Market Overview - On February 19, U.S. stock indices fell collectively due to multiple negative factors, including tightening liquidity in the private credit industry and escalating geopolitical tensions between the U.S. and Iran. The Dow Jones Industrial Average dropped by 267.5 points, a decline of 0.54%, while the S&P 500 and Nasdaq Composite fell by 0.28% and 0.31%, respectively, with the Nasdaq experiencing a cumulative decline of over 2% since 2026 [1][2]. Private Credit Industry - A liquidity crisis in the private credit sector was a core reason for the market's weakness. Blue Owl Capital announced the sale of $1.4 billion in loan assets and tightened investor liquidity, leading to a significant drop in its stock price by 1%. This triggered a collective decline in the private credit sector, with major firms like Blackstone and Apollo Global Management seeing their stock prices fall by over 5% [2][3]. Geopolitical Tensions - The geopolitical tension between the U.S. and Iran has become another major market disturbance. President Trump indicated a decision on potential military action against Iran would be made within ten days, which has heightened investor caution and led to a general sell-off of risk assets [3]. Corporate Earnings and Guidance - Discrepancies in corporate earnings and guidance have intensified market volatility. Walmart's fourth-quarter revenue and profit exceeded expectations, but its annual profit guidance fell short, resulting in a stock price drop of over 1%. In contrast, Amazon surpassed Walmart in projected net sales for 2025, reaching $716.9 billion [4]. Economic Data - Recent economic data showed initial jobless claims in the U.S. fell to 206,000, significantly below expectations, indicating resilience in the labor market. The Philadelphia Fed Manufacturing Index rose to 16.3, the highest since September of the previous year. However, the trade deficit unexpectedly widened to $70.3 billion in December 2025, with the annual goods trade deficit reaching a record $1.2409 trillion, an increase of $25.5 billion or 2.1% from the previous year [4]. Market Sentiment - According to a recent survey by the American Association of Individual Investors, the proportion of bearish retail investors has exceeded bullish investors for the first time since November of the previous year, with bearish, bullish, and neutral sentiments at 36.9%, 34.5%, and 28.5%, respectively. This reflects a growing caution among investors [5]. Sector Rotation - The U.S. stock market is undergoing a rotation in leading sectors. Excluding the top companies, other stocks in the S&P 500 are in urgent need of earnings momentum. Despite a decline in valuations for the "Magnificent Seven," their price-to-sales ratios remain at historical highs, indicating they are not in undervalued territory [5].

And right now we are 2 minutes away from the end of the trading day. Romaine Bostick alongside Katie Graham Bell taking you through to that closing bell with a global simulcast. Carol Massar and Tim Stenovec join us right now.Welcome to our audiences across all of our bloomberg platforms, television, radio. Our partnership with youtube, a bit of a flip flop from what we saw yesterday. Carol Massar With stocks on the back foot, though, some of this seems to be tied to fears about what might be going on over ...

Walmart, Occidental, Klarna, Wayfair, Deere, Omnicom, and More Stock Movers - Barron'sSkip to Main ContentThis copy is for your personal, non-commercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.# These Stocks Are Today's Movers: Walmart, Occidental, Klarna, Wayfair, Deere, Omnicom, EPAM, and MoreBy [Mackenzie T ...

THIS IS "THE CLOSE." ROMAINE: STOCKS GETTING SOME OF THEIR MOJO BACK. I'M ROMAINE BOSTICK. >> I'M KATIE GREIFELD.WE ARE KICKING OFF TO THE CLOSING BELL. SOME MOJO. THAT IS HIGHER THAN WHERE WE FINISH THE DAY.CONSIDER WE WERE A LITTLE BIT HIGHER SO IT LITTLE BIT OF AN ENTHUSIASM DRAIN, LEADING THE WAY. IT IS HIGHER BY ABOUT TWO BASIS POINTS. IT WAS A LITTLE BIT MORE HAWKISH THAN SOMEWHERE EXPECTING.AND BITCOIN BITCOIN DOWN ABOUT 2%. ROMAINE: WE WILL TALK ABOUT WHY WE ARE SEEING WEAKNESS IN STOCKS. A MAJOR DR ...

Market Overview - Major U.S. indices showed a rebound with the S&P 500 up approximately 0.6%, the Dow up about 0.3%, and the Nasdaq composite up around 0.8% [6] - The trading day ended with a total of 317 stocks advancing and 185 declining, indicating a generally positive market sentiment [7] Booking Holdings - Booking Holdings reported earnings per share (EPS) of $48.80, aligning closely with street estimates, and revenue of $6.35 billion, slightly above the expected $6.13 billion [8][9] - Gross bookings reached $43 billion, surpassing the anticipated $41.99 billion, but the stock saw limited movement post-announcement [9] - The company’s CEO emphasized the focus on generative AI as an opportunity rather than a threat, aiming to enhance value for travelers and partners [11][12] - Booking Holdings anticipates first-quarter room nights to increase by 5% to 7% and gross bookings growth in the low double digits, with a forecast of 14% to 16% growth for the first quarter [13] Avis Budget - Avis Budget reported a revenue miss of $2.66 billion against expectations of $2.74 billion, resulting in a net loss attributed to a $518 million asset impairment [15] - The company noted a 21% decrease in per unit fleet costs but provided a full-year adjusted EBITDA forecast of $800 million to $1 billion, with the upper end below street estimates [15] Omnicom - Omnicom's fourth-quarter revenue was reported at $5.5 billion, exceeding the street estimate of $4.52 billion, although adjusted EPS was slightly below expectations at $2.59 [17] Cadence Design Systems - Cadence Design Systems experienced a significant stock increase of approximately 7.6% after reporting fourth-quarter results that beat expectations and provided a positive outlook [18] Wingstop - Wingstop shares rose about 10% after reporting adjusted EPS and domestic comp sales growth for the fourth quarter that exceeded consensus estimates, despite concerns about consumer spending [20] DoorDash - DoorDash's fourth-quarter EPS was reported at $0.48, missing estimates of $0.55, with revenue also falling short of expectations for the first quarter [21][22] eBay - eBay's fourth-quarter net revenue was $2.97 billion, surpassing estimates of $2.87 billion, and the company announced plans to acquire Depop from Etsy for approximately $1.625 billion [23][25] Molson Coors - Molson Coors reported net sales of $2.66 billion, slightly below analyst estimates, but underlying EPS beat expectations at $1.21 per share [26] - Year-over-year net sales declined by about 3%, reflecting ongoing challenges in the beer market [27] Carvana - Carvana's fourth-quarter adjusted EBITDA was reported at $511 million, missing the street estimate of $535.7 million, while revenue was $5.6 billion, exceeding expectations [28]

And right now we are 2 minutes away from the end of the trading day. Romaine Bostick here with Katie Greipel taking you through to that closing bell with the global simulcast Carol Massar and Tim Stenovec pop up on the screen. Welcome to our audiences across all of our Bloomberg platforms.That's television, that's radio. That's our partnership with YouTube passing the most crucial moments of the day. Carol Massar Yes, we had a little bit of a rebound rally here on the day, some of the gains being given back ...

Summary of Conference Call Notes Industry Overview - The media and internet industry is expected to experience flat growth in 2026, trailing global GDP and advertising growth. Concerns regarding AI and foreign exchange (FX) headwinds have contributed to this outlook. [1][2] - The industry is characterized by a bifurcation in performance across different disciplines and agencies. [1] Key Companies and Their Performance Publicis - Publicis is identified as a top pick due to its favorable revenue mix, strong client wins, and advanced client-centric model. It is projected to achieve over 5% organic revenue growth and high-single-digit EPS growth in 2026. [3] - The company has €1.5 billion available for mergers and acquisitions (M&A) and share repurchases, which could enhance its growth potential. [3] Omnicom - Omnicom has been downgraded to Underperform due to risks associated with integrating legacy assets, which may lead to talent and client attrition. [4] - EPS for 2026-2027 is expected to increase by 1% due to FX, but overall growth remains uncertain. [4] WPP - WPP is also rated Underperform, with a focus on fixing its balance sheet before pursuing growth. The company faces headwinds from client losses in 2025, which are unprecedented. [5] - EPS for 2026-2027 is projected to decline by 1% due to FX. [5] Industry Dynamics - Media agencies are well-positioned for GDP-plus revenue growth, driven by an increasing share of marketing budgets allocated to advertising and the complexity of the advertising landscape. [2] - Creative agencies are under pressure as advertisers deprioritize brand equity, leading to price deflation and risks of in-housing. [2] - The rise of AI is transforming the industry, with media agencies industrializing personalized content production. [2] Financial Trends - Marketing budgets as a percentage of sales have decreased from approximately 12% pre-COVID to around 8% in 2025, while the share allocated to paid media has increased from 23% in 2018 to 31% in 2025. [14] - Media agencies are converting a higher percentage of billings into revenue, now close to 10%, up from 3-5% previously. [19] - A significant shift towards performance-based compensation models is anticipated, with 75% of marketing executives planning to change their media agency remuneration models. [19] Challenges and Opportunities - Creative agencies face increased pressure due to a focus on short-term marketing tactics and a fragmented competitive landscape. [46] - The production segment is emerging as a growth driver for agencies, with Publicis leading in this area. Production is expected to grow at a faster pace than traditional creative services. [57][58] - The introduction of AI tools is reshaping agency remuneration models, potentially leading to fee pressures and disintermediation. [53] Conclusion - The media and internet industry is at a crossroads, with significant disparities in performance among agencies. Publicis is positioned for growth, while Omnicom and WPP face challenges. The rise of AI and changing marketing dynamics present both risks and opportunities for agencies moving forward. [60][61]

Core Insights - The Consumer Electronics Show (CES) 2026 showcased significant advancements in the advertising industry, highlighting the impact of artificial intelligence, data integration, and cross-industry collaboration on advertising strategies [1][8] Group 1: Stagwell's Innovations - Stagwell introduced its AI platform "The Machine," designed to optimize advertising creativity and data processing through intelligent agents, enhancing precision and efficiency in ad placements [2] - The platform connects various tools like Figma, Slack, and Adobe, creating a seamless advertising creation and management environment [2] - This innovation signifies a shift towards AI-driven systems in the advertising sector, promising to transform creative generation and execution [2] Group 2: Havas's AVA Platform - Havas launched the AVA (Advanced Virtual Agent) platform, integrating multiple leading AI models to enhance advertising across various business dimensions, including ad placement and data analysis [3] - The platform emphasizes security and compliance, providing a centralized AI environment for advertisers, which is crucial for data privacy [3] - AVA aims to improve audience understanding and optimize ad creativity and targeting decisions [3] Group 3: Omnicom's Omni Platform - Omnicom unveiled its AI-driven marketing platform, Omni, focusing on integrating internal resources to create a comprehensive marketing solution [4] - The platform's "Connected Capabilities" allow for real-time adjustments to ad strategies based on data and creative feedback, maximizing advertising effectiveness [4] - Omnicom's recent acquisitions enhance the platform's capabilities, providing a robust data infrastructure for global ad targeting and performance measurement [5] Group 4: WPP's Agent Hub - WPP introduced the Agent Hub, an internal application store featuring AI agents designed for creative and strategic advertising support [6] - The "super agent" function offers customized creative solutions and targeted marketing strategies based on client needs [6] - This platform indicates a deeper integration of AI in advertising creativity and strategy, enabling more precise decision-making [6] Group 5: Innovations from Social Platforms - Reddit launched "Max Campaigns," an automated ad buying tool that streamlines audience targeting, creative selection, and budget allocation [7] - Disney revealed a new ad video generation tool to help brands quickly create content for streaming platforms, enhancing ad creation efficiency [7] - The innovations presented at CES 2026 reflect a broader trend towards intelligent, automated, and precise advertising strategies across the industry [7][8]

Core Insights - The integration of TPN into Flywheel enhances Flywheel's position as a leader in unified commerce, combining TPN's retail and creative expertise with Flywheel's global technology platform [1][3] - Sarah Cunningham, former President of TPN, will become the Chief Retail Experience Officer at Flywheel, indicating a strategic leadership shift [2][5] Group 1: Strategic Integration - The transition of TPN into Flywheel signifies Omnicom's commitment to advancing connected commerce, leveraging TPN's 40+ years of experience alongside Flywheel's technological capabilities [3] - TPN's operations, talent, and client relationships will be integrated into the Flywheel brand, allowing for a seamless connection of strategy, creativity, data, and activation across channels [3][4] Group 2: Leadership and Innovation - Sarah Cunningham's appointment as Chief Retail Experience Officer will enhance Flywheel's retail strategy and shopper marketing capabilities [5][6] - Additional leadership roles include Phil Camarota as Chief Creative Officer and Chris Rueckert as Senior Vice President of Commerce, further strengthening the leadership team [6] Group 3: Client Engagement and Growth - Current clients will maintain their core agency teams while gaining access to Flywheel's expanded resources and technology, enabling precise planning and measurement [7] - The unified model aims to deliver consistent value and measurable growth throughout the shopper journey [7][8]

Group 1: Omnicom - Omnicom has become the world's largest marketing company following its acquisition of the Interpublic Group [2] - The company announced a 14% increase in its quarterly dividend, which will be paid on January 9th, resulting in a stock yield of 4.4% [2] - The stock is currently trading at a 37% discount to its Morning Star fair value estimate of $115 [2] Group 2: McCormick - McCormick is the leader in the global spices and herbs market and is recognized as a dividend aristocrat with its 40th consecutive annual dividend increase [3] - The stock yields 2.9% with an annualized dividend growth of 8.1% over the past 5 years [3] - Morning Star analysts expect similar growth in the future, forecasting high single-digit annual dividend increases and a payout ratio near 60% [4] Group 3: Truist Financial - Truist Financial, formed by the merger of BB&T and Suntrust, is one of the three super regional banks in the US [4] - The stock yields 4.5%, slightly above the 4.3% average over the past 5 years, with an annualized dividend growth of 4% [5] - Although the dividend has remained flat for the past 14 quarters, analysts expect the payout ratio to trend down below 50% as earnings increase, with modest dividend growth anticipated starting in 2027 [6]