i would be a buyer here utilizing at 55 stock for risk management >> finally, pete >> another one of these wild names, tyler, and i see unusual option activity in there, till ray. i think till ray has a chance to make a nice move to the upside >> thanks for watching that does it for "halftime." "the exchange" begins now. tyler, we'll see you shortly. hi, everybody. welcome. we've got starry names in a whole constellation of ipos today. we start with richard branson. one of his companies is launching satellite orbit today. the other got cleared to take passengers to space. will he beat bezos into flight we're speaking with the ceo of bed, bath and beyond. early returns are good, big jump in sells but can it return to highs >> while spac systems are down, ipos are back any abig way, china's didi going big

they're all coming and they're waiting in the wings this week, but we begin with the end of the first half of the year and seema mody with here with those numbers for us >> can you believe it? halfway there, kelly, stocks on the final day of trading in june are higher with the exception of the nasdaq lower by 20 points. what is helping the dow outperform this hour, energy as oil climbs above $75 a barrel. opec leaders do meet tomorrow and they're expected to discuss whether to increase supply we're looking at crude up 75.20, wti up $73.88. let's talk about ipos, didi finally opening for trade. it's not just didis. we have sentinel one up 22% and clear secure up 34%. this week alone 18 companies have gone public, most active week since 2004.

it is the last day of june any move higher would be the fifth in a row in the month up 5% on pace for its 7th positive month in eight. the best performing sectors, consumer discretionary led by etsy and ebay and real estate. the underperformers include materials and utilities. >> that's what giving it a little bit of that 2020 feel now to our big guests. sir richard branson orbit completing its second mission of the year, sending up seven small satellites morgan brennan is here with a look at today's launch and also with the people behind it. >> oh yeah we're kicking off the hour strong today's mission marks the start of commercial service. the tubular bell's part one mission -- this is named by the first record by the first band ever signed to virgin records -- carried before 10:00 a.m. eastern this morning, virgin

orbit's boeing 747 took off flying to about 45,000 feet before releasing the small launcher one rocket which then fired its rocket and hurdled into space it is privately held by virgin group, and that is where we're going to start this discussion joining us now in this first live interview since the launch -- since the launch happened earlier today is virgin group founder sir richard brans son and dan hart, virgin ceo congratulations and great to have you on the program. >> thank you very much it's been a wonderful, wonderful day. and congratulations to the whole virgin orbit team for something a lot of people thought was impossible and making it possible >> great flight today. >> yeah. sir richard, your space companies, both of them, have been achieving significant

milestones how does today's launch speak to the investments you've made in the space sector over the years and how your vision for space is materializing? >> well, first of all, we've got a lot of customers, had had all their satellites put into the right positions celebrating in the background so, if you hear a cheer or two yeah, it's been an incredible couple of months with virgin and galactic doing an absolute seamless flight into space and virgin orbit today going into orbit, traveling at 17,000 miles an hour and just dropping off seven satellites successfully into the right positions around the earth. and this is their second flight in a few months. so, you know, both companies are absolutely on track, and we've got these just incredible teams

of people that i'm so proud of that have created these magnificent companies. >> dan, let's talk a little bit about that launch manifest how many customers have no signed on? and with this second launch now complete, how wquickly before you're sending some of those payloads for future customers back to orbit? >> we have dozens of customers signed up. sorry. noise. we fly again -- we plan to fly again this fall. we'll be going through the data from this flight so far it looks flawless it was a beautiful flight. the team did a fantastic job taking off from southern california and finding orbit >> just a fun one. the plane that we converted to do this mission was one of the 747s that worked for virgin atlantic for many, many, many years. and the time that we actually -- they actually launched the rocket just happened to be at

7:47 this morning. i don't know i'm not one for these sorts of things but 747 and -- yeah, they nailed it. they didn't realize that's what happened >> it seems like it was meant to be sir richard, it's kelly here just one question, are you trying to beat jeff bezos into space? >> jeff who? >> jeff bezos -- [ laughter ] you've got until july 20th i think. >> because virgin galactic is a public company, i am not allowed to talk about that and so today i'm only allowed to talk about virgin orbit. but i'm sure that -- i'm sure that some stage i will come and talk to you about our other company. but this is the sister company today. >> well, i mean, i realize there's limitations. this is morgan again i realize there are limitations on this. the world does want to know, yes or no, are you going to space

this weekend >> when the engineers tell me i can go to space, i'll be going to space >> okay. dan, just to shift back to virgin orbit a little bit here the company has been quoting investment for some time the last time the two of you joined me to talk about the last orbital mission earlier this year, we were discussing that. now we have reports that the company could be going public via spac is that the game plan? >> that's another area that we just can't really talk too much about at this point. we would love to at a future date >> okay. well, let's broaden this out a little bit then. sir richard, i wonder how you would assess the spac landscape in general right now, given the fact that not only did virgin galactic go public this way and in many ways popularize is use of this investment vehicle, but one of your own spacs took 23 and me public recently

how would you assess the landscape and the ability to do more of those types of deals right now? >> look, i think spacs are transforming the whole entrepreneurial landscape of the world. and, you know, enabling -- it's enabling companies to do remarkable and credible things obviously we've been incredibly pleased with the success of the spacs we've been involved in 23&me has done great it's given the resources to develop drugs on the back of all the information they've got on dna. virgin galactic is many times its value since going public and, you know, we've raised the number of spacs in the moment.

so, i think spacs in the right hands of the right people who know what they're doing, who have got great management teams are really good. and not everyone's going to be successful b but it really is creating a new revolution of entrepreneurism and job creation which is going to be great for the world. >> virgin has a robust portfolio of travel and leisure, businesses and brands via passenger airlines, cruise ships, hotels, i could go down the list how would you assess the pace of recovery we're seeing take root around the world, albeit unevenly >> it's still got a long way to go, and i do believe the governments have got to be slightly braver when you've got two countries like america and britain that have the number of people vaccinated, similar numbers in both, where they are

relaxing the laws in their own countries, they should allow people to be able to travel between them and more freely so, you know, obviously, look, virgin atlantic has been grounded for something like 18 months, and it's painful you know, our cruise companies are going to be starting this summer, this july, taking people around britain and hopefully it's now back on track but we would like governments to be a little bit bolder when it comes to the airlines. >> interesting dan, it's kelly here again i just want to ask you a question as you sit next to your partner there. i'm thinking, wait a minute, are you nervous about sir richard maybe launching himself into space in the coming days >> no. i mean, richard has been focused on this for this quite a bit of time, and he's really anxious to go to space.

and we are really all together in wishing richard a great journey to space so, we're excited about it >> in terms of virgin orbit, given the fact that it is a competitive landscape out there right now, although the company itself is part of just a very elite small class of commercial rocket companies that have actually successfully been to orbit. how would you gauge that landscape right now? and i guess also equally as important, how big are you going to grow this fleet to support the launch manifest? >> so, i mean, you said it from the beginning of your question there's a very small number of us who have crossed a very large chasm of, you know, innovative ideas to execution in operation. and so, you know, i am so proud of this team for doing this. that's a big part of the competitive landscape.

number two is we didn't build a replica of something that was flown in 1965. this is a new technology full of new capabilities we can transform any airport in the world into space we can fly anywhere, any time, any orbit. it will be tremendously tvalued >> it's happy customers in the background >> customers, civil space and national security customers in the united states and across the world. >> we know there's a lot of celebrating happening there right now, so we will let you both get back to it. we appreciate your time, and sir richard, we will be watching very closely and carefully as we await your long-awaited trip to the edge of space. so, congratulations, again, and thank you so much. >> thanks so much. cheers >> morgan, since you've been following this so closely, what are, like -- how are we going to

know if this thing is imminent what are we watching for he mentioned the engineering team what's the scuttlebutt on whether he's going up there? >> we'll see i'm going to go back and parse through that interview and everything that was just said. we have not gotten a yes or a no either from the company itself or now i think based on this interview as well. the thing i would also note, it's richard branson's birthday next month, july 18th. and i know in the past, before covid, the game plan, the hope had been for him to fly on or near his birthday last year. so, in general, it would seem like, perhaps, there's going to be a very busy next couple of weeks, next couple of months where space and specifically human space flight by billionaires that have been putting money into this sector -- >> it's thrilling. >> we'll see >> i think they're crazy, but it's thrilling it really is exciting to watch it it reminds me of one of the

greatest books i've ever read. it goes through the dawn of the aviation moment and you know we're sitting here talking about the dawn of a similar moment as these two kind of fight it out to see who's going to get into space first. july 20th for bezos. >> july 20th for bezos out of west texas and don't forget you have another billionaire who is the commander and funder of the all-civilian flight of spacex's dragon as soon as september. we have quite a space ahead of us many are asking the question about how much role retail investors have played in the first half of the year we're reflecting on the reddit revolution that has helped propel stocks like virgin galactic higher. morgan stanley is now putting numbers to it. they're saying retail investors are accounting for 10% of trading volume that's not as plentiful as conventional wisdom. joining me now are marion

montaigne and brice jody great to have you both here. so, marianne, is it back to the sort of corporate buybacks being the driver of stock market returns here do you think this is a positive return for stocks going into the back half? >> first i have to stay i appreciate the fact that sir richard opened for me today. a few years ago my father shared the stage with chuck yeager, who broke the sound barrier, and today i shared the stage with sir richard branson. so, that's pretty cool as we talk about what's going to drive retail investors in this market, i do believe they have been emboldened by information that's available on reddit, success with the meme stocks, whether it was their personal success or their fringe success. i think that that's getting people more interested in the markets. and at the same time, there's a lot of people with extra time on their hands and extra cash in

their pockets, compliments of the government stimulus payment. so, i do think that is working toward more involvement from that retail side of the market however, i would caution that we can look for increased volatility in the markets overall and particularly in these main time of names >> so, brice, marianne's basically saying retail investors in the market add to the buying power but also the volatility how would you describe market conditions as we head into the second half? >> well, i think what -- >> i'm sorry brice, go ahead. >> i think it's very positive. i think the impact on retail investors much greater than the 10% trading line that's highlighted because you can also look at the etfs that are dominated by retail investors and have tremendous growth it's up to 6 trillion, up 400 billion year-to-date it's just continuing to grow

the reddit impact is twofold not only is it bringing individuals into the marketplace. you have 10.6 million followers of reddit, which are predominantly individual investors. but it scared away all the short sellers. so, what's going to drive down the market so, that's another ancillary impact so, i think the individual investor is really making a big impact you talked about airline industry in the previous segment. you look at the etf away it's up to $380 million. most of that is individual investors betting on the airline industry coming back and that's having a big impact on that industry so, we think the setup for stocks going forward is pretty strong, despite the fact that it seems like it's kind of at a heading valuation. just these retail investors are piling in. we're seeing cash come off the sidelines, and it's probably going to continue for a while. >> i know some of your particular investments you like,

bryce, include the travel tech you mentioned the dry bolt shipping names, that sort of thing. maryann, your interest goes into financials in order for financials to perform well, do interest rates need to go up in the second half of the year? >> i think loan growth could drive values higher, simply by that with the 10-year at 1.44% today i think the likelihood is it goes closer to 2 that will help them along in valuations and that could be a reddit theme right there is look at the 14 times for jpmorgan or truist, maybe closer to 12 times versus 21 for the overall stock market. and yields of the 2.3 to 3.2% versus 1.3 for the overall market >> bryce, even though we've seen significant rotations first into the value trade and kind of out of the inflation trade, the

market overall ahas held up really well throughout this entire period. does that mean it could continue to perform no matter who is in the leadership, or has it pulled forward the gains for the year >> i think it's going to continue i would buy the dips on any reversal of inflation trades as you mentioned the drive, the dry shipping costs are just continuing to skyrocket. it's going to get bigger and bigger of a problem as europe starts to open up and tries to restock. we see tips is still a very good trade because the appreciation rate, it's probably going to be, you know, 5% to 10% the rest of the year so, regardless what the fed does, you can actually make a decent amount of return here in a treasury bond. so, there are some trades to be done on the inflation front there, even though inflation expectations are coming down

they'll be people talking about it's just temporary. there are still pockets are regardless of what the fed does, there's just some serious cost pressures. >> interesting another way to kind of slice and dice a lot of the price pressures that we're seeing today. bryce doty and marianne montaigne following on the heels of sir richard branson coming up bed bath and beyond belief, raisings revenue in terms of revenue for the year the stock is nearly doubled after being swept up in meme mania. we'll speak about the turn around plans and the rides we're hoping to boost shares let's take a check on some of the companies going public today. didi global up 15% clear up 38% legalzoom up 34% xometry is up 63%. stay with us

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welcome back to "the exchange." let's check on shares of didi and the trading debut. it opened $64.67 a share, a decent pop up of 15% gain here

by the way it's below where it opened it's trading at 16 and change. if you bought on the first stick, you're stuck a little bit under water. this has put the valuation in a rich place didi is just one of the many companies going public today, which includes sentinel one, legalzoom and clear secure let's talk about the ipo resurgence and what it tells investors. i'm joined by the ipo and capital markets. i'll start with you, deirdre it's not terrible for didi but it's not also wow amazing. what do you make of the trading action so far? >> it's not great and when you put up some of the other names that debuted today, that ipo pop is not as strong as some of the others it has eased off in the last 20 minutes. this ipo was priced conservatively at $14 a share. that gave it a market cap of

$67 billion. at nearly $80 billion now, that is less than some thought it would fetch. it was up to $100000000000 billion as recently as a few months ago uber and lyft have underperformed the broader markets and didi is facing the same news, namely unprofitability as well as regulatory scrutiny, which is ramping up in china. a lot of questions about this ipo. and even though it is the dominant player in china, it's not exactly a great place to be if you're a big tech company right now, the dominant player that is what the chinese government is looking at right now, antitrust concerns. this could quickly switch, and it's margin for ride sharing is profitable, but it makes a much smaller margin than, say, an uber because it operates in china. >> maike, we just showed bigges shares it's still over 50 bucks, so it's come back a little bit in the past several weeks

but it does suggest that the enthusiasm that everybody had about ride hailing is a distant memory uber went public in 2019 and is only up maybe 10% from those levels didi aside, what is the trading behavior of the rest of the group tell you >> actually what you're shooting for ideally in an unwritten ipo is something on the order of a 15% gain it's not written down that way, but rule of thumb is you don't necessarily want to max out demand you also don't want to stock the double the first day because that usually causes the cries of they left money on the table or didn't seem like it gauged demand properly. so, i don't think the way the stock is trading is necessarily a concern. definitely undershooting the more optimistic valuation estimates out there. i'm not surprised about that because ride hailing is no longer new it's mostly about the question about long-term profitability and less about how is this going to change our lives with robot fleets and everything else that used to fly around

>> and morgan, we are going to be speak being the ceo of xometry a little bit later on. some of the names that are less the familiar ones doing well it's interesting some of the widely known names, legalzoom, having a good day but some of the smaller players even more so where is all this enthusiasm for these shares coming from >> i think it's the about the future, the growth potential ride hailing is an old industry in some ways now there's only so much growth now. these companies now have -- there's investors excited about companies. they're excited about future prospects. you might not know the names of them, but investors are seeing that they could go much higher we've seen that in some of these names, you know, maybe no one knew what snow flake was last year before they went public so, i think there's this enthusiasm around the future and growth potential and how high some of these stocks could go. >> some of these clear words and

phrases. we know clear mic is a company that's promoting the security part of what it does obviously it just is information company in a way, takes your biometric information and uses that at airports and stadiums and the like sentinel one sals an end point security so, there are some spaces that are really hot right now if you want to call it that where these companies are stepping up right into these niches. >> absolutely. and the ipo market is always very thematic. it's always about whether it's data security, whether it was last year, just about software as a service anything you would try to call software as a service because the stocks have been doing very well so, i think there's definitely a little bit of these waves of demand, hotter areas, they get picked up. and i think in general most of this is explained as a bull market acting as a bull market does what's fascinating to me too is we now have so many ways to get public or to continue to get growth capital there's obviously spacs.

you can merge with a spac. you can do a regular under at night. you can do a direct listing or you can get another round of private funding and not bother with the public market so, i think the time i get concerned about the tenor of the ipo market, it seemed the ones coming public, there was an adverse selection and it was only kind of not great companies and not great deals coming public i don't think we're seeing that yet. >> right as we watch today's crop, we have names like krispy kreme, which people were a little bit more down on because of its history over the last 20 years and so forth what is the tell for you about whether markets are accepting, you know, too many low quality names or if this is -- if it is just all about future growth what are the ones that you're watching here? >> i mean, i think i'm just watching it across the board, and i think the most interesting thing is you normally think of if there's so much supply, can things still work. and things are working look at that list of names

you talk to bankers. the lineup for the rest of the year they're so busy. but when you talk to investors, i don't think they think that jump is being sold to the market the numbers are higher than 1999-2000, they're records, yet they don't think people are throwing anything out there into the market these are all real companies with growth potential. krispy kreme, we'll see what the week brings, but there's tons of optimism right now >> a lot of people were complaining there weren't enough publicly traded stocks, the there weren't enough companies coming to market to share in the gain as they grow. this is maybe a test of that thank you all for today. morgan farrell, mike santoli, dura joining us we're going to speak to the ceo of bed bath and beyond and the push to be the destination all things home. shares are up more than 10% today. we want to show you shares of

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quarter, the last day of the first half of the year sometimes we see these kinds of trading reversals. the dow is up about half a percent today, up 167. the s&p is up 2 points and the nasdaq is down by 20 meme stock darling bed bath & beyond has shares soaring about 10% after earnings had strong comps and guidance we're going to talk to the ceo about that, supply chain issues he might be seeing mark triten is coming up in a moment we show you the stock and tell you the story, and today we're talking slack. its shares are also up about 10% over the past 12 months as employees return to office he is banking on the staying power of their services. >> a lot of innovation happened over the last 18 months without people being in the offices. i think it will be great to add that to the mix. but we're just not going to go

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welcome back to "the exchange." i'm seema mody here's your cnbc update at this hour bill cosby will soon be a freeman. the court found an agreement with a previous prosecutor prevented cosby from being charged in the case. the ruling also bars further prosecution. ford will halt production at some of its factories and slow output at others due to the ongoing computer shortage. the move is said to last through most of july and the house of representatives getting ready to vote on creating a committee to investigate the january 6th insurrection on capitol hill the 13-member panel is said to have five republicans. but what will the panel look like and who will get subpoenaed to testify shep will break it all down tonight on "the news." and in mexico city, billionaire carlos slim says he'll pay for the entire rebuilding of a metro line that collapsed in may his construction company was

responsible for building the metro line in the first place. back to you. >> seema, thank you very much. let's turn to shares of bed bath & beyond, which are soaring after the company reported better than expected revenues and strong comp sales. just over a 9% gain this afternoon. courtney reagan is here with the numbers and the ceo. hi, courtney >> it's good to see you. shares actually bounced around a bit as investors kind of digested those results before the bell revenue and comparable sales growth of 86% did top expectations, earnings missed by three cents. as the cost of the turn around weighed on the bottom line, things like marketing. though the launch of three owned brands did help off set some of that margin pressure with more brands to debut in the coming months still, bed bath & beyond increased revenue outlook ahead of the key back to school season and as online sales now make up 38% of total from 19% prior to

the pandemic joining me now is mark tritton he is the ceo of obed bath and beyond shares up about 9% at this point. you know, some people will point to a short squeeze or say it's wall street bets and the reddit crowd. i bet you credit that rise to something else >> well, we look at that share price over a number of days as people, as you said, digest the story. but we do credit to, you know, a consistent sequential performance, four quarters of growth after several year of decline, growth in sales, growth in margin, growth in share so, we're feeling really strong about not only this quarter but how it steps us into our three-year transformational plan which began in q1 of 2021. >> and talking about that plan, i mentioned the owned brands these are private labels, things that you've created that consumers can only buy at bed bath & beyond. i know you're just in the

beginning of this. but because this is going to make up a bigger portion of revenue in your transformation plan than we've seen in bed bath & beyond's history, give us a taste of how it's going so far and how consumers are reacting >> yeah, consumers are embracing these new brands i think our careful curation of rooms and categories punctuated by their own brands and complemented with the best national brands is what our customers are looking for. the early signs are terrific courtney the adoption of the product has been strong. the online ratings are exceeding our averages for our total website. customers are loving this product. as you say, we're only just beginning. the benefits are around differentiation and that authority but they're also margins. we saw good margin gains which we saw cementing to the second quarter and through the second half of the year >> mark, it's kelly here i u.s. j have a question because

for so many of us that bed bath & beyond visit was a rite of passage as you're going to college. we're seeing numbers showing college enrollment is down quite a bit lately both because of the pandemic but also demographic reasons. is that a head wind? >> look, we actually see that. it's an exciting time for us we had a great back to college period last year in 2020 which was a non-move event and we were up 22% by getting our sorting and prices and communications and services together. this year we come into this event with all of our brands in play we launch next month our squared away brand, which is our storage and organization brand, really important for the back to college period regardless of the ups and downs of the enrollment, there's an interesting phenomenon that's going on this year is remarkable because you see both the freshman and the sophomore taking their first journey to that major move, you

mentioned that life moment move, multigenerations coming into the store and online picking out what they want their dorm room to look like and experiencing that together. we think this is not only a terrific sales moment but an opportunity for new and existing customers to experience the new bed bath & beyond in terms of stores, pricing and the all-important new assortment >> mark, home improvement retailers look at the housing market a lot and trends in renovation there was a lot of talk about all of us looking around our homes and wanting to update them in some way during the pandemic. and you're tangential to the home improvement retailers, but of course you sell home goods, so a little different. that's not really the metric you look at. not the housing market purely. what is the metric that is important for bed bath & beyond investors to pay attention to as another potential tail wind for your business? >> yeah, look, for us the housing market is important but not as important as people like

a lowe's or home depot for us it's about setting up a new home what's important is the statistics around the moving market on average about 11% of all americans move every year. it's quite staggering the amount of people that physically move and this year is predicted to be one of the largest record-breaking moving years as people relocate, rethink where they want to work and how they want to work, particularly with work-from-home and hybrid models what we've seen in our business is that the market is considerable, about 18% of our total market is moving market. that customer spends about 30% more than a non-moving customer. and about 18% to 24% of that customer base every month is new to bed bath & beyond so, if you kind of align an exponential moving moment in 2021, the college moment and then how we are interacting with that customer, that provides upside opportunity to engage by existing new customers and create growth.

>> that is so interesting to me, those statistics before we let you go, a keynote in your results is the digital penetration, 38% now it was 19% before the pandemic and usually when you see a retailer that's a traditionally brick and mortar-based retailer, as online sales go up, so too do the costs. what are the economics and interplay between online and in-store right now as you see the digital penetration increase so much so quickly >> well, you normally do see a differential in about a thousand basis points and we've been able to off set that by not only the goods but the services we're provides. so, providing about 14% of our sales is a low cost option we're now fulfilling another 17% of digital sales from our stores, making that closer and faster to create ease and convenience for the customer and we'll shrink those costs overtime and our mix is dramatically

changed from last year so, moving into our best practice categories that really do shine with home brands and their creative margins help us to create a new equation for gross margins trend at bed bath & beyond it's a great note that despite the incremental two year stack of growth that is maintaining last year's sales level in the digital space, we still manage to eke out a very profitable quarter. >> mark tritton from bed bath & beyond, ceo joining us on earnings day thank you very much. kelly, i'll toss it back to you. >> courtney, thanks. coming up on "the exchange," it's timber. lumber soared on the way up and now it's falling hard on the way down tdel take a look at thera and the latest figures right after this

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welcome back to "the exchange. here's your check on markets half a percent gain for the dow, up 157 we're just a little bit off session highs. roughly flat up a point for the s&p down 19 for nasdaq as we are closing out what has been a very strong first half of the year, even though this past quarter has been much more marked by the return of the growth trend, the decline of the inflation trend than the first quarter we'll see which comes to the floor as we head to the back half of the year in terms of other movers, spotify is looking to get into the events business. spotify shares up a little less than 2% now. they say they wouldn't be competing directly with live nation but could be leveraging streaming data from users. and we're also watching lumber moving lower again today, down almost 6%. but again we had the end of the month, maybe some trading effects there. it's down 45% this month it's down 57% from its may high of nearly $1,700 it's got a 713 now on it now

check out thread up and posh mark, they're up about 10% for the week ebay and etsy are also closing out with strong gains. ipo mania60% we are going to speak to the ceo right after this

the boss is back baby! the difference in try and triumph... is just a little umph! upsees, i need upsees. i'm sure this isn't something money can't solve? what the fudge?

oh my gosh, oh my gosh, oh my gosh! welcome back, everybody. let's look at shares of xometry, which are up 60% of its debut on the nasdaq this afternoon. it priced at 44. it's trading now around 70 the company sees itself as kind of the airbnb or uber of manufacturing, connecting companies who need parts or services with makers that can fulfill those orts asap. they list bmw, ge and even nasa as clients let's bring in the co-founder and ceo randy altschuler welcome. which analogy makes you cringe the least? air bnb, uber? >> i like them all

we're digitizing it and people have done that to great success in other industries. >> explain to me how this goes a step beyond the traditional mafg setup. >> there is this huge market and it's very inefficient and was highly manual the way buyers and sellers connected and founded solutions. with the xometry marketplace buyers have access to hundreds of thousands, potentially, of manufacturers and sellers have the ability to get customers all across the country and all around the world and we have a basket of seller services to help the small manufacturers grow and flourish. >> what is your moat you seem to have a first mover everyone but what if everyone says that's genius or amazon offers that as a bolt on service or something >> all the liquidity, the instant pricing that we provide for both buyers and sellers is generated by artificial in

intel intelligence we've accumulated millions of points of data to really figure out what is the best price for a buyer and a seller we are market makers we're doing the same thing for on demand informing and that's incredibly difficult to replicate and we built these buyers and sellers and just building those groups up >> you've been a manufacturing geek your whole life, is that right? >> i love manufacturing, and we do some amazing things we're helping electric vehicle companies, robotics companies, autonomous vehicles, vehicles trying to solve the issues we're having with carbon so it's such a thrill for these products to come out of the xometry marketplace. >> do you know what your market cap is after this open today >> i haven't looked. i'm just focused on -- we're blessed to have some amazing investors.

it's early innings we have a long way to go >> your revenue last year was $141 million are you profitable >> we are not yet profitable >> is that something you think is right around the corner, or is the liquidity going to help you achieve that what's the business model? >> i think we have a long-term plan to profitability. part of that will be as we continue to grow our revenue and we get leverage on the operating cost as well i think it's a great opportunity and we've been growing nicely. so we see great opportunity to grow and become a profitable company as well. >> quick final question, why go the traditional ipo route instead of the myriad different options whether it's a spac, a direct listing i'm sure others have looked at you as an acquisition target >> our private round before we went public was backed by t.

rowe price we had a lot of enthusiasm coming in to our debut today and we thought, hey, let's build a book of long-term investors and build a great can be >> randy, thanks for your time congratulations. randy altschuler is the ceo of xometry. before we go we want to check on shares of didi. they continue to lose steam as we go throughout the session, only up about 6% from the price of 14 last night they opened at over $16 trading today. if you bought on the first tick you are under water right now. still, they're 6% above the price last night more next hour on "power lunch."

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good afternoon, everybody, and welcome to "power lunch. along with kelly evans, i'm tyler mathison glad you could join us on this sweltering wednesday the ipo rush, companies racing to go public spacs, who needs them? listings are setting records, but not all are worth owning our guest this hour will tell you which ones are speaking of creating the future, how about th