This case. I know the facts of h case like the back of my hand, you told me and theres nothing wrong thats been done. Why did you settle . Well, it was very simple. My lawyers told me winning would be very high. The golden partner, hedge fund manager, im wealthy, enough factoids and impress juries and that the cost of the trial would be 15 to 20 million and go for an a couple of years. We would likely see appeals, but let me make it clear. I vented into whats called a no admit, no deny settlement, which prohibits me from commenting on the governments allegations, where theres strength in my defenses. B i believe it speaks for itself and ill leave it at that. Do you worry some will see this settlement and think youre guilty . That you did something wrong because you settled . Theres always that b possibility. But i think you know, you get due process was extraordinarily abusive. This is one of the reasons im sitting here. Id like to prove things for others who are afflict nd the future and im hoping jay clayton, i wish him well. The new sec chair. I dont know him. Ive never met him. Ive heard nice things about him. The process in my opinion for the government should address. The law u requiring cooperman and omega to pay significant fines. Sounds like theyre declaring victory. Its like an abandoned victory from day one. The word that was left out of that persons comment was the word alleged. They accepted no admit, no deny. Im not admitting guilt, im not denying guilt. Not going to talk about the facts now. It could take an hour. Everybody loses. Only winners are the lawyers, frankly. Your business have been dramatic impacted by this. Way out of proportion to what was reasonablereasonable. In march of 2015, if i recall correctly, i got a sub ppoena fm the sec. I told my lawyers to tell them, withdraw the subpoena. Ill meet with them, answer all their questions and if they dont like the answers, they can reinstate the subpoena. They refused. So, we respond. It took them about 18 months after the subpoena response to make their final conclusion and they had to know during that 18month period that business was bleeding assets. We lost 4 billion of client assets and let me put a number on that. Fee structure is onehalf and 20 of f the profits. Onehalf p percent of 4 billion is 60 million. 2 of 4 billion is 80 million, so 60 million, 140 million that the business has lost annually. I do know my money is earmarked for charity. Rerespopd, takes 18 months to follow up and in negotiation, they said if you want to settle this, it would be a fiveyear bar, which someone was 73, now 74. Fiveyear bar can knock me out of the business. And i felt the combination of a fiveyear bar and giving t million was meaning im guilty. Thats why i said i wouldnt give you a five second bar, five kren cents, ill see you in court. Five months later, were holding him. No bar. No deny. Which im told by my lawyer, very significant. And give us 4. 9 million. I promised my investors this would not cost them anything. I would take care of everything and that basically, it would not distract me from doing their job. I mention nd the january appearance with you, we were up 60 and 10, credit fund and equity fund. So i want to get it behind me. And i did what i did. A cost thats harder to quantify, your reputation and legacy. You said at the time of the charge, quote, im not going to let these people destroy my legacy. Dupg they have . I dont think so. Who knows. Im not happy about how it ended up, but i feel good about myself. Kid out of south bronx. Starred with nothing. First generation, my family born in america, first generation, got a college degree. Started with nothing. Done very well. Buffett gifting it all back. I feel pretty good. The outcome of no admit, no deny and no suspension is highly unusual, so i got a lawyer tell you how good it was, but i can tell you, all the stuff ive read has been highly favor bable. I still say the system the broken. Secretary of labor, radon vay a of cabinet member during the rationen administration, accused of wrong doing. Went to trial and won. Posed a question, what door do i go through to get my reputation back. I dont think ive lost it at all. I feel good about myself, but this is you know, i spend a lot of time with youngsters. I tell them throughout life, you experience adversity. What makes for success is how you deal with it. Ive absorbed the cost. The settlement. Well see. I didnt admit to guilt. She left out the world alleged. Do you think you can win back not to mention 4 billion was pulled out. I would say i think we lost money for three reasons. I didnt have a distinguished 20 sh and third was this investigatory overhang. I expect well get back some amount of money. Those that pulled out who literally cried to me on the phone saying youve been great for me, i made a lot of money with you, sorry to do this, but i have a fe dush yar advising me. Im really focused on returns. 3. 6 billion currently over half the money is is our own capital. Do you feel like the clients turned their back on you . No. I said this in january. I learned a lot, i have a half a dozen investors, theyre not going to make America Great again. They made it great to begin with. Every one that stayed with me added capital. Where as a large number of inconstitutions who were advised by fe dush yars, pull oed out. I had one meet wg the client that i had for 25 years. Basically, i met with him and said im going to tell you four things. Number three, i was getting called by brokers that were Government Back ed. This firm was not. Youre innocent until proven guilty. Pick up the phone, call my attorneys. Theyll tell you they dont think theres a case here and do your own independent thinking. They fired me the next day. But i dont hold any grudges. Life is too short and we xwus just got to go on and do our best job. Even goldman pulled money from you. Yeah. You had a long and distinguished a career there. I was disappointed, but they again were advised and felt they did what they had to do. Was it selfdirected, im an opg on their plan. Ma many, i have a Great Respect for goldman, i grew there. The alarm clock goes off at 5 10 in the morning, i get into the office about 6 40. I have a team 406 devoted, capable, hard working people. We go to work every day, try to do our best. We have close to 60 of the money. Its like a glorified family office. Were managing our own money and were serious about it. Had you been banned, you mentioned they were seeking it first, a fiveyear ban. The question you should ask and get the sec to sit here and answer it. I cant answer it. What happened in the seven months between your original ask where you said fiveyear bar, effectively admit guilty. Give us 9 million. Okay, to know admit, no deny. Give us 4. 9 million. And no ban. What have they learned. Now, i have some theorys which im not at liberty to discuss. If they ask me initial ly for te final ask, i would accept it knowing it would save by business. No way i would ak cement a ban. No admit, no deny. Here, but manage money is what you do for a living a ban would have been devastating. I could still manage my own money. I have more money than i ever imagined i would have. The only reason to have more is to do more good things. My signature vent, i have 500 kids im paying their college tuition. Go to cooperman college scholars. Its very important to me. The lifetime earnings of a College Graduate is in excess of a Million Dollars more than a nonCollege Graduate, so im changing the lives of 500 youngsters, but what this thing cost me, i could have gone for 2500 youngsters, so i look at this as being very, very significant. What do you think the Biggest Issue is with the sec, which you have been highly critical of not only in this interview, but elsewhere . Mark cuban was in his own. You guys spoke in part of this process. One of my mentors was john weinberg. A terrific man, a lot of wisdom. When i worked for him, he said to once, dont screw around the people that buy ink by the ton. The press, the state. I guess you can take the logical extension, why are you sitting here highly critical of the guy that regulates you. Its like donald trump is all over the press, fake news. He wonders why the press treats him the way hes being treated. The its incumbent on me to speak out. The project process could have been a much different process. I think the game plan these people play, the sec and other regulatory bodies, bring down a guy, get a notch on your belt and get a job in the private sector making a Million Dollars a year as a defense attorney. Talk about a guy that i have enormous respect for. Hank greenberg. He basically built the worlds most profitable, successful Insurance Company in the world. Aig. A major fill an throw miss over his career, still is is. 12 years ago, Insurance Commission in new york went after him on a matter to get it behind and offered to settle for 16 million. Not thinking they owed him anything. We bowon billions. He says, forget about it. They go to trial. Its been 12 years at trial. He spent 100 million dealing with this problem. No one knows, only god knows what the government spent of tax pare money, but say they spent is 1000 million. They settled recently for 9 million less. Settled for 7 million, for a man of his caliber, built the worlds most profitable Insurance Company. World war ii hero. Theres something wrong with the system. I know that not the sec, whether its the sec, the Insurance Commission, theres a hostile attitude towards business. Do you feel they tried to make an example out of you, where you are, how much money you make . Used to make. Whatever. Im not a whiner. Why did they not give me a chance to answer the questions . Facts are facts, im not going to relive them. Why did they ask initially, hoping it would cave in and change in seven month sns id like to know the answer. Id pay serious money. Sounds like you in some ways, almost wish that you went to court and fought this thing out. Really cared about me. They focused on me. And the advice they gave me, took money out of their own pocket. As i said before, said it could be a two to threeyear period and 21 million of legal fees when you get finished with the expert witnesses. The world will know how to interpret it, so they made the recommendation that took a lot of money out of their pocket. So i trusted them and they have a lot of wisdom and they recommended i settle and i basically felt i had a listen to them. Take a quick break. Come back, talk markets. Sure, my pleasure. Back after a quick break. More with leon cooperman. Next up, coopermans picks. See where this legend stands on energy. A sector many in wall street are running from. Plus, after faangs big run, does he think the trade still has some bite . Were talking facebook, amazon, netflix and alphabet with one of the worlds most successful stock pickers f. The Halftime Report is back in two minutes. Their experience. Their leadership is instinctive. Theyre experts in things you havent heard of. Researchers of technologies that one day you will. Some call them the best of the best. Some call them veterans. We call them our team. We cut the price of trades to give investors even more value. And at 4. 95, you can trade with a clear advantage. Fidelity, where smarter investors will always be. Welcome back. Lets talk markets. How do they look to you today . Market outlook is okay. Pu i think the market from that was fully priced. What ahead of fundamentals. You think its ahead of the fundamentals . I think in january, i was on with you last, maybe more recently and i said i think the world as i see it is were heading back to normalization. And what is normal. We can debate this. Normal to me is is labor force grows a half a per spent, productivity grows 1. 5. That determines real growth. Thats called 2 . Inflation, 2 , thats 4 nominal. 4 nominal growth world, i think the fed fund, not be three quarters of 1 , but 2 and the tenyear, 2. 2, 2. 3, now, it may two, three year to get there, but thats where were heading. Na world, i think a 17 multiple on an s p is reasonreasonable. Theres a big swing in earnings because does President Trump get his program through . Thats worth 10 to the s p. Repatriation of 2 trillion of earnings. Corporate tax rate between the high teens and low 20s. Thats ten bucks, so, the s p, 132 next year, band if i put a 7 on 142, its like 24, 30, 24, 10 or 15. Were thot going to get a tax package this year. So owe dont think the market can get the next major leg up without key parts of it going through. Absolutely. Because youre talking about a 10 difference in earnings. Thats a good point. You know, were talking about relatively full employment. More jobs in america and ultimately, if you have more demand for labor than there is supply, the price goes up. I think what theres no question th that, lost my train of thought here. Z there are a lot of variables. Theres the agenda. How strong is the economy and earnings. The low. Economy has grown somewhere in the rate of 2 to 3 . Conditions that lead to market decline are not present and i accept that fact fact. Typically, declines are by the market smelling recession. The u. S. More signs of renewed growth and best growth so, the Global Economy looks fine. Recession doesnt seem to be in the cards. Second will be a hostile fed. We have the furthest thing from a hostile fed. The argument that would support is that Interest Rates are very low relative to the multiple im assuming. In other words, if i knew Interest Rates would be at three quarters and 1 , 2. 3, the multiple market would be higher than 17. But i think rates are going up. Well tighten again two or three times next year. Seemed to say today on cnbc that two hikes are the best case. I want to find out sort of where you lie between the schillers of the world who say and said on this program last week, stocks could go up another 50 from year. Jeremy siegel. Be very careful. He threw out a number, then backtrack and was in terms of years. So let me say this. If you want a definitive declaration, i wouldnt know. Bonds are very fully valued. I think stocks are more attractive than bond. But if Interest Rates belong near current levels, the returns in stock market ought to be 5, 6, 7 . So, if you have enough year, then youll get to schillers 50 . I didnt understand it because they talk about sickly adjusted capital. Cape ratio and its at a record high and says im not bullish. After being cautionary for a year and a half. We do our own work. I would take his views and my own over anybody elses. Let me get your point of view on what paul singer had to say. Brilliant man whos been bearish for five years. Fabulous business. I said five years ago, we had a yield. Hes not being paid for his views. His performance is excellent. Its a great firm. Opinions are like noses, everyo everybody has one. He said we think this is a good time to build a significant amount of dry powder. Active stocks and bonds are exist until the disenchanting moment when it does not, then all hell will break loose. Merit that thought . I would say with all the technolo technology. I have a when you get into the next bear market, you know, it could be a messy affair. A lot of the trade, its momentum based, its like a body in motion tends to stay in motion. I remember a year and a half ago, the market value around the world, went down 1 trillion. I ask my trading desk, its a negligible size economy. Its all because its quantitative trading, which worries me. I think there is a risk of some kind of outside outcome, but you need a causative factor. I say the combination of three quarters of the funds rate, 2. 3 government, the economy thats growing, a fed thats reduck tant luck tant to tighten, a geo political end, i dont see the conditions that lead to a large presence and i think paul is doing a good job of warning people and but hes been warning people for a lot of years and would admit to that. You mentioned the Three Wise Men sitting to your left. They all jumped with joy at that description. If i could, i think what you just highlighted was liquidity. Many said this is ali qu liquid rally. Are we then plays with the risk and when that occur, you mentioned quantitative programs, what happened in august of o 2014. The liquidity on the side not being there when Central Banks leave. I think were far away from that. I would say it was likely to end this would be a big turn around in energy prices, tightening labor market, escalation of labor cost. Lead to higher inflation. That may take 12, 18 months to unfold. Were not in the third inning of a bull mark, but the ninth is the last inning. The conditions just arent there. Bull markets dont die of old age. They die of excesses. Economic expansions die from excesses. Why are you surprised that maybe i should say, that the market has been able to tune out if you will, a lot of the noise and drama in the white house and surrounding it . If you answer it slightly different, the markets higher than i thought it would be, its not higher than i thought it would be in the year. I think its really the combination of Central Bank Policies and a greing economy. What do you do with match up . I have in my portfolio, six or seven different stocks that yield anywhere between 6 and 12 . Id rather own those with the prospect of the growth dividend. If it started to fro at 4 , too real to inflation, that bonds would go up in yield. You have a known capital lotsz. I agree with that with schiller. So, a tenyear yielding today is more representative of central bank activity, not only here, but globally, rather than something wrong with the economy. The bond market sniffing out something. The bears want the to point to the bond as indicative of the economy. No, the its a result of a lot of academics. Interest rates artificially low. After the bubble at the moment, the bubble is not equity, it isnt fixed income. I was flying back last week, were at a conference, so i wasnt as el quantity about asking this question of mr. Schiller as ill try to be with you. What is the handicap on getting the jump policies through . Would you say the reason weve hit the pause button now is because people think like you say, that its not going to happen this year . Its pushed off into 2018 or are you saying its just a 25 chance . I say its the 25 chance, more likely next year. Longs rates are noncompetitive, people will be optimistic. And will pass. Were going to take a quick break. Much more ahead with leon cooperman. Well get some of his picks in the area of the market where hes increasing his exposure. Plus, betting on the transports. Which is a better play . Fedex or ups . Halftime report coming right back. You wont see these folks at the post office. They have businesses to run. They have passions to pursue. How do they avoid trips to the post office . Stamps. Com mail letters, ship packages, all the services of the post office right on your computer. Get a 4 week trial, plus 100 in extras including postage and a digital scale. Go to stamps. Com tv and never go to the post office again. I love how usaa gives me the and the security just like the marines did. At one point, i did change to a Different Company with car insurance, and i was not happy with the customer service. We have switched back over and we feel like were back home now. The process through usaa is so effortless, that you feel like youre a part of the family. I love that i can pass the membership to my children, and that they can be protected. Were the williams family, and were usaa members for life. Call usaa today to talk about your insurance needs. It is a battle of shippers today. Landon has the story. Hey, the industrials etf down slightly today after hitting a record high in last weeks session. The shippers are among the Biggest Holdings in the that etf, so it has part of our series, were trilling down on the shipping wars, ups versus fedex. So far this year, fedex is win ing that war with a stock up 4 versus an 8 decline for ups. Digging into both of those stocks, shares of fedex were higher on optimism for further growth, specifically in fedex express. Ups sliding on lower guidance and concern for keeping up with delivery demand. I spoke with david ross who covers both of those companies and points out that fedex is a nonunion company with more Margin Expansion and Earnings Growth potential. Ups is mostly ewan younized, has strong cash flow, solid dividend, but little in the way of Earnings Growth, so if youre bullish on the economy, youd likely prefer the bonds to rev lichaj from fedex, where as the dividends from ups would be more of a caution play. Now, to sue. Thank you. And heres whats happening at the hour, everyone. The u. S. Enjoy toward disarmament robert wood warning north korea at a u. N. Forum that it is facing growing ice laigs from the growing community following the the launch of a new ballistic missile. United states will pursue yuan aggressive Diplomatic Campaign to further isolate the regime in pyongyang and calls on all countries concerned about north Koreas Nuclear saber rattling and flagrant violations to join us in this effort. Angela merkel holding a joint News Conference with indian Prime Minister modi in berlin. The Police Report on tiger woods dui arrest has been released. He was asleep at the wheel of a stationary mercedes benbenz in jupiter, florida and did not know where he was. He had slow and slurred speech, but tests showed there was no alcohol in his system. That is the news update this hour. Now, over to melissa with whats coming up on power lunch. Hi, there. Big show. Top of the hour. Active managers making a big bet op one hot area of the stock market now. Should you follow them in . Its a place where tech superstars are born, but it is creating a serious kriss for certain workers. And is the tiger brand done . Meantime, Halftime Report back right after this. Welcome to holiday inn whether for big meetings or little getaways, there are always smiles ahead at holiday inn. Hey ron theyre finally taking down that schwab billboard. Oh, not so fast, carl. Oh no. Schwab, again . Index investing for that low . Thats three times less than fidelity. And four times less than vanguard. Whats next, no minimums . No minimums. Schwab has lowered the cost of investing again. Introducing the lowest cost index funds in the industry with no minimums. I bet theyre calling about the schwab news. Schwab. A modern approach to wealth management. I want to get to some of your top picks. You recently increased your exposure to energy. Correct. Basic view is with the Global Economy like the growth 3 or more, cap ex in europe not being particularly strong in the energy sector, supply and demand would come more into balance. So for the moment, youre supported by opec cutbacks, Shell Production in the united states, but we think oil prices currently under 50 could end the year closer to 60 so weve been building positions and neighbors, wpx, keen and hess. Keen, i dont know anything about. Pressure pumping. Theyve got to be a fracker. Pressure pumping. This is new position . Relatively new. They went public recently. We bought it after public offer bing and theyve done a very good job earnings that exceeded expectations. Demand the very strong. Stock sells below the cost of their assets. They have to get near 20. 13ish for them to be not a price of replacement costs. What is wpx . Oil and gas producer, midwest. Relatively new u position for you . I would say so. The last six months. Nothing wrong with trading, but basically, weve really, that activity has been very low. We think the market is in a zone of fair value and we like what we own and its going up gradually and we dont want to pay tax, we dont with have to pay taxes. You know, its really interesting what you just said because i want to ask you this question about the derivatives market. Youve been involved in those in the past. With volatility as low as it is, are you seeing the opportunity for some trading . The Options Market than nyou ar in terms of i know you did that with anning years ago. What about principle activity, we do very carefully. Extremely profitablprofitable. We do a lot of put and call selling on the s p. Even today, the premiums theyre willing to pay you for very, very low strike prices seem seductive so, we tend to be short 3 a call premium for dollar put premium yum so, if you ask me you know, the most pessimistic level i have op the s p the rest of this year would be 2150, more likely 2250 as a downside. Upside, 2550 call 2600. You can do a call like 2600, 2100, taking a decent sum of money and weve done a lot of that. Talking neighbors during the break, labors is trading at nine. Selling a less than nine. Selling a nine strike put. Stock at 710, which is below the low end of the range we think well trade at. Negative is a big corporate ooent that could make it down 90. We own the stock and were short the put, so well make more. Youve got to stock side of it, also getting those big premiums. I dont think the market runs away. Therefore, were willing to sell the money put premium, the its one of our strategies. Not in a rush. I think if the market went up a quick 5 here, we would be knocking the door and id have to change my story. Right now, were fully valued, not euphoric. Should be high er at the end of the year, than we are now. Near term, i would be surprised and id have to adjust my strategy. You call dow chemical one of your top ideas, its been in your portfolio. I guess if r a while. We like the dupont merger. Dan logan has been a very constructive manager. We like historic process. We think that the dan from tie ko days is a very good manager and we think the stock gets 15 to 20 upside. But its not a spring chicken. He recently sent last week sent a perresentation. He wanted Six Companies created or at least consider options. Or risk leaving a considerable amount of money on the table for shareholders. I think the company had a good response. Look at it. Do this in thought and have to wait and see. United airlines. When you were last here. I love Warren Buffett, but we beat him to the punch. The industry has become an ol goply. More pricing control in the hands of the major airlines. And youre generating a lot of Free Cash Flow. Buying back equity. Look at my spread sheet, multiple is eight times in a 17 multiple market, so its half the market multiple. With big Free Cash Flow generation. I think Warren Buffett being the guru he has has brought more attention to the company. You were last here just before the man was drag ged off the plane. Did you waiver at all in your support for the stock. We made a mistake. They handled something poorly. They settled. Talking about a billion dollar company. I dont know what they gave to go away, but they, it is what it is, its like you know, it sounds very cold and callous, but you know, if a drug company winds up with a bad drug and they kill somebody, everybody wants to know the earnings per share impact. At the end of the day, if united has right plane going to the right place at the right time, im flying united. Not going to go out of my way to go to a different airport at a different time so, this, too, shall pass. Interesting art klt kl in the new york times. Taking a look at the airline industry, the business itself and lay iing a good portion of e blame for why traveling stinks at the feet of wall street. Youve got four classes of service on a plane. Youre trying to pull every once of money that you can get. In profit. Charge to use the bathrooms. Not yet. Spirit will probably bring that. 50 cents. 25 cents. What do you make of that though this. The stocks have turned around in terms of the point of view from investors. Mr. Buffett and you. Certainly acknowledged that. But the flip side is that traveling stinks. Its fashionable to complain. I live in florida. I go down four days a month, five days a month and i couldnt have had a better flight. On united. On time. Everything worked. My wifi worked, everything worked. They send me a questionnaire, perfect, keep it like this. Im happy. On time, wifi works, i dont expect any food. I pay 9 bucks for the wifi doesnt always work. It worked for me. It was a perfect flight. Were going to take a quick break. I want to talk about the faang stocks. This narrow leadership that some are citing as one of the risks of the market, particularly in the nasdaq. Lee cooperman owns several of the names you may own yourself. First, a check on energy, it is down across the board today. Theres a look. Wti crude, under 50. 49. 39. Were back on the Halftime Report after this. Their experience is coveted. Their leadership is instinctive. Theyre experts in things you havent heard of. Researchers of technologies that one day you will. Some call them the best of the best. Some call them veterans. We call them our team. Mobility is very important to me. Thats why i use e trade mobile. Its on all my mobile devices, so it suits my mobile lifestyle. And it keeps my investments fully mobile. Even when im on the move. Sign up at etrade. Com and get up to six hundred dollars. Welcome back to the Halftime Report. Im jackie deangelis. Crude tumbling over 1 at one point, but oil not the only commodity in the Energy Complex thats getting crushed. Gasoline, nat gas falling today. Could a comeback be in the cards . Stati scott nations and brian are here today. If you had to bet on which one is coming back, which one would it be . Gasoline. Only down half as much as crude oil is today. The percentage basis and gasoline features at 1. 50 a gallon. We have low unemployment, consumers are doing reasonably well. I think well see quite a bit of gasoline demand. Brian, if you had to pick one, gasoline or oil . It seems like gasoline. Gasoline, the Refining Capacity doesnt have the capabilities that you would see the oil pumping out of the ground can change variably based on what opec is doing based on the shale Gas Producers are doing. It seems like gasoline will be the rate limiting step even if you see crude Oil Prices Fall i think gasoline holds in there. Dont expect prices to tumble along with crude. I would bet on gasoline as well. More on the crude crush at 1 00 p. M. On the online show. Louise yamada will tell us why oil troubles are far from over. [pony neighing] what . Hey gary. Oh. Whats with the dogsized horse . Im crazy stressed trying to figure out this complex trade so i brought in my comfort pony, warren, to help me deal. Isnt that right warren . Well, you could get support from thinkorswims inapp chat. It lets you chat and share your screen directly with a live person right from the app, so you dont need a comfort pony. Oh, so what about my motivational meerkat . Inapp chat on thinkorswim. Only at td ameritrade. New biwhat are we gonna do . Ys. How about we pump more into promotions . Nah. What else . What if we hire more sales reps . Nah. What else . What if we digitize the whole supply chain . So people can customize their bike before they buy it. That worked better than expected. Ill dial it back. Yeah, dial it back. Just a little. Live business, powered by sap. When you run live, you run simple. Thithis is the new new york. E . Think again. We are building new airports all across the state. New roads and bridges. New mass transit. New business friendly environment. New lower taxes. And new University Partnerships to grow the businesses of tomorrow today. Learn more at esd. Ny. Gov in these turbulent times, do you focus or plan for tomorrow . At kpmg, we believe success requires both. With our broad range of services and industry expertise, kpmg can help you anticipate tomorrow and deliver today. Kpmg. We are back with leon cooperman. We referenced about lees s. E. C. Settlement mark cue bap had been supportive of you, lee, during your fight, if you want to call it that with the s. E. C. He tweeted, in fact, great job on cnbc. Way to join the s. E. C. Ass kickers club. They are still a mess. He reached out to you at some point during he was very supportive. He went to his own problem. I dont want to make a career out of bashing the s. E. C. I posed a bunch of questions earlier on and ill leave it at that. I have to get on with my life. I think clear ly they he were abusive and did it not conduct themselves in a manner that was fair. In my opinion. I settled and life will go on. He is a perfect segue to jump from that though it feels like a hard right turn to technology because he was on our air and spoke of the merits of amazon which i think is his biggest position now. Stocks on machine learning, a. I. And the like. We already have a lot of Artificial Intelligence on wall street. Well save that for your next appearance. Facebook let me just say this and make a confession. If i listen to my analyst i would be richer than i am. Deleveraging in something 50 or 60 times earnings. Google or facebook were willing to add at the present price. But google is not an expensive stock. Google is trading at 18. 4 times next years earnings. A fortress balance sheet. A growth rate probably not far from the multiple. Not expensive. Amazon looks pricey. I have less than a minute left. Do you look at these stocks and worry these have gotten a little out of whack . The nasdaq is setting new records every day. A small number of stocks account ing for such a large percentage of the s ps gain on the year. I think its overstated. The russell is doing okay. Look at theres nothing like 2000. Cisco was 200 times earnings. It was a huge company. Its not like it was in 2000. You have amazons a religion. Amazons a religion. I ordered something on amazon yesterday. Its wonderful. I have plantar fasciitis. Are you a prime member . I get an email saying its shipped an hour later. The question he is whether amazon is a great stock or business. I tend to look for great stock not necessarily great businesses. Im not comfortable paying the valuations it trades at. My analysts would be very right, be a buyer. I want to thank you for being here today. My pleasure. Thank you for being here. Leon cooperman. Power lunch starts right now. Thanks, scott. Here is whats on your tuesday menu. Amazons amazing run. The stock topping 1,000 for the first time ever. Other tech stocks also on the move but is it setting your money up for a trap . Obviously mr. Cooperman thinks no. President trump back home and back on the phone is tweeting up a storm and starting more battles in d. C. The latest on his agenda and more. And tiger woods hatest troubles. Whats next for him, his brand and his