tv After the Bell FOX Business August 4, 2014 4:00pm-5:01pm EDT
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moving higher. >> and that's unusual, usually it's the other way around. liz: the bells ring on wall street, the bulls fight back. dow jones industrials seeing a gain of 85 after getting hammered last week. in fact, same with the s&p 500 which had had its worst week in something like two years. and, of course, we saw what happened with global equities, a trillion dollars is washed from the system. some of it coming back today. the nasdaq seeing a very strong day, up 31 points. the s&p up 14, it is the russell, the small and mid caps -- perfect because we've got craig hodges who loves the small caps, he's giving you some names coming up as we begin "after the bell" starting right now. ♪ ♪ liz: this is the moment that can't be cut down. ashley: it really can't. and i'm really impressed by the resilience of this market. liz: let's find out why the
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bulls were able to show some action here. med's going to tell us why he thinks u.s. equities are not the place to be, that they're too expensive but where overseas he's putting his money to work. and john trainer, people's united bank chief investment officer here with three names that you should add to your portfolio. lincoln ellis, we begin with him joining us from the pits of the cme, lincoln, on a day we started to see some flatline movement, up, down and all around, the bulls took over and, boom, here we are just off the highs. >> yeah, look, it's really a reflection of the back side of what happened in the european central bank over the weekend. portugal's bank gets a bailout to, the ecb very quick to act in this situation. we still see equities responding to a very policy-forward or a policy tailwind kind of environment. that's what brought a lot of these markets back.
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earnings have been good, the general economic outlook still seems to be very much intact. and so, you know, these dips as they have been over the course of the last 18 months once again today bought and bought pretty heartily, i should say. ashley: exactly. meld, let me bring you in because liz was just saying you like opportunities overseas. as i was reading through your notes, i did a double take. you like eastern europe, russia, brazil. really? why? >> you can even add portugal to that list too. [laughter] we're looking for a lot of the cheapest countries in the world, right? and so a lot of the cheap countries also happen to fall in places that have bad gdp growth, you know, poor geopolitical headlines. but that's also where the opportunity is. so a lot of the really cheap countries, like you mentioned russia, greece, a lot of eastern europe we think sets the stage for really strong returns the next five years. ashley: but, you know, given what we know about some of these
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countries, how do you kind of tiptoe through the minefield, if you like, and find the opportunity? >> there's a few key lessons here, and portugal's a great example because you want to diversify. so for every market you have like portugal that's really struggle for the last couple months, you have markets like brazil that have done fantastic, and that's the best part, right? it's breadth. so you have a lot of choices. you take about 11 of those countries, we have this in our global value etf, you're able to diversify risk among some of these countries doing really poor and hopefully the average will do much better. liz: yeah. greece, that's an interesting one. clearly, there's some opportunity at least from your perspective, but wilbur ross has been on the program loving greece right now, billionaire investor. let me flip over to john who's much calmer at this point with names like intel, discover and procter & gamble. these are large caps that do pay dividends. we could pick out intel for the moment because that stock is hovering just below its 52-week
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high. it has suddenly woken up. what do you love about intel? >> we like intel because, especially because of the announcement they made the last time they reported earnings. they're finally starting to see a turn in orders, a turn in sales, and that whole capital spending cycle that we're anticipating, we believe intel is going to be on the leading edge of that. so we're actually pretty excite about intel's prospects. liz: and intel inside, they still have a pretty decent relationship with hewlett-packard, and hewlett-packard has been able to capitalize on that cycle where people and companies have to start once again buying things. but that leads me to discover. it's an interesting pick. why is this part of your portfolio? >> discover is a name that we've actually owned for three years, and when we were taking a look at the credit card companies, we wanted to own the portfolio. we think as employment increased, as the household sector got better, we wanted to
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own that portfolio be, so discover has just been a great stock for us, and it's really a play on continued increasing in employment and improvement in the household sector. ashley: lincoln, let me bring you in because you said something in your notes that really kind of caught my eye. you say that when you think about equity markets right now, you think of that 2004 movie "sideways" about wine which, basically, what, killed merlot and was great news for pinot noir. where's the analogy in all of this? >> more towards 2015 when we're looking at markets that will probably begin to trade sideways. if you think about kind of the advice my colleagues have been giving you, you're seeing the kind of barbells that investors are actually building portfolios on; very safe growth, u.s. domiciled companies that have a global reach. and they're looking out into the risk portfolio and saying where have things been pulled off the hardest and where are those discounts deepest where i can understand the geopolitical
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risks and try and capture that? if you look out into 2015 and you think about both of these markets beginning to sort of plateau or settle down, you really could see a sideways trade in 2015, that along with normalization and ecb -- sorry, the fed policy. ashley: let me jump in here quickly and get to jo ling kent who's got the aig numbers. what have you got? >> reporter: young through the report right now, reporting an adjusted eff of $1.25, that is a sold beat of the $1.505 the street was expecting -- $1.05. the outgoing ceo saying aig results in the second quarter were solid. we're going through the report now, so we'll bring you that revenue number in a minute. liz: bottom line looks like a beat, and the stock is reacting positively, closing value $52.62, but the bid is $53.51. as we work on that revenue
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number, lincoln was finishing his thought which leads me back to med. if lincoln's barbell approach has safe names that are dividend payers on one side and then the risk on the other, that's where you come in. is there a way to perhaps put a little teflon around the picks like greece and russia to make sure that if things start to go south due to headline risk, you're protected in some way? >> that's the challenge with equities, right? you know, you have the mar jib jib -- margin of safety of buying cheap companies and countries, but that doesn't mean they can't go down another 30-50%. we think you need a long-term time horizon, a lot of the countries, and if you're in the u.s., avoid small caps, consumer discretionary and avoid high dividend players. we prefer share hold yield type of -- shareholder yield type of stocks. ashley: john, what are you avoiding right thousand? what are you not going to touch? >> that's an excellent question. where we are guiding clients is away from those sectors that perform the best.
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as the prior speaker mentioned, the dividend-paying, the high dividend-paying stocks, high yield bonds, we've cut our weighting in half in the last several months in high yield. you've got a lot of investors that moved into those areas. we think they're weak hands right now. so as we reallocate, we think you're going to see money moving away from those interest-sensitive sectors. ashley: very good. liz: good to see all of you, and by the way, we got very close to turning positive for the year. did that happen, maria? didn't quite happen. ashley: so close. liz: that's why we need lincoln later in the program. can we check back in with you in a few minutes? >> yeah. they've been positive, and they'll continue to be positive for the year. it's only the dow that went into the red. liz: fine enough. med and john, great to have you. thank you so much. >> thank you. ashley: well, the biggest monthly decline since may 2012
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as investors worried about valuations, so could now be the perfect time to buy? liz: plus, israel's offensive against gaza has lasted nearly a month. how are israeli businesses being impacted as sirens continue to sound in the country and rockets continue to fly? we take you live to tel aviv for an on-the-ground account with the ceo of an israeli firm that continues to conduct commerce with companies like amazon from bomb be shelters. ashley: and mortgage interest tax deduction once again in the spotlight with new calls to scrap it, and homeowners could lose thousands of dollars a year. we'll have the details. liz: we would love to hear from you. did you just hear med totally smack down small caps? yes, they did take a beating in july, down more than 6%, but is now the time you would dip in and buy some of these names that might be beaten down, or is the fed right in calling some of them overvalued? tweet us @fbnatb.
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weit's not justt we'd be fabuilding jobs here,. it's helping our community. siemens location here has just received a major order of wind turbines. it puts a huge smile on my face. cause i'm like, 'this is what we do.' the fact that iowa is leading the way in wind energy, i'm so proud, like, it's just amazing. before those little pieces would get in between my dentures and my gum and it was uncomfortable. [ male announcer ] just a few dabs is clinically proven to seal out more food particles. [ corrine ] super poligrip is part of my life now. ♪ liz: camera picker go pro falling further into the red pressured now by valuation worries, but it's been a high flyer. >> it certainly has from day
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one. let's head back to nicole petallides on the floor of the new york stock exchange. >> reporter: just such an exciting concept, but there are some worries about the stock that really has run up since the ipo, the initial public offering, of $24. this stock ran up to nearly $50. is it worth $50? well, that's the question, and that's why we haven't really seen it hovering around that level. as a matter of fact, it got up to 49.90 and has since pulled back. right now it dropped 6% today, closing at $38 and change. with that we did get the latest earnings report, and what we saw was -- or i should say report overall. they reported a loss that was bigger than expected. their costs have doubled. the question is i how will go pro expand. they've certainly been spending a lot, they've been marketing a lot. it's a great, fun product, right? everybody wants to wear it if you're snowboarding, surfing or just being cool somewhere and check it out, but the big fill is what are they going to do to bring this some numbers that will really wow wall street, and the valuation call ran up pretty
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fast. ashley: expand the products they have, that's another criticism. liz: the barriers to entry, arguably, are a little lower, although nobody else has done it as well. nicole, thank you very much. ashley: the s&p futures are closing, let's head back down to lincoln ellis in the pits of the cme to find out what they're telling us, lincoln. >> ashley, closing up the books here we're looking at the numbers later on in the week particularly around the pmi service index and the ism, nonmanufacturing tomorrow morning give us a sense of where the bulk of the u.s. economy actually is, and it should reflect that higher gdp number that we saw on friday giving us a sense of perhaps we should see some more wage gains going on. but the market behind me today, totally bulletproof. really shrugged off the european news, really shrugged off any idea that geopolitical conflict was going to be a problem and settling very squarely in the black both today and for the year. ashley: yeah. it's been impressive. lincoln ellis, thank you so
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much. >> you bet, take care. liz: small cap stocks have been on quite the wild ride. last month the russell 2000, i mean, this picture really shows how tough it's been the last couple of weeks. russell 2000 fell more than 6%, that's it's largest monthly decline since may of 2012. investors moving from small to large cap stock due to worries about valuations. ashley: need one of those go pro cameras to jump off that chart. does that mean there's value in the sector now? joining us is craig hodges, hodges small cap fund portfolio co-manager. what do you say, craig, have these small caps fallen far enough that we should be, perhaps, jumping in and picking up some bargains? >> oh, you know, we feel like here at hodges capital there's always opportunities in small caps just by nature. i mean, you're going to have, you know, it's been such a great place to be the last, you know, five years or so, and so you're going to have, you know, you're going to have because of the
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smaller nature, you're going to have a little more volatility. it's a more inefficient part of the market. but there's always new things happening, there's always new emerging companies, and we see more opportunities in small cap than we've seen in quite a while. we've got a lot of cash, and we're using every day like the last couple days to get in there and buy more, more good companies that are on sale. liz: well, i'm glad that you're here because med faber, i don't know if you just heard him, but he was saying to stay away. they don't give dividends, they've already had a very long run, but you, obviously, are a complete disbeliever this that theory. let me let people know why they should listen to you. if you look at the hodges small cap fund, over the past five years -- and this stretches it out -- you're up about 25% annually, and i think that's impressive, and we're thrilled you're able to do that and then come on to give your favorite names. what do you like right now? these aren't the obvious small cap names.
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you've got trinity industries and name some of the others. >> you know, there's a lot of different. we love the industrials like trinity industries and eagle materials and capstone paper. you know, these are companies with real high barriers of entry that have limited competition, and they have great pricing power. so we like those areas. the energy area is another great area that we see just emerging as we speak. matador resources is one of our favorite names there. stock's pulled back about five, six points, about 10% -- no, about 20% from its high. we think there's a lot of opportunities there. and even, you know, even names like u.s. steel which, believe it or not, is only a $4 billion market. liz: that's weird. >> it's starting to break out here. there's a lot of areas that we feel like you don't have to pay, you know, 15, 20 times earnings. there's a lot of these great emerging companies that you can buy at 10, 12 and 15 times earnings. ashley: so are there any sectors
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that you are avoiding, craig? you know, janet yellen, of course, said she would have some concern about some of these momentum stocks in small caps being stretched, as she put it. there's those areas that you are avoiding? >> yes. you know, the real high multiples we are avoiding. there's just too much risk. i mean, like i mentioned earlier, you can buy a lot of companies fairly close to their growth rate. so why, you know, why buy a 50 times earnings company that's growing 20% when you can buy a lot of 15 and 20 cent growers at 20 times? so what we're doing at hodges capital and especially our small cap fund, we're trying to just, you know, do the risk/reward. and we, you know, the russell, everyone says, oh, it's extended and that sort of thing. i would rather pay 18 times the russell where you're getting 12 times growth rate than 15, 16 tied to the s&p where you're getting very low single-digit growth rate. to me, there's much greater opportunities in the smaller
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type companies. especially -- and they also don't have the european exposure. you know, these are much more domestic companies that you really can get a real feel for how they're doing on a short-term basis. liz: it's great to see you, craig. thank you so much for joining us. >> liz, thank you. my pleasure. liz: craig hodges of hodges small cap funds. ashley: all right. it is regarded by many as a key prop of the housing market, so why are some calling for the abolition of the mortgage interest rate deduction? we'll go to washington to find out. liz: don't know why -- okay. the conflict, there's the reason that video's up. the conflict between israel and hamas has led to an israeli air and ground offensive against gaza and a monthlong barrage of market attacks. how are businesses in israel coping? israel is known as having just an unbelievably strong technology industry, but we'll get to the heart of it here. we're taking you live to israel to talk to a ceo of a company that's been conducting business even through the most desperate
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get a discount when you add a newly-licensed teen to your liberty mutual insurance policy. call to learn about our whole range of life event discounts. newlywed discount. new college graduate and retiree discounts. you could even get a discount when you add a car. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance. liz: time for a quick speed read of e of the day's other headlines. five stories, one minute. first up, walmart rebuilding its web site to personalize the online shopping experience. the retail giant's new feature will enable this web site to show shoppers more products that they may like based on previous purchases. mcdonald's will start selling
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beef and chicken burgers in some chinese cities again this week. the fast food chain halted sales of some of its products after a supplier came under investigation for using expired meat. apo considers expanding its web tv model overseas. according to people familiar with the matter, potential countries include japan and turkey. general electric investing $2 billion in africa by the year 2018 to boost its energy and infrastructure. the company says it regards the continent as the most promising growth region. president obama tells the economist magazine that ceos should stop complaining about regulations. he says corporate america has done well under his economic policies, and executives need to show greater social responsibility. and that's a look at today's speed read. ashley: right on the money. all right, here's a story for every homeowner to listen to. a tax break that's often viewed as promoting ownership is under scrutiny. the policymakers are calling to
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end mortgage interest tax deduction. liz: we can hear the lobbyists crying. [laughter] yeah, peter barnes is joining us from washington with more on that story. >> reporter: how about the lob to byists that are getting their -- lobbyists that are getting their shotguns out for this one, liz and ashley? this new study, though, could help move tax reform along. researchers at george george mason university say the deduction has not helped middle class home ownership or prosperity as much as people think. it's a tax break that costs the government about $70 billion a year that they say helps mostly higher income taxpayers to itemize their deductions and who would probably buy a house anyway. the authors found that two-thirds of the benefits go to house olds earning more than $100,000. researchers acknowledge the politics of all this would make it hard, will make it hard to eliminate the deduction because of the voter support for it generally and the lobbying by powerful housing groups.
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so the authors say that washington should at least consider replacing the deduction with an annual tax credit of $900 per homeowner. as a percentage of income, that could help many more lower and middle income homeowners. >> you'd have a fixed credit that would actually continue to help you stay in your home and afford your home year after year. and once i explain that to people, they say, oh, that's a better idea after all. >> reporter: of course, some supporters of the mortgage interest deduction are fighting any changes saying they'd hurt home ownership, the housing industry and the economy. but in recent years, washington has steadily approved limits on the deduction for higher income taxpayers and both the president and some republican leaders have proposed more of these kinds of changes. liz and ashley. liz: hey, i mean, everybody's got to suffer. let's go, you know? ashley: you raise a good point. would people give up that tax deduction for a flat rate system
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that gets rid of all the other nonsense? liz: i can hear steve forbes cheering. ashley: you can. liz: peter, thank you very much. if you've gone to the doctor, the dentist or taken your pet to the vet, odds are you've used one company's product. the ceo on the company's blowout record quarter and what positive catalyst led to raise guidance. ashley: plus billionaire george soros shares one israeli consumer name whose stock has fallen 32% this year. we'll have the details. liz: investors were smiling on wall street today but so was team fox business. it crossed the finish line at yesterday's new york city trialt land, chris hahn did the swim, then i switched over to do bike portion, 26 miles, and, you know, chris emerged from the lovely hudson river no less for the wear. he did it in 19 minutes. i hate him. i know. i did the 26 miles, i come back -- where's chris? he's nowhere to be found.
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[laughter] he was in the port-a-potty. during the whole hour and a half i was gone. so he grabs it after i banged on all the port-a-potties. eight-minute mile that guy did. ashley: oh, my gosh. liz: all for this payoff. not the free, you know, muscle milk, but for these guys. marine captain james biler was wounded in afghanistan. with your money, you guys, you helped so much. along with mandy and the whole team, thanks to your donations we raised thousands and thousands of dollars, but we're going for one more week. you can still donate right now. please, we want to hit our goal. building homes for heroes.org. $5, a quarter, i don't want even care. just anything. as we go to break, take a look at some of the fox business fans who joined us at the triathlon. >> hey. how you doing? this is my 27th triathlon, and
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go fox business. >> i've done about 20 triathlons, and i love fox business news. >> rolling fox business news. >> shout out to fox, they're great. thank you for sponsoring this. ♪ ♪ i had no idea i had shingles. there was like an eruption on my skin and burning. i'd lift my arm and the pain back here was excruciating. when i went to the doctor his first question was "did you have chickenpox?"
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israeli company earlier this year. now a soros rep confirming the billionaire investor sold his stake in sodastream over the weekend. what remains unclear though is if soros sold his stake for political reasons or simply just to cut his losses. shares down more than 30% so far this year even though the company beat second quarter expectations. its u.s. business does remain a concern as sales of soda makers, by the way, down 55% year-over-year. liz: well, i have one, and i love it because it just makes fake pellegrino. [laughter] keeping with the theme of israeli companies here, after four weeks now israel and hamas are still fighting. the economic costs of the gaza war for israel are estimated to be upwards of $2.9 billion not to mention the human toll. how are israeli ceos making sure that business carries on as usual amid the rocket attacks? joining me now, billguard's
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founder and ceo. he's calling us live from his office in tel aviv. welcome and thank you for joining us. >> thank you for having me, liz. liz: just so you know, billguard, in's tense, tells users when their -- in essence, tells users when their credit cards have been stolen, but talk about what it's like right now where you are as these rockets continue to fly. >> so as you mentioned, it's been several weeks now, and there's a bit of a surreal normalcy to the almost daily routine now of taking about a ten minute break about once or twice a day to run down to a bomb shelter and gather together and wait for the sirens to pass and the risk to pass before we go back to our desks and try to get back to work. and it's become a normal to occurrence that has pretty much not affected the way we work and how productive we are, but it
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affects different employees in different ways. overall, we feel a great sense of pride in continuing israel's tech boom and economicy and note terror affect our work. liz: well, that has been crucial, i think, for many companies. but talk about how it's been and what it's like. as i understand it, you were conducting a conference call with amazon because you were putting one of your apps into its fire phone, and then one of these sirens went off. what happened? >> sure. so we were on a phone call with them talking about our apps, and literally in the middle some sirens went off. we had to explain to them that we needed to turn off the, cancel the call and reschedule because we had to run to the bomb shelter. which, by the way, we use our kitchen which is a guarded area as our makeshift bomb shelter. but they were pretty shocked on the other line.
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it sounds a lot worse than it really is. we try to kind of keep in good spirits and make things go smoothly in terms of getting back to work. but it certainly is a distraction when you're in the middle of a call. we ended up still launching that product, and everything went well. liz: riz aside from those -- aside from those interruptions, have you seen the perception of your business as an israeli business change on behalf of some of the partners you've been working with, or are companies standing behind you? >> we do not feel any impact. we're actually in the security sector where we do pretty sophisticated security technology, and israel's known for this type of technology strength. and we have not seen an impact in our business in particular, and i haven't heard of any other company in our sectors here affected in a negative way. liz: what was it like when the faa banned flights coming into
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ben-gurion airport in tel aviv? it was just for 48 hours, but i'm sure that that disrupted business opportunities. and, again, we are a business network, we do not ever underestimate the human toll of this entire situation, but again, what did you feel from that? >> so that is certainly an inconvenience. we had people coming in, we had people wanting to come out. and that has a major impact on our economy in general, on the tech sector in particular because we don't have a local market to sell into. we build products for the world, for u.s. and europe. liz: sure. >> if we can't travel, we can't do business. liz: i wanted to ask you because -- and i'm sure you're aware of this, but here in the u.s. the fur is flying. the situation has prompted this cascade of anger and debate among now celebrities are speaking out, and some are lining up and supporting israel. others, the palestinians in gaza.
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look, the rolling stones, rocker neil young, you have all kinds of names, howard stern, joan rivers, pro-israel. scarlett johansson, jon vote. on the other side -- jon voight. and this is making news today to, selena gomez, rihanna, and they're pulling back their tweets supporting gaza. when you hear that someone has sport supported you with the voice of say, for example, howard stern has with so many listeners, what does that do for the psychology of israelis under fire? >> so, first of all, it's great to have the support of the international community, and i think it sends a bigger message which is this is a fight against really radical islam extremism. it's not a fight -- our hearts really break. the palestinian civilians who are caught in the grip of hamas terrorists, and those who are for the defense of israel are
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really saying we're for the free world defense against radical islamic extremism. and that's something which we're proud of to have support. it's not changing what we do and how we do it. we have to first defend ourselves and it's just great to be able to also have others realize that we're fighting a fight that the world is fighting in an ideological warfare. liz: well, after thousands of rockets came over and you guys fought back, i think that you do see many people understanding the situation at the moment. we hope it does soon come to an end though. yaron, thank you for joining us. the company is, of course, billguard, and they're on the phones conducting business, signing up all kinds of partners. good luck to you, sir, thank you. >> thank you, liz. liz: it is one of the world's largest distributers, ashley, right? ashley: it certainly is, of health care products, liz. henry shine and company has just reported a record second quarter. we talk with the firm's chairman and ceo about how he plans to
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keep up that impressive pace. billing for cancer treatments is often called the wild west of medicine. coming up, we highlight a huge concern that helps explain the rising costs of health care. and want to know about the most complained-about banks in the nation? well, we'll bring you a list that has gotten a lot of people's attention today. we'll be right back. ♪ ♪
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♪ ♪ liz: whether it's poor customer service, we all have a complaint or two about our banks maybe, but some banks, however, get more complaints than others. magnify be analyzed -- magnify money came up with its list of the most complained-about banks. at number three, jpmorgan chase which a lot of people complain about the company's credit cards. wells fargo coming in second. the san francisco-based bank had more than 16,000, and these are mortgage-related complaints. coming in at number one, bank of america raking in the most complaints since the start of the year. these complaints were mostly about mortgage business and credit cards. i have no complaints about citibank, that's my bank. [laughter] i think citibank's great. so i'm glad they didn't make the top three. ashley: actually, that's a good
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sign, i guess. henry shine is one of the world's largest providers to office-based dental, animal and medical practitioners, and today it reported a record second quarter with earnings per share up almost 10% to $1.35. the company, by the way, lifting its full-year earnings guidance. liz: this is record after record. stanley bergman joining us exclusively to discuss the company's growth as well as expectations for the future. you've been with this company since, what, is the 80, right -- 1980, right? >> correct. liz: as you grew it and took it public, did you ever imagine you'd be standing here record quarter after quarter after quarter? obviously, you're in a great business, but this time around feels different. what do you see for the rest of the year that helped you raise your full-year guidance? >> i did not expect to be here with you 30 years ago -- [laughter] when i started, actually, as a consultant for the company. but we're very excited. the company's in top shape, and
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we're in outstanding markets. basically, these markets we're in are in the world of prevention, wellness and that's where health care's going. liz: but this year you're raising that guidance, stan. what do you see between now and the end of 2014? >> well, the business is on a solid footing. the world's economy is moving to a better situation. the u.s. is doing a little bit better. europe's doing a little bit better, and australia is even doing a lot better. ashley: that sounds good all around. so my question is your products are doing tremendously well, and these results obviously bear this out. do you solidify those products and find to get more people to take those products or, or do you ramp up more products for the market? which direction do you continue to grow? >> we have to understand where health care's going. where health care's going is away from bricks and mortars and products to software, semiconductors and services, and that's the business we're in. we're hoping to run a bit of
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business so they can provide a bit of clinical care and treatment. liz: let me go to some of these regions you say are doing so well. you and i have talked about china and their dental care. and each day goes by, more people are saying my teeth are terrible. how big a driver will china be? >> the chinese consumer market is important. the chinese are moving away from an export-driven world, economy to a consumer-driven economy. and they're understanding that health care's important, and they understand like you and i understand that good oral care results in good care in general. it's diabetes prevention, it's good for cardiology prevention. it's good for general health care and the chinese are understanding that, and they're spending more money on oral care. it's a small market, to be sure, but it's growing. ashley: also, you know, it always makes me smile, but i have two dogs, and i love them dearly, and i will do anything to insure they're in good
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health. that's a very lucrative side of the business for you. even through the recession in this country, people were spending things on their pets. how does that translate to your to company? >> well, the good news is the middle class is growing -- ashley: yep. >> the elderly are growing, the baby boomers, and both the middle class and the baby boomers are investing in their pets. ashley: yeah. >> and it's good because we're seeing more people go to the veterinarian in the developed world, but you know what? each in the developing world -- liz: zap, as we wrap up, i can't let you go without asking you about the ebola virus scare in africa and go patients coming here. this leads to cleanliness issues. i know you deal with a lot of antibacterial stuff, but what are you seeing in reaction with health care providers about ebola? >> our number one product category is infection control prevention. about 20% of our sales are in that area. liz: huge. >> right. in the u.s. we understand the importance, we have known that since the mid '80s since the
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aids epidemic started. but across the world it's not fully understood yet, and we are out there in a number of countries including asia talking about the importance of prevention in the office space setting. liz: good to see you. stan bergman, henry shine. great, great moves all around. thank you so much. >> thank you. liz: a loophole in a federal program is prompting more and more hospitals to buy up private medical practices. they are making millions of dollars in the process. we've got that story next. ashley: plus, have you ever been stuck on a boring date or can't get out of an awkward situation? a brand new app, of course, promises to give you a valid excuse to high tail it out of there. we'll tell you how it works and when we, of course, go off the desk. liz: as we go to break, here are some of the fans that joined us this weekend at the new york city triathlon. >> i'm from west virginia. this is my first triathlon. i want to give a shout out to reebok sports club for being a
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sponsor and, of course, go fox business, we love you! >> i'm from hoboken, new jersey, i just swam in the hudson. crazy. go fox business. >> go, fox business! >> go, fox business. we never thought we'd be farming wind out here. it's not just building jobs here, it's helping our community. siemens location here has just received a major order of wind turbines. it puts a huge smile on my face. cause i'm like, 'this is what we do.'
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the fact that iowa is leading the way in wind energy, i'm so proud, like, it's just amazing. then you'll know how uncomfortable it can be. [ crickets chirping ] but did you know that the lack of saliva can also lead to tooth decay and bad breath? [ exhales deeply ] [ male announcer ] well there is biotene. specially formulated with moisturizers and lubricants, biotene can provide soothing relief and it helps keep your mouth healthy, too. [ applause ] biotene -- for people who suffer from dry mouth. biotene -- having a perfectly nice day, when out of nowhere a pick-up truck slams into your brand new car. one second it wasn't there and the next second... boom!
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hospitals across the nation buy up oncology practices and then turn them into hospital outpatient centers. even though a patient is treated by the same doctor and receives the same treatment, the center can charge more more overhead. patients like beverly brown who we spoke to, a breast cancer patient, says her chemotherapy bills have gone from roughly $6,000 every three weeks to $15,000 for the same time period. >> if you're going to take aspirin, you know that, you know where you can get it, and you know how much it costs. but this is a different kind of a drug, and so you're basically at their mercy and what they want to charge for it. >> reporter: and in a legal loophole, some of these medical centers generate additional revenue by treating their insured patients with drugs purchased under a federal program called 340b which is intended to help the needy gain access to expensive treatment. now some insurers are starting to push back. for example, pennsylvania's
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largest health care plan, highmark insurance, has stopped paying for the marked-up fees for the chemotherapy drugs and is instead paying market price. the american hospital association which represents nearly 5,000 medical facilities nationwide says there are more costs involved when a doctor's office joins a larger medical network saying when a physician goes to work for a hospital, it may appear to a patient that nothing has changed. but by law that facility now must comply with a more comprehensive scope of licensing, accreditation and other regulatory requirements. the national cancer institute reports more than $127 billion is spent on on cancer treatment every year, and that number is projected to grow 27% over the next six years, so we haven't heard the last of this. liz: laura, stan bergman of henry shine was very interested in your story because he outfits all of these companies and private practices, and he says this is the way he's watching definitely. thank you so much to. >> reporter: thank you. liz: laura ingle. we've all been there, rights?
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stuck on a date that's gone bad -- [laughter] or never really took off from the minute they walked in. well, we'll tell you about a new app that provides you with an instant escape hatch with just the press of a button. ashley: the office just could, gotta go. [laughter] and a poll on the internet could cost a company its entire business, but one hotel appeared to come out swinging, but turns out there's an unexpected twist in this story. don't miss it, details ahead. ♪ ♪
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in new york state, we're changing the way we do business, with startup ny. we've created tax free zones throughout the state. and startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. thanks to startup ny, businesses can operate tax free for 10 years. no property tax. no business tax. and no sales tax. which means more growth for your business, and more jobs. it's not just business as usual. see how new york can help your business grow, at startup.ny.gov
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thank ythank you for defendiyour sacrifice. and thank you for your bravery. thank you colonel. thank you daddy. military families are uniquely thankful for many things, the legacy of usaa auto insurance can be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life. >> let's go off of fence, if you find herself on a really bad date, your escape strategy could be a tap away, thanks to the tiyo app, stands for this is
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your out, will give you one of 25 fake excuses, package will get you 25 calls for $35. >> could bemoan well spent, also, before you book your wedding at this hotel check the fine print, it would fine couples $500 for every negative review that its wednesdays tkpwefpt posted oeds --that wedn site like yelp, but it was a mistake. it was posted years ago, yikes. >> number one thing to watch tomorrow, will be june factory orders, released at 10:00 a.m., why does it matter? economists are expecting order to rise, after falling a half of a percent in may, the willis report is next, a new warning
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from a consumer group. gerri: plant at center of the asian food safety scandal is government approved to shipped process chicken to your neighborhood grocery store. also coming up on the show, one year, that how long it takes to get recalled cars off of the road and fixed. we'll tell you why it takes so long. the best way to complaint about crummy service and get results. >> why is a homebuyer's t tab soaring? the willis report, where consumers are our, starts right now. >> we begin with chinese food. not type you order from a local
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