Complacent well debate that and your next money moves. Liz young is with us, and a tipper mcgee, Institutional Investment services group, and she is a new cnbc contributor. We will have the hazing ceremony, tiffany, in just a bit. Meanwhile, a check on the marks. Nasdaq against hitting new intraday highs, but the nasdaq doing a bit of a uturn, now down 28 points or about 0. 25 of this hour as some growth names like tesla and apple drop. Well talk about them in a little more detail steve weiss, id like to begin with you i read a very persuasive note that talked about reasons to stay invested. If you bet against this market, you are bankly shorting two things you are shorting the fed and you are shorting science, i. E. The hope that a vaccine will come along. You want to short those two . I dont think so steve . So, my observation that i sent to you this morning were that the markets momentum market, and if you disregard fundamentals, which the market is doing in large part, or at least putting it on steroids both on the up side and down side its also a fundamental holiday. Nobody should be surprised by this, because pass investors, index funds own more than 50 of every publicly traded equity out there. They dont look at fundamentals, as long as monies to go that direction. I dont think thats declined over a study done last year. It will continue to move is a vaccine ive said this before, both points, actually and the headlines are filled with that move, and the final big pop. And then theres tina, theres no alternative so as trite as that is to say, courtesy of robin hood that find much more excitement in the marke markets. I think you would find little fault, particularly with the idea that where else would you go if not into equities, given where other parts of the broad investment markets stand, and you point out, among other things that its probably riskier not to own tech right here than to own it. Yeah. Steve, i think you just took all of my talking points i really have nothing left to say. I do look at the then give it back to me, liz. Ill go. [ laughter ] youre forced into equities if you have any return targets at all youre not going to get that return targets, until we get inflation, and its important to have diversion are diversification in the portfolio, but i believe you can overdiversify you can diversify away your opportunity. I say this a lot to our clients, invest like you mean it. In this particular environment, i like the market today. It shows cyclicals are coming back, broadening out is continuing and weft some sectors coming off the bench i stay optimistic, trying not to be pollyanna, but i am optimistic tiffany, jump in here about to outperform the socalled value stocks we had a spirited conversation about that yesterday the other word floating around in the ether is overbought. Tell me what that means to you and how concerned you are whether sections in the market are, in fact, overbought you know, i feel like we were having this conversation on the show a few weeks ago when value kind of took a bit of a run, but clearly, you know, growth is outperforming value. Its in there for the long haul. Its in there to stay. Youve got the russell growth outperforming the value. Its just, you know, a very clear story, when it comes to stocks being overbought, i maintain were in a stock pickers environment i really echo what liz is saying, you know, you absolutely have to own tech its not a question of whether its overbought. Its really, are you making are you as an investor making the right decision, the right picks . For me, i love anything tech i love anything tech adjacent, and i love tech enablers what does that means . Yeah. So any platform and im going to talk about a few in a minute any platform that is enabling existing businesses to convert to virtual or Digital Business sales let me turn to joe, because were talking about overbought stocks, and some of them on the list of or in overbought territory, including some you own like deere, nike and apple what do you think of that concept of being overbought . Does it concern you these holdings of yours are, quote, overbought or do you just say i like these stocks the fundamentals are good. Everybody wants to put their money there, because they are good you keep saying, i want to be invested we want to be invested if we were to experience a correction of lets say 5 to 10 , i would still be invested what i do is i measure the probability of a potential correction occurs. So i look in petes world. I purchased the vxx in the last week volatility has been well supported, so thats one of the ways that im kind of managing the risks. And guess where that takes us to the previous high for the year lets move on about how facebook, twitter, their price targets raised to new street highs by bank of america alphabet getting its target raised steve and tiffany, you both own facebook and alphabet, but pete, you own twitter, just bought some snap calls today. Take us through your thinking on thought. Yeah. I also own facebook. I think i dont look for something just because its stable or just because it has growth my whole qualifications are, i want quality if i can find quality and ive got growth, i think you have a great mix. Think about hout vertical facebook has created over the years. But they have converted themselves in just being the social Media Company of facebook to far much more than that now, especially when you look at marketplace, shops, everything that they have done. I look at that name and go, you know, its had an amazing run to the up side. Twitter has had some nice moves as well. Snap has struggled a bit comparative, but i look at names with some dominance and multiple verticals. Those are the names ill definitely have in my stock portfolio. On the options side i can be a little looser. I can have a little more risk on and look at names literally just monster moments tum and growth and of course there are other quality names in there as well it gives you the opportunity to be a part of all parts of the market even given today, a lot of people have missed this whole thing. If you look at health care, did you realize that the xlv is at an alltime high i see this happening and look at merck, j j, and other names in that. Thats in the pipeline to joes point about volatility, just for one second, it was 21, just a week and a half agents. If thats going higher, a lot of that is due due to the fact that people are willing to pay more to try to get some protection and were see a lot of selling out of a stock thats made an unbelievable run, but owning options that give you more of a quicker. As we see the volume tilts well off the lows, im aware, as pete just pud it the tentacles have but a selling platform my neighbor just bought a car through it you own it, you love it, right it i do. I do its, let ace say personality issues, hes actually a brilliant businessman, and theyll continue they continue to get in other businesses they continue to be the platform for advertisers. Youve got to be on facebook what disturbs me about the market before i get there, let me just deal with complacency. Theres not one experienced investor that i speak to that i would say is complacent. I cant speak to the robin hood traders, i dont talk to many of them at all, except for maybe my kids friends, but profession at investors are not omplacent. They have just determined the rewards are outweighing the risks. In terms of facebook, like, the stocks trade up on a daily basis, because analysts are raising price targets. I ran a 500person research department, and we had price targets. Im waiting for the research to come out and say were doing away with price targets. If youre an analyst, you have ton part fiction writer, and part analyst you know facebook is going higher. You know the numbers youve had before take a look at Morgan Stanley raising a price target on apple in a month by over 20 . Nothing transpired so you have to be careful about that a bit nonetheless, momentum is there i dont like that dialogue i can give you, as everything can in this panel, include pete. Look at lulu look at what that stock has done so lets forget the trite sayings, and look at whats underneath. Well talk more about lulu in a couple minutes with pete you mentioned zuckerberg i think of companies that are associated with their ceos and there are two that immediately come to mind one is zuckerberg and facebook, the other is tesla, tiffany, you own tesla. Its down about 10 today. So what, really . Its unhundreds of a percent over this year so far. What do you think about this selloff and about the fact that its fortune is so closely tied to its founder and leader. Yeah listen, i just want to set the report straight. Tesla is not i think someone on the week said this, theyre really a tech company. Theyre not a car company. They have not jumped on the innovation bandwagon theyre actually driving it, right . So, yeah, i mean, elon musk, i joke that hes a business messy, but at the end of the day he is a genius what that does is translates into rock star i think we need to stop for a second and think about what recall le driving stock prices up what it is is people buying. He is a celebrity. Hes a celebrity genius. Thats whats pushing it up. In addition to the innovation of the company. When you look at Companies Like a tesla, that is certainly a factor how many points of the stock is tied up with elon musk. In other words, if he were to leave the company tomorrow, petulantly or whatever, what would happen i dont have a crystal because, i cant give you an exact number, but the question is not how much it would sell off which i think it would, absolutely, a bit but the question is how much can elon musk and his large personality continue to push the stock in everything he does people are following him, looking at spacex, all these cool things hes doing that is pushing the stock. Tesla makes good cars with great technology, but i do think there is that elon factor. Yeah, there is. Pete, speak to me about that its almost like the new England Patriots lost their quarterback tom brady. If they lost belichick, it would be like tesla losing elon musk, to me, and it would take a lot of money out of the stock. Theres also been a lot of options action in that stock. No doubt about that the volumes there have been absolutely extraordinary, especially postsupplied what i would sea about elon musk, why have a bit of a different take he is tesla, he is spacex. He is running the Boring Company as well, the company with the chips that will go in and be as ai chip for all of us some day yet he just manages to do all of those things very, very well i think because of his focus, thats why were sees tesla where it is. I think it would be a dramatic hit to the stock unfortunately if, for whatever reason he was pushed out or something would happen i think i would be very, very nervous about that even though its a great company, i think its his vision, tyler, that really has everybody compelled to like this i think i might have been the one who said, hey, look, its not an auto stock. Its a hardware in terms of the automobile, its safety ware with Everything Else and ought Data Collection they do. Its really a technology company. Thats why ive been looking at that for years and gene muenster first brought that up, i have to give him credit every time since then it makes me feel different about tesla. I dont think they could afford to not have elon musk at the helm hes so associated with the company and its innovation its not merely the cars you see around, its really whats beneath those cars, the technology, including whats happening with his Space Company and others that drives it. Lets go around the horn and see whats on the buy and sell lists today. Joe, youre looking at a couple consumers names. Which are they and why so i am, tyler. It would be predicated upon selling one of the holdings that i currently have in the portfolio. I think right now the number one candidate that im looking at selling is the xbi, the biotech etf, that might disappointment steve, but i think its too correlated now to a therapeutic, to a vaccine if i were to sell it, i would purchase ollis, and second jamb somebodier they both reported very strong quarters i like that stock, both of them are up pulling back. So im looking at both these names as an opportunity if i were to ring the registers on xbi. Youre looking at lowes and dominos pizza, two companies in my mind that couldnt be farther apart. Couldnt be, except they broading my expos infrastructure from 5g. I dont disagree with joe at all, but conversely i do like the exposure to a vaccine. I cut back my moderna position, so it gives me more chances. On lowes and dominos, i bought both, but very small starter positions. Both have acted poorly after the quarter, youre seeing Indoor Dining opening, and theres a misconception that will hurt their business actually between my notes this morni morning. This time sky works has done extraordinarily well. , i still maintain 5g phones would be the biggest Product Launch ever. Liz, that would be transports what do you think of them . So, actually, tyler on the last Halftime Report i was on, i used transports as my final trade. That falls into the industrials category and the cyclicals category over the next three to six months, cyclicals can catch up, small caps can catch up. Transports is a big part of all of those industries, even transports internationally i think can catch up i think europe and asia come back a bit faster, and youll see transportation stocks benefit from that around the globe. Lets talk to a couple folks who own these stocks tiffany, steve and pete all own u. P. S. ,ty any, why dont you explain you have u. P. S. On your list i would say fedex is higher up on my list than u. P. S to jump on board with the girl power, i echo everything that liz said i love transports in this day andage when we are ordering everything to our doorstep weve been forced to converse or kind of shift two Major Players on this it really is the global lead leader the next day delivery you probably will have your products shift by fedex. Whatever your store, it can really almost set the prices thats one of the main reasons i like it. Joe, you own a stock, old dominion, why that one i certainly do. Thats a best in breed transports i agree with liz, very quietly transports have been a very strong indicator that theres going to be this economic revival that were experiencing he here, that would be use you are transpo transport. Those have been strong winner, but lets not forget within that lstr, thats anothe name that benefits from this economic revival lets take a pause as you check out this mystery chart its a chip stock. Just got a price hike target price hike to a new street high. We will reveal the name and debate it next in our call of the day. You can always listen to us live on the go on the cnbc app halftime is back after this. You see nasdaq has flipped back into positive territory meantime, sue has the headlines. Heres whats happening at this hour. Angela merkel demanding russia explain the poisoning of alexeis in navalny meanwhile, his doctors say it will be a long recovered. Joe bidens campaign raised a record in august more than half of the money came from small, online donations. New research on several studies shows some steroids reduced death rates when given to severely ill patients pretty harry and his wife megan have signed a year with netflix. The couple says they will seek to make content that informs and gives hope will send it back to you. Oust mystery chart bank of american upping the price target, new street high, it is our call of the stay, this stock is now worth more, much more even than intel. Tiffany, you own it. I do, yeah. Again, you know, started the show saying i logged everything tech, and nvidia is clearly right up there in theres particularly interesting to me. They also include Artificial Intelligence in that you know, the stock is up 142 year to date, and 12 almost 12 in the past five days. You know, that tells the entire story, i think. Thats a pretty good story to tell, up 142 so far from nvidia to qualcomm, micron, intel, and others. Whats your broad take on this category, semiconductors at the risk of irritating all of the traders on this panel right now, i think semiconductors are usually looked at as an indicator of whats to come if were looking at just the nature of this recovery, we still need the consumer to come back we need manufacturing to come back were going to look at consumers discretionaries, industrials as the indicator Going Forward. The other. Does anyone want to respond to liz the floor is open. Ill respond. First of all, the pillars of the economy that presage a strong market are auto sales and home sales both are very strong while the oems are not doing very well, because they cut producti production, theyre experienc g experiencing. In terms of semis, theyre not just going to phones or pcs, theyre going to virtually every area of industry for example, you take a look at a company like xpo, which is another transport company, theyre operating all their factories with 5g. Thats another play for chips. The total Addressable Market for the chip manufacturers, like a skyworks again, is not only in phones where it used to be in 4g, now its increased exponentially, because its going into health care its going into nfl stadiums, more than half of 5g networks. Its going everywhere. Im not sure that thats a reliability indication anymore Going Forward. Rahel solomon has a few other calls. Yes, two bullish calls costco, price target goes to 410 at cow hen, thanks in part to strong comps, despite inventory challenges for some indemand categories costco getting fresh alltime highs, but maybe you want to jump on your peloton bike, and thats part of the reason jpmorgan is raising its price target to a street high of 105, increases estimates also across the board. The 202 ebitda expectation is almost 200 above consensus. While were talking about huge figures, at the march lows, peloton was a 17 stock. Its up almost 400 from those levels, as it sits at about 89 and 50. I like cost to hot dogs and i love my pelotons theyre actually now backordered. And new york is one of the worst places on average it takes about ten weeks to get a bike in new york. One of the best places, however, is dallas. If you want a bike, i dont know move to dallas. Rahel, thanks very much. Pete is seeing some unusual activity in the options market, but a quick check on the map thats 10 out of 11 in the green for this day were back after this. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. When youre miles from home. Your bank should help you check on your account to see whats free to spend. Henry. Virtual wallet® is so much more than a checking account. Easily see whats free to spend. And put money aside for your next big purchase. Like a trainer for henry. Stop it. Carl, do you have those figures . Yeah. Henry sit . Its carl. Virtual wallet® for Digital Banking from pnc. Its time to get more from your bank. Virtual wallet® for Digital Banking from pnc. music anncr give customers access to precisely what they want, when they need it the most. With adyen, the payments platform that delivers convenience for all. Adyen. Business. Not boundaries. Intel shares have rebounded merely 9 , and pete, what have you been seeing . Yeah, tyler, you know, as a matter of fact when that stock actually got the blood in the streets, as we call it, back there at 48, it seemed like an opportunity, because it started to shift and move to the up side we started seed more and more unusual activity that was positive what were seeing today is following up on paper what were seeing today is were buying the september 11th expiring, and theyre going out there, buying the 53 strike calls for about 80 . About 10,000 of those were bought with the stock about a little less than it is right now so a nice, and im owning on the calls as well. Starbucks has been amazing after its lows, but september 11th again is the expiration cycle. We buy respect of about 5,000 of the 90 strike calls. Its going to have to make a move in the next week and a half oar so its only a couple dollars, but theyre paying about 60 cents for hess options as well i like see this paper. I already believed in intel. I thought the sell was overdone, and now it looks like a stock that wants to maybe break out again. Ill be in both of these until next friday, unless they move sooner than that. Joe, that must be music to your ears on starbucks, which im told you own after giving fundamental support and confidence to its investors with recent earnings call. Listen, there is a faster economic recovery thats happening outside of the u. S. That benefits starbucks its moving up quickly here i think it clears above 90 yesterday we didnt get to answer your question today were going to get them in go to cnbc. Com halftime, or tweet us, and throughout the day we are watching the rise in price of things you use every day. As we go to a break, take a look at laundry detergent, up 9. 2 . In the four weeks ending august 22nd compared to the same period last year. Lfmes ckft ts. This is decision tech. Find a stock based on your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. If i could, baby id how can i, when you wont take it from me you can go your own way go your own way your wireless. Your rules. Only with xfinity mobile. The trader will answer your questions, i will pose them. Pete, the first question is on draftkings do you think draftkings is a good stock play with sports coming back . Its already back, the stock surging today on news that Michael Jordan, the team orange of the Charlotte Team and a gambler, folks, will be joining the company as a board adviser he likes the action. Do you i like the action as well ive own this stock since just after the ipo. I think theres plenty of up side penn gaming and other, theres competition out there, but were talking about a 30some odd billion dollar area that i think could be exposed i look at a guy like Michael Jordan, is there anybody who stands out like Michael Jordan maybe tom brady in football, and obviously Michael Jordan who hasnt played basketball in quite a few years, yet still the biggest name out there he brings so much street cred out there, and i think it will be important Going Forward as the competition continues to rise, because others will get into this industry as well, but draftkings i think is well positioned to really be the number one i have no plans of selling my stock anytime in the near future. The nba, i to sss this on te to the panel as a whole, that Sports Betting is an inevitability, but i wonder how much they would like it if one of their own, an owner of the team, becomes a little too associated with a fundamentally a Gambling Company anybody have any thoughts there . Well, i would think that he spoke i would hope hes a smart guy, i would hope he spoke to the nba and got adam silvers position do you even draftkings . I dont i missed it. I think it is a good holding im jealous of pete, happy for him to see some gains, but no, i dont. Its one of the few spacs that would work. Joe asking should i by abbott labs or abbvie . That happens to be a great comparison going back on draftkings i would own Penn National before draftkings let me go back in history and understand i was an owner of abbvie, very disappointed by the performance during the course of 18 and 19, directly went into abbott labs. Im happy that i am there. Abbvie has recovered theyre both strong companies. Its kind of like the battle of illinois, but im going to stay in that i abbott position. I heard the ceo last week on the network with meg tirrell boy, that is just a fantastic management communication im very comfortable with management, and robert ford presented himself in a phenomenal capacity. It doesnt mean abbvie hasnt made a good recovery it has jerry in indiana wants to know if its time to sell key sight technologies the dont know that company. Actually, i bought more what jerry is remembers to is the stock reported a great number the stock was up big premarket, and then dropped like a rock i went through the k, the transcript theres no reason for this what keysight does is that it tests new applications rather, new equipment, technology coming into the market before you develop a new iphone or new chip for the iphone, you go to a pike lee company like keysight or teradyne both will be absolutely fine dont worry about them theyre early cycle stocks i think were early in the 5g cycle. List, keirin in ireland wants to know your thoughts on the european banks so, keirin, i am optimistic on europe but more the consumer than financials. This is a perfect reason why i dont like it when people are passive internationally. Financials is usually the biggest sector in international indices. Tiffany, theres a good restaurant called enseos. Enzo asked if beyond meat overbought yeah. Beyond meat is another one of those stocks that i think is just really gaining a lot of attention. They clearly had their ipo i would have expected them to do a bit better during the height of quarantine when everybody was out of chicken and beef. Its taken a bit of a dip, down 3 in the last three months, but still year to date is up about 71 . So i do think theres still some runway for beyond meat now is maybe a good time to buy it since its had a bit of a dip. Pete, cristian in new jersey asks, should i buy macys . I think its too dangerous. The stores are absolutely in huge trouble online was its strength and there was some great growth, but off of a very low level. I would stay away. All right. Folks, crude owl prices are low ir, how the futures traders are playing that pullback. Thats next on halftime. Introducing stocks by the slice from fidelity. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. Im a sustainability science researcher at amazon. Climate change is the fight of our generation. The biggest obstacle right now is that were running out of time. Amazon now has a goal to be net zero carbon by 2040. We dont really know exactly how we are going to get there. Its going to be pretty hard. But one way or another were going to reduce our Carbon Footprint to net zero. I want my son to know that i tried my hardest to make things better for his generation. Time now for futures outlook. Check out crude, it is down more than 2 . Even as u. S. Inventories fell by over 6 Million Barrels last week, that according to the American Petroleum institute, and that is three times the draw that analysts expected lets bring in scott nations of nations indexes. Scott, you dont see much reason to be in oil these days. If oils price isnt moving up in the summer, the peak driving season, its probably not going to as we move into the fall. And, tyler, if it cant rally on the news you just pointed out, the fact that stockpiles saw a big draw, then how is it going to get out of its own way . That is the only good fundamental news for crude oil theyre about 14 higher than average for this time of year. All see supplies above the fiveyear average this time of year gasoline demand for the last two months has been flat crude oil is not only down about 2. 5 , it lost ground after the supply number. If they cant rally a little bit on this, if it cant get some sort of bid like copper, then how do you trade it . And the way to trade it is just look out below given theres no good news. I actually have my order in to short the october crude oil contract at 42 even if i get filled, my target to the downside is going to be 34 even we always trade these to a stop, so my stop is going to be 43 even each of these contracts are for a thousand barrels, so we would be risking 1,000 to make 3,000 payout ratio 13. Scott, thank you so much see you soon well have our future trades straight ahead on halftime. Pnc bank believes that if an app can help you track your pizza. Come on cody, where are you buddy . Then your bank should have the technology to help you track your spending. Virtual wallet® is so much more than a checking account. Easily see whats free to spend. And see where your money is going so you can budget even better. Okay, hes got to be close. Hes six blocks. In the other direction. Make a left, make a left make a left. He made a right again. Virtual wallet® for Digital Banking from pnc. Its time to get more from your bank. Before we get to final trades, lets pouint to clouder dropping right before the bell despite the bell, steve, you own it what are you looking for here . I always look to the new quarter because the business can be kind of chunky. A new ceo, theyre moving more to subscription which is almost complete i think the table is set perfectly for them, so im not buying any more from the earnings, but i am sticking with it and i like this one long term our Investment Committee has made a move. Tiffany, you just bought two stocks that are both up 100 this year. One is teladoc and ontrak. Why do you like them despite theyre doubles for the year i like that they are telehealth platforms. Ontrak is up 34 , Teladoc Health up 100 . They are allowing these to function again, because i have absolute power, i get to choose who goes first on final trades jay teranova, its you thank you, i feel very honored. Both pete and steve have been advocates of lululemon for many years. I was lucky to buy them early in the year i see it going well north of 400 in the coming months. 15 billion megacap plenty of room to the upside got to go fast. Pete, youre next. Cocacola ive owned it a long time and i see a call buy today mr. Weiss xpo ready to push new resistance and get to new highs and liz invesco s p very interesting. Zoom. Thats it for halftime. The the exchange begins right now. See you tomorrow tiyler, thanks, and well se you again soon the nasdaq and the s p jumping to new highs today as the bulls remain fully charged, but the bulls are flashing warning signals, the same we saw with that market top in january 2018. Plus a miss on the jobs support today. But the numbers arent telling the whole story. Well tell you what recruiters are saying a
comparemela.com © 2020. All Rights Reserved.