we'll discuss crowdstrike's key findings. and our in-depth report: a rare heart illness that can form in the last month of pregnancy. those stories and more right after our news headlines. ♪ ♪ fatal misjudgment. the israeli military officially concludes it failed to recognize the hamas threat prior to october 7th. in the 19-page summary released today, the idf concludes it underestimated the terrorist group's capabilities and was wholly unprepared for the surprise attack. bigger than texas. measles cases are confirmed in kentucky and new jersey. the three cases in new jersey are in unvaccinated patients. officials say there is no evidence those cases are connected to the texas outbreak which has resulted in the first u.s. death in nearly ten years. hollywood everyman actor gene hackman has died. spanning four decades, the two-time oscar-winner brought villains and heroes to life on the silver screen. the 95-year-old was found in his new mexico home along with the remains of his wife and pet dog. ♪ ♪ we begin this evening with

crowdstrike down by 4% now. that is jake clayburgh. coming up, coinbase says the sec will drop its lawsuit against the company. that had shares rallying. like many stocks in the market, they have given of the gains and are lower on the session. this is bloomberg. ♪ ♪♪ well would you look at that? jerry, you've got to see this. i've seen it. trust me, after 15 walks, it gets a little old. ugh. i really should be retired by now. wish i'd invested when i had the chance... to the moon! unbelievable. stop waiting. start investing. e*trade ® from morgan stanley. vonnie: this is bloomberg markets. time for the stock of the hour. looking at coinbase. shares jumped early but are now lower along with the rest of the market after the company said the sec was likely to drop its lawsuit that had accused coinbase of running an illegal exchange, among other accusations. we spoke with the sec commissioner hester pierce to discuss how she plans to change the regulatory approach to crypto. >> we put roadblock after roadblock up against people who are tr

something curious happened after crowdstrike closed it.t ultimately by the software subscription caroline: what is at stake? what does this mean for crowdstrike? what has the company said about the investigation thus far? jake: the company says they stand by their accounting of the deal and what is at stake for them is to dente -- scrutiny on transaction that came at the close of the quarter in 2023 and was big enough it could have made the difference between them meeting or falling short of market expectations on a key metric for that quarter. though, we should say, the company has not detailed just how it accounted for the deal. but they say they stand by what they did. caroline: u.s. crypto trading platform coinbase said that the sec agreed to drop its lawsuit that alleged it ran a legal exchange. all this pending commissioner approval. standing by with the corn-based chief legal officer. sonali: thank you for joining us on the heels of this news. it is a five to have been fighting for a while. now that you have the agreement what does

broadcom, crowdstrike, microsoft, these are things are is juggernauts. i know a lot of folks are waiting for waiting for dips. do you just buy them and keep buying them? is it a mistake waiting for the perfect moment? >> well, it's always a mistake the try to time the perfect moment. but look for opportunities. i think one we're probably going to buy in the next day or so is amd. amd just announced earnings just yesterday -- wednesday, and it was a little bit weak on the data center side. i think that's a near-term issue is. earnings and revenue were very good. that stock's really beat up. and what we saw was money flow actually coming into the stock during its selloff yesterday. so those are the type of signals where this is probably an opportunity. lots of negativity. money flows coming into the stock. professional investors are starting to buy it. that that's the type of stock to buy. we're looking for those same type of setups. we bought palin palantir on the -- palantir on the dip after they were down 20% p. those opportunities don't.com awe along o

i think you see a breakout in crowdstrike over the coming weeks to months. >> a breakout in crowdstrikebout hamilton, hamilton lane? we don't talk a lot about, but we're looking for possible winners amidst all of this. they're an investment management and management and advisory firm down 12% in recent months. why does this one also jump out to you? >> sure. well, this is part of our call. >> within the financial sector, specifically capital markets, more so than banks. i could have called out jp morgan or goldman sachs, but hamilton lane is tactical. it's down about 20% off its recent high. it's corrected right into the bullish slope of its 200 day average. what we see as a near-term opportunity to buy long term strength. there's a nice false breakdown there. you fell below that level. it came right back above it. that's a sign of selling fatigue. plus it was recently upgraded by the fundamental analyst that covers it at oppenheimer. you add it up. and i think hamilton hamilton lane is at a bullish point. >> another major name that we talk about every day i'm kidding is mueller or muel

and my question today is about crowdstrike. i recently trimmed half my position in palo alto networks, been in it for a couple of years, and used that profit to get into crowdstrike. but i'm wondering, because the palo alto networks has been in the doghouse for a while. >> palo. >> alto should be fine. yeah, there's a three analysts who downgraded it now in the aurora believe it. he's the ceo. he will tell you he's going to confound those haters. there's no way that guy is going to take sitting down. the three different guys took it to a sell that straight. how about this crowdstrike. i mean it burst out today. it's now past where it was when they had that outage. and i say george kurtz is the real deal. i want to go all the way down to james in texas. james. >> hey cramer a big hello from texas man. hey all the guys. that hashtag green room love your show. got a question regarding soundhound. is it a. meme stock or is it something more. >> and also are. >> you talking about this? i was talking about this with jeff marx today.

before joining crowdstrike, mr. myers was the director for cybersecurity intelligence at sra international. mr. mark montgomery. mr. mark montgomery serves as the senior director of the center on cyber and technology and innovation at the foundation of defense of democracies. mr. montgomery also directs csc 2.0, an initiative that works to implement the recommendations of the congressionally mandated cyberspace solarium commission, where he serves as an executive director. previously, mr. montgomery. he served as policy director for the senate armed services committee. he served in the united states navy for 32 years as a nuclear-trained surface warfare officer, retiring as a rear admiral in 2017. mr. brandon wells, mr. wells serves as vice president of cybersecurity strategy at centennial i. before his current role, mr. wells served as the acting executive director of cisa, where he supervised the agency's operations and spearheaded its long-term strategy development. mr. wells was also appointed senior response of

joining me now from crowdstrike is adam meyers.is the senior vice president of counter adversary operations, which sounds like i want to know a lot more about what you do. but, adam. china is a threat to government and industry. something that we've been talking a lot about for some time now. what's the new threat it poses? >> well, i think. >> you know, what we're seeing. >> is that they've really matured. one of the things that i think is terrifying is that china has been investing in their offensive capabilities for over two decades now, and they've achieved parity with many of the other big cyber players out there. they've matured how they conduct operations. and this is a global problem. every vertical, every geographic region that we track, we've seen an increase from chinese threat actors trying to collect intelligence. and more scary is that in some in some incidents, they're actually pre-positioning. they're trying to gain access to critical infrastructure, logistics and maritime systems that they could potentially use if

crowdstrike. vistra. a lot of the names we've been talking about every day, we continue to do so because they continue to fall. goldman's head of hedge fund coverage, tony pascarella, will be here in a little bit to tell us when he thinks the bleeding there might stop. all of this happening with nvidia's earnings on deck tomorrow in ot. that stock unusually weak into a print as questions swirl about sky high expectations and whether the company continue to meet them. the dean of valuation, aswath damodaran of nyu, will be here on set shortly to give us his take on that stock as well. it does take us to our talk of the tape. falling stocks, falling yields, rising concerns about the health of this bull market. for some answers let's bring in blackrock's rick rieder. he is cio of global fixed income, head of the global allocation team. and he is here with us at post nine. it's good to see you. >> welcome back. thanks for having me. >> is this what a growth scare looks like? >> so some of it i think you know

so last year when the cybersecurity company crowdstrike brought i.t. systems across the world, i was consolidated system was back online shortly after lunch while other states and businesses were in the dark for days and even weeks. in just 18 months our alignment and efficiency efforts have saved taxpayers $217 million already surpassing our initial projection for the first four years. so it's not surprising that i like to say we were doing doge before doge was a thing. and for to build on our success i'm launching our own state doge, to fight even greater savings and efficiencies in both state and local government. because to pass meaningful properly taxable melson need to be lean at the local level. i've asked emily schmidt general counsel to lead this effort. the trajectory of our state is not just impressive but inspiring. in just a few short years we've turned our state into a national model for bold get it done government, and we're not stopping. emily, thank you for sharing this. even the file is on the right path, 2024 had its fair share of ch

i think last time i was on about a two months ago, crowdstrike, we loved it. the stocks in the space because they all fit a different niche. this happens a to be a the most afracktive from the price standpoint, it hasn't had the big rally that that a crowdstrike the has. a.i. becomes more and more predominant, you're going to have smarter computers trying to steal your stuff at the corporate or personal level, cybersecurity's a safe play for us. cheryl: and they're going the need data centers, power, energy services, you also like ge vernova. is that because of the data center buildout that a we're looking at? >> ensign's actually more of a retirement plan. it's actually a smaller cap, mid-cap name. they're in the retirement and skilled nursing home business. cheryl: okay, yeah. >> aging of america, for us, is a big theme. we love that. we think if they live hoppinger, they're going the need these facilities, skilled rehab. ge ge vernova, they've got a good gas turbine business and exposure to nuclear. and i think nuclear seems to get bipartisan support. and y

it's the cyber names palo alto, crowdstrike, z scaler. yes. fortinet. they're all in the red today. tesla is down again today. that stock has been just a wreck to look at. you can blame a number of factors. yes there's uncertainty all over the market. which leads me to steve liesman because the fed's patrick harker is speaking as we speak, just as some steve are wondering where this economy is going. >> yeah, there are some questions out there, scott, especially with higher jobless claims today. but patrick harker, the outgoing philadelphia fed president, saying that inflation remains elevated and the progress towards bringing it down has slowed. he said it has taken us on a bit of a bumpy ride. the policy rate, however, he says, is restrictive enough to continue putting downward pressure on inflation. that tells you he's not in any hurry to change things either way. more on that in just a second. he goes on to say that outside factors are creating uncertainty, including changing policies in washington. and. but he won't be moved by one month's inflation report. he points out that j

crowdstrike. i expect zscaler to do well palo alto this week. broadcom that's a little more popular. but i think you're going to have a broadening out continue broadening out in tech. but then you're also having a broadening out in the overall market scott i mean if you look at the financials and health care and industrials and discretionary, they've all done actually better than technology. they xlk year to date. not to say that tech is dead. i just think there's other places to put your money. because the economy continues to be strong. and that leads to a good earnings across the board. and by the way i always touch on margins. we have seen a number of companies see operating margin expansion, and you pay for companies that have good top line but also margins that are expanding. that's how you get the operating leverage and a better and a higher stock price. >> i hear you, but on what wolfe is talking about, they're not. and no one i don't think is suggesting that, you know, tech's days are over. but if you want to assess whether it's best da

chairman chinese linked cyberattacking surged 150% last year, according to crowdstrike annual globalnancial services media manufacturing industrials from 200% to 300% mr. chairman house homeland security committee passed cyber, how is impacted how important is pushback on communist china? >> absolutely critical again comes back to willpower we have the capability, to, you know, stand up go on the -- events in cyberwe need to do it, it is time that we act and show, the chinese that we're not tolerateing the fact they are in our infrastructure better systems power systems invaded our telecom here in at that time at that time and verizon simms right now can turn them off if they wanted to. we believe. so imagine if russia or china put a charge against cell tower americans would be lived, blew up a tour china has able to do to do thookts of espionage, acts of war invading our telecoms our from your unacceptable, time we push back i agree with my former colleague, mike waltzes in administration time to go on offensive the issue with pivot act number one challenge the number of people trai

crowdstrike is one of those names that's got something for everyone. i know i have subscribers in it. it's a great stock except when it's not. [laughter] every now and then on earn, they do take a hit. is this a play on the cybersecurity name? >> as we expand our reach into a.i., we need to be protected. this is a company that's going to do double-digit earnings growth this year. these are names, it's not an inexpensive name, by the way, but it's the got tremendous growth potential. for this is a name you set it and forget it. charles: total energies, i don't know this one. >> this is a great name. they're in five continents. you know the pe ratio on the company is 7 -- charles: that what do they do? >> they make all types of oil and gas. they do use coal. coal, oil, nat gas, why like them, they're on five continents. what's the one thing you just hit on on your slide? energy, energy, energy. 4% dividend. great margin and with the growth of energy globally and domestically, this is a great way -- charles: i love learning new name, my man. phil, really

these themes are on ai, whether it's security and crowdstrike or cloudflare.but when you start to look at this market cap, it's the market cap of palantir is the combination of adobe and snowflake combined. i mean, it's again, we've never seen a multiple like this. and i can just give you history. when snowflake, datadog and others hit this multiple back during covid, they didn't hold that multiple. and it was not a good story. on the other side of this mountain, it was it was. they all imploded. they went from 50 times revenue to snowflake went to eight times revenue. so again, we're not seeing that happen short term. there's enough momentum and enough good, good goodness in the fundamentals that i think again you just we have to look at it both from the fundamentals a plus valuation. again nothing even remotely close to this valuation. >> yeah we've been making the same point brant and thanks for being here. and i'll say this. even if you give them add the $5 billion of cash they have and say they're going to do $5 billion of revenue, make that ten and then

. >> yeah we've got a crowdstrike puts out a report every year about the really the cyber threats.his one they talk about north koreans coming into companies actually posing as employees taking data. and it sounds very much like, as i said, george the manchurian candidate. they're masquerading as american employees. another big threat. god, this market is so bad since the tariff news. but anyway, i think crowdstrike is a i mentioned it because cyber is the one area that they can't seem to tax because there's nothing to tax. >> the north koreans. >> i think they were behind potentially. >> that huge crypto. >> oh, the $1.4 billion. >> yeah. they're masquerading as us. and be very careful if you're a company because for remote you don't know that the person is actually working for the north korean state, which is, i think, pretty horrible. but that's what they're doing. and tonight i've got bank of new york, a bit of a rebranding. and then martin marietta materials. they make rocks. i wonder if rocks could be terrifying. you can't tariff rocks from georgia to florida. no. >> not from

you like train a and e, quanta southern co, salesforce, crowdstrike, servicenow those kind of speak foral on the mag seven. so just wanted to get that in there i'll let you get back to it. it's always great to see you and thanks for joining us today. thank you steve. joining us from federated hermes. and still to come nike is the best performer on the dow today on the announcement. it's teaming up with kim kardashian and her shapewear for shapewear firm skims. they're going to create a new line of trading apparel called nike skims. piper sandler comparing this outside the box partnership to nike's bold signing of michael jordan over four decades ago, saying it marks the first time nike has ever teamed up with an outside company to launch a new brand. company to launch a new brand. the shares are up almost (vo) explore the world the viking way from the quiet comfort of elegant small ships with no children and no casinos. we actually have reinvented ocean voyages, designing all-inclusive experiences for the thinking person. viking - voted world's best by both travel + leisure and condé na

crowdstrike. there's just a lot of names that were in that group. >> got that huge boost through the fall. and i think now you're transitioning to i need to see the revenue come through. i need confidence the revenue is going to accelerate or grow. >> i mean, we just decided in ten minutes we needed to see that because, i mean, the stocks went straight up. no one had any problem. retail was piling in, believing in these stories. >> i thought it would have happened earlier in the year. but you haven't seen a hyper growth junk rally like the one we saw. other than the financial crisis recovery and the covid recovery as strong as what we saw last fall. so this was like the moves were huge. i mean, these stocks were up, palantir were up so much. so it's a combination of a little bit of fear about the growth, a little bit of profit taking and that like like you're talking about like the momentum and factor rotation that's so much money is run with. and then you know on the amazon point two i think some

of course, before you buy crowdstrike, after reading their threat assessment paper today, the one the one that says north koreans are infiltrating our workforce. we work from home programs this column style. you need to know that this cohort's been rolling over for the last couple of weeks. still, at least the software companies with no tariff exposure. and that's going to be very valuable for the next four years. i say buy them. healthcare is tough. lots of tariff immunity, but not a lot of immunity for rfk jr, the health and human services secretary. oh, and let's not forget doge, which is cutting its teeth. that's all it's doing on usaid and the consumer financial protection bureau. roll back. sorry. we know that medicare and medicaid could be next. they could potentially crush the stock. so pretty much everything in the group i don't know. let's how about intuitive surgical. we'll put that one on the buy list. retail. are you kidding me? we stopped making things in this country years ago as part of the bargain we have with mexico and china, where americans get cheap goods much che

when a stock goes up 40, 50, 60% like we saw with crowdstrike, we very quickly took some off. why?t to swing, but also because we think parabolic moves are moves that go down more quickly than they go up. you're making the right move. you're taking a little off. so if the stock drops big, you buy some back. that's your plan. trading around a position. you call it something we specialize in. now let's go to mark in my home state ofew jersey. who asked is tesla falling knife or spacex rocket ready to take off? it is neither. tesla is a fantastic tech company. we know there are people who are beginning to say, wait a second. i see musk's doing a lot of things. maybe he's not focused on on tesla. here's what he's focused on making money in all his ventures and then saving money. when it comes to the government, i have no problem with what he's doing. i would say this though. evs right now aren't selling well around the world. it is in the short term. a car company? longer term a tech company. put a small position on and then see if it comes down. no more than that. next up, irvine, cal

some of the other big losers in tech crowdstrike, arm holdings and trade desk all down around 10% for the week after today's sell off. software stocks as a whole are down on average by 2 to 3% this week as investors count down to salesforce earnings. ceo marc benioff expected to provide an update on just how much money fox is bringing in. that crm report comes in on wednesday. intel actually a winner for the week. scott on a report that it may split may partner with tsmc and broadcom. so shares are outperforming this week. elsewhere big tech just a larger cap. names that hold up better than the pack. apple mostly flat for the week and in focus today after removing its advanced data protection feature in the u.k, names like nvidia keeping weekly losses to a minimum around 2.5% ahead of earnings wednesday. investors will be looking to ceo jensen wong for commentary on the supply of its latest chip, the impact of tariff tariffs and, of course, any fallout from last week's last month's deep sea news. hard to believe it was a month ago, scott. >> yeah. no, it perfect set up for us. seema.

we all remember what happened with crowdstrike earlier this year. right?impacted -- i don't know, it was probably in the billions, the global economic impact. that single point of failure that all of these companies -- alta, i don't know how many flights were shut down -- that is important as well, to minimize single points of failure. i heard diego talked before about the gap in the demand-side and we have to execute our plan. but designing these systems, especially smart cities, right? because you do not want to there and single points of failure because the impact is much higher. i think spending some time to minimize single points of failure is as pertinent, and i would add, on the capacity building, i was in sao paulo talking to friends, and sao paulo has become a very big digital city. very interoperable, but they have a lot going on there. a couple of my friends are very -- i don't want to say upset, but they are disappointed with the communication that exists between the government and citizens. the need for redress mechanisms and grievances mechan

but now that the market cap is over 200 billion, you look at a company like crowdstrike where. >> halfhalf or less than half. the market cap is growing mid 20s to 30%. and has has good margins. and you don't have to pay. you can pay a fraction of the multiple. so i guess my point is it's okay to own a piece of this. but my point. is we think there's higher conviction stories. where i sleep at night not worrying about where the multiple is at. and ultimately everyone's painting this big tam picture. look, if we did this across the rest of software and anyone in ai we like, we'd have multiples that are unsustainable for the industry. and so again, i think we saw snowflake get to 50 times revenue. we saw datadog get to these multiples and those multiples ultimately corrected. and they went from 50. to less than ten. and so again, i think that growth isn't going to slow in the short term. but again, i think investors are acting like this is a company that's growing 50% on. the top line. they're growing 30 and they got it to 30. and maybe they can accelerate that growth this year. and so we

when that cyberattack hit with crowdstrike, because we had all of our i.t. in one agency, we were able to get the state of iowa back up and going shortly after lunch, and some states were out for weeks. we are more responsive, more effective, we are serving citizens better. not only are we returning taxpayer dollars to our citizens and continuing to reduce the tax burden on them, but we are also utilizing those dollars in a better manner, reducing administrative cost. when you had federal in ministry of cost and three different agencies you were running through, each of them are taking costs off of the top. by consolidating and realigning, that puts that money back into the programs, back into serving iowans. it also gives me the visibility that i have, into the various agencies because of the reduction. we can continue to get better and we are continuing to make changes. a lot of those are coming directly from the cabinet. rep. foxx: let me follow-up. given your success for reorganization, what advice do you have for the trump administration to reduce the c

when that cyberattack hit with crowdstrike, because we had all of our i.t. in one agency, we were able to get the state of iowa back up and going shortly after lunch, and some states were out for weeks. we are more responsive, more effective, we are serving citizens better. not only are we returning taxpayer dollars to our citizens and continuing to reduce the tax burden on them, but we are also utilizing those dollars in a better manner, reducing administrative cost. when you had federal in ministry of cost and three different agencies you were running through, each of them are taking costs off of the top. by consolidating and realigning, that puts that money back into the programs, back into serving iowans. it also gives me the visibility that i have, into the various agencies because of the reduction. we can continue to get better and we are continuing to make changes. a lot of those are coming directly from the cabinet. rep. foxx: let me follow-up. given your success for reorganization, what advice do you have for the trump administration to reduce the c