00:00So guys, I have Kroger on my radar. It is down about two and a half percent here in the
00:05pre-market.
00:05So it's a big supermarket chain we know, trimming its annual sales guidance.
00:10And analysts say this is just another sign of the intense competition we're seeing in the grocery space.
00:17Now the company expects comparable sales, that means stores open at least 15 months, to see slower growth than expected.
00:24And this just adds more pressure to Kroger, to its CEO, because they're trying to capture more of the market
00:31by lowering prices.
00:32That doesn't seem to be working out so well for them.
00:34They want to improve their store services.
00:36They're investing in their workforce.
00:38And Kroger's also looking to boost online sales.
00:41But, you know, it's up against places like Walmart, Target, Costco.
00:45And so it's pretty fierce out there for our supermarket chains.
00:48Well, too, a lot of those department chains have.
00:50I do the one-stop shop because I don't want to go to different places.
00:52So I'll go to the Walmart at the Target that has the food and the produce in there and kind
00:56of go from there.
00:57And has your whatever else you might need.
00:59Whatever else.
00:59New tires, some gas.
01:01Who knows?
01:02All right, let's move on to tech because Oracle's having a really nice morning.
01:05The stock is up 6 percent, but it is down 21 percent year to date and 50 percent in the
01:10past year.
01:11Why?
01:11Because Wall Street has been saying, look, you're spending all this money on AI and we're not seeing the fruits
01:17of that labor.
01:18But with this report, they feel like they are.
01:20So Oracle's cloud computing business grew faster than expected.
01:23Sales in that business jumping 121 percent, so more than doubling to $7.4 billion.
01:30The company completed a plan to sell $20 billion of equity from time to time at market value.
01:34It also added 850 megawatts of data center capacity in the quarter.
01:40Oracle reporting $28.5 billion in capital expenditures.
01:44And it also booked more than $30 billion of additional AI cloud contracts during the quarter.
01:49So it's getting rewarded this morning, guys.
01:51Yeah, it's up 7 percent.
01:52It's down 20 percent year to date.
01:54I wonder if this marks a turn for them just from the market's perception of, OK, I can put a
01:59little tailwind, AI tailwind into the Oracle story.
02:02Yeah, I mean, the market can be so fickle you don't know how long this is going to last.
02:06But today, at least, this is satisfying some fears.
02:08And then we're going to do a hard turn and talk furniture with RH.
02:12I really still call it restoration.
02:13Restoration hardware.
02:14I mean, I get that huge catalog.
02:16What does that cost them every year?
02:18That's what I want to know.
02:19The stock is up 2.5 percent, but down more than 40 percent in the past year.
02:24So shares in the furniture retail are gaining after revenue and profit beat the street.
02:29Analysts are impressed here because they say they're able to beat the street even amid a weaker housing market and
02:34consumer spending environment.
02:36It also received $55 million in tariff refunds, and it says it's going to use that to offset unplanned supply
02:45chain costs stemming from the conflict in the Middle East.
02:48By the way, real quick, Wall Street split on this.
02:51Telsey Advisory Group, Dana Telsey over there, raised the price target on a restoration hardware.
02:56But Morgan Stanley lowered the price target, saying that revenue growth should accelerate in its luxury home business, but that
03:03rising supply chain costs remain a near-term headwind for restoration hardware.
03:08I think the stuff there, I'm not like a furniture person.
03:10It looks really nice.
03:11Is it good?
03:13It's expensive.
03:13It's good quality.
03:14It is good quality.
03:15It's good quality, but you're paying for it.
03:16You're paying a lot for it.
03:18Can I just say, it's also large furniture.
03:20Yeah, and I think for a department,
Comments