michael kantrowitz piper sandler we'll be right back. . (♪) is bad debt holding you back?y limit is the sky ♪ ♪ it's our time ♪ ♪ you don't want to miss it (just a little bit louder) ♪ ♪ it's our time ♪ ♪ you don't want to miss it ♪ ♪ . parkinson's. >>> maria: welcome back, nation top he intelligence official revelation that iran has been fueling anti-israel protesters in america cheryl casone with all details. cheryl: maria, director of national tenlts admiral haines warning iranian government secretly stokingings division in u.s., funding some anti-israel protests writes iran is becoming increasingly aggressive in foreign influence efforts, to undermine confidence in our democratic institutions americans targeted by iranian campaign may not be aware they are interacting with a foreign government iran russia, china improving social media capabilities, using fake accounts to soak with division. >> "the wall street journal" reporting american workers quit quitting the job hoping frenzy pandemic years given to some economists call big stay workers now saying they are content

s&p 500 up almost 17% year-to-date, joining me piper sandler managing director chief market he technicianreat to see you you say market general warning light on your outlook for the second half of the year you are a technician are you seeing things the trend is your friend? do you want to read this great performance as indicator that it continues? >> good morning maria, thank you for having me back on the show. in terms of the warning light on right now not as necessarily the peak level of the car it is definitely engine level below the surface you can see a narrowing continue to see ad line or advance declining issue market or in engine continues to look quite weak, we've maria inverted yield curve something not seen in over 40 years signs of weak participation with only 10 to -- drying the market that is a concern keep in mind maria, the average stock in the market for the year, is actually down little over 3%, despite s&p 500 being up close to 17% as you noted, and nasdaq over 22% so this is not a market that is done -- well for everybody at this point in time only for 10 to 12 stops h

. >>> piper sandler downgrading its target from 494 to $404. saying it does not think it's enough to offset the several sources of market dilution for the company. >>> another retailer getting a downgrade. boot barn. it's lowering its price target down to 125, ubs saying is expects trouble and it has a more bearer macroview. >>> lvmh is declining after second quarter sales growth largely due to weaker luxury spending in china. other european luxury stocks in the red. gucci owner kaying down more than 3%. the others are all arch more than 1%. >>> and it's not just the luxury sector under pressure in europe. the german lender reports its first quarterly loss in 2020. it's taking a provision on a long-running legal dispute following the takeover of post bank. b np paribas falls despite the drop in the net interest income. >>> coming up on "worldwide exchange," the one word that every investor needs to know today, plus an earnings and revenue beat by alphabet. you can she shares are down by atre than 3%. wh's sending that stock lower. we'll be back

on the upside, in addition to rate insur rate increases, piper sandler shows higher rates.lstate is up 15%. frank. >> big moves for the insurers. contessa, we talk about car insurance and data point and cpi. what about homeowner insurance? >> reporter: it is interesting. cpi doesn't breakout home insurance the same way. we do get a view of that. we are looking at year over year increases of 30%. in fact, in new york, i started beginning to hear from colleagues that they are opening their insurance bills and getting sticker shock. that is without having an incident that you had to report a claim to your insurance company. it's just the way things are partly because of the inflation that we've seen in materials and labor. home values are more expensive. if you have to put in a claim or home destroyed, it will cost the insurance company more money to replace it. those rates are just now catching up to what inflation was fror materials and labor lat year and the year before. >> homeowners don't want it to catch up. contessa brewer, great reporting. thank you. >>> as we head to

piper sandler is bullish on one retail giant and not so much the other.ll talk to the analyst hi oscalls, when "power lunch" rurges. returns. with absorbine pro, pain won't hold you back from your passions. it's the only solution with two max-strength anesthetics to deliver the strongest numbing pain relief available. so, do your thing like a pro, pain-free. absorbine pro. >>> welcome back to "power lunch." we're talking retail haves and have-nots. piper sandler assuming coverage on target with a neutral, while overyacht on walmart, saying it's in the early stages of sustainable growth. peter, are you new on the target beat, so to speak? >> i am. i grew up in minnesota, but it's my first time covering a minnesota-based company in target. >> that's funny. what made you call it a neutral, which i think was a break. >> the value way is fair. they've had a tough go at it the last two years, so, it's kind of intriguing, but we just couldn't find that strong accelerant to earnings growth. even if we look out at 2025, they're a business disproportionately expose

piper sandler said it could be on the installers.nk, nobody is really saying that is the most likely outcome. all of the clear energy companies are beneficiaries of the funding. if it were to be repealed, we could see changes with the u.s. leading the way in clean energy. >> pippa, thank you very much. >>> coming up on "worldwide exchange," the busiest week of earnings season and we will tell you what the ceo of morningstar thinks of the beaten up trade and when the fed meets tomorrow. stay with us. we'll be right back after this break. what is cirkul? cirkul is the fuel you need to take flight. cirkul is the energy that gets you to the next level. cirkul is what you hope for when life tosses lemons your way. cirkul, available at walmart and drinkcirkul.com. energy fuels, a leading american uranium producer, is ramping up production to supply expanding nuclear markets and diversifying into rare earth elements, key ingredients in many clean energy and defense technologies. energy fuels. lyles will need a good leg here. can he deliver?

let's bring in michael can't wits, chief investment strategist with piper sandler.hy are tech stocks taking it on the chin? >> i don't think it's anything fundamental. i think the large cap growth space and tech stocks have melted higher since interest rates peaked in late april, starting with the unemployment rate moving up. i think investigators are looking for a reason to look for other opportunities and rotate. and this is really one of the first good, good data points on inflation that investigators have gotten. so, i think it's a short-term profit taking on overextended stocks, perhaps, but i don't think anything fundamental. >> can you nitpick the inflation number? are there parts of it that are not as favorable as the overall number, the core was a hill higher? >> i think inflation is old news at this point. i think we may have said this last time i was here. once employment rate starts turning up higher -- >> which it has. >> -- and now it's been several months in a row, and forward-looking indicators suggest it's going to continue. it's time to look beyond

the second rule we'll talk about, comes from michael kantrowitz from piper sandler.s also flashing hints of recession. this rule triggers when the three month moving average of number of unemployed people in the u.s. workforce rises 10% compared with its level from one year ago. in the past it has been a reliability indicator of a recession that is coming. where are we on that front? april of 2024 we saw 6.492, unemployed people, charles, that is up more than 13% from april of 2023. we'll send it back to you. charles: that's a lot to digest. lydia, thank you very much. recession watch, folks, these days, when wall street reminds me of my favorite twilight emsewed every one decides aliens are our friends. one researcher cracks the code. unfortunately it was too late for her colleagues to be whisked away to a planet to become on the menu with all other earthlings. why the work is incorporated by so many. new century advisors claudia sahm, along with our friend michael kantrowitz at piper sandler. by the way, both of the you in recent months seemingly backed off your ev

. >>> we have another downgrade from piper sandler on dollar tree.ing the notable earnings risk for this year and next year citing the president election no matter who wins as a factor. >>> and morgan stanley moving sweet greens from equal to buy. >>> and coming up on "worldwide exchange," the one word every investor needs to know and trump taps j.d. vance as the vice president pick. what this means for the markets and your money. we'll be right back after this break. i'm sam, i have a three and a half-year-old puppy. levi is rambunctious, he's very active. so, levi's had to go to the vet because he was coughing a bit, and he ended up getting x-rays. it would have cost over five hundred dollars, had i not had fetch pet insurance. fetch provides coverage for all of this... and so much more! fetch protects over four hundred thousand pets. get paid back up to ninety percent on unexpected vet bills. fetch. the most comprehensive pet insurance. get your free quote today. energy fuels, a leading american uranium producer, is ramping up production to supply

sandler chief economist i want to talk macrostory you say you productivity circulate accelerate powerwhat does productivity look like for corporate america drilling into sectors reality not a lot of sectors look being over higher, a lot fall in stay-at-home bubble people spending a lot of money on goods the other thing proud too much stuff on backs now unity growth slowed dramatically of you companies generating good growth but units cling happening last 18 months you could see make a case that you need to rightsize businesses because of that productivity well below he 2019 levels now what is starting to happen the reason companies have not been firing people more aggressively they have pricing power able to push price because of mathematical stimulus, you have over inventory in economy as that continues that pressure starts building look at pricing wars in retail in restaurants et cetera. i think there is going to have to be increased propensity to lay off people a bottom line up analysis of the sectors just on normalization basis we come up with two million jobs that have to be righ

piper sandler is cutting charles schwab.e the balance sheet could be a positive in the long run, but likely weigh on the stock for the next several quarters. go guggenheim is upgrading akamai to a buy as it shifts to cloud and cybersecurity. and deutsche bank is upgrading 3m. it was impressed from the first interaction with the ceo and sees potential to deliver mid 20 operating margin compared to the p peer companies. >>> time for the global briefing. shares of eisai sink. the eu says there are too many safety concerns associated with the therapy including swelling and potential bleeding in the brain. eli lilly was granted approval for the second alzheimer's drug this month. shares of heineken profits grow. the dutch brewer is raising the profit target for the year with the 6% increase in revenue. heineken will invest in sales goes forward especially in the key markets. shares of philips rising in the second quarter. cost savings from job cuts helped drive the profitability and income liability claims tied to a recall produc

piper sandler downgrading crowdstrike. >>> and barclays with a $39 price target for viking. >>> citiding the lennar. >>> coming up on "worldwide exchange," the one word every investor needs to know today and we dig into growing regulatory waves will prove to be more than a nuisance with the high flying sector. more on that story when we come back. stay with us. [crowd chanting] they ignored your potential, and mocked your ambition. but it's not the critic who counts. with every swing and block, your game plan never changed. ♪♪ some still call it luck. let them. because you know what it's always been. inevitable. ♪♪ ♪♪ what is cirkul? cirkul is the fuel you need to take flight. cirkul is the energy that gets you to the next level. cirkul is what you hope for when life tosses lemons your way. cirkul, available at walmart and drinkcirkul.com. >>> welcome back. europe is increasingly looking to take on big tech. latest company in the regulators' sights is nvidia for the home grown software. the only software that is compatible with the nvidia hardware. the possible charges against nvidia

and then you have biogen sliding as well after piper sandler took its target down to 313 from 335. scott, back to you. >> that's kate rooney. we're just getting started here. >>> up next, big tech's bounce back. rebounding from one of the worst days of the year. nasdaq pacing for the sixth week of gains. baker avenue's king lift will be here with his strategy. we're live at the new york stock exchange. you're watching "closing bell" on cnbc. do you have a life insurance policy you no longer need? now you can sell your policy - even a term policy - for an immediate cash payment. call coventry direct to learn more. we thought we had planned carefully for our retirement. but we quickly realized we needed a way to supplement our income. our friend sold their policy to help pay their medical bills, and that got me thinking. maybe selling our policy could help with our retirement. i'm skeptical, so i did some research and called coventry direct. they explained life insurance is a valuable asset that can be sold. we learned we could sell all of our policy, or keep part of it with no futur

lauren: yeah, stock down 2% and piper sandler cuts price target and they see tepid sales for alzheimer drug. stuart: oh, dear. dear. lauren: they cut in half fiscal 25 sales expectations for that drug. slow up tick. stuart: i think if i'm not mistaken, eli lilly hit another new high, is that right? lauren: yeah, 948 was the high. it's at 946 now for a gain of over 1% and ubs said going to over $100 and mono-jar row and -- monjaro. stuart: thank you, lauren. democratic socialist of america pulled endorsement for alexandria ocasio-cortez because she thinks israel has a right to this. this is a highlight of a real split in the democrat party. one of many splits and we're all over it. president biden delivering a gaffe-filled press conference and meant to quiet concerns of the most vocal critics and did it work? we'll break down some of his biggest blunders. i'm thinking... (speaking to self) about our honeymoon. what about africa? safari? hot air balloon ride? swim with elephants? wait, can we afford a safari? great question. like everything, it takes a little planning. or, put the money

maria: yesterday we were talking about jake from piper sandler saying about to see lives increase wherep jobs numbers or something else. >> i think jobs numbers unemployment rate off lows starting to move higher i think what you are going to see first, and this is number that we usually watch like everybody else job claims highest non every report on so far no red flags but something to watch. job claims out one minutes' time rebecca thoughts on all of this. rebecca: to your point that you expected it so many people still so bullish on the runway for ai, technology even in here do you share second half of the year a turnaround or do you think bears are going to win this one. >> a.i. is complicated in median term exciting sfuch haven't wean haven't been meaningful applications of technology broadly across economy everybody gather so excited near temperature you don't have a lot of companies to bet on a handful, otherwise where you say this is my ai exposure if that broadens going to take years not months. >> waiting on jobless claims gdp, also durable goods cheryl giving numbers. >> what

piper sandler analysts said apple is planning to ship up to 100 million iphone 16s by the end of this year. that would be 10% or more than it shipped last year. not to mention services growing by double digits in recent quarters helped by the app store recovering from a post pandemic v slump, scott. >> get results a few weeks ago? >> august 1. yeah, just three or four weeks from now. >> that's going to be a big moment as it always is. >> i'll be there. >> you'll be in the middle of that. >> steve could he vac, thanks for that. let's bring in jason snipe and stephanie link of hightower. both own apple. stef, it's one of your largest if not your largest position. >> yes, it is. it's about 9% of my entire portfolio so it is very large. i added to it back in may when sentiment couldn't have been any worse. people thought it got to 165, it was going to 130. you had downgrades all over the place. you had numbers coming down. very little support and i think that all reversed. yeah, wwdc, but i think you're starting to get some other things, like you're starting to hear asian channel checks t

sandler right now, looking for fractional moves.milar to recent months with potpotential volatility in the transportation component. >> july is typically pretty decent and then things get more choppy, more volatile. what i will say when we look ahead to q3 earnings which we won't get until q4 things should be changing for the better as far as broadening out goes. over the last four or five quarters 100% of earnings growth has come from the magnificent seven. that is about to change and i think by q1 of next year it's expected that the other 493 names, their earnings growth will actually be outpacing the magnificent seven so, maria, to your question about broadening out, i do expect that to happen towards the latter half of the the year. maria: that would be good. lindsey, great to see you. thanks for joining the conversation. mark, we're grateful to you. you're sticking with us all morning. thank you so much, everybody. coming up, the biden administration reportedly shells out tens of millions of taxpayer dollars to help illegal mig

. >> getting back all the fridays losses, piper sandler reason it's a 140 and luke capital going to 175 has warren buffett been selling bank of america. >> there down he sold 39 million shares trimming his stake in the bank for the first time in four and a half years. >> about starbucks, there's a report to elliott investment management has built a sizable steak and pushing for changes starbucks is down 70% on the year end doctoring half% today. stuart: starbucks is down 17%. >> year-to-date over the past 52 weeks down 22% and year to date down 17 that hurts. >> now this the white house repeatedly denied reports of biden is in decline, roll tape. >> is the up for a second term. incredibly sharp and credibly probing an incredible demand of the details. >> president biden does more in an hour than most people do in the day in his age for experience and expertise is incredible asset and improves every day. stuart: that's hard to justify a statement. will anyone and biden's candidate be held accountable for covering up the presidents decline. speaker johnson is calling on biden to resign im

lauren: downgraded piper sandler and worried about margins and ulta is too promotional and get like fivel as day, 10% off this, 20% off this and can't sustain it and stock's off 5%. stuart: thanks, lauren. coming up, fec, federal election commission chair said the democrats could have trouble accesses biden's campaign funds. listen to this. >> seems like what the democrat wills do is take the money and republican, give to the harris campaign and not bother to get any fec guidance and just deal with any consequences on that after the election. stuart: sean will explain to me what happens next. primary supporters are so opposed to supporting trump that they're actually backing kamala harris. we'll tell you how haley is responding to that. i don't think she likes it. vice president harris skipping out on benjamin netanyahu's speech to congress but going to a sorority event in indiana. that's an insult to our principle ally in the middle east. morgan omorgmorgan ortagus -- ms takes that on after this. more varney after this. what will you do when the power goes out? power outages can be unpr

. >>> before we head to break, let's take a quick check on crowdstrike after a downgrade from piper sandlerout the company's next act but the ri/raris lskewd ess than favorable. we'll be right back. tony, its gone. no. how am i going to do this? welcome to the mdy mid-cap cup, presented by state street global advisors. today's challenge is to play 9 holes without the middle of your bag. how does that sound? that sounds terrible. ♪♪ ♪♪ ♪♪ ♪♪ what is cirkul? cirkul is what you hope for when life tosses lemons your way. cirkul is your frosted treat with a sweet kick of confidence. cirkul is the effortless energy that gets you in the zone. cirkul, available at walmart and drinkcirkul.com. >>> welcome back. the fourth of july is right around the corner, and if you want to swim in a pool or play pickleball, you don't necessarily need that country club membership. swimply allows users to list their own pools and yards for others to rent. how is demand looking and what do the neighbors think? derek, welcome to "the exchange." good to see you again. >> thanks for having me, kelly. >> sounds like you

i want to bring in piper sandler chief investment strategist, michael kantrowitz. only style boxes for the-year lower are small caps, we know that right? everything else kind of worked out pretty well, but it bus happen really what happened in the first quarter this year. i wanted to kind of share this. it was in your note. it was carnage. growth up 9.4%. large cap growth. core, large cap core was up, everything else, i mean decimated in the second quarter. what does this say about the health of the stock market? >> well it's very bifurcated. we talk about the stock market it is hard to talk about it because there are so few stocks driving the aggregate and most stocks, or the wall weighted index look a lot different. i always struggle talking about the stock market because we're talking about a handful of stocks, not the whole market. charles: is that healthy? the follow-up question you must get is that the sign of a healthy market? by the way if it is proxy for the economy, is it a sign of a healthy economy? >> i think it is a sign of a late-stage or a late cycle

sandler, and sciti opened a positive wath and that's helping momentum there. moving on, treasurys. we'll check the yields holding steady as we're gearing up for fresh inflation data and the pce is out friday. watch the curve as well and we're watching steepening and that's one proxy for checking how those odds look. on the flip side of that, the green stocks are bouncing back and they've been under pressure the increased chance of a trump-vance ticket and today gettinga harris bump and pairing with steeper gains and a decent amount across the board and 1% to 2% in other cases. bitcoin, slightly slower giving up yesterday's bounce and still hovering around 67,000 right now and politics is where we begin with president biden withdrawing from the 2024 election and endorsing vice president harris. it's the latest twist in what's been an unprecedented election season and we do have team coverage. emily wilkins in washington with the latest and leon panetta, former defense secretary and cia under president obama and chief of staff under president clinton. governor o

this is what piper sandler been warning could happen.e could see corporate revenues stalling out, margin pressures, earnings declines. you know, so from that point of view, this doesn't look quite so much of a healthy development as maybe the start of a worrisome one? >> well, it certainly -- you know, you're talking about a weaker economy, right? so there are also dangers in that. it also means an economy that is more vulnerable to a shock, right? recessions don't just happen out of thin air, usually caused by some kind of external shock. growing at 4%, we with stand those types of shocks as we have over the last few years. you get a slower economy, you're more vulnerable. doesn't necessarily mean recession, but it could happen. >> and similarly, dryden thoughts what we're seeing in helen or spg companies having to rethink price now. >> i think the idea that people going out and buying any product at any price is over. for a while they did that. and so now you have a consumer more conscientious, more thoughtful, picking what they're goi

sandler, raising its price target to $140, suggesting around 13% upside from current levels, citingh is slated for fall of this year, and citi has opened a 30-day upside call on nvidia as analysts there eagerly await a fireside chat between ceo jensen huang and meta's ceo, mark zuckerberg. both leaders are expected to talk artificial intelligence and potential collaborations. analysts there also add that the geopolitical risk that weighed on chip stocks last week presents a good buying opportunity. now, with today's price action, stock is now less than 10% from its recent high, trading higher by about .6% in today's trade, mike. >> seema, thank you very much. vijay, semiconductor, different part of the industry. what's the set-up here as they try to contend with a cycle that's been a little bit tough? >> sure. thanks for having me on, mike. i think this is the analog group as a whole, including xpi, what they're seeing is probably two years of underperformance. so we think now what you're seeing is the analog group has gone through a significant inventory correction and we should st

piper sandler lowering its price target on schwab saying the ceo's call to reduce the size of the bankven earnings recovery story. for more on the brokerage space don't miss the chairman coming up next hour on overtime. >> it's interesting, for a long time, investors sort of preferred schwab as this financial supermarket. it was more stable because it was a quasi bank. now that's the problem and interactive brokers and robinhood are more of the pure play on sort of the retail animal spirits, the options trading boom and things like that. i guess i wonder how high expectations are for interactive going into this? >> that's a great point on the bank. when rates were going up it was seem as a plus to be looped in with the financials and have a bank and now it's working the other direction. the ceo saying that they're going to become leaner and smaller and rely on partners which is the interactive model. the expectations in terms of trading volume, supposed to see a little bit of a recovery, i think that is very different models so the read through for interactive when you look at schwab i

joining us now, the managing director at piper sandler.e you with us. >> melissa, thanks for having me. >> you do see an inflexion point -- people are asking it's up 20 plus percent for the year, and you do see an inflexion point probably having happened in the second quarter? >> yeah, we think they will trough here in the second quarter. as you can imagine, given the prior rating we have been more cautious given that we think their guidance was more ambitious, and you know, that said we think we are finally at inflexion point and we should start to advance more robustly into the second half of the year and more importantly into 2025. the universal sir sraul outperformed this year, and fundamentally the tide is turning in bank of america's direction, so we thought neutral rating was more appropriate at this point. >> i am wondering at this point in the cycle, you see sort of a recovering investment banking, and things should turn a little, but in price of valuation, are things priced in? should we be trading at that level right now? >> alw

i spoke with piper sandler's managing director yesterday who made the point that the economy's slowingg to see more layoffs and he says buying into the small cap rally is one of the biggest dangers today. watch this. >> the market's obviously been carried along by five to 10 companies. there's been massive bifurcation. i think the biggest danger right now is buying into this small cap rally that we've seen over the course of the last few weeks because a deteriorating economic environment will be worse for from. if we go into a hyper competitive environment, the price wars are emerging, getting more significant, it's not good for small companies. maria: what do you think? >> the only reason small cap rotation is happening is because a rate cut is coming. the cost of capital will be cheaper. people don't have to be so bullish on tech and they can rotate out of the sector. maria, the danger is the consumer is out of money and we are 70% driven by consumer spending so that's what it is and it's macro. >> i want to make a point to that as well. we saw the last two weeks, technically with sm

moving on, piper sandler initiating targ wet with a neutl rating.bit meh on the big box retailer saying on one hand they like the omni comhann model. piper also adds the company could face a 2025 headwind with potential tariffs and possibly management transition with ceo brian cornell's contract expiring. shares up a quarter of 1%. this chart here, legal zoom shares sinking after the company cut its full year sales forecast. it also says its ceo will be leaving, replaced by the current chairman. legal zoom says now is the right time to make this move as it focuses more on subscription based revenue to drive long-term growth. shares down more than 25%. week to date down more than 29%. back to you. >> frank. >>> coming up, is the slump in bitcoin over. we'll talk cryptocurrencies after the break. and jay powell says the u.s. is no longer in an overheated economy. we'll hear from chairman patrick mchenry in a bit. "squawk box" will be right back. z's baking the house special. arisa's styling a new look. and steve's filling his biggest order ever. with

we got piper sandler raising price target and talking about material upside. and loop capital, material upside in piper, what you say to yourself is, man, are they ever trying to make this work. blackwell sold out. all these things are just the kind of things you get when you have analysts saying, we have to get this puppy up, because this is the key tech name. all i come out and say is that, again, a harris presidency is much more benign for silicon valley than a trump presidency. do you think they would really be able to come up with a chinese chip that trump would approve of? are you kidding me? but gina raimondo has been okay with a certain scaled-down chip, commerce secretary. >> you mentioned piper and loop. citi. >> big-time. the most positive. and they are, by the way, because i'm in touch with nvidia. this is the fireside chat sitdown with jensen huang and mark zuckerberg at a graphics conference on the 29th. remember, i know people laugh at me on this zuckerberg, on the luxoticca, but you got to remember this was incredible that zuckerberg sits down

joining us piper sandler's bret graceland.quarter, i think, there's concerns about -- and you write about them -- ai overbuild, so to speak. you're spending more than you're going to get a return on in any timeframe at least that investors care about. so will we get any clarity on that in this quarter? >> yeah. i think this is a great opportunity for microsoft to reframe the discussion. there's been a lot of debate around this ai $600 billion will we ever see a return on these investments and i think it's important to think about ai as part of a bigger picture and the bigger picture for microsoft is, it took them about 13 years to build $100 billion cloud business. we think they're going to build the next $100 billion in three years. so think about compressing your capex spend, your data centers over three years versus 13 years prior and if you put that into context you'll understand this investment cycle is not just about ai. i think it's much bigger. our whole thesis we're talking about all year has been don't sleep on micro

piper sandler research analyst joins us with ratings on nvidia and amd. first, let me get your reaction to yesterday's amazing move, you know, just overall in sort of the mega cap tech but also the chips, as well. does that concern you when you look at at the correlation across the board in much of the sector for the stocks that you cover? i think he's very concerned. >> a man of few words. >> almost speechless. >> a tour question. >> your -- tough question. >> your question rendered him mute. >> i've done that a lot. we'll come back when we get that unfrozen. >> on the subject of chips, though, intel is no longer the biggest dog of the dow. it's nike as intel's benefitting from this confusing run last five or six days. >> this week up 7.5% intel stock. so value, value play, cheaper value part of the chip injury overlooked. >> lot of leverage maybe, as well. any of those companies that -- >> lower yields. >> lower rates have been helpful to a lot of companies that in some ways are struggling. harsh is back. i don't know if you heard my first question. it

multiple enxpansion, but the fat is an excellent piper sandler piece this morning.ketplace, membership, walmart fulfillment, everything's going their way and if you were to ever go with me to a walmart store, you would say, oh my god, it's high fashion for $9. >> is that what i would say? >> yes. >> you still feel positive, despite what is a very strong performance through the year? >> i think we're going to begin to think of this company as an e-commerce company, the first retailer that transfers. now, costco, which i believe reports monthly numbers tonight, is not going that direction. costco says, you got to go to the stores. by the way, the buying of gold at costco, unabated and congratulations to rich galanti, retiring cfo, who's on the cover of ceo magazine because he's just that good. costco and walmart are breaking out and they are the two of the retail that could join the trillion dollar club. not this year, but i think that walmart is no longer just a brick and mortar. >> what's in this piece today? >> it talks about unlocking the significant value of high

it's getting some help from teams over at loop capital markets and piper sandler.ost valuable semiconductor companiment loop goes up to 175 bucks. piper to 140 bucks. it was 120. they reiterate their buy equivalent ratings. they're citing optimism into quarterly earnings and higher expectations for nvidia's next gen ai focused chips. citigroup also launched a positive catalyst watch in nvidia heading into earnings. getting some pail wind there. st shares of apple up, helped along by wells fargo upping its target price on the iphone maker and app services giant. goes up to $275. it was 225. they keep the overweight rating. they're citing amongst other things expectations for better results from iphone sales heading into earnings as well as expectations for more growth, driven by its upcoming product upgrade cycles and ai product offerings. those shares up by about a percent. crowd strike trying to find some sort of footing in the wake of that massive global i.t. outage. shares down 4%. guggenheim is downgrading toe a neutral from buy. they're withdrawing their targe

progressive in may got slammed with $722 million of net can task stro fee losses from piper sandler.ur times a normal summer month in catastrophe loss. that is mostly thunderstorms, not hurricane damage. travelers announces next week. we will see if high cat losses reflect there as well. melissa. >> unlike other partsof cpi, this component might actually remain elevated? >> it is remaining elevated and will remain elevated for the months to come. it takes time for the insure certifies to go state by state and apply for the rate hikes and get them. in california, they went years without getting the rate hikes they had applied for and are just now starting to catch up to that. so, you are likely to see car insurance stay high for months to come. >> contessa, thanks. contessa brewer. >>> coming up, alex thompson from axios will join us on what he is hearing from democrats in washington. besides the crying and mashing of teeth. there are other things he is hearing about president biden's news conference. that's next. >>> reminder, get the best of qua squawk pod and listen anytime. we'll

finally, piper sandler raising its price target on microsoft of 4.85 maintaining an overweight ratingears to add $100 billion in revenue thanks to ai compared to the 13 years it took the first time. looking ahead to the big tech earnings the next week or so, raising its price target on alphabet to 210. in land might be the new raised this quarter. typically more we talk about in-line being the new b, that is relative to pretty downbeat expectations. i'm looking at the stocks this year, google up by 30%. how can in-line be the new beat? >> thanks for having me on. obviously the last few weeks or couple months we've seen some sluggishness in i.t. demand overall. i think more on the software side we recently published enterprise software which did show significant weakening over the last three months. we are seeing some areas of tech where last night they came in line on the revenue, in-line on bookings. stock is up 5% or 6% because of concerns. i do think it is a little different in the digital advertising space. google expectations have been creeping up, so maybe they do need to contin

piper sandler bringing egg america to neutral.m, expecting net interest income to rise to a stronger level. but next up, wolf research downgrading paramount to underperform on the back of this guidance takeover deal. the analyst saying the investment debate is now simplified to whether the media giant can invest operatively in direct to consumer products. and finally, wells fargo raising its price target on airbnb, maintaining underway rating. the firm highlighting near-term momentum for reservations but it is less optimistic about margin pressures into next year. that's not is just about positive 1/10 of 1%. sticking with travel, the tsa screening more than 3 million people sunday. rounding out the july holiday weekend, if the first time that may passengers have been screened in a single day in the agency's history. eight of the 10th busiest screening days have come this year as travel demand tops pre-pandemic levels. to discuss this in a whole lot more, elaine joins us. let's talk about this. super busy weekend at a time involvi

we had piper stand l r sandler talking about a dip.alking about the market concentration and the gap between the market performance and the equally weighted index has only been this wide in two other cycles. you are saying you would buy the dip. are you worried about the volatility if we see the re rev reversal? >> i expect volatility to be par for the course here, frank, over the traditional choppy august and september before the election, frank. if you look back, the fundamentals are good. the economy is softening, but people are good with their jobs. people are still out in hotels and restaurants. the underpinnings of the economy are good. i think it is premature to be overly bearish. >> you are looking at valuations. you sent us research from your team. according to your research, the mag seven is trading forward valuation. they are trading at 17 times. as we look at that and the s&p 490, which is a much more favorable valuation, where are you seeing the opportunities? are there certain sectors or certain stocks? >> we do see oppor