Territory, albeit slightly steve weiss, virus cases are exploding, 145,000, hospitalization new record, stayathome stocks are up, reopen stocks are down im wondering in the Bigger Picture but bringing it down to the sort of ground floor level, you just bought Delta Airlines the other day. We just talked about it. And im wondering if now youre reassessing that kind of move and whether other people should, too. Well, deltawas a position position and my portfolio is not very well balanced, its all in growth so i took a shot im not going to buy anymore here these airlines and Brad Gerstner pointed it out, theyre going to be diluted on an ongoing basis this year, next year as they seek to replace their bonds, their debt, with equity. Cramer this morning was right and ignore these covid cases at your own peril next couple of months, probably next three months are going to be very rocky from an economic standpoint as theres no appetite on the part of this administration to take any kind of st
Conversation in just a minute. Ill take you to the wall. We are focused today on this big pullback for tech. Nasdaq remains under pressure by more than 1 farmer jim, are we witnessing a socalled transition trade right before our eyes, from growth to value and does it have staying power . I think we are, scott i know its dangerous to say this type its different with regards to the rotation, but lets also realize this rotation was occurring before the announcement of the vaccine. All had you to do was look at the industrials and material to give you that clue now theres a very fundamental reason to support the continuing rotation into the cyclicals, into the industrials, even into the financials, which have been left fordead but are coming back it ju its just as simple as there is a path to normalcy ahead of us heres the one qualification i want to make if youre looking at yesterdays rally and saying, shucks, i missed, it relax unfortunately there is terrible news coming on the virus sco
Your money as you consider whether you should buy this stock as well. Ive got great guests today to go over 24 as welthis as well the Investment Committee is here as always. And were anticipating the ipo and jon fortts interview with Frank Slootman leslie picker is with us too and steve, you wanted an allocation and you didnt get it, but you why did you want a piece of this action well, i readprospectus, a strange thing to do for a great deal and the growth is phenomenal when they cite their retention rate, it is 158 which means that they are upselling, their accounts are taking on more are product. So i love the cloud. This is ai for the cloud it has a blue chip list of clients of accounts. So why wouldnt you want it. You dont find that growth anywhere and so everything checked on the box. So maybe if brad will give me some of his, well continue our friendship looking forward to that. And i have Pete Najarian who called in who is unhappy as well you wanted a piece of this too and you
Few sessions for tech stocks losing over a trillion dollars in value in just the last three days josh lipton is sorting through the carnage and has more josh thats right, jon bigtech names suffering big losses take another look here at apple, minhaj, amazon, alphabet, facebook and tesla just to put the plunge into perspective. The last three days essentially wiping out three weeks of gains. At the start of this year, these Six Companies were worth about 5 trillion. Their value then peaked at 8 trillion just last week. Now they lost about 1 trillion sounds like a lot, but also keep in mind, the remarkable runs these stocks have had. For example, apple is trading about 15 off its alltime high. Still up, though, about 60 so far this year. Same goes with amazon. Down about 6 so far this month, but the stock is still up more than 70 so far in 2020. Also, check out the smh, the etf that tracks the chips bouncing here this morning. Trading about 10 off its most recent high. Sector surge on th
But brad, welcome, its good to see you again. Great to see you. Thanks for having me. I wonder as a tech investor what you make of the nasdaq and that sector the last few days. Is it a simple correction or something more you probably saw last night i tweeted, pullback . What pullback . Precovid the multiple on the soft way growth index was about ten times sales it peaked about a week ago today were at 13 time sales were still 30 higher valuationses in software than we were before the paechbd. The same is true for growth internet precovid about 23 times next years ebitda. We peaked at about 35 times next years ebitda. Today were still at 32 times, so heart will hardly a correction in my books. Do you think some of these stocks got simply out of control in the way they went up parabolically . The characterization doesnt need to get worse. Its pretty good these are peak multiples for stocks in the middle of a Global Pandemic for most software companies, the pandemic has not accelerated th