Fed Chair Powell Interest Rate Update… And Hims & Hers Thinning Out 11/14/24
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With the next like Marks I did, the heart of new york city y's time square. This is fast money. Here's what's on up tonight of magic for disney shares of the entertainment giant jumping after its latest earning support.

Is this the start of a whole new world in the media's space and amazon expansion, the tech china making moods and tell us all, and taking on chAllenges from team moon and SHE in what IT means for the competitors trying to get a fatal for themselves. Plus riva loses its charge in the EV race, a big win for investor timing for tita and where investors are putting their money after the election. I molest arly comes to your life from city beat and assess on the death night T.

C. Corny Garcia, then Nathan and die ed on me. We start off with breaking news in the latest cabinet pick out of the traffic ministration the presidents elect tapping Robert f.

Kennedy junior to lead the department of health and human services. Let's get to even java for more on this. amen.

Well, so that's right. Rabb tt of knee junior is a vaccine skeptic and a florrie skeptic, among other things. He will now be, if he's confirmed and takes this office, he will be leading a department which is incredibly vast in washington, D.

C. Is got a budget of one point six trillion dollars. IT oversees the food and drug administration, the national institutes of health, the centers for disease control, and a slew of other agencies also control spending for medicare and medicare throughout the country.

That is an enormous amount of money that goes through a robbert. T. F. Kennedy is a future agency. Again, if he is confirmed, that does take leadership of this office. The president elect sending a post on social media just a short time ago, confirming the news, saying, for too long, americans have been crushed by the industrial food complex and drug companies who have engaged in deception.

This information and disinformation when IT comes to public health, the former president and future president seize robbert of knee as a solution to that problem and has said in the past that really is on the campaign trail that he is going to let robbery of Kennedy e quote, go wild on food and health and vaccines. Clearly, this appointment now is a little bit more of formal role than a lot of people expected. Some people expected Kennedy junior to be getting some sort of outside advisory role on drugs and health, but instead the president elect electing here, uh, to nominate him or to signal his nomination for a secretary of A H that is a best and sweeping role in washington. d.

What are the ads of this being confirmed? ammen?

Well, I mean, again, you you go, you look at all these pigs molested. You look at gates, you know, over the department of justice. You look at this is pick for defense secretary. All these picks would be seen in in an usual typical political environment as extreme long shots for confirmation but Donald trump won a sweeping and convincing Victory um on november fifth and he controls this republic lan party a way the very few presidents have ever done uh in in terms of his personal sway over the senators like you know, there are some senators were making dal noises about some of these picks but by and large, you'd expect donal trump to get what he wants and particularly if he uses a number of maneuvers that might be available to him for recess appointments to skip the senate confirmation process altogether.

Some of these selections just indicate to me, ala, that that's what trump is thinking, that he doesn't need confirmation at all, who just resets the point these people they'll get two years in office. Trump gets what he wants and the senators don't have to vote on them, and he just bypasses that power structure altogether. That feels like where this is going. But that speculation on my part will see if the senate demands confirmation votes and demands, you know, upper down adviser concerts on all of these problems.

Ayman, thank you. Aye, jewels. Let's get more now with nbc news medical contributor doctor cava patel. She's practicing a practicing physician, also served as a policy director in the obama administration. Doctor protects always great to get your take on on everything, basically medical and formal.

And I wondering what your first reaction isn't in how you think this could impact what the fda does, what the C. D. C does, what the N.

I. H does, what the C. C. M. S? I mean, the rich is vast. Here.

IT is also, I would not be honest if I didn't tell you, I was, I stone, I still little stone. I think there's a number of us who have been in washington, D. C. Around many administration transitions. This is the most unusual when i've seen to date.

Adding to your point, you know, if your fights are, be onto and turn a glaxo Smith plan where the bulk of your revenue come from vaccines, this is a big problem because as ark junior said, he he's said time and time again, well, he's not the entire back. It's just against the vaccines that we have currently available. So in effect, any of the vaccines that we've talked about from covet to the vaccines that we give routinely for children, he's been able to stoke fears and put out a lot of this information, Frankly.

And on top of that, even when he ran for president, he made a comment and it's been recorded that he said he would stop drug development and research for eight years if he were elected president. That has weeping impacts to institutions like the nih, the cdc. And then lets not forget, the secretary does have quite a bit of authority over declaring public health emergencies.

You could imagine declaring an emergency around vaccine safety, but not in the direction that we have. And i've been looking at the state of florida just to see what possible where you have a search in general there that recommended that if you had measles, you could choose to send children to school with active infections. That could be a little bit of a preview of what we see on a national level.

Um rubber def. Kennedy juniors also said h that he wants doctors who are not beholden into the industry. He views many doctors as having conflicts with either pharmacy industry or other parts of the of the food complex, food industrial complex. What implication do you think does that have on f drug approval.

particularly at the F D. A? Yeah, it's very complicated because I could have all reaching implications just for the staff, right? They're already are conflict kind of regulations to make sure that people working on certain drugs or classes of drugs do not have any material conflicts.

You could imagine that they could extend what that interpretation is way beyond what's intended. And say, a doctor like me who has actually prescribed medication could be deemed a conflict and I could never beyond the advisory committee, I might not be allowed to actually be part of an agency to be a part of informing that process. So you end up unintentionally, was the taking away the very experts who have expertise in a particular area.

And let's talk about cell ging therapy. We've talk about this. You've discuss this on on this very show how important this next decade is for seven giant therapy. That's a very small pool of people who have that kind of expertise.

Imagine saying that anyone who's you can touch the trial funded by a drug company is not allowed to be part of a process where they give advice, or even advise regulatory authorities. We're gonna really undermine, what I would say has been, an incredible opportunity for research and development and getting cures to patience. I've never seen anything like what's possible now as cycle celsius c cypros is retina bless stoma. And alas, you could be undermining decades of that progressed doctor peds.

Tim, great idea on this night, because when I hear about someone that controlled medicare and medicated, and I also think about what we talk about all the time in terms of the depth at the budget and dynamics where and we now have a new position that's there to cut down uh government fat um and while we badly by away a new a new department and the new agency, but seems to me that there are some obvious places to go after. And can you help us with a big picture look also on on what the ability could be in terms of like the budget and the spending that goes tos, medicare and medicate? Yeah.

I think we can see a little bit of like a reprise of what we saw the beginning of the first trumpet administration, where you saw kind of a cutting of that role for navigators people to help you navigate family medicare benefits, but also just the insurance. Remember, cms centres for medicare, medicare services, also the marketplaces, those are exchanges. Those are companies like Oscar health.

Actually, every in major insurance company offers plans on the individual market. That's for people who don't get their employ, don't get employer based insurance, think uber workers, think people who just don't have access to that. These are millions of americans.

You could get the ability to navigate those services and even staff those services. You the environment come down in terms of medicare and medicate. There's a lot of questions about who's going to be pushing for the subsidies that we use to keep funding some of the medicine programs around the country.

Will there be a push from a trump White house in the trumpet, H H. S. To get those subsidies when they are expired? It's going to be hard to imagine that this is an h jr.

White house that will put focus on that. So the private sector really is affected by any of these changes. You d like to think that the government is kind of on an island and that you can create efficiencies.

IT will affect every aspect, including my own health care, which I get through my employer because those very employer based insurance plans are the same plans that are trying to offer subsidize insurance, insurance on the medicaid market. Medicate being one of the largest players is no trivial things. So the other piece of that concerning is that you just need to have we just talked about all the new innovations that are coming celgene therapy.

If you block or put us a halt to that access, what happens when you try to think about paying for those therapies and what to hospitals do hospitals have an obligation to trick patients? This then becomes dead that they cannot recoup simply because there's a lack of a payment model. So it's, as they say, complicated and and we're all going to be watching to see what kind of nominees come under an age of secretary like our page or so .

doctor to tell you are a doctor, but I know that you are you have a little bit of trade in your heart. And so as you look out, if you look at disappointment and you start to think about the impacts this could whether we put the question Marks in this sector, in this, you know.

how do you think the bodies are? The obviously is is, I can say that's not a great place to be, but then I would put there is a huge like food market. I think that these issues around the food and the environment, if you are any one of the the large kind of food manufacturer, konica any anything that touches kind of the foods blight chain and market, this could be a real dent, not to mention many common fast food restaurants. We've talked here about the mcDonald's coa issue that's continuing to unfold, but this can extend to so many other of kind of aspects of delivering food and providing food for people, even in places like school lunches. Those those are publicly traded companies that could all be affected.

I think of things that i'm going to keep watching for also are could you see actually an like a rally and acceleration for some of these wrap around services? Does this make kind of amazon pharmacy and some of the offerings that like horse and hand some of those publicly traded x really attractive because Melissa unleashes this error of the consumer? Or if you really need to get your Carry, you ve got to go to these like kind of private sector out solution sets, entirely possible. And also pretty likely.

Doctor patel, always great to what to see you. Thank you so much. You can be a patel guy. We let the show with this because IT has such far reaching applications, not just for our daily lives but on so many subsectors within health care.

Yeah so i'll try to do IT through the lens of the markets and stocks because otherwise might get off the real little bit. But in terms like the X, L, V, for example, which is the one that everybody looks at little the top holding, but talk patel gia said, I mean, these vaccines companies are in trouble. It's not coincident that maDonna today made of fifty two week low.

I don't think it's coincidental that mark is now trading below one hundred fires or hasn't traded particularly well. Eli little as well. Throw in the mixing and thrown glaxo Smith kline and the XL v is under significant impression.

now. U. N, H is still at the top of the pile. But you know what? What happens with some of them. So and i'm not trying to be an enormous here, but if you own XL v here, I think you ve got to reexamine what your thesis is because I might change dramatic.

And I think this is where it's important and nose an investor like not to fall in the some like the short term headlines, like the trump trade where the initial reaction was okay, there is going to. Less regulation, which is good for merger's acquisitions and that's good for the health care space and some your pharmaceutical companies because now is the same headlines with the new administration is a negative for that space. I think this is where you really should not be trading on the political headlines as much as the underlying value of these companies.

Essentially, what we've actually seen this sector under some pressure, both because there are some perceptions about what, you know this trade was like a month ago. And then you have Frankly, i've got a couple of companies that have been at the top of a leader board that have been struggling because I think people just question the multiples.

So you added to them those companies where there's really approve its story and visor are certainly one of them. Modern is like yesterday's news. I mean, another is modern's been struggling.

Has the cast in the belcher? And yet the stock continues to kind of make lower or lows. So I agreed the sector is one to trade carefully on.

I think there are opportunities. These these are headlines. They are probably to meet creating some buy opportunities and some of these names they were already selling off for weeks.

Yeah, I guess the point is though, the uncertainty in around every one of these cabinet nominations is going to put different parts of our economy in different situations. I think the likelihood that he is confirmed by the senate is not particularly good. The likelihood that some of these other nominations are confirmed, maybe a gat gates said what not particularly good.

But what does that mean? That means that this process gets kind of stretched out a little bit and we have further uncertainty about all the stuff. So the idea of trying to trade any of these certain names of this, i'm in tim camp.

If you're looking at individual names and you'd like what they're doing and you like evaluations, you think they've been overly beat up. Well, that's when you start to buy them IT doesn't mean the markets going down significantly because of these sorts of nominations. And I just think that a lot these folks are not going .

to get through anyway stocks in here like lower after the close into the cloth existing after the fed crown. Pl said the central bank is in no rush to cut interest. Strates of economic growth remains strong, falling two hundred points. The S P, N, I, the worst day of november so far. The ten year yield, meantime having its highest levels over four months, seen we see Steve leevin has more on the key headlines from the fetcher.

Steve yeah millis and a lot of action in the two as well. So jay power and dollars today affirming that the fed and tends to still reduce rates, but throwing doubt on th Epace a nd h ow f ar t he f ed m ay u ltimately g o h ere a re s ome o f t he h eadlines. He said.

The fed is indeed headed towards neutral, but in no hurry to get there. Nothing about the economy screams at the fed ought to be a hurry, he said. And there's uncertainty y about where the neutral rate is and the fiscal policy. So all that calls for caution. He parried repeatedly a series of questions about how the fed could react, potential policies from the trumpet administration such as turfs and deportations that some economists think could be inflections ary.

We're still months away from A A new administration let on knowing the real details of of what's going to happen and then being able to project what will be the net effects on the economy.

Power of knowing with inflation higher than in twenty eighteen when the last and the tears were enacted, the effects this time could be actually different or worse. In fact, together with a firmer wholesale inflation report we got in the morning, markets powers comments as hockey ii and reduced the probabilities of upcoming rate hike. So was seventy five percent probability.

Even december hike fell of fifty nine percent. A pause remains remains Priced in for january, but a fifty nine percent chance of the rate I can march is now just forty six percent after a december cut. The next fully pricing rate cut now is not until may. A year from now, there's just a total of seventy bps of cuts built in that makes the market effect more hackers than the fed september outlook as IT settles in for uncertainty. Inflation, guys and policy from the administration matter.

And Steve, thank you. See leeming, we sort of had a similar discussion yesterday about the impacts and how inflation there might be and how right now IT is consensus that these policies will be inflationary. So what is that? You're typically of, you know, anti consent, other side of the boat kind of guy, when everybody says that these policies are going to be inflationary .

if you want to do now I means I think they're .

to up sometimes the consensus.

And I think in one of those times, and I don't think IT was job drone POS best day ever, he said something, if inflation is a social phenomenon, i'm not sure what that means, but there has to absolutely infuriate people. But to get back to the specific question, yeah, I think regardless who would won, IT was going to be inflation air. And I think the market is doing that sell right now.

I thought he was very clear on a couple things. First, while he's keep in all his options open, he focused on that. He talked about the strength of the labor.

I think he said he looks pretty. And for a guy that at in september pivoted to say we're focused on the labor market, that's the other side of our Mandate. I thought that was significant.

Sounds like it's okay, but away jobs claims today and ppi, both sides of that trade didn't work for you. If you're looking for a more dovish fed, you also add fed governors at their governor. Cook is that I prus his name, but cool. Mean, I back with prunes ation this year. But I think, you know, you are listening to more fed officials try to assert the independence of the central bank for obviously.

I think that shift in powers tone about the jobs markets, kind of interesting. After that october jobs number, that was a big disappointment, some of the revisions. But all that being said, I think we just talk about a nomination in what that could mean for a specific industry. I think in the biggest issues that underappreciated is the fact that trump might .

come in and he might just firepower, like just firepower said.

not powerful. He can do something, that one.

the affection for cause. But that will be tired in courts by that time.

Powers turn will probably, but that would place a level of uncertainty about monetary policy in the fact that IT won't be you know like divorce politics.

And I think either way though, the bond market has been telling us this for a week, right? I mean, ever since if I started lowering rates, you're seeing yields are rising because the bond mark saying we don't believe that the fed has inflation under control and the end up regardless of who came in office, we have a really high deficit. I mean, inflationary policies are likely going to be in place either way.

So I think now you're just kind of seeing them catch up to the bond market. So always here, don't fight the fed. You probably don't want to fight the bond market. I think that you should be listening to and continue to watch as we go forward .

coming up shares of hims and hers sending out, notching their worst day ever as the amazon makes a push to the hair loss drug market, will call through the detail boy ahead, ahead. Yeah some affair action. Apply material shares on the move after reporting results in numbers from that water. When fast money return.

cnbc has quick and easy to understand business news updates at the open midday and close every weekday markets, money and more from wall street to main street. I'm cnbc Jessica, adding to follow and listen to C, N, B, C business news updates wherever .

you get to your podcasts.

Amazon share touching all time yesterday before pulling back the technical, launching a low cost tel service for conditions including hair loss in motion sickness, the new sent shares of health and well, this platform himes and hers down twenty five percent, the worst and record. Earlier this week, amazon also launched a new mobile discount or hall, which could compete with chinese t mu and SHE and its beta test on the mobile. Right now, it's got a lot of cheap stuff on there that really does compete.

Price was the old school stuff by amazon. Your margins by opportunity. You think about that. I mean, that's why a platform like him was able to kind of get to where they were. And amazon can just lip a switch and they can be there. So again, it's going to be interest to see how far across health care products and services this goes. But right now, I think hms.

tell me you the whole story because if we're willing to give amazon credit as an investment, others ds the cause the drivers is on call. These levels they consider to decide we want to be profitable here when historically, we haven't applied and described any value to their e commerce business or essentially to that business, that distribution, that infrastructure, that E R P, that logistics that they spend so much money on. They can roll out many different directions. And I think I it's .

go on higher. yeah. So I think what's interesting is amazon, as least as far as I seen, is not coming out with the computed G L P ones, which that's like a big part of hms.

A story going forward, which know could be turned off at a new point if the fda comes down, decides that these are no longer in a shortage. I mean, that can get pulled really quickly. So they kind of have this coming from both sides.

And I have EMS on as a competition and what happens with the G, L, P. One compounded. So they never have pressure coming on both sides right now.

Which kind of interesting. I mean, the moves on the stock on any given day based on any given headline, either from the fda or from amazon, is not, I mean, what a roller coast are fearing this? Yeah.

but I finally amazon at leScott through that one eighty level that was resistance. A couple years ago we traded IT up to and seemingly failed again. The fact we ve got through IT and now breaking out, we're seemingly in a new trading range. So past resistance become support and think amazon actually might be in this new level, in this new range where one eight is the floor for appeared at time.

Yeah, when you think of these glp ones and basically potential shortages or that we know they're if you look at lilly, down twenty percent from recent hides, if you look at novo Brown tripped its entire years performance, it's kind of telling you that the shortages are going to be gone and not so distant future, which probably means that the compounds going to be done, which means the pricing on those from lily and noble going to come down.

We know there's more competition. so. Again, that's probably something that is a huge headwind to him anyway .

coming up the evy tax credit maybe in jeopardy and is having a big impact on the electric makers. But could this be exactly what tesler wants? Will digg into the charge of trade next, the first supply materials on the move after reporting the details and the numbers in that quarter. Next to watching fast money lives in the house like markets site in time square backside. After this.

cnbc has quick and easy to understand business news updates at the open midday and close every weekday, markets, money and more from wall street to main street. I'm cnbc, Jessica, adding a follow and listen to C, C, business news updates wherever you get your podcasts.

Walk back to fast money seme equipment maker applied materials dropping despite the top and bottom beat for q four. Thanks to light revenue guide dance, the conference call is underway. Steve covey joins us to the very latest. Steve?

Hey, there will also applied material shares are down after hours. Like you said, despite those beats, let me give you the results here. S was a beat at two dollars of thirty two cents adjusted versus two thousand nine, and expected revenues also just a slightly here, seven point or five billion dollars street wanted six point nine five billion, but chairs are falling on that revenue guidance for december quarter, which only slightly missed estimates.

Now the earnings call is underway, but some comments from the CFO here, he said china has been a sore spot for the company, saying d RAM. Cells were down ten percent year on year in the country. CFO author saying gross margins are still increasing despite those heads winds.

And he credited inventory management, among other things, for that one also said to expect gross margins of about forty eight percent for the long term. We see shares down still about five percent. Well.

see. Thanks, Steve. Come back down. yeah. I mean.

this and this is something we've been focused on to say a similar gave that booking sky about a month ago. And again, a lot of folks who we're kind of keeping an eye what capecchi ks like from the folks that buy these sorts of equipment. And so it's just not good up.

This stock hasn't traded particularly well over the last couple months. But that comment about DRAM, I mean, we've watched micon, we've seen how that's been trading. Samsung is also a maybe they can pull up a samsu charge. This is what the worst charts in the whole world in the globe here.

nice. Well, I think you're right. And and I think again, there was that confusion around because again, taiwan semi, we heard about this increase in advances boundary.

They were very positive. But then the DRAM decline in china is all right back at a and china used to be there, used to be the mid forties growth. Now it's low thirties growth and it's thirty one percent of sales.

And this is the story. So I think this is why the story probably doesn't get Better, even though I think you Priced in a lot of bad news. But again, that trend in terms of where china sales are going has yet .

to bottle court.

Where are you're on me? I think just to bring in we were talking about power and inflation, but that actually is part of the story, right? Because of inflation is in fact arising, which they are, that does put pressure on your semi conduction manufacturing socks like this one. And I think that's something that probably going to continuous. So I think you want to watch that to see how it's gonna fect these names because it's probably, well.

real quick. Pulled the longer term chart. One seventy five was alone in August.

Aim at bounced one seventy five three times. Now this will be the fourth time. That's no way.

no. And by the way, was twice, three times a lady. Yeah, great.

So I does.

We should support .

for now a lot of like about .

a lot of things to remember. Mike ran when they reported on a stock, closed around ninety box, traded up to one hundred and fifteen, and we collectively said, you know what, I was an okay report, but I didn't justify the move. Look at micro now. I'm almost guaranteed to close one hundred hours. And given what image just said, a probably goes lower from here coming up.

Disney, with the magic touched the media giant surging more than six percent on the back, strong results this morning, the big moves and streaming that are fueling those gains. Fast money back to .

welcome .

back to fast money .

socks closing your session low as a best chair, jan pews at the central bank is not in a hurry to cut rates further. The doubt following more than two hundred points, the S, P and s like both down about six times of percent, shares a riva down of our fourteen percent, and reports present a cco ald.

Trump's transition team could kill the seventy five hundred dollar E V tax credit test, although on board with the move C O elon mussing earlier this year that while his sales would be hurt, its competitors would be devastated. Airlines cks taking off today analyst at barclays, putting out a positive note on the on the space, saying the winners will keep winning and upping the Price target united, delta alexa as well as upgrading american airlines and burker hathaway I disclosing a new position in domino pizza, sending those shares higher after hours. IT cut at stake in ultimum, which is trading lower a disney thrill ride for investors today, the sock jumping more than six percent on earnings and revenue beat the sock closing at its best level in more than five months. And we see july worsen is here on set at the maza. All the details are it's .

always great to be.

There was a lot of like out of the support.

but the streaming part of IT was really that was a hopeful part of IT. Yes, hopeful.

but also just huge for the quarter. Big surprise, Better than expected profitability. D to c that the two hundred hundred and fifty three million dollars in direct to consumer profits that was nearly double what wall street was expecting, also three million more streaming subscribers than anticipated.

That was also key there. Now what we have to notice here is that the stream growth and profitability was helping compense for declines in linear a TV. There was a thirty eight percent decline in linear profits in which was much worse than anticipated.

And some of that was due to comparisons with last year when they were dealing with the strike. And then at the parks, even though they had flat attendance, they manage to see growth and consumer spending and a lot of benefits from their cost control. So that was another area strength. All this added up to huge guidance, and die did something that is not typically do. IT gave guidance for three years high single digital earnings in its new fiscal year stronger than street expectations, and that is driven by continued improvement both indeed and also in the parks basis and then projecting earnings growth to accelerate to a double digit rate in each of the following two years. So really unusual to have that kind .

of guidance into the future, three years like that. And one of you like absurdly detailed, how can you do that? Nobody does that if Carry find him. Was here SHE saying, I don't think .

of if you gave any guys. There's a good reason .

why nobody does that. Why are we buying this?

Well, so I interviewed you, Justin, this morning on school box here at the nasdaq. And what he said was, and I want to ask him the same question, you there could be a pullback in because respiring. There could be recession.

There could be all these things and said there two reasons were comfortable and confident enough to give that long term guidance. He said that the dead acy business is much more predictable now. And so much of that growth in in earnings guidance is because they see this d to sy business continuing to grow.

They have an ad business, which they are expanding and they have the subscriber base, which they think is a lot more predictable, especially as they really sell them on this bundle of apps. And then you have the park's business. Remember when they made that sixty billion dollar commitment over ten years? They're seeing that pay off. And IT makes us a little bit more predictable even if they are hicky U S. In the consumer to know that they're gonna get a certain kind of buying to go see these new attractions.

We've got a full house tonight. We should do. Everybody on set here, let's s brand seem to see founder and come.

Our hands are force by all this clapping. Tom is right now the executive chairman of orbit media and entertainment. Time is always great to see you. You think that this is a real a positive progress report in a grade .

for this qualifies for strong performance from a traditional media company? Was just put in context a minute though, we usually talk about disney, sus, netflix. Netflix now has a enterprise value bigger than disney, fox, paramount and Warner combined.

So just in terms of what we're talking about when we talk about a traditional media company, but disney is number one in viewership. Meaning if you aggregate all the outlets through which disney gift of viewers IT is number one, that is something to leverage. Also, it's got about two thirds of the streaming revenue of netflix s now.

So truly catch up two things that we always talk about in terms of streaming media. One, will I get to scale? Two, will the streaming profitability upside outweight the decline of linear scale, something I don't know why they didn't point to, but to me, it's more indicative than anything.

This quarter, their streaming revenues exceeded their lennar, a television network revenues that's big. That's meaning that is the scale player to when IT comes to upside of streaming versus decline of linear. They guided in this multi year guidance to uh double digit earnings growth in twenty six twenty seven.

Um to get there, they said that parks we was only gonna have high single digits while doing the math. Then you have to have very strong double digits dreaming growth that is going to outweigh the decline of linear for the company is a whole to get to double divide ate growth. And with that, that's really saying this company is gonna up there with netflix has the number two company that made IT in terms of global streaming. You got a couple of major overhangs that I think they gave short trip too. But overall, strong performance stud.

I just got to get that up. Jolie brought up that point this morning. I caught that number two.

Number three, do you think this was sort of you know what, we don't really have clarity for three years, but our stock has been awful now for the last four years. We need something to jump started and we'll just back away. And over the next couple years, there are some stock market gaming gaming ship going on here.

Well, I say I was bold um to given the overall media environment, given the fact that kou and E S P N or domestic services and the game here is you ve got to build a global streaming franchise and they guided disney plus to actually losing subscribers next quarter. So some cloudiness there. I think the biggest tissue they have is there are gone to launch espn flagship E S P N in its full form, not sdn plus as a streaming service.

The disruption that could cause in terms of accelerating turn as so many people are bound to the existing cable bundle because of sports, is a big unknown factor. And that was very bold to go out there given that they have to have some real confidence that they're going to get the pricing on epm flagship just right enough to protect their linear cash lows, but at the same time, drive a very strong streaming service. So time as long as as .

you've been coming on the show and we've been talking about networks, you've been a stage bull stocks at an all time high here. And disney is one that actually for years you actually did not like and IT hasn't been performing well until very, very recently.

So do you think of these are the kind of apples to oranges when I listen to you talk about what's going on in disease in the way Julia kind of describes the company in all these other area? Or are you going to start comparing them more to each other? And can they both live together in a world where they continue to grow on different kind of verticals?

Yes, can definitely live together. And when the market was getting away ahead of itself with disney two hundred, I was pointing out that the illness decline that was gonna take place was just not being factored into those kind of projections. But remember two thousand and fifteen, when I go first said R O E S S going to begin losing subs.

Where was a disney stock? One hundred and fifteen. Where's IT now? One hundred and ten? It's almost ten years ago. So being cautious on disney, I think.

was the right call. What is the studio in your view to the other streamers ers, which have a strong improvement except for our parent companies streaming platform, but the others?

Well, I think it's really clear here that there are three players at the size and scale of disney. It's netflix is disney and its amazon prime video. Everyone else is much smaller.

Disney mentioned today that they didn't see some benefit from bubbling with max. I think we're going to see more bungles the smaller guise, see the bundles more. I think we're going to see more consolidation, and I think everyone is going to try to get to be the size of a disney and netflix. And I think that's really the name of the game now. And whether it's a bundle or whether it's ma, I think change is gonna have to happen to make sure that you are must .

use network one last over time. Parent company of nbc opening a major theme park in orlando next year, epic, disney kind of give that short shift in terms of any meaning .

that could actually help them.

They think you'll help them in terms of more visitor lando. That's another cloudy one.

I'm not so sure. Best right, they are opening .

what a ride IT is. Call up, tom. Thank you, Julia. Thank you. great. Heavy, both here and set coming up wins new larger shareholder till for tea using a stake to almost ten percent will have more on what that physician could mean for the stock. First one is back into welcome back to fast money.

Win resorts hit the jackpot on news that laundry CEO houston rockets owner tilman fertig boosted is taking the casino giant to nine point nine percent. He's reportedly unhappy with the company's performance context bra. Join us now for closer look at what this big move could mean for the gaming trade. I don't know. Maybe he will be an activist .

eventually in this one. I mean that he filed a passive investors filing with the sec said to the world, no, no, this is a passive stake. I know I am talk to anybody who really is buying that, but IT makes fatigue.

Now the largest shareholder in the company in replaces cofounder ilwin. That's symbolic. Notably, again, a passive position.

First is the activist one, and everybody wants to know why. Let me just say, I did ask for teda for an on camera interview. Ask him for an interview.

He's, he declined. So let's game this out. Could IT be that the stock is on sale, which is what carl icon said earlier this year about his renewed stake.

And scissors win shares are sitting just about at their fifty day in their two hundred day moving average in twenty twenty two. For tea, who owns the golden nuked casinos, took a little more than six percent stake in. When shocked the world, the share Price grew about sixty percent in fan, but it's lagging the S.

M. P. And look at this stockpile over twenty years. I mean, man, dead money. I've heard from .

industry and industry .

insiders who writes that wind should focus on growth in the us. That there's a real opportunities here. But when I interviewed CEO crag billings in october, he kept the spotlight on what he sees are the opportunities to open up gaming in the middle east with this new resort that win is developing in the U.

E. Like this is a big deal and that has a lot of other investors excited. But there's land in loss of vegas, one hundred and sixty two acres of the golf course, this parcel across the the street.

And like the summer, one of the analyst, Jeffery, said they're just doing nothing with IT. There's no plans to develop IT. There's no plans to sell IT. So you're just sitting on two billion dollars .

of market value. They need a nudge. They need a an activist maybe passed.

There is a mazoe note that did to some of the party analyses, which I thought was really interesting because just based on the U. S. Properties in the maco properties and nothing else, not even the U.

E. IT exceeds the current share Price. I mean, that's that's the thinking here.

And the thing is, is that the the fact that wind still owns its land except for some parts of boston, makes IT different than seizures and mgm, which have largely sold out their real estate. Um but you know you look at macaw and it's just been a very slow rebound before the pandemic. That was three quarters of winds overall, a big picture money and it's just not there yet.

Lost vegas s is still outpacing mico. That's remarkable. IT was seven times bigger than lost vegas. The gaming revenue in macao context .

is doing a great job with this. I'll say this as well. David tepper took a stake in win as well that was recently reported and that's the guy that said he's buying raised prety much everything china related, not nail down. And this actually makes sense. And you should mentioned the underperformance of the stock go back to two thousand and fourteen where in a downtown d for the last decade you get a close above ninety eight, you've broken that downtrend and evaluation will start to kicking. So I like one here.

Yeah I think this is something that I agree there. There's a lot of talk of. They really need to utilize their U. S. properties. But this is a bet to on macao in the fact that everybody waiting what is going to happen in china is that time stimulus gna come to force if, when IT does that absolutely benefit them. So I think that's something, if you want to try to play the .

international play, there are gonna have an opportunity there. I believe that ma valuations are.

I believe.

shades by the air. But I if you look at the the multiple of lbs and win, there are two thirds of where they were prepared. So um i'm by the shades and a about buyer of one terrifying .

what are you are yeah with the .

shades on what shades they.

Raking service .

investors .

brace themselves, the administration editor achieve kaleb server, join us for closer look at the results right after this more fast money into.

Welcome back to fast money investors getting more clarity on how to position for the last few weeks of the year now that the election fed meanings are behind us and while most remain optimistic of caution is creeping back up, that's according to investigate as latest sentiment survey editor chief Caleb silvers back here on set to digg into the data can but always good to see you. So optimistic, but less so. There has been a pull back.

Yeah sixty nine percent say there either optimistic or cautiously optimistic. Last week's run really helped with the optimism, but I do feel this bubbling sensation that something is starting to sleep. In terms of confidence, thirty nine percent, say another somewhat worried.

That's a jump from the last time we talked. That was in october, sixty four percent are making no changes. Only twenty one percent are going risk or even though some of the risky assets have done very well over the last couple of weeks. This is a cautiously optimistic crowd, I would say, and they're wondering when the other shoot is going .

to drop in terms of the as to be fully invested. They love max seven stocks. They love tech traditionally where they fall in bitcoin at this point.

believe are not got twenty five percent of respondents say they they're buying some former cypher currency, whether bitcoin or something else. That is a huge jump, only eight to ten percent. I think the big moves, plus the trump promises about bitcoin, making the U.

S. The bitcoin cap of the world eeta have a lot of people more enthusiastic Price moves in motion. We know that. So a lot of people more a little bit more exposed to IT. And though they listed as one of the most overvalued .

assets across markets, if we are playing family feud where the terrace come in on the board.

that would be number one.

Richard, I take number one original.

the original no terms. Number one concern, followed by us relations with china, those go hand in hand. And if you look at what we asked them, this question, what do you think gonna be Better for portfolio or worse for your portfolio? Obviously, terrace and geopolitical relations not going to be great, but lower taxes, especially lower corporate taxes and low individual tax breaks, more tax breaks for individuals, that's gona baLance IT out. So you see this that's not gonna be good, but this could be good. And that's why I think you've en this little drop and killed as a group.

Mag seven is kind of gone sideways, a little underperforming the broad market. We seen the broad market kind of broad, not a little bit. What about the mag seven? What are the folks saying about that?

P top of their hole foo. The stock they would buy and hold today and hold for ten years in video. That always wasn't the case. That kind of prep up in the last couple of years know it's new to the top ten list this this palencia actually er yes, tesla jumps around all the paleness cracking the top ten for the first time and then crypto o especially bitcoin cracking the top five of the things that would invest in if they had some extra .

kof is always great to see you. Thanks for coming by. Thank you.

Investigated as editor in chief, came with silver. Yes, up next final trades. IT is time out for the final trade. Let's go around the horn, tim Simon.

what exciting I was like a great guest around table. Always play your fast money. And I think it's going to be great for the macao game.

At some point i'm going to go to lost vegas sands, which I am. Lon, we had a big pullback, especially across the macspleuchan. It's time to nibble partly.

We talked a lot about disney here. I think there's a lot of optimism here and out two strike quarters of profitability in the streaming space. They prancing ced three years worth of earned expectations. I think i'm going to be positive. I would take a look .

here 现在 那天 yeah guy.

I saw .

something today. Maybe think a little bit of united airlines, you see the stock was trading ninety, yes, had a little five Price target. They deal IT up to one fifty. I would not be chasing the airlines here.

I know about a long time melt. Do you know what that? Do you know what then? Was just trying to sort of embrace there now, trying to his god father too.

He was doing this. Michael corleone, not, well, talk about that. Another show when resorts the list contested, and I shop there .

always as always, thanks for watch fast money.

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