and ali baba as the group with more money. not to belabor this analogy, but they have been playing moneyball against alibaba and they have been using their position on the mobile device and through messaging and communications to start to win market share in the commerce sector from ali baba. wouldonder how jack ma feel about your comparison. you wrote in your story today that he will be celebrating his 50th birthday on the road during his roadshow. >> absolutely, what a way to celebrate his birthday, right? i hope -- i think he's looking for a gift of a pledge from investors as opposed to a tangible gift. celebrated will be his birthday most likely here in new york. that is the date they will most likely have individual meetings with investors. a big lunch in new york that monday, and then back to boston and his birthday. >> a quick break and then i want situationout this striking a new deal. later, one of the world's most technologically advanced cars, but to buy one would break the bank for most. we sit down with the ceo of

piper jaffray and bernstein believe aly baba's valuation will be north of $200 billion.euters reports money managers will make room for that 800-pound e-commerce gorel i willa by shares of its compensate to, amazon. meanwhile, yahoo! a major shareholder, could see a boost. aly baba is eyeing a debut here at the new york stock exchange in mid september, following two weeks crisscrossing the globe to meet investors. it will be a milestone for the market, the largest ipo ever in the u.s. both in the technology sector and beyond. for "nightly business report," i'm kayla tausche in new york. >>> our guest tonight says aly baba will be the stock to own in every investor portfolio. she is kathleen smith, ipo fund manager at renaissance capital. cathy, nice to have you here on the set. and you're really not giving to exaggeration in the years i've interviewed you. this is such a bold statement. why do you say alibaba is going to be such a hit? >> it's such a fast growing company and a way to own the digital economy in china. and i think that every portfolio manager is going to t

jim, good to see you. >> why would they have to sell in order to make room for ali baba? >> ali baba is a big cap name in the technology space and a retail and consumer space so growth managers with a global pan date, many hedge funds managers will want to free up some cash to participate in this deal. it's just a phenomenal company that's really got an entrenched position and, you know, a really mature tier 1 holding for a lot of growth managers. >> right. >> so my belief is that you are going to see other names kind of being arifiesed that create room in a portfolio. >> amazon would be the most likely candidate. you sold eight month ago. it didn't have anything to do with ali baba? have you sold anything based on this thesis? >> of course, you only have to sell a couple days before to free up the cash. because of what they call a t-plus 3 settlement. you know, amazon's situation was one where the street had given jeff besos a pass for a number of quarters. and he missed a football of quarters. that works until it doesn't. so i think the people are kind of concerned abou

ali baba is about 80% of online shopping in china.uch of a threat do you think amazon will be? >> almost not at all in the beginning for sure. it's sort of like ali baba coming to the united states, except it's china, it's unclear how they will operate with the free trade zone with a lot of hype around it. doing business in china is a little different than anywhere in the world. so right now ali baba is the dominant player there. they're the amazon of chosen, essentially. they have jd.com, which is another company and a million more behind it. so amazon is not amazon there it's kind of pygmy if you think about it 12k3w4r how much will help amazon? china is the big market. it's where the burdening middle class is happening this is a company coming into its own in terms of digital commerce, everything from car sharing, every single thing that's happening here is happening there. smartphones, apple is doing incredibly well there. you kind of have to be in the chinese market. so the question is, can am sob, will that brand name translate

look who ali baba is modeling themselves after, softbank.hen soft bank made all the investments in the united states in the late 1990's,, yahoo!, e*trade, they were the gateway to japan and asia. so that is how yahoo! japan got so big. so i do think, i am not sure that it alibaba were to make investment in a media company, which i doubt they would do, that those companies would have a chance to be successful. there are things that china will not allow to happen. but i am sure the part of all aba'saw --aalibala argument is that we have the connections and we can get you into asia. >> is a crazy to think that alibaba could be in a position after the ipo to just buy yahoo!? position toa buy it now. i would think it is more likely to be softbank, because softbank has more of a vested interest to get a bigger ownership in yahoo! buyinghan alibaba has in what is left of its shares. that ship has sailed, but it is a possibility. after ali baba goes public, the story will be more interesting. >> as a ceo at chegg, you did an acquisition of an online

did he start ali baba?uch has he made over the course of the history? this has been a short period of time. >> incredible, 1999. the size and scope of ali baba today is incredible. they are just over sort of 15 years. >> how does he compare with some of his peers? richestina, the three people are all tech billionaires. jack ma is number one. in china, it is all competitive at the top among the tech fortunes. at $21 billion, he is ahead of people like steve ballmer. >> some fairly aggressive numbers. how does this kind of wealth work in china? weird question, but in the united states, this is a sort of economic hierarchy. how do these guys fit into china? parthey perceived as being of the system or are they now above? do they give back money, is there a philanthropic element? this is a huge amount of cash. i like to think they are all pretty widely celebrated in that country. it all ties into the growth of china as the world's second-biggest economy. is a sector they are very proud of. >> we will leave it th

meanwhile, the buzz about ali baba's upcoming ipo is getting even hotter.hird-quarter profit nearly tripled. leslie picker covered ipos and is on the phone. >> i think they're really good numbers. if you look at the numbers as the company is transitioning from the mobile take rate, we saw it improve to 1.49% this quarter. that is a tremendous improvement on a quarter on quarter basis. >> leslie, were these numbers expected? every time we see new numbers from ali baba, they are quite impressive. >> they are. fourth-quarter numbers were a little bit of a disappointment. if you look at yahoos shares, they are trending up only slightly. it would appear that it is kind of a broader for any kind of news coming out of ali baba, because they are a significant shareholder. shares are not moving to lehigh to the upside, which indicates it's not as much of a surprise. but as you mentioned, it's very impressive. >> what is your take? >> there are some a great business is growing so fast. there is over 700 pages to this ipo. ipo and it the last couple of hours. profits

look who ali baba is modeling themselves after, softbank. when they made all of those investments in the u.s. many years ago in the late 1990's, yahoo!, e*trade, they were the gateway to japan and asia. that is how yahoo! japan got so big. , if alibaba were to make an investment in a media company, which i doubt they would do, that those companies could be successful in china. there are some things that china will not allow to happen. i ensure sure part of their argument with people is we have the connections and distribution, we can ring you into asia. i'm certain that is a large part of the dialogue going on. >> is it crazy to think that alibaba could be in a position, after its ipo, to buy yahoo!? >> it is in that position now. i believe it's -- if it is going to be a transaction, it is more likely to be softbank because they have more of an interest in owning yahoo! to get back a greater percentage of ownership babahoo! japan, van ali does in buying the rest of the shares. i think that ship has sailed. public, theba goes story will be mo

i'm bullish on ali baba. together,ing these they make sense. they are about mobile, commerce, or engaging users. >> how foolish are you? this is on track to be potentially the biggest ipo in history. not the largest tech ipo, the largest ipo in history. after wildly nervous? i'm that. this is a dangerous ipo in many ways. it's unprecedented in terms of size and scope, it's unusual structure. there is so many things. and the new cv small red flags beginning to accumulate. i applaud the innovation, but as an investment vehicle, i'm whatever comes after wildly nervous. >> from bullish to wildly nervous, we have both sides. stick around, we have more after this break. smartphonee cuts subsidies. could this spell trouble for apple and samsung, and who stands to win? we discussed, next. ♪ >> welcome back to "bloomberg west," i'm emily chang. impactbsidy cut would higher-end phones like samsung's galaxy line. it comes back to the chinese government telling three carriers to lower marketing expenses. who stands to win? yu, andth me, crid paul. how bad

ali baba reportedly said it would take down those products if burberry did open its own shop.pparently did it for a number of other lines, too. >> this is one of those lessons just because it's legal doesn't mean it's right. in china it is legal for second party vendors to sell items without the authorization of the brand. in the u.s., that is a frowned upon practice. so just because they can do it in china, as they're trying to gain credibility here in the united states, trying to win over investors, and the s.e.c., you'll want to look like you're putting the cakcamkibosh on counterfeits. >> gray market is when a retailer gets stuff and sells it. ali baba is saying we'll get rid of all the gray market stuff if you join their high end place. it's definitely a use the market force. basically pay up and open up a store or other people will sell their stuff. i'm not sure of the legality, but it's certainly very strong army. >> it's interesting fto see tha when they do open up these stores, it completely wipes out the other vendors. they had a graphic that said armani, ralph laure

tom, you are going to buy the ali baba ipo. >> if i were offered shares in the ali baba idea which ili baba is an enormous company, 24,000 employees. it did more revenue on the chinese version of black friday by itself that we actually did in the united states of america so that the scale of this is a huge. concerned that the books aren't accurate, this idea is going to be hot if you can get some. i would seriously recommend taking a look at it. stuart: thanks, that is it for the real halftime report. we appreciate you being with us. the billion dollar car auction in california record sale of a red ferrari, that record might be broken tonight. first this. i bring you had their mills's ex husband, a final act of san francisco's candlestick park. (trader vo) i search. i research. i dig. and dig some more. because, for me, the challenge of the search... is almost as exciting as the thrill of the find. (announcer) at scottrade, we share your passion for trading. that's why we rebuilt scottrade elite from the ground up - including a proprietary momentum indicator that makes researching se

i started by acting her -- asking her what impact it could have on ali baba. >> all of the al wish andetrics are still fluid. the eta will certainly cover alibaba. my sources tell me that if a company they are looking to compare it to. when it back out it will be compared -- will be compared. the bigger it the valuation cometh the bigger the offering size usually. >> how much of a challenge is this to alibaba? where do they ? obviously most e-commerce. >> it is a tremendous challenge for alibaba. there was overlap .oday and more strategic alibaba has owned e-commerce in china now for basically since the advent of e-commerce in china. --t $.10 has been able to do able to do isen encroach on alibaba's turf. i would say it is more about defense rather than offense or alibaba. >> what are investors saying about that? are they worried or it do they feel like it stands on its own? >> i think the focus is users, back to the old, how do you value a big internet conglomerate? it is all about users and how many people are visiting. now if they do appear to be taking users away, that could impact

. >>> ali baba is in chats to buy a steak in snap shat. they are worth $10 billion.t is unknown how much they want to put into the app. previous offer from facebook was rejected. yahoo owns 23% of oli bobby. -- ali baba. >>> dozens of dogs in hopes of finding a new home. they are taking 30 dogs to board a special plane. they will be flown to washington north of portland. they are calling it the airlift and they are getting help from an organization called dog is my co-pilot that is donating the flight. the shelter says there is a abundance of small dogs and that is making it difficult to get them adopted. there is a big demand in vancouver and the hope is they will find new homes after they land. >>> a string of wildfires means that it will have to keep crews on the job longer. crews are attacking 8 fires that started by lightning over the last four days. it ordered firefighters to stay on the scene to get the fires under control. they are working 7 major wildfires in northern california and in the sierra. >>> in the bay area people looking for relief will have to wa

let's get back to the ali baba. the countdown to the highly anticipated ipo looks likely to begin in september when the e-commerce giant starts its road show in asia. for more, leslie pickler has been following this from the very beginning. executives are proposing to start in asia. is that unusual? >> it is not unusual, but they are looking to price on a monday to trade on a tuesday. apically we see starting on tuesday. they do things differently. the reason this date is significant -- remember eight/eight was good luck? 16 is eight plus eight. they also have some significant days in chinese history. the other days are not seen as lucky. this was the best option. >> so many things they have to consider. 8,y were going to do august but then they decided people were out of town. it is the summertime, maybe it is not the best time to bring in ipo of this size to the market. >> they were waiting for different rounds of comments. they decided to push it off until september. yesterday we learned they renegotiated their c

ali baba was not so profitable last quarter.the japanese telecoms carrier falling 60%. the company took a charge on the investment. softbank saw its slowest subscriber growth. they were on their way down at the start, but we are moving to the upside alongside the rest of the asian-pacific area if you want to sell shanghai shares through hong kong's new exchange, you will need to set your alarm. to be x says shares need transferred before 7:30 a.m.. the boss says that is all to allow the exchanges to settle trains -- trades for mainland rules. they'll start beginning operating on october 13. treasury winds up today, a may ensure that another suitor has emerged. to paul allen in sydney. we were doing about this rival , then the tables? >> well bidders want to remain anonymous. ,he media has decided that tpg quoting my favorite source, those familiar with the matter. the mistry firm, let's call it that, has said there is no certainty that it will result in an offer. its proposal is conditional on a number of matters. they are offer

. >>> plus luxury brand fight ali baba. it's a big hour of pourer. sue is at the new york stock exchange. >> hi, ty. it sure is an hour of power. we're focusing specifically on the transports right now. the transports right now up 104 points on the trading section. jetblue, and kansas city southern some of the big pusher. as for the dow, up 52 points, the nasdaq is up about -- just under 1%. is the s&p 500 has -- seema is at the knead dab. we're going to star with bob pisani, you know the transports is one of my favorite indicator. if you're a dow theory follower, that bodes well for the dow jones industrial average. >> and it's a good -- let me break it down more. airlines, for example, lower capacity, higher bookings and lower olympic prices. they are very healthy boosts. railroads, we are seeing an increase in business for them. more autos. moving autos around the country, coal business is still pretty good. there you see the rail stocks moving well. finally i want to know the truckers here, they are benefiting also from favorable pricing. trucklo

offering like ali baba goes beyond kind of the normal suspects to acquire a tech ipo. really become every money manager who buys equities looking at something like alli ba baba, not just specialty managers who focus on the hot, young, tech companies. alli baba's bigger, visible. i don't think it's the be all and end all for the tech ipo sector. i don't think it will suck all of the oxygen out of it. i hope it comes in a successful and creates a nice path for others, but i don't think it's something that stands in their way either. >> sandy, great to have you on the program. thanks for making time for us today. >> sandy miller. >> getting a good soaking for a great cause. biogen set to take the ice bucket challenge to raise awareness for a.l.s., here live on cnbc as well. then, the trade-off segment, i'm not sure i want to see, off the desk and into my real life. see what i do when i'm not being the judge. >>> and a bump in the road for tesla. consumer reports says model s is more than its share of problems but what does it mean for the stock in breaking it down with ph

melissa: i am melissa frances, ali baba raising some eyebrows ahead of its much-anticipated ipo.hat is after possible accounting problems were revealed at ali baba picture which is one of the firms it recently acquired and rename during a shopping spree. the unit is said to have underestimated its losses. paypal is said to be in talks to take bitcoin as a payment. that means customers may soon be able to use the crypto currency to pay for everything to rides with uber which use the paypal system. the deal could give bitcoin legitimacy it has been looking for. sprint is about to reveal disruptive prices. new ceo says the best payment plans will give competitors like t mobile a run for their money. that is the latest from the fox business network giving you the power to prosper. melissa: fast food companies have been served, they're passing a bill that makes it more difficult for major food and retail corporations to terminate the contract of their franchisees'. hear from mass fund.com is a fox news contributor, jonathan, i will let you go first because you are new to the game. wha

we have a relationship with ali baba. we are excited on kabam, our new social mobile game for "hunger games," coming out before the movies. again the world is smaller. that's a good thing for us. >> content companies are getting in battles with amazon. we soon disney as the latest example. does amazon have too much power here when it comes to ecommerce? >> i feel like i'm cheating on melissa cheating on you, sarah. >> we won't tell. >> she'd like to know you referred to as cheating on her. >> we feel that look, it's nice to have more than one player. its nice to have through the electronic sale comcast is picking up good market share. so you always want to have the content provider. again, we're like the benevolent arms dealers, we'll sell to anybody. sometimes exclusively in many cases non-exclusively. we're noting a nostic to platform and technology. >> michael burns, good to see you, we don't want to tell the vice chairman of lion'sgate. who has the trade? >> it doesn't get you excited. the story does. "divergence," wh

. >> e-commerce in china has been dominated by domestic player aly baba. amazon's expansion comes as international retailers are trying to bring in international consumers. china enjoyones in more relaxed import/export regulations than the rest of the country. shanghai is one of china's boldest reforms in decades and is expected to receive a boost with amazon's arrival. amazon's expansion into the area will promote innovation in the free-trade zone operations. chinazon's presence in has not been without problems. in march the company was forced to shut a third-party online store after state media reported fake cosmetics were sold. the expansion comes at a time when foreign tech companies like microsoft and qualcomm have increased scrutiny in china. >> that is it for the business news. i will be back in about an hour. >> think you very much for that, william. time for a check on the top trends online, including calls for a media blackout of the video of the murder of james foley. ♪ >> hello and welcome to the web news. these are the stories making online he

shareholders, which is to lobby for either ali baba or softbank to buy this company, because one of thegest discounts embedded in yahoo!'s stock price today is an assumption by wall street that when yahoo! sells these stakes in these companies, these asian companies, they're going to have to pay a huge tax bill. there would be tremendous tax savings if one of those two companies bought yahoo and returned a lot of the cash back to shareholders. >> eric, i will say, all your points are very valid, but if you look at the stock price, i mean, it's all about results. i mean, you have to look at the bottom line. that's the report card for a ceo. and you look at the stock chart going back two years, we just showed it's up 200% in the time marissa mayer's been ceo of this company, so what's the complaint here? >> well, to that, i say yahoo's management and board really needs to send a thank-you bouquet to alibaba. two years ago it was valued at a $20 billion company. yahoo! has a 23% stake in a company that most people think will be worth $300 billion. when you subtract out the value of the ali

it stands for aly baba, of

and "ali baba" means "you thief!" >> that seems to be enough to get by. the factory is modeled on the company's headquarters in china. the banners on display are designed to motivate workers to maximize production. next i think it is necessary. sometimes it can have a look and keep it in their mind. >> the company says its factory provides developmental aid to ethiopia. after all, it has brought along only 120 chinese workers, while creating 3500 jobs for locals. >> one of them is 22-year-old eden. she's a trained shoemaker. the craft has a long tradition in ethiopia. but work is scarce. the unemployment rate here is at least 40%. she lives in a tiny dwelling near the factory. it's her first time living alone. the room is just five square meters in size and has no windows. she can't afford anything better. >> if i work overtime, i earn about $45 a month. otherwise i make $30. >> eden works ten hours a day, six days a week. even in ethiopia, $45 is barely enough to make ends meet. the rent alone costs $15. that leaves $1 a day to live on. meat is an unaffo

we call that internally waiting for ali baba, kings of k street. whether you call it a tablet or fab let, tablet takeover is doing well. one of the most viral ones is seven deadly sins. it is literally about cigarettes, lust, the wrest ling companies shall the gun companies. what is nice you can think of them, not etfs, we think they are better. >> i will ask but that in a minute. >> we allow to you take one of the motifs, i am not a bank person, make different sin, you can adjust the weighting. you can tate one of these motifs and make them your very own. personalization, tail searing a powerful force, people customize what they know. >> you touched on etfs, let's get to that. an etf is a basket of stocks. how is this different than an etf? you just renamed them motif? >> a lot different u buy an etf it is a fund, a group basket. so when you buy an etf, buy shares in the etf company that happens to hold a basket of stocks. what we've done in this world, post a lot of things, i want to know what i'm investing in. the problem with mutual funds and e

cent.rsus tens there are a lot of questions surrounding ali baba's ipo. this will be the largest probably that the u.s. has ever seen. again, what is the competitive .andscape like >> you will be in atlantic city tomorrow. >> yes. i've been practicing my blackjack. we are looking at the challenges that atlantic city is facing right now. as you know, a lot of problems. you've got a number of casinos that are closing down. revel is just the latest announcing they will be closing next month. a lot of jobs are being lost their and a question whether this is a place that will really survive. the title of the show and our coverage of the city is "atlantic city: lights out." it could be not just tough for the casinos, but for the community at large. >> there are so many places to gamble in the united states right now. you don't have to go to atlantic city anymore. while vegas was able to turn itself into a destination, a vacation spot with many more things to offer, atlantic city really did not go enough down that path. >> we will look for that tomorrow and look

why y and buy do have rallied since ali baba reported strong in -- strong results in june. in baba's ipo is expected september. if you want to sell shanghai shares through hong kong's new change link, you will have to set your alarm. the hong kong exchange says shares need to be transferred before 7:30 a.m. allow two exchanges to settle trades per mainland rules. treasury wine is trading in sydney and it looks like this. it is up 2.5% after it received another bid. the author comes from an unnamed private equity group. analysts say there may now be a bidding war. for more on that story, let's get to paul allen in sydney. with do we know about this rival bid? the bidder wanted to remain anonymous but the media is pretty much anonymous -- the much adamant. ppg according the matter. there is no certainty that it will result in an actual offer and the proposal is conditional on a number of other matters as well. it is exactly the same amount that kk i and run capital offered early last week. since then, the price has jumped. at fiveave it here $25, which is higher than both bid

in the meantime, we have breaking news on ali baba.with their june's earnings report, posting earnings of $.84 on revenue of $2.5 million. cory johnson -- excuse me -- that is two point $5 billion. i thought that was a typo. "bloombergn, our west" editor-at-large joins us with more. we were expecting this filing. what is your take? >> i have been doing some math. alibaba is a free cash flow creating business. over a yeare grown basis of 46%. they get ready to ipo sometime in the next month. 46% over -- year-over-year revenue growth is quite possible. it shows you the business model. we are just in the numbers in the last minute or so so i will go through and look for the funkiness that we see with other when they reported ipo trying to sell a lot of stock to the public. on the headline numbers, this is the kind of deal, in this kind of market, that could be the biggest ipo ever. forget technology. it could be the largest stock offering in the history of the public markets. it is a big deal. to come with the quarter that is so strong, c

the e commerce giant ali baba plans to launch an offering september 8.shares should start trading as soon as the 18th and the 19th in new york. >>> the time is 9:45 and apple is getting a lot of attention over a three story building going up at the flint center in cupertino. apple is going to use the all white enclosure for a mayor product announcement september 9. yesterday, a delivery truck driver told us that security around the building is pretty tight. he says the company is not telling them anything and that it is making them sign nondisclosure agreements. this location is pretty significant to apple. steve jobs unveiled the first macintosh computer here 30 years ago. apple is expected to unveil a new iphone with a larger screen and also a wearable computer. >>> president obama is praising the hard work of americans on this labor day weekend. >> that's the bedrock this country is built on. hard work, responsibility. sacrifice, and looking out for one another as one united american family. so let's keep that in mind this labor day and everyday. have

he is the one making sure that they go with ali baba's best interest. >> and a yale lacrosse player, one of those who knew him back then says that he used to wear a pick triangle to support gay rights. jock in uncommon for a the 1980's, and for someone coming from taiwan. what he's said in response to some teasing that happened surrounding that was it was the right thing to do. this of course is the guy that investors are going to look at and say, should we buy shares of this company? can we trust that our investments will be protected and the company will be acting in our best interests? adult in thehe room. with a moral compass like that, that says that. >> i do not know about the morality of the setup that takes the ownership of the company away from the shareholders, but ie is very e different. talk about that. >> it is very previously when chinese companies went public, historically they have gone public with about 99% of their revenue tied to the vie structure. the risk is if the chinese government decides to dismantle the structure, they will lose their investment. did differe

. >> i agree with trace, ali babatunsin olukunle will give i -- ali baba will come out and help them. liz: and kudos on a tech compa company, since he recommended strata sis the stock is up 8%, charles was also calling for company stock to hit 116 a share, it did that today, matt this company raised full year guidance but what? $100 million overall. >> it is a company that you have to be able to buckle yourselves in. and look for a roller coaster ride, this is 3-d printing, this is one of all names out that i think the make it, this is one of few winners, another one 3-d system, this one, if i had to put any money in one, this would be it. a good valuation. liz: hitha could do more than churn out a blue gnome. >> you are right. liz: and a fake house. >> main concern i had, they were focusing on 3-d printing with plastics, they did not have a lot of materials that is what concerned me, they were using other materials like metal and different types. >> purchase of maker box comes in they are selling 33 -- lead 3-d printers in home depot. charles one of first people who started talking a

david: we would actually be allowing the chinese, and a lot of people working for ali baba are chineseent officials who have a strategic interest of getting inside of the company. >> there's no question about that. why would you want to show the other team your playbook before game? david: thank you, paul. you've heard about google's ipo anniversary. but i bet you haven't heard about this. ten years after going public, their next target could be your 10-year-old. we are going to give you details about that after the wondering what that is? that, my friends, is everything. and with the quicksilver card from capital one, you earn unlimited 1.5% cash back on everything you purchase. not just "everything at the hardware store." not "everything, until you hit your cash back limit." quicksilver can earn you unlimited 1.5% cash back on everything you could possibly imagine. say it with me -- everything. one more time, everything! and with that in mind... what's in your wallet? david: google is searching for more revenue. in first out in tonight's business blitz, home depot willingly estimates

if you are calling the shots on how that cash from ali baba were spent, how would you spend the money? >> oh, god, hypotheticals. my strategy was clear when i was there. i would have invested more in premium content, more in ways to monetize that content. i also think, honestly, there was no way around rationalizing thesize of the company and focus. 2 years in, you really have to be focused on what that company is, how it is set up for the future, and the money -- look, no secret, i was aggressive looking at hulu, both at yahoo! and post-yahoo! video is part and parcel of the future and in that respect, premium video. i was pretty clear and on record on where i was to move that company. marissa comes from a very different background than me and she is an incredibly talented product person and visionary. wherever she ends up taking it longer-term, the markets will judge it and the entire industry will judge it. >> only about 10 seconds left. in terms of what you are up to now, you are with companies like stout. is there a common theme here? >> i would say i am in and around premium con

>> i tell you, what itself going on with yahoo, it's trading on the ali baba expiration and the stubnd expectations of how they will spend the money and the tax implications of the money. this is a vortex. it's a 32 to $38 trade. i think somewhere around $38 bucks you have to fade it. it's probably going to trade lower again, i think you boy it. >> there is for gordon, first seller earnings, buy or sell? >> actually. we will be buying on the earnings. i think first solar has enough to report whatever they want. we think there is risk in 2015. we think they will report a number inline to above consensus and they will reiterate their four-year guidance. >> this is for the chair woman. what do you think of the biotech for first something's ira? >> i don't like picking specific stocks. we've done the xbi or ibb. can you do a little of both and hang onto it for a long time. >> we will come right back. stay tuned. . tim seymour. >> has anybody checked out emerging market up 8.5%, korea to me is the best eps growth and momentum. ewy is a place to play that. take a look. >> gordon johnson. >

david: we would actually be allowing the chinese, and a lot of people working for ali baba are chineseofficials who have a strategic interest of getting inside of the company. >> there's no question about that. why would you want to show the other team your playbook before game? david: thank you, paul. you've heard about google's ipo anniversary. but i bet you haven't heard about this. ten years after going public, their next target could be your 10-year-old. we are going to give you details about that after the break. unlimited. as in, no limits on your hard-earned cash back. as in no more dealing with those rotating categories. the quicksilver card from capital one. unlimited 1.5% cash back on everything you purchase, every day. don't settle for anything less. what's in your wallet? don't settle for anything less. a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agil

ali baba targeting the september 16th public offering on the new york stock exchange.h the matter told fox business bankers want to kick off an investor road show within the next couple weeks. that will include stops across america and europe and asia. clashing after earnings came in below wall street expectations, the entertainment park struggled after a string of negative stories and documentaries. attendance is down 4%. samsung giving facebook a run for its money. new photos show samsung adds new virtual reality head set looks a lot like a bond that attaches to your phone. the device is code-named active moonlight. not bad. that is the latest from the fox business network giving you the power to prosper. melissa: street wars' round 2, accusing rival uber of bookings thousands of rides, uber is firing back saying it lifted the same thing, canceling three times the amount, jo lin kent is here with me now. james and domenic are back as well. i know you are but what am i? >> it is a pretty juvenile -- it reeks of that but uber has the upper hand if you look at where the

there are so many mark place sellers on amazon who are sec of amazon, they want an all ternive to, ali baba and rocket ten are not unfortunately viable alternatives for them. >> thank you. >> tanks, melissa. groupon declining int after hour session, flash sales are a dime a dozen but you name it. >> it's a complete departure from their original business. it takes an awful lot of capital to run. they're not executing it well. so why would you buy the stock? >> to me, though the quarter is i don't think down 16% quarter. it wasn't a great quarter, valuations, we've seen a lot worse. so i'm surprised it's getting whacked as much as it is. i'm not saying to go race and buy it tomorrow a. 16% move to the downside off this quarter to pe doesn't add up. >> it's the first web 2.0 stock trading as cash. to your point, they are competing with costco and amazon and not just tj max. they basically said tear business model they were put in business for the defuvenlth it doesn't make sense. to me i think you go way down here and have to look at the assets and their cash. i don't see any reason to boy it.

. >> sticking with yahoo, the ali baba coming. >> mtw, i bought it today. >> >>> have a great holiday weekend, we'll see you on the other side. power starts right now. >> >>> halftime is over. "power lunch" and the second half the the trading day starts right now. >>> terror alert severe. british prime minister david cameron speaking today, and he is ringing the alarm bell. a september of risk perhaps for investors. we are going to talk about that as well. tuesday's summer vacation ends, wall street will be busy once again, and of course volume may jump, so what do you need to know going into september? >>> and we have a special look at a booming industry. it's tutors. we are going to talk about how much this private tutoring costs, and what the perks are for those who do the tutoring. and the parents, of course, have to make an awful lot of money to make that happen. tyler is out today. cnbc asia's susan lee is in. >>> we're going to begin with the developing story, the severe terror alert in the uk. the white house saying moments ago it does does not have plans to raise the status.

and the chinese online retail giant ali baba is rteepordly set to hold its ipo next week.m jeff glor, cbs news. everybody's excited about the back to school savings at staples. from the customers, to the staples associates. with guaranteed low prices on mechanical pencils. you'll flip out! now go tell your friends. staples, make more happen for less. this is paul. this is paul's office. for those who believe a serious job doesn't have to feel so serious. one a day men's vitacraves with key nutrients like b-vitamins which help covnert food to fuel. it's not just a gummy, it's a complete multivitamin. weekday breakfasts are a busy time for our family. but mornings are easy with carnation breakfast essentials. we simply mix the powder with fresh milk to make a breakfast drink that's delicious and nutritious. carnation breakfast essentials. good nutrition from the start. cozy or cool? exactly the way you want it ... until boom, it's bedtime! your mattress is a battleground of thwarted desire. enter the sleep number bed. right now, all beds are on sale. he's the softy. his slee

. >> sticking with yahoo, the ali baba coming. >> mtw, i bought it today. >> >>> have a great holiday'll see you on the other side. power starts right now. >> >>> halftime is over. "power lunch" and the second half the the trading day starts right now. >>> terror alert severe. british prime minister david cameron speaking today, and he is ringing the alarm bell. a september of risk perhaps for investors. we are going to talk about that as well. tuesday's summer vacation ends, wall street will be busy once again, and of course volume may jump, so what do you need to know going into september? >>> and we have a special look at a booming industry. it's tutors. we are going to talk about h

aly baba is showing off his financial strength, grabbing investor attention weeks ahead of the suspectedandmark debut. >>> too late too little? the securities and exchange commission tightens rules on sectors. and new record. apple shares hit a new high ahead of the widely expected release of its iphone 6. but what features do consumers really want in a phone? we have all that and more tonight on "nightly business report" for wednesday, august 27th. >>> good evening, everyone. tyler's off tonight. well, here's a ticker symbol you'll be hearing a lot about pretty soon. baba. it stands

that is the advantage the marketplace like ali baba has. for alive a reasonably baba, yahoo!s it suggesting the numbers are really not that much better than what we heard from alibaba before and what people anticipate when the company goes public? >> thereof people a lot smarter than me going to this and finding things. i can't believe anyone can make a real informed trading decision based on what their read in the last 1.5 hours. it is very complicated. the company is doing boatloads of acquisition and the business is changing quite a bit as a result. one thing that jumped out, as much as their growing internationally in making acquisitions all over the world to grow their business and posit the idea to the ipo that this is more than just a chinese marketplace, the chinese business is growing so fast the percentage of revenues -- the international business is less than it was a year or so ago. that is a function not of the slowdown in growth financially, but the massive growth in china. >> it is important to point out for investors who might be looking at these headlines him

aly baba is showing off his financial strength, grabbing investor attention weeks ahead of the suspectedndmark debut. >>> too late too little? the securities and exchange commission tightens rules on sectors. and new record. apple shares hit a new high ahead of the widely expected release of its iphone 6. but what features do consumers really want in a phone? we have all that and more tonight on "nightly business report" for wednesday, august 27th. >>> good evening, everyone. tyler's off tonight. well, here's a ticker symbol you'll be hearing a lot about pretty soon. baba. it stands

we think ali baba will be coming. either friday they'll announce terms or next week.to pick up very, very quickly. >> i just wonder, because you know, the kind of thing bob just said, if this idea that the u.s. is the best game in town, there are other places that are starting to look a little attractive as well, dave. so, does that change some of the money that's been flowing here? does it start to go elsewhere? >> i think that is changing. the emerging market's index is up more than the s&p so far for the year, up almost 11%. you referenced a number of countries that are doing very well, and all of those countries are far cheaper than the use a valuation basis, so we should see money flowing into the emerging markets. >> fair point, jonathan, isn't it? >> yeah, i mean, there's always opportunities outside the u.s. i don't see that big a valuation gap between the two, and the u.s. economy i think is in great shape. so, is there fast money that's attacking this using etfs? probably. is it sustainable, i don't know. >> the key here is low interest rates, if we get a su

. >> we want to focus on ali baba. as it focuses on the final stages of its u.s.r due diligence on one of the key figures behind one of the biggest u.s. initial public offerings ever. he is not jack ma's number two man when presented to investors. >> he is the one in charge of negotiating the acquisitions that the company has undergone. he set up there particularly unique legal structure which .revents chinese who has created all of the legal and financial structures that investors want to learn more about during the roadshow. >> i'm curious about the structure. how much control does the chinese government have over ali ?aba it is safe to say that the chinese government could shut it down? >> the u.s. government did a the chineseled that government could shut it down if they wanted to. alibaba is only tying certain assets to the vie structure. >> it is safe to make a guess that the chinese government is consciously choosing not to shut it down. >> exactly. >> there is a lot that rides on this ipo. >> at the same time, the hong kong stock exchange declined to and u