we had inventory issues with estee lauder.names in that entity, this i think is primed for success. charles: you know what i love, these are two titans of american business. if you read her story i think it is more compel than disney's. great stuff, appreciate it f you're ready to run let me know. thanks, nicole. my takeaway on this air quality plaguing the east coast. i will have a little fun wit. we'll be right back. ♪. [ applause ] the day you get your clearchoice dental implants changes your struggle with missing teeth forever. it changes how you eat, how you feel, and how you enjoy life. it changes your smile and how others smile at you. clearchoice network doctors have changed over 100,000 lives with dental implants, and they can change yours, too. because a clearchoice day changes every day. schedule a free consultation. chevy silverado factory-lifted trucks. where will they take you? with the capability of a 2-inch lift. ♪ the versatility of the available multi-flex tailgate. ♪ and the connection of a 13.4” diagonal to

estÉe lauder. lauren: it is not mac? stuart: who? lauren: i am going to get the proof militarily.t: you can't win. biden's health secretary defended his decision to mask up 2-year-olds during the pandemic. watch this. >> forcing two-year-olds to wear masks save lives? >> making sure people were masked when it was appropriate was essential to make sure we could get out of this pandemic. stuart: doesn't this contradict the science? we are all over this. senator jack grassley says burisma had millions of dollars, 17 recordings proving the supposed transactions. we have the details. donald trump slams the justice department and president biden after entering a not guilty plea in federal court but the white house is staying silent. the latest on trump's classified documents case. ♪ ♪ ♪ ♪ every day, businesses everywhere are asking. is it possible? with comcast business...it is. is it possible to help keep our online platform safe from cyberthreats? so we can better protect our customer data? absolutely. can we provide health care virtually anywhere? we can help with that. is it possibl

estee lauder was downgraded because of muted growth in the united states. shares are 3 1/2% lower. estee lauder down 27% compared to competitors and elf beauty 89% higher let's switch to another company. morgan stanley downgraded dollar general after they reported disappointed earnings. you can see the drop in the stock. it's selling off 4 1/2% trading at 158 scott? >> kristina, thank you kristina partsinevelos >>> we're just getting started up next, what's next for tech? nasdaq up more than 25% this year what might it mean for the broader market you're watching "closing bell" on cnbc. starting a new chapter can be the most thrilling thing in the world. there's an abundance of reasons to get started. how far we take an idea is a question of willpower. because progress... is a matter of character. bell" live from apple worldwide developer conference in cupertino, california. the nasdaq tracking for its best half since 1991 thanks to explosive gains in nvidia. let's bring in adam parker adam, good to see you. sorry you're not here. >> good to see you. >> great to have you on. let's t

has 30% ex-pocher in china estee lauder has been a dog. you can buy this one at a good price >> one of the most surprising qu quarters was telling with china. jason, how would you describe your investment approach to china? >> we're looking at the macro and the mike rowe. -- micro >> so tell me where your -- what are you doing in terms of china, are you bullish, bearish what is your take with what is going on with the economy here >> so we're contrarian value investor for us, china is a particularly interesting opportunity right now. it is disappointing expectations there is sort of scary political optics risk, and what better time to buy than when there is a lot of risk, and the risk premium is how we overcompensate for the optics we're not surprised by the fact that the numbers are softer than expectations, but it's still a fairly good number in terms of growth right now, all eyes are on what beijing is going to do so soft numbers are good news. that forces beijing's hand it's got to roll out the much anticipated fiscal stimulus, the big

. >> i've been loving the luxury sector, and one thick i -- pick i have is estee lauder. a growing industry. beauty sales in general have been climbing about % per year -- 4% a year and is expected to go as high as 6%. as companies are more strict about the return the work, i think you're going to see people spending a bit more on cosmetics. jack: i'll be honest, you learn from carlton. ben, you have a different sector. >> mine's not a fun stock, it's a chemical company, and it does industrial gases. the stock's up -- >> you said not fun though. [laughter] >> and it's up 29% year, but it's been going sideways for the past month, and it really does look like it's breaking out again, it's actually pretty cheap, below its 16.9 times average and well below the s&p 500. still looking pretty interesting. jack: and who doesn't love industrial gases, you know? all right. thanks, ben, carlton and jack. check out this week's edition at barron's.com. don't forget to follow us on twitter @barron's online. we'll see you next week on "barron's roundtable". ♪ [laughter] pete: you got it

estee lauder, steph, upgraded to a buy, what's your take here >> it's been a terrible stock. >> 25% downto date >> terrible quarter last quarter. they've missed the last three quarters and guided down lot has to do with supply chain issues, china beginning to reopen and travel retail down 43%. >> how much bad news do you feel absorbing? >> i think they will get it right. you have to get this china thing fixed. it's about 30% of total revenue and is a big growth driver i still like it. frustrated for sure but i think numbers have come down and sentiment has come down enough it's an easy hurdle to get over. >> tjx is bessed position, overweight 96 bucks is the price target >> they will benefit from trade down and will benefit from a recovery in new home sales which are high and benefit from the excess inventory i still like it. not cheap but i like it for the long term. >> dollar general on the focus list as a growth idea. target 187 overweight is the rating >> smart man to have removed it now putting it back on, i hope he's right it's something that is one of the seven consumer staple nam

demand for services, travel, luxury goods, but now we think about normalized purchases, nike, estee lauder, it has been clobbered. but the brands and that it holds has potential. if we think about industrials, we have credit issues in the u.s., but we have demand. when we look abroad, and we create more demand, that is where you see the resurgence in industrials where we might slow down here but you pick that up incrementally and see a narrative where, if we look through the higher for a story and think about liquidity and growth expectations globally, i think you can paint a strong picture for a bull case scenario even with headwinds. i am cautiously optimistic, although it might sound more than that. shery: given the potential from china, lots of investors are afraid of missing out. thank you so much for joining us. senior vice president and financial advisor. let's get over to vonnie quinn with the first word headlines. >> u.s. secretary of state antony blinken is said to be visiting china for talks with top officials. sources say the discussions could include the president as the u.s.

. >> how do you explain why estee lauder hasn't done well, which is as high end as you can talk abouthat are within that realm i'm spacing on the name. versace and michael kors what's up with that? >> i think what you have again, if you look at trends on a four-year basis, look at the chase credit card data, it's been resilient that's the underlying trend. on a one-year basis as you look at retail sales you've seen moderation those in my opinion are tied to the normalizing headwinds versus tailwinds and the wallet share analysis that we published earlier this week that points to the low water mark being the first quarter of this year second quarter comparisons ease. the tailwinds outweigh the headwinds. >> you have an overweight on capri. you're not concerned enough to think about your rating or esti estimates? >> i think the hand bag and accessory space you have top-line growth of midsingle digits for tapestry and capri, as you think about the consumer backdrop it's conducive for discretionary purchasing >> student loan resumption, the payment resumption, just as back to school is go

i've got an upgrade of estee lauder >> i was going to mention that with your dollar general >> estee my travel trust it's been a disaster >> their number goes to $243 >> says maybe he has something up his sleeve. this has been hurt by china. the last numbers were all terrible duty-free is a big outlet for him, and the numbers were terrible maybe he can make a comeback here >> by the way, jim, speaking of china, blinken is now officially going to both beijing and the uk and state today expects a series of visits with china in both directions in the period ahead officials have expressed desire to stop the downward spiral in the u.s.-china relationship. >> well, china -- they're going to do an effective stimulus package. they're going to have to entice american companies to build there. >> i think first, you just want to stabilize things in some way. >> you want? why? >> because, as much as i know you discuss this, decoupling completely from china and/or real hostility would not be good >> we just need -- >> it would not be good. >> we need a division of troops on taiwan. >> oh, really?

. >> price target goes from 125 from 105 >> steph, let's talk estee lauder they are moving to the sidelineslling, less favorable risk reward scenario as well as they trimmed their forecast what is going on with this story? >> well, it's a show-me story. they missed and guided lower for the last three quarters, so something obviously is not running well its execution, which is surprising for this management team, but i think it's also supply chains that are still hurting them, specifically in travel retail and in china and the reopening. i don't blame this analyst for lowering the rating and i think it's dead money in the growth term, so i will stick with it but i understand why they did it >> yeah, stock is down 25% year to date. has not been a great story at all. >>> up next, we check in at the new york stock exchange with mike santoli we will get his midday word. we're back right afterhi ts. our heritage is ingrained in our skin. and even when we metamorphosize into our new evolved form, we carry that spirit with us. because you can take alfa romeo out of italy. but you best believe, you

if we're talking about a company like estee lauder, it's critical a company like p&g, company like colgate. it's a big enough number that matters. i haven't heard that statistic, but i would echo what we see in the results. the recovery in china has been slower than expected the real strength we're seeing in emerging markets is really in latin america where we're not only seeing it, but the underlying consumer demand is going to continueto be healthy that's natural that they extended their geographical footprint south. they'll have a lot more exposure there than they do china >> jason english, good to see you on this ens. with thank you. >> thank you. >>> let's get a look at some of the top stories this morning silvana henao, good to see you. >> good to see you the eu is expecting to take fresh action against china's wowway officials are weighing a mandatory ban on member states using companies that might pose a security risk in their 5g network including huawei it stems from certain international numbers drawing out, taking steps. reddit becoming the latest company to trim head count the

. >> that's why you're holding on to stocks like estee lauder, i guess. >> yes. >> where's it been where is that consumer >> just started. they just re-opened a month and a half ago they were wearing masks two months ago you have to give it some time. the service component in the pmis have actually been better than expected. way into expansionary mode. >> josh, real quick. sorry, steph. >> steph, doesn't nike have a fashion problem? it's kind of out the resale markets are drying up that's a canary in the coal mine, the brand is not hot they've been overrelying on jordans and have an inventory glut discounting sneakers that they can't get rid of like -- that's not turning around this summer >> nike total revenues grew 19% last quarter every geography grew double digits, digital and dtc grew in the 20s, so, no, they don't have a growth problem and i don't think they have a product problem either they have a 78% market share in sneakers, so i think that they have a great pipeline, great technology >> the stock down 19% in a month. >> and that's because a lot of the china concerns too, right

david, estee lauder, the names go on and on and on.ering the big beef that everyone has is that the market's gone too far, too fast. these are names that are sill below the october high. -- still below the october high. >> a lot of them. actually coming into yesterday the spread between the best performing sector and the worst performing was over 40%. maybe the collapse of of that is going to the start to take hold. we bought some of those names this week. bought tesla on wednesday, united health on wednesday, so a lot of those names have made it into our portfolio. but that doesn't mean you have to sell what's working. don't do that, that's a big mistake. charles: essentially, put new money to work. >> put new money to work. if you have something in your portfolio that's is still not working and the fundamentals have changed, just get out of it. charles: that's big question though, a lot of folks don't know when the fundamentals have changed. let's just say you're relatively new to the market. let's say you came in three years ago. th

. >> right >> i think that's important, and it's important for names like estee lauder and some of theury makers that benefit from travel. >> we started the year with forecasts for 7% growth this year obviously, that's been pulled back into the 5s last night, manufacturing pmi in china, three months of contraction at 49. that's a june number services was above 50, but slowed again to 53.2, and the pdoc reiterating that the demand is not sufficient for growth, so the market will be on the lookout for whatever stimulus they're going to come up with. >> is it going to be enough? is it going to be the right stimulus to address what the problems are you know, some people were talking about this study that came out in lancet, the medical journal, back in 2020, looking at the psychological impact of covid in china, and it wasn't good you know, these kids were out of school for a lot longer than the u.s. they were locked down for a lot more people were locked down. that's part of the story >> let's get the opening bell this morning and the dcnbc realtime exchange at the big board, thrift store

. >> despite the downgrade from oppenheimer analysts, estee lauder are still in the green. of more muted growth in the united states shares are down about 24% year to date while competitor ulta is only down around 10% and look at elf, up at 90% competition is fierce. and citi says the memory ban should put them on better footing to get even more money from the $52 million chips act they moved micron to a top pick, although shares are slightly lower this morning guys >> christina, thank you. >>> twitter's ad revenue between april 1st and the first week of may was $88 million. that's down 59% year over year that's according to an interm presentation and the presentation said that ad performance is unlikely to improve any time soon. still to come this morning, the market soaring on friday what the charts are saying about the next move for stock. fairlead strategies katie stockton reads those charts for us next. plus oil prices popping this morning after saudi arabia pledged more production cuts, about 10% from 10 billion barrels a day down to 9. the opec plus meeting and what

you see we talked about estee lauder and different companies where the chinese market wasn't quite what anticipating i guess, if we decouple so to speak economically, you know that's going to increase military tensions over time. it is like i can see why business leaders want to maybe be careful about their exposure there. but if we don't really have as strong a relationship as we used to, doesn't feel like it is going to lead to a more peaceful outcome. >> yeah. i think what you're hearing in washington now a more realistic view around derisking versus decoupling and understanding a wholesale decoupling is not desirable or possible. but with respect to ceos, kelly, i think we have seen two trips this week, two very different trips. one, where you have seen some attempt to be balanced in the assessment of what the problems are with respect to geopolitics. another, mr. musk, has been pretty visible in many ways being used as a prop and propaganda for china i think the ceo visits can be helpful in getting both sides to understand what the business environment is like, and how geopolitics