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tv   Fast Money  CNBC  September 26, 2019 5:00pm-6:00pm EDT

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tomorrow whether. >> it has to go through the wilfred test strong hands. >> and tomorrow, mike, i mean intraday recovery but closed at off the moment zblum still idling here. and i think we get drat data in the morning. >> we are out of time. that's do it for "closing bell." >> have great night, everyone. "fast money" begins right now. live from the nasdaq market site over look new york city's times square this is "fast money" i'm melissa le traders are tim seymour, karen finerman, dan nathan and steve grasso feeling the burn investoring slamming the brakes on peloton as it debuts. is the ipo market showing signs of cracking we din are dig in we have the earnings alert on micron moving lower after earnings alert we're we break down the headlines. beyond loving it micky d's sinking teeth in the meetless craze we have all the juicy details. >> dw you write that. >> i wishdy.
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we begin with a teching wreck on wall street. the fang stocks stumbling, all posting big big losses the past few days is this fang-free fall taking down the broader market tim? >> some cht frank free fall is something i think we saw three to six months ago. clearly with the regulatory headlines on doj in june big moves facebook and google have had a tough time getting out of their own way amazon got back up to all-time high has not exceeded that i'll let the chartist tack about that but when you think about the market for the last month and four or five months yes we saw the interesting rotation into cyclical stuff a month aigt. but really the defensive rotation is something that's been alive and well for plshl six to nine months as evidence by utilities that's an environment you can't see fangout perform and the multiples caught up to the stocks i know the multiple on google. not so much. i know the multiple on facebook, not so much. but i think again you have
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regulatory pressures on top of very high multiple stocks. and we could get into the fundamentals on netflix. but i'll leave that for. >> on top of the powerful rotation you also wraut up into value stocks. >> into value i think this facebook and google could be considered value for a while they'll sort of traed with with the headlines and anti-trust or -- but, i think it's going to be another three and a half four weeks before we see earnings to me that's what they're -- that is the ballast for these stocks if they return -- if they continue the growth trajectory the stocks will be fine. today it actually -- it was poff -- it was off more closed -- didn't close in the high but down less than half a%. i like google here i like facebook too. even though obviously bad headlines it could trade down. >> you know you mentioned the chartist looking at amazon and facebook what is interesting today is that the stocks are broken below the uptrend in place from the december lows. you know, i think it's important to when are when the doj and ftc
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headlines came out in june these guys got nailed and they are up considerable but they stalled at a point where they never made new highs. the s&p made two new highs and they didn't confirm the highs. when you look at the breakdowns below the uptrends you say what is the next thing? it's earnings i would say for amazon this could be a dicey quarter for them last quarter they saw revenue acceleration unit acceleration, they had put in place in the spring in one-day prime shipping but what they also saw is spepss go up way up and the stock has stalled since then when i think about azmodan that has a lot of risk op the expense front. we know when the high multiple stocks this is not value like the google and facebook. it could be unforgiving. and just think about netflix which is down almost 40% from highs never made a new high with the s&p. >> i think it's about positioning. it's about value and growth. i don't like google and facebook because of the regulatory hurdles. i don't like amazon.
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i think it sets up to be a real disappointment but what i do like is microsoft. >> netflix. >> microsoft. >> back to maga. >> microsoft and apple those are the one that is can lead the market higher. >> yeah. >> not the fang. i don't think fang -- zbloents are doesn't matter is fang falls out of bed it's not a problem for the market. >> it's a problem. i don't think it can go dramatically higher but not dramatically lower as long as we have ma. i think we're okay there because apple and microsoft those charts look intact to me. >> i would just mention one point. one of the things interesting with about net tbs netflix it's 100 billion-dollar market cap and others are 80 oh billion-dollar market cap and has a impact on the market but what's interesting about sentiment is this was a much loved story. people didn't care they would lose 3 or $4 billion in-free cash flow to compete on the content front. and now they do.
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and that's what. >> subscribers were really there. >> and that's right. >> people didn't care about the multiple on amazon for years as well you bring zblaup that's my only point. i'm not tell you that's happening in amazon. i'm saying you it. >> for all of you guys loving mag eu a i realize there is different colored hats with maga i don't like the multiple on microsoft. i think cloud -- we saw this with amazon. that may be one of the reasons why amazon is under pressure aws is not growing the margins are not there. this is a highly competitive and maybe it's not commodity advertised yet and i do think that very few can compete with microsoft in terms of a multiplatform offering. but there are those that can and pricing has to come down it's not going up. i don't know how the multiple expansion. >> i don't know. but when you look at the revenue sources you see in microsoft, they're evenly split like apple we're worried that services are not coming on strong enough. but when you look at microsoft they're pretty evenly split.
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i don't know if people can compete with microsoft to the extent that you think they can that's why i think it stayed on top of the hill. >> to tim's point aws did see marjingens g down in the last quarter. people were concerned about that and if they want to protect market share they have to compete on price that's when you get to the commoditization. >> jeff told us this was an investment cycle for him when he does that it scarce me because it's a warning sign where he floats it out saying we are spending money not seeing any earnings. just be prepared for that. but we're still cool that's the way. >> the broader question in in market environment do you want to -- would you be worried that higher multiple stocks -- and we have seen this already for a lot of software sector and cloud stocks for that matter come off. isn't this the environment. >> of course. >> where you sell right now. >> of course you don't have -- you don't have the growth to justify the multiple and you have a market that is not growth at all costs. so it's nice that we saw the rotation into value.
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and cyclicality. but, again i think that was defensive rotation frankly with the exception of banks what we saw a lot of names are places where people feel comfortable hiding so that is the environment and as encouraging as it has been that hey, we've been rooking for market breadth and people said hey you're not getting the market higher with the transports and banks that's nice, although. >> what is the rotation to microsoft defensive as well? is that what you say. >> microsoft would have been megacap tech would have been other names would have been. but the. >> it cross--ed the line. >> the facebook chart and the netflix charts are terrible as you point out. head and shoulders charts looking about ready to test down to the other shoulder. and these are massive market cap waiting in the market. we haven't talked about apple. but apple is one place with google you have a kbipgs of chart, a valuation and some momentum. >> but with apple you don't get a d.c. trade you don't get the head edwin, the same way with goog
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google are all over -- >> but do you have the company that's potentially in the cross hairs of a trade war apple. >> we know that. we no he that. we know that already with apple. and it seems to be impervious to that at this point not that -- not that it will never back off on that but it seems like the thunder it taken out of the -- out of the sail i'm going to mix metaphors at this point. >> speaking of the trade war we have a news alert let's get to cakayla attach. >> the next right now of u.s. china trade talks take place in washington october 10th and 11th next we can a politically sensitive holiday on october 1st for the chinese. then on october 15th you have the delayed escalation of tariffs. so this round of talks will fall just between those two dates on the calendar the treasury secretary has already confirmed that vice premier lei hao will be lead
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going. et cetera unclear whether he will be special envoy allowing him to negotiate directly on behalf of xi jinping and that will be a busy woke for trump president trump. the election campaigned announcing he holds a rally in minnesota on the 10th. but we could see another meeting. october 10th and 11th for knows playing at home the dates to circumstance zblool just to remeend us the lei huh had the stiemgts ever special envoy. >> for multiples rounds he has that titles. that was one reason he was meeting with president trump in the oval office because they were on as the chinese saw it equal footing because lei huh was seen as being there on behalf of president xi he was then stripped of the title for a later round in may when the chinese backtracked from some of the earlier promises because of consternations among hard linesers within the chinese
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communist party. there is a divide over whether he has the title restored we don't know whether he carries it this zbliem kayla tausche in washington with the latest we expected the trade talks to happen but of course in in world anything could have happened maybe it's good we got confirmation at this point. >> it's good we got confirmation i don't think anybody is priced by a headline that fifs you kind of a three-week window to begin to prepare for a conversation that may or may not happen after an important communist holiday. that noun is getting in the way of look at the trade data last night. hong kong and singapore, the production in singapore down 7.57%. supposed to be flat. export data out of hong kong down seven straight months and not better it's a concern. >> we have breaking news on the ipo market let's get get to dom at h-s >> wow is all we can say with regard to endeavor, the megatalent sports management agency out there set to put the ipo price tonight to trade tomorrow. breaking news courtesy of dow
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jones citing sources familiar that endeavor pulled plans for initial public offering, also that it was, again, that it is lacking due to weak stock market investor demand, according to a source at routers as well, so there is a lot of fluidity happening right now with regard to why endeavor pulled the pricing. remember earlier today folks it reduced the size and scope of offering reducing shares they were going to sell and ds are the price of the smars in what some reports claimed was weaker investor demand sources told us at cnbc there were some good demand for shares at prices lower than the previous range but it now it looks like according to dow jones and reuters oh sources both saying they have pulled the ipo due to weak stock market demand after it scaled back the offering guys we monitor this kind of make phone calms on our side here but that's the reason we see this news cross the wires melissa back to you. >> dom, quickly, the language is
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important. it's not just withdrawing or delaying it's abandoning the ipo. >> remember this is no formal announcement from he endeavor or the underwriting banks this is source reporting from both the "wall street journal" and the routers. saying they are abandoning because of weak stock market demand there is no formal announcement from the company whether the plans will be resurrected in the coming days or weeks or when the ipo market picks up gwen when we hear back we'll let you know that's the reason why this is again source reporting from the news outlets was not a employ confirmation by the company. >> thank you so many questions surrounding in endeavor deal. the first one is somehow do you get the eve of your ipo and realize at that point after scaling back the ipo earlier in the day, that there is weak demand for this thing the night before >> well, i think clearly peloton did not help, right? just the sentiment.
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>> right. >> last night it looked like peloton would do okay. maybe indicated at one point up. it's closed down a lot that clearly isn't good for them i think that, you know, we have a market that is sort of turned on money losing but growing entities, right. this one is sort of difficult. it's a mitch mash of different businesses, they say impossible to recommend kait. maybe. but also hard to value and losing a fair amount of money. i think there is such momentum when they start down the process, it takes so much energy to get the ipo done. i mean, you want to really get it across the finish line. almost at any price just to sell some and be public but i think shall it dsh they're doing the right thing probably if it priced tonight it wouldn't trade well tomorrow almost regardless where they price. >> and forgetting some of the fact that we have seen some of the biggest ipo's in 2019 and most under watered people with the names gichg the indications about where they
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thought the valuation was going to be. tricky then. but here we are her he here we are with losses are upper backer lyft and the little one be the zooms so small they didn't make up for that at this point now you still have some of the funky valuation stuff going on and people are saying i'm much lower. and just that simple. >> i don't want to run ahead i mean i know we're having a big ipo discussion later on in the show but here we are. in terms of talk bag this, you have a dynamic where first of all most of these guys come to the market nobody needs the stock anymore anybody wanting to own it bought it in the sophisticated market that's deep and liquid you have a number of companies where frankly you have leadership issues and people truly question whether this is the right leader to take them to the next phase they should have made the decisions before they went public in many cases because these are not starrups they're mature and finally you have the banks think about wall street or whoever is doing this. there is a koelgts conflict between what the banks want and
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the company wants, or. >> and what the public wants. >> or what the public wants and the company wants and leadership wants to get liquidity in the underlying business. to answer the question how do you get to the night before no one wants to believe you run out of gas no one wants to believe the ipo market is caving. >> it's aproeshs and it speaks to the risk off trade you see in the overall market all the ipos equate directly to risk off. >> it's funny because once upon a time in the market like a month or two months ago, you know these ipos were seen as the idiosyncratic growth source in the market and people wanted to go value. >> and peopled wanted to believe everything was a unicorn. >> and here we are, you know, doesn't make money can't see past profitability i'm done. >> karen said before you want to you shall it over the goal line. there is a part of me that says you have to price it and you have to cut it just to get it out this is worse. i would rather read the headline
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that it was priced in the hole they had a gain attention. >> smaller and just got. >> something. >> but to say they back out of it that's aproeshs for the market. >> that's right. >> and when they come back out if they come back out it's a wall too high to climb. >> let me add one thing. we saw square. when square came public it was a difficult tape ultimately they tied let's get it done sell a small% of the company price it wherever we need to to and tease been a fantastic story. i guess, i think that's an easier sell than a company -- >> how does this raise the bar for the other ipos waiting in the wings? >> well, throw in there smile direct club now down 35%. >> 23 bucks last wroek week. even crowd strike down 50% from where it was the entire bar has changed i think you have to ask yourself, what has changed it's not just a market philosophy and looking for profitability. you could look at the high jeeld market is having trouble getting deals done the leveraged loan market is showing cracks when the ipo market caves in an
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environment where liquidity is alive and well i don't want to start. >> is it a canary for the overall market. >> of course it is. >> but you said how does it raise the bar. i think it might lower the bar when you see someone cancel. >> the quality of the ipo has to be much higher ford to actually successfully. >> or priced lower, or priced lower. one of those has to give but i want the valet expect where we start to see the rotation again kick into high gear where people grasp on value versus any type of growth whether it's a unicorn or large cap tech name. >> to your point about canary. wework will be a note in the decades to come there may be bits and pieces. >> where is your office. >> where is your office. >> did they redefine a commercial real estate business? we're. >> were they disruptive? yes. >> were they led by interesting procure that is did some things. yes but it doesn't mean it has to be a $50 billion market cap
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company raising tense of balances in the private the equity and debt markets appear it's interesting when i started this business in the late 90s there are the four letter names. amzn no one knew what they did and no one used the products and didn't have revenue didn't have profits. but it was exciting things to think about how that was changing the world they were young companies. that's i guess the point i'm making these are mature companies, very disruptive but the inability to articulate the path to profitability keeps them in the dog house for years to come. >> taking a break had here tesla revving hire as ceo promiseding dlefr numbers. later on-the-me beyond meet teeming up with mcdonald's we have the details lives in times square in new york city, much more "fast money" right after this what if other kinds of plants captured it too? if these industrial plants had technology that captured carbon like trees
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welcome back to "fast money" tesla bouncing today as ceo promises record breaking delivery numbers on wait phil lebeau has the details. >> from a report in the website electric they say they have an internal employee email from elon musk where he says the company has a shot at the delivering 100,000 vehicles in the third quarter.
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now, remember tesla reports q 3 deliveries next week as you look at deliveries year to date as jut just over what 158,000 vehicles they have already guided to 360,000. so let's say that this report is accurate and that he says we have a shot at 100,000 and they deliver 100,000. that would bring them up to 260 meaning if they can recommend kait 100,000 in the acquire the quarter then hit the hits. reporting q 3 deliveries next we can. and by the way, melissa 100,000 deliveries that's a record the previous record was set last quarter at 95,000 vehicles >> well, you know for somebody who doesn't tweet anymore i want great that emails like can somehow still make it out to the media and investor and you know. >> we asked them for a comment we said could you release this email do you have a comment on this we heard contradicts from the official at pr people at
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tesla. >> phil, thank you phil lebeau in check wed bush saying they doubt that the tesla hits the consensus numbers for earning but here we are up 6%e >> a and down 27 years year to date but the tax credit i think goes away completely as of january as it is 1st maybe there is a pull forward of people trying to say maybe we are not doubting him completely at this point. maybe there is a pull forward that he sells a little bit more ahead of the tax credit going completery off. >> i'm not doubting him completely phil said next week they put out the numbers. >> yeah. >> he should have a pretty good sense. pretty good. >> which he is not supposed to release. >> that may be that's never been the thing. >> the ceo allowed to write email to the staff, which is what in was. >> the fact that we focus on deliveries right now i think is the wrong focus because, again this is a company that had 95,000 delivered last quarter.
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lost a lot of money they have a major cash problem they can't make the car profitably they can't make this car at $35,000. they can't make money. so first of all are we focused on deliveries when we haven't been focused on deliveries before for every other quarter where they content make deliveries if you want to focus on deliveries now and get exciting about them possibly coming up with 100,000 and maybe, maybe through front loading a lot of sales to get to the bottom end of a 360 range with zero profitability and a big cash burn, knock yourself out but a 6% pop on this news should not be -- you should be taking. >> what's the original guidance 3620 to 380 at the beginning of the year i'll say this i'm with karen, a week before the end of the month, they're probably getting close. your point is like how much did they pull forward to do that how much is the in the. >> are they profit snbl survive. >> first of all they're not supposed to have a channel but with he know because we have gotten emails there is lots of cars out. >> >> i got one. >> i will be what are the
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options. >> i want to tie together what we saw with wework let me tell you something if they come many in at 857,000 cars sooner or later i think that he runs the risk even though he owns this board of being removed from the company because at a certain point. >> what's the trying summer what's the pain point for wework wework has a massive outside investor. >> corporate governance was the biggest issue why adam neumann is not there you don't think people have massive issues on corporate governance with elon musk. >> i do. >> he is one of the biggest abuse esper in the public market. >> why hasn't it happened already. >> he is on the board. one of his big vc on the board larry ellisonen brother is on the board. >> triggers the examination. >> it seems already everything is triggered already. >> sometimes, though, when you take a few hits at something-like this we have seen some big, big ceoss gone over issues like this i'm say going opens the door. >> it should be a positive for the stock. >> public already.
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so there is that difference. >> that's true. >> we have a news alert on las vegas sands. back to dock. >> what we have las vegas sands chair spiking 4% on 87,000 shares of after market value this because there is an announcement saying that las vegas sands is going to be the newest addition to the s&p 500 replacing nektar therapeutics now a $3 billion company having lost $6 billion worth of market value over the past year las vegas sands into the s&p 500 for that reason. knows shares up about again 4.5% 87,000 shares of premarket value. nektar not moving right now. premarket. but there have been just around we'll call it 130,000 shares in the after market session for next are back to you, melissa. >> dom, thank you. dom chu back in the newsroom up next we watch shares of micron, under pressure after reporting results. we bring you the latest. plus another cryptoalert we find out what brought down bitcoin today. stick around "fast money" "fast money" will
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be right back. sfwls investors pumping the brakes on peloton. what the big drop means for the ipo market plus mcdonald's getting into on the make meat craze. but will investors have the appetite we're digging in when "fast money" returns another come aroud the corner. or could it play out differently? i wanted to help protect myself. my doctor recommended eliquis. eliquis is proven to treat and help prevent another dvt or pe blood clot. almost 98% of patients on eliquis didn't experience another. and eliquis has significantly less major bleeding than the standard treatment. eliquis is fda-approved and has both. don't stop eliquis unless your doctor tells you to. eliquis can cause serious and in rare cases fatal bleeding. don't take eliquis if you have an artificial heart valve or abnormal bleeding. if you had a spinal injection while on eliquis call your doctor right away if you have tingling numbness or muscle weakness. while taking eliquis, you may bruise more easily. and it may take longer than usual for bleeding to stop.
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we are so good. we built a guide that uses ibm watson... to help the blind. it is already working in cities like tokyo. my dream is to help millions more people like me. we have an update on the endeavor ipo hearing from the company that endeavor is postponing the ipo earlier rereported that sources said to dow jones that it was a abandoning the ipo but it's postponing the ipo the implication the pichlt o the will happen at a later with you but expected to begin trading tomorrow earlier today it down sized the
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offering and lowered the range but we aren't getting the ip for now moving on recapping earlier news out of d.c. that u.s. and mctrade talks set to resume and october 10th a and 11ing our next guest says do not hold your broegt on the trade deal. let's bring in mark usco. >> not going to happen. >> no, look. not never i even wore my trade war tien panda on one side eagle on the other. look not a deal. there was a potential deal maybe in the march time frame. and u.s. backed away from it that was all that china was going to take. u.s. wants china to admit wrongdoing there is no chance they do thap there is not going to be a deal the real problem i sees in a solution without a problem even if we announced a deal what's going to change right? global frayed is is not going to bounce back. there is not really anything material in the numbers.
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like nafta changed three small things call it a big deal. it's not a big deal. we are making a big deal with north korea. nothing. we make ma big deal in the middle east. nothing. there is a lot of talk out of washington, d.c. not a lot of action. i think if people are betting that the market will rally on a trade deal, sure there will be short covering, short-term raly couple days but long-term the fundamentals -- i love i'm not the outcast you guys were talking about problems with growth and the fang stocks. >> you were an outcast. >> you didn't make me feel that way. there was a lot of bullishness not here necessarily but on the market there's been ee buol yens and i don't get it. >> fair warning, i mean people out there might think you are an outcast over we go over what you think the markets are value. you think they are overvalued and have to fall to 49%. >> outcast. >> to get to fair value. >> remember when we were to get. >> how do you get to the number. >> we were together a year aigt.
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october a year ago and you asked me what i thought of the market. i thought it was 40% -- needed 40% fall to get to fair value. we're about the same level the problem is earnings are less good earnings have fallen dramatically in the past year. so now the pe ratio is higher. the value ratio is higher every measure of valuation is higher we're 91%ish over value on a number of indicators you now that would take 49% to get to various value. >> mark going back to global trade. let's say we get a skinny deal focused on the trade deficit pch i think it's something we should expect because it doesn't take a substantive deal if tariffs are a enforcement mechanism for a deal will the tariffs come off immediately and is that one of the reasons you do not see global trade bouncing back quickly. >> i think the tariffs are a tax on poor people it's a bad plan. always been a bad plan two words. smooth hawley.
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tariffs never worked not working this time should they come inson objectly they should have never gone on in the first place. the problem is we are fighting a war in washington that doesn't exist, went away 20 years ago. 20 years ago it was all about made in china. we joust sourced labor and chf to china cheap goods and everything bought made in china. i thought you said santa claus brings the presents. he does np they all say made in chicago now it's about made for china. china will be the greatest consumer market in history over the next 20 years zwloo they know that. >> they know that. >> do they know that they've been waiting for that to transpire and it doesn't seem that has transpiring. >> it is they've taken 60% ut of the population off abject increase ds the standard of lifting go to hang high see the increase in population of the middle class the middle class is rising at
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ararmg pace. all of the quality numbers, the export numbers it's about importing doo row doing deals to grow consumer, technology, health care, consumer the last fif years going to be the five biggest secretary esper in the mcin the next 50. >> we have in dire outcasty kind of prediction. what is going to be the trigger do you think to get the ball rolling. >> i said the market is overvalued it can stay there a long time. >> of course. >> it has. a year ago 40% overvalue went down 20 and on its way to correcting and the way i talked about it was i said it would fall low single digits last year. it would probably fall double digits this year replay of 2001 and then it's 2020 that i'm worried about. that's when the debt bubble pops look, corporate debt in this country has doubled. >> you say pops what do you
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mean. >> enron world com, bankruptcies. >> what trilg trying theresa pop is it a rezbleegs recession. >> okay declining growth decline in the export numbers. all the things we are seeing >> but last year mark wasn't the bigger issue when rates went higher process refinancing all the corporate daet at higher rates had the potential even a in you will err paulback in the economy now rates lower is that put going off. >> back where they were before my point is it's all about growth and growth is gone you see in the big growth names. the big valuation drops. you see it in ipos cancelled you see it on the streets, right. you see not as much traffic. not as much tourism plane haves room on them when growth slows debt becomes less serviceable and i think that's where it's headed it doesn't have to be the big bad ugly 2008 recession. remember 2001 first quarter was negative second quarter positive.
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third quarter negative didn't even have two back to back negative quarters full year was 1% but still a recession. the market fell 54% peak to trough that's the type of cycle we're in now, are we there? the problem with recessions is they're always called expost, not ex-ante. webd be in a recession six months from now they call it and say started in august, september. i don't know. >> quickly before wfr go, bitcoin. >> yeah. >> under 8 -- out 8,000 earlier today. >> buy it. >> regardless. >> every day. >> if i said to you bitcoin dropped to 5 through you said you said you'd say buy. >> buy it the daily price of bitcoin doesn't matter it's been alive ten years. and every year other than one 2015 it's made a higher low. the market cap has grown every year every fundamental indicate are of bitcoin, usage, wallets, block size, trngs transaction
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size, numbers of transactions every one hash rate making new highs. all of the indicators of the network and the network value are rising the price of any asset flukt 80s. let's take amazon. amazon is a public company for 20 years everyone year including this year set a double digit draw drown are down the ample peak to trough minus 21%. when was the right time to sell in who owned it jeff and his mom and dad. that's it. >> we're going to leave this there. >> morgan creek capital zplout cast. >> aka outcast. >> mark likes yum. >> you have a trade deal of some kind even a headline i think a dynamic. i look at emerging market and see downside squu. and i think the it's interesting. if we are talk bag growth and credit issues i have even in movie so many times.
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em is not rally. >> check out chairs shares of microhighlights from the call plus carnival cruise crushed on earnings today and ogss traders ttg more trouble in paradise we break down the action much more "fast money" after this ♪ (classical music playing throughout)
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welcome back to "fast money. we have the earnings alert and micron the stock down in the after hours session. josh lipton has been on in the call in san francisco. hey, josh. >> melissa, the stock surged more than 50 years year to date heading into the print now heading lower in the after hours. checked with matthew brisson of we had bush he covers micro micron hold on the name print was fine in his word but the q 1 profit guide was disappointing investors wanted to see gross marjing stabilize. they are coming down still this is a company that does traditionally guide conservativively he says but investors were looking for mop the ceo talk bag signs of improving industry demand but then also talked about what he called near-term macroeconomic and trade uncertainties. what he said about one customer in particular, huawei was interesting and how that uncertainty with huawei is kbaking his business take a listen to that. >> we have applied for licenses with the department of commerce
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allow you go to ship additional products but there have been no decisions on licenses to date. we see ongoing uncertainty surrounding u.s. china trade negotiations if the entity lifts restrictions against huawei continue and we are unable to get licenses we could see a worsening decline in sales to huawei over the coming quarters >> and that executive did talk about end markets. talk bag mobile. saying the company is well positioned to capitalize as 5g accelerates in 20 but dlefrs not taking confidence in that the ceo will be on cnbc tomorrow morning talking about this report, the trends he sees and the macroand trade tensions. be sure to stay tuned for that become to you. >> josh, thanks josh lipton in san francisco. this is one you were watching yesterday dan. >> this is interesting people are worried about the uncertainty about trade. but really the gross margin decline i think that's something that you know you'll see in
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in -- this uncertain sort of market where the oem squeeze them a bit and that's what is what's going on here probably but the stock was up 50% into the print. rallied 20% in six months. down 6.57% on murky guidance could be better if there was a trade deal the stock works bab to. >> d ram chart and nan chart ran up in 2018 customers got ahead and bought d-ram and expensive. and fall poff a crap processes nann d-ram. about supply and demand. i don't think anything a tillened for them. >> do you think -- it will be be down tomorrow. the whole sector down. but is the bar lowered and there are others jumping over. >> eventually. but if you truly look at -- you saw nand pop a bit this year, and the stock micron bounz ds then you see nand flatten off.
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appear d-ram is in the toilet. the stock should be down there too. based on the fundamental you should not be buying the space, period. >> i think we need to confirmation that the recovery has begun and this didn't give that i think a lot of people were waiting for that in addition to the gross margin dan talked about. >> we saw broadcom give guidance not particularly great and that stock has been stuck. intel gave murky guidance a couple months ago. but that stock is stuck in the 18-month range interestingly the one to watch the texas instruments they are elk it us throughout the year where they are in the downturn of the cycle i think of a lot of investors think they are one or at most two quarters >> very sober. >> from the end of the downturn process that broke out above 120. you could trade it on the rung side against 120 but if they guide down the space is going down because it's just -- you know, i think to steve's point there was double ordering in front of what could have been the later tariffs.
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prevagen. healthier brain. better life. welcome back to "fast money. let's look at some of the begz headlines this hour.
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ep defer now postponing the ipo. the talent agency group originally expected to price tonight and make the debut tomorrow and our kayla tausche reports trade talks set to resume october 10th and las vegas sands getting a boost in the after hours after it replaces nectar therapeutic in the s&p 500 topping the tape beyond meat, mcdonald's announcing it's testing a plt, plant let lettuce tomato burg. the stock popped 11% on the day. prt. >> the do you think they'll call it mcplant. >> mcplant burger. >> for mcdonald's who is slowly in the last couple of years gone from being outcast to actually being somewhat cool. i know this is crazy apparently dan is going there late night and eating. i think this is a great move i think it just affirms they are relevant again in the mix and this is dishneau dsh this makes a lot of sense for them. >> and there are plenty of
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people going to mcdonald's steve you get the artisan chicken sandwich. >> artisan chicken sandwich. >> you know. >> but to the the point where they are doing testing here to see what type of demand there is and the ceo was on today and he mentioned is is it people moving away from meat or people coming directly in that don't go to mcdonald's that now are going to plant-based i think that's the fascinating data point we zblee would you go. >> i buy alt meat anything. >> way not. >> i'm not convinced it's healthier. >> i think lousy thing that mcdonald's people did to our friends up north you guys try it out. see thousand goes. maybe we bring it down here. >> but tim horton it that beyond meat they did the rollout also. >> near open minded north of the border >> it's a nice thing we are
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doing. >> a couple of monster stocks rolling over that broke the uptrends that have been steady literally mcdonald's literally earlier this year trading 170 got to 220 it has broken the uptrend. it has broken the uptrend. you know, we are seeing
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i'll give you 20 bucks if you can give me one outkast song. >> you won >> hey ya, hey ya unitedhealthcare near two-year lows the stock is very good support valuation makes sense, finally >> you had no -- >> i'll take it now. you can pay me later >> near all-time highs, hyg. when markets get ugly, that thing has some downside. short hyg. >> i think you want to be selling smh. the guidance with micron opens
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the door to negative preannouncements. >> lennar. i think it's got a 20% more room to the upside. >> all right that does it for us. i'll see you back here tomorrow at 5:00 for more "fast money." "mad money" with jim cramer starts right now my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate, teach, put it in context. call me at 1-800-743-cnbc or tweet me @jimcramer. all right. how do we make sense of this seesaw of a market. >> -- buy, buy, buy. >> sell, sell, sell!


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