On this episode of Stock Movers:
- Warner Bros (WBD) is on the move this morning after announcing it will separate into two publicly traded businesses by the middle of next year, splitting its streaming and studios business and its TV networks operations. The streaming and studios company will include Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO, and HBO Max, and will be run by CEO David Zaslav.
- Apple (APPL) is up slightly this morning with the company's annual developer's conference, WWDC, may highlight the company's struggles with artificial intelligence, which could further weaken its shares. Apple's lack of progress in AI is seen as an existential risk, and its struggles in this area have been a significant headwind for the company, with shares down 19% this year.
- Tesla (TSLA) is continuing its slide as Baird downgraded the stock to neutral from outperform, noting that the recent share rally followed what was a fundamentally poor quarter for the EV maker. Analyst Ben Kallo attributes the recent rally partly to anticipation over the launch of a more affordable vehicle and a robotaxi service. Through Friday’s close, the shares are down about 27% this year.