gobble gobble. i've seen bigger legs on a turkey! rude. who are you? i'm an investor in a fund that helps advance innovative sports tech like this smart fitness mirror. i'm also mr. leg day...1989! anyone can become an agent of innovation with invesco qqq, a fund that gives you access to nasdaq-100 innovations. i go through a lot of pants. before investing carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com. all right. welcome to power lunch everybody. i am tyler mathisen. this is one market story overshadowing everything else. nvidia after its results last night the stack of the 15% today. 56% so far this year. it has cemented its lace as the third biggest public company in the world behind only microsoft

and ample. i have now of amazon and alpha the. 1.92 trillion in market value. closing in nearly 3% rally in the nasdaq kind of appealing that index closed its all-time high. the dow and s&p also records. the dow over 39,000 39,033 a 1% move there. the s&p 2% higher. you can see the impact and videos having on other chips. a. m g up 10%. super micro soaring another 30%. let's bring in christina parts never it's. she follows chips forest. what do you say in video had enough to sponsor this rally? >> i think they got exactly what they're looking for from nvidia's earnings. confidence in the emblem beyond next year. or, as jensen huang says, a fundamentally the conditions are excellent for continued growth in calendar 20 to 40 count of 2025 and beyond. the demand sustainability theme was driven by the 409% year on

year jump on data so to revenue. customers moving beyond just crowd service to others to include health care finance firms management also seeing the new line of chip products under a supply constraint. that means to me and hold out of it longer into 2025. although china sales did drop significantly because of u.s. export controls, nvidia is still sending these work around ships, let's call them that, which could mean even more growth in china once nvidia actually gets u.s. licenses to export to china. they are still waiting on that lastly nvidia said inference now contributes 40% data center sales. the company is not of dominating the large part of the training language model but also the queries for the language data, putting the large data to work. that is the inference part. all of these catalyst you are seeing under screen actually points to demonstrably, the feet. nvidia does not actually guide on the current quarter. that means you have to trust

what the ceo of nvidia, dustin wang, says about demand. there is also concern about competition catching up and earnings eventually peaking. those concerns have not stopped the stop from hitting an all new high. as you mentioned tyler, inching closer and closer to that two trillion-dollar market cap. >> $102 a share higher today 15%. kristina, thank you very much. appreciated. let's get an analyst take now on is to these blockbuster earnings report from nvidia. our next guest just upped his price target today from $800 to 9:25. which means the stocks can gain another 20% from where it is now. that will put it well above two trillion in market value. let's bring in vivek aria. the senior center analyst at u.s. bank of america. vivek, welcome. is there anything in the report yesterday you saw that gives you any sort of pause here? >> thank you for having me, tyler. i think when you look at, there

is a supply side and the demand side, i think they're working on the supply side very effectively. the supply situation is gradually getting better. not so much though that it could be a cause of concern we do not see any oversupply i think supply balance should stay song. the more interesting thing is on the demand side. only about ten or 15% of zeroes today are accelerated. that means they are deploying and a.i. like work flow. overtime we think that number could be three or four times that amount. that is one aspect of it. the other aspect to keep in mind is we are still in the early stages of figuring out what generative a.i. can be. what applications can be monetized. i do believe every time there is a new year, people will ask the same questions. one of the applications that can be monetized? it's not that different from the early days of the internet, right? the commercial infinite started in 1991. it wasn't just a straight up

into the. right every year there were questions about, what are the key applications that can drive it? today, nvidia is in great shape to monetize what i think will be a multi year growth for them. as you come back to what is a source of concern, anytime the stock goes up by these large amounts, that is always something that we need to watch out for. the fact that a big part of the semiconductor industry, almost two thirds of the semiconductor market in our view, is exposed to this one company, i think there are risks associated with it. i think that as long as the customers find ways to monetize a.i., the companies in very good shape. >> you just raised price target up to the 900 dollar range. thereabouts. you can correct me and give me the precise number. up to this point nvidia has really owned this area, this space, for these high-end processing units. i wonder if there are any

competitive risks that you see on the horizon for them? >> that is a good question. one thing i would suggest is if you look at the nature of technology, areas outside of a.i. chips. search, operating systems, look at social, look at e-commerce. what is common to each of those technology markets? the early mover, the one with the scale, tends to control 70 to 75% of the market, unless they miss up. as long as they are executing extremely well, for the leader in the market to continue to have that 70, 75, 80% market share is actually not that uncommon. that is why our some shun, in this exhilarating market which was about 45 billion addressable last year, probably gonna grow another 60 or 70% this year, get somewhere close to 170 billion over the next few years. that nvidia dominates with the 70 to 75% share. we think custom ships made for

google, microsoft, and others that is another ten to 15%. the remaining ten to 15% is shared across the likes of amd, intel, the many start-ups with interesting propositions. you will see competition but i think it is pretty hard to dislodge nvidia from that 70 to 75% leadership. >> that is amazing. that would be a market dominant position! how about margins? they are increasing sales immensely. margins look really good, as well. increased sales, boy, you have a money machine! >> right. it's interesting in the last year or so of operating expenses increasing only 800 million or so. their sales increased 30 billion. that is a leverage that you are speaking to in the model. the reason for it is their focus is on this one thing called the gpu.

it's this machine that they are taking into every end market. whether it is the data center, automotive, workstations, whatever it is on diverse. that creates, number one, it is a grease of focus further engineering talent. it is also a great source of dependability that their customers have. the same architecturally supported backwards, forwards. they are not getting distracted and going out to more valuable chips are going after industrial markets are going after some foundry business. they are focused. the last point i want to quickly mention, tyler, not just opening margins but look at the cash flow generation. in the last quarter they generated 11 billion of free cash flow and one quarter. i think in the next two years they will probably generate over 100 billion. after the next to close to 200 billion in free cash flow. >> it is just astounding. fun to watch. vivek, always good to have you with us. we appreciate your time today.

the abdomen is the big story in silicon valley today, and on capitol hill, as well. and a idler, eamon javers, is here to explain. >> i'm not the czar of a.i.. the department of justice is announcing this. jonathan mayer is the professor computer science at -- from stanford, he will be the official, the top a.i. official at the department of justice. you ask, what does that position actually mean? it means something both internally and externally. internally, this is the person who's going to figure out how the department of justice uses a, i recruits a i talent, computer scientists who are fully aware and conversant in the technology and also figures out all of the legal and practical ways the department of justice can use a.i.. you know, tyler, a i sometimes bits of gobbledegook. if you are using it to investigate crime you don't want to use it to come up with that data the effects of

prosecution. they have to be careful out of the world is out. externally the justice department positive crimes are used with a.i. they will seek enhance penalty if the crime is enhanced using a. are they have said they don't need a entire new area regime here. crime is crime, whether it is committed with a computer, a, or not. >> what do we know about his background, other than that he looks like quite a young fella? >> when a young fellow. he went to princeton, computer science specialists. >> he's not a lawyer? >> he also has a law degree. let me go down here forget where it is. jd from stanford law. he has covered a lot of basis in his two years. this is the person the department of justice says will be responsible for figuring out this really big problem. it is a big problem for government, as well as you have been talking throughout the show, for businesses trying to adapt to a. i companies like nvidia benefiting enormously. but there are also challenges in a downside. the government going through that same process as well.

>> amen, thank you so much. we will see you tonight at last call. 7:00. coming up, another bullfight. moderna reporting results. both that name and rival pfizer down significantly from the past year. which is the better by now? that is ahead plus, we are just a week away from the anniversary of the regional bank crisis. we have some prices we want to celebrate. what has been fixed? what issues are still lingering? we will talk to the valley bank ceo, we look forward to hearing from him when power lunch returns. ♪ ♪ every day, businesses everywhere are asking: is it possible? with comcast business... it is. is it possible to help keep our online platform safe from cyberthreats? absolutely. can we provide health care virtually anywhere? we can help with that. is it possible to use predictive monitoring to address operations issues? we can help with that, too.

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s&p now all-time high. next up to close to 3%. being tech in the driver seat of this market. our next guest says pay tension evaluation. he says the stock market is really the tale of the haves and the have-nots. here's scott climate, chief in strategist with scott brown. take us through year strategy, scott. what do i need to be on look for? >> tyler, it's becoming increasingly irrelevant to talk about the market and see if it was one thing. one small handful of stocks, of which nvidia as it's in the news, making up almost 80% of the mark. it's remarkable almost last year the s&p 500 was up 24%. only 35% of the names in the market, not capitalization, names with a negative sign in front of their return. the haves and have-nots is true earnings growth, two of valuation, true market performance, as well. investors just need to be aware of that when they talk about the market as if it is one

monolithic thing. it is not. >> what does the macroeconomic background tell you about the potential in the market for further gains? >> we are living in the best of all possible worlds in this new economy that surprisingly continues to grow. the big surprise last year was the recession that never happened. it seems like economic activity in the first quarter this year is coming in at about two and a half or 3%. of course, if you add to that some point enough further improvement inflation for the fed to adjust internally downwards, that is a really powerful combination. the pessimistic me knows, whereas the optimist in me believes this is the best of all possible worlds, the pessimists tens degree and says it can't get any better. investors need to invest with their eyes wide open. valuations, particularly in these technology stocks, is where i think more attention should be focused. >> so, what will it take to get the market to broaden out? not that it is necessarily a bad thing that technology is

leading the market higher. it has been that way for a long, long, time. technology has been the most exciting, robust, growth sector in the u.s. and maybe the world wide economy. what will be required for the market to broaden out so other kinds of stocks take part? >> i think part of it is a broader participation in economic activity. we are seeing that already. economic growth we've seen over the past year is not really located in one sector. it is pretty broad based. coupled with the reality of the federal reserve beginning to lower interest rates. there is a lot of talk about that, the futures market is anticipating that. the fed is dancing the fine line about the timing of it. not wanting to be seen as too soft on inflation. when we see that i think we will see the broader leadership take place. in the meantime, you are absolutely right. technology is the story of the day today. everything on my screen is green. it is really the story of the past two decades in the u.s. market. we should celebrate that. that is innovation that

benefits every aspect of economic activity. >> it is also innovation in which we, the united states, are the leaders in many, many, ways. not necessarily always the endgame beneficiaries the. be that other, maybe do pretty well there. let's come back to that question evaluations which i know is a concern of yours. talk me through that. the concern that the valuations are melting up. that is never a good thing. >> well, no, but the saving grace here and nvidia, yesterday, is probably a good example of this, the earnings are also melting up. as long as earnings are melting up while the prices are melting up and evaluation stories okay. i think it largely is right now. it is when investors begin to take that for granted, or lose sight of the fundamentals, that you widen into true bubble territory. i don't think we are there. i'm not using that word here with the companies broadly defined. i've been around long enough to have enough gray hairs to see that cycle happen enough for

i'm worried, some are out there in the future, that begins to take hold. prices become disconnected from the underlying fundamentals. so for that is not the case. that gives me some confidence that the market rally, not just today about the marker at least so far this year has legs. >> we like eyes with gray hairs. [laughs] keep it up, scott. thank you, my friend. all right, further ahead. an inside look at what measures the irs is taking to find wealthy tax cheats. we will dig into that story up next. ♪♪ ♪♪

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all right, welcome back to power lunch everybody. stocks are today as you see right there in nearly 500 points higher for the down just rio. 39. 108. we went through 39,000 like a breeze. now then at 100. all-time high there. money pouring into stocks, coming out of bounds. sending bond yields modestly higher. let's get to rick stand tally in chicago. >> tyler, indeed, yesterday we had the meaning did not illicit a lot of market movement. this morning the ecb minutes

were released and the topics were very similar. don't want to be easing too early. some wage issues and we followed rates lower and then higher. we came in moving higher and it was basically because of the minutes story. at 9:45 eastern as you look at two year treasuries and two you're booms on the same char, they start to diverge a little bit what happens at 8:45 central very weak services pmi weaker than expected and weaker than last month as you can see there we spite lower. if you see the year today we are on pace for another high close, as a matter of fact let's push it back. we are looking at a fresh high yield close looking on december 12th. if you look at ten year yields going back to november we will call that three months on high yields. we continue to be driven by the

residuals of inflation to a potential stagflation scenario. of course, still smarting a bit from a very weak 20-year bond option yesterday. tyler, back to you. >> rick, thank you very much. while the broader markets around seeing solar stocks are getting hammered for the second straight day. pips evens here with the latest not-so-sunny story. we have all these cheerfulness roundest. we need some bad news! >> it is due mangling this on the margaret. now it's all about sunburn and sunoco. we heard from them last night. both companies missed top and bottom line estimates. i feel like a bit of a broken record but this does come back to higher rates. at the end of the day, these two companies, they are consumer finance companies. they are the ones that provide the funding, the lending, for consumers to install the panels. they have billions of dollars in debt. when rates go up, the cost of capital goes up. it also slows demand for consumers to -- >> consumers aren't going to borrow at this rate to put in

this installation. >> exactly. what we heard from sunrun. they are the largest players, the growth this quarter could be negative fibers, and positive 5% for the customer addition. better than what wall street was expecting. we also heard there could be some recovery in california. in an effort to slow down overall consumer demand, they have shifted more to a solar and storage company. the batteries and in-home batteries are high margin products that they are focusing on that. so nova is down 20%. almost double sunrun. i think one of the companies, there could be concern of capital and if they have to raise capital they did mention a 100 million at the market offering in the coming weeks. they have mentioned this before. they had no immediate need to use it. they do not expect to use it between now and their next earnings call still spooking the market here. >> thank you very much. pippa stevens. reporting. let's go to bertha coombs now. >> it is confusing. we are both wearing plaid.

>> yeah, yeah. >> the fcc, fbi, and homeland security are investigating a widespread at&t outage along with cyber watch fisa. the outage left customers unable to send texts, make calls, or even contact emergency services. it also effected some verizon and t-mobile customers. at&t says it has now restored about three quarters of its descriptive network. opening statements begin today in the trial of the weapons handler on the set of the film, rust. prosecutors laid out their case that hannah gutierrez was negligent loading a live bullet into a prop gun that later went off, assuming the film cinematographer. the defense said baldwin violated basic gun rules, alec baldwin the actor, claimed that the evidence had been tampered with. a judge ruled today that a

texas tool did not violate state law prohibiting hair discrimination when it punished a black student over the length of his dreadlocks. junior daryl george has been disciplined for much of the year because the school claims his hair violated the dress code. school officials argued the states brown act law does not address length. georgia vowed to fight back after today's decision. tyler? >> bertha, thank you very. much bertha coombs. still to come, moderna reporting a surprise profit even with covid vaccine sales plummeting. we've got more on the, next. that's top of 15% today. (vo) what does it mean to be rich? maybe rich is less about reaching a magic number... and more about discovering magic. rich is being able to keep your loved ones close.

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welcome back to power lunch everybody. time now for our both. i pfizer versus moderna. in one corner we have pfizer, the company voting mixed earning results at the end of january. shares are down more than 30% over the past year. in the other corner we have

moderna. that stock up of a 60% today on an earnings beat. still down 36% over the past year. which should you carry in your portfolio? here to make the bookcase for pfizer is luis chan, and analysts that cannot fitzgerald. and making the bull case for moderna, michael yi senior biotech analyst at jefferies. welcome to both of you. police, a lot of you go first? make the case for pfizer. both of these stocks, which of course row of the covid vaccine and treatment wave to great riches, i've been hurt since that wave has, seemingly, crusted. luis, you first. >> okay. i really like pfizer here. i think the expectations have now been right sized. i think the company has the potential to earn $5 per share in eps driven by top line growth of new and existing products. they have a big operating margin expansion story. they are also going to be de leveraging from the siege a deal and potentially to a sizable share buyback in 2025. i think the stock is

undervalued at this point. and poised to potentially recover from here. >> how do you think it could go? >> i think -- i have a 45 dollar price target. five dollar earnings we share. historically integrated at ten times p e multiple. $50 or potentially even more than that overtime is definitely achievable. >> michael, why don't you take the case for moderna and spell that out for. us very nice day for moderna today, by the way. >> very good. good to see you, tyler. very simple. first, we have significant negative sentiment with moderna on a huge short position that i think is completely eye winding and could unwind this year. we are in an a.i. infused growth market. i am going to take a higher bid, higher growth turnaround story in moderna with that type of backdrop. second, there is actually a number of catalyst this year. thinking about how bad it's been for the past 12 to 18 months on covid, we have rsv

vaccine approval coming in may. we have revenues coming off of rsv this year. that is going to be interesting with the refilled syringe. they also have data coming in on another vaccine this year for cmv. cystic fibrosis data. we have a huge turnaround on moderna. you can see a huge turnaround. after another bad year. >> they will not own that mark in the way the market was owned by vein pfizer for the covid 19. there are other players in that? >> pfizer and gsk on the market. each of them did about a billion for part of the year. it is a big and growing market. moderna, which is going to be likely approved and may, still looking for that catalyst, will start to get some revenues later this year. importantly, as was discussed on the call today, i think people are catching on to the stock was down on this a couple weeks ago. they are the only prefilled syringe. go talk to cvs and a lot of the pharmacies, they dose a lot more of that per day.

a lot of economics that i think could help moderna on that. drive sharon a low expectations story. >> luis, what are the lines of business or the specific drugs that pfizer can ride to the kinds of earning for share growth that you forecast for? it gets out, maybe, of the shadow of some of the other drug companies like eli lilly, which has the big weight loss drug, and others in that area? what are the lines of business that can benefit for them? >> in the short term i think rsv is gonna be big for pfizer. they are already on the market. they will do some contracting this year and really boost their market share in the retail market. they are already very high in the doctor channel. the other one here is nerve check og e for migraine. the last one, the one they are going to host an r&d day for next week, is there c jim deal. they have really increased the size of their oncology franchise. there is a lot to look for there. evs 302 data better than

anticipated. abc has also become increasingly important as part of the treatment regimen. i think they have a lot going here on the top line that could really drive growth. eight to 10%, over the next several years, for pfizer. >> who is the leader in the cancer marker right now? is it mark? >> i want to say merck is the only one. mark, obviously, has had a lot of success with can true to. put it this way, pfizer, historically, have not been seen as a leader in oncology. i think with this deal they could move into the pole position. >> michael, why don't you respond to at least just talked about there. she is high on pfizer, in part, because of its rsv presidents. you see moderna being able to exploit, perhaps, partly if either's expense the rsv market. >> look, i am happy the expectations are very low well moderna variety. like i said, the stock was down. pfizer put up 1 million already. i bet you are going to see mark's share loss there, marketer gain from moderna.

again, reiterating about the prefilled syringe in the fact that they are coming from zero share. i would link that to the zero share. versus particular guidances here which is only a couple undermanned on. as a think they're gonna be the number. expectations are very low. again, from a stock perspective i think rcep is a driver. there are whole lot of other things going on there with very low expectations from cystic fibrosis, cancer vaccine with mark, ongoing in discussions with the fda. this is a hybrid fusion market. look at the performance today. just an eps b this is the kind of market you want in a higher growth stark. >> interesting. the case for moderna the case for five x really made. thank you, we appreciate. it coming, up nearly one year has passed since the regional bank crisis. how has the smaller regional firms been fearing since then? valley bank ceo will be on to give us the view from the

ground when power lunch returns. we'll be back in a moment.

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shares of valley bank have lost 20% in the last month, getting caught in the downdraft involving your community bank. now u.s. banking regulators are asking banks, including valley, if they face in a related and why see related troubles. it comes as we approach the one year anniversary of the collapse of silicon valley bank. joining us now to discuss the state of banks is the chairman and -- i.r.a. robins. welcome back, iraq. good to have you with us. >> great to be here. >> i guess if i were sitting in your shoes i would sit there and say, okay, we have come through this rough year with silicon valley bank, republic, and others. we thought we were coming out of it. along comes new york's community bank. this is the last thing i need. am i right? >> i feel like i'm going through ptsd with what happened

last year. hoping that wasn't gonna transpire this time. i think the real difference is back in march there was concern about trust within the banking industry. we are an industry with a foundational perspective. our spots ability is to be a good steward of our depositors. what happened last month's there was concern. if i put my money in any bank, what does that mean for me? imagine i try to take my money out, and then there was this correlation is said, a bank stock price that is associated with the ability take money out of an organization. it's been a full year now we've been working through with our clients to assure them the not every bank is the same. regional banks across the entire spectrum are largely on sound footing. these were really isolated incidents. we are still a very safe and sound industry. but about a month or so ago new york community bank, we go through this process again to make sure our clients understand that there is a difference between each individual bank. i think there has been some evolution over the past year where there really wasn't a lot

of deposits light at all. and much concern over the deposit of the organization, very different from what it was about a year ago. >> how would you characterize? it has there been a difference in the nature or intensity or frequency of your interactions with regulators over the past year? >> i think at valley we have always fundamentally said we need to have a strong regulatory relationship and make sure our regulators understand who we are, where we are headed, what our strategic initiatives are across the organization and how we focus on risk management. for us, we have had a very important dialogue with our regulators. we prioritize the cost in the organization. i think the regulatory agencies now have been very clear in outlining what the goal is, what the goalposts are as far as each organization needs to look like. it is just a matter of prioritizing the strategy of moving forward. we definitely enhanced the conversations we have with our regulatory agencies.

with that said, the goalposts have not changed at all. >> when the news on your community banking up here in the last month or so, what kinds of conversations that you have with your direct reports, or your board, about this? what you, as a bank and a banking executive, might need to do too sure confident or protect the brand? >> we are a relationship bank. our focus is not just on the digital. are we able to connect with our clients from a digital perspective? do we really have a relationship with the morning human interaction perspective? right off the bat the conversations are, how many times have we reached out to our clients? do we have the appropriate conversations with our clients? conveying who we are as an organization. i think we had understand that they understood some of the differences in our community bank with the portfolio differences. to make sure that they are able to have appropriate conversations with their clients. i think that is really what the preemptive conversations are.

with the board i think once again it is just a similar dialogue. do they understand what the services are? what are the outcomes of potential risk exposure? if something does go down a path, it is crazy to me when i think about someday operating environments and we are sitting in today. we have been an inverted curve for almost three years now. i think about the bell curve interval operating environment the outcomes sit in the middle of the bell curve. in an inverted curve we have been operating in the last two years on those tales. there is an app come here on detail. there is not come here on the tail. i think it is a as a risk manager we are really focused on how we get rid of those risk from the tail and how we lessen some of those instances that details provided to us. >> let's broaden out and talk a little bit about the business climate that you're operating in today. how is business? and your borrowers? your clients? are they taking up more loans? are they bullish and expanding or what? >> i think we can break our

clients into two different segments. from a commercial bill state perspective i think many of the clients are still sitting on the sidelines hoping for a decline in the interest rate environment. really trying to get an understanding of what the new behaviors are going to be from many of the course of the state properties that they invest in or want to actually own. i would say from any of those clients is the thing on the sideline. very moderated as to what their growth is looking like. when we transition to other businesses, we are a large seeing island, or as well. many of those businesses are still doing phenomenal. the individual businesses are strong. many of them are having trouble hiring. we think about how they are thinking within their individual footprint, as well. i think a tale of two cities, to be honest with you. >> i will robins, fantastic, it was good to see. you valley national where my son has an account, by the way. still ahead, etsy is the worst performing name in the s&p 500 today following makes the q4 report.

some q4 analysts say this doc still has room to run. we will hear from an analyst who disagrees next. during february, we celebrate black heritage. here is skelly founder christopher gray sharing his story. >> sometimes the only way for a lot of african americans to break out is to go to college. and they take that scholarship and take that experience to creates golly. to help students rate over $100 million in scholarships. help them get on shark tank. ultimately so the company to sally may. being one of the only black founders in history to sell their company to a major bank.

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welcome back to power lunch everybody. we watch the nvidia field rallying the down s&p 500 ending record highs today. as you see there, the dow up now for 46 points above 39,000 earlier today above than 1100. time now for three star lunch today be focused on some stocks making moves off of earnings. here are the trade between green founding partner and

chief investment officer with g2 private wealth. first up, victoria, royal caribbean hiking its profit forecast on strong cruised demand. what is your trade on that one? >> i love a. i think they are going to break out and they are challenging the them hitting ne records. look, they raised guidance three weeks after they release results. that's how confident they are. that is how well this wave season what they call januar through march and everybody is book they see increased demand. i love it. and they are getting more out of their passengers passengers love thei technology i got on in january, biggest ship out there they talk about how 77% of their passengers are prebookin activities before they eve embark about a third of their passengers are using their app so they're getting all these captured purchases, all thes delightful upcharges they've got happy cruisers, an people are spending on travel.

i see royal caribbean hittin new heights. >> great endorsement for tha one. let's talk about rivian. they will have to lay off 10% of their salaried workers your trade on this one this is a company that's havin a little trouble getting out o their own way? >> exactly, it is a sell for me it doesn't mean it can't go down further. they are just not producing. one of the things that's hindering them is their pric point. they're higher vehicle price points only two to three models their base models have to stay under $80,000 or 50% of the ev credit this year they don't qualify none of their models qualify for the full ev credit, so you hav more price pressure. they even talked about in thei earnings release, that they ar producing about 70,000 vehicle annually, but forecasting flat production of 57,000 they are facing a soft e market it is not just high rates. it is not just the consumer, but a soft ev market i don't think that they will have it to capture marke shares, to grow next year. i see more struggles for the

ahead. the it is painful here i think it could continue to push lower >> let's move on to etsy earnings fell short. revenues exceeded wall street. shares of etsd down today by 8 or $6. the trade on etsy? >> it is a sell for me jus because the stock is down 50 from its high does not mean it can't push lower for me they are just facing so much stiffer competition, and we talked about how difficult i has been for their market. they even said in their earnings presentation, they're expectin demand growth. that's tough last two years, they haven't been able to grow their growth sales. so they are facing head winds, stiffer competition. anybody that watched the super bowl saw what four ads for temu, and you have shein coming on but etsy is lagging behind they are talking about maybe q being a bot top. but they warned q1 is alread soft i don't think q1 will be the bottom for them. i see more struggles ahead they are going to have to spen more money on advertising. that could continue to drag on

earnings and i think they are facing rapidly changing e-commerc environment that is tougher fo them to grow in. >> and spill some wisdom, if you don't mind, on the market at 39,000 on the dow and records on the s&p? >> dow, 40,000, absolutely i think from here, everybody collectively held their breath i feel like you could have fel it, like visibly even in texas i felt the anxiety waiting o nvidia yesterday it was the final piece of th puzzle, you know, i think you're going to have a fed that doesn't cut rates as fast. but everybody knows what happened back on the ai trade. there is excitement. so much cash on the sidelines. i think you could see this market continue to push higher and there is some good fundamentals nvidia's growth is there they are justifying the pric people want to pay i think it's funny the number of what was it, 1,300 was the highest number of call volumes traded on nvidia preearnings that's 100% growth there so i think you have th potential that you will get left behind if you keep waiting and

waiting for that dip i'm not sure we're going to ge a huge one because there are s many people waiting for that t come down. so much cash waiting to be deployed >> all right, victoria greene as always thank you. good to see you. >> thanks. all right, still ahead inside the irs crackdown the agency says it is ready to double down on wealthy tax cheats, and it is expecting big payday from the ramped u enforcement. robert frank will give us th details of his rare intervie with irs commissioner dann warful next. power e*trade's easy-to-use tools, like dynamic charting and risk-reward analysis, help make trading feel effortless. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley. with powerful, easy-to-use tools, power e*trade makes complex trading easier. react to fast-moving markets with dynamic charting

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are evading more than $150 billion a year in taxes. they announced a crackdown yesterday on private jets. it is where they are using business deductions for personal trips. irs has collected over $48 million from millionaire tax debtors, and they are targetin large partnerships of over $10 million. the irs promising no one makin less than $400,000 a year will see audit rates going higher >> a lot of americans that are middle, low income, they mak nowhere near $400,000 a year and by setting that line a $400,000, they could even feel more secure. the goal of the irs with the inflation reduction ac resources is not increase audi scrutiny on them so i think $400,000 is a saf distance away from where mos taxpayers are and they shoul know that when i get up in the morning and go to sleep at night, where my focus is from an enforcement standpoint is in those higher risk areas amongs the largest corporations, th

longest complex partnerships and millionaires and billionaires >> if you do make more tha $400,000 and you're worrie about being audited. the big red flags the irs ar now looking for, partnership income, offshore profits, and, of course, those private jet deductions so tyler, when you're taking your vacations on your jet don't call them business >> don't call them business. these private debt reductions are for people usin them for personal trips an calling it business? >> that's right, and taking it as a business deduction. he says it may not seem like a lot of money, but some of th tax returns they are getting showed tens of millions of dollars of deductions for people that owe in private jets by the way just to mention, yo can see the entire interview with the irs commissioner, danny werfel, on cnbc.com. >> do you know the auto rate it's below 1%? >> it is about .2% for those who make more than $ million, it is about 2%. now for those who make above $10, right now it's 4% sounds like a lot, but it used

to be if you made more tan $10 million, it used to be 20% chance of getting audited. that's when they say we want t get those historical rates bac to normal. that's what we're talkin about. >> all right, robert, than you. thanks for watching power lunc everybody. we've got your closing bel starting right now see you tomorrow all right, welcome t closing bell, i'm scott wapner live from post 9 here at new york stocking exchange this make or break hour will begin with a stunning move i the nasdaq whether the euphoria around th ai trade is close to a peak or just beginning one of our guests making the case today, it's not even clos to over. we'll tell you why in just a moment your score card with 60 minute to go in regulation looks like this new highs for the s&p and th dowed to it is the nasdaq that is stealing the show. and look, we only feed 20 or something so points here for a new closing high for the nasdaq we will watch it closely ove the final stretch. all of this following nvidia's blowout in earnings an guidance that stock, obviously you know by now