street, looking for 52 cents. i think they will beat the street, pretty incredible earnings. that stock is up 12% this year compared to amec and texas instruments. >> thank you. that will do it for "power lunch," sue. >> "street signs" begins right now. tie and i will see sue tomorrow. welcome to "street signs," everybody. it might just be the heat. everybody sure seems fired up today. john and jerry says if congress will not do their work on the fiscal cliff, let us not pay them. would that get their attention? we will debate that. also, yahoo! becoming the third major tech company to hire a female ceo. why is this sector leading the way for breaking the board room glass ceiling. we tackled a delicate question, can women have it all? a great career and family?

a debate rage iing today. forget toys in the attic, is it time for toys in your portfolio? we wil present the hazmat trade. >> lots of things coming up. wall street doing the ben bernanke back and forth today where stocks started higher and sold off on the bernanke testimony and they regained lost ground and more. the dow up only for the second time in nine sessions. the s&p 500 gaining for only the second time in nine days. amazingly enough, it has wiped out its july loss with the rally. continuing a recent trend, a non-text stock is leading it. toy makers jump 10%. we will talk more about the toy trade later on in the show. we have courtney reagan and bob pisani at the nyc. i want to talk to you. we saw the negative reaction to

ben bernanke's testimony and what exactly is it he said traders are latching on to to ush the mark higher. >> the market believes the fed will act but maybe not at the july meeting but in september. as he went on, he made it clear about his concerns, likely below 2% gdp in the second half of the year. not a very good sign. you look at the dow, there's the initial reaction when we just got the headlines without any qe-3 and indicated things will happen. we're at the highs today. nice turnaround. we see two groups, financial stocks led the way quickly, turned around almost immediately. you're getting reach for yield, emphasizing the telecom stocks and health care stocks like pfizer and merck and real estate investment trust, those companies continuing to lead the market forward. look at those high yielding stocks today. >> bob, thank you very much. >> we've heard ben bernanke's

semi- annu semiannual monetary testimony. there is a lot of talk on the hill, as usual. as usual for us, we're cutting through the crud and bringing you the key break aways. we have steve liesman, that would be to you, let's cut through that. there's a lot of stuff we have heard before. anything new and pran? >> when it comes to the fed chairman, the forecast is the message. he doesn't have to say qe-3. he emphasized the weakness in the company. he said the fed is ready to act if the economy were to weaken further. those were the two essential items. everybody was sitting the there -- there it is -- suggested a down grade. bob mipisani responded on that. in the libor thing, they acted on the scandal. my read is he failed to satisfy all the senators on libor. if he will down grade the

economy, some action is there. >> today we have the industrial outlook that actually expands. >> not that bad, housing not that bad. you get the inflation report, you get the real average weekly earnings, up 0.5%. why? no inflation eroded it. >> i want to bring you in here. if the fed wants to act, would you argue they do it sooner than later. if they do it september, some argue that's close to the political election. >> i don't think they should act at all. the real problem the federal reserve complains about the uncertainty caused by the fiscal cliff but they themselves are crea creating tremendous uncertainty by not laying out a path to get back to normal interest rates. the fed and ben bernanke talked twice how lending conditions are so tight. everybody lending conditions are so tight because long term interest rates are so low, it doesn't pay somebody to loan money at these rates n. the problem is the federal reserve is trying to use a medicine that

doesn't work. they may get some relief. it wouldn't help. >> david, bunker go. i tweeted out this morning. -- bingo. ben bernanke could have written out anything but it doesn't matter fingerspell the fiscal cliff is not fisk, it would dominate anything the fed could do. congress the fed is powerless if congress doesn't fix this? >> congress will fix this. it's an estimate of braveness. no congress person wants to go back to their district after the first paycheck in january as the paycheck sits in tatters after the tax increases. we will get past the fiscal cliff. this is where i do agree with bernanke. we need a path laid out, what

the debt to gdp ratio is in 2014 and 2015. spending cuts, tax increases. if they can agree with a path on the deficit, that would help with the problems. >> i can't agree with you more on what ails the economy. when you look at what's going on in terms of the economy and lending, are you telling me the economy would benefit or benefit today if the fed chairman got on the hill and said, here's how we're going to get back to higher interest rates. >> yes. >> are you saying your bank would make more loans right now if in fact it charged a higher rate, had a worst spread or higher rate with the same spread because more borrowers able to stomach higher rates. david, i don't see it at all. >> let's talk about this. these very low rates are starving consumers of income. because the fed says --

>> they're starving consumers net lenders. >> the household sector is by far a net lender overall. there's far more household interest income than interest expense. anybody who could refinance has refinanced. you're starving the household certificate of income and most important not giving anybody a sense of urgency. it's a tremendously good time to buy a house. the fed says, take your time, finish your breakfast, you don't have to worry about it until 2014 or 2015. >> to mandy's point, anything they did, lowered, twisted anything will be viewed in a political prism, they will get slaughtered for it. >> so what? they have to do the right thing. i think the fed tries to do the right thing and avoid political politics. it's not pushing on a string, actually restraining the economy. let me put it this way. right now, long term mortgage

rates are 3.5% n. the federal reserve itself expects the federal funds rate to be 4 1/4. why would you fund a 3.5% mortgage knowing in the long run you will be paying more to fund the mortgage than the mortgage is going to pay you. this is one of the reasons credit conditions are so tight. if you have a steeper yield curve, banks make more money off loans. nobody wants wants to make more money. if you do that, you encourage lending and that is increasing uncertainty and the economy. >> do you agree or disagree, i know a lot of things you disagree with david. fiscal and monetary policymakers are at a point they are incapable of growing the economy. maybe all they can do is let it grow. actively can they grow? >> i quivel with even our question. i don't think any of this stuff grows the economy. i think the private sector grows the economy. what all this stuff does is keep

the economy from getting worse. i think there's a lot of cash on the sidelines and a lot of reasons why it's not coming in. i don't think a lack of steepness in the yield curve is a primary reason banks aren't lending. i think the private mortgage market blew up and never been put back together. there may be regulatory reasons why that's not happening and risk reasons. i can't imagine a world where higher interest rates would spur borrowing or economic growth. maybe that's a failure of my imagination. >> david, i want to end it with this. today, it was said by john and jerry, said congress should not get paid until they fix the fiscal cliff issue. would that work? >> no, of course it wouldn't work. what we need is a serious conversation here. you think how much it costs to get elected to congress. do you think they're doing it for the money? of course not. they don't care about a paycheck here or there. that's not the issue to them.

there are other more serious issues. what we need to do is get more serious conversation how speedily do you bring the deficit down. if you bring it down about 6 1/2% gdp next year, if you lay out a path, that would do a tremendous amount of good to clear clouds of uncertainty holding back economic growth. >> i agree. good luck telling people they won't get more on medicare and medicaid. that's for a different discussion. >> maybe they should be penalized, instead of taking away their pay, maybe have penalties if they don't get the fiscal cliff situation resolved. >> we want a serious conversation and unfortunately we're stuck with xm. >> we never seem to have a serious conversation, do we? >> i'll try to stay serious. yesterday, jb hunt reported light revenues. hub group gets a down grade from

suntrust. a lot of that has to do with weakness in volume trends and in ter modal as well. both to the down side. talk about slowdowns, this is a key indicator in transportation. to nasdaq, more four letter ticker symbols. >> the nasdaq composite is higher up about a half percent. shares of young going the opposite direction. we are lower as perhaps some of that marissa mayer shine is coming off that tech name. neither current or interim ceo ross levinson be on the call or marissa mayer, ceo. facebook down another 3%. capstone investments a little worried about the u.s. and europe user base there. that's pulling down shares of zynga. we're down more than 7.3% there. remember, those two are

inextricably linked when it comes to revenue sharing. look at shares of vivus. we're still waiting on the decision of the antiobesity drug. we were up and now down again for shares of vivus. >> up next, from the big picture to small caps. why our two fund managers have snack food and casual dining on their menus. it is marissa's first day on the job. the most talked about topic seems to be how she will handle being a ceo and first time mom and how to turn the company around and the debate and topic and whether we should be having that debate. i'm consolidating. i'm not paying hidden fees or high commissions. i'm making the most of my money. and seven-dollar trades are just the start. i'm with scottrade. i'm with scottrade. i'm with scottrade. and i'm loving every minute of it. [ rodger riney ] at scottrade,

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as you well know, we always look at the dow in the big blue chip stocks but the small caps are quietly outperforming the dow year-to-date. >> where are the big opportunities in small caps. we have the hodges small cap fund and beth lily, former portfolio manager of a small cap fund. beth, we talk about europe and china slowing down and the fiscal cliff. let's focus on the third one. the other two aren't exposed necessarily to small caps. the third one most certainly is. as a fund manager, how worried are you about the pending fiscal

cliff? >> it's interesting. i'm not that worried. a lot of it is discounted in the market. a lot of people have been anticipating the fiscal cliff. everybody knows it's coming. i don't think it really makes a difference who's elected president of the united states come november. i'm not that worried about it. people know it's coming and they're adjusting their business plans accordingly. >> beth, what stocks do you think are out there that can put aside all that noise anyway? >> sure. we look to identify companies that have interesting things going on internally in their businesses that can outperform irregardless what the economy is doing. my picks are -- have to do with pretzels and snack foods, catheters and armored cars. my first pick would be rochester medical, a catheter company in arizona. jim conway and his family

started the company 10 years ago and he and his family own over 10% of the company. they're in intermittent catheters and acute care catheters. acute care is when you go to the hospital and need a catheter inserted. they have the only fda approved catheter on the market proven to prevent infection and taking from cr barr rrkcrbard, the 800 gorilla. you go home and need to use catheters, there's a new medicare law that says you can be reimbursed for 200 catheters per month instead of four. they're benefitting from those trends. >> i want to make the uncomfortable transition from catheters to cracker barrel, one of the stocks you like. fiscal cliff, do you think people will go out to eat, if their taxes go up this much, if they're worried. you sound like you don't think they're worried vis-a-vis their

stock picks. >> if we get to the situation we got to last august there was a budget crisis and it actually did start affecting a lot of stocks we were in contact with. management teams said it did slow down. if we get there, that could be a factor. with cracker barrel, what they're benefitting from mostly the lower oil prices people are paying. a lot of their stores are on interstate highways. with increased travel because of lower oil prices, you're seeing an uptick in their business. cracker barrel is a well run company. the interesting thing about cracker barrel, since '98, they've bought about 63% of their stock. you will have pretty big upside numbers in earnings coming forward. they're benefitting from lower oil prices, plus the consumer is still staying strong, we feel like. like i said, the lower oil prices are helping. >> indeed. this fact about lower oil prices is moving through a lot of your investing themes with retail restaurants and transports.

my question to you, how much longer do you think we will enjoy that lower price of oil? >> i think it will stay in a range between 85 and 95. the interesting thing, most industries have prepared for a $100 a barrel world so anything below that is a bonus. some other areas, cinemarc, we're seeing a really boom in this cinema business, a bunch of real good titles coming out. they have 65% of theaters here but 35% in latin america going through a real growth phase. the movie business there is like ours in '50s and '60s, a brand new industry. that's another area that should benefit from the consumer and lower oil prices. plus the heat is driving people to the theaters in record numbers. >> beth, quick question to you, how's the economy in indianapolis doing? we like to get -- in minneapolis

doing? we like to get the local view? >> it's okay. i would say it's reflective of other parts of the united states. things are better here than on the two coasts. unemployment is probably a little bit lower here than east coast or west coast. it's spotty. parts of the economy strong and parts of the economy not so strong. >> have a beer and do lawn blowing on britz. great bar. craig hodges. >> we will be talking about imax later on in the day. tomorrow is a big day for the cnbc family. in conjunction with institutional investor, cnbc will be delivering you some serious alpha. it is an exclusive high powered conference featuring treasury director tim geithner and former treasury secretary hank paulson and some of the smartest minds like kate kelly to tell us what

we can expect. >> smartest mind. >> can we get in? >> do you have to work here? >> it's serious alpha. >> intense big week alpha. >> you better deliver. >> will try. as someone who covers hedge funds i'm very excited including newcomers whooz voice aren't usually heard. richard perry of perry capital and andrew feldstein, the ceo of blue mountain capital. it was in the news last month for helping jpmorgan unwind trees that had run amuck. liquid positions in a credit called the london whale. they haven't talked about it politically but he will be sharing his best investment ideas at the conference tomorrow and we'll see if any include correspondent risk. and leon cooper man who scored

bullishly last september at the last conference but also four out of his five stock picks. if my conversation with cooperman are any gauge, he'll stick with the bullish tone but recommend going forward. >> shortly after ben bernanke speaks to congress, we'll have a debate whether he's doing the right thing amid this period of super low interest rates. and morgan stanley investment president greg fleming and marathon's bruce richards weighing in. there are split opinions but we may see sparks flying n. >> that sparks good debate as well. >> absolutely. i'm moderating a panel on commodities in the afternoon. >> a super bowl on crude who think it's going to 200 ukbucks barrel and others less bullish. >> this year's catch phrase is uncertainty. this year is definitely

uncertainty. >> that's why it's so fascinating and fun to see somebody like cooperman, these are the five funds i like, put your money there and see how well it plays out. it did quite well in his case. up next from snack food to cracker barrel to pizza after the break. mattel shares hitting new highs today. they're doing it because barbie is doing a little downsizing. [ male announcer ] summer is here. and so too is the summer event. now get an incredible offer on the powerful c250 sport sedan. but hurry before this opportunity...disappears. the mercedes-benz summer event

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welcome back to "street signs." i'm brian shactman. revenue, profit way down. why is the stock up? there's new products coming to market and carl icahn is still circling, so still positive sentiment. double disaster. herb, shopping for a new bed, my friend? >> always shopping for a new bed. >> wearing yours out, huh? >> mattress making for a hard lining after slicing in its second year full sales outlooks. part of the problem is promotions by bed makers, most notably temp er pedic. it was a surprise to many

analysts. look at this education and technology, a chinese education company, it is getting killed after it disclosed slower revenue growth. in an valuatiinvestigation into accounting. this is the second chinese stock to blow up in two weeks. last week it was ambo education. have a quadruple dose of sunshine. mom "mamma mia!" look at papa johns pizza chain n. the stock is up about 34% since the start of this year. that's a lot of pizza. >> certainly is. up next, more and more women are crashing through the glass ceiling, especially in america's tech hub. >> and why more and more people are talking about marissa mayer expecting rather than what they're expecting her to do right after this.

welcome back to streets signs. yahoo!'s choice of marissa mayer puts another woman in charge of a high-tech company.

she joins a long line of chief executives tasked with turning around the struggling company. they went public in 1986. the stock has been floundering since their heydays. today, a big chunk goes from what investors can expect of her as ceo plus the fact she is an expecting ceo. joining us is fort"fortune" ma e magazine's patty. and the ceo of website "honestly now." she's worked with a number of fortune 500 tech companies like ibm. we're very happy to have you on our show. teresa, let me get to you. when i got in this morning, all i could hear was people talking about the fact she's expecting, not what she was going to do and how she was going to do it. is this a debate that shows the jury is still out. >> i think we're framing the problem wrong when we say "have it all." no one can truly have it all.

parenting ebbs and flows as our kids get older and business ebbs and flows. the question is what does she need to do to get her job done? i think we should be asking her that and asking all women that. what do you need to get the job done and can we give it to you? >> patty, i got in trouble on "morning joe." i was saying instead of rushing back to the office, she should take some time off. i got slaughtered for that. the interpretation was i was saying she should ignore the job. my intention was to imply, this is an amazing opportunity to set a great example how working woman need to be treated better by corporate america and shouldn't feel the need to rush back because two or three weeks of maternity leave is not cool basically. i know marissa has a huge job on the yahoo! side. do you think she being a ceo, young and expectant mother can affect broader change about discussions of women in the

workfor workforce? >> absolutely. there are two female role models that stand out in silicon valley. they are marissa and cheryl sandberg. cheryl has two young children and took the facebook job as a mother of two young children and her message was lean into your careers and take advantage of every opportunity. we really haven't seen marissa do that but now are seeing her do that. marissa is 37 years old, the youngest fortune 500 ceo there is. interestingly displacing her former boss, larry page at google, who's 39. it's not like marissa is 30 years old and is going to have a large family. she's having her first child at 37 and taking this big job. with her first child. some of these women i'm talking to here are saying she's naive. she doesn't know what it's like

to raise a child. we'll see. i think more power to her for doing this and for stepping out as a role model for women around the world. >> absolutely. good for her. i'm a working mother twice over myself. i will ask you and play the devil's advocate a little bit. as a working mother, i have kind of heard it all good and bad. that is, if for example, she's taken the role at yahoo!. it will be a difficult demanding task and she doesn't get what the shareholders are wanting. she doesn't turn it around. what is the danger they will use the mother excuse as the fallback option. she took on too much. she was exhausted, she couldn't focus on the skrob at hand? >> first of all -- i'm so excited to see her take a run at it. >> i don't think that's going to happen.

it would be terrible. but, you know, it's really surprising. marissa told me last night when she called. she called me at 7:00, said, i have a piece of the story for you. i'm pregnant. i practically fell off my chair. she said, i will take a few weeks maternity leave and i am going to work throughout it. i mean, we are in an era. this is not discounting the difficulty of the yahoo! job, which is one of the most difficult jobs in corporate america. >> right. but we are able to work remotely better than we have ever been able to do. there will be small accommodations. yahoo! moved its september board meeting to sunnyvale, california, out of new york, for marissa. >> it's kind of sad we're celebrating the fact that there are 20 female ceos in the fortune 500. that's only 4%. right? still a milestone, going up. my wife has a big career, just left to start her own thing.

my mom is 74 and still working after starting at 18 years old n. what else do we need to do to not only tell, you know, corporate america that they're wasting a lot of talent but also just realize we're putting gdp and economic growth on the sidelines by making it impossible sometimes for working moms or dads to maintain both. >> i'm so glad you're framing it that way, brian. i've been in innovation for 20 years. i've been a mother for nine years. the thinking in american business has tended to be that the two are mutually exclusive. that's a big problem because we're leaving a ton of innovation and a ton of jobs on the table. we can't afford that anymore. the bottom line is that there is childcare out there. it's not easy to get. it's very expensive. it's out there. marissa is someone of resources. we have so few female ceos at the top ranks, that every time one of them comes up, we're all

looking at her to succeed. that's a shame. we cannot be thinking about that. we need female innovators on the front line. i personally think it's a great day for technology, for america and for women. i can't wait to see what she does. >> hear hear. best of luck to her. patty, we have to leave it there. thank you. great debate. >> thank you. >> now, let's hear from former tech ceo and what challenges marissa mayer faces as well. joining us is former chairman and ceo of xerox as well as a cnbc contributor. ann, talk to us about the hiring. do you like it n. forget about all the stuff woe talked about. talk about marissa. is she the right person for the job? >> i think it's interesting, brian, there's so much conversation obviously the distraction of talking about a woman and then the fact that she's pregnant, i think, takes away from what a great hire

they've made. someone who has the reputation and track record she has, who brings, i think, some great capabilities to yahoo! in terms of what she's done about user experience and innovation. all of that, i think, says that board made a really good decision. although it is a very tough challenge, i think she comes well equipped to take it on. >> it sound like you're saying, ann, you think she's the best person for the job but is the job actually doable? is it possible the headwinds facing yahoo! as a company are too great now no matter how good the person in charge is, it will be a really difficult ship to turn around? >> if i turn the clock back about a dozen years, that same conversation occurred when i took over xerox. one of the things marissa brings to the table, she is focused on

innovation. she will take risks. that has to happen there. i don't think you can take the safe pass and try to cut costs and be more efficient and figure that you can limp along here. i think they need someone who can develop a strong and compelling vision, inspire the yahoo! people to follow and be motivated and engaged. i actually think she brings that set of capabilities with her. >> what i was most curious about with the hiring, whether or not there was a non-compete. >> interesting, yeah. >> when i heard the news, okay, she's fantastic, a star. why would google let her go? did she sign something? if you're a star in one industry, your competitors don't want you to go there. do you think it's going to go through? all done? it was a talking point that caught my ear. >> i actually don't think there's that much explicit

overlap in her recent capabilities because, you know, the search was really so much of her focus over her career and obviously that's not really the headline in terms of what yahoo! is focused on right now. it's also, forever you saw the remarks that came out of google from larry page, i mean, they kind of said, hey, she's terrific, she's done a great job here, we wish her well. we think yahoo! made a great hire. it doesn't sound like a very antagonist stick environment. >> great to have you on the show as always. >> okay. bye. still ahead, the bottom line on stock buybacks. herb is back to say buyer be wear. i can't use any more bs. herb will be up next. one stock coasting to new 52 week highs? is it a screaming buy? we will talk about today's street talk after a very quick break. and so too is the summer . now get an incredible offer on the powerful c250 sport sedan.

but hurry before this opportunity...disappears. the mercedes-benz summer event ends july 31st.

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that's the power of the right advisor. that's merrill lynch. we take it on ours. this summer put your family in an exceptionally engineered mercedes-benz now for an exceptional price during the summer event. but hurry, this offer ends july 31st. coming up at the top of the hour. the had the of a leading business organization is slamming president obama's comments that entrepreneurs owe success to the government. and ceo of an electric

utility southern company outlines the fallout america will feel if congress doesn't act soon. an intel ceo will be here to break down the company's earnings moments after they're released. first, back to brian shactman. >> thanks. we're watching shares of facebook as we always do. a capstone analyst said they're losing users in the u.s. and europe. we're seeing a late day rally especially in the 2:00 eastern hour, "street signs" down only a quarte quarter. >> street talk time on "street signs". >> the teen retailer, home of the $9 graphic t-shirt. from an overweight to underwait. hardly a ringing endorsement.

aeropo sta aeropostale, up .35. >> and we have positive news on urban outfitters. >> i got lazy on this one. the same morgan stanley call. i double dipped, as we say in the biz. >> the cassandra effect. >> exactly. urban outfitters up 3.5%. the best ideas list. target raised from 36 to 31. and still see an up side for urban outfitters. >> and alcatel. >> this company has a forecast struggling with weak demand in europe and says it will post an operating loss and deutche bank down grades it. mandy, you lived in japan and asia and all over the world. lucent is a name viewers are keenly aware of, been a disaster

for a decade or more. >> friday's release of the new batman flick, has many people flocking to an imax theater. and we're talking about imax. up. >> raising the target from 20 to 15. and positive ly. and they've been adding to the stake, maybe ahead of batman. >> they're expanding big-time. adding seven new theaters in malaysia and more in the states. they are expanding. >> is it worth the extra money? never been to one? >> i love imax. it's great. i fully endorse them. looking for summer fun? why not go to six flags. is this a new high? >> you could see 145. it hit another new high. key bank repeating the high rating, raising target from 30

to 45. you and your boys went there and my wife and daughter went there earlier last week and said it was packed. spent hundreds of dollars on funnel cakes. crowded when you went, too, as well. everyone going to six flags. >> better spending your money on funnel cakes than funnel -- >> you completely missed it. better to spend your money on a funnel cake than funnel web. the australian spiders. >> those australians out there, hope you're laughing at home. not a cheap day out, contrary to what's going on in the acadeeconomy. i guess people will pay to have fun. >> you can do a lot of research. you say all buybacks are not created equal. >> just because a company announces a buyback does not mean it's creating value for investors. that's a report done by david

zion. after reporting 2.3 on buybacks, he concluded most were a waste. only 36% are in the money. using 7% cost of capital as the benchmark return, the list of losers, aig, 51.7%, citigroup, 33.9% and sprint next tell. dollar tree, 34%. cf industries, 32.6%. this is really good. the two biggest spenders were ibm and hewlett-packard. it is no surprise hewlett-packard is under water. ibm's annual return is just 15.3%. and do these buybacks still make sense for ibm. buybacks are a lever ibm uses to get to that 2015 share target of

$20 a share. >> it's their cash, they can do what they want with it. if they don't see acquisition targets or r&d, why not? >> why not use the cash? we've shown the returns are not always there. >> you're knocking the use of their own cash. >> i'm pointing out it is a lever. >> i tried to lead you into a trap. you missed it. not their cash, shareholder cash. they should give it back in the form of a giant dividend rather than buyback. >> what you think. >> okay. if the company is sitting on cash and not doing anything with it, should they buy back or give you a fat paycheck. >> funnel web herb.com. >> it depends on the company. there's no blanket answer to that question. >> you're talking about mattresses and blankets. >> that's why they pay you the

big bucks. >> battle royale. is has mattel a better investment? the cute and cuddly hazmat trade. chances are, you're not made of money, so don't overpay for motorcycle insurance. geico, see how much you could save.

shares of mattel on a tear today. the stock is seeing its best day in more than three years. this is the barbie matter, increase in sales for this q2 boost. >> shares of competitor hasbro also up today and bull stocks have struggled over the last few months is this has-mat trade signaling trouble in toy land? all right, shawn, hasbro mattel, do you buy them both, essentially the same company, pick one the other or dump them both? >> they are not really that closely correlated. both can be doing well and both could be doing poorly without any relation to the other. i think right now mattel has

more product that has momentum performing better than expected. hasbro currently has more products that are challenged. the game business is challenged. girls products have slowed and transformers is -- doesn't have a movie in the theater. spider-man is there and avengers worked out pretty well. across the board mattel had more things going positively as a surprise in its favor than hasbro does. >> if you say hasbro has challen challenges, why do you have it as a buy? >> it's way off the high and selling at the several multiple points below mattel. if you have to have the next quarter not be a disappoint i would say mattel is more likely to have a surprise. if you look over a one or two year horizon, i think hasbro is chi cheap enough for a return. >> anything else we're not seeing in the general public that could be a gigantic trend

like a funnel web toy, furby? >> there are a lot of challenges as kids are digitizing their fun. on the positive side you never can tell. remember that tickle me elmo was no even hot that thanksgiving the year it was -- >> we seem to have lost shawn. we do apologize, we're live tv here. >> funnel web spider. >> digitizing their fun. >> next time i tell them to get off the video games, stop digitizing your fun. >> tickle me elmo a great gift. tickle me allen was not good. >> fiat is giving a new meaning to a cup of joe on the go. get i! [ male announcer ] don't have the hops for hoops with your buddies? lost your appetite for romance? and your mood is on its way down. you might not just be getting older. you might have a treatable condition called low testosterone or low t. millions of men, forty-five or older, may have low t.

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the usa today reports it is unlikely to include the expresso machines because of being distracted while driving. >> two things, probably still safer than texting. probably a goodeni thing. i couldn't fit in one, it's a fiat. a quick look, we have about a minute left. highs of the day for the dow, the home builders and we've talked about these names, not tooting a horn, since rate last year, we had bob and he pounded the table and they have done spectacularly well, home builders one of the leading groups in the market. >> today we're up for the second time in the last nine sessions. let's see if we can hold on. tomorrow delivering alpha, a little sneak preview. the big heavy hitters that we are going to be talking to on cnbc all day