>> yeah. the prospect of them having to raise even more money is also interesting. phil, thank you. phil lebeau on boeing. as we wrap up here on "squawk on the street," of course, we have the s&p a .7%, but it is the nasdaq and particularly many of those hard-hit growth stocks with high multiples that are staging quite a rebound this morning that will do it for us on "squawk on the street. "techcheck" starts now ♪ good monday morning. welcome to "techcheck" i'm carl quintanilla with jon fortt and deirdre bosa today, stocks rally to close out the month of january the nasdaq higher by nearly 2%, trying to avoid the worst january ever coming as we await quarterly results from alphabet, amazon, metta, snap amd and others this

week then more artists join neil young in calling for a boycott of spotify the stock gets an upgrade today and other subscription based companies. plus, one wall street firm deciding to buy now. the analyst calling the bottom on a firm is with us this hour we'll start with the market, tech is surging at the end of what has been a tough month and we are set to get a whole roster of catalysts this week out of earnings >> carl, market giving back a little bit of what's been taken from some of the hardest-hit areas that does kind of nasdaq 100-type stocks qualify, but also the hypergrowth pandemic stories. a two-year chart is kind of fun right now. takes you right to the precipes of the covid crash here is some of those names, snap, docusign, paypal up almost exactly similar amount over that span of time and still outperforming the s&p 500, even after making this huge round trip higher. what's interesting is you look at snap, or docusign, they trade

right now at effectively the same price to sales ratios as they did two years ago so, no more expensive but also you wouldn't necessarily say cheap. it's just that they overshot on the upside so the earnings that they're going to deliver probably going to give maybe some hint about what the longer term path is fundamentally for these stocks even if right now what we're seeing mostly, i think, is these reflex bounces from some of the most washed out areas of the market. >> this boeing 10k we were just talking about in terms of raising more money does bring to mind ig spreads and high yield spreads close to a one-year high i wonder how much that's on your radar at this point. >> for sure. financial conditions are tightening, but from very loose levels so they're not really kind of going across any trip wires that say, okay, now all of a sudden conditions are tight or the market is being stingy about credit but it's trending in that direction. and it's becoming a little bit at the margin less supportive of broad equity valuations. you do wonder, though, how much the s&p falling 10, 11% and the average stock going down 15%

over that time is mostly been telling you that story already >> mike, some bright spots last week, of course, microsoft and apple earnings do you think that could represent sort of a turn for perhaps the bottom especially as we have amazon, alphabet, metta all reporting this week? >> it can't hurt i actually do believe really after the declines we have seen in most of those stocks, you had some moderation of the valuations but the problem is the market hasn't been directly rewarding earnings beats in general very much the ones that miss are getting obliterated down 2.5% relative to the market on the day that they miss. the ones that are beating are just getting a slight advantage over the market. so, i wouldn't say it's enough to really propel the entire market higher. but it's something that you can actually look and touch and feel and say, this actually can help me value these stocks as opposed to just worrying act the macro swings, at least right now until we get the jobs report. >> all right mike santoli, thank you. now, one company reporting

earnings this week spotfy. several high profile artists raising pressure on the company to take a stronger stand against misinformation on the platform, specifically they take issue with the joe rogan experience podcast. julia boorstin has that for us hey, julia >> well, jon, spotify is taking steps to address concerns that it's popular joe rogan podcast is spreading dangerous covid misinformation neil young, joni mitchell and bruce springsteen's guitarist pulled their content from the platform and popular podcaster brene brown says she won't release new episodes of her podcast on spotify this is growing backlash after in late december a coalition of scientists sent spotify a letter raising concerns about misleading claims that rogan and his guests have claimed. spotify ceo responding saying they don't want to be a content censor, but we know we have a critical role in playing in

creating creator expression while balancing with the safety of our users they are adding content advisories to covid related podcasts helping creators understand their accountability rogan posting a video on instagram saying he supports spotify adding content advisories >> they're just conversations. i think that's also the appeal of the show. it's one of the things that makes it interesting so, i want to thank spotify for being so supportive during this time and i'm very sorry that this is happening to them and that they're taking so much heat from it the effort to address the controversy seem to be benefitting the stock and citi upgrade to buy is also sending those shares surging now up nearly 12% citi saying they believe spotify can improve its ad-supported monetization that analyst will join us in

just a minute. speaking of advertising, there hasn't been any word of advertiser boycotts, something we have seen with facebook and youtube as they dealt with other controversies, but we'll likely hear more about all of this when spotify reports its earnings that's coming up on wednesday afternoon. and guys, we just have to remember how valuable rogan is to the streamer. they reportedly paying him about $100 million for their deal. >> and that's the key, isn't it, julia. to me it seems like this isn't about censorship because podcasts, pure podcasts are about distributing mp3 files with rss feeds you can't really censor that this is about money. this is about spotify saying we want joe rogan exclusively and some artists on the platform, musicians saying we don't like that you're using your platform for this it's interesting joe rogan in the past said healthy young people and children don't need vaccines he also promoted a claim that lockdowns worsened the spread of

infections and he said he's going to make a couple of changes, right he said he'll do more research before these appearances of controversial guests and that he'll also have somebody to counter controversial guests more close sounds like he's getting a little more traditional perhaps. i book all my own guests these are just conversations when you're getting paid $100 million, that's a harder case to make >> well, yes he does sound like he's willing to make changes to avoid getting in trouble with his boss, with spotify about the type of ideas and potentially dangerous misinformation he has been putting out there. i think it's just worth noting that there are nearly 300 scientists that sent a letter to spotify saying this is dangerous. this is going to have a real impact and going to continue to have a real impact on the country if you don't really prevent him from spreading this misinformation so, i think it's going to be interesting to see the balance here rogan seemed a little chasened

in that video. you have to race this question, section 230, section 230 prevents platforms like facebook, technology companies, from being liable for the content on their platform, but is this a different situation because spotify is paying rogan directly, really more of a media company in this situation? >> yeah, julia great point bringing up section 230. complicating this more the stock is up more than 10% today. we'll stick with this story and other streamers hit hard since november, netflix is up this morning but lost nearly a third of its value year to date as subscriber growth slows. our next guest upgrades both netflix and spot to buys calling them undervalued and highlighting other subscription names like roku and sirius jason, good morning to you great to have you. i want to first start with this rogan controversy. and the idea that it hasn't yet affected the share price but is there a point where an artist like a taylor swift taking down her music that you think would affect spotify user

numbers and subscriber growth? >> the catalogs are so unbelievably diverse i think it would be difficult for any individual artist or handful of artist to impinge. no, we're not nervous about it. >> you're not worried about that snowballing. this started with neil young and others have followed suit. i guess my question about taylor swift, it could be any number of them, but is there a point where you think advertisers would start to get concerned >> you know, i'm not sure. i'm not sure i guess there is a point, a breaking point, when we see this but as we followed a lot of ad-based names over time, more often than not these controversies blow over and end up sort of not impacting the fundamentals and i think the market is sort of saying the same thing today they expect most of this will blow over and really untethered from something that could impact the stock. >> jason, taking a broader view at these platforms, it seems like there's this thing happening where if you want to

be a mass market content platform, you need algorithms to do a lot of the sorting work for you, but also if you want to win, then you need celebrities you need big names on the platform you need hit shows if you're a netflix. and there seems to be some tension here, right? i'm thinking dave chappelle with netflix, now joe rogan with spotify. maybe the need to have certain winners, who control their own narrative, can be at odds with the desire to be hands off over all. do you think that's an issue that investors need to factor in down the road? >> i'm not so sure you know, usually those franchises, whether it's films or individual end up helping gross editions what ends up being far more dec december posty for equity is churn rates. you can see a little impact on the gross editions moderate sort of the growth but really churn is far more important. and i would say at the

valuations but a lot of these companies are trading at now, there isn't a lot of growth embedded in these names. growth expectations i should say. >> right and that's -- prior to the netflix brand which was difficult as we all know, there was a growing sense that trading on sub numbers, user metrics, churn, is increasingly difficult and it should be more about margins and pricing which is a different way of thinking about these names. are you going that direction >> 100%. so, you know, one of the things that we do is we look at the rpu and churn and custom acquisition stocks if you bought these back in august, what you were underwriting if you bought the share was a doubling of the subscriber base. it had to double otherwise you were going to lose money in the stock. today, where spotify and netflix trade, you need no growth in the sub base and that's why i think you're seeing some of this reflex bounce that's what caused the upgrade i think these are pretty interesting entry points. >> jason, i want to ask you about this idea that content spend is increasing every year

and that it could be sustainable even at these high levels. what might turn or even halt that trend i ask as "the wall street journal" article today takes a look at some of these viral streaming hits that are lasting less time. they're more viral and this sort of push for quality, does content spend stay at these high levels >> well, i think what you're asking is this a good business or not that's certainly a debate that's raging on wall street. are these good businesses? and the answer is we really don't know until we know how many players are going to be participating in these businesses so if we live in a world where there's just two streaming video prov providers, you know, that's going to be a great business for the two -- i use the phrase cross the rubicon from the linear business to streaming if we end up in a world where there's six, it will be more challenging. what the sfreet is saying right now, go ahead and spend more money, get more subs, build a financial mote around your business if we end up where a lot of

other media firms cross the mote, then you might see a moderation in content spending but not now in the narrative it's too early. >> so how do you look at say youtube backing out of original content and its impact perhaps positive on netflix. and then apple and amazon with their huge war chests, the likelihood of them remaining in this game with that spending long-term. how do those players and of course both of them are in music as well, affect say netflix and spotify? >> i would say more peripheral if you look at the quantum of spend that's going on within the traditional media firms they're all adjusting their firm to go more direct to consumer, spending more money on streaming. the other big tech companies you referred to, while they're large companies, if you look at the quantum of the spend on video in the dtc ecosystem it's quite limited. >> jason, thanks for your insights we hope you'll join us again

soon >> thank you still to come, the ceo of micron is on with us after the break. "techcheck" is just getting started. ♪ trading isn't just a hobby. it's your future. so you don't lose sight of the big picture, even when you're focused on what's happening right now. and thinkorswim® is right there with you. to help you become a smarter investor. with an innovative trading platform full of customizable tools. dedicated trade desk pros and a passionate trader community sharing strategies right on the platform. because we take trading as seriously as you do. thinkorswim® by td ameritrade

citrix set to be taken private in 16.5 billion dollars transition $104 a share looking to merge with another data management software company shares are sinking this morning on that news down nearly 4%, jon. >> yeah. meanwhile, 2021 was a record year for semiconductors. global chip sales jumping 25%. topping half a trillion dollars the first time shortages continue to squeeze the industry but are projected to boost revenue by 9% this year joining us now sanjay mehrotra sanjay, good to see you. now, this is an interesting time we talked about just mentioned the shortages last year. and at the same time, there's legislation that could build

capacity here in the u.s why is this moment important for chips? >> it is extremely important because it highlights the importance of semiconductors, jon, in all our economic growth, national security considerations and if you look at, jon, over the course of the last 20 years, overseas governments have really invested and supported bringing semiconductor industry on shore in their countries and u.s. government has not provided the support over the last 20 years as a result. if you look at many, manufacturing we only have 2% of global production here in the u.s. of course we need to diverse this trend and this is where the efforts of president biden, secretary and bipartisan coalition on the hill are extremely important in terms of securing long-term semiconductor memory leadership and innovation and manufacturing. and my u.s. leadership in innovation and manufacturing and

here micron is very well positioned as the only u.s. company that manufactures semiconductor. last year, we announced we would invest more than $150 billion over the course of the decade to address the growing need of memory storage in the data economy today. jon, we are well positioned to address this we are very appreciative of the efforts and the recognition of semiconductors we need to bring more manufacturing to the u.s we need to drive u.s. semiconductor leadership, innovation >> what about that >> this is important for jobs and for growth. >> sanjay, i believe tsmc and samsung talked about building more manufacturing capacity in the u.s., certainly intel lately with just that $20 billion announcement in ohio alone could turn out to be more. we talked about that as well how do you at micron look at the investment potentially in u.s.

manufacturing? and are any of those other companies future capacity interesting to you >> manufacturing is hard stuff and mie kroen over the 43-year history has really driven the tremendous innovation and manufacturingexpertise memory is at the leading edge of semiconductor memory and within that micron is leading i would like to point out here, micron has manufacturing here in the virginia and we actually pre-pandemic invested in expanding that there to meet the growing needs for memory demand in automotive and industrial segments, clean room, that fab expansion, completed construction in 2021, we began ramping that into production late in 2021 and we'll continue to ramp that through 2022. so jon, micron has been investing over the course of last few years and continuing to increase its manufacturing

capacity, of course, driving memory supply growth in line with the demand growth you made those investments here in virginia as well as in our global footprint as well so we have been proactive in driving prudent growth of our supply to meet the growing needs of our customers from data center, to the intelligent edge. >> so with all that in mind, sanjay, i wonder, do you think that the supply -- industry supply crunch as we knew it in the depths of 2021, driven largely becovid is over, will be ending soon, where are you on that >> no question there are certain focuses of shortages certainly continuing in the industry and we said in the last december earnings call that we expect that these will continue -- these shortages will continue to ease throughout 2022 time frame. and of course, industry has invested a lot micron has invested a lot in

manufacturing capacity in terms of investing in technology, transition, capability to grow, the supply as i mentioned earlier. this year, our cap-x will be at record levels. last year was a record level, too. and this year we are growing it by nearly 20% compared to last year all of this going into driving, leading edge technology transition to meet the growing needs. again, across a wide range of markets from data center to smart phones to, of course, pcs, to consumer and industrial devices. what's happening is the trends of a.i., 5g, autonomous, they're all driving greater need for memory and storage this is why we think for the rest of this decade, memory and storage will grow faster than the semiconductor industry on an average. >> sanjay, deirdre, good morning. you're shutting down your operations can you talk about why you made that decision in shanghai and

how you're viewing the chinese chip landscape, is it becoming more of a competitive threat >> deirdre, what i'll tell you is that micron is a global company and, of course, as a global power house of company, large company, we, of course, make adjustments in our footprint of resources for development. these stretchings are a common course of business and in the shanghai design center, while our team is being de-emphasized in order to integrate better than streamline operations, better than other parts of our global centers, shanghai center continues to be an important area of development for our other products and, of course, china san important market for us >> it didn't have anything to do with ip rights and talent being poached by chinese chip makers >> we have teams all across the

world. and it is important for us to make sure that we are optimizing our developments, of course, keeping in mind our ip protection as well as making sure that we are bringing new technologies faster to the market and that global footprint between asia, between europe, between u.s., multiple locations in u.s., has led to now have the most advanced technology in high volume production ahead of anybody else we call it -- we're doing the same thing on the nan side with our 176 technology, we have the best in class technology in high volume production ahead of others so we are managing our business prudently, keepinglong-term objectives in mind. >> sanjay, we recently saw peloton misjudge demandfor its product. clearly peloton doesn't make chips. but as i'm talking to different leaders, different ceos in the chip sector, i keep hearing

about demand shifting say from lower end process technology to higher about companies competing on technological basis for, you know, the future around 5g, around a.i should investors be thinking about maybe this rising tide isn't going to lift all boats equally, but some players with certain differentiated technologies might succeed more than others? >> you know, certainly leading edge technology is going to be key in order to secure supply of products for all industry applications of course, you know, they will continue to be a demand for legacy technology as well. and micron continues to build those as well. but, just remember, that the investments that happen in the industry are leading edge technology firm. this is why the efforts that u.s. is making with the chip sack and the investment tax credits is critically important to make sure that chips and

investment, tax credit and all of this funding gets across the finish line soon so that we can bring more leading edge technology with companies like micron having the opportunity to bring substantial portion of our future investments in leading edge technology on shore in manufacturing here in the u.s. so leading edge technology is going to be important and here micron has done a nice job in continuing to build its portfolio, position our product portfolio across a wide range of end market applications and i do believe that companies like micron are well positioned to benefit from leading edge technology and the trends of a.i., 5g, all this data economy driven applications. >> we'll keep our eye on what washington does with that as i'm sure you will as well. sanjay mehrotra from micron, thank you. >> thank you, jon. still to come this morning, why one wall street firm says buying affirm now may get you paid later

the analyst behind that call will join us in just a bit we're back in a couple of minutes. at vanguard, 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.

♪♪ for skin that never holds you back. don't settle for silver. #1 for diabetic dry skin #1 for psoriasis symptom relief and #1 for eczema symptom relief. gold bond. champion your skin.

welcome back to "techcheck" i'm carl quintanilla with deirdre bosa and jon fortt in just a bit, we're going to look at the ark funds and the willingness of some investors to stick with cathy wood after a rough start to the year. first, a news update with rahel solomon. hi. >> good morning. here is what's happening at this hour posting some of the biggest losses on the s&p 500. the aviation and defense company beat earnings estimates but profit guidance was on the light side and the company says that revenues will be impacted by supply chain issues for the first half of the year otis worldwide elevator making giving guidance largely below forecast and mixed results. but its stock has erased early losses and now up almost 2%. close to 2% there. goldman sachs cut its gdp forecast for this year by more

than half a percentage point to 3.2% goldman says that the slowdown will be abrupt this quarter as fiscal support fades and omicron's impact is felt and angi teaming up with walmart to provide help on home projects angi professionals will soon be available through nearly 4,000 walmart stores and online nationwide angi shares are up 9% on this news deirdre, back to you >> rahel, thank you so much. etf sliding 20% in the past three months we're still seeing strong earnings from the likes of microsoft. the results boosting morgan stanley's view that the recent selloff is disconnected from underlying fundamentals. joining to discuss the sector, jeff richards. jeff, good morning you have said a similar thing. you need to know where to look for this value and we're seeing the nasdaq up nearly 1.8% today. you pointed out that some of the names you talked about a few weeks ago when you are on the show have already bounced i guess at least to the question,

have we already seen a bottom? where is there still opportunity? >> great question, deirdre as you mentioned, couple weeks ago we were at the depths of panic around software and cloud and since then we have seen microsoft, a bunch of great earnings come out, cloud is strong and no reason to be shy about popping in at some of these levels i'm not a market timer i can't call the bottom but sure feels we saw a lot of names get very cheap, at least by historical standards in particular you look at the growth names going forward, i'm bullish on the recent ipos have incredible growth rates north of 30, 40, 50%. those growth rates are accelerating we're bullish and as long as you have 3 to 5-year outlook, no reason not to scoop up shares of names that you like. >> jeff, you pointed out on twitter that asnana's founder have been buying shares.

how do you think that investors should look at this? i'll give two examples of peloton and palantir you have seen insiders sell a whole plot of shares? should it matter to investors? >> dustin is a new case. he's worth i believe over $20 billion given he was one of the original co-founders of facebook it's a strong signal for employees. when your founder and ceo is doubling down, even at some of the higher levels and purchasing more, purchased several hundred million dollars of stock over the last few months it's a bullish signal i noted recently one of the directors at smart sheet was buying shares. so it wouldn't shock me if we come out of this january, february time period and find out a lot of hedge funds were scooping up shares as well as insiders bullish on the long-term prospects for these companies. who knows, maybe netflix is a signal that others are following as well. >> yeah. the insider buying will keep our eyes on it

i wonder can you envision a longer term scenario where business is great but valuations continue to get compressed by quantitative tightening, a process that's not going to ostensibly end this year or next year or the year after that. >> yeah, great point, carl look, if i told you a few years ago we were going to come out of a quarter with record low unemployment, 3.9% and over 6% gdp growth and coming out of a pandemic, i think you would think that was a pretty bullish signal for equities. however, obviously we have rising interest rates and inflation. inflation is a big concern i was at a car dealership this weekend, marking up cars 15, $20,000 which is just incredible to me. hopefully we can solve for inflation and otherwise we have a very strong economy ahead of us let's not forget small business the life blood of america, 60% of americans work for a small business, hopefully small business comes roaring back out of this pandemic and software and technology companies sell to small business can ben it in a big way, square, toast and shopify and others. >> jeff, software is a really

big category and maybe investors can get some help from you in sort of filtering what's worth looking at growth is one thing. what about operational discipline, what about ideas like product-led growth where there's a pretty unique model. what do you look at in these companies to determine who has real strength going forward? besides the top line percentage growth >> it's such a great question, jon. you mentioned product-led growth what that does is it reduces companies cost to sell and market their products, right you talk about zen desk or some of the product-led growth companies which means the product is getting sucked up into an organization and folks are buying more on their own without having to have a sales rep for example go visit other examples i would give would be the low code no code space, asana other metric we love and folks in the investment company love, nrr, net revenue retention a company has 120% net revenue retention, it means they

essentially start the year knowing their current customer base is going to grow 20%. that's how you're seeing these companies compound with 30, 40, 50, 60% growth rates not only getting customers to renew at higher level. it's incredible thing that software industry has that most other industries don't have with the subscription model and seeing that with companies like google, microsoft and aws, amazon, aws, right as those businesses grow that are on those platforms, the net revenue retention on those platforms is over 100% it's a beautiful thing and reason to be bullish long-term on software. >> yeah. providing sort of play book right here jeff, i wonder do you think that some of the software companies or many of them should have done more with their currency when their stock prices were at higher levels? was there a missed opportunity in terms of m & a or raising capital or more capital? >> well, you might have been on that twitter thread last week, deirdre. a lot of folks asking that question i think one of the challenges was the public currencies were high but so were the private

market valuations. and we haven't really seen private market valuations come down yet, they usually lag the public market by three to six months maybe we will. but man, there's more private equity and venture capital dollars at work, my dry powder than there ever has been so, it may take some time for those public companies even if they are trying to be aggressive and go shopping to find companies willing to sell when they have ample capital available to them and valuations have been attractive on the private side as well obviously we saw the citrix deal today. i don't think anybody would put citrix in the high growth software category but maybe a sign we'll see some of the private equity firms scoop up companies trading at 10 or 15 times forward sales that were at 25 or 30 just 6 to 12 months ago or at least try to >> jeff it's great to have you thanks we'll talk to you again soon jeff richards. coming up, we'll chop it up on cathy wood trade as a favorite pick. tesla gets an upgrade. goes from neutral to outperform

seeing hard pressed to find a company that checks all the boxes like tesla does. $1,025 price target. stock up about 9%. we're back in two. do you have a life insurance policy you no longer need? now you can sell your policy - even

a term policy - for an immediate cash payment. call coventry direct to learn more. we thought we had planned carefully for our retirement. but we quickly realized we needed a way to supplement our income. our friend sold their policy to help pay their medical bills, and that got me thinking. maybe selling our policy could help with our retirement. i'm skeptical, so i did some research and called coventry direct. they explained life insurance is a valuable asset that can be sold. we learned we could sell all of our policy, or keep part of it with no future payments. who knew? we sold our policy. now we can relax and enjoy our retirement as we had planned. if you have $100,000 or more of life insurance, you may qualify to sell your policy. don't cancel or let your policy lapse without finding out what it's worth. visit coventrydirect.com to find out if your policy qualifies. or call the number on your screen. coventry direct, redefining insurance.

welcome back cathy woods ark innovation fund up 7% this morning but having a tough start to the year, as you know our dominic chu is looking at how poor performance led to outflows hey, dom. >> it hasn't been the last few weeks it's been the last several months since we saw the peak of this particular etf, the arkk going all the way back to the early part of 2021 for many investors out there, it's about the idea of having to stomach what's been pretty much a 50% draw down in terms of the overall value of this particular etf from the peaks that we have seen all the way down to where we are right now that has, again, led some traders and investors to talk about this notion that price and sentiment go hand in hand as prices go lower, sentiment drifts along with it if you look at the fun flow so far just in january overall, it seems rocky, roller coaster but on balance the larger down days have really, really taken more of an influence over the fun flows than some of the updates

we have seen to that end, this is the bar chart showing the flows just so far this year to date period, this month to date if you look at the contextual moves that we have seen in some of these fun flows, on a one-day basis on yesterday, or the previous session, we have seen about $86 million outflow. on a one-week basis, it's still negative down 50 million over the last month, down 371 million and on a year to date basis again since the beginning of this month so far, roughly about 234 million to the downside i'm going to take all those away and focus on the one-year number they have taken in close to $1.4 billion just in inflows into the fund during that time. if you look at it, it's going to come down to a lot of chatter with regard to the holdings that this fund has because many of them have seen very large draw downs. we have talked about tesla a lot. zoom video, tell le dock, roku and coin base top five holdings in this particular etf we know from many of these growth-oriented stocks they have seen precipitous declines

whether they find the bottom and rally is a big call. a lot of folks are using this ark etf to play that basket rebound trade and i would point this out, guys, we know this, these five stocks make up roughly 33%, third of the overall etf. as these stocks go so goes the arkk, guys. >> meanwhile, dom, does nothing to stop the on going conversation of what percentage of investors are under water same conversation we had with bitcoin and whether or not that number is large enough it would inhibit further buying down the road. >> that's a great point. a lot of the talk these days is about whether or not folks had been buying towards the highs we saw back in february and march of last year this is now a conversation where many of the traders and investors i talked to that traffic in this particular fund, they start to talk about this notion of dollar cost averaging, right? this idea as you buy your way down, you're trying to lower your cost basis, playing for that eventual bounce back.

there is a contingent of folks out there who really believe that these stocks have a long-term transformational effect on the overall way that we live lives and the overall market so, they're turning to this as a way to say, hey, on the way down, if we are kind of legging into it, averaging into those positions, that might pay off down the line. but i would say this, the idea that those top five holdings i just showed you have been beaten up as much as they are, with each of them, with the exception of tesla, deirdre, all of those stocks that i mentioned between tell le dock and roku and all those have implied analyst upside target prices that are anywhere from 70 to 110% of their current values right now so it remains to be seen whether those bounces can stick. >> yeah. certainly depends on your investment horizon we should note as well that the nasdaq now up over 2%. a lot of the names dom highlighted the growth complex rebounding hard today. the biggest laggards on the ndx to start the year.

moderna, netflix, peloton some of the biggest losers. "techcheck" is back in just a moment ♪ don't like surprises? [ watch vibrates ] proactive notifications from fidelity keep you tuned in all day long. so when something happens that could affect your portfolio, you can act quickly. that's decision tech, only from fidelity.

(swords clashing) you can act quickly. -had enough? -no... arthritis. here. aspercreme arthritis. full prescription-strength? reduces inflammation? thank the gods. don't thank them too soon. kick pain in the aspercreme.

let's get a doubleheader gut check. coin base and shopify both stocks jumping this morning as risk comes back on a bit also today, coin base announcing shopify ceo will join coinbase's board of directors ceo brian arm strong writing the

edition of luca the company hopes to unlock crypto to increase economic freedom in the same way shopify democratized online commerce. both those stocks having a rough run lately, down 35 to 40% in the last three months, but each with only one sell rating on the street we'll be right back. ♪

as a business owner, your bottom line is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable nationwide network. with no line activation fees or term contracts... saving you up to $500 a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today. comcast business. powering possibilities.™

use of buy now pay later over the holidays cut the target on macro concerns joining us this morning is chris. great to have you back we had a couple of upgrades, yours included some revolved around the idea we might get good gmv guidance. is that your view. >> yeah, absolutely. thanks for having me it's been a rough quarter from a stock perspective, but a fundamental performance buy now pay later and affirm's options really starting to gain traction with consumers during the holiday season last year was the year that it came of age. consumer's awareness both rising significantly. affirm has some really good partnerships that we think will put a lot of upside potential to the numbers. mostly amazon and shopify.

>> where are we in sort of evaluating credit risk are those trends stabilizing to a point you think is safe? >> i wouldn't say stabilizing. as far as our basic concern as we watch the stock run up last fall and stick on the sidelines was credit risk and how it wasn't being properly discounted, but the valuation has improved and it's more taking into account the credit risk in affirm's model there's still very, very good tim times for consumer credit. it will get slowly normalized, but i don't think we're going to get a big spike. i think it's going to be a gradual normalization. we don't see it having numbers anytime soon >> let me ask you a broad question does every fintech company should have a crypto strategy? you see this broad range from

shopify's ceo joining the coinbase board then telling jon fortt last week, they didn't emb embrace bitcoin. does crypto factor or not factor into the way you value fintech companies? >> i don't say it factors in, but it is very important i think it's still early days and don't get focused on the price. look at the adoption the progress we're making with crypto adoption across companies, retailers, consumers. it's becoming a bigger part of our lives. the transformation of technology behind the block chain will only grow as more and more developers and capital flows into the space and takes advantage of this technology i don't think payments is really the first or best use case i think we had some really strong payments rails out there and if you're in a developed world with cards and other e-wallets, just the technology itself creates a lot of the

different possibilities. for fintech companies, companies like affirm who have talked about adding crypto, it's just a way of increasing consumer engagement a way to buy or trade crypto just trying to increase consumer engagement and get them to use that on a daily basis. >> talking strategy here, do affirm and parna for example have to become super apps in order to win long-term i noticed they're working on that and how much of their long-term success actually depends on the product level data that they're getting about consumer preferences and their ability to then adjust their approaches based on that. >> that's a great question and one that i don't think i know the answer to the biggest catalyst for square's purchase or block's purchase of after pay is that

consumer engagement getting people to use cash app on a daily basis. for affirm, i think they have really strong value proposition. not really in that buy now pay later space. it's so crowded. they do more consumer financed loans and the success they're having with amazon, target, walmart and shopify sort of pointed their model. in terms of the valuation in stock, the ability for atffirm o act like a checking account for consumer is just icing on the cake they have a tremendous opportunity in their core business if they're able to transform their super apps, that would be just a huge i think upside potential. >> going to be fascinating to see what they report appreciate that very much on the heels of the upgrade nasdaq about to avoid its worst ever january we're back after this.

look, as cfo it's my job to be ready for whatever's next. that's why i have my finance team, randomly hurl things at me. it's also why we use workday. it gives us insights, so we quickly pivot our strategy, people, planning, you name it. sorry, sir. i will aim straight at your next step. see that you do. would you like some coffee? workday. the finance, hr, and planning system for a changing world. ♪ your shipping manager left to “find themself.” leaving you lost. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

today is the last trading day of january and the end of what's been a historically bad month for tech stocks and the nasdaq here's a rewind.

>> tech continues to sell off in 2022 >> tech sinking yet again. >> worst january performance on record ever >> is more volatility ahead? >> well, unless you think inflation is done. unless you think the fed is done, it's hard to imagine that this is done >> it's certainly been a rough couple of weeks and tech stocks have certainly taken a hit >> across the basket, the cloud industry has been hammered >> you're seeing brutal selling across semis, software, fintech. >> just by the anticipation, inflationary fears >> tech investors not the only ones feeling the pain. >> it's been the worst start for tech in history. >> we're still trying to figure out have people sold enough of the risky winners of 2021 and 2020 >> the question we all want to know >> see how they work it out. >> any doubt that tape moves fast here, jon nasdaq's now up 8% from the january 24th low

>> and now, investors should know this can happen the question is, will it continue to happen will it happen again or is this pop the end of it? >> to think that last week was all the volatility, we ended almost where we fwbegan. >> we're going to get through amd and ford and meta this week along with the jobs number, let's get to the half. welcome to the halftime report front and center this hour an impressive rebound for stocks or uninspiring that's the debate. what does it leave your money now? joining me today, liz young, steve weiss, jim, joe. let's check stocks as we always do wrapping up a brutal month you know it by now for sure, nasdaq is the big bouncer today. up nearly 2.5% at least at the moment by four