groupon seems to turn itself around. [closing bell ringing] stock is up 7% today. liz, david. david: american express did slide but generally solid day. liz: a solid day. many dow components hitting very important highs as bells ring on wall street. stocks finished up at 18,018. dow jones did not quite hit the lifetime high of 10,053. russell 1000, 2000, and three thousand hitting record highs. s&p 500 at all-time high here. great day overall. david: happy friday. what a great way to end the week. "after the bell" starts right now. liz: this is good friday here. david: oh, yeah. we like it. let's get right to today's market action. we have brian boil of boyle

capital why we continue to push higher. jamie cox, hair list financial group, says watch the nasdaq. ira epstein in the pits of cme. ire remarks i have to give you your own. you said buying into the breaks is best way to make money in the market. been true from beginning of the year, going back way back to september. this is another one of those occasions. >> there is no reason for it not to be. what's changed this the market, is the market likes to see oil prices come up now. the fear under $43 will be i think, if we get back under that, you will pull the market back down. barring that, i think market is now feeling oil has something of a bottom in place and damage done to the energy sector stocks, that is an area maybe there won't be further carnage at this point. liz: by the way, ira has been right. some of our, some of our traders, we love todd horowitz. he sounded an alarm bell as this market continues to climb.

a, basically said don't fight the tape or the fed. >> thank you. liz: brian boyle, what are you fighting at this point? any fears we're now in the sixth year of a very significant bull market? >> well we think you have to proceed with caution. obviously we've been climbing a wall of worry over the last six years. from our standpoint we're looking for things that haven't performed as well during that run-up. things that maybe got left behind that still have some upside. we think financials fit into that category. certainly oil and gas. there are names in that category as well. david: jamie, you think nasdaq will take off bigger than other individual markets. why? >> if you look at indices, s&p, dow, the nasdaq has not reached its prior high from 1999. or 2000. so, we're just a smidgen away from that happening. when that happens, you will get a break positive, maybe to 5100 on nasdaq. you see a lot of technology companies flush with cash. we're sort of living in a world

where technology is taking over. i mean we have apple, google. there is an area where all the money is being made. so in the index not reflected a lot of growth they're in. i think that is where it is going to be. investors have been skeptical of nasdaq companies. they don't trust it. some best dividend paying tax. david: that's true. >> some of the technology companies. i think you will see it happen. starting to see it play out and pay attention to it. if it does happen, it will be a very good year. liz: jamie, your compatriot brian in the box next to you in essence saying hold on, it is not technology where you can make some money here, it is leucadia, certain energy names, correct, brian? >> absolutely. we think after six years of this bull market you have to be selective. clearly when you look at technology or some of the other areas of the market, the companies have strong balance sheets. fundamentals look good but valuations are higher end with we're comfortable paying. we look at financials that have

not performed as well. we think valuations are attractive there. we're getting more bang for the buck. david: ira, go back to the cme. i have to stick up for todd horowitz. liz through him a razor blade. i will throw him a bone. he was saying get into energy stocks when they were really being down. halliburton he was recommending at 38. today is trading above 44. i'm wondering if energy stocks are the place to go right now? >> energy is a good place to be period. when you get too cheap and reprice the market, that is what we did. we took a market from 147 down to $43. now we're pricing market from the low end trying to find up what the upper boundary is. maybe it will be 65 a barrel, who knows. wherever it comes in, once you take out the fear it is not bottomless energies pop and stocks pop the same way. and i agree with both of my other analysts here. we're now in period where it is

just not the market as a whole, you have to play rotations. at valuations i'm a bit nervous at 17 1/2. what can you really add on rest of the year. david: did you buy into halliburton way todd told us to? >> i wish i had. liz: all right. jamie cox let's talk about what you do like here. picking national grid and google. get to grid first. >> i like, the utility sector is very expensive as you know. it has been litigated over and over on financial networks. people are looking at it, gosh we have to have dividend payings stocks to produce income for investors but gosh, it is too expensive. national grid is rose among thorns. with pe in the teens as opposed to 20s. has a nice yield. oh, by the way one of the few eye utilities with exposure in the united states and united kingdom. liz: what do you see? >> 5% from current levels. david: whoa, not bad. stock drops you can still make

money. brian you mentioned financials before. you like bank of america. i'm wondering if things in europe don't work out? there is always a chance in europe things will not work out when you think of all the characters involved, won't that hurt the financial sector? >> well, it will because a main part of profitability from banks is interest rates. if things don't work out in europe that means we're most likely going to have lower interest rates hire in the united states as well. we look at the banks today, something like bank of america trades at 11 times earnings. one of other guests mention ad market at 16, 11 times earnings. we're getting something 30% lower than markets. it has market cap we think could double over six to 12 months. we have leverage to higher interest rate environment and growing economy. things we eventually think can happen. you're not paying for that. again, the price is right in our opinion. liz: ira, in the end over time, since 1930, the stock market returned nine, 10, 11%, average,

right, average? if you have a decent time horizon more than 20 minutes shouldn't people pretty much be in stocks right now? >> yeah. where else would you go? but the question is rotation. it is not just america now. i would be looking hard at europe. now that the qe is going to begin, we saw what happened in japan, we saw what happened in america. you throw enough money, stock market is the first part that comes alive. so i think there will be rotation to broad as well. not just an american stock market once they begin with real qe. david: jamie, so far we've avoided talking about the fed but i got to bring it up because we had a lot of discussion this week particularly about the fed with richard fisher and others weighing in. what do you think is going to happen? are we going to see a rate hike this year? >> i think they basically told us yes. janet yellen in decent basically told us it was going to happen. all the fed governors h havavav out, they basically told us it will happen sooner than later. david: what happens when we get it? how will the market respond?

>> they give us time to get used to it. not a snap judgment. they will give us six whole months to get adjusted to idea of maybe a quarter of a percent raise. i think a lot of governors come out and said looks we were rather raise a loyal early and do it slowly have to play catch-up doing it too late. that is responsible way to mop up all the excess liquidity. if you like banks like other guest does that is music to your ears. we need interest rates to rise on the fed funds rate. if you do that is really, really positive for banks. you know me, i love financials. i think that i would like for that to happen. liz: names like td ameritrade or anyone holding on to client money. great to see all of you. brian boyle, jamie cox, ira epstein. david: have a great valentine's day. liz: president holding a cybersecurity summit with top leaders in the industry. he addressed the growing threat

of cyber at takes. david: what is interesting who wasn't there. peter barnes on the full story which does inwho doesn't show up, peter? >> david and liz, cybersecurity stocks doing well today as president obama was out at stanford university in california pushing corporate america and tech companies to do a better job protecting themselves and their customers against cyber attacks and data breaches. the president actually using a little bit of humor to make a point about stronger passwords for example. >> this is just too easy for hackers to figure out user names and passwords like, password. [laughing] or, one, two, three, four, five. seven. [laughter] those are some of my previous passwords. [laughing] i changed them since then.

>> mine too and me too. as for initiatives the white house announced that dozens of companies like apple and intel are supporting the president's 2014 cybersecurity framework. he also sign ad new executive order for information-sharing. companies also announced support for new, secure, payment technologies and multifactor authentication systems to replace passwords. apple ceo tim cook urged participants to work together. >> we must get this right. history has shown us that sacrificing our right to privacy can have dire consequences. >> but among the no shows of silicon valley, mark zuckerberg of facebook, marissa mayer of yahoo! and eric schmidt of google. they reportedly are still upset

about the lack of reforms by the administration in washington of the government's surveillance programs that edward snowden leaked, leaked information about, but they did have top cybersecurity officials attending the conference, summit and participating in the panels. david and liz? liz: we have one of them. we had, dave dewalt of fireeye who ran out and called us who said he thought it was very supportive. exactly what tim cook talked about, don't sacrifice privacy. share ideas with the government but don't share actual stuff you have got on your customers. david: peter barnes in d.c. thank you very much. liz: thank you, peter. >> you bet. liz: u.s. stocks, what a day, entering the sixth year of the bull market. we want to know where is the next bull market lurking? is it in sector? overseas market? maybe alternative investment? our super smart panel has some answers. david: plus, we have a sneak-peek for you. blackrock's weekly investment

notes usually hit the presses next week. we have special preview what is in it today. blackrock's russ koestrich sharing their latest investment thesis. tips you wan use do to make you money on monday. liz: food stocks, many are giving investors heartburn with names like kellogg and kraft serving up cheap earnings. is it time to shelf those stocks at least for now? ♪ ♪

i'm almost done. [ male announcer ] now you can pay your bill... ♪ ...manage your appointments... [ dog barks ] ...and check your connection status... ♪ ...anytime, anywhere. ♪ [ dog growls ] ♪ oh. so you're protesting? ♪ okay. [ male announcer ] introducing xfinity my account. available on any device.

david: we did break some records here. s&p closing all-time highs. dow ending up above 18,000 the first time this year. who will lead the charge and who lagged today? liz: adam shapiro is back on floor of new york stock exchange. adam? >> talk about some winners of the week. cisco, better-than-expected earnings and stronger than expected revenue. routers sales was unexpected by analysts. that stock up 8%. pfizer up 4.3%. who doesn't like $5 billion accelerated share repurchase. investors giving thumbs up today for that. talk about the losers for the week. american express, who would have thought costco not accepting

american express cards. they lost 8%. walmart down 1.%. david and liz? david: thank you, adam. liz: as u.s. stocks interthe sixth year of this bull market, where is the next bull market lurking? let's get you ahead of the game mere here. we're bringing in panel. "wall street journal" paul screen yaw. brian sozzi, and fox business's tracy byrnes. welcome to all of you. i will start with brian. is it a sector, is it a market, is it a foreign country or alternative investment? >> athletic apparel. it is not fit and not fabric. the athletic has no technology infused into it. look for companies like under armour which is really starting to infuse a lot of technology into their clothes. they start stuff over next three to five years. holograms, those are companies for example, that will win. vf corp. they opened three innovation centers in 2016 start

introducing clothing with wearable technology built into it. look at whole foods. most of their stores have been aggressively remodeled. they look great, more people are going and there is fundamental movement in the country to eating healthier. and they win. >> i like your ideas here. i want to get to tracy. is it a sector, a country, where is the next bull market so people get in early? >> i hope it is not yoga pants. that is privilege, not a right. way too many people. i'm going with marijuana and 3d printing. i'm opposed to legalization of marijuana but i think it will happen anyway. stocks anything to do with that, continue to rise as well as 3d printing. amazing things happening in all aspectses of business with three deprinting. >> in fact those are very early stage developments, right? paul, give me your thoughts. >> tracy stole 3d printing from me. the one thing i wanted to stress, you have to look at this bull market we've had. tough realize the extent central bank policies fueled. that they have had a big, big

part in that, make no mistake. so the thought we're going to have another bull market seeing over course of a few years investments triple in price, you can't count on that happening. however, if you are looking for that, if that's what you want, if you want big reward for big risk, we'll have to look at early stage technologies. technology in general. look where places are starting out. 3d printing as tracy said is really good one. hard to find companies average person can invest in. again it is early. all that stuff will shake itself out so it is a bigger risk f you're looking for something like that that is where you have to look. liz: maybe drones too, you guys. talk about how we've fallen in love with equities in the six-year bull market. if you haven't you've lost money. what makes you fall in love with a specific stock? paul as an journalist you spoken to enough smart people that make great bets. what do they fall in love with? >> they fall in love with

technology. fall in loving with the the idea of things coming in, filling a need people don't realize that they have yet? you know what i mean? pcs did this way back in the '80s. nobody knew they want ad personal computer. right now you have a mobile computer, right? things like that. it is coming up with really kind after gee whiz idea but idea -- look, this is hard thing to pick up. there are more losers than winners. you want to fill the niche people don't know they have yet. >> brian, you have had real winners in the past. what gets you to fall in love with a certain stock? >> turning me red, liz. interpret your need. >> not management? >> i like at dyson. dyson is privately held vacuum makers. they don't just make vacuums. they make a lot of interesting things that set themselves apart impressively in the marketplace and command premium price point. companies previously reinventing

themselves. best buy is amusement park of electronics gear. they are the same best buy of five years ago. they're winning as a result. liz: tracy product, the horse or the jockey. >> i don't know. i don't fall in love with anything that can't love me back. i will tell you this, i look at stuff i use, come back to the old tried and true, johnson & johnson, proctor & gamble. you have that stuff in your house. look at those stock charts. they will blow you away. i get innovation is great place to be but sometimes that is hard to find. you know what you have in your house. everyone uses clorox bleach. liz: that is the way buffett thinks. snickers i'm in. falling in love to falling out of love, speaking of snickers and food, are big u.s. food stocks starting to give your portfolio a little heartburn? plus who takes the crown as this week's biggest winner? david you have to see that one. david: you have to see this one. if you want a leg on the competition don't go anywhere. blackrock's new investment ideas

will hit the press next weeks. we have have preview today with the man behind them, russ koestrich. uncertainty in russia kept businesses from investing there. consumers are still spending. labor is very cheap. he is betting big there. he will join us. we'll hear from famed activist investor bill ackman what he thinks his worst investment ever was. he will tell you in a moment. ♪ at ally bank no branches equals great rates. it's a fact.

kind of like shopping hungry equals overshopping. "what is it that we can do that is impactful?" what the cloud enables is computing to empower cancer researchers. it used to take two weeks to sequence and analyze a genome; with the microsoft cloud we can analyze 100 per day.

whatever i can do to help compute a cure for cancer, that's what i'd like to do.

at ally bank no branches equalsit's a fact.. kind of like mute buttons equal danger. ...that sound good? not being on this phone call sounds good. it's not muted. was that you jason? it was geoffrey! it was jason. it could've been brenda. liz: top u.s. food companies like kraft and kellogg giving investors a little indigestion as earnings disappoint. what, people are not eating? time to shelf the food stocks for good? come on, tracy we're still buying some of this stuff. >> heck yaw. we're still buying chocolate. no matter what happens, everyone buys chocolate why i think hersheys will continue. haines celestial has healthy

brands under their label. a lot of soy stuff people are buying. those are two stocks people would look at. liz: brian, you mentioned whole foods earlier but maybe tastes are truly changing. we've seen mcdonald's struggling. we've seen coke struggling although coke trying to find its footing. >> hain has juice inside of target. what i heard it is selling like hotcakes. kellogg's, kraft, they're all dogs. competing on price. general mills launched i believe 50 products. 100-calorie greek whipped yogurt. nobody else is doing that the in the marketplace. what is important in packaged food, is packaging and food innovation. general mills is doing that. brought back retro cereal boxes. they can command premium price points. liz: my trainer said no more cereal. >> you're listening to him? liz: yeah, hell yes. >> is it working for you? liz: i'm not only one.

kinwa. >> that is hot. i'm making some when i get home. >> i'm having corn flakes. >> thing about these stocks, these are not big growth stocks to begin with. we talked about before, looking for big winners. these are not big winners. what they do have, if you're value person they all pay a dividend, they all pay a dividend. if you're looking for a safe bet, looking to put your money somewhere where you know at least it gives you steady return -- liz: better than 10-year yield? better than 10-year yield? >> yes, they are. liz: yes, they are. there were stumbles and triumphs this week for stocks. business leaders, politicians, celebrities. who were the biggest winners and losers this friday? tracy you get to start. >> nasdaq woke up on fire. my loser hate to say it, president got it all wrong were staples keeping people on part-time basis. that is one of the big kefuffles of the week coming out of white house. liz: brian? >> elon musk is loser. bottom line i don't know if they

can tell tesla cars to rich chinese people in the cities. i'm worry about that. winner is 33-year-old model. on the cover of new you magazine that is really awesome. liz: elegant lady. supermodels are not here. >> what do you mean supermodels are not here? what are you talking abouting liz claman. of course you are. my winner, sounds obvious, apple and tim cook. $18 billion in profit in one quarter, that is astounding astounding number. liz: market cap of 720 billion and countings. >> my loser chad coleman, actor on walking dead. played tyree. spoiler alert. poor chad coleman, got bit this weekend. liz: oh. can i throw in mind? my winner ed sheeran the singer sunday night leading he performed with electric light orchestra. the talk of monday after the grammys. his record label, warner. what we have here number one

selling album of 2014, number one downloaded on i tunes. my loser is ed sheeran because he didn't win a grammy, tracy. >> i know. liz: third year in a row. >> sam smith cleaned house. ed will be back. >> shoutout an any lennox. liz: she was still rocking it. paul, brian and tracy. david over to you. david: i like sam smith. just me. s&p 500 more than tripling in value since 2000, some argue u.s. stocks are fully valued. one sector someone says is still very attractive. russ koesterich, blackrock chief investment strategist is here to tell us how to play it. economic uncertainty in russia kept some businesses from investing there but we have the head of one company who is betting big on russia. he has got some very interesting money making reasons why. that is coming up. ♪

then you'll know how uncomfortable it can be. but did you know that the lack of saliva can also lead to tooth decay and bad breath? well, there is biotene, specially formulated with moisturizers and lubricants... biotene can provide soothing relief and it helps keep your mouth healthy too. biotene, for people who suffer from a dry mouth.

♪ by 1914 the dodge brothers quit the ford motor company and set out on their own. they believed in more, than the assembly line. they believed driving was a holy endeavor. a hundred years later, the dodge brothers spirit lives on. return on investment isn't the only return i'm looking forward to. for some, every dollar is earned with sweat, sacrifice, courage. which is why usaa is honored to help our members

with everything from investing for retirement to saving for college. our commitment to current and former military members and their families is without equal. start investing with as little as fifty dollars. david: u.s. stocks are in their sixth year of a bull market with the s&p more than tripling since 2009 but despite the high valuations we have someone who says there is still a buying opportunity in one particular sector so how do you play it? joining us russ koestrich, blackrock chief investment officer. russ, we're very privileged because i hold in my hand a document usually released on monday. we'll preview it here.

that sector is the tech sector. more specifically it is big tech companies very often overlooked. one reason why you like them so much, that has to do with all their cash. explain. >> this comes back to a larger theme. certainly technology, we call it old tech, this is a sector that is actually trading at reasonable multiples compared to its history. you just mentioned, very, very cash-rich, high margins and we saw over last few weeks with earnings from apple, cisco we see a lot of very positive earnings momentum from these companies. david: you explain in the report, interest rates are probably going to go up sometime, if not 2015, shortly after. as they go up, companies are going to need more cash to service their debt and these companies are very well-equipped. total accumulation of apple, cisco, microsoft, cash is somewhere north of three hundred billion dollars? $300 billion? >> this is very important.

these companies are very flush with cash. they don't need orrow. this goes to a larger point. somebody spoke last week in our weekly report that many defensive stocks, bond market proxies like utilities and reits people have been piling into the last year, those stocks carry a lot of duration risk, a lot of rate sensitivity. if rates go up even a little bit, we'll see much more severe correction in those names. technology, some of the more cyclical companies they have been historically very resilient in the face of rising rates and one of reasons they historically haven't needed to borrow. david: there are a lot of investors out there who say, hey, look, a 25 or 50 basis-point hike interest rates will not change anything. you're contradicting them. you say yes, it will? >> i think this is really important point. go back to what happened last friday when we had the january non-farm payroll report. market took a little bit of a loss towards the end of the day but utilities sector, was down about 4%. now why was that?

because you had a fairly big jump in interest rates. rates are still below where they started year, at least for u.s. 10-year. you had violent reaction from the sector. the reason, utilities, receipts, many bond market proxies are trading at historically high multiples. it won't take much of a back up in interest rates to fet the multiples to come back relative to the broader market. david: should i be selling off those, particularly sensitive companies, those that are most sensitive to interest rate hikes? >> well, certainly we're suggesting that investors trim back on the names. they had a great year in 2014. valuations are rich relative to the market. we would look some other place. looking at cyclical companies like technology. so think about value. for example, people looking for yield, one of the places you can actually get it right now, which is a bit out of favor, the large integrated oil companies. they have been moving up over last couple weeks with oil. still cheap relative to the broader market and very rich

yield given selloff in back part of 2014. david: can you throw out names? talking about big guys, schlumbergers, halliburton, et cetera? >> less on that side. more the large individual oil companies. david: chevrons? >> those companies with both upstream and downstream operations, exactly. david: all right. let's look abroad if you will because this market has been sensitive to things happening abroad. greece, i just want your opinion on that. the some people say it is better if they don't get a deal with greece. if they go their own way because if they do a deal with greece, who has a marxist prime minister, who i frankly don't think will honor any commitment with austerity. if they make a deal with greece, they will make a deal with portugal, spain, perhaps italy and there will be a default. that's what i think. what do you think? >> i think greece is special case in many respects which is level of greek debt to other countries and other peripheral countries is off the scale. debt of gdp 175%.

that is a very, very large number. agree with the notion it is not clear you will be able to pay that back without additional haircuts. with that i think investors are a little too sanguine about the notion that if greece leaves euro in near term that the market will look past that. this would be disruptive around immediately raise the question, who is next? if we see a greek exit this is not something the market can shrug off. david: but neither can the market shrug off a bad deal with greece, right? >> we could have debate what a bad deal looks like. david: a bad deal is a deal greece will not honor, very simply. >> couple things has to happen. greece has to continue having reforms. any deal that allows backsliding on reforms whether on labor market side or privatizations i would agree that's a bad deal. greece needs those reforms to grow faster. that the is only way that debt

burden will become sustainable. david: thanks very much. russ koesterich, gave us a preview of his report coming out on monday from blackrock. have a good weekend. >> thank you. david: liz? liz: david, coming up the chaos in russia, most companies are saying no to doing business over there but that is not the case for one mobile gaming company. we're finding out why they're investing big in the russian region. plus activist investor bill ackman sharing his worst investment ever and where he is looking next for opportunities. can't afford to miss that. how is this for valentine's day gift? nearly $600 worth of a bouquet that is made of fruit and chocolate. part of an edible arrangements valentine's day collection. we'll give you up-close look and hear the story coming up next. ♪ you can't predict the market. but at t. rowe price, we've helped guide our clients through good times and bad. our experienced investment professionals are one

reason over 85% of our mutual funds beat their 10-year lipper averages. so in a variety of markets, we can help you feel confident. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. call us or your advisor. t. rowe price. invest with confidence. there's nothing more romantic than a spontaneous moment. so why pause to take a pill? and why stop what you're doing to find a bathroom? with cialis for daily use, you don't have to plan around either. it's the only daily tablet approved to treat erectile dysfunction so you can be ready anytime the moment is right. plus cialis treats the frustrating urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache.

to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision, or any symptoms of an allergic reaction, stop taking cialis and get medical help right away. why pause the moment? ask your doctor about cialis for daily use. for a free 30-tablet trial go to cialis.com is it crazy that your soccer trophy hey, girl. is talking to you right now? it kinda is. it's as crazy as you not rolling over your old 401k. cue the horns... just harness the confidence it took you to win me and call td ameritrade's rollover consultants. they'll help with the hassle by guiding you through the whole process step by step. and they'll even call your old provider. it's easy. even she could do it. whatever, janet. for all the confidence you need td ameritrade. you got this.

david: ukraine and russia agreed to a cease-fire but e.u. is warning further sanctions will come if russia does not abide by the terms. liz: so as uncertainty continues many investors and a lot of companies are simply running away from the country but not everyone is running scared. mobile gaming company is betting big on russia right now. the ceo is joining us now.

tapinator, you have a bunch of games, you're saying forget it, i'm russian i can figure this out and my business will not be subject to sanctions. >> sure. i'm russian indeed and we're a company that launches games globally, right? we operate on ios and google app source. we launch a product in u.s. and geographies like u.s. and canada and russia as well. a number of most recent games russia is one of the top three geeing graph fist. it's a big market for the company. david: labor costs must be going down tremendously. as ruble crashes and dollar is stronger, paying a lot of russian programmers, easier to find and cheaper to pay them. >> that is exactly point right. to your point as ruble declines, dollar worth more, it easier finding talent. russia has a great programmers and developers especially relating to mobile gaming. liz: two million russian users

of your games. how many of them are paying? >> so as, in terms of premium which is the primary model we focus on where a person user downloads product for free and purchases it varies based on the game. in general the u.s. monetizes better than countries outside of the u.s. but you know, one to 2% of russian demographic will pay for purchases. >> most popular games, trucker parking and angry shark. there is also trucker war, right? war trucker, snow blower. which are most popular in russia, which are the most popular here? >> in general relates to the russian market, military themes and driving themes definitely resonate as you may recognize. in terms of u.s. products we've had a few games featured last month. came called -- game called combo quest. role playing game. so the team is definitely different what is popular in the u.s. versus what is popular in russia. david: talk a moment why they may be so popular in russia right now.

i would imagine there is so much going on there people are concerned about, worried about, no better way to tune out than to focus in on one of these games we're looking at. absolutely, it is much better even than i think looking at an old movie because that might bring to mind some of what is going on. when you i play one of these games you tune the whole world out. is that why they're popular over there? >> that is exactly right. when times get tough, pick up the mobile phone, play a game. themes that resonate, military themes, driving themes are generally themes russian demographic like. david: they have mon money to pay for this despite the fact ruble value is going down. >> it is still a viable market. user traction, recent games, russia is one of top three markets. so it does well as well. liz: what are you launching next 30 days? >> video poker vip which we're extremely excited about. liz: we just showed a clip. >> social casino category in mobile is extremely lucrative

category. most of the games are slot games. we're launching our first poker product. david: thank you for coming in. >> thank you, david, thank you, liz. david: tapinator, name of the program, the name of the company that makes all these games. liz: making big money in russia. david: absolutely. >> earlier today deirdre bolton had the opportunity to sit down with activist investor bill ackman, pershing capital founder and she asked him about the worst investment he ever made. listen. >> i think jcpenney is probably worst investment i've made, not as percentage of capital lost. there are things i have lost more but i think underestimating what's required in terms of some combination of board alignment and ron johnson, creative genius -- >> maybe out of context in the jcpenney story? >> that was sort of a too hard, call it strategic or earth wise. we tried to do, too difficult.

>> your idea was too big for what the situation actually -- >> you have to have the stars aligned. it may have had to have been a private company to get that done. david: so if jcpenney was his worst investment, what is his next investment strategy? here is what he had to say. >> more of the same. we're looking for great, high quality businesses. they typically are going to be large cap, north american companies. and their businesses which we sea opportunity for improvement. and, the improvement very often can get done with existing team running the business. sometimes we've been, felt a change in the leader was necessary. so you know, it will be the full spectrum of ideas. we're looking for couple good ideas. we welcomed input. we're not invented here company. if somebody has a great idea, great business needs improvement we're all ears. liz: listen, one of the most success activist investors.

catch deirdre bolton's full interview with bill act manned and all interviews on foxbusiness.com. if you're looking for an alternative to flowers and roses how about an edible bouquet? that one is $600. we'll talk about gifts that are cheaper than that one consumers spend money on. david: fed earnings, economic data, fed speeches. how do you move your money around? how do you change your portfolio? we have the number one thing to watch for next week with paul vigna coming up next. >> hi, everybody, i'm gerri willis. coming up on my show at top of the hour, seeing a number of complaints after united airlines did not honor their ticket mistake. what can consumers do? comingyo up on the willries repn in a few minutes. three-quarters of what it takes to replace it.

what are you supposed to do, drive three-quarters of a car? now if you had liberty mutual new car replacement, you'd get your whole car back. i guess they don't want you driving around on three wheels. smart. with liberty mutual new car replacement, we'll replace the full value of your car. see car insurance in a whole new light. liberty mutual insurance. "what is it that we can do that is impactful?" what the cloud enables is computing to empower cancer researchers. it used to take two weeks to sequence and analyze a genome; with the microsoft cloud we can analyze 100 per day. whatever i can do to help compute a cure for cancer, that's what i'd like to do.

sometimes they just drop in. always obvious.

cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. liz: maybe this is proxies for how well the economy is doing maybe? people dishing out more cash for valentine's day this year, spending an average of $139. the most popular gift, candy and flowers. david: can you spend that much money on candy and flowers? we have a company expected to get a huge boost from the big day. joining us now, robert price, president of edible arrangements. let us go right to the big sell. i could not believe you have a product, you can not get a sense of scale from this, so i'm

literally going to go over there and give this. this is a big product, robert. this is not a small product. however, $600? i would spend about that, for a tiffany product for my wife? >> well, i mean just to clarify, it is $5989, not $600. think about it, each one pieces fruit is handcrafted, hand dipped gourmet chocolate, swiz i willed individually and individually skewered and assembled into something shared by all -- $599. if you think about it for cup of coffee you get downstairs, each of those pieces of fruit are a lot more complicated. liz: are people spending that much? are they buying that? >> what we found people emerged from cautious period of spending to the discerning period of spending. people are trading up. they're moving to these higher quality, fresher, healthier indulgences. we've seen growth in these high

high-ticket items. david: i have to say, going over there, looking at each individual, you put together a good product. >> when you were off-camara you grab ad chocolate. david: i did not. but i can't guaranty the staff here didn't take something. how important is the season? is this most important moment for the entire calendar year? >> it is for us and our 1200 stores. david: how much revenue comes from this period. >> it can differ by franchisee. up to 20, 25% of a given franchisee's revenue forgiven period. today will be a record day for us. liz: a record day i think is amazing considering everybody is worried what is going on with the economy. we've seen better job numbers. >> yeah. liz: how are you expanding. let's talk about your business. >> we expanded from general growth of economy in terms of our top line but we're getting a lot of folks coming from industry and becoming franchisees, growing businesses. we're growing stores. we're growing domestically. we're growing internationally and same-store sales as well.

david: we heard a lot of comments from people have franchises how difficult regulations are. is that affecting you at all? >> it is particularly in tern states. we're finding franchising has great free epenterprize champions. they know how to navigate the regulations. we try to help them through and understand those regulations. we find that they're incredibly nimble in navigating through them. >> robert, say somebody is looking at that $600 arrangement, you know what, i want to be in on that business. >> yeah. >> what is startup fee for franchise for edible arrangements. >> it generally takes 200 or $300,000 investment capital and startup expenses, grand opening expenses. with financing as liberal as it is through the economy, low interest rates, a great time to become an entrepreneur. we're welcoming franchises. we've got hundreds of store opportunities, both in the u.s. and certainly abroad.

david: robert price, edible arrangements president. best of luck to you. >> happy valentines. liz: you too. david: go from one of the best presents to what i think is one of the worst possible valentines gifts from the folks who brought you the cute little vermont teddy bear, a special "50 shades of grey" edition of a did i bear. called the christian grey bear. comes with its own mask and and you see a set of handcuffs. retails for 89.99. liz: i think it is hilarious. a joke gift. david: it is a joke gift obviously but i don't know. liz: time for number one thing to watch on this friday. we're bringing back paul vigna of "the wall street journal." number one thing. >> number one thing, fomc meeting. minutes of january meeting come out on wednesday. you want to get a sense what the fed's thinking. we know they want to raise rates. they, didn't say one thing publicly and said another thing

privately but in these minutes you get a much richer picture what everyone with is thinking there. that is the big thing to watch. throughout europe you will get consumer price reports an producer price reports of all countries in the eurozone. gives you idea where the inflation, deflation picture stands in europe. that is a big story. those are two big economic things. david: sticking with the first one, warren buffett with liz and other people have said that the dollar is so strong right now, that it would be the worst time to raise rates because it would strengthen the dollar even more and hurt exporters. will we get a sense of their feelings about the dollar? >> that is the big thing. the market is starting to get the idea in its head, situation is changing, the fed will have to push things back. the fed has not intimated that. you want to know if they're talking about it even a little bit. you want them to say we're raising rates this year, timing is up in the air, keep this mind though, they will make small changes to interest rates.

they will not go from zero to 3%. it will be very incremental, very slow, whatever the timing and pace is. david: paul screen yaw of the journal. thank you so much. >> he mentioned next week. we'll be here on monday. >> hi, everybody, i'm gerri willis and this is "the willis report, the show where consumers are our business. tax cuts for millions of americans and small businesses. we'll detail the republican push for a series of new tax breaks. >> trying to get people back to work. we're trying to increase take-home pay. gerri: irs under fire for not doing enough to fight fraud. >> many americans are facing a theft in general with specific tax return. gerri: the irs can not spot a red flag flying in their face. growing consumer backlash against united airlines. should the airline honor thousands of super cheap fares mistakenly sold online. >> i was surprised by