis fells as much as 3.3% as Bank of America cuts the automaker to neutral from buy, with the broker expecting to see a “very weak” first-half report on July 29. While the US appears strong, Stellantis’s positioning in Europe looks bad, BofA says.

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Health insurer Centene Corp. shocked investors this week when it withdrew its profit outlook on rising risks from Affordable Care Act plans.

The company appears to have been badly caught off guard by the impact of US government actions. It’s an ominous sign for insurers, whose purpose is to price for risk but have lately been blindsided by it.

Shares of Centene dropped more than 40% on Wednesday, the biggest one-day drop since its initial public offering in 2001. Other insurer stocks including Molina Healthcare Inc. and Oscar Health Inc. and Elevance Health Inc. also sank by double digits.

For more on the fallout, Paul Sweeney and Norah Mulinda speak with Glen Losev, Bloomberg Intelligence Senior Healthcare Analyst.

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Tesla reported sales that slowed in the most recent quarter. But, shares climbed after the decline was less drastic than analysts feared.

The company delivered 384,122 vehicles during the last three months, down 13% from a year earlier. While that leaves Tesla in a deep hole to dig out from to avoid another annual drop, some investors were braced for a more than 20% plunge.

For more on the data, Paul Sweeney and Norah Mulinda speak with Pierre Ferragu, Head of Global Technology Infrastructure at New Street Research.

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Restaurant valuations are diverging between market-share winners and losers, with casual dining outpacing quick service. Fast-casual chains like Shake Shack and Cava can take market share this year but already trade at 100x and 124x 2025 EPS, respectively.

For analysis on current restaurant valuations, Alix Steel and Paul Sweeney speak with Bloomberg Intelligence Senior Restaurant Analyst Michael Halen.

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On this episode of Stock Movers:

- LVMH Hennessy is one of the three big cognac makers — including Remy Cointreau SA and Pernod Ricard SA - that have reached price undertaking agreement with China after it imposed anti-dumping duties on drinks including European brandy for five years.

- Rheinmetall’s up after its South African subsidiary Rheinmetall Denel Munition secured an artillery ammunition order worth several hundred million Euros from an unnamed European NATO country.

- CVC Capital has been upgraded by JP Morgan to overweight from neutral as resilient exit volumes are supporting an improved outlook for European private markets managers.

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