asml this is a big winner with cat. >> jenny >> viacom. nine times earnings at the 2.5% yield. great content library. >> joe quick and then pete >> iha >> pete, quick >> first solar >> thank you the exchange is now. thank you, scott hi, everybody. i'm kelly evans. here is what's ahead of us today. buy the dip is something you're told from strategists on wall street what if there aren't any dips to buy? we're speak with a key researcher behind the pfizer vaccine and why she's not overly concerned about those covid var variants a key suppliers was suffering a multi-million dollar ransomware

at attack we begin with markets and dom is here >> people did buy the dip today. even the dips from this morning were pretty shallow. you can see here, decently higher up about two-thirds now 34,050 similar percentage gains the last trade there powering some of the gains has been some of the dip buying in the reopening trade type stocks. o we'll audioctalk about those mo the ipo of the day those shares opened up at 65

half after pricing at $56 a piece. one measure of mark value at that level of prices for the ipo price puts its market value at around 31 billion dollar that puts its valuation up towards of nearly 39 to 40 billion. one of those stocks to keep an eye on it signals there's an appetite for traditional ipos especially when it comes to automation and that sort of thing >> 40 billion dollars is a huge number even if it was a very small flow dom, i want to ask about what we were just talking about with the market volatility. we haven't seen any big major dips other than a couple of brief pull backs >> they have gotten shallower. it's still very, very shallow in terms of volatility.

the last time we saw any real dip, that was an 8% dip back in june of last year. here in september and october, those were the bigger ones we were roughly down 9, 10% at this point there the dips we have seen as of late, much shallower we are talking 3 to 4% at that level. the stock market volatility has gotten shallower and shallower that's a worrying sign for some traders out there who think of it as a sign of complacency and we could be due for a deeper bull back. the markets are constructive >> we'll talk to my next guest about whether he is worried about that or not. let's talk about why the dips drying up and what it tell us about the stock market staying power. joining us is bryan reynolds good to see you again. welcome. >> welcome back, kelly >> thank you >> you have highlighted the fact that the dips going away lately.

are you worried about that or take that as a positive sign >> i take it ads a positive sig. it was just dual stock buy packs. now those are coming back. they said they were dead last april. we are seeing retail participation. we're also seeing new forms of shadow banking which is nontraditional lending we're seeing companies like insurance companies find new ways to lever up their inv investments to try to get higher yields this is more powerful. >> that's remarkable because we have spoken about how big a contributor corporate stock buy backs are to an ongoing rally and ongoing expansion. we thought it was unique last time around. maybe with the pandemic people will use their money to pay down debt instead of starting stock buy backs. anybody who has been hurt by the pandemic, kohl's i crncreased te

size netflix $5 billion buy back program yesterday. whirlpool, monday. bank of america, 25 billion dollar approved last thursday and the kohl's program i already mentioned. >> it was less than 100 firms buying back stock. i think once again we'll see more companies, most companies in the s&p 500 doing stock buybacks this time around we have retail participation and we have got increased shadow banking that doesn't mean we won't have any dips going forward i've written we'll have another paper tantrum sometime in 2022 i think the dips will be shallower and briefer than we saw in the last bull market on average. >> two follow up questions first, a lot of people ask,

isn't this sort of a frothy sign and don't company always buy at the highs. they are not known for being good stock timers. what would you say about this idea that companies just keep bieg high-- buying at higher an higher prices. >> it went own for 11 years in the last cycle the only way to time it is when the credit cycle ended if the virus had not kicked in, we'll still be buying stocks i said stock buy backs were dead and they were for about six months i thought it would take a year. it took three months now junk bond yields hit an all time low a few months ago. there were only a few basis points above that. it gives them more borrowing

power and they increasingly using that to buy back stock s >> you wonder if this is too much financial engineering and is there a macro case that can continue to support this to add onto that if every one goes i listen to this bryan guy and we saw it last time, i'll go triple leverage up long and it fuels this kind of market euphoria we have seen it in game stop and parts of crypto but what happens if the entire investment universe goes, you know what, i want to be overly leveraged and long >> we're not at that point yet i'm not encouraging anyone to go out and lever up their own portfolio. they need to make decisions based on their own circumstances. our main investors are public pensions number two are insurance companies and they are bringing in money hand over fist. the money, the yield they need to make is around 7.5 for pensions around 6% for insurance companies. that's a historic gap. that means that every tax

dollars that our pensions bring in every dollar that insurance companies raise had to be invested as aggress vly ever in the history of finance if they were to make the above market yields we're just beginning this process. i think it's going to intensify over the next two years. i can say that i think it's going to increase. >> i take your point where does this leave the fed? you mention the taper tantrum concern. >> i think we will hear them talk about, but one of their main priorities is to reliquid fi the banking system after a crisis and the virus really got bank assets an liad liabilities of whack the last two weeks we have taken a big step toward that we have seen record amount of bank bond yields the insurance companies are

rushing to fund them that's create add situation where banks and bond investors are competing against each other to see who can give away the most money to companies on the easiest terms. that process just began in the last week and a half or so >> pretty good time to be maybe in the treasurers office in corporate america. it's fascinating the way you connect the dots it's unconventional. we appreciate it very much thank you. see you soon >> thanks. speaking of the bond market, we're getting results from the 20-year auction today. rick has more. >> this is the 12th, the 12th 20-year auction since they brought it back. this was a good one. the great for demand at 1:00 a.m. eastern, i give it a b plus let's go through it. the yield, 2.144 that was lower when the issue was traded lower yield is a higher price. 2.42 well above average. here is the real highlight on indirect which is like pension fund, excuse me, the

for foreign entities we like to pay close attention to but direct bidders, edge funds, like the gentleman was just describing all those buyers and the treasury market were aggressive. 20.2 the highest of all 12 auctions and dealers took the least amount that 21.1% of all the dozen 20-year auctions some big highlights there that really do accentuate the notion. >> thank you very much, rick let's turn to netflix. seeing a big drop today after the disappointing numbers last night. the company only added four million global subscribers in its first quarter. that was below the 6.1 million estimate scott, it's good to have you tell me why? >> if you go back to 2020,

netflix clearly had a pull forward in its business. we downgraded the stock on the back of the first quarter last year when the company added. it was the strongest quarter in history in terms of net sub. now we think the stocks has been mostly derisked. you could have another three to nine months of transition period but when you look at netflix on an annual basis, what's so interesting isatili volatility in 2018 and 2019,added 59 million subs in 2020 and '21, they're at 57 million subs

that's really not a story here when you step back and look at the long term aspect offs of the model. >> you have a $560 price target. you upgraded it to a buy today it's not exact ly copitulation r maybe it is. all that dproet you're talking about is in the past and not in the future >> it could be what's interesting is when you lookt the history of netflix, they tend to miss a quarter a year on average. the year is you theek. last year was quite unique it's possible that this period last longer than the one quarter and that's something we said in our note this could be a three to nine month window where before it's back to normal but when you take

a step back, this is a business now that trades at mid-30s that is now cash generative on the verge of being cash generative it haed a buy back in place and the capacity to generate 90 million dollar worth of free cash flow to utilize for buy back over the next decade. it's totally different story now in derisking so many different ways on top of the sub number because of it also become so funding during this period >> you mention the $70 million, the last question is that going to stock buy backs how much needs to be spent on content when this global appetite for content and the competitors it has the buy against are higher than ever

sd >> let me clarify that comment netflix spends billions on con jents. we expect that to grow to 35 billion dollar it should begin to generate cash more consistently with its operating as the past. over that time period, we anticipate they will have about 90 billion of unlevered free cash be company can use to recapitalize the business. >> that's very interesting thanks so much today we appreciate it >> thank you fnchts comie coming up, a husband and wife team in germany got to work and developed the pfizer vaccine. we'll speak to one of them about what the covid fight could look like going forward

supply disruptions that hit almost every industry from autos to retailers is relief on the way or will the log jams get worse that's all ahead on the exchange plap

which shows will you be getting into tonight? how about all of 'em. netflix. cuz xfinity gets you really into your shows. when someone burns for someone who does not feel the same. oh, daphne. let's switch. from live tv to sports on the go. felix at the finish! you can even watch your dvr from anywhere. okay, that's just showing off. you get all of this with x1. so go on, get really into your shows. you need a breath mint. xfinity. it's a way better way to watch. . welcome back we're leading up to the launch

of an nbc special vent called inspiring america. we're highlighting extraordinary people making a positive impact in their community and my next guest fits the bill. we're happy to welcome a scientist behind the pfizer vaccine. she's the chief medical executive offer and co-founder of biontech. it's great to have you here. welcome. >> thank you it's a pleasure to be here >> i have a number of questions about the vaccine and covid. what has it been like for somebody you and your husband have described yourself who celebrate over a quiet cup of tea. what is all of this attention like for you and do you enjoy it do you feel like it's your duty to be one of the chief communicators about this disease and how the fight it >> we are very focused on on our work and we have to be we're still many the pandemic situation. we also have to communicate and

be very transparent about seeing the data we have obtained and educate the global community >> as i understand you're working with this mrna technology to help cancer patient and able to come up with a vaccine very quickly now the concern, we heard it from pfizer saying we might need a third shot what will your explanation be of why that might be necessary and will it be >> i think it will be because it's in nature to immune responses that after they have been used they spike and stay for a time but with time, new responses wait.

it will be an additional boost necessary that we might see the situation that similar to flu shots. we would need yearly or every second year additional shots >> why are you not overly concerned about the mutation of this virus or we're not overly vulnerable to mutations causing anything like what we saw as this first spread around the globe over the past year >> it's expected an natural that a virus that replicates also mutates. what we are seeing variants which are occurring that is not

a surprise the question is will vary yiant occur cape the response by natural infections we don't have indications for virus escape the variants we have such a rating now it's important we gather data and analyze whether any of the variants escape response and be prepared for adapting our vaccine to another variant of concern which is easy to do. >> interesting that's somewhat reassuring the long term question that everybody talks about when they are now allowed to gather together in some kind of informal neighborhood setting is what happens if we all grow two

heads in 30 years because of these vaccines we have been taking and this reference to the idea they are unproven and untested and this is a giant science experiment on the population we all just siend up to take the same thing that we are one year's study about, what do you tell people to reassure them that there won't be long lasting negative effects as a result of the vaccines we're taking the fight off covid. >> a will the of vaccines have gone through the usual steps of clinical development which are optimized to ensure that identification of risks and mitigating them and reassessing potential risks of vaccine of any medicine in principle, the way this vaccine was developed is according to rigorous

scientific, ethical standards. the difference to normal vaccine development is because every one has worked together. all these processes have been compressed and feasible to develop the vaccine within only ten months what i would say is that in principle everything we put is working normally assessed for vaccine in order to ensure it has been assessed vaccine as well millions of people have been already vaccinated at this point it happens under rigorous observation of potential effects of the vaccine and assessment of any reports of potential side

effects. >> i admit i snuck out a little early from the 15-minute waiting period myself. thank you so, so much for your time today and for the work you have done. thank you. we reallyappreciate it >> thank you >> you'll be hearing from many other incredible individuals on inspiring america, the 2021 inspiration list it airs saturday on may 1st. still ahead, while apple was showing off its shiny toy, one of its key suppliers was in midst o of a ransom attack amazon wants you to pay with your phone now atto iahd. machin

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. welcome back let's get you a check on the market now we're pretty much near session highs with the dow up 230 points today. a rebound after the declines we have seen the last couple of sessions and the nasdaq is leading the way. let's check on the sectors where materials and energy your leaders. gains of about 1.3%. not major. some of the individual movers include bitcoin, a hit again today and down 10% this week it's under the 56,000 there are mark just by bill miller's enthusiasm yesterday moderna is higher after it struck a covid vaccine deal with israel israel got the option to buy doses of the vaccine tailored to

treat covid variants shares are up 9% now to rahel for a cnbc news update >> chuck slew mer says the conviction of derek chauvin buzz not mean the nation can move on from addressing police misconduct he says he will push for legislation that will end the senate bias and law enforcement. >> some republican congressmen have pledged to not take donations. they accuse them of being monopolies that can threaten personal deliveries. alphabet and amazon have halted donations. vladmir putin warning the west not to threaten security interest and promising swift

retailu retaliation if red lines are cross. starting today, the faa is allowing small drones to be flown over people and at night that's a big step toward the use for window spread commercial deliveries you can only imagine all the industries that stand to benefit from that. >> this could be happening in my neighborhood tonight in. >> it appears so i'm not sure how i feel about that personally. i'm sure some good news for them >> kids would love it. >> thank you very much stimall ahead, a key apple supplier is the layest victim of a ransom ware attack once red hot spac seem to be cooling off. n'gonyerr. about that late dot awhe. machin hey lily, i need a new wireless plan for my business, but all my employees need something different. oh, we can help with that. okay, imagine this...

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- life right now is already stressful. there's no room for bullying and hate. - let's stop discrimination and start working together so we can all focus on staying healthy and safe. - the more you know. . welcome back it's no secret the pandemic has disrupted the supply chain but as people emerge, it could get worse. we have more on how long this could go on.

steve. >> surging consumer demand in tus and around the world have backed up prices and going for shipping containers. that raises questions about how the attached price hikes are going to be. mark szakonyi says it's like christmas every month. he means the volumes of shipping that's going i don't see when it's ending good luck trying to find space on a ship in may the sport of los angeles has handled 800,000 teus for containers that didn't happen during a single month in 2019 the problem is the ports are not working, they are working over time

when you run the global complex hot for 6 to 12 months, there's enough pressure to push prices up supply disruptions now a regular feature in many company earning reports this season. the price increase already filfi filtering down to the consumer level. t you have to build ports and shipping capacity. that takes years this could be a problem that is maybe more than a bit temporary. >> everybody has their own anedote. every tindustry you talk to have all countries benefitted equally from this exports s sure a lot of it seems to go back to china. >> i'm ignoring the comment about pinning the kids in. we can talk about that offline what looks to be happen sg china and north asia it really dominating this

process. if you look at the china share of global exports, it's surged so it's really taking up the slack. interesting relative to u.s. growth which has been quite strong u.s. exporters are not doing as well to this point relative to under performing and the reason is because they can't get, in some cases they can't get space on container ships >> i get it. you don't want to build out this extra space and not need it. you have a horrible recession following that in the years ahead. very difficult problem we appreciate that thank you. soccer ask not so super league and palm payment. it's all coming up in record fire it's financial literacy month. cnbc is sharing messages from business and bot leaders about the importance of financial education. here is the president of the new york stock exchange. >> the american dream is not only about being able to start a business and earn a living, it's about sharing that success too

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we can create new ways to connect. rethinking how we communicate to be more inclusive than ever. with app, cloud and anywhere workspace solutions, vmware helps companies navigate change. faster. vmware. welcome change. welcome back let's catch you up on several stories the need to be on your radar today. we welcome for a reason you might be able to guess we'll save that for a couple of of minutes it's up about 22%. well above its range they make software robots that automate office tasks. the ceo saying p ing believes ta

completely reshape the future. the 34 billion dollar valuation makes it one of the biggest ipos in history no one talks about it. no one cares no one seems to have heard about this company outside of cnbc scott asked the traders, no one was -- why what's the difference between snow flake and this one? >> every once in while a software company comes along that no one cares about or feels that way and they sort of blow up and uipath could be one of those. they are well nope in silicon valley they are very excited. the business model is super interesting. it's in this really edgy robotic space. it's software that employees can use.

it's name to watch >> what would you say? >> i'd say it's an enterprise company. most people have not heard of enterprise companies, don't care about them even when they blow up that said, it's one of those athena situation where is it's springing full grown from the head of zeus this is one of those typical spac offerings that i know we'll talk about you have to be careful on vamuation. >> let's skip ahead to talk about the spac craze we have new data showing this is hitting a wall it's up decently today spac not so much we hit a brick wall there's been 10 spac ipos this month.

90% of all spacs, he thought the spac name is wientdsing down. what's kind och the take away here or is it just this is an accountsing flub that will blow up in a big way. >> they have so. i guess not total surprise there because last month was such a blow out and last quarter was a blow out the thing that's interesting to me and don't forget the i vester banks have capital markets this was big part of it last quarter. if there's more of a pull back in spac activity, if that's correlated with or also causing a pull back in other capital market activity, doesn't seem that way so far based on comments from the ceo yesterday.

they weren't saying this boom will continue forever. they weren't warning us off another good quarter to come whether the spac part grows down sdplp maybe that's the way the tie it together what's been this collapse and what's been going on with the spac there's kind of not froth coming out but maybe people taking a breath here. >> this is the key difference to me between traditional ipos and spacs. they have to look backwards at a record of financial performance. spacs can make the huge claims about the future the whole model is really curious. you have someone who burst onto the scene, told investors i'm going to choose a great company so put your faith and your money into my blank check company and what is he do in the gas of virgin galactic, he cashes out a

few months later and it's the retail investors left with a lot of the losses. i wonder if there has to be different rules but perhaps different lock up periods too. >> a final word on this, jon >> they brought the ipo market a little bit back to what it used to be. i know spacsaren't ipos but th early stage company you're take a plier on become one of those couples in the next holder letters. >> speaking of bringing it back, the new uber ceo is behaving like the old one what's going on can you bring us up to speed >> there's been, let's call it a

twitter spat this morning. uber is expanding into germany where just take away european delivery company is the dominate player saying look at your labor model which we know uber has been under a lot of pressure. it's all sort of more -- this is a microcosm of this fierce battle if food delivery. this business that has over taken ride share for uber that it is putting so much money and resources into it raises the question how much more money are they going to spend. acquiring grub hub this battle is not just on the other side of the atlantic it will be coming home >> this reminds me of why i love

twitter so much. i learn so much watching ceos fight. there's no other forum where you can see it this candidly we're going to have our own soup league we'll have our own tv contract you guys have the fends for yourselves hopefully you'll make it the fans freak out the whole thing imploeds what happens next? >> we go back to normal. that's the monumental failure of execution. a massive pr disaster for the 12 owners involved. those 12 shareholders decided they would greedily steam roll the interest of their stake holders, in this interest the players and fans but totally

underestimated the power of those stake holders. particular the fans, particular in the social media age and within two days it's been turned on its head. it's totally collapsed what will be interesting if it's more than just a pr disaster for the owners and if somewhere some of them get forced out that would take someone to buy the club >> what were they thinking we kind of like this how could they have gotten it so wrong? >> there's a few u.s. owners who may have owned some u.s. sports franchises what they wanted to do was move towards the valuations that the nfl teams have here which is many multiples of man united list on the stock exchange valued at 2.7 billion despite having many millions more fans around the world than an nfl franchise. there's no relegation in the u.s. there's no need to qualify for the biggest competitions every year and that's what they were trying to design here. 12 founding members would permanently be in the top competition. they wouldn't need to qualify

each year and more guaranteed revenue. they traded their money for merit which is the driving force in european soccer >> it seems to continue this trend, if you look at what's happening with gamestop and crypto the little guys are fighting back and saying no and it all kind of melts with what social media and the changes the internet brings us you can harness the power of the fan base in ways you could never before look what taylor swift is doing. she's harnessing the power of her fan base to fight against investors and big music labels i think people realize if they don't like this deal that owners came up with, they can literally shut it down >> i love the connections we have made. we have found yet another way that i don't understand soccer super league what are the leagues that are there already?

how many teams manchester united. what i love hearing you talk about it it's very important. it's the enterprise tech >> i'm with you on that. i haven't been this be wilds wie by a story this sijs since dogecoin >> i think you put it well this is battle of shareholders and tstake holders. >> it's probably unlikely they will sell because of the billions needed to buy the fans have a say. i think there's a high chance that the con ksequence of this d the owners will regret the day they tried to push the boundaries too far

broad representation to some level will have to contain some fan membership those owners will regret the day they pushed their stake hholder too far. >> why do they need a seat on the board? they have proven they don't need one to make their case look at jon's face >> what now? >> we're going to move on. amazon is getting hands on with grocery shoppers testing palm scanning at whole foods in seattle. they are planning to roll it out across other locations the software allows shoppers to pay for items by scanning their palm over dae vice they have to pair that to a credit card but then they can use their palm after that. i feel like every two weeks amazon a opening a hair salon. this is a legitimate innovation we'll be using and have to pay attention to >> it goes pack to the bezos philosophy, it's always day one. always be innovating some hit the mark.

some don't the hair salon, i have my doubts on amazon is major player in payments i think that could be something. we know they have been making moves in the space in terms of payment with their walk out technology will they license it it out. in today's press release amazon said that they were looking at putting this in places like stadiums and could be another major money maker, revenue stream for amazon. never count them out even the hair salon. >> i think that this is slightly less scary to me than what we all do on the iphones is face scan and kind of a little more open to the hand scanned i get it fingerprints are important but not a face scan or an eye scan and i think if it speeds it up and well protected by a company unlikely to get hacked with the necessary protections i'm kind of okay with it.

not embracing but okay with it. >> i'm happy to not touch anything i'm fine waving the phone over the thing to pay. >> as you unlock it with your face. >> at least i do. >> still on the device >> appreciate it coming up, as apple unveils the hardware a main supply is dealing with a ransomware attack w don't forget to watch us live with the app any time of the night or day we are back in a couple.

welcome back one of apple's key suppliers is a latest victim of a ransomware attack and they deman $50 million by may 1 >> reporter: hey, kelly. the company is quanta group and there's a statement this week announcing that they had hacked

quanta they say today we the revil group will provide data on the upcoming releases of the company so beloved by many tim cook can say thank you quanta so they put up documents all over did dark web. we have a source that went there for us for specs for apple products or they say it is we don't want to get too close to them because they're potentially stolen intellectual property from the company. no comment from apple but it is fascinating and does put a decision point here for the company. same time the department of justice today deciding to launch a new task force on this issue ransomware and focus on the relationship between the government and the private sector and examine the way the department can encourage organizations to notify the

department if and when they become victims in order for the government to investigate and provide information that enables effective incident response and the remediation and saying they will go at this issue which is this wave of ransomware attacks we have seen across the economy that have been impacting companies and that decision point that companies have to make whether or not they should pay the hacker just the justice department says it will devote more resources to intelligence and all sorts of education inside doj to get to the root of the problem we tricky for apple and the supplier. >> most of the activity of $150,000 of small to medium sized businesses >> it's a lot of money one company or negotiator said he heard of a company hit for $70 million. in this case $50 million they decide to pay based on

whether or not they feel like they can stay in business without paying right? if a company feels like it can unlock the computers, control data it won't pay but if it feels like they're out of business if they don't pay then they pay up. >> this is a conversation for next time but they need more help this is warfare. it is crazy. >> it is. >> you are all over it and we appreciate it. that does it for us today coming up on "power lunch," the white house power summit kicks off. i'll join tyler matheson for "power lunch" after a quick break.

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for more information, visit calvert.com/earthday. good afternoon welcome to "power lunch. kelly evans will join me in a moment stocks are rebounding today but what's left to buy at peak everything are investors saying get out of the at home trade? netflix tumbling we'll look at the names one by one and see which could have some staying power. economic opportunity of the billions of dollars in vc money, only a tiny percentage to businesses owned by blac