Roku-Fox Deal; Airlines Move Higher | Stock Movers

[00:00:00]All right, guys, let's start with the big deal of the day, which is Fox Corp buying Roku for $160 a share in cash and stock, valuing the streaming service at about $22 billion. That's that, uh, takeover price, by the way, includes debt. This combined company is going to become the third largest player in U.S. television by share of viewing.

[00:00:21]So more than 100 million global households stream with Roku.

[00:00:25]Yeah, I don't believe the number was that big.

[00:00:27]But take a look at these. And Paul, maybe you can shed some light being that you would work on these deals back in the day, but Roku is up only 3/10 of a percent here and Fox Corp is down 12.5% to Alexis is good observation. Are they going to invent a peacock.

[00:00:43]Is that well here I mean the stock is Alexis was saying the Fox stock down 13%. That's not good.

[00:00:50]That's not what their advisers told them.

[00:00:52]What happened in three 4% decline okay. 13%.

[00:00:55]This is the market telling you okay Fox you're now doubling down on TV when we've got the cord cutting thing. And it's all about streaming I don't know. So we got some challenges there you know. And Fox said it's received 12 billion in bridge financing from its place. Yeah they're going to make some.

[00:01:13]They're going to make some bank on that. Oh, yeah.

[00:01:14]And also the founder and CEO Anthony Woods, going to join Fox's board and have a role on the combined company. We don't know roll.

[00:01:20]That's what role that's going to be. But Roku has been looking for somebody to buy it. You know it's in the increased competition Amazon Apple investing heavily in their own streaming services.

[00:01:30]So and it's rich points out Roku is up 20% on Friday.

[00:01:33]So there's the market to kind of tell you a little bit.

[00:01:35]But it's just I mean meaning that it rallied into this news ahead of us.

[00:01:39]They're really good on news. They're really good on sports.

[00:01:41]So let's add 100 million households to that business.

[00:01:44]All right. Let's move on to the airlines because United Airlines, Delta, southwest they're all enjoying gains here this morning up at least 4% or more because of that deal.

[00:01:55]That interim peace deal between the U.S. and Iran that's supposed to open the Strait of Hormuz on on Friday. But we've talked about it throughout the war. It's not they're not like, you know, flip a switch, you know, and all the oil just keeps flowing.

[00:02:05]And we go back to levels, pre-war levels in terms of supply and all that.

[00:02:10]But but the hope is that this is going to mean lower jet fuel costs for the airlines. I'd like to know if they're going to mean lower airfares for you and me. We've also got cruise operators higher this morning. So Caribbean, Carnival, Norwegian are all gaining on this unspoken you had You know, I like Robert de Kaplan's phrase, the little war. So I don't know if there's an analogue, but most wars, there's a huge deflationary disinflationary tendency after the war. Mhm.

[00:02:37]I don't hear many people really talking about that.

[00:02:40]I don't because I sort of kind of like yeah.

[00:02:43]Yeah we kind of feel like inflation's sticky.

[00:02:45]But you know you know they go back to 1% or 2% three month annualized inflation.

[00:02:50]I would say right now is a shock. Yeah.

[00:02:52]To get six years I'm not predicting that folks.

[00:02:54]I'm just the analog here is you get some deflation out there.

[00:02:57]Kind of sort of like mortgage rates not hitting 3% again.

[00:03:00]Yeah, I hear you. All right.

[00:03:01]Crypto related stocks are higher I'm talking Coinbase Robinhood oh strategy as well I'm throwing that in there. They're all higher because Bitcoin by the way is now above $66,500. Sort of quietly crept up uh, because of this U.S. Iran peace deal sort of triggered a broad risk on move. Uh, also, Coinbase CEO Brian Armstrong saying that he believes Bitcoin has probably bottomed at 60 K.

[00:03:24]I mean, I, I can understand why Brian Armstrong would say that.

[00:03:27]Uh, we've also got a theory him up 5%, XRP up 7%, Solana up 4%.

[00:03:32]So just in general Bitcoin bringing all the other coins up with it today.