maybe '25, maybe '26, maybe 2030 that's why the stock is under pressure adam jonas is right, this hef everybody else in terms of reducing costs, vertical inte integration, et cetera the question for investors, how much are you willing to pay now when you're not sure when that payoff comes >> phil, it reminds me of the impact on onsemi today b of a comes out and defends saying the cost claims out of tesla are, quote, notable but it's premature to bake it in absent any actual product, timeline, data or independent verification how to take this claim. >> 100% right. and we have seen tesla in the past make claims about how much they are going to bring down costs or how much they're going to increase their scale. and they may eventually get there, but they don't get there right away so, now the question you have to ask yourself in terms of, let's talk about taking silicon out of the manufacturing of batteries and key components within the vehicle. is that going to happen in the next two years maybe a little bit maybe not to the degree people are expecting, which is why you see those stock

adam jonas has liked it for a while. gross margin is a very big part of that story with ferrari nearly doubling those of tesla and that gap widens today as tesla again cuts prices on some of the models to boost demand. let's bring in robert frank on the conversation he talks about it having a bunch of levers to pull, robert, in all sorts of macro scenarios what strikes you about the note, though i guess looking at it through a luxury lens. >> yeah. that's exactly it, carl, the luxury lens was a key part of the adam jonas thesis here when you talk about tesla, the debate is, is it a tech company or car company with ferrari the debate, is it a cap company or luxury company? jonas raised it on a comparison with hermes and he says ferrari should be more like hermes with a multiple the company is looking more like a luxury company they raised prices 8% to 10%, contrast that with tesla which cut prices china reopening will turbo boost sales. they just launched their suv priced at $415,000 it sold out immediately. the waiting l

one is, the note about -- from morgan stanley on tesla's cyber truck, adam jonas arguing it might beeaiche product. and larry culp and the action in ge. >> right and we're here at ge's investor day. they're half way through the investor day we'll talk about that in a bit first of all, with regard to adam jonas, tesla and the comments regarding the cyber truck when production starts, if it starts on schedule later this year -- that's not on schedule compared to their original target -- they said look, we expect to begin production in texas this year and ramp up in 2024, i think a lot of people will sit there and say if they start, how much are they going to be able to ramp up production while you will hear a lot of tesla fans say they have 100,000 people interested in buying it, this is not your typical pick-up truck. this is largely a lifestyle truck. that's the way it has been designed will it sell well in southern california, maybe in the l.a. area, or down in miami you bet. i bet there are a lot of people there. is getting to sell well in wichita, kansas? no way that's the reality

adam jonas said it was more about the drivers of cost reduction as some of their vertical integrationfforts are going to come into play soon >> placing on display the long-term ambition, the manufacturing sort of prowess, the efficiency, the pushes by the way, jonas says there could be a practical and marketing-based reason you don't immediately unveil the cheaper car. he says, what if you just put in an order for a $50,000 vehicle and you're about to come out and say, hey, really soon, we'll have one half the price that has enhanced features. maybe that's true. maybe not. maybe this was all just about restating the mission and claiming we're going to get there. 20 million, you know, cars sold in 2030. who knows, right but to me, this was a good test of, will the public that, you know, really does follow every utterance of musk about tesla and really wants to believe and wants to have a new reason to reup their enthusiasm about it, are they going to take just this initially, no. i mean, i could look at the chart over two years and say, well, this thing was going to have a hard time ge

morgan stanley's adam jonas with a note, phil lebeau has made his way to the set we are talking carss, you'd better be here, right? >> absolutely. >> jonas, auto investors should prep for light vehicle supply to rise and willingness to lend to fall at the same time. so give me your thoughts on that first. jonas is kind of the guy >> he's right on both of those he's right on the first part, the supply is rising that is clear. the automakers are making more new vehicles we will see that increase throughout the year as they've gone past the chip and the component supply issues. at the same time what he alludes to in the note what we're seeing here with silicon valley bank and the other issues does that make everybody more hesitant to loan >> and one can only assume the answer to the question is yes. >> that would imply we are going to see a dramatic increase in inventory at the dealer lot. right now the day supply is 40-day supply. if it's a normal market it should be closer to 60 to 70 days maybe by the end of the year you see it get there that's what he's talking about, which then rai

we got comments out of adam jonas out of morgan stanley, the stock trading at cash out of the books.'s an interesting point. we're looking at a situation where people are saying, what does the future hold for rivian. everybody you talk with on wall street will tell you the same thing. they like the management team. they like the product and they like what they are hoping to do in the future. the question is how do you get from here to there, and in between, there's a lot of hurdles that need to be overcome, and that's why i think a lot of people are saying where do you go with rivian. do you see this as the base, mike, or do you look at this and say it's going to be choppy waters at best over the next several quarters? >> we remember how difficult and uncertain it was when tesla was traveling that road, sub scale and trying to ramp up. they're starting from a little bit behind. phil, thanks very much. appreciate it. omar at ever core, what are we looking for in nike's numbers today? a little bit of a run in stock as consumers flocked back to the quality names in consumer? >> we think

morgan stanley, you heard from analyst adam jonas, highly respected electric car analyst, saying thatbe a cult car and not a major seller. stuart: uber, thinking of spinning something off? susan: well, they're trying to preserve cash like everybody is in this year of efficiency, so they're thinking of spinning off the freight business to those who need trucking for! s across the country. -- for supplies across the country. stuart: and it's made it to $34 a share, case closed. susan: went up $45 from its ipo. stuart: peloton can't import its streaming systems from outside of america, what's the problem? susan: yeah. well, the reason is because they, apparently, they infringe on some dish network patents. we're talking about the ifits here from what i see and some these streaming devices. but do you see the theme we're building in the stock market today? those that have done well during the pandemic and the covid hockdowns no longer the preferred -- lockdowns, no longer the preferred stocks now, and that trend does not continue in 2023. you remember peloton, how much was it worth at its

couple other pieces this morning, jim lucid, we talked about the 18% head count reduction yesterday adam jonas other ev makers are going to have to consider -- >> if they fire everybody that can make money, that's when they -- that's when it comes into the fore. honestly, lucid, you know, 18% of the workforce when i went to see peter, the car is just fantastic. but what we're discovering over and over again is that's an irrelevance. it's how to make the car and make money on a car. >> the technology is separate from the production. >> right i mean, you know, look, these things were all -- they were spacs, they were exciting. but tesla's real and is with the exception of the pickup truck, which i think will be no match for the lightning f-150, i just think that it's game, set, match, tesla. they make cars, and they make a lot of money >> and can afford to lower price in an environment where that's a vacuum right now >> yeah. they can model-t ford. that's the problem they've got the model t. >> sticking with transports today, boeing, jim, the ryan air ceo says they're back in talks >> boeing's d

piece on gas prices, down 6% year on year, makes sticker shock on evs i made a chart of, actually, adam jonasn december revised his adoption forecast lower because it's -- people are showing up at the lots and pricing these and saying, maybe not, i'll go another round >> you are dead right. i asked mike wirth about which was the more existential threat to chevron, elon musk or the government and he kind of punted. but he did say, oil is going to be here for a very, very long time he added a "very." >> yeah. >> what? >> i'm just trying to think about ev adoption. i'm just going back to what you said, which is, like, game over, like musk wins >> it depends on whether you have a compelling -- >> you need to explain to people -- the margins on that car are far more significant >> you get the benefit >> it's because of -- it's because of the basic production of it. it's so much cheaper to put them together >> it's the model -- >> there's hardly any moving parts. >> he's the model t without the existential baggage that henry ford delivered to our great country. it's the model t you can't compete. >

adam jonas with a note today saying even we didn't realize how strong auto sales would be, if you takets times price. it's kind of difficult to explain where that demand is coming from. >> to the aggregate sales in dollar terms at a record people always remind us that autos are the biggest consumer product and biggest manufactured good in the country. it's hard for terrible things to happen to ag gdp when that's happening. the downside is people are pay are mo n they want to, taking on more debt than they want to to actually afford a car. you can talk your way around any of these arguments the most bullish people are the ones who look at the action of the tape and say the pullbacks have been controlled we've held the support levels, the volume has been better on up-and-down days and seems as if you have good breath to start the year >> that's a good way to get into art cashin today talking about the fed and what to watch in today's trading session. art, first things first, the most important thing is happy birthday. >> thank you very much thank you. >> to mike's point about the tape an

adam jonas wrote about this. showr showroom, you want what for a new vehicle? they are offering to trade in lease vehicles after three years and people are balking at the prices they are seeing right now. >> you want to buy and you don't want to turn your car back in. you can buy your car and sell for more >> joe, i was with people in new york yesterday everybody said the same thing. i had a vehicle within the last six months on lease. i went back in and i was stunned. i said i'm not going to lease another vehicle. i'll buyout the vehicle i have i think we are going it see more and more of that that is the issue with the used market, joe. the used market is always fueled by the three-year turnover that is not happening to the degree it once did >> carmakers like that >> no. >> no, they want that lease turnover >> low profile i'm scratching up my expensive rims they want to charge me for that when i turn it back in they don't care. we don't carewhat is wrong wit the car. they were going to sell it immediately for

it's getting some positive chatter this morning, thanks to analysts at morgan stanley led by adam jonasfrom 280 they cited ferrari's ability to best weather an economic uncertain environment, and its longer term opportunities in electric vehicles. those shares up 1/4 of 1%. morgan stanley this time on media, netflix and comcast, which is the parent company of this network, cnbc, netflix is just down about 2/10 of 1%, little trading in comcast right now. both are being called top picks in the industry with the expectation that we have not yet hit a market bottom. for netflix, they like its position as a market leader in highly competitive streaming markets along with significant free cash flow generation potential if revenue growth accelerates, and for comcast, they like what's expected to be a better average revenue per growth user and then better performance from theme parks thanks to a still healthy consumer becky, media in focus and so are evs. >> thank you very much. >>> joining us right now on set to talk more about the markets and what he sees is jason trener, he is the chairman a