Mark Cuban, who made billions from the dot-com bubble, says here’s how you’ll know the rally is over

Mark Cuban, who made billions of dollars during the dot-com boom, said Wednesday that the stock market is not reminiscent of 1999. “Interest rates were a lot different back then,” Cuban said on CNBC’s “Fast Money Halftime Report.” The levels of day trading have receded and given way to the rise of index funds, creating a fundamentally different landscape, Cuban said. “There’s so much money chasing index funds, so as long as those funds keep on growing the market is going to go up,” said Cuban, w


Mark Cuban, who made billions of dollars during the dot-com boom, said Wednesday that the stock market is not reminiscent of 1999.
“Interest rates were a lot different back then,” Cuban said on CNBC’s “Fast Money Halftime Report.”
The levels of day trading have receded and given way to the rise of index funds, creating a fundamentally different landscape, Cuban said.
“There’s so much money chasing index funds, so as long as those funds keep on growing the market is going to go up,” said Cuban, w
Mark Cuban, who made billions from the dot-com bubble, says here’s how you’ll know the rally is over Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-22  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, heres, billions, bubble, stock, trading, index, cuban, mark, money, different, rally, funds, lot, market, youll, dotcom, know


Mark Cuban, who made billions from the dot-com bubble, says here's how you'll know the rally is over

Mark Cuban, who made billions of dollars during the dot-com boom, said Wednesday that the stock market is not reminiscent of 1999.

“Interest rates were a lot different back then,” Cuban said on CNBC’s “Fast Money Halftime Report.” “And you saw a lot more people participating in the market. … You don’t see that now. That individual day trading really led the market to be frothy.”

The levels of day trading have receded and given way to the rise of index funds, creating a fundamentally different landscape, Cuban said.

“There’s so much money chasing index funds, so as long as those funds keep on growing the market is going to go up,” said Cuban, who sold Broadcast.com to Yahoo in April 1999 for $5.7 billion.

Cuban’s comments Wednesday were in response to concerns from investors who are comparing the stock market’s current valuation to the bull market in 1999 that concluded with collapse of the dot-com bubble.

Highly speculative internet stocks helped propel the tech-dominated Nasdaq up more than 500% from 1995 until the bubble burst in March 2000.


Company: cnbc, Activity: cnbc, Date: 2020-01-22  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, heres, billions, bubble, stock, trading, index, cuban, mark, money, different, rally, funds, lot, market, youll, dotcom, know


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IBM chief calls for ‘precision regulation’ on AI that weighs privacy against benefits to society

There does need to be artificial intelligence regulation but it must be thoughtfully crafted to allow for technological advancement, IBM Chair and CEO Ginni Rometty told CNBC on Wednesday. Rometty called on lawmakers to regulate “how the technology is used,” but not necessarily the technology itself. She pointed to facial recognition systems as an example of how such regulation could work. “When you go through an airport to get through safely, to find a criminal, those are good uses of facial re


There does need to be artificial intelligence regulation but it must be thoughtfully crafted to allow for technological advancement, IBM Chair and CEO Ginni Rometty told CNBC on Wednesday.
Rometty called on lawmakers to regulate “how the technology is used,” but not necessarily the technology itself.
She pointed to facial recognition systems as an example of how such regulation could work.
“When you go through an airport to get through safely, to find a criminal, those are good uses of facial re
IBM chief calls for ‘precision regulation’ on AI that weighs privacy against benefits to society Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-22  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, rometty, liberties, ibm, facial, recognition, precision, calls, privacy, chief, benefits, technology, systems, society, told, regulation, world, weighs


IBM chief calls for 'precision regulation' on AI that weighs privacy against benefits to society

There does need to be artificial intelligence regulation but it must be thoughtfully crafted to allow for technological advancement, IBM Chair and CEO Ginni Rometty told CNBC on Wednesday.

“Precision regulation is what I think is needed because … we’ve got to compete in this world against every country,” Rometty said in a “Squawk Box” interview from the World Economic Forum in Davos, Switzerland. “You want to have innovation flourish and you’ve got to balance that with security.”

Rometty called on lawmakers to regulate “how the technology is used,” but not necessarily the technology itself. She pointed to facial recognition systems as an example of how such regulation could work.

“When you go through an airport to get through safely, to find a criminal, those are good uses of facial recognition,” she said. “To violate your civil liberties, it’s not.”

Beyond civil liberties issues, other concerns around A.I. involve bias in algorithms. A.I. systems use large amounts of data, which could itself be biased, and the people writing the programs can have their own biases.

The issue was highlighted in November when allegations of algorithmic bias were levied against Goldman Sachs and its Apple Card. The investment bank denied the accusations.

Rometty’s comments follow remarks earlier this week from Alphabet CEO Sundar Pichai, who told European regulators to take a “proportionate approach” in its A.I. regulation proposals.


Company: cnbc, Activity: cnbc, Date: 2020-01-22  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, rometty, liberties, ibm, facial, recognition, precision, calls, privacy, chief, benefits, technology, systems, society, told, regulation, world, weighs


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Guggenheim’s Scott Minerd declares Trump winner over Fed on rates, sees market rally continuing

President Donald Trump’s early criticism of the Federal Reserve’s four 2018 interest rate hikes have proven right over time and the stock market loves it, Guggenheim Partners’ Scott Minerd told CNBC on Tuesday. “I think he was more concerned about slowing the economy in his administration.” However, Trump’s calls for lower rates proved prescient, Minerd argued, as the stock market plunged during the fall of 2018 and reached a nadir on Christmas Eve 2018. The rally should continue in throughout 2


President Donald Trump’s early criticism of the Federal Reserve’s four 2018 interest rate hikes have proven right over time and the stock market loves it, Guggenheim Partners’ Scott Minerd told CNBC on Tuesday.
“I think he was more concerned about slowing the economy in his administration.”
However, Trump’s calls for lower rates proved prescient, Minerd argued, as the stock market plunged during the fall of 2018 and reached a nadir on Christmas Eve 2018.
The rally should continue in throughout 2
Guggenheim’s Scott Minerd declares Trump winner over Fed on rates, sees market rally continuing Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-21  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, stock, guggenheims, think, long, trumps, markets, sees, early, rally, winner, rates, fed, market, minerd, 2018, scott, trump


Guggenheim's Scott Minerd declares Trump winner over Fed on rates, sees market rally continuing

President Donald Trump’s early criticism of the Federal Reserve’s four 2018 interest rate hikes have proven right over time and the stock market loves it, Guggenheim Partners’ Scott Minerd told CNBC on Tuesday.

“I think he was [correct] in hindsight,” the money management firm’s global chief investment officer said in a “Squawk Box” interview from the World Economic Forum in Davos, Switzerland. “I think he was more concerned about slowing the economy in his administration.”

However, Trump’s calls for lower rates proved prescient, Minerd argued, as the stock market plunged during the fall of 2018 and reached a nadir on Christmas Eve 2018.

The Fed pivot early last year to take its foot off the gas and then cut rates three times fueled a nearly 29% rise in the S&P 500 in 2019, the best annual performance since 2013. Stock have also gotten off to a roaring start this year.

The rally should continue in throughout 2020, said Minerd, also a member of the New York Fed’s Investor Advisory Committee on Financial Markets. “Bull markets go as long as they go. As long as the central banks keep the liquidity spigots open, I don’t see any reason why we can’t just keep pushing asset prices higher.”


Company: cnbc, Activity: cnbc, Date: 2020-01-21  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, stock, guggenheims, think, long, trumps, markets, sees, early, rally, winner, rates, fed, market, minerd, 2018, scott, trump


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Slippery slope: Online privacy activist defends Apple’s refusal to unlock iPhones for the FBI

Apple is right to refuse Justice Department requests to unlock iPhones belonging to the suspect in a December Navy base shooting, Roger McNamee told CNBC on Thursday. “If they create a backdoor for law enforcement, they’re effectively creating a backdoor for everyone,” including criminals, the online privacy activist said on “Squawk Alley.” Apple responded by saying it had provided gigabytes of information to the authorities in connection to the Florida case. But it said it would stand its groun


Apple is right to refuse Justice Department requests to unlock iPhones belonging to the suspect in a December Navy base shooting, Roger McNamee told CNBC on Thursday.
“If they create a backdoor for law enforcement, they’re effectively creating a backdoor for everyone,” including criminals, the online privacy activist said on “Squawk Alley.”
Apple responded by saying it had provided gigabytes of information to the authorities in connection to the Florida case.
But it said it would stand its groun
Slippery slope: Online privacy activist defends Apple’s refusal to unlock iPhones for the FBI Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-16  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, fbi, slope, facebook, enforcement, user, phones, defends, law, iphones, refusal, online, apple, apples, shooter, slippery, privacy, provided, unlock


Slippery slope: Online privacy activist defends Apple's refusal to unlock iPhones for the FBI

Apple is right to refuse Justice Department requests to unlock iPhones belonging to the suspect in a December Navy base shooting, Roger McNamee told CNBC on Thursday.

“If they create a backdoor for law enforcement, they’re effectively creating a backdoor for everyone,” including criminals, the online privacy activist said on “Squawk Alley.” “It also means the government of China, the government of Russia, are going to have much easier abilities to penetrate phones and that raises the threat to every user of smartphones.”

McNamee invested in Amazon in the 1990s and later co-founded private-equity firm Elevation Partners, which invested more than $200 million in Facebook a few years before the social network’s 2012 initial public offering.

However, in recent years, he has increasingly spoken out about Facebook and warned about the perils of what he calls “surveillance capitalism,” a problematic phenomenon he attributes to the rise of Big Tech.

Last year, McNamee published a book titled, “Zucked: Waking Up to the Facebook Catastrophe.” In 2018, he also helped launch the Center for Humane Technology, a nonprofit aimed at combating tech addiction.

While frequently dinging Facebook over its handling of user data, he’s generally heralded Apple as a lodestar on issues of user privacy, and he’s rejected claims that he is a “shill” for the company.

“Not everything at Apple is perfect,” he told The New Yorker in a December profile. “But on the privacy thing Tim Cook is really walking the walk.” Cook is CEO of Apple.

McNamee’s warning about smartphone backdoors creating a slippery slope comes two days after President Donald Trump slammed Apple for refusing to help the FBI to unlock the iPhones of the suspected shooter at Naval Air Station Pensacola that left three Americans dead last month.

Earlier this week, Attorney General William Barr claimed the Cupertino, California-based company had not provided “substantive assistance” in unlocking the alleged shooter’s two iPhones.

Apple responded by saying it had provided gigabytes of information to the authorities in connection to the Florida case. But it said it would stand its ground and not build a “backdoor” or specialized software to give law enforcement elevated access.

“We reject the characterization that Apple has not provided substantive assistance in the Pensacola investigation. Our responses to their many requests since the attack have been timely, thorough and are ongoing,” Apple said in its statement.

Apple was involved in a showdown with the FBI in 2016, when the Justice Department sued to gain access to a phone used by Syed Farook, who was responsible for the mass shooting in San Bernardino, California, that left 14 people dead. The standoff ended when the FBI found an unidentified private vendor to crack the phone’s security.

McNamee said the Justice Department’s argument for Apple to unlock the devices of the suspected Pensacola shooter was “very weak,” claiming there’s little on the phones that law enforcement couldn’t obtain through other means.

“We live in this time of surveillance capitalism. Everything you do on your phone touches the network in some way,” he said.

“To the extent that they’re trying to track who did this shooter meet, where was the shooter at any point of time … all of that stuff exists out in the environment,” he added. “It’s easily accessible to law enforcement with a warrant.”

While there may be some things such as photos on the phone that cannot be access any other way, “as a generalization, I think Apple’s position on this is exactly correct,” McNamee concluded.


Company: cnbc, Activity: cnbc, Date: 2020-01-16  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, fbi, slope, facebook, enforcement, user, phones, defends, law, iphones, refusal, online, apple, apples, shooter, slippery, privacy, provided, unlock


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US business leaders don’t see the ‘phase one’ China trade deal as a huge breakthrough

The partial trade deal signed Wednesday between the U.S. and China is hardly an immediate success, according to trade groups representing many of the nation’s biggest companies. “We’re certainly glad it’s not getting worse,” Stephen Lamar, president of American Apparel & Footwear Association, said Thursday on CNBC’s “The Exchange.” “[It’s] phase one in what has to be a multi-phase deal,” he said on “The Exchange.” “The most important thing is phase one moving to phase two, and in phase two we ca


The partial trade deal signed Wednesday between the U.S. and China is hardly an immediate success, according to trade groups representing many of the nation’s biggest companies.
“We’re certainly glad it’s not getting worse,” Stephen Lamar, president of American Apparel & Footwear Association, said Thursday on CNBC’s “The Exchange.”
“[It’s] phase one in what has to be a multi-phase deal,” he said on “The Exchange.”
“The most important thing is phase one moving to phase two, and in phase two we ca
US business leaders don’t see the ‘phase one’ China trade deal as a huge breakthrough Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-16  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, china, dont, goods, huge, exchange, breakthrough, lamar, deal, president, business, tariffed, leaders, phase, groups, trade, tariffs


US business leaders don't see the 'phase one' China trade deal as a huge breakthrough

The partial trade deal signed Wednesday between the U.S. and China is hardly an immediate success, according to trade groups representing many of the nation’s biggest companies.

“We’re certainly glad it’s not getting worse,” Stephen Lamar, president of American Apparel & Footwear Association, said Thursday on CNBC’s “The Exchange.” “The reality is all the goods that were being tariffed the day before the deal was announced are going to be tariffed on Feb. 14, which is the first day the deal takes effect.”

Neil Bradley, the Chamber of Commerce’s executive vice president and chief policy officer, said the group’s members recognize Wednesday’s agreement “for what it is.”

“[It’s] phase one in what has to be a multi-phase deal,” he said on “The Exchange.” “The most important thing is phase one moving to phase two, and in phase two we can really tackle the key fundamental problems that are driving this trade dispute.”

Like Lamar, Bradley noted there are still tariffs in place on “a large variety of goods that we import.”

But he emphasized the “phase one” deal delivered good news on the possibility of new tariffs and tariff reduction, with the Trump administration agreeing to cut duties on $120 billion in products to 7.5%. It also canceled tariffs that had been scheduled to take effect in December.

Bradley, who previously worked in the office of House Minority Leader Kevin McCarthy, R-Calif., said he is eager to see future negotiations between the U.S. and China result in further progress on concerns around intellectual property theft and state subsidies for Chinese companies.


Company: cnbc, Activity: cnbc, Date: 2020-01-16  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, china, dont, goods, huge, exchange, breakthrough, lamar, deal, president, business, tariffed, leaders, phase, groups, trade, tariffs


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Peloton has few ‘legitimate’ threats in the at-home fitness space, says bullish Wedbush analyst

Peloton is well-positioned to dominate the at-home fitness category because there are few serious competitors, Wedbush analyst James Hardiman told CNBC on Wednesday. In that note Tuesday, Wedbush initiated coverage of Peloton with an outperform rating while placing a $37 price target on the stock. The only real threat to Peloton, Hardiman said, was SoulCycle, which has hinted at launching an at-home fitness bike of its own. The Wedbush analysts acknowledge the “considerable work” Peloton has to


Peloton is well-positioned to dominate the at-home fitness category because there are few serious competitors, Wedbush analyst James Hardiman told CNBC on Wednesday.
In that note Tuesday, Wedbush initiated coverage of Peloton with an outperform rating while placing a $37 price target on the stock.
The only real threat to Peloton, Hardiman said, was SoulCycle, which has hinted at launching an at-home fitness bike of its own.
The Wedbush analysts acknowledge the “considerable work” Peloton has to
Peloton has few ‘legitimate’ threats in the at-home fitness space, says bullish Wedbush analyst Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-15  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, space, bike, work, wedbush, hardiman, athome, legitimate, threats, fitness, bullish, peloton, stock, analyst, price


Peloton has few 'legitimate' threats in the at-home fitness space, says bullish Wedbush analyst

Peloton is well-positioned to dominate the at-home fitness category because there are few serious competitors, Wedbush analyst James Hardiman told CNBC on Wednesday.

“Very few of the many alternatives that are out there really rose to the level of being a legitimate threat to Peloton,” Hardiman said on “Closing Bell,” referencing survey work his firm conducted for a recent client note.

In that note Tuesday, Wedbush initiated coverage of Peloton with an outperform rating while placing a $37 price target on the stock. It represents a roughly 25% increase from where shares of Peloton closed Tuesday.

The stock was up around 2% on Wednesday, trading around $30. It notched an intraday high of $31.44.

The only real threat to Peloton, Hardiman said, was SoulCycle, which has hinted at launching an at-home fitness bike of its own.

“That’s one that we’ve got our eyes on,” Hardiman said of SoulCycle.

The main principle underlying Wedbush’s upgrade is a belief that Peloton will not “prove to be a fad, but instead one of a small number of fitness companies likely to be an enduring force going forward,” Hardiman and his colleagues wrote.

To that end, they argue Peloton could reach about 4 million subscribers globally, with about 3 million of them living in the U.S.

“There’s a significant portion of people that don’t own the product that are interested in the product,” Hardiman told CNBC. “And then among actual Peloton owners, satisfaction was through the roof. Ninety-seven percent of people were satisfied based on the work we did.”

The Wedbush analysts acknowledge the “considerable work” Peloton has to expand its products and its reach, but they suggest the company has “the best shot of becoming synonymous with at-home fitness, an undeniable trend with considerable runway.”

Hardiman wrote in the note that Peloton’s short-term growth will be powered by exercise bike sales, but argues its subscriptions will be its main value driver over the long-term.

Peloton was a pioneer with its cycles and treadmills that are equipped with screens for users to join live and recorded fitness classes remotely.

Peloton went public in late September in a closely watched initial public stock offering, but its stock opened more than 11% below its initial pricing of $29 per share.

Some of Peloton’s detractors point to the price of its products and classes. Its cycles cost nearly $2,000 and treadmills are $4,000. A full membership is $39 per month, and a monthly digital option costs $19.49.

CEO and co-founder John Foley acknowledged that criticism in a CNBC interview just ahead of the company’s IPO.

“Our wish is to get the price down and, in the coming years, we want to make sure tens of millions of people around the globe are able to afford a Peloton bike and Peloton [treadmill],” Foley said.

The company more recently took heat for a holiday TV advertisement, which some argued contained elements of sexism and classism, but the controversy was not viewed as a long-term detriment to the company.

Peloton hit an all-time high of $37.02 on Dec. 2, and its market cap is around $8.7 billion.


Company: cnbc, Activity: cnbc, Date: 2020-01-15  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, space, bike, work, wedbush, hardiman, athome, legitimate, threats, fitness, bullish, peloton, stock, analyst, price


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Tesla going to over $6,000 per share, says money manager who originally predicted $4,000

Underlying this bullish view is a belief that Tesla will not lose its considerable share of the electric-vehicle market, she said. Initially, Wood said she thought Tesla would lose about one-third of its 17% market share last year. Wood first predicted in February 2018 that Tesla would one day trade at $4,000 per share. Based on 180 million shares outstanding, Tesla over $6,000 would put the electric-auto maker firmly in the $1 trillion stock market value club. Tesla’s stock hit another all-time


Underlying this bullish view is a belief that Tesla will not lose its considerable share of the electric-vehicle market, she said.
Initially, Wood said she thought Tesla would lose about one-third of its 17% market share last year.
Wood first predicted in February 2018 that Tesla would one day trade at $4,000 per share.
Based on 180 million shares outstanding, Tesla over $6,000 would put the electric-auto maker firmly in the $1 trillion stock market value club.
Tesla’s stock hit another all-time
Tesla going to over $6,000 per share, says money manager who originally predicted $4,000 Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-14  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, 6000, stock, wood, company, manager, hit, originally, going, market, 4000, lose, money, share, cap, autonomous, tesla, predicted


Tesla going to over $6,000 per share, says money manager who originally predicted $4,000

Ark Investment Management founder Catherine Wood told CNBC on Tuesday that she believes Tesla could be worth more than $6,000 per share in the next five years.

That’s up from the last time her firm ran its model, she said, adding a more recent run may yield an even higher target.

“Stay tuned,” Wood said on “Squawk Alley” of the upcoming five-year time horizon projection.

Underlying this bullish view is a belief that Tesla will not lose its considerable share of the electric-vehicle market, she said.

Initially, Wood said she thought Tesla would lose about one-third of its 17% market share last year.

“As we’re looking at other auto companies, seeing how far behind Tesla they are, we’re beginning to believe they might not lose market share, which is a huge change in our assumptions,” she said.

Wood first predicted in February 2018 that Tesla would one day trade at $4,000 per share.

Based on 180 million shares outstanding, Tesla over $6,000 would put the electric-auto maker firmly in the $1 trillion stock market value club. Currently, Tesla’s market cap is approaching $100 billion.

Apple, in August 2018, was the first U.S. public company to hit a market cap of $1 trillion. Amazon was the second a month later. In August 2019, Microsoft hit $1 trillion.

Tesla’s stock hit another all-time high Tuesday, after the electric-vehicle maker sprinted more than 9% higher Monday to over $500. The shares have soared nearly 30% in 2020 and more than doubled since late September.

Oppenheimer analyst Colin Rusch on Monday became the biggest Tesla bull among traditional Wall Street firms, when he raised his price target on the stock by nearly 60% to $612 per share.

The other critical aspect of Wood’s optimistic Tesla projection is autonomous vehicles, around which optimism has thus far outpaced anything close to widespread adoption. A truly autonomous vehicle does not yet exist.

In Wood’s view, Tesla is positioned to be the dominant player in that emerging technology space because its fleet of existing vehicles — almost 700,000 of them, she said — are already collecting data.

She said Tesla developing and deploying a fleet of autonomous taxis could yield software as a service type margins around 80%, which she argues could support a stock price around $6,000.

“The winner in autonomous platforms, and in any artificial intelligence project, is that company with the most data and the highest-quality data,” she said. “That company is Tesla.”

Correction: Tesla’s market cap is approaching $100 billion. An earlier version misstated the figure.


Company: cnbc, Activity: cnbc, Date: 2020-01-14  Authors: kevin stankiewicz
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‘I love sitting’ in my Tesla — Cramer praises Elon Musk for making cars an exciting place to be

“Your car becomes an exciting, an exciting place to be,” Cramer said on “Squawk on the Street,” just after Monday’s open on Wall Street, which saw Tesla shares soaring more than 5% to above $500 each for the first time. Cramer compared the in-car experience created by Tesla and Musk to a phrase used by former Starbucks CEO Howard Schultz, who likened the coffee shop to a “third place” between work and home. “I love sitting in a Tesla,” Cramer said Monday. She kept sitting on it and pressing the


“Your car becomes an exciting, an exciting place to be,” Cramer said on “Squawk on the Street,” just after Monday’s open on Wall Street, which saw Tesla shares soaring more than 5% to above $500 each for the first time.
Cramer compared the in-car experience created by Tesla and Musk to a phrase used by former Starbucks CEO Howard Schultz, who likened the coffee shop to a “third place” between work and home.
“I love sitting in a Tesla,” Cramer said Monday.
She kept sitting on it and pressing the
‘I love sitting’ in my Tesla — Cramer praises Elon Musk for making cars an exciting place to be Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-13  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, car, musk, making, oppenheimer, tesla, exciting, cramer, wall, companys, praises, sitting, love, elon, place, teslas


'I love sitting' in my Tesla — Cramer praises Elon Musk for making cars an exciting place to be

CNBC’s Jim Cramer extended high praise to Elon Musk on Monday, calling the Tesla CEO “the new face of an auto executive” and extolling the enjoyment of riding in one of the company’s electric vehicles.

“Your car becomes an exciting, an exciting place to be,” Cramer said on “Squawk on the Street,” just after Monday’s open on Wall Street, which saw Tesla shares soaring more than 5% to above $500 each for the first time.

The stock is continuing its torrent start to the year — up more than 20% already in 2020 and up more than 100% since late September — behind a ground swell of optimism around the company’s entrance into the Chinese market.

Reflecting that outlook, Oppenheimer on Monday raised its price target by nearly 60% to $612 per share. For now, that makes Oppenheimer the biggest bull among Wall Street’s traditional firms.

“We believe the company’s risk tolerance, ability to implement learnings from past errors, and larger ambition than peers are beginning to pose an existential threat to transportation companies that are unable or unwilling to innovate at a faster pace,” Oppenheimer analyst Colin Rusch wrote in a note to clients

Responding to that Oppenheimer hike, Cramer said he believes that “someone is going to come up with a $700 price target soon.” He added, “The bears really don’t know what to do. It’s an earnings story for heaven’s sake.”

Cramer had been a relative Tesla skeptic, dishing criticism Musk’s way on occasion, but his outlook turned more positive toward the company late last year, due largely to the wishes of his wife, Lisa, who wanted a Model X sport utility vehicle.

“I give up. The car is too damn great,” Cramer said then.

The “Mad Money” affirmed his bullish stance last week, saying “I’m a believer” in Tesla after it built its Gigafactory 3 factory in Shanghai in just 10 months and began delivering cars to Chinese consumers.

Cramer compared the in-car experience created by Tesla and Musk to a phrase used by former Starbucks CEO Howard Schultz, who likened the coffee shop to a “third place” between work and home.

“I love sitting in a Tesla,” Cramer said Monday. “Tesla is the third place to be.”

Over the weekend, Musk teased a new feature for Tesla vehicles that seems to allow Teslas to communicate with pedestrians — in other words, it will let the car talk “if you want,” Musk tweeted.

Musk also suggested the car will be able to emit an external fart noise. The software in some newer Teslas allows the vehicle to, well, make a fart sound inside the car.

“My daughter loves the flatulence seat. She kept sitting on it and pressing the button,” Cramer said Monday, citing it as evidence as the atmosphere of enjoyment created by Tesla.

“People love to be in it and they’ve got autonomous driving. Oh my, it’s so exciting,” Cramer said.


Company: cnbc, Activity: cnbc, Date: 2020-01-13  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, car, musk, making, oppenheimer, tesla, exciting, cramer, wall, companys, praises, sitting, love, elon, place, teslas


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Gene Munster puts together a new case for why Apple stock should be trading 50% higher

Gene Munster, a former top Wall Street tech analyst turned venture capitalist, says Apple’s stock has reason to trade 50% higher than its Friday price. “I want to try to quickly define what the right case [on Apple] would be,” Munster said on CNBC’s “Squawk Alley.” Munster, co-founder of research-driven venture capital firm Loup Ventures, thinks Apple will earn about $15 per share in fiscal 2020, which is on the higher end of Wall Street expectations. We cannot live without those other staples,”


Gene Munster, a former top Wall Street tech analyst turned venture capitalist, says Apple’s stock has reason to trade 50% higher than its Friday price.
“I want to try to quickly define what the right case [on Apple] would be,” Munster said on CNBC’s “Squawk Alley.”
Munster, co-founder of research-driven venture capital firm Loup Ventures, thinks Apple will earn about $15 per share in fiscal 2020, which is on the higher end of Wall Street expectations.
We cannot live without those other staples,”
Gene Munster puts together a new case for why Apple stock should be trading 50% higher Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-10  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, puts, apple, trade, wall, gene, venture, company, munster, stock, higher, multiple, case, analyst, trading


Gene Munster puts together a new case for why Apple stock should be trading 50% higher

Gene Munster, a former top Wall Street tech analyst turned venture capitalist, says Apple’s stock has reason to trade 50% higher than its Friday price.

“I want to try to quickly define what the right case [on Apple] would be,” Munster said on CNBC’s “Squawk Alley.”

“Microsoft, Google [owned by Alphabet] and Facebook trade at a 31 to 35 times multiple. Apple has a developing consistency around their business that is comparable to those,” he said.

Munster, co-founder of research-driven venture capital firm Loup Ventures, thinks Apple will earn about $15 per share in fiscal 2020, which is on the higher end of Wall Street expectations.

“If you put a 31 multiple on Apple, that’s $465. That’s about 50% upside,” he said, as shares early Friday afternoon were trading around $310 each, just a couple dollars off their all-time intraday highs, reached shortly after the open.

“I would just highlight that even though we don’t see those price targets moving up on Apple, I think there is a bigger trend towards a quality in multiples,” he added.

Apple currently has a multiple, or price-to-earnings ratio, around the mid-20s.

Munster’s argument Friday represents an evolution in his valuation assessment of Apple, a company that he covered as a longtime analyst at investment bank Piper Jaffray.

Last year, he had been making the case for Apple to trade more like a consumer staples company, such as Clorox and Coca-Cola, which tend to have lower multiples than tech stocks.

“We cannot live without Apple. We cannot live without those other staples,” Munster said in April, when he predicted a big two-year run to the upside for Apple.

Betting on Apple’s ascent has, so far, proved correct as shares have risen more than 50% since his April prediction and more than 100% in the past 12 months.

Apple is expected to release its latest quarterly earnings report after the bell on Jan. 28.

Expectations for Apple in 2020 are somewhat mixed as the Cupertino, California-based company prepares its entrance into the world of 5G technology.

Later this year, Apple is widely expected to release its first 5G-enabled iPhones, which could help accelerate what has been slumping sales growth for its signature product.

Services and wearable devices such as AirPods and the Apple Watch have more recently powered the company’s growth.

Munster says investors should temper their expectations around Apple and the next-generation wireless technology — for now, at least.

“Ultimately, this is a massive opportunity for Apple, huge play on 5G, but it’s going to take a while for networks to roll out coverage,” he said in December.

However, Wedbush’s Dan Ives, for example, said the 5G-compatible phones could drive a “transformational 5G super cycle” for Apple, and the analyst on Monday raised his price target accordingly, to $400 per share.


Company: cnbc, Activity: cnbc, Date: 2020-01-10  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, puts, apple, trade, wall, gene, venture, company, munster, stock, higher, multiple, case, analyst, trading


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‘Kohl’s is just roadkill,’ says Cramer. ‘I’m speechless’ after ‘a terrible holiday season’

CNBC’s Jim Cramer slammed Kohl’s on Thursday after the embattled retailer reported a disappointing same-store sales decline during November and December and warned on outlook. Cramer said he was stunned that Kohl’s was unable to translate its high-profile partnership with Amazon into holiday success. This holiday season was the first in which the Amazon partnership was in place at all Kohl’s locations nationwide. Meanwhile, Bank of America on Thursday downgraded Kohl’s shares to neutral from buy


CNBC’s Jim Cramer slammed Kohl’s on Thursday after the embattled retailer reported a disappointing same-store sales decline during November and December and warned on outlook.
Cramer said he was stunned that Kohl’s was unable to translate its high-profile partnership with Amazon into holiday success.
This holiday season was the first in which the Amazon partnership was in place at all Kohl’s locations nationwide.
Meanwhile, Bank of America on Thursday downgraded Kohl’s shares to neutral from buy
‘Kohl’s is just roadkill,’ says Cramer. ‘I’m speechless’ after ‘a terrible holiday season’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2020-01-09  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, sales, kohls, store, shares, reported, terrible, season, holiday, amazon, decline, cramer, samestore, roadkill, speechless


'Kohl's is just roadkill,' says Cramer. 'I'm speechless' after 'a terrible holiday season'

CNBC’s Jim Cramer slammed Kohl’s on Thursday after the embattled retailer reported a disappointing same-store sales decline during November and December and warned on outlook.

“Kohl’s is just roadkill,” Cramer said on “Squawk on the Street.” “I’m speechless … I’m as quiet as the registers at Kohl’s.”

Kohl’s did not immediately respond to CNBC’s request for comment.

Shares of the department store were down nearly 10% on Thursday to under $45 each around midday. That’s only about 3% above the 52-week low of $43.33 in August.

Over the past 12 months, Kohl’s stock fell more than 35%, compared with the S&P 500’s 26% advance over the same time period.

Kohl’s, which also lowered its full-year outlook Thursday, attributed its November-December decline of 0.2% in same-store sales to weakness in its core women’s apparel business. Kohl’s will report full fourth-quarter earnings on March 3.

“That was … a terrible holiday season,” said Cramer, the host of “Mad Money.”

Cramer said he was stunned that Kohl’s was unable to translate its high-profile partnership with Amazon into holiday success.

The partnership, announced last year, allows Amazon customers to return packages at Kohl’s stores. Kohl’s then offers discounts to people who take advantage of the service. This holiday season was the first in which the Amazon partnership was in place at all Kohl’s locations nationwide.

“It feels like people returned things to Amazon and then ran out of the store,” Cramer said, adding he was “baffled” that Kohl’s continues to try initiatives to boost sales yet struggles to see meaningful business growth.

“They’re just trying to stay in the game,” said Cramer, who also took Kohl’s to task in November after the company reported weaker-than-expected third-quarter earnings and revenue and cut guidance.

Meanwhile, Bank of America on Thursday downgraded Kohl’s shares to neutral from buy, with a price target of $50 per share. “We worry … Kohl’s will need to continue to spend and promote to attract and retain new customers,” BofA’s retail analysts said in the note to clients.

The news of Kohl’s sales decline came one day after department store rival Macy’s reported its holiday same-store sales dropped 0.6%. Shares of Macy’s rose on the news since the decline was not as bad as expected.

Disclosure: Cramer’s charitable trust own shares of Amazon and Kohl’s.


Company: cnbc, Activity: cnbc, Date: 2020-01-09  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, sales, kohls, store, shares, reported, terrible, season, holiday, amazon, decline, cramer, samestore, roadkill, speechless


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