i want to correct -- alibaba sales are at 66%. >> how good is yahoo!'s business without alibaba?> the business is struggling. it is up fractionally. i would say, how good is the stock? that is a whole different story. you have half the value in alibaba. when you look at the move in the aftermarket, 3/4 of that move is based on alibaba results. >> how is alibaba positioning itself in the chinese market? there's so much more going on that we need to understand. they are making acquisitions and big investments. how much of this is moving toward a single unified strategy going forward? how much of this is responding to competitive dynamics? >> that is a great question. in 2013, alibaba was the most dominant e-commerce player. we saw in q1 that its platform was able to corner the market in the mobile device sector. what has happened is that they have bought 20%. they are buying stakes in a variety of companies. there is a lot of heat on them. a lot of people are thinking that the tencent platform will do a lot better. you will see a lot of consolidation with tencent and alibaba. they

alibaba is going to be a monster. we have a position in soft bank i think there you have a much better allocator of capital. i don't know how much net they will have. that's where we would rather be to in effect create alibaba. >> i think yahoo is more than just alibaba. i think the fact that doc mentioned the mobile platform is doing well. i think yahoo is more than just what's the valuation of alibaba. we had a conversation about it two days ago. i think at 36.5 is where it's trading now. it's still too cheap. that's a huge turn. >> you think yahoo at 27 times, 21 times forward is still too cheap and worth owning after alibaba? >> that's a different question. i think you should rally into the alibaba. given all the metrics we learned should be north of 40 bucks. it's coming in from the highs we made in the after market. >> you don't like yahoo. and don't have interest in owning yahoo. would you be interesting in owning yahoo in order to get alibaba? >> i'm with guy. it's a trade in that sense that we'll most likely

alibaba, i feel like they greased the rails on this ipo to make sure the alibaba deal comes in is a smarthing to do. >> i think there's a risk long term and excitement about some of these chinese stocks going public here. i think once the excitement is gone, i think they're going to sell out. some of these guys may think this is piky. >> piky. >> piky. stock is down from 14 in 2011 to 333 where i bought it yesterday. maybe all this stuff starts to rally a bit. i'm going to keep a very short leash on this one. >> after the break, whip out your tub of popcorn. tim and dan will battle it out over the fundamentals of netflix. who will come out on top? a street fight. plus, the entire "fast money" gang is known as some quirky sayings. we'll bring you our top five later on. guy adami has got something to do with it. stay tuned. it is a very special day for "fast money." what better way to release some stress than to throw a punch. >> ready to go? >> ready to go. let's rock and roll. >> i don't want you to get hit by a car. >> is the -- i can't say it. >> in china -- sorry. >> the atlantic salmo

in order to get alibaba. want to buy that at the offer if you are given an allotment. >> i do think that's the way to play it. i think the valuation seems that alibaba is going to come in the market at fiscal p/e around 25 to 26 times. i think the key risk with stuff like facebook and ten cent is they risk user fatigue of their social properties. the key thing of alibaba is, you're essentially playing on the coat tails of what's going to be the world's largest consumer market. as long as you believe the chinese are going to continue to make more money and spend, alibaba is the way to go. >> thanks. tim, let's go to you. >> what's interesting about weibo is people have been concerned about we-chat. it's a competitive landscape in china. i think this was part of what people got concerned about over the last six months. i think people got distorted on was you go through the prospectus of ipo and find a lot of things scary. including the chinese government could -- first of all, they're going to throw everything

that's what alibaba wants to avoid. >> alibaba doesn't actually sell goods, they operate websites where you can buy and sell goods through. how susceptible is alibaba to a potential slowdown in the macro environment? >> obviously, it is susceptible but there's a generational opportunity growth there. just like casinos in macao and so forth. on average, as the economy goes up and down, alibaba is likely going to grow nevertheless. that sets excitement about the stock and that's where potentially very large valuations can come from. >> joseph shuster, founder of ipox shuster, we appreciate it. >>> now back to some of the top stories we've been following. ford's annual meeting happening on may 8th. fields was appointed coo back in december of 2012 and was previously northern american sales chief. he's long been seen as mulally's successor. he talked about this with cnbc's phil lebeau last week. >> i take over some of the bpr meetings and the running of the daily operations of the company. but we're all working as one team and staying very focused on this record number of launches that we h

s stock price is still down to alibaba? a lot of it which is basically that alibaba is the primary driver, we think, of yahoo! shares at this point. you know, in going through the results, yahoo! definitely committed some time to addressing alibaba, but if you frankly went through the press release and you listened to the conference call, it was clearly about yahoo!'s primary operations and not its investments in asia. nonetheless, however, we think alibaba has been and will continue to be, the primary driver when it comes to perceptions and reality associated with yahoo! stock. >> what should yahoo! do, if alibaba floats, yahoo! will get a chunk of that. what should they do with the money? >> that question was posed on the conference call yesterday. and not surprisingly, especially given the fact that no specifics are available related to the timing associated with what alibaba's plans are, i think it's fair to say that yahoo! has retained kind of a conservative stance associated with its capital allocation plans. they've

i think if you want to own alibaba, own alibaba.on't need to go out -- >> facebook is doing better in terms of growing their share than yahoo!. >> all right. sticking with big valuations, the next guest says it's time to be brave and get back into high-flying stocks. josh spencer manages t. rowe price's global fund. welcome, josh. good to have you on. >> hi, thanks for having me. >> wow, this is quite a headline. this is the pullback we've been waiting for, time to get in. >> i think it is. you know, you talked on the last segment, and i was listening intently, many of these high-flying stocks have pulled back 20%, 30%, 40%. and i think now is the time to be brave. in our portfolio, we've been selling some of the legacy tech stocks and shifting in to some of the high fliers on this bullback. >> i mean, you want to buy amazon, buydo, tesla, stratus, linkedin. >> exactly. >> it takes gusts in this market right now. >> it sounds a little crazy, but it's not -- it's not random. these are all very well positioned, high-growth companies t

what don't you like about alibaba?siness model than amazon, because it doesn't have anything invested in inventory. in the recession, they could withstand it much better than a company like amazon. having said that, though, it will be launched. the launch is going to be successful. it will have a big surge upward for a few days, because wall street has to engineer that in order to get this thing done. this is the biggest ipo event we've had in ages. >> that's not just alibaba. that's every ipo. >> -- fails to do that. facebook went public, did very badly and now doing well again. >> the spirit is once it gets done -- [ overlapping speakers. ? [ . >> after that, a huge plunge in the chinese market, because china right now is having a credit crisis. credit crisis is always followed by a recession. and when there's a recession lurking, even if the results don't get bad for alibaba, the psychological part will make alibaba go down, just like buydue. it's an excellent company, but when there's an inkling of problem in china

alibaba is getting into it.were interested in getting some private players in the business, some competition. alibaba joins the game. >> making some strong moves ahead of a potential ipo. big strategic investment. we will keep our eye on them. thank you so much and thank you all for watching this edition of "bloomberg west." we will see you later. ♪ rex the following is out to you by zumba fitness.

alibaba is getting into it.re interested in getting some private players in the business, some competition. alibaba joins the game. >> making some strong moves ahead of a potential ipo. big strategic investment. we will keep our eye on them. thank you so much and thank you all for watching this edition of "bloomberg west." we will see you later. ♪ . . >> welcome to "lunch money" where we tie together the best stories, interviews and video. i'm matt miller. take a look at the menu. in motors, the new rolls-royce ghost rolls into new york, where it still has an umbrella in the door. in nation, paul krugman talks income inequality and jobs. there's still something left over for a list of things that makes him very angry. in company, earnings-palooza. the good, the bad and the ugly of earnings season. turning a penniless nonprofit in s

results from alibaba, yahoo!merica. >> a hot ipo market, moelis company goes public today in a difficult environment. the founder ken moelis with us. >> ford's mustang turns 50 with a limited edition model and a limited edition interview with coo mark fields. >> and far from detroit the manufacturing ren na sans is on your terrific. makerbot ceo will join us to tell us why 3d printing is going mainstream. >> our story 30 minutes into trading, markets higher, u.s. stocks look to make three straight days of gains. the dow shy of the triple digit gain, s&p up 8, the nasdaq up 18. we want to bring in charlie, the vice chairman and portfolio manager at aerial investments and david katz with asset advisers. >> thanks for having us. >> david, start with you, the markets have seemed to trade in spite of whatever strength or weakness we have in the data of the day and i'm wondering today we had mixed picture, weak housing starts, better industrial production. where do you think the trade is today and the strength is comin

why take money from alibaba? >> they are the largest ecosystem for commerce and china, if you look at the results that were just published. they have been doing great in terms of revenue growth and profitability. the timing not only allows us to get more chances for business opportunities and monetization, but the e-commerce ecosystem connects to a social platform -- that is of value in the future. we're trying to build an ecosystem together. that is already happening with great potential. >> would you consider selling our eight? -- outright? >> the current structure is to continue holdout. we will change that structure. that works well at the current stage of business. >> how much would you be willing to increase their share? some people said that may be your ipo has not been as good as you might want it to be. investors are waiting. they can invest and get into weibo that way. >> people have different views. in the current stage -- shareholders are not having much room for increase. we still have a flow of shar

traders and investors are eager for the debut of blockbuster ipo alibaba.. chuck coppola steps in now with more on the ipo market monster. angie, it's being called "bigger than facebook". anticipation is huge as rumours swirl that chinese e-commerce site alibaba is prepping for an ipo in the u.s. the company has more sales than amazon and ebay combined, and has a $15 billion dollar valuation. that could rise to as much as 150 billion dollars after the ipo. analysts are speculating the stock will debut this summer. josef schuster of ipo-x- schuster expects it to debut-- this november. "it could be really exciting for the us capital markets to have a primary listing like alibaba which is really a key name in the e-commerce space " alibaba is not commenting on the buildup of rumours. yahoo holds a 24% stake in alibaba, and its stock is on the go. shares jumped 6% yesterday. the u.s. economy still needs little help from the fed. that's one of the points that came from federal reserve chairman janet yellen who spoke yesterday at the economic club of new york. yel

alibaba successes have lifted some u.s. companies. yahoo benefitted from a 24% stake in alibaba.en boosting yahoo shares which have gone up more than 40% this year. it's all the more reason why in investors will be watching how alibaba does in coming months. bbc news new york. >> we'll keep that anticipated alibaba apo. >>> netflix now accounts for more than half of all video streamed over the internet. it has 44 million customers around the world. they've signed up to do video on demand service. so far producing the series like house of cards and orange is the new black. some say those produced programs give it its own edge. watch out. amazon prime and google play looking for space in this fast growing market. netflix reports numbers out today. ben told me earlier netflix is changing the way the world watchings television. >> in the olden days you watch television half an hour at a time. that's how long shows were. you would get a new episode once or twice a week if it was a special series. now days we save up a series. you used to do it with box sets. you wait until it finished

deal making in alibaba.pany and/or alibaba chairman have bought station in companies. one such deal was announced this monday. mab is no longer the ceo of the company. as this dust settles and as some of the issues get settled it could be a few days before we get the document. it's still expected to be approaching the largest ipo in the u.s. on record. >> kayla, thank you for that. dan nathan? >> don't get me started. >> start. >> let's weave a little web here. $19 billion and apple issuing tons of debt to buy back their stock. it seems -- >> listen, that's the first thing i thought. second of all, if they're taking this long to read the document and they're first day on the job? you know what you have. you knew it six months ago. i don't think this is good. >> i still think yahoo is trading as if these guys are probably right. it shouldn't be trading anyway. yahoo should be north of 40 bucks and it's not. >> i don't think we can glean from this what i think is relatively modest delay anything beyond this is

alibaba is expected for a u.s. ipo this month. i had a sales surge.eutsche bank is in talks to sell a cosmopolitan resort in las vegas. they want to end the money-losing venture into casino development. their largest bank is asking more than $2 billion for the resort. this after deutsche bank defaulted on a construction loan in january 2008. welcome back to "countdown." i am mark barton. the time in london is 6:17 a.m. joining us now is my guest. good morning. >> good morning. >> is china making the transition in their economy while slowing growth while implementing much-needed structural reforms? are you witnessing this or not? >> if we look at cruise of the trenches shannon -- clues of the transition, they are rising more than 10%. meaning that there is probably a slowdown into the overall china economy. rebalancing to the western region. this is good because it is more chineseor the overall concept. they want to grow in albany. they won a good balance between the rural part and the export part. also, we shouldn't forget that china is a strong expor

that is what alibaba just reported. remember, they may be excited by the game plan for this quarter, improves products, attracting more investors. but certainly there are a lot more traders and investors excited by yahoo! 24% stake in alibaba, the chinese giant. there was a concern on the street about a decelerating growth rate. but alibaba saying q4, revenue up. mcquarry just raised yahoo! to a buy in part because of the upcoming enthusiasm. >> alibaba, the tail that wagged the dog, thank you very much. >>> the two best performers in the dow today were coca-cola and johnson & johnson, both releasing first quarter reports better than expectations even though coke's profit revenue fell. but johnson & johnson's earnings topped the forecast. >> reporter: coca-cola sales were flat in the u.s. this winter and fell in europe. strong growth in emerging markets helped to push the company's global sales volume up 2% edging past analyst estimates. >> we are improving in key markets like china, double digits, brazil is up for us,

for the alibaba stake. so will they leave yahoo! when alibaba goes public?question, do you own yahoo!? >> i do own yahoo! and have owned yahoo! since early 2013. obviously, we have seen previous to that dan loebs activist role and change in management, but obviously it helped cattize attention on alibaba. and in terms of the growth, basically it's very attractive. >> do you own yahoo! after alibaba goes public? >> that's a very good question. it's a 2.5% position in funds we manage. and we have seen accelerating revenue growth, but yahoo! on its own, it is very much of a trailing name, but they'll have a lot of cash after this transaction. if they pursue an acquisition of aol, which will say they will be a search partner both to microsoft and google, if that position remains, then you might have something there that's intelligent. but for investors looking for just a cash to come out of yahoo! from the alibaba sale, they will be disappointed. >> how much of yahoo!'s value right now is driven just by the alibaba speculation or how much they think it will be w

it will allow alibaba to pete withbaidu maps and other services. sales tour is believed half of the office space in the tower. it will be renamed cells first tower and the company will pay an average rent of $85 per square foot which is higher than the rent in the peak of the.com era. it will be the tallest building in san francisco once it's completed in 2017. sony is telling consumers to laptoping the biofit because the battery can overheat. there have been three cases where the panasonic made battery caught fire and this comes as sony prepares to sell its bio business. been bouncing around today. it is flirting with small gains and losses after huge selloff yesterday and it has been a very rough month for technology stocks with the nasdaq topping about six percent. we have seen a wave of techipo's but the question is, will the selloff give other tech companies pause before going public? cory johnson has more. companies like alibaba and others are preparing to go public very soon. will this hold them back? marketvoid the stock show a lot because

it will be key how weibo can be integrated into alibaba's commerce dominant.s not really outside of china. they have not really translated their interface into english or any other language. it is a pure china play. i don't think he will be competitive against twitter anytime soon. we chat on the other hand has done in english and the entire world. i was in south africa giving a speech and everybody in south africa was using we chat. >> we will be watching. we are waiting for weibo to price at any moment. shaun, thank you very much. we will be right back with more "bloomberg west" right after this break. you can watch a streaming on your tablet, phone, bloomberg.com, and on apple tv and amazon fire tv. ♪ >> welcome back to "bloomberg west." i'm emily chang. we turn now to the new york auto show, where carmakers from around the world are gathering to show off their latest designs. matt miller sat down with bob carter, toyota's head of operations. he talked about the new and improved toyota camry just unveiled today. >> the last camry was introduced three years

we are expecting the biggest ipo filing since facebook with alibaba. the commerce e-commerce giant is on an investment spree with the latest deal announced today. first, a check on your top headlines. apple and samsung are ready to make their final pitches to the jury. closing arguments will begin today in the blockbuster patent trial. apple is seeking $2.2 billion in damages for patent infringement. a win would allow the company to seek a sales ban on earlier models of samsung phones. an update from google on its self-driving cars. the company says that cars have logged nearly 700,000 autonomous miles. google has been testing the cars around their hometown of mountainview, to improve their ability of driving in urban areas, but they say there are more problems to solve before the car starts driving in other cities. microsoft will begin rolling out its first original xbox tv shows in june, including a reality series called "every street united" which will cover local soccer teams, as well as coverage of the binary music festival. to our lead story. aft

there will be two classes of alibaba shares when the company goes public.says he invest in alibaba over concerns over corporate governance. >> it's a big field. in china, it will be more and more tech oriented and more internet oriented. internet shopping is a global phenomenon now and is growing very fast. you have to pay attention to alibaba. it is one of the greatest ones. he is not alone. there are many big companies d --ual share class are the way companies have been looking to control their company. >> google was one of the first. what do you make of it his comments? this is a structure that is becoming more and more prominent in technology companies. >> a lot of technology companies like facebook and going back to google and zynga have been able to get away with this because there is so much demand for their stock at the time of the ipo. shareholders have been willing to say we will not have a vote or control but we cannot miss out on the opportunity. that is the only way a company can get away with this is if they have the leverage. it depends on wh

the rest is alibaba. i'll wait to see the alibaba ipo and exit there.molus, boutique investment bank, laura? >> priced at 25, as you can see trading at 26.34. this is the first investment bank ipo since the financial crisis. i took a look at the peers. moelis, green hill, they are all up today. stuart: investors like what janet yellen had to say. arguably the most powerful person in the world. larry, she's about to take questions. are you getting excited and think it might move the market? >> i don't think she'll say anything too crazy. maybe a little move. the biggest thing to make the market move is keeping banks more capitalized than they are now, that will hurt the banks and the financials. that's what i would watch for the most if you are looking for a knee-jerk ration now. stuart: you are an ardent fed watcher? >> she is careful in her answers, we know what happened last time when she overspoke, if you will. it will be ardent in terms of q&a. stuart: there you go, a nonevent. liz, shouldn't you get research done? >> so i can continue to make you l

people don't believe in alibaba ipo.o $200 billion which puts the stock closer to 42 bucks. that's the way my math works. >> better display advertising growth, too. >> checking on google shares. josh monitoring the call. >> google missing on the bottom and the top. on the conference call executives fielding question from analysts about cpcs, costs per click. advertisers don't want to bid as much. google executives confident that will change. take a listen. >> i believe in the medium to long term mobile pricing has to be better than desk top pricing. the way to think about it is in mobile you have location and contact of individuals which you don't have on the desk top. the more you know about the user and their contacts, the more effective advertising you can provide them. >> google executives are listening. you will see this convergence at least in the medium to long term. back to you. >> let's go straight back to collin who has been on the call. collin, in terms of the medium to long term that he was talking about, wha

if we see that, alibaba is never coming that way. i don't get it.er what's going on here in the last few months i don't know why people are cavalier with that sort of attitude. >> if you look at the price actually, it's not being priced as if it's a guaranteed ipo. i mean, the market cap forr ya o yahoo -- there is a significant discount. the market is discounting that there's some risk between now and september when alibaba should price that there's some risk the tech market -- >> i think the market is discounting their core business and they're not discounting alibaba. that's my view. >> last word, alibaba has so many minority station in so many companies that are not being priced. if we look at the actual finances -- >> we haven't looked at them. you're going to take all the investments in private chinese companies. >> yes. >> let's do that. >> we'll break it down for you, guy. >> we'll see you then, sam. coming up next, what the latest tensions out of ukraine and russia mean for the oil trade. dennis weighs in and gives us his take on the market

alibaba goes on investment spree as we await the record-setting ipo filing. a check of your bloomberg top headlines. closing arguments are set for the apple samsung patent trial. they have applied him or darrell basham more narrow application. at&t is planning to bring 4g marlys access to flights. they could start this as soon as next year. dividershares of wi-fi plunging in after-hours. drivingays the self cars logged nearly 700,000 autonomous miles. google has been testing the cars around the hometown of mountain view, to improve their ability weeks after the disclosure of the heartbleed glitch, there is another major glitch. this affects about 25% of browsers out there, looking at versions six through 11, although the most recent ones are mainly being hurt. the way it works, it gives the hacker the same level of access as the official user. people that still have microsoft xp, windows xp, are particularly troubled in this case. cory johnson, microsoft stopped providing security patches for xp, so those 3 million machines have nothing to do. >> we know the

and alibaba shares in the u.s.. we have tencent in the mix as well. would you buy alibaba? in principle? >> no. i am worried about the corporate governance issues. the fact that they would not go into all come because of the control issue. that concerns -- concerns me a lot. i would by other internet stocks in china. for example, we do have tencent in our portfolios. will a big field and china be more and more techno-oriented, more internet-oriented. internet shopping is a global phenomenon and it is growing fast. >> alibaba was one of those. >> alibaba is one of the greatest ones. but corporate governance is an issue. >> what about frontier markets? what do you like? >> we are very big on nigeria. nigeria is growing at a very fast paced. -- fast pace. >> you have like kenya and nigeria for a while. >> yes. vietnam is a very good value but liquidity is not very good. but most important of all is the middle east. you have said he arrayed you with lots of well-run mps, very cheap. well-run companies, very cheap. and dubai. >> that is not a frontier market as such. >> during t

some say alibaba is the only true value at yahoo! and you take it out of the mix and what do they have? i would leadnow if with that exactly. i think it is fair to say you are right. alibaba has been the driver of that stock train for the last couple of years. we continue to expect that to be the case. also consider that they have a substantial stake in yahoo! japan, which is a market leader as well. last but not least, we think that people are assuming that yahoo! in terms of the u.s. business and international reach are going to continue to decline. that might be the case. tomarissa mayer's is able stabilize and improve metrics and operations, there is an opportunity. the company has a tremendous amount of allen's sheet flexibility. there are a lot of options for yahoo! at this point. need to leave you there. do you think marissa mayer has the ability to do that as a ceo? >> so far it is really too early to tell. a lot of people have been penalizing her because we have not seen the turn yet. she said from the get go that it will ta

alibaba may go public in the next few days.sales numbers will be out there out the week. >> i want to break it all down. we are bringing on an expert panelist. he is a former board member at yahoo! and ceo of the huffington post. he is a think tank for digital innovation. a senior economist at banc of america, merrill lynch. i want to break down across the board. what is your take? >> it goes out of business. i do not think you fight the $60 billion broadcast industry. i think it will get slapped out of business. >> the fact is the airways were granted to the broadcasting networks in exchange for free television for everybody. what they are doing at ariel is just capturing the free televisions and bundling it for you. i hope it does not go out of business. i think people want to be free of their cable boxes. courttt think the supreme will shut it down. you make it sound as if you think they have a fighting chance. >> i do think. a lot of it is political. there was an act of congress that said if you want to use public airwaves

>> i'll be looking for the alibaba ipo filing. >> you'll see when they're going to go public?s. >> that will help financial services. ed rowlands? >> i'm watching the sangs that are coming out quickly on russia and what kind of a backlash there is on that front and whether the eu takes in the ukraine. >> you think sanctions will be deeper? >> i think they'll be much deeper. >> my one thing for next week, apple. apple is reporting earnings on wednesday. depending on who those numbers show will impact software, hardware, the pc sector. it will have an impact beyond just apple. happy easter, everybody. that will do it for "sunday morning futures." i want to thank my panel for being with me. i'm maria bartiromo. "mediabuzz" with howard kurtz begins right now. have a great easter. >>> on the buzz meeter this sunday, the finger pointing is getting ugly. conservative commentators accusing barack obama and eric holder of exploiting race to their advantage. >> but to those two men, race has been a shield and a sword that they've used effectively to defend themselves and to attack other

>> is it going to impact alibaba? they have filed for ipos. bloomberg news, joining us now from new york, what is your sense? is the selloff going to continue? >> it depends on what investors are thinking in terms of these ipos. in terms of what it will do to impact the market. the nasdaq was skyrocketing. investors were looking to the ipos as a way to outperform. now they are going to be pickier about what ipos they will invest in. >> i wonder about these giant ipos that are out there. there is this huge sound of ali baba coming down the market. i wonder if that can get done in a week market. >> we reported that alibaba can file as soon as this month. we could expect to see their initial filing. they most likely will wait before pricing. they do accord themselves some time to allow markets to recover. it could be beneficial, aside from pricing which may be difficult. it could help them in terms of beating first-quarter earnings. and then, rising from there in terms of stock price. >> how likely is it for companies to change their timeline, th

you also have to look at what alibaba is doing.king all kinds of little investments in messaging, in video-type aps, that sort of create this ecosystem for them. even though they're not outright acquiring the companies, they're getting lots of data about what users are doing, and in, prospective ways of driving payments, driving audience. maybe ebay needs to do something like that. it might not even be specific to their core business, but something that adds and gives them information about where they should move next. >> i think that's a very good point that jon makes. if you look at what alibaba announced the other day, taking in investment in the youtube of china, you could very much see ebay doing something like jon said, not in the core, but in terms of the expansiveness of the audience. >> i know you put the question to donohoe about the threat of alibaba, especially as it raises a bunch of capital. he seemed to dismiss it while recognizing it as a good company. we'll see what happens when alibaba goes public. jon, good stuff

it's all alibaba, right? >> it's completely alibaba at this point in terms of looking in the rear view of the appreciation of the stock. it's a pretty valuable asset. >> in terms of what they're doing at yahoo! because at some point this thing has to be valued on a stand alone basis for what they're actually doing. you think it's going to turn or not? >> i think it's going to turn. i think we're seeing the signs. one thing that's incredible if you visit yahoo! campus, there's energy and enthusiasm. it's not been like that for a decade. that's a prerequisite for a turnaround. that doesn't guarantee anything. they have a sticky audience. it's held on to users for incredibly well. now you're starting to see a turn in traffic. the early signs are there but we have to get through this alibaba liquidity event which is very material. i think there's still upside there. >> do you understand the strategy of getting into the entertainment business? it almost feels like going back to the terry -- days. >> i think there'

but again, alibaba may price monday.body wants to know whether it'll be the nasdaq or the new york stock exchange. charlie gasparino guessing it's the nyse for a whole bunch of investment bank reasons, but we'll be watching that. and as jo ling mentioned, jd.com, that's a win for the nasdaq. that's another chinese internet ipo. boy, this sounds familiar. 1999, right? stocks fighting to stay on track for a positive week. okay, so it's been, you know, fluctuation nation when you talk about the dow jones industrials today. we're back in green territory but, again, trying to fight for a positive week overall. morgan stanley and goldman sachs, the latest big financial names to report earnings. morgan stanley shares moving higher about 3%, goldman sachs a little more tempered, both of them had pretty interesting strengths. goldman's stock fell quarterly profits at least about 11% partly on fixed income. charlie gasparino warned you about that months ago, but earnings were still better than expected. want to bring in the trader

great research and thoughts here on alibaba.se the key thing is, when they list, how much of a competitive threat do they become to everybody else in their space back in the united states? >> it's interesting to look at history. ebay was dominant in the online auction space in china in 2003, 2004. but alibaba group successfully entered the market and became the dominant player five years later. i think they are very competent at what they do. that was seen by taking on ebay. i think they could take on ebay in the states. they are gaining ground on amazon in china with their team product. they could take on amazon back here in the states as well. >> yes. and what's -- that's interesting that they might also take on amazon in the united states. what is the experience of customers using alibaba's businesses? >> we've seen the survey of 450,000 online customers, chinese customers. and their view is that chowbow, two of alibaba's companies are the best for customer service in china and beating rivals like walmart, like amazon and lik

it gets unfairly pinned on great and they like alibaba, have to overcome that., you have asked about the last few weeks in china about the governance changes that are going on. it is making chinese domestic companies or transparent, more reformed, and i think this will deal with that stigma, as well. to my point about the retail investor in the u.s. feeling a little more, able, it is because they feel there is that transparency, and there are iose regulations, and when company is traded here, you have that peace of mind, whereas it is different overseas, but interesting conversation. we are going to keep talking about china. you are not going anywhere. thank you. stephen roach is sticking with me. the u.s. and the eu have levied a new set of sanctions on tin going toow is pu respond? and coming up, going on a road trip. the reason? taxes. we have that on "street smart" next. ♪ intoday, the u.s. conjunction with the eu to impose more sanctions on those related to vladimir putin's inner circle, so what does this mean for the crisis in ukraine? guess joins me along

were it not for alibaba, right? >> absolutely.1999, 2000, selling it 50 times earning. now it is trailing earnings around 32, 23. you had the many bubbles, but they were very limited and they seem to be corrected. >> i do not want to pin you down on individual stocks, but twitter and facebook? >> internet stocks are in a process of going through the same kind of transition that took place 15 years ago from concept to cash flow. like google, they generate a cash flow that validates the price, then you will see a more stable base. in the meantime, they are highly volatile. >> why is the transition from concept to cash flow happening faster now than it did in 2000? tweaks it happened pretty fast between 1999 and 2000, the all-time peak of the nasdaq was just right about now, the first week of april, 2000. within 12 months, the $6 trillion of wealth that john doerr used to talk about that had been legally created, was all gone. >> william janeway is with us. cannot say enough about this. bill bradley in new jersey loves it. mr. janewa

if you look at the earnings for alibaba was fantastic. what's happening with our internet stocks is what's starting to happen over there. i go back to some of the names. ten cent and buy you are two of this most important companies in the world. 30 times growth at 28 to 30 times earnings is as good as you're going to get. i like baidu here. >> coming up, move over ebay our traders are fired up over ama n amazon. spending concerns have pete worried. it is the street fight after the break. plus we have got the latest from the twitter's conference call. the shares are down more than 10% in the after-hour session. could it cross into the $37 range? we'll see. >>> let's go to dom with noodles and company. >> noodles earning 5 cents a share. this on sales of $90 million. light of expectations. noodles shares down about 7% on failure light volume. just about 11.5,000 shares have traded. back over to you. >> thanks, dom. brian, do you have a trade on this? >> not really. actually i think -- this is a tough one. you can only trade it technically i

he made interesting moves a vers rivaling alibaba.messaging service area some people are saying, it is not just alibaba but all of them are trying to break in to the new markets and are all looking very similar. gotes, they have always $.50. when i was reading the filing, it struck me the social media trends in china are very similar to the trends we see in the u.s.. it struck me reading that perspective that this is not just a fat social media. interest people all over the world in similar ways and appeals to methodologies and communication connection that seems universal. >> thank you so much. great to see you this morning. we will be back in two minutes. ♪ lex i want to bring in dixon again. we talked over the years about how much we invested early in the tech companies. you must be last -- laughing at how we're discovering alibaba. these are very vibrant tech startup culture in china. how is that playing into your own investment? they have already from china,panies public in the united states over 7, 8, 9 years, that is an incredi

alibaba, that's how they're valuing yahoo's stake in it. i believe you're going to see higher prices for yahoo the closer we get to alalibaba. >> twitter, they beat last time. they beat on the top line. what they didn't do is they didn't have any growth. that's the one area you said investors are going to look at. i think the stock is going to get flushed. i don't think it -- remember facebook went down 50% from its ipo. twitter is still up 50% from its ipo price. it's probably a buy in the mid to low 30s. i wouldn't short the stock. >> would you think about twitter? >> well, it's not the kind of stock that we typically buy. i'm sitting in karen's chair. in her honor i'll talk about value weighs. i think things in this market are oversold. when the alibaba thing comes outs and does trade through the $200 billion market, these stocks will gravitate up side of it. >> and i think dan looks good tonight. >> what? not that i disagree. just surprised you unleashed that one. actually truth be known, i disagree. any way, pete is looking at hilton.

particularly if they lose the alibaba, there we go, the ndaq. think bob greifeld's going to be -- liz: is that on your report again? you're amazing. >> i don't know, could be. liz: did you tweet it? >> i tweeted it. [laughter] but in any event, he does have an issue if he goes out and does these acquisitions when he's brought leverage down and he doesn't do a buyback. so this is a very situation. bob greifeld isn't going anywhere, he reuped his contract. the board likes him. but, man, got an issue on his hands if he doesn't do a buyback and instead goes the route that he's pursuing right now. unless i hear something different, he's out there pursuing acquisitions of a smaller -- we're not talking about transformational. who knows, that might happen as well. the new york stock exchange, as you know, did a transformational acquisition or merger when it sold itself, essentially, to the intercontinental exchange. it's always in the potential for these, but when we understand he's looking to buy -- liz: he's a survivor, don't you think? >> oh, yeah.

that is what amazon has said on the street. >> look at alibaba, they are actually making money. >> alibabaittle bit of a different plan. one of their businesses is more advertising driven. it is a high margin business. >> you have been pointing out over the last few months that the p/e ratios are insane on some of these stocks. so, if you are running a tech company, even if it is a big retailer, why not take advantage of the insanity and do this kind of thing, ramp up your growth while you can, spend some of that margin while you can? they will be suckers anyway. >> why not. amazon'sas been strategy from the get go. is one thatder base is pretty comparable with bezos and his ability to invest in capital. >> pandora is coming up below estimates. the company says in the second quarter that the earnings per quarter will be breaking near three cents. listener hours when up during the quarter, 12%. about 4.8 billion altogether. >> we are talking about the streaming businesses. they are trying to create more content. it can benk successful? >> it absolutely can't. it is all about programming. >>

i am not sure it'll necessarily transferred to alibaba.very wise to pay close attention to a valuation what you are actually paying or. alibaba has a good reputation in china. it is very interesting. on the whole, my feeling is that stocks and china are probably something to avoid. >> thank you for being here. you ever think you would see the day that you could bring a gun to school? now you can. in georgia. we are to talk about that, the gun debate on "street smart" next. ♪ >> it was a tough quarter for foreign shares. here and blame% warranty expenses and of course a bad winter. matt miller is here to break it down. >> i scoffed at first. ien all blame bad winters always think it is supposed to snow in december and february. costsd what the actual were. i thought they meant people were not going into dealerships because of the snow. it fouled up their transportation system. the truck i bought was three weeks late because of the bad weather. it did have a financial effect to the tune of about $200 million. a bigger problem was the warrant

alibaba's numbers are out here, and looking pretty good. -- what they great, and they are the reason why so many analysts told you what is yahoo! with of it is worth the 24% stake alibaba. it more than doubled in the final quarter of the year. revenue cover the previous quarter was up 51%, and this past quarter up 66%. that is great news for yahoo!. >> what happens when ali baba is not there to have out? >> that rings up the question of what is the company worth. we are expecting that ipo soon according to a bloomberg survey of analysts rate the latest valuation was an average of estimates of what the valuation could be is $153 billion. bloomberg has learned that they made salvageable percent stake alibaba, but if they've own 24% and they're making this much money this is very good news. >> thank you so much. before you take out the may issue of cosmopolitan, you might what you find out i what the editors has about one and succeeding in business. ♪ white houselection is calling attention to the inequities in gender a of the gaps/ . while th

there are margins at alibaba that are huge, and amazon is half of that. company that $20 billion in sales in 13 weeks of the last quarter. amazing that they do this with virtually no profit, but there goal is to conquer categories. it will take some time to do it. >> i think i know a lot of believe they will be company to had a chilling dollar valuation just because of this diversity and all of these different games that they play. >> the market is incredible multiple base. what that shows me that they really do have their controls on the dials. they can turn it up a little bit to show a little reef cash flow if they want. can they ever throw up a lot of rough -- profit. if they were to raise prices, could they do that? , becauseems to care they seem to be delivered on that top line. >> as long as they keep finding new market segments that have synergy with what they already doing, they can continue to play this game quite successfully. chaset about the whole for premium online content? amazon is added, apple, hulu, netflix, there is news out this morning