Day. Football and Financial Advice. Jets linebacker Brandon Copeland joins the desk. Hes a member of our Financial Wellness advisory counsel. The Halftime Report starts right now. Welcome to the Halftime Report. Joe terranova, the brothers najarian, Courtney Gibson and, Mario Gabelli of the gabelli funds. The s p heading for its 24th record close of the year what a big year its been. How are you doing . Terrific. Welcome back. How do you feel . Better than in months . The fact the market is hitting a new high, were looking at stock specifics and what are they doing. Like the viacom cbs. Next year the only challenge i see is the lower Interest Rate that has an impact on the liabilities of Pension Plans and how much cash they have to put in things are okay. How do you feel about where the trade talks are, where the fed is nothing nothing changes. Its fine. The fed is fine. We like the global competitiveness, that china is bringing in texy in house and trying to develop their own skill set and have competitive innovation this talk of value over growth i dont care. Are you trying to play coy with me today . Get me out of the closet trying to out me im looking at growth at a good way to look at things. We had a conference, scott, on friday, dealing with the subject of health care, why does the United States have 18 of gdp in health care . How much of that is due to pills, how much due to hospitals . We have to get the patients out of the hospitals at home, get medicine and technology. So one of the stocks we liked is the stock thats 80 they have 83 million fully diluted. Its nothing and its the beginning of a way to analyze people in urban america and also in Rural America so that they can get a lower cost treatment are you finding value in the market even as we say were at record highs i have stacks of value. All right the russell is having a big day. What do you mean, you came on the air and said youre a small cap guy. I like to look at companies vertically our analysts, 40 of them, look at nano caps all the way up to the Big Companies and the ones that you go to a meeting i read a transcript, one analyst now i dont know why it was only one, 16 million shares and a play on sfras and they have new technology with fuel cells and electric vehicles so how long have you owned teledoc . No more than six to nine months ago were buying it today at 81. 05, buying it today literally. It was up friday 5 after our conference are you buying anything else . Lately within full disclosure were always buying stock because we have clients that hire us and we like to be fully invested much like a hospital for special surgery does specialized things. I feel like were having special surgery here right now you want names i do. I do name names. Ill give them to you very quickly. What we like is the what i give to students aill give to you, a pp test, planet and people what happened at yale new haven sorry, yale harvard game is what is going on climate protests. Climate reality check and that is is that in the 1960s you were worried about the draft and vietnam. Toe its the climate get rid of plastic, buy companies that have recyclables. What happens to the planet how do we help trump says great water, we have the best water and air the next thing he should say is were going to energize americas creativity and come up with a way to do fuel cells and fusion and other ways to generate electricity the stock is 52. Those kinds of companies are easy thats the ticker yes making sure everybody is following along. You go on these rifts. You want me to go fast. You hit my fastforward button. I dont want people to get lost never a doubt, we wont okay. Were only six minutes in. What do you want . Get some other people involved i hope so liz young yes, sir. Welcome back. Even some of the bears are now optimistic about where the market can go, how does the market look to you as we enter 2020 the market still looks healthy. What i think the challenges are that this year earnings was such a low bar, we scaled a very low bar. Next year it will be higher and tougher for companies to surprise on the upside however, agree with mario that trade is fine and as long as these december carrots dont go, the trade kind of simmer continues and its okay as long as we get some kind of a deal before the election. The higher, courtney, we go between now and the end of the year and even this ramp to the new highs, are we pulling forward gains because of some of the risks . The risks are out there i hope someone sends our president a nice turkey and some good macaroni and cheese so we dont get any issues, any tweets the next week. It would be exacerbated this week i think overall as long as we kind of see progress and things moving forward, as long as things are transparent and no whammies, we will see the market doing well and fundamentals of companies are doing well companies are under promising and we hope that they overdeliver and those that dont will get crushed next year i think things will guide higher the wind is at our back and its not a bad thing. Mike wilson over at morgan stanley, i mentioned the bears or those who have been more cautious or downright negative at times are starting to change their tune a little bit. Central Bank LiquidityGoldman Sachs goes up in early 2020 jpmorgan will arrive in 2020, bring another strong year for stocks are we getting a little ahead of ourselves here a guy like mike wilson, hes had to be in this chasing mode and be flexible because the markets have changed yes, we have this going on with china and thats the biggest overhang weve got we talk about how its affecting things joy point joe pointed out and t market recovered somewhat off of those lows here we are near 52week highs and its virtually almost the same names again, scott, and i dont mind that. Its microsoft, apple, the tech names that we all like and a lot of us think for a long time think are still too cheap and you look at health care, the financials, they are something that i think has been the standout for me because all year long we heard theyre not really performing you go back and look again, theyre up 20 plus percent still very inexpensive a lot of different areas, levers to pull that can push the market higher, no doubt last week even when we started seeing the push to the down side earlier, a volatility index hanging at 13. If there was panic, concern, that would have been higher than it was and it was not even close. Pete talks about the levers that push the market higher. What about the m a today you had a bunch of deals. Tiffanys, you had in addition to that Medicines Company and in addition schwab. Also things you dont think about ebay, stub hub and viagogo and a lot of other financial engineering. Youll see more of that. Only 24 days until christmas a special friend, a granddaught granddaughter, buy her a baseball team, the Atlanta Braves in addition to that if you have a really good friend, buy them a ferrari. One share is like 150 and then if you really are excited about new york sports you buy them the Knicks Madison square garden will be spinning off all of their entertainment businesses and we dont know the final Balance Sheet but you can get the knicks and the rangers and those are good christmas presents. If you want to have fun and cheer, just root for America Cliff wants dolan to sell before the spin. Come on, cliff, forget about it do you think dolan should sell the knicks and rangers . The company will be kept and spinning off the entertainment what will be public are the sports teams why would i want to sell an iconic brand to whom and for what price its a taxable transaction, it makes no sense then you have a double tax and the money stays in Madison Square garden as opposed to the shareholders cliff, thank you, move on. He can call me later and ill charge a commission and give you the fees the bottom line is entertainment and sports and gambling, what bloomberg is doing is spending money on television. Betting on sports makes people look longer, listen longer and stay longer and then the final wild card and its a small probability but twitter eliminated political ads if facebook comes to the hellty it has to do the same thing. Mike bloomberg . Mayor mike, yeah. Are you supporting him . I think hes terrific his knowledge is phenomenal. Is that a yes you have until november 3rd ill move to florida to support him if i have to i cant support him in connecticut, duh hes right. I cant support him in california, duh. I cant support him in new york. Who is the best candidate right now . You are seriously. Well, im not in the race i can write you in. Ooh you may i would be honored but im not running. I like them all america is fantastic you like them all absolutely. Everyone has a point of view as long as they spend on television which is great for my companies. I saw today buttigieg has a wealth plan. Lee cooperman has taken a lot of fire from elizabeth warren, what do you think i have no comment the easy layup, nobrainer, get rid of the carried interest. I pay 39. 35 on every dollar i earn nobrainer why cant you do that . Third, make Student Loans tax deductible thats a nobrainer. If im a doctor going to school, why do i spend 400,000 . And then universal health care for everyone, we have to have it maybe mario should run. Are you are you okay what are you drinking . Instead of water, bourbon . It is clear so dont is ask me any questions. Are you not commenting because you dont want to make it into her next commercial . Scott, im listen, the best thing that can happen to Networks Like yours, that is cnbc, nbc, whats going on in the political world. A lot of tuesdaying, a the lot of tuneins this is great. Elizabeth warren is helping fox. Well, whoever shes helping, i mean, people like you and those that you know are under fire in certain parts of the political spectrum right now we have survived 250 years. When i started the firm, its a great country that we live in. Any Political Risk to the market in 2020 i think the notion of putin and the people in iran having problems the iranians, theres a great deal of Political Risk if they do something silly like reading the trades they were doing something about blowing up some american installation. Theres always that risk because if oil shoots up dramatically, thats a challenge okay. You give up try again later. For the moment. For the moment youre like the Atlanta Braves we dont want to play softball play some baseball you never bought stocks i dont know why i should give you any answers to anything. Like i said, well come back to it. We have 45 minutes left. Never a doubt im glad you think of that me joe . Markets. Sure. I think listening to marios comments and what ive heard from everyone else the consumer is so relevant in the conversation, and if you think about the condition of the consumer, think about quarter to date, the s p 500 is up 5 the three sectors that are outperforming, health care, technology, financials whats important to each of those sectors . The consumer delivers the pricing power. Tell me in each sector that you cant find a nice blend of grooet and value, what pete and i like to refer to as quality. The consumer is driving the market higher. Savings rate is at 8 . That is the highest its been since the early 1990s. You mentioned before jpmorgan talking about this reallocation in 2020. I dont understand that note global stocks up 22 year to date Investment Grade 13 that already happened in 2019. So why are we looking forward into 2020 and bonds are not going to work. The vaty strategy is the u. S. Consumer they acknowledge what youre talking about, but the great rotation part two. Theyre looking i could see that in 2021. In the political environment that were going to embark on in 2020 where at some point were going to question whether there will be continued divided government, the best thing for the marked i think returns will be muted and asset class will be very necessary. I see a lot of infrastructure plays right now. And all the way out through 2020 out to 2021 as far as derivatives. Thats something i will throw out. And what you and mario talked about as far as mergers. 53 billion worth of mergers announced today. Granted the ameritrade came out last week but when you look at these, lvh and tiffanys, theyre selling a lot of bonds just what weve been talking about and that is Interest Rates as low as they are are driving these deals. If i can borrow money at these stupid low rates, quite frankly, you are nuts not to do it. I think a lot of folks will be putting deals together into 2020 this isnt the end of it were going to hit first quarter, Second Quarter with a lot of other deals based on the cost of money right here you mentioned you were an investor in stub hub and malcolm and i were classmates his son eric was one of the early founders of stub hub they came along and asked for some money in viagogo. I know enough about stub hub because the public part of ebay, but the real one we have really our fingertips in is live nation because we like everything to do with entertainment, millennials. And the notion of live entertainment, sports is a subset, is the way to go a fabulous job of running the stock. They own ticketmaster which has the better way to go on a global basis. The schwab deal, im wondering as a veteran of this business, what you make of that marriage well, you go back what it says about the stock. You go back to may 1, 1975, the world changed. May day commissions became fully negotiable chuck decides to go into business they consolidate and then dominion is doing the deal, i dont know independent of that a billion dollar market cap 5 trillion in assets i like to know the market cap. I can have 5 trillion of 100 17 trillion of negative Interest Rates and i had that, what would you pay me . The german bund and japanese yen. Forget the assets. The notion is a market cap twice the amount of bank in new york so who will come in and top it will some buy and so we assigned small probability in the corporate world of love making do you like that space at all, the schwabs, the discount brokers . What is etrade going to do if this deal goes through what is tom going to do with Interactive Brokers . How will these shake out in addition do i want to invest in them . I will assume the deal closes and my taxable accounts will be selling both in january. Both interactive . No, no. Its too big 100 billion this is not what i like. Do you own either . I bought it at like 9. You talk about it like its a pack of gum. For private wealth we have customized accounts and then we have the mutueutual funds. 32 billion is not a lot relative i was at a conference in san diego. They do a very good job and theyve done a good job the last 30 or 40 years you mentioned and the t. D. Ameritrade weve seen them in omaha spin back to the other part of the conversation about gaming and entertaining good for you. Thank you. See how i did that . Just like i do. Exactly mgm, is that your best name . No, no, no. The concern short term, even though we just opened an office in hong kong about eight weeks ago is obviously the amount of people going from hong kong and looking at the chinese Gaming Market how does that play out domestically theres a Company Called el dorado resorts that consolidates the domestic business the Company Providing the backbone in london fox bet is also in the game. In addition to Churchill Downs which is 131 with about 15 million shares they are doing a good job in their Sports Betting the notion of Sports Betting domestically is an easy one. Mgm i like because theyre selling off real estate and mon tiding it. Next are the mgm casinos 3. 8 maybe 3. 6, sorry. Pete, you play the space. I do. You have a full house, too . What do you think in terms of a name like wynn we know the percentages, theyre making their money in macao. Strip it out and look at the domestic market and saying the stock is six times and from that point of view, a good cash generator. Then the next question is tokyo or osaka, which will be front and center on that very limited new opportunities so they have to go in and do gaming they have a whole bunch of those. Well take a quick break. Full house is next on the gambling, a 3 stock tiny well take a quick break. Well be back with more mario. Here is what else is coming up if content is king, then cash is queen. Why one analyst is worried about netflixs cash returns the call of the day is next. Jets linebacker Brandon Copeland joins the Halftime Report to tackle investing hes a member of our cnbc s st aic council hibedve and where hes putting money to work. Requests the Halftime Report with scott wapner and the traders is back in two minutes sundown vitamins are all nongmo, made with naturally sourced colors and flavors and are gluten dairy free. Theyre all clean. All the time. Even if sometimes were not. Sundown vitamins. All clean. All the time. It nice . Ce. This is the mostawarded minivan three years in a row. The van just talked. Sales guy, give em the employee price, then gimme your foot. Handsfree sliding doors, stow n go seats, man, yall getting a hook up and yall dont even work here. Pacificaaaaa okay, were back mics are open. Hi wells fargo today downgrading netflix. They say the cost for the streaming service to acquire new subscribers will be more expensive than investors realize. Thats our call of the day you dont often see netflix cut to a sell, right right anybody have a take on this doc . I like them still definitely. And disney had a blowout this weekend the stock popped over 150 pulled right back. Not a big one