>> and farmer jim? >> apple is breaking out after a three-month consolidation. >> interesting on a day that goldman reiterates their sell on shares of apple. good to see everybody. thank you. look ahead to airbnb's ipo tomorrow what will bring that after doordash today that does it for us. "the exchange" begins right now. thank you, scott hi, everybody. welcome to "the exchange." i'm kelly evans. what a day we're certainly putting the dash in doordash today, huge, huge demand for the company's ipo the stock is surging at the open it's up 78% right now at 182, the indicated range briefly touched 200 which would have been pretty much a double. what is it all telling us about the market today we'll have all details. plus, fresh warning signs for stocks, record high valuations by one measure and sell signals close to being triggered and a big day for disney s.robinhood next to go

public and a 29-hour work party. let's start with doordash. let's bring in deirdre bosa and leslie picker to kick things off for us deirdre, i don't know if we should extrapolate anything about this company, or if this is just telling us what kind of market and investor chase there is for alpha right now. >> it's pretty remarkable. i mean, this was a $16 billion company earlier this year and now we're seeing it trade above $50 billion, but it really does -- yes, the market may be looking a little frothy when you take a look at this ipo and the other ipo of the day, but really, it comes back to the execution of the management, too. i mean, we knew from the s-1 that this was a different kind of food delivery than say a grubhub or uber eat. they have had a level of financial discipline, i think, from at least what we can see so far that the others don't, have and that's really important. doordash has raised $3 billion in its entire history before the

ipo. uber lost $5.8 billion this time alone so what i think might be showing us that there can be some gig economics that don't burn through billions of dollars and the market is in part responding through that. >> bob pisani is there as well if these levels we're talking begun a company worth something in the range of $75 billion and it's not profitable yet. >> yeah. biggest ipo raise of the year, if you don't include the green shoes, leslie, as mentioned. north of 70 billion. this will be the biggest one of the year snowflake was $42 billion. my recollection with snowflake was a $42 billion market cap when it came public so if you would have said in april that this would have been the biggest year in to 14 for ipos, remember, 2014 was a big one, ali baba i would have laughed at you, but the huge stimulus that we've, the rather notable holdup -- move up in the stock

market combined with the fact that we've got a known name here in doordash and we have very large retail presence, larger than we had a year ago, has really combined. nothing beats an up market, so let me tell you, that's the most important thing going on here. >> yeah. >> you've really got a remarkable confluence of events, guys, that really push that thing to the stratosphere. >> bob, i want to circle back, two separate things at play. the first day pops for the ipos and then what happens when it gets in everybody else's hands interestingly enough that's been a pretty good performer this year we've talked about the renaissance ipo basket it's crushing the s&p. even names like snowflake that went public at eye-watering valuations have done well, even if you go back to last summer and look at beyond meat. it hasn't been that much of a dog even though it's well off of the highs. leslie, i guess i say that to kick off the point that you want to elaborate on already this week but how much of this is market professionals looking to

close out the year with a -- with ten extra percentage points of afla that they can't find elsewhere. this is a remarkable, remarkable move and i was excited and shocked when it priced at 102, even more shocked when the range was at 155 and we're up at 185 and change right now. >> yeah. advisers i was speaking to around this deal priced at 102 and expecting it to trade up to 130, 140 i don't think anyone really foresaw 182 for the opening price here, especially since they really did try to kind of limit that first day pop they introduced the hybrid auction system previously used with "uppity" and this time on a much bigger scale since they raised 3.4 billion for this ipo in order to kind of assess some data and use an algorithm to take in orders and find what could help them maximize the price by which to set for this ipo so that they don't leave too

much money on the table. >> but leslie, does that tell us whatever the fapsi process was, they either left a ton of money on the table or what i think is really going on here, it would have been impossible to raise this whole amount. the whole point was for the investors involved to get this possible, don't you think? >> yeah. >> i have a hard time thinking this is a flaw of the ipo process. >> this is a fulfilling prophecy as you mentioned earlier with regard to the previous ipos performing well. as long as the previous ipos are performing well people will keep coming back to the well. if you're an investor and investing in snowflake and you're sitting pretty for the year and that deal worked and my banker is telling me this deal is the next snowflake, they will be willing to pay whatever it takes to get allocation pause they see this demand, as we've talked about it's coming towards the end of the year people have just a few more weeks to really lock in their outperformance for the year, and if you're hearing that there's a hot deal like doordash you're kind of inform this i don't care

what it takes. i'll pay whatever to get allocation and then you have all of this retail demand on top of it in order to get in the deal you see dynamics like this one that regardless of the technology that you use to find a price it's just going to go up. >> they have been trying to get this right, how to get the price right on the open for 100 years, okay this is an interesting study like a behavior in economics how do you gain everybody else out in the future. with that said the difference between so 2 and 182, that's unusually wide and we all know that, so how does that happen and i think what you want to see heresy think the retail investor, the larger presence of the retail investor this year really is very important in this overall equation i'll tell you how i want to see this normally on a good day an ipo will trade 100% of the float that we're seeing here, so that would be considered a lot of trading. i bet you we'll see as much as

that and we open at 1:00 normally an ipo opens between 10:00 and 11:00. we open three hours later and i pet you you'll be enormous that's a sign that the retail presence is much stronger than it has been this year than it historically is on these kinds of events. >> deirdre, let's not forgot c3po as i like to call t.lest anybody think this is just about doordash c-3 ipo'd at 42 and opened at 100, deirdre this is not just about doordash. >> we talked to the ceo earlier and he was shocked at how high it had gone, too let me talk about the opportunity a little bit aside from the first day pop, when it comes to doordash and airbnb these are founder-controlled and founder-led companies. look at what retail investors, many of them have been looking

at elan musk at tesla and jeff bezos. these are the companies that continue to get bigger and bigger and bigger and attract attention from the investment world. these guys are seasoned operators because the unicorns have been in the private market so lock. they have been tested so perhaps some investors are looking at this as an opportunity to get into a founder like company as particularly as some of the rivals, i'm thinking uber, expedia, booking holdings are not led by their founders. >> real quickly, bob, a final point here is there data on how well let's call it kind of the retail the general public has done on these ipos relative, you know, if you strip out that first day pop i mean, it would seem like the performance has still been pretty strong but this is where people can get burned. >> yes, you have to make a distinction between the historical performance and what happened this year it's a little bit of an nominally. his torely on an ipo in the

first year of trading the big money is always made on the first day. if you get a first day pop there, those are the people that are bought in on the ipo, and initially they got the initial allocation and sold on the first day. they are the ones who do really well historically. that's why a lot of ipo research companies separate trading or the first day when everybody is sort of cashing out who got the initial allocation and then after that the aftermarket performance of most ipos has not been that great historically this year is a bit of an anomaly. the aftermarket trading, which i mean after the first day of trading, has been stronger than normal again, a sign of an upmarket and huge interest in tech and biotech which is the historic ground or early stage of tech and biotech companies for ipos, so, again, it's a good sign. i don't know if it's going to last though. this is a rather extraordinary year on many, many fronts. >> it's an important thing to point out as we look at doordash

up 73% right now thank you all, leslie, deirdre and our bob pisani. let's bring in some market pros to react to this monster ipo. it does come on the same day that bank of america is warning stocks are trading at record high valuations if you look at so-called ev to ebitda the firm sentiment gauge the most stretched in months and triggering a cell sell for the first time since the economic crisis >> michael, you've seen cycles and went through '99 what do you make of today's trading activity with doordash >> smells a little bit like 1999, kelly. investors are not so much focused on fundamentals obviously, right the ipo is priced at 102 because that is the maximum price that investors likely would pay on a fundamental basis, and now the stock is trading, i'm getting dizzy watching the stock bounce here at 175, 180 and what bob

pisani said is a fantastic point is look at the flow. i think retail investors are making a huge move in this stock, the robinhood world i think they know this name, uses this name and that tends to drive i think sentiment. i think what we're real talking about, not a fundamental stock right now, not when you've lost half a billion dollars last year it's instead basically a sentiment stock. what kind of stock are you, sent president or buffet? >> fair enough so when your clients call and ask and said, you know, hey, did i miss the boat here, or do i need to be buying doordash, what would you tell them? >> they have, and i told them you probably will miss the boat, but you're also going to miss the other boat as, again, bob pisani pointed out the other boat is most investors make their money on the first day, the ipo investors what really matters is if you're investing for long term, if this is retirement money, money you

can't afford to lose, you probably want to stay away from names that are highly speculative and buy cash flow names, boring as can be, but those are the kind of names that will be the foundation of long-term success. this is exciting it's a nice real quick pop, but excitement comes with danger, and i think most of the people we work with are not looking for lots of danger >> sure. i understand that. chris, what are your thoughts on this ipo today remember, it comes a day before we get airbnb tomorrow it caps a year of really, really strong ipo performance, and, again, to emphasize what bob said as well it's been strong in the opening pops obviously, but it's also been pretty strong for the names in that ipo basket this emerging class of equities more or less is holding up there. [ no audio ] >> all right we'll fix that and get back to

chris in just a moment michael, you get the question on that i mean, what's the distinction for you between a stock that is too hot and dangerous for most of your clients to touch right now and the fact that most of these emerging equities, these new ipos, they have actually done pretty well. >> you're talking about price, right. think about what you're talking begun. >> over time, yes. >> so what's time? we're talking months, right. >> so price and months is a definition, kelly, of momentum so fundamental investing is essentially going to say let's look as historic cash flows, not only during the pandemic, but let's look at cash flows that start to normalize when people are going out to eat, when people are not just ordering food constantly through door dash which i'm a user of doordash great service. will i use it as much when i can actually go some place and sit down and have a meal probably not, so that's what you just have to be aware of, so i

think it's important that you recognize that these are the kind of names someone can certainly chase. it's just a matter of whether or not this is really consistent with your investment philosophy as you invest your ortfolio, and i think investors have to ask themselves that question >> and chris what, were you saying >> what i was about to say warnings you know, i think a lot of these ipo companies that we see this year, they really fall fool that covid resistant basket so for those companies that are going to do really well and are stay-at-home stocks and will do well in the future, that's why you see good valuations and performance are getting really high we'd be caution for the market as a whole you can see that sentiment that's pervasive within this environment. we definitely would look at this as a sign to hold a little bit of cash on the shrines and watch for the upcoming catalyst coming down the road. we've got fiscal talks and the georgia elections in january which will determine control of the entire u.s. senate so

there's a lot of catalysts coming down the road valuations are high. the stocks over the next 12 months if you look at the multiple, 21.2 times earnings over the estimate and the last five years it's been 16.5 times so we're pretty elevated from history. you know, we're not in the 1990s yet. back then it was over 27 times so it's not that the market can't go higher. it's just that we would exercise caution because we think valuations in general are quite higher than average. >> chris, what about those who say, you know, if we're looking at least on an earnings basis that earnings next year could come in pretty strong? i mean, are we underestimating the earnings power in this market as you guys have said one things open back up and start to normalize? >> earnings could definitely be a lot higher next year and we do expects that earnings were depressed artificially because of what happened with covid and the lockdowns this year and even if you're talking about 1 $190 in s&p earnings next year at a 20

multiple, you know, you're looking at 3,600, so we're already right around -- excuse me, if you're at $1880 you're at 3,600 or $190 which would be high then you're looking at 3,800 so the s&p is already pretty close to 20 times what's likely to be a stretch for next year's earnings. doesn't mean we can't have multiples expand and doesn't mean that earnings can't surprise even above that, but as an investor who is trying to be somewhat cautious i think it makes sense to pick your spots and to look for where the market has the best opportunities, not necessarily the ones where the valuations are the highest. >> yeah, and it's amazing. i mentioned c3ai, the other ipo today, priced at 42 and old at 100 and according to our data team it's only the ninth best ipo open of the year that's just emblematic of what this market has been doing we'll leave it there go ahead, real quickly. >> let me ad something really quick. even if earnings aren't as high as one would expect we're looking at year over year

comparisons which would drive stock prices so there's a difference between earnings and stock market and that's i am the stock market has gone up this year because of the expectation. be aware earnings if they come in reasonable positive they have great year over year comparisons and that could potentially be a catalyst for the market next year. >> you would think, exactly. we'll see. appreciate you both joining us today to talk about this doordash ipo and the rest of the market michael yoshikami and chris, thank you so much. there's four names that are still in the red for the year on the s&p. see them on cnbc.com/pro so head over there airbnb's ipo is next on market but the company is facing one major issue that investors may be ignoring. we'll tell you about its problems in china. disney hits an all-time high as investors day looms will streaming be enough to keep investors interested as parks reclose and consumers stay away from theaters? we're back in a couple

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with peace of mind at your local xfinity store. welcome back even as we catch our breath from doordash, airplane peay is neck on deck. starts trading tomorrow. the company is facing several challenges especially when it comes to china and that's where

we find our eunice yun who is live in china. >> reporter: despite u.s.-china tensions, regulatory issues and fierce local competition airbnb sees china as important to its future growth, and we spoke to one business person who said that he's looking at very much forward to the company's bigger push here. this architecture student is excited about the airbnb ipo not because he's an investor but a host renting out rooms in this traditional courtyard home f.airbnb gets more funding and invests in home-sharing in china i can get more customers at $2.9 billion in 2019, china's home-sharing industry is fill a fraction of the size of the u.s.' but growing in the double digits every year. airbnb has expanded fast, winning over chinese with its flexible app and travel choices can, especially overseas, but the u.s. home-sharing giant

faces stiff competition here with strong local backers. the dominant player partners with trip.com and another is backed by jack ma's alibaba and elon tencent and meituan is being pushed by another name, its sister firm. airbnb faces scrutiny back home thanks to privacy concerns doing business in china. run isn't concerned. he's looking to refurbish and rent another two homes nearby. beyond a place to sleep young chinese want a cultural touch and that's why i have comfort in the future of home stays airbnb is getting a pushback in the u.s. about maybe not providing enough or providing too much information to the chinese authorities but here in china its reputation is actually

for having the best data privacy protection because it doesn't allow the landlords or the hosts to see the full contact information and the id number of the tenant. >> that's interesting. eunice, i guess with any of these companies, american companies that are successful in china, i just can't help but wonder is china really going to let them win i mean, are they not ultimately going to back their own state -- not state-sponsored, by their own home-grown version because they have the -- the kind of system where they can simply just decide who the winners and losers are >> reporter: yeah, that's right. that is a risk for airbnb, i think for any u.s. or international company that wants to grow the business it doesn't mean that the company can't have a good business, but it's definitely one of the risks. i actually asked that airbnb host if he was concerned that at the end of the day airbnb might not be around, and he said that

he really wasn't a lot that have is because airbnb has been able to provide quite a good service most people here if they are going to use a site are using airbnb and for now at least they find that airbnb provides the kind of highest quality service, the easiest, you know -- the most trustworthy service when it comes to people who will come to stay with them or for them to be able to use a service to go overseas or to another destination. >> that's true probably a lot of value of it being well-known to the international traveler for whenever that business comes back eunice, thanks so much we really appreciate it. eunice yoon in beijing for us. it will be another exciting day with the ipo tomorrow. paining of america's new survey show consumers working at home plan to spend less in every category but one the details and the stock impact. plus, doordash open for trading and what an open it is

it's up 82% and priced at 102, trading at 186 and change. we'll talk about what that will mean for airbnb. watch us live on the go using the cnbc anypp a time. we're back in a couple

welcome back bank of america is out with its latest home work survey revealing insights on holiday spending, movie trends and

whether or not holiday fatigue is starting to sent in liz, good to have you here. >> thank for having me. >> and the headline will be familiar to our audience, it's that people say their spending is going down on everything but on their pets. is the that right? >> that's right, yeah. really the family pet is the winner this holiday season our survey showed that consumers plan to spend less on most categories over the holidays, except for one which was pet toys and accessories, so, you know, even though people aren't taking their kids to disney world, the pet is really getting the bulk of that spending back. >> yeah, and we've seen that with the performance of these names this year with i think that's peat smart or petco is coming back to market now for the third time you make an important distinction is there's a difference between what people say they are going to do on their spending and what they are actually doing what have you found on the latter >> that's right. i mean, i think it's really important to differentiate between what our survey

respondents said they plan to spend on and what they have actually seen in the data itself so our bank of america and cred cart data continues to show very high levels in categories like consumer electronics, home decork and these were both categories that our survey had showed people planned to spend less on, so we're not seeing that happening in the actual spending >> that's actually held up relatively well. let's talk about a couple of stocks that you covered, home depot and lowe's find national here relevant specifically on the home buying and home side. >> tell us about that. >> our survey showed once again, and this is third time we've run t.initially rant survey in june which is really in the midst of covid and then we ran it again in september and again in early december and we've seen an increasing percentage of people plan to move to less population-dense areas so even though there's a positive effect coming out the intention to move

is really strong and that's favorable for home improvement retailers like home depot, lowe's and decor where housing turnover is a driver for renovation demand. >> and so would you say the kind of takeaways from the investor are -- there can still be legs for home depot and lowe's, even stan druckenmiller mentioned are they going to have a hangover as people kind of go back to normal and this has pulled forward a lot of demand so home depot, lowe's, maybe a tractor supplies, where are the places that these results leave you the most positive on >> there are covid beneficiaries that continue to grow in 2021 around the beyond and especially those that have sealed their dominant market share and are taking market share from smaller retailers in the category, so like you mention, home depot, lowe's, tractor supply these companies have now very, very strong cash balance one of the things we saw from lowe's today at their analyst day is their outlook for next

year, even in a worst case scenario, they still have their operating margin up and they plan to do $9 billion in share buybacks so the companies have large cash hordes they can deploy towards growing share hold her value and also towards investments in deepening their competitive mode for the future so we really like the large well capitalized retailers that are dominant in their sectors. >> all right lids, thanks again for joining us we appreciate it today. >> thank you. >> liz suzuki with bank of america. the family pet wins christmas, she says. coming up, back dating claims and additional checks, a few ways that states are helping the unemployed as the country awaits congressional action. the renaissance ipo more than doubling this year, up 113% we'll dig into the biggest names in the fund and why one biotech stock that posted huge games this year could soon get the boot out of it that's next.

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the first time the dow is up over 40 points at the highs. we're down .8 on the nasdaq and 1.7% on the s&p. the dow, the is and the s&p, the russell 2000s and at transports all hit new highs before the pullback as you can see here across all sectors they are all in the red, real estate, technology, communication services those are the biggest lag yards and let's get a quick check on doordash the stock which priced its ipo at 102 opened at 182 it's just below that level right now. 180 and change, up 76% this makes it upwards of about a $70 billion, $80 billion market cap and over to sue herera for our cnbc news update. >> good to see you

hello, everybody big ten athletic directors are expected to let undefeated ohio state play in the conference's championship game. a vote is expected later today which would remove the six-game minimum that would have prevented ohio state from playing. in michigan, a belated recount has reversed the outcome of a county commissioner's race. initially the election was declared a tie and then decided by the candidates drawing pieces of paper to see who won. the recount shows the loser of that draw actually carried the election. in india, health experts have found traces of lead and nickel in blood samples from patients suffering an unknown illness. nearly 600 people have been hospitalized the vast majority have now been released. and in guatemala, the christmas season starts where a century's old tradition called burning the devil. it's been performed since spanish conquistadors arrived in the 16th century kell, you are up to date i will send it back to you.

>> love it sue, thanks very much. sue herera back at headquarters. as we talk about doordash and airbnb we want to take a closer look at the renaissance ipo. it's up 112% let's dig into it a little bit what's been behind the gains here are the top performers in the etf this year? mod er moderna leads the pack, the second leading vaccine candidate. zoom coming in second, up 476% and cloud flair finally is up 353%, so, again, the top holdings in theiteiev itself include moderna and zoom and also uber and pinterest. the stocks after some time are no longer considered ipos, so what happens then? companies are removed two years after their initial trading date when the stocks become what they call seasoned equities moderna will actually be removed when the ipo rebalances next week, and that will make room in

cash for new companies like doordash and airbnb. speaking of moderna, it's down 11% today. robinhood's public plans, that's coming up next along with disney's fresh all-time high and party like it's 2020 the office holiday party goes virtual. that's all in "rapid fire" right after this break don't go anywhere. ♪ you make my heart sing ♪ ♪ wild thing i... think i... you know what i think? i think you owe us $48.50... wild thing. if you ride, you get it. geico motorcycle. fifteen minutes could save you fifteen percent or more.

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(♪ ) you need to hire i need indeed indeed you do. the moment you sponsor a job on indeed you get a shortlist of quality candidates from a resume data base so you can start hiring right away. claim your seventy-five-dollar credit when you post your first job at indeed.com/promo welcome back let's catch you up on a couple of stories that should also be on your radar today. it's time for rapid fire head to break down the headlines are leslie picker, julia boorstin and michael santoli welcome one and well first of all, disney, nothing short of a tumultuous year for disney but the stock has clawed its way back to an all-tie high, thanks to the grows of disney plus they face a lot of competition as everyone goes all in on streaming. more people are cutting the

cord last time was the last time pay tv operators lover lost more than a million subscribers and tv streaming bundles, julia, added just as many what does disney need to say and not say in order to keep the positive investor sentiment flowing? >> well, what we're seeing, kelly, is that people are willing to pay for content. they are paying for it in a different format, and i think whatever the concern is about cord-cutting, there is optimism about people paying for these digital streaming bundles, and there's also a lot of optimism about disney plus. i think it's really notable that disney's big investor day tomorrow which is really going to be about the focus on the direct-to-consumer relationship hand how they are going to navigate these weird waters going forward as we hopefully emerge from covid next year and as people can start to get back to movie theaters, i think it's really important to note that it comes on the heels of warner media's big announcement that it will be putting names in

theaters the same time they put them on hbo max and the question is anything moab and you hoy will you navigate the new world when people really want to be able to see stuff at home? >> and speaking of which, mike, i mean, did you see the roku, there's an upgrade, they moved their price target from 220 to 375. that's the street high now, and, you know, you can go through the reasons but a lot of them, they are just talking about the value of each additional customer that roku acquires and how big a number that is. >> for sure. >> for a long time netflix was really the only way to purely play, you know, internet tv streaming, whatever you want to call t.roku is now on a scale where it's completely of that size as well and it's growing very fast so we're in a market right now that is valuing future dollars a whole lot more than today's dollars in terms of revenue and as much us a want to pile on to the expectations for the future, the market is willing to bid for it, at least at this moment whst it comes to disney it's

fascinating. it's at an all-time high and the valuation is at an all-time high beyond the debt and the business is stilly much impaired based on the pandemic it's a combination of a shutdown pray and reopening play. got a lot of credit so far up front. >> yeah. i totally agree with you there's roku shares which are fractionally lower today but have more than doubled this year let's move on and talk about what could be the next ipo and toys robinhood they may be tapping goldman to lead the ipo the platform experiencing meetioric growth with major retailers becoming a major factor in the market this year leslie, what are you hearing about robinhood and the demand for it in light of doordash and everything there's no way this one would be before year end. >> as far as i know they haven't filed with the s.e.c. yet. based on a couple people i was able to talk to about this dealing they have not officially hired bankers, signed all the

paperwork and so forth it's discussions that they are having with people letting them know that they are likely hired, that kind of dance that they are doing, but it does sound like they are moving forward with an ipo. 2021 it's funny some reports have floated the target valuation as being $20 billion. if there's anything that this week's ipos have shown us is that you can not predict valuations for these ipos, especially if you're looking at about six to nine months in the future things can change dramatically, but this clearly is similar to doordash and airbnb in that it's another company that's benefited from the pandemic. >> yeah, mike, one of the great reads everyone shut check out is jason's wife talking about his experience in "the wall street journal." >> 100%? it was hilarious, but the focus on their business model if and when they ipo, is it more or less still a pay for order flow type of model, and how much scrutiny are they going to come under? >> for the most part, payment

for order flow and margin lending also is part of it you would pay for that if you want to borrow money against your account of the right now this will be marked as a fintech company, not necessarily as a comp to interactive brokers which by the way is a $23 billion valuation and has $100 billion this client assets not necessarily about that as we have the intense engagement of a cohort investors of young consumers who the rest of the industry can't really reach very easily and, yes, we've gameified the whole system as jason ha pointed out and it makes you kind of want to win your next trade, and it gives you all these collapse on your smartphone when you do so, and, you know, i guess this is the market we're in. i think take that as a good thing for risk appetite and a warning sign for just kind of how, you know, credulous we are right now. >> and i'm sure there's going to be a whole bit of stories whether the ipo of robinhood itself marks some kind of market

peak if we don't see it at that point. let's talk about doordash. the first of two blockbuster ipos this week, and the trading today has just been nothing short of astonishing so its ticker dash, opened just about an hour ago, and the open price was 182. now it priced at 102 it's up 77% right now. it's been pretty steady the past, you know, 45 minutes this comes as airbnb is set to debut tomorrow, and, leslie, is it as goose doordash so goes airbnb or are people separating and looking at them differently? >> we've seen similar patterns as least procedurally as the ipo process for the two deals have coincided with one another they set a range, set a range and went above the range and doordash could be at the high end of the range is what i'm hearing, either above or at the high end of the boosted range

so, is you know, they are both using this hybrid auction method that we've talked about that's supposed to try to limit that first-day pop. they may be looking at this one in the better than expected demand on the first day of trading and maybe price a bit higher, be a little more aggressive than they otherwise would have if they, you know, didn't see today's trading but it's clear that there's a dynamic here. investors are clamoring for these deals because it is towards the end of the year. if they sense something is hot and as you know a lot of this has to do with psychology, a lot of it has to do with chatter not on the trading floors anymore but at least in the internet eater in the chat rooms and so forth about whether this deal is hot and whether this deal should be buying in and that limits price sensitivity and that's why you're seeing moves like this today. airbnb may try to limit that with more aggressive pricing tonight, but we'll see they may see something similar because sometimes this stuff is out of their hands. >> julia, what would you add >> well, i just think it's

interesting here it's not just doordash that's having this massive first-day pop. it's also c3ai, this artificial intelligence company that stock over 100% there really is a built-in expectation that there's going to be a big first-day pop. there's a lot of speculative trading because of that, so i think it will be interesting to see if the following ipos try to make sure they are not leaving that money on the table. >> we've just got to get a closing word from michael santoli here michael, what do your senses tell you about what's going on here >> there's such an appetite for something that's both a recognizable brand name that everybody uses and that basically it's not based on this year's numbers or next year's numbers and really about the overall market that you can kind of draw that as large as you want and it always makes sense and i would modify only one thing that leslie says it's not mostly about psychology, it's almost entirely about psychology in the first and second day so do i think that maybe the nasdaq being down a couple percent today will take

a little bit of steam out of it, but, ore wire, i think they will try to gun these every time until one fails. >> yup, and we'll see how tomorrow goes on that note before we go, this story made us all chuckle. the lengths that some companies are going to this year for the holiday office party why not just get rid of it here are some examples according to axios paypal is hosting a 29-hour virtual event including cooking classes, circus performers and a dance-off. leslie, who needs an office holiday party, i mean, or do we want one >> i can't -- what do you think? >> well, i don't have any other plans so that sounds good to me these days no, it's funny how 2020 makes you kind of reflect and miss things like holiday parties where, you know, any other year you'd be like oh, gosh i have another holiday party to go to i just want to go sit on my couch and watch some streaming television. >> agreed. >> as we talked about earlier. this year you kind of miss that

stuff, the stuff you take for granted. applaud those hr departments that are trying to be creative and get people together. i don't know if it replaces the same thing perhaps people can get in a little less trouble if it is virtual. >> i know, i feel bad. julia, you can imagine like these put on these huge events every year, i'm talking about the ones that are putting on the party i don't even want to know how bad their financial situation is and in the meantime for the office holiday party, how do we make the most of it? >> well, i think there is this fundamental challenge if you're trying to have a party in these times. number one is everyone is zoomed out. people are in zoom all day long. they don't really want to do another zoom at 7:30 at night, even if it's supposed to be festive. also the challenge of how to make anything feel different when we're all sitting in the same chair in our home all day long but one thing that i think really is interesting, kelly, is that some of these companies have adapted i went to a holiday event where

there were cocktails -- like a cocktail kit delivered to my house. i've heard of others where they're doing wine testing with tasters of wine. so, the people who are zooming together are actually doing something tangible together, such as drinking fancy cocktails. i think there's been some innovation there and a lot of experimentation, but it's still hard. >> does santoli boycott the holiday office party >> i was going to say, i thought i was only bored and old who doesn't to want go to the holiday party but apparently it's the general sentiment with this group >> it's intergenerational. >> this year i would be there with bells on, i agree thank you all today. we appreciate it that does it for "rapid fire". as lawmakers on both sides of the aisle tussle or a stimulus bills, states have creative ways to get cash to the unemployed. be sure to tune into cnbc

tomorrow at 8:00 p.m. eastern time, it's the race and opportunity in america looking at the lincouny,ato mmit education and entrepreneurship what if you could have the perspective to see more? at morgan stanley, a global collective of thought leaders offers investors a broader view. ♪ we see companies protecting the bottom line by putting people first. we see a bright future, still hungry for the ingenuity of those ready for the next challenge. today, we are translating decades of experience into strategies for the road ahead. we are morgan stanley.

welcome back without additional stimulus, states are stepping up and coming up with creative ways to get money in the unemployed. rahel solomon with a look at how they're doing so. >> more than 20 million people are still receiving unemployment of some sort, but money is drying up. nearly every program created to help those who have lost their jobs has either ended months ago or will soon end local governments are trying to do what they can the mayor of d.c. announced it's issuing a $1200 payment to d.c. residents who are on pandemic unemployment assistance, coming from their c.a.r.e.s. act funding. pennsylvania announced 40,000 residents qualify for lost wages assistance new jersey also expanded its program. pennsylvania is speeding up the process of backdating claims to make up for those long days when people initially filed the question is, are these measures just a band-aid fix

elizabeth is a policy adviser at employ america, a left-leaning think tank she says these are more like stitches absolutely necessary and very helpful, but it doesn't get at the root problem of the initial giant gash adding while the effort from states is applaudable, it's really the federal government that has to step up and extend and fund these programs. kelly, if there is not action, washington soon, the brookings institution projects by the end of this month about 10 million people will lose benefits. >> is it dependent on the states having the wherewithal or just stepping up and being creative >> the states we mentioned have had to borrow from the federal trust fund so they're not in the greatest financial shape i think it more so depends on the financial need in those places i think they're stepping up, seeing the need is so dire >> fair enough that would explain some states like new jersey. rahel solomon following the

story for us. that does it for us on "the exchange." next on "power lunch," we'll check in on shares of fire eye after they say they were the victim of astate-sponsored cyber attack we'll talk to a national security hacker about it i'll join tyler mathisen after isreak i felt like... ...i was just fighting an uphill battle in my career. so when i heard about the applied digital skills courses, i'm thinking i can become more marketable. you don't need to be a computer expert to be great at this. these are skills lots of people can learn. i feel hopeful about the future now. ♪

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welcome. good afternoon this is "power lunch." along with kelly evans, i'm tyler mathisen stocks are near the session lows, red numbers, after hitting record highs jpmorgan has a warning out about some of the biggest winners this year, and that is certainly contributing to the numbers you see right there. dashing higher, dasher, prancer, doordash, trading at $177 a share. we'll have more on that and the big year for ipos coming up. and we are watching shares of fireeye, the cyber security firm that companies turn to for protection, becoming victims of a state-sponsored hack we've got those details at "power lunch" starts right now