should be a decent outlook for the group during the big earnings period. so there is potential, a significant upside this year i would say. >> conditioner, thank you for joining us today i appreciate night thank you >> and like he said, go book your tickets now prices are going up. connor cunningham from mkm partners that does it for "the exchange," everybody, thank you so much stick around for "power lunch," which begins right now ♪ welcome to "power lunch," everybody. and happy new year they may put kelly and me in separate studios but they can't keep us apart. welcome to the first "power lunch" of the new year i'm tyler mathisen, the new year begins with a major milestone for apple. here's what's ahead -- a chip glut a shortage of semis could give way to an oversupply that's the call from one top analyst who has a list of stocks he says could benefit from that about-face. and out of office?

omicron fuelling a worker shortage that was already acute, from airlines to schools, everywhere in between, health care, the businesses most at risk as case counts rise. and a retirement reset the new year brings new opportunity to save for your financial future we will tell you how later this hour hi, kelly. >> hi, tyler, from way over there. stocks are higher to start the new year the dow up 152 points now, that's near the session high of about 160. the s&p up 20. the nasdaq up 159. interesting to watch the nasdaq, leading the way today even as bond yields move higher. apple hitting a $3 trillion market valuation just a few minutes ago. like tyler said, the first u.s. compan company to ever do so. let's bring in bob pisani. what are your thoughts on this milestone. >> i think there are two issues here first of all, congratulations to

aem. more importantly, there are two issues there is a valuation question and a macro question i think the macro question is the big issue. apple may be best in breed, but we know historically very well that companies with high levels of cash flow have problems when interest rates go up and the fed starts moving interest rates around that's an issue. this happened -- apple dropped just as much as other companies in 2018 when we saw ten-year yields start moving to the upside apple took a hit late in 2018 like all the other companies i don't think it is immune to the macro concerns about rising interest rates on the valuation, it is 31 times forward earnings that's historically very high for them all the apple bulls say don't worry about it they will outperform and do better than people think on the earnings per share growth. modest, very small earnings growth this year for apple maybe they are worth it. maybe they are right, maybe it will only be 30 times forward

earnings but it is still an issue, apple is not immune to the macro and valuation issues that are out there. >> mike, as i think over the years to the companies that ascended to become the most valuable companies in the world, the list includes microsoft, it includes ge, it includes exxon sometimes it has been more curse than blessing. in other words, their good phase runs out and once they ascend that peak they tend to hit a little bit of a trough or a valley. >> eventually that is the case you can go back a decade and find that general motors and at&t and gm did have persistent runs as the largest company in terms of market cap. so it wasn't necessarily immediate come uppance we should note that apple, at least soon after hit trillion mark traded sideways for a

little bit it is a huge number. almost a pure abstraction i think to think about the size of it it's almost 7% of the s&p 500 right now. as bob said, very broad terms. 30 times earnings. that's means it is a $100 billion net income company we haven't had any of those. >> tom forte of d.a. davidson joins us on the phone. i have $3 trillion have i got 3 trillion reasons to buy, 3 trillion to hold, or 3 trillion to hold, tom? >> i think what is unique about apple hitting $3 trillion is that investors are willing to bet that major products are coming, including the electronic vehicle, something that will enable to leverage the metaverse, augmented and virtual reality. whereas the $2 million upgrade was more about excitement over

5g to the extent that investors are building to bet on apple entering new markets they are not in today, having new products they don't have today, that's what's you nike about the $3 trillion. if you are a believer they are going to do those things -- they have to, really. but the smart phone marketplace slowing down, i think there is reason to be optimistic on $3 trillion for apple. >> you hit the key point there, i think. do they have to come out with or express the intention to come out with products of the sort you describe, a metaverse product, an automobile product or some kinds of other platform? do they have to do that to continue moving up >> tyler, absolutely i think at some point in time, investors are not just going to take apple on the assumption that they are going to grow forever. at some point they are going to have to have new product announcements and show they can exploit the exciting new

markets, electronic vehicles, august menned or virtual reality. but i think today investors are willing to bet on that assumption, i think that's why it hit the $3 trillion market cap. >> bob, let's bat around the idea that apple for some period of time, it goes through phases, a dorpant phase, like a cicada where it is we becalmed and people say what's wrong with apple? it wasn't that long ago that people were saying that. then n 2021 it came through and really blew away lots of competitors yeah, remember people were saying with steve jobs gone they will never live up to the jeeve jobs legend? they have, because product diversification has done it for them you have got to hand it to the company. a vast group of people out there want it and want it consistently and they get people to buy into their upgrades i have been an apple user for 20

years. i bought into it 20 years ago. heavy a loyal following. mike and i have said it a long time it is hard to stay number one. i remember in 2000, general electric, my former employer was the biggest company in the recalled would exxon held on for a remarkably long period of time. we know what happened to them eventually they are still great companies but it is hard to stay dominant for long long periods of time at the top. >> there are jokes the biden administration is going after chicken pricing today that next to a $3 trillion market cap for apple -- you know, i think apple knows this is going to invite -- you rob a bank because that's where the money is. >> right i mean, clearly, it would be an easy target to say that there is this kind of obscene riches in this one company, what are they doing with it? are they acting in a consumer

friendly way or not? it probably does lower threshold for criticism of the company i don't know that it's necessarily the kind of thing, though, where it's the one thin that consumers complain about. you know, iphones have had their premium pricing for a very long time, even when inflation was non-existent the company has done a great job of smoothing out the whole purchase of everything they were doing buy now pay later for a long time through the carriers i think it is not so much that -- but if you wanted to talk about anti-competitive practices in the app store, i think that's the case. the $3 trillion won't make them friends in washington. but between apple and microsoft right now, together, more than 13% of the s&p 500 market value. >> wow. >> you could say there is some concentration in this economy. >> it has been true since 2018 truer this year. yet it still goes. tom, with that in mine, to

paraphrase another tweet, 17 months to reach $3 trillion. how long to reach 4 prlds? >> that's a 33% increase the keys will be new products. to the extent they enter the electronic vehicle market, theirable to take advantage of augmented and virtual reality. mike touched on this apple has essentially become a subscription, you have a monthly bill now from apple, you may have a smart phone, a watch a tv subscription, thing of that nature apple has always generated tremendous free cash flow, we are in a period of time where consumers are willing to pay more for it. and i think they are entering new markets which i think is compelling. >> incredible, even the last few months, as tyler said, it had a

quiet year, and it has really taken off. tom forte with d.a. davidson. apple hitting $3 trillion brings up the question about size and whether the big names are getting too big. let's bring in the chief stroot gist with cohen financial. is bigness a good thing for a stock, or does it make you sort of reevaluate whether the stock can continue to move up? >> hey tyler, hey, kelly i think size of an individual name really matters. you have to look into why it got there. this is not something that got really large off of expectations that never panned ow this is a stock that continued to kill it over the last ten to 15 years it is not whether apple is killing it or not. it is also what are the other companies in the market.

there is not a lot that puts up the balance sheet and greta that apple does one interesting fact -- if you look at the -- everyone is concerned about concentration in the market out of the 30 largest stocks around the world, the s&p 500 is the least concentrated if you look at the top ten stocks, they account for about 31% of the index if you look at germany those top ten stocks account for 56%. mexico, 75%. czech republic, top ten stocks count for 99%. >> that's crazy. >> we are way off of that concentration risk that i think u.s. investors are concerned about. look around the world and i think that will alleviate some of those concerns. >> let's turn if we might to what you expect for 2022 in a nutshell, it's that the first half is going to be better than the second. why? >> yeah. well, i think a lot of the concerns that investors ran into at the end of the year and still have today are largely going to be alleviated. not that they are going to go

away covid is not going to go away necessarily this year. but for all intents and purposes, investors will start to look well beyond this we think in the united states covid will effectively be over by the spring. again, not going away, but not seeing the kind of issues we have had with supply chains and inflation. that's not true all over the world. china is still continuing to lockdown that will be a risk in 2022. we do think things will eventually hit that part of the world regarding covid. with the u.s. issues, inflation pressures are starting to come down retailers have seen a surge in inventories. demand is going to slow this year we no longer have a crazy high savings rate for the american consumer we are further along in the economic recovery than we were a year and a half ago when all the vaccines were announced and coming out that was an inflationary

situation. we think it is disinflationary i think the concerns around covid, inflation, the fed raising rates three times this year all are going to cool down in the first half and keep stocks moving higher >> you also have specific names michael that you say maybe to avoid and maybe to pick up on the avoid list, goldman, ge, penn national. on the buy list, fedex, home depot, and the nasdaq and a few more, tell us about these picks. >> sure. this is the first trading day of the year what our team does every year is tell investors who to avoid. while everyone else is telling investors what to buy. we published our sell model report this year like we do every first trading day of the year last year our sell model basically was flat it added 26, 27% alpha, wherever the s&p ended this year. we expect, again, these stocks to really significantly underperform as the cycle begins

to slow, earnings growth begins to slow, and concerns eventually about the fed will come back later this year, we think, after the benefits of covid starting to wane get priced in. so the stocks we want to avoid are just name that have poor fundamentals it is a complex model we look at but it's basically looking at stocks that are both expensive and then have questionable accounting and some other financial metrics that are typically concerning and that's true whether you are bullish or bearish on the economy or the market. these are stocks you don't want to own. >> surprising to see a name like goldman topping the list. >> this is the first time in a long time that name has been on there. we were talking about it this year because this time last year it wasn't on it. even a month ago wasn't on it. now it popped into that universe again, there are financial stocks we own next year. there are plenty of names in our

buy list that are attractive but for a couple of different reasons goldman is now showing some reg flags >> very interesting. michael, thank you for joining us with cornerstone macro. still ahead, will a chip shortage give way to a supply glut a top analyst shares his 2022 outlook and his top picks. plus the 5g fight. the government wants to delay the rollout. now verizon and at&t say no. what's at stake for the next-gen wireless technology. a look at names hitting all-time ties today, hilton, tractor supply, ulta and conste constellation.

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welcome back to "power lunch. the chip shortage was a huge story in 2021. and a new report predicts chip sales are set to grow 10% in 2022 over the last year, the semietf surged 40%, nvidia, up 125%, marvel tech and amd rising strong leez well my next guest is watching for signs of a peak. stacey ras raskin joins us great to see you welcome back >> good to be here thank you. >> let's start with where you think the chip strength will continue, and where you think it might be looking a little spongy. >> you bet so there is a broad debate going on right now, peak cycle versus stronger for longer.

i would say from a sentiment standpoint it sort of depends on the day of the week. but right now the stronger for longer seems to have it. most of the companies had very strong outlooks in the most recent earnings season tons of analyst days, blue skies forecasts. personally i am more in the former camp. i have to be honest. while demand is still very strong, we still have shortages and everything else. i think there is also evidence of overshipment in many markets. autos have been most impacted by shortages. massive production short false at the same time you compare autoisales versus shichlts shichlts are down 20% or so. auto sales levels are 20% higher than they were precovid. so that's a massive discrepancy. look at other areas, industrial, people complain about shortages but distributors that send stuff into that channel they are all

building tons of inventory right now. i think in the latest quarter, inventory dollars were up 30% year over year production shortages and point shortages are causing it i think there is evidence of stockpiling and overshipments as well. >> correct me if i'm wrong, nxp was a name you brought our attention to in terms of the audio overshim you have a market perform on texas instruments, i believe translate what you are seeing in inventory into a market call for the rest of the space it seems like you still see outperformance. >> who what do we like in this environment -- while i am nervous i like broadcom, they have more control over their semibusiness a software business which is less volatile and higher margins they are deploying a ton of cash, one of the cheapest names in the space i also like secular versus

cyclical qualcomm, where they have got some really good drivers in terms of content increase in smort phones unlike other end markets, pcs, where we saw a lot of pull forward we didn't see it in smart phones less worried there nvidia, i also like semicap where, look, i think spending on equipment this year is going to be pretty big. i like them. we are more cautious on the cyclical names, nxp, texas instruments, for example, again, i don't hate them. nxp i am nervous about automotive and the sustainable and they have got half of their revenues in auto and ti is telling us we hit peak cycle. they told everybody, our custom order patterns changed they are no longer looking to expedite orders for everything, they are looking for the point products, lead times are basically back to normal yes, they are probably overshipping ti doesn't care, we ship it

today, tomorrow, what's the difference but we are hearing a narrative change from them. >> fascinating ti, texas instruments trading around 189 the smh etf is up at 314, 315, it is not like you are going to make a call on that etf, but what kind of performance does this view beg in as likely for the sector broadly speaking this year. >> look at valuations for the space. they are not egregious the semi is blended price to forward earnings is about in line with the s&p. historically, the some eyes do trend to trade at a bit of a discount, 5 to 10% in a normal environment. they are elevated versus history. i could make the argument semis shouldn't trade at a discount. they are a little bit higher, not egregious. at the same time i don't think you are pricing in like a downturn we will see how this goes. this sort of thing is going to look good until the day it doesn't. the way this typically shows up,

by the way right now, demand is very strong you have lead times that are very long. lead times are how long it takes to get a product after you place the order. the issue is we don't know how much this demand is real and how much is not. typically what happens after you don't get parts you are going the need you tend the order more we won't know what is going the happen until lead times normalize. then we will find out how much the demand is real and how much is not if the demand is still there, i think you can underwrite it. until then it is an overhang i am nervous, like you said there is evidence around potential stockpiling and overshipping to make me nervous. >> duly noted. we will see if it takes three months, six months, nine months. >> i wish i could tell you i feel like it is my job to have a better answer.

all i can do is do the math. >> you give us the other components if you can't give us a date, that's okay. further ahead on the program a 5g fight brewing the ceos of at&t and verizon rejecting requests from the u.s. government to delay the rollout of new wireless services this. as airlines warn of potentially crippling disruptions, safety concerns as well althstksnv o and the impact,n l e oc iolved, ahead you're more than just an investor, you're an owner with access to financial advice, tools and a personalized plan that helps you build a future for those you love. vanguard. become an owner.

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i'm frank holland, here's your cnbc news update at this hour we begin with the latest on the theranos trial elizabeth holmes is back in the courtroom, the jury sent a note to the judge said they are lock on three of the seven counts the judge urged the jury to put forth an effort to reach a complete verdict. mccarthy says he wants to hold big tech accountable for censoring certain americans. without specifically mentioning twitter he said he feels like certain americans are being

censored he mentioned twitter's move to permanently remove marjorie taylor green's certainly account for covid misinformation he said already real world costs. well, the resignation of california republican devin nunes from the white house is official in turkey, a confused drive missed a turn and ended up on tramway tracks there was no injury. >> wild footage. let's tell but some of today's power movers we lead with apple the company briefly hitting the $3 trillion market cap intraday. down just a little bit from that level right now.

s still that close to $3 trillion. first u.s. company to do so. valuation tripling over the past four years apple's growth helped by its services business, which grew 25% year over year in its moet recent quarter. sticking with trillion dollar babies, tesla surging 12% following news it had delivered 308,600 vehicles during the fourth quarter the chinese rival neoalso moving up after reporting 10,489 deliveries. ahead on "power lunch," the covid ripple effects cascading across the economy we will breakdown some key sectors at risk and how rising case koss further worse ten labor shortage don't go anywhere.

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through the economy. we will break it all down with a look at the numbers, the impact on the fitness and airline businesses and how omicron is intensifying an already troublesome worker shortage. let's start with the lathest surge of covid daily average cases in the united states hitting 405,470 as of yesterday meg tirrell has more on what the experts call a coming tidal wave meg, it's yours. >> hey, tyler, we are in it right now. the spike in cases unlike anything we have seen before in the pandemic as you said, exceeding 400,000 average daily cases ask. that is dramatic undercounting given that we know we are not doing enough testing and then allow the rapid tests folks are taking don't get reported to health authorities for looks at what it might end up looking like. experts are locking to london and outen province in south

africa you can see essentially what the spikes looked like since the beginning over the course of an mo the green line is how south africa has peaked and come down. london is the orange line, it pla plateaued. and new york is still in the upswing. experts predict it could be ready to come down as the last line has come down, the blue line there, the orange line, which is death, has come nowhere close to where the previous waves reached there is a hope and expectation based on the data coming out about the biology about the variant itself that suggests it is more mild but hospitalizations are rising. so there are worries about strains on the health care system and of course, the number of cases we are seeing. you can see right here, this is community transmission we almost have never seen this map so red 91% of counties considered high transmission all of these cases are going to lead to absenteeism across

different industries that's a huge problem. >> we will talk about that in a moment, meg. nank. omicron may be shifting the outlook for fitness shocks publicly raided names like planet fitness at stake. diana olick has more. >> despite omicron, some analysts are bullish on the return to brick and mortar gyms and the stock of those names, not so much the home plays home leader peloton was downgraded to market perform from outperform last week with analysts citing declining website traffic and page views beach body was also recently downgraded by analysts after disappointing earnings and reduced guidance consumers started heading back to the gym, lifetime holdings, exponential and planet fitness were in the green in december with planet fitness up 17% last year. >> we saw our second and third

quarter growth like we have never seen before. once vaccines got out there at the ends of the first quarter we saw that take off. >> gym visits in october were down 8% from october of 2019, prepandemic. analysts told me he does not expect omicron to hamper his predicts of record new memberships in the first quarter with average unit volumes exceeding 2019 peaks we will watch closely. investors are shrugging off the omicron concerns of thousands of canceled flights in the holiday week n. just the past half hour, delta adding to the list saying it expect 200 cancellations tomorrow and wednesday. phil lebeau is here with more. investors are shrugging this news off >> from their perspective -- this is basically what the analysts belief, they believe most investors will look at airlines and say q1 was not going to be great. how much worse can it get?

the summer should be better. that said, look at the cancellation numbers we are in the midst of really a two-week twav here the cancellations keep growing today more than 2,500, going the continue by the end of the day, following yesterday and on saturday when you had more than 2,400, and 2,700 respectively. southwest cancelling 18% of its flights today. why? some because of staffing with covid-19 spreading and crews being so thinly staffed. the other part of this is you have got a couple of storm systems that are going through the country hitting some big markets. because you have got thin staffing it is a snowball effect that's what we are seeing here the other thing to keep in minds, look at jetblue, the ceo sending a note to staff over the weekend saying the next couple of weeks are going to be tough that said, when you look at the airline stocks, one reason they are moving up is because of what i said you are looking at an industry where in the last year, guys, if you look at these stocks, they

are close to their 52-week kilolows how much worse can it get? i think that's the way a number of investors are looking at these stocks right now yeah phil, weappreciate it. thank you. not only is omicron sidelining staff at airlines, but also at schools. districts across the country are starting the new year, many of them with virtual learning once again. that means that parents have to stay home with kids, they are unable to go to work joining us to talk about how bad the labor shortage could get, lily roberts and with sprigs, aflcio chief economist and howard university professor of economics. what are we learning about the labor shortage right now as a result of omicron? >> well, i want to talk about maybe a different spin on the labor shortage we keep calling it a labor shortage but i think some people think that means people are quitting their jobs, they are sitting on the sidelines. what people are doing right now is many of them are searching

for better or safer jobs they are leaving jobs that are low paid or that have high exposure levels to covid and they are finding a better job. they are not just quitting and sitting at home. they are looking for a better, safer job. other folks are having to leave the labor market because their child care or education of their children is turning virtual or in the case of child care, those facilities are closing that ties back to work and wages as well. we are in a situation where child care workers, teachers, you know, those institutions were already short staffed people don't have sick leave so if they get sick or if someone in their family is sick, they are having to choose between going to work sick and infecting their coworkers and staying home and potentially losing their jobs. that's been a challenge throughout this pandemic it has been a challenge particularly for mothers, and mothers of color in particular but, you know, we are just seeing this spike again with omicron. and i think over the next couple

of weeks we are going to see those ripple effects again of how the care economy underpins the rest of the market in this economy. >> professor, the company added 20 million plus jobs or something like that last year. the unemployment rate has fallen maybe not as low as it was prepandemic, but pretty fast faster than many people thought it would and yet, we still have a lot of workers on the sidelines as lily pointed out, or we have jobs going, asking, unfilled. why? >> i think she hit the right notes in that characterizing it as a worker shortage isn't exactly correct a. lot of things that employers are complaining about is normally in a situation like this where we still have millions of people unemployed, employers have gotten used to being able to pick up and outkiet their competitors for

experienced workers. but in key industries, the disease has had a major impact as on example, we know from data in california that people in the transportation and warehousing industry had a 26% higher than normal death rate. part of the problem is we are missing a lot of people who were experienced because they died, among some frontline workers ini certain industries in some industries like health care, the incidence of the disease took many days of work away from the workplace. nurses had incidences of illness way out of proportion to what employers had seen in 2019 when we looked at the data from 2020. as we have gone through this year, because we have reopened a lot of workers have been exposed at work. people with less education, in

particular women, women of color, who have frontline jobs or they deal with the public a lot, and employers are experiencing two to three percent of the work force that's ill and unable to work. >> so, is the -- is the solution here, lily, the idea that -- the thought being that people are leaving low-paying jobs that feel or are objectively less safe than others for example, in health care, or home health aides, or nursing home aides, or fast-food, that those enterprises need simply to pay more and become, therefore, a better economic alternative even considering what the risks may be >> i think that's at least part of it. certainly, higher wages and more sort of choice over your own schedule or your own work experience and worker power once you are at your job will

certainly help in situations like this. but we also sort of face a social problem as well, that could only be solved by the government for example, united states is one of the last remaining countries in the world that does not have universal paid sick leave. you can imagine we would be in a much stronger position today if we had continued the paid sick leave that was created in the early days of the pandemic as sort of an emergency policy response that lapsed much too early to account for the omicron wave of infections if people had that paid sick leave they could be better able to stay home and protect their employment other things the federal government could do as well, for example, child care providers are largely owned by women of color, they are really sort of small scale small businesses in a lot of cases >> right. >> they might not have the budget to pay workers higher wages f. the federal government were able to step in and provide

a massive investment in that care, in that work that is done by women of color in this country, the parents who depend on those child care institutions would themselves be able to go to work. >> we have to leave it there lily roberts, roberts sprigs, thank you. up next, a retirement savings reset as more workers leave and shift jobs across every industry there could be opportunities toet s new savings goals. the latest in two. is the planning effect. this is how it feels to have a dedicated fidelity advisor looking at your full financial picture. this is what it's like to have a comprehensive wealth plan with tax-smart investing strategies designed to help you keep more of what you earn. and set aside more for things like healthcare, or whatever comes down the road. this is "the planning effect" from fidelity. wondering what actually goes into your multivitamin? at new chapter,s down the road. its' innovation, organic ingredients, and fermentation.

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welcome back the new year brings with it new ways to save we look at the money moves to make today to grow the retirement nest egg. high, sharon. >> hey, kelly. if you are thinking about what you want to do for 2022, you made a new year's resolution you are not sure you can stick to? a lot of advisers say keep it simple. >> simplify your investments and simplify your financial life that's especially important with so many people now changing jobs during the pandemic. it's good opportunity to reset

$1,000 more than last year to a 402k or workplace retirement plan up to $30,500 50 or older, add a catchup contribution of $6,500 if you are trying to figure out whether to put money into a traditional 401k or a roth, here's what advisors say >> they might recommend you put all in a roth particularly if you are in a lower income tax bracket and the tax savings isn't important to you now if you are in a higher tax bracket perhapr way, try to ince your contribution rate by 1% or 2% to at least get your company's matching contribution. make sure your portfolio is not taking on more or less risk than you are willing to take --

rebalance. coming up, give us five? the government asking at&t and verizon to delay their rollout of 5g. what do these new wireless services mean for the telecom industry and the shares of those companies? we'll be right back. ♪ ♪ wow, we're crunching tons of polygons here! what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations, like real time cgi. okay...

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it is a battle over the rollout of 5g. the faa is worried the technology would interfere and asked the industry to hold off on expansion julia boorstin joins us with the latest julia? >> verizon and at&t rejected a transportation secretary pete buttigieg's and the request to delay the deployment for two weeks after the january 5th scheduled launch date because of security concerns but instead those two telecos that spent $80 billion for licenses in an fcc auction proposed to limit it close to airports for six months the ceos writing in a joint letter that the transportation department proposal would be quote an irresponsible

abdication of the operating control required to deploy world class globally competitive communications networks. the two companies disputing claims of risks noting that they have been preparing for years and what they propose is used in france for years the faa responding we are reviewing the latest letter how to mitigate interference u.s. aviation safety standards will guide the next actions. the faa saying the pour level in france is lower than authorized here in the united states so now awaiting a final decision from the faa and warned it could be forced to divert flights that rely on radar. >> thank you with so much riding on the buildout what does it mean for

the stock? let's bring in jonathan chaplain is this a threat to planes >> i'm not an engineer and so i couldn't say but i don't think so the bottom line is that 5g is deployed all of the world. planes fly internationally and planes haven't fallen out of the sky where this is deployed and difficult to -- i understand the faa has to a job to keep passengers safe and planes flying but this seems like they're going overboard. i think it's unlikely to be a risk to flikghts from this i think the cost to delay is costly. >> t-mobile has the most 5g spectrum. >> it is not interfered with by

or doesn't impact planes at all. it is lower in frequency and deployed to two thirds of the country and they have purchased some spectrum impacted by the faa concerns but they don't need it for years they have been a strong ad with spectrum deployed today. they have been an advantage for longer. >> the stock's trading around 114. the price target is 250. i read the notes and i wonder if i need to give it a try. i don't notice a lot with the 5g experience what are the options here? >> so it's if you're in areas where t-mobile is deployed is 2.5 gig hertz spectrum you have speeds that you previously only

get on cable or fiber broadband fixed. it is ten times faster than the speeds over wireless networks up until now. verizon and at&t have 5g where the speeds aren't materially different. on a t-mobile network with 5g ve versus verizon and at&t networks it is different. they need to close that performance gap or risk losing share to t-mobile. they're in this difrficult spat with the faa at the moment they plan to light up the spectrum on january 5th so in two days. >> wow. >> but it is difficult to know how this disagreement with the faa and fcc resolves itself. >> this is what's going on, this

interagency dispute. at&t is a buy rating $37 50% upside verizon a hold and 52. we appreciate it. >> cool. thank you. >> jonathan with news street. a historic kay on wall street ap ilone briefly touching $3 trli market value. that and the closing when we return

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welcome back top story of the hour, apple first trillion-dollar u.s. company by market value. hit that milestone a short time ago. share price more than tripling since the pandemic lows of march 2020 up 250% since crossing a trillion three and a half years ago. >> maybe that's the ceiling? maybe 2 trillion people go maybe 5 trillion thank you so much. been a pleasure. thank you for watching "power lunch," everybody. "closing bell" starts right now. ♪ thank you welcome to "closing bell." i'm sara eisen first trading day of 2022. both stocks and treasury yields higher nasdaq and small caps in the lead heading into the final hour of trade. >> i'm wilfred frost happy new year to you. tesla the standout after fourth quarter deliveries