[OPENING BELL RINGING]
STUART: JONATHAN I KIND OF LIKE
IT I GUESS.
THE OPENING BELL, YOU CAN HEAR
IT RINGING RIGHT NOW AND PRETTY
SOON WE’LL BE OFF AND RUNNING ON
THIS FRIDAY MORNING.
IT’S 9:30 EASTERN TIME AND WE
ARE NOW TRADING.
THE STOCK MARKET HAS OPENED
LOWER, NO SURPRISE THERE, WE
WERE EXPECTING IT TO COME DOWN
AND SO IT HAS.
ABOUT A HALF PERCENTAGE POINT
LOWER FOR THE DOW INDUSTRIALS
AND THERE’S A LARGE MAJORITY OF
THE DOW 30 IN THE RED BEING SOLD
THE S&P 500 ALSO ON THE DOWNSIDE
, THE SCORE THERE IS
A MINUS .60%.
THE NASDAQ COMPOSITE ON THE
DOWNSIDE TO THE TUNE OF 1%.
A BIGGER PERCENTAGE LOSS THERE.
ALL THE BIG TECHS ARE DOWN,
APPLE, AMAZON, META, ALPHABET,
MICROSOFT ON THE DOWNSIDE THIS
FRIDAY MORNING.
THE MEME STOCKS ARE BACK, AND SO
IS SUSAN LI.
>> HEY, GOOD MORNING, YES.
SO MY MEME STOCK NOW --
STUART: YOU’RE THE MEME STOCK
LADY.
TELL ME ABOUT THE GRILL PEOPLE.
IS THAT NOW A MEME STOCK?
>> YES, APPARENTLY BUT THEN YOU
HAVE TO TALK TO ME ABOUT THIS
BUTTERFLY --
STUART: BUTTERFLY STRADDLE?
>> THAT’S RIGHT.
SOMETHING LIKE THAT.
STUART: CONFUSING STRATEGY IN
THE COMMODITIES MARKETS.
>> I CAN TALK ABOUT SOME OF
THESE OTHER TECHNICAL TRADING
ALGORITHMS AS WELL, BUT --
STUART: I’LL BE HAPPY WITH THE
MEME STOCKS.
>> [LAUGHTER]
SO LET’S TALK ABOUT FROTH COMING
OUT OF THE MARKET IN ALL MEME
STOCKS BECAUSE OF THAT DEBACLE
FROM BED, BATH AND BEYOND, SO
THURSDAY’S RALLY IN WEBER,
SINGLE-BIGGEST DAY FOR THE
BARBECUE MAKER UP 26% IN
ONE SINGLE SESSION BUT THEN,
AFTER YOU HEARD ABOUT RYAN COHEN
DROPPING HIS 9% STAKE IN BED,
BATH AND BEYOND, AND THAT’S WHEN
YOU SAW WEBER REALLY TANK AS
WELLND AND YOU KNOW 55% OF
WEBER STOCK IS BEING SHORTED
RIGHT NOW, AND THAT’S HOW YOU
PICK THESE MEME STOCKS.
STUART: THAT’S RIGHT.
>> SO WHEN YOU LOOK AT THESE
OUTSIZE SHORT POSITIONS IN SOME
OF THESE SHALL WE SAY SMALLER
NAMES LIKE WEBER AND THAT’S WHEN
THE WALL STREET BETS SOME OF
THESE REDDIT TRADERS PILE IN
BECAUSE THEY TRY TO SHAKE OUT
THE SHORTS.
THAT MEANS THEY HAVE TO BUYBACK
THE SHARES, WHEN THE STOCK GOES
UP AND THAT’S WHY WE SEEN A LOT
OF THESE REALLY PREDICTABLE
NAMES I WOULD SAY.
STUART: I DON’T WANT TO GET INTO
A DEBATE NOW BUT WOULD YOU BE
CRITICAL OF RYAN COHEN MOVING
THE STOCK UP SO MUCH, SELLING
SUDDENLY, AND THE LITTLE GUYS IN
THE BACK.
>> I KNOW YOU’LL TALK TO DAVE
PORTNOY IN JUST A BIT SO I’D
LOVE TO HEAR WHAT HE THINKS
ABOUT THIS PERCEIVED PUMP-AND-
DUMP BUT HE DID HOLD IT
FOR FIVE TO SIX MONTHS AND TRY
TO WRANGEL SOME CHANGES AND IT’S
UP TO THE INDIVIDUAL RETAIL
INVESTOR.
IF YOU’RE GOING TO TRUST AND PUT
MONEY AND BUY INTO A STOCK
BECAUSE YOU HAVE BELIEF IN A
SINGLE INDIVIDUAL, I THINK
YOU’RE NOT DOING YOUR HOMEWORK
SO THAT’S UP TO YOU.
IT’S A FREE MARKET, FREE WILL
SYSTEM AND THAT’S WHY WE LOVE
THIS CAPITAL SOCIETY WE LIVE IN.
STUART: YES, WE DO.
MOVING ON TO SOME OF THE
COMPANIES WHICH REPORTED
BEFORE THE BELL.
I’M LOOKING AT JOHN DEERE, DOWN
2%.
>> BY THE WAY GETTING BACK TO
THE MEME STOCKS THERE IS ALSO
THIS TALK THAT THEY’RE POPULAR
AND THIS TREND EMERGED BECAUSE
OF ZERO INTEREST RATES.
INTEREST RATES ARE BACKUP TO 3%
AND WE STILL HAVE A LOT OF
PEOPLE PILING BACK INTO THESE
MEME STOCKS WHICH TO ME,
SUGGESTS THAT THERE’S JUST A
RISK-ON TRADE THAT PEOPLE ARE
ALREADY PRICING IN FOR A RATE
CUTTING CYCLE THAT’S UPCOMING SO
MORE FREE MONEY AT PLAY, BUT
GETTING BACK TO DEERE AND SOME
OF THE EARNINGS INFLATION AGAIN
HURTING THE BOTTOM LINE AT THE
TRACTOR MAKER.
THEY TRIED TO RAISE PRICES NOT
ENOUGH TO COVER COSTS.
YOU’RE GETTING PUNISHED IN THE
MARKET ON THAT, MISSED ON
PROFIT AND BEAT ON SALES AND THE
FULL YEAR IS NOT LOOKING
GREAT WHEN THEY PAY MORE FOR
THEIR ITEMS AND PARTS.
STUART: YOU SHOULD SEE HOW MUCH
THE PRICE OF THE TRACTOR HAS
GONE UP.
>> BUT YOU SAID THAT THEY’RE
FANTASTIC MACHINES.
STUART: OH, I LOVE THEM.
YEAH.
DRIVE THEM ALL THE TIME IF I
POSSIBLY COULD.
FOOT LOCKER.
>> SPEAKING.
STUART: NOW THAT’S NOT A SHORT.
THAT’S NOT A MEME STOCK IS IT?
>> NO.
STUART: BEHAVING LIKE ONE.
>> THAT’S TRUE KIND OF A MEME
STOCK TYPE OF RALLY YOU’RE SEE
ING TODAY AND THAT’S BECAUSE
THEY GOT A NEW CEO, MARY DILLON
COMING IN FROM ULTA BEAUTY.
SMALLER DROP IN SAME-STORE SALES
, SO COMP SALES WERE
ACTUALLY BETTER IN THE SPRING
TIME, AND PROFIT CAME
IN ABOVE ESTIMATES.
DILLON, SHE’S GREAT AT
E-COMMERCE, AND THAT’S KIND OF
THE FUTURE FOR FOOT LOCKER
ESPECIALLY IF YOU HAVE NIKE AND
ADDIDAS NOW SELLING DIRECT
TO CONSUMER SO YOU HAVE TO AMP
UP WHEN IT COMES TO ONLINE SALES
STUART: APPLIED MATERIALS?
>> THAT’S RIGHT AMAT SUPPLYING
SERVICES TO CHIPMAKERS SALES
PROFIT BEATING HERE.
IT WAS UP IN THE PRE-MARKET AND
AFTER-HOURS YESTERDAY, AND I CAN
IMAGINE THAT THEY’RE SAYING THEY
MAKE MORE SALES WITH CHIPMAKERS
INCREASING THEIR PRODUCTION,
PARTLY BECAUSE THAT $52 BILLION
CHIPS ACT THAT CONGRESS RECENTLY
PASSED.
STUART: I SEE HOME DEPOT, THEY
HAVE A STOCK BUYBACK PROGRAM AND
THE BOARD APPROVED OF IT.
>> YOU WONDER IF THEY ARE
TRYING TO GET AHEAD OF THE 1%
TAX SO $15 BILLION YOU CAN DO
THE MATH 1% IS PRETTY
SIGNIFICANT I WOULD SAY AND THEY
ARE ALSO INCREASING THEIR
DIVIDENDS TO A BUCK 90 A SHARE
AND THAT’S PRETTY GENEROUS.
NOW, LAST YEAR, THEY ALSO BOUGHT
BACK $20 BILLION, AND THERE’S
ALSO A MANAGEMENT CHANGE SO THE
NEW CEO STEPPING IN AS
CHAIRMAN, AND THIS IS AFTER
THAT STRONG SPRING QUARTER THAT
YOU REPORTED ON, AND IT’S
INTERESTING THE HOUSING IS NOW
IN RECESSION, BECAUSE YOU KNOW,
IT LOOKS LIKE HOME DEPOT STILL
SAYS THAT WE’RE SELLING A LOT OF
GOODS OUT THERE.
STUART: I WOULDN’T BE SURPRISED
TO SEE A LOT OF OTHER COMPANIES
JUMP IN NOW, WITH THE STOCK
BUYBACK PROGRAM.
>> OF COURSE.
STUART: TO ESCAPE THE 1% TAX
COMING AT YOU, AT SOME POINT IN
THE FUTURE.
>> SO APPLE HAS ABOUT WHAT
$100 BILLION IN STOCK BUYBACKS
EACH YEAR.
WELL MAYBE NOT EACH YEAR.
STUART: NO IT’S CLOSE.
>> TENS OF BILLIONS.
STUART: I HEAR IT’S HALF A
TRILLION DOLLARS WORTH OF STOCK
BUYBACKS IN THE LAST 15 YEARS.
>> THAT’S CORRECT.
STUART: ENORMOUS.
>> SO IT’S ALMOST ABOUT
$100 BILLION AND THAT’S WHY
WARREN BUFFETT BOUGHT IT BUT YOU
DO THE MATH ON 1% OF
$100 BILLION?
NOW, DO THEY ACTUALLY PAY THOSE
TAXES?
I THINK WE’LL SEE.
STUART: I DON’T WANT TO MAKE
THEM TRY.
>> DEPENDS ON WHERE YOU’RE
DOMICILED.
STUART: YOU ARE MY CRYPTO LADY
WHAT’S GOING ON.
THEY ARE ALL DOWN THIS MORNING.
>> OKAY SO SUDDEN DROP TO SUB
22000.
YOU HAVE THREE WEEK LOWS OF
BITCOIN, REALLY EVERYTHING
DROPPED IN A 10 MINUTE WINDOW
AND THERE’S TALK THAT MAYBE
THERE’S LIQUIDATION ON FUTURES
IN BITCOIN, BUT CRYPTO TRADES
ALONG WITH TECH STOCKS,
CONCERNED OF HIGHER RATES AND
MORE AGGRESSIVE FED THAT MEANS
MONEY DRIES UP AND SELLING TAKES
PLACE, ALSO CRYPTOCURRENCY,
ETHER BY THE WAY AND I SAW THIS
ON VACATION, IT’S UP 100%
SINCE THOSE JUNE BOTTOMS, AND
WAY OUTPERFORMING BITCOIN SO FAR
IN THIS RECOVERY.
STUART: THAT’S CRYPTOS, MEME
STOCKS AND EVERYTHING ELSE
COMBINED.
>> THE MEME LADY AND THE CRYPTO
S.
I’LL TAKE IT.
STUART: MEME AND CRYPTO LADY.
CAN YOU COMBINE THE TWO WHY NOT.
WE’LL SEE YOU LATER THANKS A LOT
CHECK THAT BIG BOARD IN BUSINESS
NOW FOR SIX AND A HALF MINUTES
AND WE’RE DOWN 139 POINTS.
ARE THERE ANY DOW WINNERS?
YES OF COURSE THERE ARE AND HERE
IS THE LIST.
TOPPING THAT LIST IS MERCK, THEN
JOHNSON & JOHNSON, AMGEN, HOME
DEPOT, UNITED HEALTH THAT’S THE
DOW WINNERS.
S&P 500, DAVITA, I DO NOT KNOW.
LAUREN: I HAVE NO IDEA.
STUART: I COULD GOOGLE IT.
>> SHE JUST ANNOUNCED A BUYBACK
STUART: AND THEY HAVE A DIVIDEND
RESTORE THE DIVIDEND.
THAT’S GENERAL MOTORS.
OKAY, WHAT DID YOU SAY PRODUCER?
DAVITA IS HEALTHCARE.
NOW I KNOW.
FAST ON THE GOOGLING THERE.
>> YES THAT’S RIGHT VERY FAST.