>> we are 30 minutes into the u.s. trading day. it is tuesday, january 23. earnings season is on. shares of ge and united airlines going in opposite directions after reporting fourth-quarter figures. we will look ahead to who is on deck today, including netflix. the streaming giant reports after the bell but shares are rallying after news broke this morning that netflix has paid $5 billion for the exclusive rights to wwe's raw. we will talk to their present -- president later this hour. we'll get a check on the global

copper markets and the business of mining with robert friedland, founder of ivanhoe mines. i am katie greifeld here in new york. welcome to bloomberg markets. let's start with a check on the index. not much to report. you have the s&p 500, the nasdaq 100 and the stocks little changed at this moment. indexes are coming out of the all-time highs, so maybe a little bit of a breather. you check in on the vix right now, trading with a 13 handle, not much going on and volatility continuing to drain. as we heard from amy wu silverman yesterday, may be the vix is not the best measure of volatility. let's get micro because ge stock is dropping after missing estimates ahead of its breakup coming in early april.

for more on the future of the company, we are joined by brooke sutherland of bloomberg opinion. it feels like a lackluster end to ge's days as a conglomerate. brooke: there is some conservativism baked into these numbers. they had a history of setting bars they could successfully jump over, since they've been turning the company around. the ge stock has taken off like a rocket ship over the past 12 months just own enthusiasm from investors about this finally becoming a much more simplified story and also a cleaner aerospace story. across the aerospace supply chain, you have boeing with its fair share of problems, rtx is a competitor in the engine market. they've had to recall hundreds of gtf engines because of a defect involving powdered metal. ge is a very clean aerospace story. you are seeing some of those different dynamics play out right now. katie: that's a good point on the performance of ge.

it was up 95% in 2023. clearly already a lot of excitement priced in. talk more about the breakup. what does the future look like for the aerospace and energy businesses of the standalone companies? brooke: this is the last piece of what has been a slow breakup over many years. ge has spun off its health care business, it has divested assets ranging from look at motives, water technology. this is sort of the final piece of the puzzle, where ge will separate out its energy assets which includes the gas turbines and also its renewable energy businesses. that will leave an aerospace company that has primarily been an engine manufacturer with some legacy liabilities from the ge capital and that long-term care insurance business that is not -- has not been a source of negative surprises for ge the way it has in the past. katie: i want to get your thoughts on united.

they reported after the bell yesterday, stock is riding high. i thought this was interesting. ceo scott kirby saying he is disappointed in boeing. what did you make of that? brooke: i think it is a striking comment coming from one of boeing's biggest customers. that speaks to the series of challenges that boeing has had. this is not by any means the first manufacturing problem for boeing, nor is it the first time airlines have had to worry about whether or not their planes are going to get delivered on time or whether boeing was going to certify its jet models on the timeline it promised to customers. you can feel the frustration among airlines. it is palpable. what is interesting is to look at what united does. scott kirby talked about the company's order for that max 10 jet. that has not been certified i the faa. it is anyone's best guess when that might happen. yet it is looking -- united is

looking at when. are you looking at airbus jets? the weight is going to be a long while. that makes it a really interesting dynamic of how much market share does airbus stand to gain from boeing's continued challenges? katie: this is the story that keeps on giving for boeing. it is great to check in with you. brooke sutherland with bloomberg opinion. let's get a read on the market with clio capital managing director. an early stage venture capital fund that invests in pre-seed and seed stage tech. it is great to have you with us. i wanted to pick up where we left off with brooke. you like to travel names but you are not exactly picking winners in the airline industry. >> for one, i am not an air's -- i am not an aerospace engineer and that seems like what you need to be to figure out which planes are going to be able to keep flying but i think that the booking platforms, the

conglomerates are super interesting right now. i like booking, expedia. because the costs are all over the place with extreme weather all over the place. you're on a booking app looking for everything from a bus ticket to a hotel room or a rental car. i think they are a great way to play this record travel that we keep seeing without having to decide which airline is going to bear the brunt of some of these issues. katie: let's get specific. i noted that you are talking about kayak, talking about expedia. 2023 was a great year for a lot of those names. expedia up 73% last year alone. how much good news is priced in? similar to what we are seeing with ge today. sarah: i don't think the good news is all priced in. when you look at those ratios, they are not insane. these are legacy tech companies that have been a good job of buying up a lot of new things. booking owns opentable.

as we have seen these returns to going out more and whether it is business or pleasure, we are really seeing that across that conglomerate, i like there is not a single bet, cruises would've had a huge year last year, or hotels or it will be any one thing. it is sort of a play on the sector, which is do you think people are traveling again and the data shows the answer is very much a yes. katie: let's stick with this valuation conversation and stick it out. it is striking that you take a look at the s&p 500, at record highs right now. back to january 2022, the last time we were at these levels, 10 year treasury yields were around 1.7%. right now they are above 4%. clearly it feels like the public markets have worked through that higher rate reality. has it been absorbed in the private markets yet?

sarah: the private markets are always behind. this is going to be a big year to tell. 2021 was such an unprecedented year in terms of how much money went into the private markets. a lot of these companies when they saw the interest rates go down and started getting calls from investors, they cut, they cut part of the teams, they cut the burn. a lot of these companies are sitting on tens of millions of dollars of cash, hundreds of millions in some cases and because the yields are so high in money market funds, a lot of them are able to virtually fund their companies off of that interest without really touching the principal while they figure out how do we get profitable in this new environment that wants us to actually make money and not just -- some of that reckoning will start to come in the coming year because people have not been -- because people have been raising for so long but people have been smart about cash flow so they can kick the can a little bit. katie: does not imply -- apply

to the transition from public to private? does that mean some of these names don't necessarily need to tap the ipo market? sarah: that is a different question because you end up talking about the liquidity piece. employees and companies, they have been sitting on that equity for up to a decade in many cases. they maybe participated in a tender offer, sold a little bit in the secondary, same with the big investors and the early-stage angel investors. there is a want and a need for liquidity it is different from the day-to-day cash flow needs of businesses. some of them might ipo. the m&a window feels like it has been pretty much nailed shut, as we see one acquisition after another that spiked by various regulators. i think we will see more companies like reddit, maybe it is time to go test the markets and go public. katie: i'm not going to ask you when ipo's come back.

that feels like too easy of a question. i'm going to put a spin on it. think about life in the public markets. we've seen companies go public and they have all kind of floundered, traded sideways since their debut. do you think that is giving some of those would be ipo candidates a little bit of pause? sarah: it is tough because those 2021 valuations were so high that these companies could be doing incredibly well on the numbers but they are trading price is not necessarily great compared to their ipo price, especially compared to their last round of private funding, just because it is hard to live up to a valuation that was probably a little bit ridiculous in the first place. katie: before we let you go, i want to get your thoughts on netflix. a lot of news around that name this morning. they do report after the bell. we won't see that reflected in the numbers we are going to get tonight. how are you thinking about this tko deal in the context of

netflix and their future? sarah: as always it is somehow a great day to be a vince mick -- a great day to be vince mcmahon. this is a great deal for tko. it'll be interesting to see if this pulls in a new subscriber base. it is certainly cheaper than paper view. or, are they already sort of serving those customers and it does not really move the needle? i'm really interested to see this but in general, netflix has been around for almost 22 years now. they keep innovating and figuring it out. they are certainly not down for the count and this is going to be an interesting evolution. katie: certainly a fun earnings call to listen to. great to catch up with you, sarah kunst, cleo capital managing director. let's take a look at what is moving markets, what stocks we should be paying attention to. emily were failed is sitting right next to me. emily: let's start with tko.

really going to have to watch and see what happens with this deal with netflix. that stock is up 23% right now, the biggest jump in over two weeks. like you said at the top, as part of this deal, netflix is paying $5 billion over the course of the 10 year deal. that is more than a 30% increase than what tko currently gets for the wwe raw program. do you watch this program? i've been learning a lot about wrestling. katie: i'm going to watch all available three hours per week. that is my resolution. it is interesting that you have tko popping. netflix initially start of the day higher but now it is coming back to earth as people think about that price tag. tko, who else? emily: i'm also looking at verizon, staying in the telecom realm. they reported mostly positive earnings and they've added more retail customers than any quarter since 2021.

they had been losing customers for the last two years as at&t and t-mobile had been competing. last year, verizon added a new head of their consumer division with a goal to add one million new customers in the year. right now they have added 318,000, so they are on track that one million. -- on track to that one million. katie: coming off four consecutive years of losses. who else is on your list? emily: 3m. down nearly 10%. there earnings forecast missed estimates. the quarter was ok but now they see a cautious full year outlook, sales and profit not looking as much as wall street wanted. the manufacturing sector has kind of suffered. they decided to slow down in china growth as well. katie: ending on a down note. this was fun. thank you so much emily. coming up, blockbuster subscriber growth expected for

netflix as they kick off big tech earnings. we will have the details next. this is bloomberg. ♪

katie: netflix will kick off big tech earnings after the bell today and of course the stock is up as analysts predict bumpers of subscriber growth for the streamer. let's bring in -- i want to start with the news of this morning. neff looks agreeing to pay $5 billion over the course of 10 years for exclusive rights to raw as well as other content for wwe. that seems like big news for wwe and tko. what do you make of the price tag? >> it is definitely a hefty price tag. if you look at what netflix needs to do, they have these two initiatives that they kind of rolled out over the past few months which is the new advertising tear as well as password sharing crackdowns. that has resulted in pretty good subscriber growth will stop ethic investors are going to be looking at, what is next for netflix? what is on the horizon?

what is there to get excited about and this deal kind of really speaks to that. if they want to scale their advertising business, they said they have about 23 million active users but again they need to get it to scale, they need to get to 200 million, that is the number we kind of want and that is the number they need to sell to advertisers and for that, you need live content, you need sports content, very similar to what raw will offer them. it has this hard-core fan base as well. katie: when we continue to gaze out over that horizon, talk to us about the promises -- the promise of live events. this is netflix's first big move into live events. is that the area they should be pursuing? geetha: they look at different things. the one area they were looking at was gaming. we saw them kind of dabble a little bit and go after a few in the studios. i don't think that -- indie

studios. you don't necessarily think of netflix as the destination for gaming netflix is the destination for looking for something to watch on television. they know they have that built in base of 215 million subscribers across the world. this really is about adding new content, picking appointment television where you promise advertisers or guarantee them a certain number of fixed audiences that will kind of come in and tune into a particular program. for raw, there's about 1.5 million to 2 million hard-core viewers. that is something netflix can really capitalize on as they look to make more investments across the space. katie: not to get too dramatic but it feels like live sports are kind of the last hope for traditional tv. however recent is this for cable networks -- how worrisome is this for cable networks? geetha: it definitely is worrisome.

we have seen more and more tech giants go after events for their streaming platforms. peacock having one of those nfl wildcard games, which attracted over 23 million viewers, a pretty good number. amazon playing with thursday night football. youtube with nfl sunday. it is going over the top, no doubt about it. having said that, we are still seeing pretty good ratings across the linear tv landscape for nfl programming and sports programming in general. it is definitely a worrisome trend because as more content travels to streaming platforms, the value of that tv bundle gets diluted. katie: geetha, always appreciate your instant analysis in this case. geetha ranganathan of bloomberg intelligence. much more ahead. this is bloomberg. ♪

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katie: time now for social climbers, and look at the stocks making waves on social media. first up we have united airlines. the carrier beating earnings and revenue expectations in the fourth quarter and providing a stronger-than-expected outlook. next up, 3m, the manufacturing giant forecasting 2020 profits and sales growth below wall street expectations -- wall street estimates. finally we have dr gorton reporting weaker than expected quarterly orders. the company remaining optimistic as the spring home selling season approaches. superhigh mortgage rates are still a problem. you can follow all the latest company buzz on trengo on your bloomberg terminal. let's get back to netflix's deal

to acquire exclusive rights to raw and other programming from world wrestling entertainment. we are joined by ed ludlow. this is an interesting move for netflix and a good move it seems like for wwe and tko. ed: it seems like a good deal for tko. from the netflix perspective, it is their first proper foray into regular long-term live programming. sources telling us that the deal, $5 billion over 10 years. it also gives wwe this distribution globally. the exclusivity that netflix has is on raw live, raw being argued be the more popular of the two franchises or brands, but e x-usa, exclusive distribution for live content and paper view.

that's a lot of eyeballs around the world and i think geetha told you, there is a core loyal following -- loyal core following for raw and smack down. katie: try to capture and add another avenue of growth. i'm interested from the tko perspective, why go with a streamer? is that a bet on where the future eyeballs will be? ed: when they did the smack down deal with nbc universal. there are two franchises. different rosters of talent, different times and slightly different audiences. when that deal was done with universal, tko shares were negative in the sense that they didn't get as much money for it as they thought. raw is the more popular brand and that is the mainstay of this deal. the question is, if you are an existing netflix user and you've never watched wrestling before or at least wwe wrestling, are

you inclined to tune in? that is the bet tko is making. let's go back to the financial terms. tko is getting a big chunk of change for it. it seems like a risk that may payoff. katie: as someone who has netflix but does not watch wrestling, maybe i will do some anecdotal reporting. in 45 seconds or so, is this the future for netflix live events? ed: they dip their toe -- dipped their toe with comedy and golf. wrestling is not a universal sport, globally, so it is a testing field. executives have been inconsistent about how they talked about the future of live events on their platform. think of wwe as entertainment more than sport. that is a conversation we should have with the companies going forward. katie: we are going to be looking forward to that conversation pretty soon. stick with us. ed ludlow of bloomberg technology. take a look at these shares

right now, how they are trading on the heels of this news. netflix currently, about half a percent higher. totally different story. look at tko, up about 18%. obviously a bright future there. we welcome now our tv audience and our radio listeners for more on netflix's deal to acquire exclusive rights to raw and other programming from wwe. i am pleased to say we are joined by wwe president nick khan and still with us is cohost ed ludlow. take it away. ed: nick, thank you for your time and welcome to the program. let's start with this cultural audience question. the deal focuses on raw. the value of the deal, we are reporting $5 billion over 10 years, but there might be an audience out there, like the most loyal smack down fan that says i would love to be watching wwe smack down on streaming

platforms as well. nick: and understood. we are pleased with the deal and would love the fact that netflix was a link to take a bet on us. they said previously that they were not into sports rights. the good thing about wwe is it is sports entertainment. we are an entertainment property is much as we are a sports property. 52 weeks a year, live, consistent programming. an audience that is quite global. if you look at india, we are the second most popular sport in india. in the united kingdom, we are the fourth most popular sport. this deal will take effect in the u.k.. it allows us to gain a greater global footprint as we look to expand the business. katie: i want to talk more about the decision to go with netflix, go with a streamer versus staying with a comcast for example. did this come down to numbers where you were going to get the

better deal or is this in effect a bet on where the future eyeballs are going to be? nick: if we continue to love nbcu, we have smack down premiering on usa, we have premier live events like wrestlemania on peacock exclusively in the united states. they have been tremendous. with raw, it was another test of someone new in the space, obviously an established streaming entity, the streaming entity. it was a good bet by us and we think a good bet by them. ed: there are two sides to it from 2025, the regularity of tuning into raw and then there are the paper view events and specials throughout the year. if you think about showtime, the distributor got 30% from a revenue split perspective. my understanding is that if you are netflix user, there is no additional cost for wrestlemania or those set piece events. are you able to clarify that if

you are not enough lick subscriber, you do just pay a normal paper view charge and how will you and netflix split those revenues globally, because a lot of this is ex-us, right? nick: you are one hunter percent correct. there is no up charge for wrestlemania or any of the other premium events on netflix. the 30% you talk about, the traditional paper view model, wwe was the first mover to get out of that space in 2014 when we started wwe network, which brought wwe direct to consumer on our own platform. from there, we licensed that content peacock. that was when the streaming wars began. we realized a company of our size, as great as we like to believe we are, we are not going to compete technologically with amazon and netflix, nbcu. it made sense to start it in 2014 to get rid of that excessive charge, that in demand

and dish and direct were charging and to bring the cost down for our consumer. we think netflix furthers that. katie: let's talk about ad pricing. does this give you better ad pricing? nick: we think so. you have seen what amazon has been able to do on their ad supported tear. netflix is going to have great support -- great success in that space. wwe, three hours a week on raw allows netflix to monetize this deal in the advertising space in a way that has not been seen before. ed: raw has this super loyal and sizable audience. it must be a part of this deal where like ok, we need to think about the future of growing a new on -- a new audience. i wonder if there are any terms in the deal when netflix goes away and produces a behind the scenes documentary exclusive to netflix that introduces wwe to that new audience. think about, like drive to survive with formula one and the

success that had bringing a new sport -- bringing a sport to a new audience. nick: it would be a mistake by us to not do that with netflix. assume that what you said is exactly what we are all thinking, we being netflix and wwe. you saw what drive to survive did for formula one. we think the wwe audience are already big on a global level and only gets bigger with a show like that. katie: potentially a lot to look forward to. it sounds like wwe and netflix are going to work on things outside of raw but it is not just about this one program. nick: keep in mind at wwe, we have a whole treasure trove of intellectual property that is largely untouched. if you look at what disney has done, certainly that was through acquisition. with marble, with lucasfilm. look at warner bros., discovery when they acquired d.c. you now have this treasure trove at netflix that is available to produce. things like the undertaker, characters that have been

created over time, we're looking forward to getting into all of that with netflix as well. ed: a fantastic question that our producer has is about tech and infrastructure. this deal does not kick in until january 2025. is that because netflix needs time to know they can support a livestream of that scale weekly? nick: not at all. it timed out budget wise to start in january. wwe, with the wwe network i referenced from 2014, we are turnkey programming. everyone at netflix knows how to distribute it and make sure it goes around the world live. we also know how to do it. the partnership even on that level, we think it is going to be a great thing. ed: how many new eyeballs will you get in 2025 that you don't have already? nick: against the college football playoff, the two semifinals game on a monday night a couple weeks ago, you're

talking about michigan-alabama. we did a .6 in the demo with millions of the overall rating. stiff competition. we think with the netflix reach, it is millions and millions around the globe. katie: our big thanks to nick khan, wwe president and bloomberg technology cohost, ed ludlow. let's switch gears because of course metals remain under pressure despite production cuts from companies in this space and for more on insight into the challenges in the metal market in 2024, we are pleased to be joined by robert friedland, ivanhoe mines cochairman. let's talk about copper. we are around $83,000 or so. we know we have seen plenty of supply shocks in this market and it feels like the price has barely budged. does this come down to a demand story?

robert: goldman sachs published today calling for over $9,000 in copper this year -- 9000 tons of copper this year. i be willing to waive -- wager on $9,500 per ton. the physical market is very tight and now in deficit. with the fed likely to cut rates, the dollar-denominated price of copper is likely to go up by the middle of the year. katie: let's talk about china because i don't need to tell you that a lot of the bearish cases for copper come back to sluggish chinese demand. how does that factor into your bullish view? robert: it's not true. china consumed more copper last year than the year before. chinese demand is still very strong. everyone knows about the week real estate market in china, probably 25% of their economy. but military demand, national security demand, demand for militarization is very high. physical offtake is very strong

and inventories are extremely low. this is like a powder keg ready to explode, as soon as the fed cuts rates in the second half. katie: so a red herring on chinese demand. robert: forget about chinese demand. india is growing, europe is growing. the demand for esg remains very strong. katie: i'm going to forget about it for a couple of minutes. let's talk about $15,000. you made waves by saying we need a copper price of $15,000 a ton to stimulate and sustain new investment in copper mines. copper is at almost half of that price today. what is the road to $15,000? what needs to happen? robert: we've seen metals go crazy when you need them. if someone is pointing a gun at you, you need that copper to shoot back. we see massive military demand. europe is rearming, japan is

rearming, taiwan wants to turn into a porcupine. the unit military is worried about a shortage of 155mm howitzer shells. in the meantime, we have a huge amount of humanity that wants to green the world economy, building electric cars, windmills. everything you touch requires copper metal, including this wonderful studio where we are sitting. katie: i have to say i hope i never need copper that badly, but let's assume that we say -- stay around these levels. what would that mean for the legacy minds in business right now -- legacy mines in business right now? robert: the legacy mines are dying. they are degrading. it is difficult to bring a copper mine into production. usually it takes 20 years or so for a tier one mind to be discovered, constructed.

we've had such a long period of time when all of the money in the world went to your previous guests like netflix or broadband or wireless, really sexy disruptive technology. we didn't put money into mining, basic raw materials. this is the revenge of the old economy. suddenly we have a shortage of these metals. it is inevitable that the price will rise. only a question of when. katie: let's talk more about those legacy mines. what sort of timeline does that play out over? robert: the largest historical production in chile has watched production go down down down 10 years in a row. it takes large amounts of eligible energy. a huge amount of global warming. what is the point of mining copper to green the world economy if we have to destroy the environment to find that copper? the problem is there aren't many places where you can build a

green new copper mine to put into your tesla or microwave or washing machine. katie: the thinking is that as we think about that backdrop, that mines are going to increasingly need to be developed in tough jurisdictions, you do have a successful track record, you think about mongolia, the democratic republic of congo. how does that differ, building a mine versus australia or the united states? robert: australia and the unit states are very difficult to restrictions. you take the pebble project of the united states, it has been legislated out of existence by the u.s. government. the resolution project in arizona has been delayed 30 years, and a permanent dispute with the apache nation. any -- even in developed societies, it is very difficult to build a mine. we go around the planet will receive the best ore and the best opportunity to produce metal in the greenest possible

way. 99% of electricity in the democratic republic of the congo is hydroelectric electricity which allows us to produce the metal with the lowest amount of global warming gas per unit of copper produced. soon we will have differential pricing in metals. the green or the production, the more the premium. and the dirtier the premium, the greater the discount. apex technologies is starting such a project in singapore. katie: let's talk more about your project in congo because that produced almost 400,000 tons of copper in 2023. you are also still expanding the mine as well. how big could it get? robert: we are scheduled to be the third-largest copper complex in the world in 2025 and we have our sights set for sure on number two with new discoveries. god willing, it is possible to be number one. there is an enormous endowment of copper metal.

the congo was the world's largest historical producer of copper until the low-grade copper mines of chile were built in the 1960's. the congo is now the second largest producer after chile. this is something new. we think the congo has the potential in mineral production to be number one, especially since the united states government has sponsored -- to connect the copper fields of the congo directly with the ocean through angola. that corridor, which the biden administration has backed with g-7 nations is going to improve the ability to produce copper cheaply and in a greenway for the democratic republic of the congo. katie: we hope to check in with you soon. that is robert friedland ivanhoe of mines -- robert friedland of ivanhoe mines. abigail: we are seeing the possibility that the s&p 500 will not be climbing.

you had a solid rally from the s&p 500, up three days in a row. we have that index fluctuating. nonetheless that fluctuation, you can see we are still pretty green relative to the overall time period. as for what is happening beneath the surface, we have a lot of big winners to take a look at, relative to earnings. rtx is up 7%. they beat estimates, solidly above what the street was looking for. united airlines off of their highs but on a of 5%. they beat profits by about 20%. investors cheering that especially after delta a couple weeks ago shaved their profit view and away way the investors did not like. verizon up 5.9%. modest beats but they added the most mobile cup -- customers in years. estee lauder, not sure why this one is up. it is the fourth best stock for the s&p 500. they report in two weeks.

32% or so of the revenue comes from china and of course there was a bloomberg exclusive recently, the idea that china may be considering putting in stimulus as a result. the nasdaq golden dragon index having their best day since july of 2023, up more than 5%. that rescue package if it happens could be as much as $278 billion. china tech stock investors cheering that for sure. katie: we will see if it comes to fruition. abigail doolittle, thank you so much. coming up, johnson & johnson's fourth-quarter sales and earnings beat estimates. we will speak with joe walker, johnson & johnson cfo. that is next.

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katie: time now for our daily wall street week. david westin, taking a look at j&j shares. they are falling after pharma sales will be lower in the second half of the year. david: great to be with you. we are joined now by the chief financial officer of johnson & johnson, joe wolk. thank you for joining us. you did do a bit better than what people expected you would do going backwards. there is some guidance going forward. give us your sense. what do these numbers tell us about where johnson & johnson is and where it is headed? joe: sure, great to be with you today. johnson & johnson had a tremendous year in 2023 and it was capped off by a strong fourth-quarter. whether you are looking at medicine or pharmaceutical group, or meditech, with 9%

growth in each of those segments in the fourth quarter, really capped off a prolific year and we solidified our foundation. as a look forward to 2024, that positions us very well. we had the opportunity to deploy capital not only with an acquisition of a heart pump manufacturer, 13 months ago for $17 billion. throughout the course of 2023, we deployed or announced capital commitments for another $3 billion, for more than 50 licensing deals for smaller acquisitions. those typically are not headlines when we signed them, but they often become headlines for patients when we launch products. we fortified our pipeline, surpassed all expectations we had this time last year and we feel very comfortable with the guidance we have provided for 2024. i know there was a bit of in

fern meant -- in ferment -- that is not a surprise to us. that is a loss of exclusivity for our product still lara but we are so well-positioned with our pipeline of products across oncology, immunology and neuroscience to position, not only to digest it but grow through the loss of that project -- of that product. david: you are going to have to replace that in the pipeline. can you do that without buying some other company? joe: we certainly can. we had the chance to speak with investors in december at the new york stock exchange with our analyst day and what we highlighted to them was 10 assets within our portfolio that have the opportunity and the potential to be more than $5 billion in peak year sales. that doesn't only bode well for the short term of 2024 and 2025

as we digest stellara, we also shouldn't overlook the fact that our meditech performance as quite frankly been stellar. 9% growth in the fourth quarter. we've been on a cadence of annual improvement in terms of the growth out of that segment. we are now playing in the upper echelon of our peers. we feel very confident about not just what lies ahead but the long-term. david: help those of us who are not scientists understand what your clinical trials are doing right now as you develop new drugs to replace the 10 losing. which are the ones you think hold the greatest promise? both in probability of success and magnitude. joe: the ones we identified cover a number of areas such as bladder cancer. that has a nice feature in that it is not only a therapeutic but it is also a pretzel like device that sits on the tumor, which minimizes side effects that are

typically with cancer treatment. we are also in lung cancer. we have a heterogeneous disease, you need therapeutics for all levels of the disease. we have a strong player -- we are very well-positioned on that front. i would say we have about five readouts this year of phase 3 data, some of that will be in the immunology space for colitis and crohn's disease. we also have a targeted oral peptide which holds the promise, should it be successful, of biological efficacy but in the convenience of a pill. there are a number of elements we are in right now that i think position us very well and usually when we speak about them at j&j, we think -- we feel very confident about the science.

we are very bullish on all of these assets. david: are you going -- do you have a dog in the hunt of weight loss, cashing in on what some of your competitors really have done extraordinarily well with? joe: that is a testament to the industry, how we continue to come up with innovative medicines to address serious unmet medical need. johnson & johnson does not currently have a play in obesity. we focus on areas like oncology, neuroscience, immunology, areas where we have deep scientific expertise, clinical insight. i would never say never, but right now that is not one of our focus areas but the good news is there are probably upwards of eight to 10 companies currently in that space so we can probably expect to see improvements. david: ai, generative ai is all the talk. is that going to help you in meditech? joe: it is funny. we have about 2000 to 3000 data

scientists within our employee workforce today. it is helping meditech, as our very distinguished chief technology officer says, it is more of a productivity play. we are getting better predictive analytics that are helping with surgeries as you can have prototypes as to what a patient, how they may interact with certain surgical procedures. there is promise with insights about clinical data and how we can develop outcomes that are much more insightful than what a human can grasp. potentially going through reams of data, millions of algorithms to find a biomarker or certain string of assets that may work specifically well. katie: our thanks to joe wolk, johnson & johnson cfo and wall street week host david westin. tune in on friday. bob rubin joins david to talk about the country's fiscal future. this is bloomberg. ♪

katie: let's take a look at some of the stocks hitting highs and lows. on the high side we have a pharmaceutical company hitting a 52 week high. barclays maintaining their overweight in raising the price tag to $175. a commie technology raising their price target on the company. allstate was there. the insurance giant also high but treading water. bloomberg intelligence out today saying the company's low catastrophe losses could fuel a strong r.o.e.. on the bad news side, you have swatch hitting and 52 week low after they failed to hit the sales record predicted by its ceo.

those are your highs and lows. let's take a look at what is coming up. coming up next, joining bloomberg technology with ed ludlow. this is bloomberg. ♪

>> from the heart of where innovation, money and power collide in silicon valley and beyond, this is bloomberg technology with caroline hyde and ed ludlow. ed: i'm ed ludlow in san francisco. caroline hyde is off today. netflix makes a big push into live events the $5 million deal for wwe raw. we stick with