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tv   Squawk on the Street  CNBC  April 28, 2022 9:00am-11:00am EDT

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penalties from the latest salvo in the dispute over back taxings related to amgen's operations in puerto rico. but that immediately hit that stock, and it says 5.1 i see 7 here maybe it's a dispute as to exactly what the penalties on it are. join us tomorrow "squawk on the street" is next good thursday morning. welcome to "squawk on the street." i'm carl quintanilla with jim cramer david faber is on assignment the bulls try again after numbers from facebook, qualcomm, paypal, pinterest are better than expected or provide a reset. all those names higher today q1 gdp goes down, first decline since 2020 gdp does unexpectedly decline in the first quarter. meta surging on better-than-expected profit. we'll dig into that quarter and
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what zuckerberg said about the challenges that may lie ahead. and cathy woods' bet on teladoc backfiring after warnings on cost, inflation, and a slowdown in sales shares of meta surging in the premarket. profit exceeding estimates despite the company's slowest revenue growth since going public a decade ago. >> i talked last quarter about some of the near-term challenges facing our business. some are specific to meta like our transition to short-form video, which doesn't monetize as well for now but which we're quite optimistic about over the long term. some are specific to our vi, like signal loss resulting from apple's ios changes, a meaningful head wind, but we expect with the right technology investments we'll navigate over time >> jim, this could be the third biggest gap higher on earnings since going public
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>> there was so much that was good here. zuckerberg did three things right. one is that i think tiktok will indeed be on the run from reelz by year end is predicted because they'll be able to measure exactly whether the return on investment for reelz right now, people like tiktok say i have a lot of influencers, if i put it up -- no mark is saying we can offer targeted reals and there's a very big deal, even though he won't be able to make as much money. the second thing, is the costs, i mean, we thought the costs were going to be terrible. we obviously -- given the fact he's got a plan to beat tiktok, he can cut back that third, he's talked about an ai solution to apple's third-party restrictions and that's amazing. that says, you know what, if you use us, we can get around what apple says by modeling this is just science ai, machine learning
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confident call, a call where they believe that they didn't have to spend nearly as much we have no idea -- we've got this family of apps, the one we're familiar with, and that was quite strong the reality lab is a black box it seems clear that zuckerberg feels like they're on the course already with defeating tiktok, so now it's time to go for the 2025 plan. i loved the call he said you can watch this company from europe if you want to see what these people are doing. he's working closely with nvidia he talked about the idea in the metaverse you ewill be able to look at a digital twin that's exactly like you >> today bofa talks about cloud capex, one of the bright spots in the quarter and it's positive for nvidia, amd and others >> i would do it in that order
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nvidia has the most high performance computing. there is a slowdown in gaming. we know that from microsoft the other day. amd's got pcs that people worry about but they're not low end. that's intel i don't know when i look at what's going on, high-performance computing, i want to be there and marvell is the one, the second largest position after qualcomm in the semis because they're 5g, which we know from qualcomm is strong in the high-performance computing matt murphy has the right combination. >> would you argue going into the fb print last night people were afraid it would be this colossal land mine that could unnerve the tape >> absolutely. we thought the daily average users would not go up. by the way, western world daily average users kind of flat indonesia and india were the two bright spots so you've got flat and then those two.
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no as they would tell you, india, don't asterisk, they matter. those were the ones where things were driven up it was a very encouraging call because from the very beginning everyone was skeptical about tiktok versus reelz. when i worked with them, what's interesting is you can see -- you can make it so that reelz is for who you need, where tiktok you blast it out. day-time precision bombing, which is what zuckerberg is talking about, rather than saturation >> going into apple, amazon tonight, are you more convinced that 4,200 roughly is a floor? >> apple has its own issues. there's clearly a notion that you've got this lockdown in china, if that's the asterisk.
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people can't go out to buy the phone. yesterday t-mobile had 1.3 million additions and they get that by giving you the phone it makes me feel once again the 13 pro was a breakout phone. people tend to see oh, 12 -- the 13 pro enabled you to be able to do tiktok really well. and people want to do tiktok and reelz too. i think -- it wouldn't surprise me if tim cook said, if it weren't for china we have great numbers. how does the market take that >> it's not so great if the stock is up. if the stock calms down, it's okay it's not great but it's not down the way meta was down meta was really surprising because mark zuckerberg sounded like the old mark zuckerberg and the idea that they've been able to get around what apple was doing for third party, pretty amazing. i think apple will do just fine. just fine. own it, don't trade it >> we'll talk about it all day
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long >> we should >> futures, of course. we mentioned the higher open despite gdp going negative for the first quarter, it shows the economy shrank at a 1.4% annual rate, the first contraction since early in the pandemic. economists were expecting about 1% growth. if you had taken out inventories and trade and lower government spending, you would have had a positive number. >> right my problem is this this is a number i want to get through. we care about running hot. and everywhere and every quarter -- when hartung is telling you it's the highest ever inflation at chipotle or whether it's -- >> mcdonald's today. >> mcdonald's. look, i think the biggest issue, carl, is how do you slow down grains how do you slow down rice? we cannot forget when you wake up and putin is talking about weapons that you would never dream and you have the 13% calories taken out by ukraine, you're not going to get a
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reduction in that complex until that war is solved and then when it comes to the upside, you're not going to get a consumer confidence boost until china decides to use the bio and tech two problems putin is a crazy man i don't think anyone disagrees with that. and president xi, i think that for life will be asterisks if they don't solve this. you'll get a famine. you can't put country -- you can't stop something that is a novel virus. you can't. we've learned that here. >> the hard way. >> yes look, you just get it. i'm looking at one, two, three, four, five -- if any one of those guys has it, i got it. superspreader events you go to the notre dame/ohio state, which that would be like shanghai versus beijing, i guess, i don't know, well, everybody gets it. everybody. i don't know what they're thinking i don't know what president xi
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is thinking. bio intech is not american it's european. how much disdain do they have for us locked down oligarch country >> we talked about pride speaking of china, caterpillar does beat, revenue up 14 operating margin down, but it was ahead of the street, jim, at 13.7 >> they talked about china weakening. when we hear that, we say isn't that why we own that the narrative -- i'm not on the call right now, but we see coal being used everywhere. spend a lot of money on coal not that we want coal used everywhere, but we prefer goal to gazprom germany has to make a decision, and that's whether to let russia pollute or they should pollute germany has to send heavy weapons vianney toe, but if they do that, well, does that mean that putin feels it's time to
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bring out a tactical maneuver? >> you think that's on the board or think it's -- >> when crazy people are -- have nukes, you know, unless it's dr. strangelove and it's a movie, it's existential. >> yeah. there have been some comments from the german chancellor today about as long as it's gradual, maybe they could make a russian ban on their gas work. >> they have to do pipelines poland has the most pipelines. the only way to solve the is that president biden has to go to all the different natural gas facilities we have in the southeast and say we want every contract broken and we want it all to go to europe. >> we approved a couple more projectings yesterday. >> if they do that, there would be energy independence by the end of 2022. but he has to tell them they have to break contracts. he has that power. will he use it i think he has to recognize that
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our companies will obey, but they're not going to a bay unless he says defense act, we want these contracts broken. then he can do it. >> bofa's point this morning was that the china lockdown at least appears to be abating for a bit. the market have priced in a lot of what's gone on negatively regarding ukraine. and earnings are doing their job. would you argue those three things are true? >> i don't see the china lockdown ending as -- >> not ending. >> and by nike, they're the one that's been most hurt. that's a very bullish scenario if it is, then even after yesterday, you can buy almost anything the problem is then you get your -- you buy caterpillar and you're upside the head you want might to buy the rails on that call union pacific coal and norfolk southern, those would be great ways to play it. >> we have three big inflation prints tomorrow including eu
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consumer price index and then of course our cpi next week, jim. >> you have to go back to d.r. horton talking about how they have 600 homes that are like left in their inventory for sale they're raising home prices 25%. that's not sustainable we have to see whether people locked in a low mortgage before the run and are buying moments and now you can't lock in a low mortgage, you're getting a high mortgage, so that may is the beginning of the month where you may have been locked in. may is a crucial month, carl it's make or break you need to see housing down you need to see some sort of food down. pound of butter. ten bucks. ten bucks! now everybody has credit cards, but a pound of butter, 10 bucks. avocado. don't even talk about it that's the cost of my electric bill >> do you think it's weird
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optically for the fed to hike after a negative gdp print >> not at all. everybody's just -- the big companies are just saying, please help us most of the companies in the country are stuck. you have these salespeople and your ceo says i want you to go to your client and say the new price is plus 30%. the salespeople say i can't do that, they'll hate me. but you say no we've gotten from somebody else 30%. i know a great company, listen, we'll charge -- you have to ask for a 30% increase no matter who you are. that has to end. and in order to be able to do that, you have to be able to say i can't put the price increase, i'm sorry, the fed is tightening aggressively >> ford just outside the exchange this morning said car prices likely to keep rising from here. >> yeah. jim farley, i had him on last night. i think raw costs are coming down and he doesn't need to
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raise, but he still sees the climate. as we see it, steel, aluminum, the war in russia, we act as if it's just in ukraine there are new humanitarian -- just so people know, to be able to help people my daughter sent me this today we have to take hundreds of thousands and people and do it now. >> when we come back, the stay-at-home stock blues, we'll look at shares of teladoc. 31 after going from about 90 precovid to 300 and tumbling all the way back we'll talk about it. and southwest's bob jordan on his company's first earnings since becoming ceo the premarket, a slew of earnings to get through in the next 45 minutes with jim don't go away.
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lu ve luvongo is part of that. they weren't near as much and tollman made a good deal kathy wood on 426 put $77,000, and 35,000, and she's you a land mine she seems to go after companies right before the boom is lowered. that was what i call an ill-advised purchase >> one of her biggest positions, or was >> yeah. it's not as big because the stock went down, but -- her ratio is bad right now she can be in tesla all she wants but she's in teladoc when you look at it, she didn't know anything. >> i was looking at three-year returns yesterday, jim i think live nation and planet fitness have now outpaced over three years total return on
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teladoc, peloton you wouldn't have thought that going in >> live nation is a juggernaut, run by smart people. we work with endeavor, right so, you know -- >> you and me, yes >> so he's my agent. but this whole live entertainment business has come back big that's endemp. also tokyo, one of my favorite shows. they had an nfl deal when i'm looking at companies that are pure out of the home, because anything in the home has become a pariah. >> why do you think it is that we've struggled to get certainly back to work five days, that's never going to happen, and yet the idea of dealing with your doctor remotely obviously from their direct to consumer business, you would suggest is troubled >> what's great is there es, like, five of them there's five they were doing, like, this
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mental health psychiatrist, sorry, guys, there's a lot of companies who do that. and people switch, oh, that doctor -- fungible so teladoc got in a business that turned out to be much more of a commodity, like cold rolled steel. true by the way, this video game thing, we have to go back to it. if you go back -- microsoft is amazing, but video games are bad. we need to know more when you finally have availability, i like best buy very much, but i think they thought the cycle would have another year i don't know where to go from here with video games. people want to be outside their house. >> we'll get hood tonight and roku, two names that -- >> i was tough on hood last night. they put a lot of people -- fin ross put a lot of people in stuff that was not what they should have been 22 million people, a lot of them got blown out of the shop, so to speak. >> we'll find out.
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tonight's prints will be very interesting. we'll get cramer's "mad dash" and count down to the opening bell premarket looks good as we try to bounce back from what has ckn montk.ficult wee ba ia me on a comprehensive wealth plan across your full financial picture. a plan with tax-smart investing strategies designed to help you keep more of what you earn. this is the planning effect. you're a one-man stitchwork master. but your staffing plan needs to go up a size. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit
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time for kram ears "mad dash," counting down to the opening bell >> it's hard to believe bill mcdermott, one of the great ones, could be lost in the shuffle today with service now when they delivered the best growth quarter since the first quarter of 2018 when they were a very small company i look at transactions over $1 million. it's 52 transactions you have 26% year over year
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growth this is the kind of number that we used to get from these cloud companies. i just think that this is one. even if it's up 30 >> is it because of the hybrid work environment or something else >> well, i mean, i just think he's winning a lot of business the people i know who hire service now, they've been able to save lot of money i think a lot of people wish servicenow, because i.t. should be automated, onboarding should be automated when you join a company, should be done seamlessly i'll play my cards i always root for bill he has a great book about his background you know, i know people are tired of the from nothing and people are tired of the success stories. i'm not. i do not tire of the horatio alger stories and i think bill has servicenow, which has always been a good company.
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he's at another level. so it's up 39. it will be up more because this quarter was the best of the class. >> and this is explained by what just concerns about enterprise i.t. >> multiple compression and the idea that the cloud had had it i'm wondering whether there isn't a room for salesforce stockwise, not businesswise. my father served in kyoto, which is cool. the pictures are amazing salesforce wishes it owns servicenow >> we'll see what holds today. opening bell a few moments away followed by southwest's ceo and bill mcdermott later this morning. >> he' bgrt.lle ea
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qualcomm shares higher in the premarket. they posted a quarterly beat focused on its non-handset business john ford will have an interview
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with christano eamon one of the best points of the day? >> he's been making it so, look, please, don't think of us as sell, sell, sell we'll be 25%, the highest end. gm, by the way, will be built on a qualcomm chassis what i like about this is you can read through, perhaps, have to mention apple's name, you can read through that apple high end will be very good. i've got t-mobile yesterday saying good thing, i have qualcomm saying good things. amon, that interview will be so much fun because he has been saying 11 times earnings going into the prints. he deserved better than that and he is a vivacious, exciting man and great interview. [ applause ]. >> where does the bear market go after some of these reports? >> gaming is big especially because gaming has
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gone down high single digits anybody with gaming chip, nvidia, pcs, games with amd, intel. [ bell ] at this point, nvidia is being valued as if it's an industrial weapons stock. it's more than that. by the way, facebook, when i talk about nvidia on metaverse, i think that the metaverse, and disney, too, has metaverse, you have to go to jensen wong because you can't do it yourself >> jim, a pretty good breadth at the open as we see ford at the exchange celebrating the launch of the all-electric f-150 lightning. the cfo doing the honors at the nasdaq a provider of voice, ai. we'll pay attention to how the
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lightning gets received, i guess. >> i actually thought that ford -- i liked the numbers ford's stock down from 25, lightning sold out does he have a nonindustrial combustion engine team that's okay to pull it off. but my favorite line was from doug field, late of apple, who says "energy efficiency is a religion." i don't know there's three great religions. now i think we have a fourth energy efficiency. i like doug. he was very prominent on the call, which to me said that there's no doubt about it, farley wants to be the king of ev, taking a shot at mary from gm, too many nameplates. then again, it's 9:31 and we've not mentioned musk >> right >> right ford is down that's interesting i didn't see anything in that number that should make it go
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down >> you did talk to jim farley last night, specifically about the path for commodities from here here's what farley said. >> all the commodities, that's very real. their suppliers, they don't have the ability to price to the consumer like we do, so they're looking for better pricing and combinations the good thing is our pricing has offset all of that now, i believe we're underearning as a company so we have more costs to do this year, next year, next couple years as we talked about on our ice business that will give us room to maneuver >> january bad, february okay, march really good. you're getting against a trajectory that's great and you're betting against jim farley, not a guy you want to bet against. i email him at 4:00 and get it back 4:01. it's, like, you know, usually -- a lot of the emails are i'm sending an email saying here's my picture of my maverick with
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my wife in it. at 4:01, he's like why can't you get the maverick back and stop the bronco he's got an internal combustion group, blue, and the ev group, and you want to sell this at 14. i want to know why i want the thesis. >> adam jonas would argue there are inefficiencies in the dealer model that can't compete with musks and teslas no >> adam jonas is right to some point except for what i think he doesn't understand is the iconic nature of the f-150. look, musk has interesting cars. they're very good. but the f-150 is terrific. by the way, the hummer is terrific too i just think that to write off america as being -- it's to say the mustang that sold out, the
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f-150 with 200,000, of which he could take many more if he could make many more where adam jonas, who i call lenny bruce, because he's ironic and funny, i don't think he's car person my woof is a car person. she test-drives everybody. i said what do you want to do this weekend test-drive that's all we do went to italy, we test-drive the lamborghini because you heard you go to 180 miles an hour. it turned out to be 180 a kilo kilometer. whatever but people in this country test-drive because it's something do it's the f-150 she wants to test-drive that more than the hummer no offense, mary barr, the hummer she said was hard on parking. >> we'll see if there's a fly wheel in ev. a lot of the gains are being led by meta, qualcomm, and servicenow is in there too >> good. i urge people to understand that
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when you talk about meta, what you're really saying is mark zuckerberg was going to spend billions to beat tiktok and he didn't have to spend as many billions that's what the story is >> metaverse losses came in under $3 billion, jim. >> amazing >> the street was a little above that >> mark zuckerberg has teams all over the country, solving the problem while he works on metaverse. they did i'm handing off my mexican restaurant to my manager, and we were talking about tiktok versus reels. they spend a lot of time thinking about which is better reels is better. i told zuckerberg that i said, it turned over everyone was using tick tob because they were like, hey, i got a lot of friends well, zuckerberg is saying i got a lot of ai. i like ai more than friends. even in real life. >> you have talked about it as a second-half story for a while now. >> is it ever. is it ever
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by the way, their cfo is like a regular person he's of this universe. zuckerberg is smarter than all of us. there's zuckerberg, musk, wang, and everybody else it's all right >> like the rest of us >> i was, like, eighth in my class at college my father said seven people were better than you. never forget that. >> shares of southwest are higher the company maintains its profit forecast for the year, booking and fares outpacing higher operate costs. phil lebeau joins us with a special guest. hey, phil. >> hey, carl bob jordan, ceo of southwest airlines good to be down here in dallas >> good to see you >> it's great to be here look, on a day that's busy, a lot of people coming in, new hire, we'll talk about that. paint a picture of the environment right now. you said we're going to be profitable this year how much demand are you seeing
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right now? >> first off, welcome to southwest airlines and our awesome training facility. this facility is packed. >> that's true it is packed >> thanks for coming our way the first quarter is a tell of two different halves of the quarter. january and february were very impacted by omicron. over half a billion dollars. but for that we would have been profitable in the first quarter. march really turned around, really strong demand in fact, march was our first month where we had actual operating revenues ahead of march of 2019. we've seen that demand continue basically as far forward as we can tell right now the outlook for the second quarter is really good we're expecting operating revenues to be up between 8% and 10%. that's on capacity down 7% it's all forecast, but if that happens, that would be a record all-time operating revenue quarter. that's just a gigantic turnaround from the last two years. >> part of that growth in revenue is ticket prices have
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moved higher, offsetting things like jet fuel costs. do you think ticket prices have peaked when you look at the next couple months or do they edge higher further in the year >> demand is strong. anytime that happens you'll get an acceleration of what i would call average ticket prices what i would tell you is we've taken only one very modest fare increase, and that was $5 in early february our fare structures have not moved, so the low fare structures and the low fares you love to see from southwest airlines have not moved. as people and our customers buy and buy sooner, it pushes prices up through the fare structure. anytime you see strong demand you'll see an increase in fares. >> what's the biggest constraint on growth? is it getting the staffing that you want is it getting the aircraft, as many of the aircraft as you would like to service as many of the cities that you serve right now? where is the biggest constraint over the next year >> the constraint is obviously staffing we really didn't begin to staff coming out of the pandemic until
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last fall. you know, for two years we rally added nobody you get that machine going again and we've added thousands and thousands of folks since the fall within that, the real constraint is pilot hiring and flight instructor hiring to train our pilots we've not quite caught up to the number of pilots that took early retirement we're close. we have to catch that up then the second part is we had thousands of pilots that went out on long-term leaves during covid, and we brought all those folks back we really just got them back and fully trained in february. and last, a lot of our pilots that we've hired, they're still in training. so while we've made tons of progress, we don't have a lot of our new pilots on the line yet the real constraint is pilot hiring. >> jim has a question for you. >> jim, good to see you. >> great, bob. i met you and i know you're a gentleman, so i'm going to test that you said that the issue might be pilots, might be staffing. in your footnote "d" on -- in
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your earnings announcement, you say aircraft on property, you talk about basically what you're going to be constrained by is the delivery schedule for the boeing 737 and you say that's dependent on the faa. i want to know something right now. is it to some degree dependent on the execution of a company that you've relied on and that the execution frankly is subpar versus what southwest deserves >> yeah, boeing is a terrific partner. they've been a terrific partner for 50 years with southwest airlines what i love is that we have a lot of flexibility we have flexibility in our order book and a terrific order book we also have flexibility within what occurs within that order book so we can substitute max 7s for 8s the year has move aid long here, and there is uncertainty behind the timing of the authorization and certification of the max 7, we've just, as time has moved, we've converted those to max 8s. so we have the flexibility to do
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that two, working with boeing, they're a terrific partner and as we do, that we've not modified our capex guidance for the year of $5 billion >> so, all right back to stamping for a second. whether it be starbucks, amazon, these are companies faced with something i remember when i was growing up, they have union issues a lot of them, by the way, have nothing to do with wages, more to do with the way people are treated. i've always felt that southwest, because of the way people are treated, would not have a problem. but you hire so many at once is it a possibility someone says we have a real shot here, let's get the check off and take over southwest? >> well, the -- we've never had a problem hiring here at southwest airlines we've always had in the past upwards of 40 resumes per open position we still have an awful lot i think we're running 14, 15 open applications.
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so you have to work a little harder you've seen us raise our starting wages in some areas from $13 to $17, in some cases $20. we have not had a problem hiring you have to work a little harder the constraint is our pilots i visit with our new employees that we're hiring all the time what i'm finding is they are absolutely terrific. they are a terrific fit with southwest. what you've got to remember, though, is we've hired thousands, we have typically on any given day about 1,600 of those in training. so they're not yet proficient, they're not on the line. they are literally in training we have about 15% of our workforce that is new since we began hiring last fall so while they're out there working, they're not proficient. you know what it's like to have a new zwrob. it takes time to be efficient and proficient about 50% of our workforce is working but not proficient at this point that's a lot we can wring out in terms of proficiency in the next year
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>> in the next couple weeks, you, southwest, along with your other competitors who all serve florida, will be meeting with the faa. if you look at the numbers in terms of flights going to florida, it's no wonder that when a storm goes through there, it just wrecks the schedule for airlines and it's hard for them to recover is there a cap on how much service can go in to florida everybody is well above where they were in 2019 in terms of daily flights into different cities in the state. >> first, i would love to thank the faa, so we've got a meeting here in may and the faa is looking to address the problems and bringing the carriers, including southwest airlines, into what those solutions look like there's no doubt that florida is tougher. there's more weather there's space launches going on in florida the flight activity on the scheduled side is back to 2019 levels >> above it. >> above it in most cases. the typypical solves aren't
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producing the same result. the other thing is general aviation traffic in florida is up far more than scheduled traffic. that uses the air space to we have to think about that as well because it's another consumption of the air space we all use. >> quickly, corporate travel you were down 30%. you think you might get back to break even by the end of the year is corporate travel changes in terms of what you're seeing, how people are booking their trips >> generally again, overall, we're seeing demand that -- our chief commercial officer andrew waterson says on fire. demand is strong that's leisure and corporate corporate business is still below 2019, but we've seen a huge increase. we were down about 36% in march compared to 2019 but that's a 34-point improvement compared to january. it looked like april will be probably down 30 you're going to continue to see sequential improvement this may and june while it's just a forecast, i think you've got a real shot at managed business revenues fully
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restoring the 2019 level base the end of this year >> if this economy slides into a recession later this year, early next year, does that change the demand equation? this is different than what you guys have seen in the past, operating an airline heading into a recession >> i think there's a lot of factors because it's just not a normal entry point into what could be a recession you have fed policy that arguably is a bit behind but the fed is on it now you've got very strong consumer savings. savings is above -- it's double what it was prepandemic. you've got very strong demand. you have inflation that does not appear to be transitory. it's difficult to play this one out compared to a normal recession. but i think the main thing is we're prepared either way. we have the strongest balance sheet in the industry, we have $5 billion net cash, not net debt, net cash, and we're prepared for anything that comes our way. >> bob jordan, ceo of southwest airlines there are people all over this
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campus when he says they're hiring, they're hiring i can attest to that >> we are. thank y'all. >> thanks so much, our phil lebeau great stuff as always. jim, a list of names we haven't gotten to. mcdonald's, comcast, twitter, paypal >> paypal was subpar, but people are expecting some subpar. and comcast parent company's network, i don't know, theme parks, people are going. disknee, the most hated thing on earth is disney. i think it's the most overly hated stock in the market today, like pinterest >> the worst performing dow stock over 12 months and i think it's red today >> is it >> the streaming premium >> is it red today >> along with amgen. >> amgen that giant tax liability that surprised me. otherwise, they had really good numbers for their migraine drug. this market hates disney so much 110 is my next level for my
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travel trust invisalign, people decided, you know what, our teeth look fine even though our masks are down that was a big disappointment to me i didn't like that one >> deferrable procedures you could -- you'll come back to >> i was thinking about using invisalign, but with that number i'm not going to dwruz it use it if your teeth are spreading, you have to huge it. thermo fisher, a lot of people said post-pandemic into epidemic, you don't need thermo's machines. there is life science out there. >> talking about losers, dpz and stanley works. >> stanley works has integration -- you know, they don't get -- half of the stanley works stuff is on boats somewhere. >> prior to 1,250 for the year,
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now 950 to 1,050 >> there's a level to buy that stock. i just haven't found it. people feltscher win williams had a good number. that was was passing on costs. jim is doing a good job but they are stuck with having time port a lot of goods they put a plant in mexico, the only plant in north america. the issue for these guys is where people make things if you make them in china, you're a hostage to china unless they're sold into china the way that apple does it because you can't get the stuff here the way you would like it's not president xi's fault. i'm done playing it up >> we'll watch some of the names that are down and a pretty good number are down. get in on the cnbc investing club with jim. find out more at or join the club or use the qr club
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on the screen. bonds today, ten-year back to 2.87, long bond above 2.9. we get some key inflation metrics tomorrow for the gdp number, price index came in at 8 and we were looking for 7.2. do you have a life insurance policy you no longer need? now you can sell your policy - even a term policy - for an immediate cash payment. we thought we had planned carefully for our retirement. but we quickly realized we needed a way to supplement our income. if you have $100,000 or more of life insurance, you may qualify to sell your policy. don't cancel or let your policy lapse without finding out what it's worth. visit to find out if your policy qualifies. or call the number on your screen. coventry direct, redefining
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we are definitely keeping our eyes on shares of tesla, now down almost 5% to 841, as it's hard to separate the price action on that stock from elon musk's move to purchase twitter, which of course had its own results, revenue pretty much in line, daus up 16, jim. >> the ongoing narrative is we know that is collateralized, that acquisition, so people feel that stock isn't musk anymore, it's morgan stanley's.
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that's just a natural reaction twitter shares down about 0.6% we'll get stock trading with jim after a short break. ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪
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let's get to jim and start
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trading. 40 million people are overweight because of medicines, the news this morning that eli lilly's new drug will be incredible. it is a dramatic weight loss i'm on a drug for nerve pain, and you pretty much gain a pound a month from it. i go to whenever this is approve, and i can't keep taking a drug you ask me to take, you tell me i have to lose weight, i think a lot of people are on the same position. it's not like i want to be thin, but i have a medicine that's making me fat. give me this. >> we never got to merck >> i have to tell you merck is quietly back no one seems to care look at that that's a great number. i think merck is still an inexpensive stock. people tend to overlook it and shouldn't. i wish my trust owned it
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we own lilly, but merck -- let's get to stop trading. >> sun corp, that's a very important situation. i've got hertz tonight, steve scherr, and then david foulkes with brunswick i love my whales. we'll see you tonight. >> thank for you coming back and condolences. >> thank you. a couple busy days when we come back, jon fortt's exclusive with the ceo fortt's exclusive with the ceo of qualcomm.
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finding out what it's worth. visit to find out if your policy qualifies. or call the number on your screen. coventry direct, redefining insurance. good thursday morning. welcome to another hour on "squawk on the street. i'm carl carl quintanilla along
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with morgan brennan and. qualcomm is one of the names this morning , that did go negative for the first time >> a very noisy figure, are three big movers the maker of mining and construction machinery warning that demand in china will be even weaker than expected. you can see the shares are down about 5% shares of our parent company comcast moving lower as well. also, peacock subscribers, the
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streaming service, thanks to super bowl and olympics. we will end with a big miss. look at those shares, down almost 47% teladoc is a stay-at-home stock all right getting crushed.
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mike santoli, as --, a second day in a row where you got a bit of relief from the night before. sort of doubted under these get some lift from this emthem maybe we need to clear apple earnings to get a fuller look. we're mostly taking the nasdaq 100-type names, over the overall market and compressing that. this is a five-year chart. by the way, that's a really good -- that's a 14% annualized gain it's really nothing to sneeze at but look at the huge gulf that's
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been opened up in fact, it does hinder the -- facebook, meta, that's an individual what you'll see is really just struggling to get -- remember when it had the that's got to hold. we're chopping lower that's where you basically have to maybe get back to to get out of this kind of desperate zone here, morgan, where we found ourselves. that being said, this whole debade, mike, about bear market what a bear market behaves like, just to take a step back, a more
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basket approach, what are some of the key factors that investors are watching right now. i wouldn't quibble, the average stock and s&p has been down more than 25%, even though the indexes haven't. the longer-term trend line is now tilting lower, and we're below it more practical ly the rallies ae brief and capped out no more, it was a we supported bull phase again i think it's -- a lot of times, like in 2015, 2016, we started to call it a bear market
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we'll watch that cristiano, great to have you here with us on set at poll 9 samsung, a big part of this, you had a much bigger share than a year ago it's a great store overall, you know, handsets, samsung is the big driver of that samsung has had their own chip for a number of years, and the market -- the balance to volume
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between their own chip and qualcomm flat chip last year up over 40%. we have markets such as the united states, china, korea, and then they made a decision on the s-22 to move the majority of it towards qualcomm, we're about 75%-plus of samsung devices. it not only shows that qualcomm can compete with companies that compete, but also shows an incredible growth opportunity for qualcomm >> whether you say that, i fear apple, because they're trying to do their own mod many chip that's one of the things that qualcomm is known for doing well are you in essence saying, yeah, they can work on that, about you we plan to have a product that's so good they can't help but use us that's different our mobile strategy today is different.
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our mobile strategy is really focused on building the snapdragon processor, which is becoming synonymous on a flagship -- it's not just about the mod many, but the cpu, the gpu, the artificial intelligence processor. if you look at the revenues, even generation after generation after the 5g, you know, migration, you know, for certainly markets and devices, we're increasing content because of the processor i think for that, samsung is a great trade. instead of selling a mod many to apple, it has massive positive impact we're assuming less than 20%. if they need their mod many, they know where to find us
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>> yes, they're not too far away from san diego so investors are trying to understand the broader market and broader economy now. so so i want to spend more time on qualcomm specifically in the quarter you just had you're projecting your addressable mark will be up by 7x the internet of things was up 61% in the quarter that includes things like industrial tablets, and there's a lot of stuff in there. what was mainly driving that >> okay. so our iot business is growing across all streams the consumer part, the edge networking part and the industrial part. here's what's really driving that growth. that's how qualcomm is changing. digital transformation is happening everywhere i think it got accelerated the
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past couple years. the first them companies did, they sent their employees home, but then they need to do connect their assets, their machines they needed their machines to become smart in processing that's what we see on the industrial side. smart handheld for retail, warehousing, manufacturing sites, robotics. that's a have i diverse customer base we have 13,000 customers people who look at qualcomm, we can count our customers in one hand if we look at what's happening in industrials, for example, buying our processors and mod manies across a multitude of devices. on the edge networking, we have an interesting phenomenon which is here to say the home is becoming an enterprise, as people have a hybrid work environment, what is really happening, you need an enterprise grade broadband systems in your home
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that's driving qualcomm wi-fi 6, wi-fi 7, smart routers, and then with the consumer, we have a lot of different devices tablets are premium becoming collaboration tools, you see pcs coming up, and that's a big opportunity there, and of course the metaverse. it is a big business for us connecting physical and digital spaces. >> let's talk through the lens of china i believe you said tlas night that you did see in the quarter some weakness in china, particularly in the low end. there seems in this economy with inflation globally to be this bifurcation, premium and enterprise, especially software, doing well lower-end stuff, the consumer, not doing as well. is that part of what's driving what you saw in china and what you see more broadly >> great question.
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i like to talk about those two things enterprise first, then i'll get back to china. first you look at the microsoft results, and they indicate the resilience of the enterprise that's driving the majority of our iot revenue. and that's very resilient. that's a second quarter lars growth that's all about digital transform apgs we're the company connecting all those devices, providing them with smart processors that they were enabling. china, we saw softness in the handset, but it's about 23% of the handset market why we saw softness especially at the low end, we did not see that happening in other markets. so the handset market is kind of flat to a negative bias, but the key thing is we're growing on the flat market because of our share gains. that represented samsung as well
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as a strategy of being premium and high-tier android, not chasing commodity units. >> that's kind of my concern i'm trying to help investors understand this overall market, as well as i know you said them to understand qualcomm, but part of the story is share gains, and you leveraging your -- that doesn't mean that everyone else will do as well. >> that's correct. at the end of the day, i think our investment in highly differentiated technology is really paying off. not only providing us with a win in mobile, but providing us a win as to platform of choice in all of those other industries from alto to broad category. >> give us your posture on m&a, given the overall environment. >> look, we succeeded with the acquisition of arriver
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that was an important asset, so much sowe're starting to see the results. we just added $3 billion to the design pipeline in alto. in the quarter we went from 13 to 16 billion. clearly m&a is going to be part of qualcomm as we accelerate the non-handset business that's all of our focus on m&a we're going to continue to look at ways to accelerate. we go from a handset coms company. >> that's an aggressive move off the bat, and you're not down, it sounds like. cristiano, thanks for being here. >> thank you morgan >> great stuff still to come, so many more movers to hit. just a few that have been reporting results. later today, the cnbc stock
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and once in a lifetime moments. two tickets to nascar! yes! find rewards like these and so many more in the xfinity app. taking a look at consumer discretionary today, down 18% so far for the year that is underperforming the s&p, but the etf's third largest
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holding is mcdonald's, a bright spot, helped by price increases in the u.s. and some strong international sales. david palmer, evercorp isi, packaged food analyst, david, great to have you back i wonder what you make of some of these comps >> yeah, north america pretty good, u.s. up 3.5%, the industry was up more like 2.5%. to some degree, it's a bit back to earth you're seeing check come back down, some of the big check orders are tough to lap, but getting some of the more sort of commuter on the go traffic coming back, but the big story is the international that's what's really coming back and driving the quarter. >> people watching uk, france, japan. it seems like the tone of the call, david, was that consumer is robust, solid, but some of the lower-income consumers may
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not be how do you think that's affecting their ability to price? >> the funny part about that is the under 75,000 group, that cohort really pulled back the most for restaurants during covid. now we're worried about the same cohort post-covid because of the reasons you mentioned. clearly that's going to be something that causes these fast-food guys to go back to some value by the end of the year, of course, you have to wonder about labor shortages that's something on the mind of, say, a domino's shareholders, as they're trying to get drivers. to some degree we're trying to wade through all these issues, if people are struggling, will we have a labor shortage on the back end of this just like we're going to need some value for those people getting back to work >> david, i wonder how you think about how the stock is positions. we introduced this about, but
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arguably kind of acts a bit more like a consumer staple, valid like 125 times forward earnings, i assume you'll have foreign exchange headwinds here. are people kind of hiding in an area like mcdonald's what do you think is the up side, if there is much >> we see it creeping higher from here. the story dischange. -- did change. we've some stagflationary elements to it, just like now, the stock did relatively well, because it's a franchise business model at its core it does have some company-operated stores, and we saw those margins hit. but overall you have a good dividend and it's more inflation-protected, except for maybe a hershey which has done relatively well. pricing powers are not as clear
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in many of those consumer staples. mcdonald's has been able to drive tons of price over the years. even if they have to do value, they can take price elsewhere. the international recovery was going to drive morn terr earnings up side that's off the table the exciting year is off the table. now we're looking back at mcdonald's as an inflation-protected stable. >> just looking across the coverage universe, where are the greater opportunities? is it in some of these restaurant stocks or packaged foods? >> well, there's going to be some neat stories within the packaged food space, like some of business that has it tied to a food service recovery, but within restaurants it's a mixed bag. you're going to be casual dining, those sales are climbing into april, as the mobility come
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back, and consumer comfort levels are coming back, making the sales recover much better, and certainly the delivery players in the u.s so, for example, texas roadhouse should be well positioned. you saw some nice numbers from cheesecake factory, for example. al bet it with some margin pressure, it should be pretty good the international recovery names, especially those like restaurant brands, we like those. >> by year end, do you think we're talking about margin pressure related to food or labor? >> both are going to be sticking around, the edge will be coming off of both. labor permeates the food channel as well. remember the meat packing plants didn't have in the distribution. labor permeates all of this. labor getting more available by the end of the year, al bet it with some negative side effects, is going to help these companies
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in two ways, but you better have your value right probably by the end of this year that plays well to the fast-food guys they obviously have the everyday low pricing. >> between domino's and mcdonald's certainly a lot of activity in your space we always love getting your guidance thanks so much. >> thanks, carl. as we head to a break, check out the top gainers on the s&p 500 so far for the month twitter, of course, with he elon musk bid other than the that, it's consumer and defensive to some degree we'll be right back. stay with us ♪ ♪ wow, we're crunching tons of polygons here! what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations,
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welcome back to "squawk on the street." northrop grumman, as -- but the company did say it saw a strong recovery in march.
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the prime contractor reaffirms full guysance, and they expect to accelerate with growth broad based and on the heels of, quote, some healthy contract wins, including two key space contracts awarded last quarter on ukraine, kepter telling me the war may not have a direction impact on business today, but broader priorities stemming from it are, quote, significant, and support for defense spending is getting stronger, especially in strategic deterrence, domestically space, and missile defense. northrop has two of three legs of the nuclear triad modernization currently underway, the icbm replacement program, as well as the super-secretive b-21 bomber, on
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the bombers which they have largely been developing on time, on cost, tell me six are being build, so the early product rates are on pace to begin over the next year. shares of northrop are trading slightly higher right now, though kind of trending back towards the flat line, in what is a down tape, again for aerospace and defense overall, as boeing drops another 2% today, carl. >> on tape getting more challenged even as we speak. as we go to break, shares of ford under pressure, as rivian, once a huge tailwind, now with profits. vehicle pricing is offsetting some of the headwinds from these increased costs and supply chain issues ford is dow jones 6% the -- down 6%. stay with us - i'm nervous, i'm excited.
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news out of the washington ylan mui has more. >> reporter: the white house is requesting $33 billion in additional aid to ukraine, enough money they hope to last through the end of the fiscal year that total includes $20.4 billion in military assistance, including artillery, armored vehicles as well as cybersecurity. there's $8.5 billion in economic aid to allow the ukrainian government to continue to provide basic services for its citizens as well as $3 billion in humanitarian relief also a package to make it easier for the government to seize assets by expediting the proces of the treasury, and perhaps even allowing them to send proceeds directly to ukraine there is bipartisan support for this package, but the white house is also calling on congress to pace $22.5 million in additiona well
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that is splitling republicans and democrats, but in a letter to congress,e two together so they can act quickly to, quote, avoid needless deaths around the world we are expecting to hear from president biden in just a little bit. he'll be speaking from the roosevelt room in the white house. i expect he will talk both about the policy and the politics of getting that are $33 billion aid package through congress morgan >> ylan mui, we know you'll be monitoring for us. thank you for bringing us the headlines. about an hour into the trading day, and we are fading the gains here the s&p is up about 0.25%, but the dow turning slightly negative, down a mere eight points the nasdaq is the outperformer bob pisani has more on today's action. >> the high print lit real was the open we've been fading ever since then just in positive territory slightly for the s&p 500 the good news is tech is still
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doing well, and banks have been fading some of the tech earners, the simple way to explain this is it wasn't as bad as some people were fearing we had meta holding up pretty well, pinterest also on the positive side, at least at the open other big news consumer is still on fire, according to all the earnings report mastercard, visa had great things to say. the southwest air ceo was on our air a while ago. he said business was on fire cross-border travel is, and ahead of our expectations. visa had similar comments as well >> there's an interesting tidbit from hershey as day. elasticity were stronger, butter expected to moderate as consumers' buying power is
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further pressured by inflation and fewer government benefits. that's an economic-speak word, meaning we can raise prices without killing demand, but they issued a warning, that it may be moderating finally, what happened with teladoc. there was a lot of discussion about peak streaming with netflix, maybe there's sort of a peak issue here for online services in general. look at that down here rather dramatically they slashed their guidance. they had a huge write-down as well so they provide primarily mental health care, chronic care. the bottom line is there's an awful lot of competition in this space here there's a broad question -- what's the role of virtual care in a post-pandemic world that's what i think is being deb debated. look at some of these online health services that compete again teladoc. they're in a similar area.
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they're all getting hit as well, indicating there's a broader concern about these services finally, carl, arkk, cathie wood, she has this holding we're watching that as well. meta this morning, shares were surging on the better than expected profit, but the stock is still down more than 20%. guys, good to see you both yusef, let me start with you, i guess on the assumption this is not the disastrous sum we were expecting, but now back to 195 are we re-looking at the quarter last night >> i thought the quarter was decent, all things consider, when you secretary some of the impacts of the russia war, maybe they came in line slightly better the issue was around
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expectations with the stock being down 45% since they last reported in fact, they got lower and lower, as we got closer to the prints on the back of the snap, et cetera. so there was a relief rally there. we were very pleased with the fact that engagement actually continues to go up if you look at their user growth across all geography, actually was up, because of the war, and that was, you know, a testament that they're actually holding out pretty well against tiktok all in all, we're pretty happy with where things stand. a lot still has to be done, but i think they're in a good place. >> aaron, how about you? was there anything definitive in last night ace print the guidance not terrible, but i
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guess some would argue not overwhelmingly positive. >> guide wants was lower than we expected i also think investors they can moderate the expense growth. growth was slowing and at the same time you're still spending quite a bit, especially on reality, the call yesterday zuckerberg talk about how they were start to go slow some of the expense growth, so i think investors like that. so expectations were low, also on instagram up 28% on engagement as we've seen with mobile, with instagram stories, monetizing over times, so we'll give them the benefits of the doubt. >> youssef, aaron mentioned they were making some noise about moderating the spending on reality labs, on the metaverse, kind of future bets, but i do
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wonder how investors view the proposition right now, for the value case, it's pretty strong, right? 15 times earnings. you want to strip out what they're spending on reality labs it looks lower than that, but does the value manager even want to see that level of -- and, you know, should they be buying back more stock given that they have the capacity to do so? >> i think they'll keep buying back more stocks pretty aggressively here. the issue around growth versus value, look, these not a value per se this is very much a growth story. i think adjusted for -- clearly the second half of the year we'll see comps easing you're looking at doubledigit growth again so, you know, while the value investor is getting a good deal from treating this as value, this is still very much a growth story. management certainly sees it that way, look they're going to
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spend over $30 billion this year alone on all these growth initiatives. that's not what a value kind of ceo does so i would still, you know, focus on the opportunity ahead of them, in terms of just, you know, all the growth levers that they can pull by making these investments, but in the meantime, you're right, it does trade where it is at a level where value investor actually finds it very interesting. >> aaron, you've got the meta story. twitter also reported results this morning i realize it's poised to be taken private. i think the revenues missed expectations, though and snap a couple days ago when you look across the social media landscape, what is the most compelling buy, if there's one right now? >> within social, we still like facebook we think valuation is the most
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compelling as you mentioned, around 12 times earnings much higher than twitter or snap. so facebook at 12 times earnings ex-reality labs we think is a value, and 10% plus going forward here >> guys, hugely important print, as we get a couple more big ones tonight. we'll see you soon thanks >> thanks. shares of tesla, down another five, almost 6% right now, on pace for 17.5% drop just this week, amid all of the twitter news that we have gotten we'll be rhtac ayitusig bk. (vo) verizon is going ultra! with 5g ultra wideband in many more cities, you get up to 10x the speed at no extra cost. plus six premium entertainment subscriptions, included! like disney+, music, gaming, and more! (mom) delightful. (vo) saving you over $350 dollars a year.
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announcing the experimental
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obesity goal met expectations. >> hey, mike, the quarter essentially coming in okay i mean, there was a beat on the top and bottom lines analysts focused, though, on this obesity drug, and it med the goals of this constitutionally this is a drug called, but this was a trial in people with obe obesity. >> now, what they found in the trial is essentially some of the strongest weightloss results we had seen, on the highest dose, 23% body weight loss over the course of this study, that compares with about 2.5% on ample people started out this study, that's a high dose. we talked with elien lilly's
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ceo, about how this drug works here's what he said. >> it's a dual acting hormone, which explains -- to do the same thing. that it's time to absorb calories, in doing so, we curb appetite, as well as perhaps other functions, like speeding up metabolism, et cetera >> now the company did see some adversesh d. they noted more people on placebo dropped out of the study, suggesting it's tolerable. according to bank of america estimates. guys, this has been a space the drug -- pretty sun successfully,
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but a similar drug, that's had good results morgan >> fascinating thanks, tirrell. jon has a look at "techcheck." >> servicenow ceo big mcdermott, we've seen that stock higher after earnings we just spoke with christiano amon this hour of qualcomm, also a strong quarter we're going to talk about enterprise software and the possibilities for growth in this really tough environment that's coming up on "techcheck." "squawk on the street" is on the other side of this break
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let's get a check on the markets. this is a third straight day where you had a morning fade after some early strength. the s&p 500 now hanging around the 4200 mark, up about a third of a percent yesterday leslie just above
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41.60. we'll be right back. stay with us
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the grid welcome back to "squawk on the street." investors focused on the supply chain this morning after c.h. robinson reported record profits for the quarter. with his outlook robinson ceo robert beasterfeld. bob, great to have you back on the show. >> great to see you, morgan. >> i want to start with a ma macro question we got the first read of q1 gdp this morning a lot is being made of the fact we've seen an inventory subtraction. net trade in the quarter as well and this idea it's not a recession but it's a lot of noise around the supply chain and transportation bottlenecks we have seen throughout this pandemic from the lens of c.h. robinson, how is that playing out for you?
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>> i would share that point of view i think there's been a lot of talk in the media as of late potentially transportation going into a transport recession, and frankly we just haven't seen that we look at things both domestically and globally and see the opportunity for a vibrant market moving forward. the consumer seems strong. manufacturing remains strong positive signs ahead. >> in terms of this debate around a freight recession the fact you're not seeing it. one of the things you talked about, you did post within your results was, the strength in truckload, and specifically where contracts are concerned, i mean, we've seen spot rates for truckload come off in recent weeks, but contracting seems to be very strong is that the trend that you expect to carry out through the year as we see, dare i say, return to normal >> i think that's a natural progression of the cycle if you think about the -- in normal times, about 85% of truckload freight moves under contracts. the freight that moves in the spot market is either where there's, you know, kind of
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unforeseen demand or unmet capacity, and we know that, you know, the routing guides and the contracts have not been holding up all that well over the course of the past couple of years. chippers do what they do they reprice, they get substitutions, carriers that are able to honor commitments, perhaps at a higher price point. that takes freight out of the stock market which leads to declines we have seen the a decline in the spot market over the course of the past couple of months we're starting to reach the bottom in the near term, and i think we'll see some resistance. >> so the fact that we're seeing a wave of china lockdowns in recent weeks, expectation that that could lead to another increase in some of the bottlenecks, and if so, what does that mean for the freight forwarding business at c.h. robinson >> yeah, i think that china is the big question for us right now in terms of both the breadth of the lockdowns as well as the length of the lockdowns. you know, i kind of think back to the beginning of the pandemic, and what happened, right, unfortunately, you know, the economy and china kind of
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came to a halt there were all sorts of backlogs and then this bull whip of demand that came in the third quarter of 2020. and so we've seen kind of how long that's taken to unwind. and thathappened at a time where the courts were operating as normal. we still have backlogs at the ports right now. in the lockdowns in china remain for the next several weeks or months, you know, there's just simply going to be a tremendous amount of demand that's going to be pent up, and we'll hit the shores of the u.s. towards the middle and back half of the year. >> so that's one piece of the puzzle another one is this conflict in ukraine and what it's doing to trade flows out of that region of the world as well, and things like fuel prices and the upward pressure there talk me through how that's playing out. >> yeah, for us, you know, we don't do a lot of business in that region. so there's a couple of significant impacts for us thefirst is around driver availability for our european surface transportation business, a high percentage of drivers in europe, surface transportation, truck drivers come from the eastern part of europe, and
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ukraine, and so there's been some tightening of driver capacity there you know, for us, a lot of the air freight that we do transatlantic inbound to europe is picking up for us because of the fact that many of the components that come out of typically ukraine or russia simply can't be provided to the european manufacturers as they once have been. >> so we have -- >> in terms of fuel, you know, clearly we have seen increases in diesel fuel costs over the course of this year, and that's a significant head wind for truckers, but it's part of why we invest in paying carriers quickly, negotiating fuel discounts on their behalf so that we can keep their cash flow positive. >> so on the heels of microsoft earnings yesterday one of the things that was kind of highlighted by that company is the fact that i.t., and tech budgets still continue to be a priority for many different companies across many different industries as this digitization
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of everything continues to move forward. i know that's very much the case when we talk about freight transportation as well walk me through that process, that transformation at c.h. robinson, and longer term, what it means for investors. >> nowhere is that more true than within supply chain and specifically at c.h. robinson. we think we're uniquely positioned based on the blend of our ability to have really, really good people our customers continue to tell us that one of the main differentiators, that we've got people they can rely on. that's backstopped by investments in technology, and more and more the transactions within the supply chain are becoming more and more digital within the first quarter alone, the manner in which we interact with our carriers, the way carriers book truckloads with us, the number of those transactions that were executed in the fully digital manner, no touch by humans, was up 350% so we're designing software, designing technology for both our customers and our carriers to take friction out of the supply chain and allow them to trade in the way that's most effective for them we'll continue to make investments for our customers
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and carriers to drive, you know, retention, and growth with both because it's so important to kind of the fly wheel of our model. >> 350%. wow. bob biesterfeld, thanks for joining us. >> thanks, morgan. before we close out the hour we have two big tech names, actually three to watch. apple and amazon are set to report, intel as well, mike, what are you watching for? >> apple and amazon. middle of last year, apple is really the last megacap tech stock that remains in an up trend. not the same case for amazon that started in july of last year keep in mind, apple has tended not to move very much in either direction on its earnings, nothing more than five or six percent. four of the last six quarters, less than 3% move. amazon was up 13% on the february 4th print last quarter. it lost it all actually topped out after that bounce of 31.50. arguably, expectations low for
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amazon apple has been treated like a consumer safe stock. >> you know it's a well rounded show when you're finishing it with mike santoli at the telestrater. so that's going to -- >> i'll bookend it, sure. >> that's going to do it for us here at "squawk on the street. "techcheck" starts now good thursday morning, welcome to "techcheck," i'm karl sint nil la, jon fortt, deirdre bosa, and julia boorstin the ceo of service now, we're going to get to all after that, but we're starting with meta, surging this morning as daily and monthly active users bounced back, stock had been cut in half this year, prior to results. julia is all over today, j.b. >> it's really interesting, carl, there were various warnings signs here including the company giving guidance of between 28 and 30 billion revenue second quarter it's worth


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