arms sales to taiwan actually dates before that. something like 2015 to 2019. >> got it. and we can see those stocks not getting hit too broadly. the broader market is well down. we are seeing signs of green, including tesla up 1.1%. that's it for us on "squawk on the street." time to send it over to "techcheck." welcome to "techcheck. i'm carl quintanilla along with deirdre bosa and jon fortt today. ahead we'll speak with the ceos of three big movers today. twilio surging on earnings and this buyback announcement, and synopsys and toast gets burned, down 20-plus percent after a wider than expected loss. opening the door for more gains, doordash up 43% this year ahead of its earnings after the bell we have a preview of a very busy session on the micro and macro, dee. >> we begin with a look at today's markets. investors are digesting that

harder than expected ppi report, and hawkish commentary from fed president mester the dow industrials down 0.7% and nasdaq comp off 0.5% cheeldz are shooting higher with ten-year back above 3.8% we are getting news out of the new york fed let's get over to steve liesman. >> the new york fed in fourth quarter household debt reported debt surged by $394 billion in the fourth quarter prp that's the largest increase in two decades. breaking it down, mortgages up a strong $254 billion. credit cards up $61 billion, the largest quarterly increase in the history of the survey going back to 1999 auto loans up and student loans as well. as far as delinquency, they did tick up for credit cards, auto loans and mortgages. but the rate or the level

remains at or below the pre-pandemic level the trouble is the transition into them. there have been some worrying increases into the transition of delinquency rate. a blog says credit card borrowers are missing their payments and transitioning to 90-plus day delinquency or higher certainly there is increasing reliance by households on debt plus, you have the higher interest rates and that's part of the reason why mortgage total balances may be going up. >> steve, might we be boiling the consumer frog here i mean, with inflation ahead of expectations, right? stuff is still kind of expensive out there. and then with the credit card usage being higher and the interest rates are higher and the fed, people are saying, i heard you this morning, the fed is going to have to keep raising

for a longer period of time. that's a vice, tightening later in the year, isn't it? >> jon, i want to reject your metaphor of comparing the consumer to a frog but i can accept your premise that that's something happening out there. you do have strong job growth. you've had strong wage growth. there is scope for consumers to bring on additional credit you also have this idea that if people believe inflation is temporary, they could use credit to what they call smooth out their spending and lifestyle over time. it gets into trouble if people lose their jobs, their ability to pay those balances. that's where you get into trouble. delinquencies have really not become worrisome or recessionary levels yet the thing to watch -- the way i compare it, jon, think about a lake which, okay, the water level of the lake is below where it was, the pandemic, that's the total debt level the flow into the lake is higher than it was before so, we have to watch this

90-plus delinquency rate and it's especially higher among younger borrowers. >> we have a lake, frogs, a vice it might not be playing out, but so far this year it's been a risk-on rally among scope and speculative name with so many stocks rallies 50, 60% this year, how can you avoid names that might come crashing down on the heels of palantir surprise profit, cnbc ran a screener on companies that might surprise investors by becoming profitable sooner than thought kristina partsinevelos has been looking through those names and has some for us. kristina, hey. >> jon, i'm not going to use metaphors. i'm going to start with tongue twisters, i call it potential

profit anomalies a market cap of at least 500 million bucks, high net cash flow as a percentage of total debt a high ratio means they can better pay down their debt and they have not had a positive ear quarter of earnings. digital banking tops the list. it's a 5 buck stock and still 56% off the two-week high. other names we may have heard of that top the list. cloud company smokeflake, dualingo and crowdstrike and it's not just tech names, you have health care name like oscar health, food delivery firm doordash deirdre will be covering that when earnings come out after the bell and many analysts have been raising estimates for that name in particular. my team, on the pro side, also pulled out a list of other unprofitable names expected by wall street analysts to turn a profit later this fiscal year. biofirm certara along with

clothing firm figs and dole announced a few weeks ago it's selling its fresh vegetable division which should bring down debt so, who's going to be the next palantir >> interesting screen. you have to look at the quality of profitability i covered the gig economy. they tout profitability but that's adjusted ebitda profitability. this screener you looked at gap profitability, is that right >> that is correct that's an excellent point. we don't want to bring up wework because it's such a small company but they, too, their headline was that they turned a profit in december, core profit. but that was ebitda. adjusted ebitda, and often that's not trusted i know you -- especially, de, you have talked about this on air, it's accounting and doesn't reef flekt true profitability.

they do top a lot of lists. >> thanks for that look, a great way of sorting through what's happening in the market right now when investors are so concerned with profitability jon and carl, that's a point, too. investors are concerned with profitability right now. does it come at the expense of revenue growth maybe that's a question starting to be asked a little more. does the market turn to that kind of top-line growth to continue the rally cost cuts, profitability have got us here but we've been talking about these enormous moves we've seen in unprofitable names early in the year. you look at twilio, but that profitability has, it looks like, come at the expense of slower revenue growth. that begs the question, jon, you talked about this, on the other hand, is there room for innovation still if you're just pleasing the shorter term investors? >> that tends to be the way it works. the way to get profitable faster is you don't invest as much in driving growth there are downsides on either end. if the company's model works,

they get to choose how much they step on the gas, right, versus how much they ease off but if you don't grow top line as much and a competitor manages to corner the market, carl, it's like a game of risk. sometimes you can enjoy your profits for a while, but then if your competitor manages to block you off and corner the market, you could be in a bad position competitively. >> that's exactly what cisco said to us earlier this morning right here in fact, while tech has seen a boom this year, there's been a divergence between consumer spending and corporate spending. big institutions are spending on tech cisco is up on post-earnings pop. the company guides up for fiscal third quarter and full year. they raise the quarterly dividend while they did see backlog increases year on year, robbins told us orders are still coming in >> this last quarter was the third highest q2 in the history of the company from an orders perspective. it didn't feel like this thing has fallen off a cliff by any stretch. and so when you combine the rpo

and the fact that we have grown on our balance sheet every quarter w orders replaining stable and with our backlog, we have a high degree of visibility and feel confident. >> jon, to your point, robbins told us as a ceo, the mindset is if i stop investing now, particularly in technology, my competitors may not. and i could find myself at a disadvantage in a real hurry that's part of the mindset going on those are robbins' words. >> important words and, i mean, cisco's quarter, good quarter, but it was a little noisy on this count order growth actually wasn't so good and a big part of what they're doing now that's causing these outsized revenues not just in the quarter they just reported but the current quarter they're expecting is they're shipping out a lot of product that customers ordered when supplies were tight now they've got it so, they're working down that backlog. you just have to wonder, what

happens when they work through all that >> it doesn't surprise me it's a somewhat cloudy quarter and investors are looking at the bull case. we've seen that when it comes to pal palantir, airbnb i liked his comments on recession. he says we only really talk about it when we're facing you guys on cnbc and you're asking us about it. that's a nice position to be in. other ceos in the enterprise, hardware/software space, they lean on that a lot they lean on the macro and say it's a tough environment i guess cisco is kind of telling us a story, too, of what's nice to have, what's need to have and maybe they're more on the need to have side carl >> yeah yep, dee, the tech bulls would argue at least there's a balance at this point going forward. maybe in the past we were leaning on one side of the revenue profit equation and maybe companies now have found some sort of safer middle ground we'll see. >> yeah. well, on the other side, we do

have shopify despite beating on the top and bottom lines, it's sinking down 15% revenue growth guide falling short of the street's expectations the company saying the macro environment is weighing on sku consumer spending. president harley finklestein joined us. >> we showed growth on the bottom and top line, and all the while we're making changes like some of the layoffs, not fun to do but are necessary. we're taking our medicine because we want to be a long-term 100-year company >> so, this points to the other side of the conversation we're having, jon, a company that has been investing for the long term is taking a hit on sort of that profitability profile and is paying for it in the market, at least in the short term. i guess the question is, does that set them up to be a longer term play when it does things like it doesn't engage with buy

with prime, that product with amazon it's competing with, does it have to hold strong on competitive fronts and take the hit in the short term for that long-term proposition? >> dee, bear with me today because it's thursday and that means it's on the on the other hand day these shopify results, yeah, it's down big, 15% is a lot. you have to put an asterisk by it because they have a new cfo when a cfo comes in, they like to set the floor q4 was actually really good, beat across numerous metrics there was no reason to believe the quarters ahead also won't be pretty good when you have a new cfo, they need to establish their credibility and be able to outperform what they promise just for the investors out there, be careful about, you know, maybe this is a big of a conservative guide we'll see. carl >> we asked harley whether head

count, dee, is going to be further cut. they were very early in the layoff trend going back to last july he did think that head count would remain steady for the rest of the year. didn't really suggest more cuts. it will be interesting to see whether we're in a period now where that is sort of in the past, where the players who need to do it have done it, barring anything else, and this rising rate environment continues for a long time. but that might get revisited >> jon, you got me thinking about that new cfo i looked where he comes from morgan stanley spent over two decades in technology banking group. he's a wall street guy maybe investors can hold a belief he's going to be more financially disciplined. >> in this environment you're probably not going out on a limb and overpromising. i don't know, but we'll see next quarter. still to come this hour, a trio of earnings interviews. ceo of twilio is with us that stock is surging. recently announcing a 17% cut.

ouch to its workforce joined by the ceo of a $15 billion market cap chip designer -- rather, they provide the software for designing chips, synopsys reporting results. weak guidance has shares under pressure finally, restaurant payment platform toast seeing its stock burned another exclusive interview coming your way this hour. "techcheck" just getting started. thinkorswim® by td ameritrade is more than a trading platform. it's an entire trading experience. with innovation that lets you customize interfaces, charts and orders to your style of trading. personalized education to expand your perspective. and a dedicated trade desk of expert-level support. that will push you to be even better. and just might change how you trade—forever. because once you experience thinkorswim® by td ameritrade

♪♪♪ there's no going back. all across the country, ♪♪♪ people are working hard to build a better future. so we're hard at work helping them achieve financial freedom. we're proud to serve people everywhere, in investing for the retirement they envision. from the plains to the coasts, we help americans invest for their future. and help communities thrive.

for businesses of all sizes, there are a lot of choices when it comes to your internet and technology needs. when you choose comcast business internet, you choose the largest, fastest reliable network. you choose advanced security for total peace of mind. and you choose a next generation 10g network that's always improving, getting faster; more reliable; and more intelligent to keep you ready for today and tomorrow. the choice is clear: make your business future ready with the network from the most innovative company. comcast business. the eagle has landed. that's one small powe step for man...es™. hey, what's up? uh... houston... we have a situation. how did you get here? you're characters in our video game! video game? yeah, it's what we do with xfinity 10g. it's like, you know, the best network imaginable. what the heck is that? those are the bad guys. are they friendly? the 10g network, only from xfinity.

one giant leap for mankind. welcome back to "techcheck." let's get to one of today's bright spots twilio is up some 20% today, bringing yearly gains north of 60%, after the company locked in its first $1 billion quarter and announcing $1 billion in share buybacks it comes as twilio plans to cut 17% of its workforce, in addition to 11% reduction back in september joining us in an exclusive interview, twilio ceo jeff lawson good morning it feels like you're doing all the things the street is looking for. a buyback, better profitability. we were having this conversation at the start of the show, how do you balance that with revenue growth and innovation? your organic growth in q1 is calling for 13% to 14% and that's lower than your medium target of 15% to 20%

>> thank you for having me on the show you're right, there's a decision you make between investing and some of those investments that can result in accelerated growth i don't think it's purely a matter of one versus the other you have to have the right investments. i think during a time like this where companies are reconfiguring, taking substantive actions, like we've taken, to adjust to a new environment we're in to get profitable more quickly. you really take a harder look at those investments and say, which ones are contributing to the revenue growth and to the profitability of the company that's the important thing regarding q1, i want to remind you that we have a usage base model. that's a little different thap a lot of companies that are subscription-based, right? it reflects the underlying usage of our platform by our customers. we see accelerated headwind during a time like this, which is unfortunate but true. it means we also have the ability to see an accelerated tailwind when economic recovery returns. i think when that does, you'll see we're rl prepared. we're a more fit company, more

focused company and more profitable company to be able to capitalize on a return to economic growth in the macro economy. >> well, jeff, that's clearly what the street's anticipating not just the guide on oper net, but the question is, how will you know you've done a lot of difficult work in terms of managing costs. how will you know when it's time to lean into the gas again >> well, i mean, i think what you'll see is we are focused on really looking and scrutinizing our investments, making sure we get the right roi from investments. in particular i point on the communication side of our business, we split into two business units on the communications side, we're really focused on efficiency we feel we can grow that business with the product doing more heavy lifting, with a more product-led growth strategy. that can grow with less spend going in and on the flip side, we've got a data and applications business this is a smaller business it's about $400 million today.

but we see this as the earliest stages of market penetration so, we're continuing to invest there quite a bit in order to grow the penetration of segment, our cdp product, engage, our marketing automation product and platform >> twilio's dual class structure is set to sunset, does that change how you run the company, especially in a market environment where activist investors are strong and they're making moves >> well, you know, just prior to our ipo, right, we discussed whether our dual class structure made sense for us. to me as a founder/ceo, taking a young company public, it provided a runway for us to get our footing under us as a young public company even if there's some -- maybe some missteps along the way t provided us some degree of ability to execute we had that seven-year expiration on that because over that period of time, i would expect us to mature as a public

company. and i think you see that happening. and so i think it provided us a nice runway to get our footing all along the way, we've been listening to our shareholders, we've been taking their input in what we're doing as we continue to do. look, i'm a fiduciary of the company. even though i historically have this vote, i am representing all of our shareholders, and i think you'll see the actions we've taken this week represent a lot of feedback that our investors have been giving us during this time. >> i was going to say, certainly some of the actions you outlined on the call last night some analysts have pointed out, though, you could be doing more. for example, you don't have a full-time cfo. one even suggested that you spin out your flex business how are you thinking about those two items? >> we do have a cfo. we appointed one this week >> the current coo, right? >> no. aiden led our finance organization for the past few years. and so she's stepping up into the cfo role

i'm very happy she's a fantastic executive. and in terms of spinning out this and that, that's not what we're focused on what we're focused on is building a company with synergies across our customer engagement platform. the short to medium term what we're focused on is profitability and mature $3.5 million communications business and growth and market in our data application business. the problem that these products sell are very adjacent in the minds of our customers and in the buying centers over time we bring them together and build the synergies between those things even though in the current investment environment it will take a little longer, but nonetheless, that is our plan >> jeff lawson, great to get your insights. thank you. twilio ceo. >> thank you. we should note twilio was a cnbc disrupter 50 company. if you are a private venture-backed company, scan that qr code on your screen or

go to cnbc.com/disrupters to learn more and up next, roku with a smaller than expected loss many analysts say it's not out of the woods just yet. paramount sinking after a big eps miss tied to rising streaming and filming business we'll break down both of those names in a moment. go. go brain. no, not that one. go this one. go optimizing data. go efficiency. go results. emerson's plantweb digital ecosystem is the brain for smarter, safer and more sustainable performance. go plant go. go boldly. emerson.

for businesses of all sizes, safer and more there are a lot of choices when it comes to your internet and technology needs. when you choose comcast business internet, you choose the largest, fastest reliable network. you choose advanced security for total peace of mind. and you choose a next generation 10g network that's always improving, getting faster; more reliable; and more intelligent to keep you ready for today and tomorrow. the choice is clear: make your business future ready with the network from the most innovative company. comcast business. powering possibilities™.

welcome back to "techcheck." let's get back to julia. >> take a look at the stock charts for roku and paramount. paramount shares are down 4% this morning after the company's top and bottom line results fell short of estimates despite the fact that paramount plus added nearly 10 million new subscribers in the quarter

that's about 2 million more than analysts expected. the company says weakness in the ad market resulted in a 5% decline in quarterly ad revenue. the company also said that streaming operating losses, which widened in the fourth quarter, would peak in 2023. ceo announced paramount will raise prices for their streaming services he also said the combination of showtime and paramount plus should generate efficiencies and minimize customer churn. interestingly, he painted a picture of an improving ad market, predicting a second half rebound. he noted certain areas, such as food and beverage, pharma and the auto area are already seeing some strength. now, while that media giant is struggling, a platform for streamers is taking off. take a look at roku shares, up over 16% after yesterday the company beating expectations on the top and bottom line. guiding to better than expected first quarter revenue. ceo anthony wood boasting that

despite tightening ad budgets, ad on the roku platfor outperformed saying areas are already improving in the first quarter jon, the ad market may not be as bad as many had feared >> julia, it's so interesting. if you look at a chart from 2022 and what happened in january and so many stocks going like this, and then 2023 in january, like roku and so many stocks going like this, it hardly ever happens right at the beginning of january, but it has this time we'll see how that bodes for the rest of the yeara boorstin, tha up next, chip design software maker synopsys under pressure even after they change the fiscal year outlook.

girls... the chess club has gained an edge on our bake sales. we need more ways of connecting with customers, fast. i know some consultants with great ideas. can they help us improve our digital experience? absolutely. they've invested over $2 billion in tech. that could really help us manage inventory. and save us a ton of dough. then let's take back our market share. checkmate, chess heads. girls, i said “bedtime”! 92% still active? seems high. seriously? it's just a bike. wait. they make a treadmill with an intuitive speed knob? yeah. want to try? 92% stick with it, so can you. start a 30-day home trial today.

terms apply.

trading day, get you caught up on the markets after the hotter than expected ppi number and hawkish commentary from fed president mester dow loss is about 200 points, although they were double that at the open. some big movers at the hour, blo bloomin brands, and crocs moving

higher the ceo says consumer demand has been, quote, exceptional datadog in the red but off session lows after earnings came in lighter than expected stock up 18% coming into that print. we'll watch all of those names and more let's get a newspap update with frank holland. portions of a georgia's grand jury on election interference they say one or more witnesses may have committed perjury and says they could not find any evidence of fraud in the election. the michigan state shooter had two 9 millimeter handguns purchased legally but were not registered msu's interim president says five hospitalized students remain in critical condition but are showing signs of improvement. kentucky's supreme court says today the state's near total ban on abortions can stay in place but sent back a

challenge to a lower court for further consideration of issues related to the state's constitution last year kentucky voters rejected a ballot measure that would have denied constitutional protections for abortion that's the very latest jon, back over to you. >> frank, thank you. let's turn it now to semiconductors shares of synopsys are down a little less than 5% this morning on the leading edge chip design software maker's latest results. earnings beat, revenue in line with expectation full year guidance affirmed. here for a closer look and a cnbc exclusive, synopsys ceo aart de geus i want to clear up something on the quarter. on the guide for the current quarter it looks to me like you're mostly dealing with a tough comp and your pattern returning to normal season patterns and you did affirm full year, but is there something else in here with maybe customers trying to delay fab

rollouts or something affecting you on the design side i don't know. >> no, actually, there's nothing that has changed the outlook is just as good as before and we reiterated guidance, which is excellent, 14% to 15% for the year. i think the reason probably on our side we were not clear enough how the distribution over the year, quarter to quarter, was different than last year, which was something extraordinary. and so we're back to the normal way of quarter after quarter increasing over time and aside of that, actually, the outlook is very positive. >> now, i want to get into this ai question because a lot of people might not know, you guys have the software that the leading edge semiconductor makers need to design the future and with all of this intention on ai now, you've got this dos.ai product how is that affecting the way you view future profitability and the amount of sort of revenue share that you think you

can get in this industry >> oh, it's extremely positive let me explain what we do. we provide the tools to design chips for all of the semiconductor companies in the world. we also provide the basic building blocks. think of it as little lego pieces of designs that are finished and the first about 65% of our business, second is 25%. and so we touch literally all of the advanced designs in the world. and so the reason this is so powerful is that we have now a whole new wave where design is enhanced by using the very ai for which so many customers design chips and so this has started to happen about 2 years, 2 1/2 years ago. i was surprised myself how good the results are. because what took many months can now be done in weeks at the same time, you get better results. better results mean faster chips, lower power chips, and in some cases, even smaller chips

so, this - >> at a certain point -- i hate to interrupt you but i want to sort of get more elaboration in a particular area from you here. do investors -- should investors expect to see an inflection point in your financial results even because i believe you said on the call, unlike so many other companies in tech that are seeing longer lead times for deals, that especially when it comes to the software to enable ai, you're seeing customers make faster decisions how does that play out in the financials >> well, it plays out that we will have hopefully continued very, very good growth in our field. actually, today we are the fastest growing in the eda field. and these technologies are so essential that customers will try to apply them as quick as they can learn how to use them now, this is also pretty new so, literally every quarter we have new and better results. and it's super exciting to see because what we saw in the last

year and a half is that in contrast to the past where people adopt new tools, learn how to use them and so on. in this case they use them a little bit and immediately move them to production design, meaning real designs that go to manufacturing in the year and then go to the market shortly thereafter and so on our customer side, they really like what we're doing. and so the opportunity for us economically, therefore, is very positive n now, there's no doubt over the last few years synopsys has a higher growth ramp than before we expect that to continue. >> well, eager to see, aart, whether synopsys becomes sort of an ai growth bellwether, as you do so much design work for the critical chip underpinning of that aart de geus, the ceo of synopsys, thanks for join, us. >> thank you. up next, airbnb coming off a

massive earnings beat. i sat down with ceo brian chesky and we'll bring you his comments on m&a and what to expect from doordash after the close we're back in a minute pandemic, getrefunds.com can see if it may qualify for a payroll tax refund of up to $26,000 per employee, even if it received ppp, and all it takes is eight minutes to get started. then we'll work with you to fill out your forms and submit the application; that easy. and if your business doesn't get paid, we don't get paid. getrefunds.com has helped businesses like yours claim over $2 billion but it's only available for a limited time. go to getrefunds.com, powered by innovation refunds.

for a second straight day since reporting results that suggest, brian chesky and team have achieved the kind of efficiency

and profitability other tech companies are scrambling to show what's next? i asked chesky if this is as profitable as airbnb gets or if they're looking for other revenue streams going forward and justify the price multiple we've been talking about >> we absolutely want additional revenue channel. nike started as running shoes. that's a minority of revenue amazon started selling books that's a minority of revenue i want one day for staying in a home on a short-term basis to be the minority of revenue of airbnb. >> he didn't tell us exactly where they would be going but i asked if m&a is on the table now that the company is sitting on $10 billion cash he said larger bz 1 billion plus deals are not off the table. doordash went public around the same time during the pandemic. it's been more aggressive about divesting and diversifying

it's gone more vertical through dash mart, that has come at a cost net losses have increased and trades at a multiple lower than peers, airbnb specifically those rising costs will be in focus when it reports tonight. we'll hear from doordash ceo tomorrow on the show they rose 46% in the third quarter on costs given the moment we're in, investors are looking for profitable and rewarding it handsomely, has he been able to decrease that? we know they've done layoffs. >> i just think, dee, doordash and airbnb are two entirely different kinds of companies even though there was this gig economy, share economy we tarp you canning about, i don't think that's the right way to look at these companies anymore. brian chesky and airbnb don't have to build a logistics

network. houses don't go anywhere a big part of what tony shue is trying to do at doordash is solve this last mile logistics challenge. it's more like amazon, right, versus ebay in the day people used to think those two companies were alike but that logistics supply chain thing turned out to be pretty key. >> i have to disagree with you there. i think doordash is looking for like a logistics network that was a choice tony shue has made you could be an uber and not build out series of dash marts where you have more ownership over your customer, more ownership of the last mile delivery maybe uber is a better example if you're looking at the delivery space uber is talking a lot about reaching adjusted ebitda profitability. in fact, it has, and so has doordash what does that look like going forward? my question is does that capital investment by going vertical weigh on the stock at a time when investors want more

profitability. >> i didn't hear the disagreement, though it sounds like you're agreeing with me at least on the airbnb comparison they're not alike. >> airbnb before the pandemic -- you were at this interview when we talked to brian chesky, years ago before they went public. he was looking to build out their own brand of hotels. do you remember it was, i think, rockefeller center they had plans and they were going to operate it themselves he backed away from that ambition, that would have been incredibly capital intensive during the pandemic. >> yeah, just charting out uber versus dash, dee when you think about what darra said menu stabilizing and the metrics, but dash is underperforming uber for the past 12 months, and by almost 30 points we'll see if that gap narrows. meantime, during february we're celebrating black heritage through some of the stories of our cnbc teammates and contributors and leaders in business here are earn your leisure founders troy and rashad bilal

our culture has been the catalyst for everything earn your leisure has done. that's why we're super intentional from the way we dress, the way we talk and our message is delivered. >> our success has been humble and we've gained worldwide support but we never forget we stand on the shoulders of our forefathers. our goal is to leave a legacy for generations to come. rail vision is at the forefront of an evolution in train safety. using advanced sensors, ai and big data technologies rail vision is taking rail into the future, making it safer and more efficient, reducing railway accidents and downtime saving lives and money. billions of dollars are expected to be invested in rail safety in the coming years. rail vision has the solution today. learn more at rvsvinfo.com. rail vision is at the forefront

and it's easier than ever to get your projects done right. with angi, you can connect with and see ratings and reviews. and when you book and pay throug you're covered by our happiness check out angi.com today. angi... and done.

let's bring in our final mover of the hour, shares of toast in freefall, down 19%. guidance in line but it's this deeper than expected loss per share that's weighing on the stock. for more on the quarter we're joined by toast ceo chris comparato in a cnbc exclusive. is there something the street's not getting about the guide? >> yeah, thanks for having me on again, carl. you know, the street -- i'm not going to worry too much about the street and the numbers today. we had a great quarter if you look at our quarter, we delivered on strong top line growth ar grew 59% year over year we had further margin improvement quarter over quarter. then we had strong product innovation extending the reach of our platform into our customer base. so, that's what we're focused on we're focused on the long-term opportunity to help the restaurant industry digitally transform. i think the market's been expecting, you know, one of the

analyst told us this morning, the market's been expecting perfection and, listen, we strive for perfect execution and continuous improvement, but at the end of the day, we had a great quarter. so, i'm not going to worry too much about the numbers today >> right you know, your results come a day after retail sales where, i mean, i know they're nominal numbers, but restaurants and bars in this country, i mean, it's just incredible the way in which the consumer is responding to eating out. i just wonder, are you waiting for a moment in which the merchant themselves decides it's incumbent upon them to invest in their own business >> yeah, that's a great question listen, if you look at the course of the past 2 1/2 years, the restaurant industry and our merchants have been incredibly resilient. and incredibly battle-tested so, while the consumer continues to hold up and we're obviously very anxious and excited about that, you know, we're making sure that our merchants and restaurants are ready to adapt

and be resilient so, when you look at -- you know, we did a voice of the customer industry survey last quarter. restaurants continue to struggle with labor shortages, food inflation, how to engage their team and our platform really helps our customers strengthen their position on those three dimensions this dimensions this morning on the earnings call i mentioned a restaurant called silver diner, 21 units in the mid-atlantic and when they deployed toast, they're seeing their wait staff much more productive, turning one to two tables more per staff and seeing their table turn times decrease by 30% to 40% so that's all about driving productivity into the restaurant and then also helping them shine a light on food cost inflation so that they have better menus, better recipes and can drive their margins to the next level. it's been incredibly resilient that's what excites us about the road ahead >> it's jon fortt, the silver

diner in rockville, i used to go there weekends in high school. i think investors probably need to know is anything changing with the velocity of growth and your strategy? in q-4, incremental locations were about 5,000 they had been 6,000 in the two quarters prior and payment volume was down, which you warned it would be just because it's a q4 but is there anything underlining with the macro shifting with what you see happening with the business? >> no, what we see is continuous improvement on the key unit economics. last year we added 23,000 locations to the platform. we actually added 5,500 locations in q4, which was similar to q3. usually q4 is a lighter quarter. payments volumes took a little bit of a dip, but that's seasonality. we feel strong and confident going into 2023. that's what i've been telling our analysts this morning.

that's what i'll be telling investors tomorrow we're excited about the position that we're in to really help the restaurant industry thrive in the year ahead >> chris, appreciate you communicating with the street, at least with us always good to talk with you and get a sense where the business is chris comparato at toast, thanks >> thanks. after the break we are live in santa monica. shares are down 35% in the past three years. "tech check" is back in just a moment f.” 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

welcome back snap's investor day we mentioned earlier kicking off in just a few minutes at the top of the hour our julia boorstin is on site ahead of an interview with ceo evan spiegel we've talked about it every time the last three quarters have been net disappointments >> reporter: yeah, there are so many questions here and it's interesting because snap was one of the first tech companies to do layoffs dethis layoffs back in august, and now it's been almost six months since then. what is the road map for growth

for this country they talked about ad headwinds, carl, and the worst advertising results in the most recent quarter than, say, meta did. take a look at this company's stock price. such a roller coaster down 72% but it's up 22% year to date so many questions about what's in store they have this new subscription service and then just overall how are they engaging with advertisers right now? >> julia, i wonder if there's a credibility question here. i mean, the last time that evan spiegel did that and set out those long-term targets just to take them away later how are investors supposed to believe anything coming out of this today >> reporter: well, look, the market has changed dramatically the last two years or so since snap did one of these investor days, but i think what we're going to be looking for in this presentation that starts in just a couple of minutes is a sense of what they see their differentiation to be. we see meta continuing to grow,

to benefit from the scale. but snap is really a different product. it's more about curated premium content. how are they use thing that to strengthen their relationship with customers and to generate even more revenue. i think that demographic they have is unique and the question is just how big can their user base get if it is very different from the sort of broader user base that is meta's and then what's their outlook for the ad market we were talking how everyone sees the ad market but there is an expectation of a rebound in the second half of the year. you can turn those ads on and off with the click of a button, which can be an advantage if the market is good but can be a disadvantage if you're looking for places to pull back. >> yeah, interesting coming off the heels of comments about the ad market. that's a much different model, as you point out, julia. julia boorstin, we'll watch for

that with evan jon? one more thing, carl we started the hour with the new york fed saying household debt saw the largest increase in 20 years, and they're seeing increases in delinquency rates i spoke to nerd wallet ceo tim chen after its earnings report that stock is up 6.5% today, by the way, and has doubled year to date the company is seeing similar pressure on consumers particularly subprime. >> it's definitely a tale of two cities inflation is hitting a lot of consumers hard and at the same time there's a really tight job market we're definitely seeing a bifurcation there and so, yeah, like i said, people are getting a little late on their payments and the more subprime part of the credit spectrum causing more caution from the lenders out there. >> you can catch the entire conversation with tim chen on the "tech check" linkedin page d, it's interesting, look ahead to intuit earnings coming up in a few days

credit karma is a bit bigger than nerd wallet but similar space. even though they're smaller, nerd wallet is less so that's why they might have some different results. >> i like nerd wallet. it did occur to me it's an aggregator and you can choose which financial product is good for you, these side-by-side comparisons. how has it changed similar answers compared to the nerd wallet website. >> you will not find that in my conversation with tim. that's on the video but we talked about it after. he said i'm surprised you didn't ask me about that. carl, he says he sees potential in the use of that to give tailored financial advice. it seems like there's some legal issues there >> yeah. it's all about what goes in is going to give you what comes out. fascinating interview talking

about the prospects for at least disinflationary trends regarding labor around the world because of ai but, yeah, you didn't get in any fights with chatgpt, did you. >> i did not i need like two hours to try that, i think. but it is creepy creepy >> we're definitely getting there. let's get to judge and "the half." carl, thank you very much. welcome to "the halftime report." i'm scott wapner front and center this hour don't fight the fed or don't fight the tape which side are you on? it's only the biggest and most important debate in the market right now. the investment committee choosing their sides today joining me josh brown, jenny harrington, jim lebenthal, also with us on set today our senior economics reporter, steve liesman. we go and see where the markets are just past 12:00, noon in the east and we are lower across the board. we're off the lows but still down across the board. rates today are not lower.