Episode summary
BI Weekend: NYC Casinos, Macy’s, Salesforce Earnings | Bloomberg Intelligence
Bloomberg Intelligence
· · Hosts: Paul Sweeney, Norah Mulinda · Guests: Brian Egger, Mary Ross Gilbert, Lily Meier, Anurag Rana, George Ferguson, Jeffrey Langbaum, Helen Kou
Summary
New York’s casino licensing decision dominated the opening segment, with the state approving Steve Cohen’s $8 billion proposal next to Citi Field as one of three downstate projects. Brian Egger said the licenses open a narrow path to decent returns because development costs are high, while non-gaming revenue such as food, beverage, retail and entertainment may make up close to half of sales. He also said the new resorts are expected to open around 2030 and could pressure Atlantic City by diverting New York feeder traffic.
Retail earnings painted a split picture of the consumer. Macy’s posted better-than-expected results, but the host and Mary Ross Gilbert said the company’s cautious fourth-quarter guide weighed on shares. She argued Tony Spring’s changes are working, with brighter stores, stronger merchandising and more traffic, while lower-income shoppers remain pressured and higher-income consumers stay resilient. Dollar Tree showed the other side of the trade-down story: the company beat profit estimates and raised its outlook, but Lily Meier said tariffs hit traffic and consumers remain value-driven, buying essentials and smaller-ticket items.
Salesforce’s quarter suggested AI products are helping, but Anurag Rana said the core business is still under pressure from weak IT spending and slower seat growth. Airbus also came under scrutiny after quality issues and a software glitch threatened its delivery targets, while REITs, especially senior housing and select data-center names, were discussed as possible bright spots into 2026. Helen Kou said AI-driven power demand is accelerating fast and could create a significant electricity shortfall in PJM by the end of the decade.
Key takeaways
- Brian Egger said the New York casino awards still leave operators facing roughly a 10% return on investment and heavy capital costs.
- Mary Ross Gilbert said Macy’s is seeing momentum from brand refreshes, store upgrades and collaborations, but low-income shoppers are still feeling pressure.
- Lily Meier said Dollar Tree is benefiting from trade-down behavior, though tariffs weighed on traffic this quarter.
- Anurag Rana said Salesforce’s AI products are growing quickly, but they are still too small to offset weakness in the core business.
- George Ferguson said Airbus’s delivery targets look too ambitious and quality issues could hurt 2025 profitability.
- Helen Kou said BNEF expects U.S. data center power demand to reach roughly 106 gigawatts by 2035, with gas likely filling near-term demand.
Notable quotes
“the three qualified casino applicants, if you will, really are are in New York City, but outside the Burough of Manhattan itself”
“we think when we think about it, we think there's upside here”
“the lower-end consumer is really feeling pinched and that's where they're seeing some challenges on some of the price increases on their lower price point items”
“the core business is still struggling but when it comes to some of their AI products that is starting to do well they've gained momentum”
How the episode opens
Bloomberg Audio Studios podcasts, radio news. This is Bloomberg Intelligence with Scarlett Fu and Paul Sweeney. How do you think the Fed is looking at tariffs, the uncertainty of tariffs?
Let's take a look at the sectors and how they perform. A lot of investors getting whipsawed every day by news events breaking market headlines and corporate news from across the globe. Could we see a market disruption, a market event?
Are people just too exuberant out there? You see some so-called lowquality stocks driving this short-term rally. Bloomberg Intelligence with Scarlet Fu and Paul Sweeney on Bloomberg Radio, YouTube, and Bloomberg Originals.
I'm Paul Sweeney. And I'm Nora Melinda, filling in for Scarlett Fu. On today's Bloomberg Intelligence Show, we dig inside the big business stories impacting Wall Street and the global markets.
Each and every week, we provide in-depth research and data on some of the 2,000 companies in 130 industries our analysts cover worldwide. Today, we'll look at why the cloud-based software company Salesforce gave a strong outlook for sales in the current quarter. Plus, we'll dive into why shares of the aerospace company Airbus plunged and how this might affect the delivery of its newly produced jets.
But first, we begin with some news in the casino and gaming space. This week, New York Mets owner Steve Cohen won approval to operate a casino next to City Fields in Queens. It's one of the three projects selected for gambling licenses in New York City.
And this was done by the state gaming commission's facility location board. Cohen, the hedge fund mogul submitted an $8 billion casino proposal with partner Hard Rock International and was picked alongside Genting Groups, Resorts World, and BLS. These three projects are expected to generate significant revenue and create thousands of jobs.
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- nyc casino development
- retail earnings
- salesforce earnings
- airbus quality concerns
- ai power demand
Companies and tickers mentioned
- C
- M
- CRM
- DLTR
- EADSY
- Citigroup
- Macy's
- Salesforce
- Dollar Tree
- Airbus
Watch the episode
Watch “BI Weekend: NYC Casinos, Macy’s, Salesforce Earnings | Bloomberg Intelligence” on YouTube
Summary, takeaways and quote selection by Octagon. Quotes are short excerpts; the full conversation is in the episode.
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