i think joe bought honeywell honeywell's gotten a lot of action on this show. >> and i own honeywellhoneywell also. >> can i ask jim a question? >> hold on i don't have time to play games. >> jason snipe i want you to answer please. >> honeywell for us was an insurges ai insurgence of capex from the airplane filters and packaging of vaccines. >> for more on analysts today, check out the write-up on cnbc.com/pro from nfl to private equity, former wide receiver mousad mohamed is joining us. it's a great story we'll talk about it next your daily dashboard from fidelity -- a visual snapshot of your investments, key portfolio events, all in one place. because when it's decision time, you need decision tech. only from fidelity. at morgan stanley, a global collective of thought leaders offers investors a broader view. ♪ we see companies protecting the bottom line by putting people first. we see a bright future, still hungry for the ingenuity of those ready for the next challenge. today, we are translating decades of experience into strategies for the road ahead. we are morgan stanley. >>> g

that note, i sold it anyway because everybody -- everybody owns honeywell. i know everybody owns amazon and microsoft. i look at the valuation. i see honeywell at a 26 pe for next year and sickcyclical earn go up 20% and corvo go from 3.65 to $9 or qualcomm or sky works i'd rathering in the companies that are going to be leading this next generation of this industrial revolution. >> for all this talk about the reopen trade and the sick live ca -- cyclical trade and the optimism people can talking about, bank of america says all this money continues to go into tech ubs says don't worry about tech being a bubble because they say we don't think it's time to sell the sector on bubble concerns. it looks appropriately valued. nasdaq's been up a ton >> yeah. i think steve makes a good point. i know that's surprising it must be friday for me to say that but in this case he's making a great point. i think when you think about what technology represents -- i'm crabby today about tesla, so i'm sorry. you know, i think that what we are looking at is we're looking at thi

when facebook and honeywell trade at the same forward multiple is the market getting out of whack we'll look at whether stocks are too pricey and if so which ones. plus, individual investors have jumped head first into the markets this year and proved just how powerful a force they can be we'll look at their influence and who benefits most from it, and a major player warns on oil prices dan jergen says crude is trapped in virus alley and could stay there next year. he joins us to explain let's start with the markets this hour. bob pisani has the very latest for us hi, bob? >> hello, kelly. essentially this is the market that will not give up. concerns about vaccine, concerns about stimulus, doesn't seem to bother the markets at all. we're sitting essentially at new highs. let's not quibble at the tenths of percentage points, the dow, s&p, nasdaq have had a good month, sitting near record highs here as it has happened for the last six months, the big-market stories are in the thematic tech etfs investors just keep buying and loving solar stocks, anything related to overall clean energy,

haslinda: thank you for joining from honeywell aerospace.l to come, goldman traders look for a bonus boost. but not all will get lucky. more on that. this is bloomberg. ♪ bloomberg. ♪ haslinda: goldman sachs appears ready to boost bonuses by up to 20% for its trading division. always are a touchy issue, but especially so at a time when the outlook for banks is uncertain. issue's not only a touchy because yes, the outlook is uncertain, but the windfall has been extreme. banks are looking at each other to see how they are handling this. people close to the matter are telling us goldman sachs plans to boost bonuses for the trading division by up to 20%. these heftier paychecks are following a major trading windfall in the first three quarters of the year, and that resulted from goldman with a 49% jump in revenue. sources say it also has the executives likely paying the fixed income traders bigger bonuses in part because there is concern that there star traders could be poached or lured away by the deep-pocketed hedge funds. there have already b

general electric is 37 times, honeywell is 27 times. which shannon owns, joe, i think you own, cintas is at the top of that heap at 38 times. so i'm wondering what you think about the cat call but also this notion that some of these industrials are now overvalued >> well, i think the exposure that you want for the industrial sector correlates with a lower dollar and a cap ex recovery that is really being stimulated by global manufacturing that is surprising in its resiliency i think stephanie link has done a very good job talking about that caterpillar is a name that i owned for the recovery in global manufacturing for the better part of 2020 i shifted out of that back into honeywell because i wanted a more qualitative balance sheet i wanted the balance sheet that honeywell has which has a better debt-to-equity ratio at 1.23 versus caterpillar which is 1.74 so i think that's important. looking at the sectors real quick going back to your thoughts with president-elect biden, i would add materials as a sector that i believe should also be

it's getting crushed today maybe honeywell goes up. i'm a simple guy i think we're get a lot of money. i like the idea stephanie says it will be in two tranches once biden comes in i think janet yellen is going to be a fantastic secretary of treasury i know we have high valuations, but at the same time -- what happens -- i'm going to say it -- what happens if we have a boom after the vaccine what happens if we have a vaccine glut, which is what i'm predicting at the end of the first quarter. j&j has to come through for that and then we have a boom. that's what we're set up for if this vaccine works and i've got to tell you, i'm not fighting a boom. especially if the fed has to start raising at the beginning, we can still even make money when the fed starts raising. no one thinks that can happen but i have to tell you, we are setting up -- even oil, which i don't like other than chevron and pioneer, even oil is saying the midstreams, get that, the master partnerships are saying things are getting better in a lot of areas scott, i'm not

honeywell has been viewed for a long time as a play on aerospace.y have made that into an obsolete way to look at the company. given the fact we know the building is a principle place where you get covid, building is where a lot of people are who get sick, a way to get your margins up if you do it right, this is a very important deal, even if it is only 1.3 billion and i'm sure in the annals of your m&a world, something you regard as being a -- >> picayune, very small. this company is not known for thermostats and having been in sort of the way to regulate air and things of that nature. that's been one of the core businesses. >> they got out of residential, upgrade to -- what i like about this, david, dam check made honeywell, it is resonating because if you look at this company, it is doing -- >> ready to give it a different multiple. >> being rated as we speak we have to go, david. >> okay. somebody in my ear said that but i did want to finish by saying darius dam check is a visionary. >> runs that -- a spac. >> the chairman of the spac. >> yes >>

i would not buy honeywell either let's go to adam in new york >> hi, gym what jim. >> what do you think of live nation >> it is a terrible prevaccine but it is a great post vaccine, that's why the stock been bid up wait for it to decline before you pull the trigger scott in massachusetts, scott. >> jimbo, long time caller and long time listener enterprise software artificial intelligence company that had strategic -- ipo last wednesday and i got in just $100 a share the stock has been on fire since the ipo. i am currently up 15%. is it a buy? >> i like it it kind of got over shadowed by air bnb. i think it is a very -- the whole market cap is not much they got some real intellectual fire power behind that company i like it. the promise land is within reach. why would you want to own stocks like this. i am going to throw in whirlpool right now. >> anyway, "mad money" we talk plenty of spacs and electric boom don't miss my sit down with mp material and the ceo of boeing what's ahead of the company as covid continues to i mpact the aero sector. i am going to sit down with the ceo of octa,

that's why i'm in honeywell. i think capex will impact technology and i think that leads you towards the semis, which john and pete najarian have talked a lot about. i have exposure to amd and then a semi-commitment name, teradyne so capex will be a prevalent theme going forward here in 2021 and a lot of the trade opportunities will directly be a consequence of that being presented. >> yeah. honeywell is an interesting one, too, because of the industrial technology adoption and rollout as well. john, you have two reopen trades, american airlines and carnival cruises, which are down about 50% this year. gosh, these are like the ultimate reopen trades i want to get your thoughts on why you picked these and how it's tied to the vaccine rollout on a bigger, broader scale >> sure. i was working with our market strategist, a.j. monte and we looked at these and said you look at the american airlines, institutional ownership is at a low. it's basically under 45% right now. that is something i think that changes a lot in

we're working with key transportation and logistics companies as well as vaccine manufacturers. >> honeywell seen a 60% increase in shipments of its detecters in the past month and has been working to expand production to ensure there is enough supply. the industrial giant is also conducting tests with some airlines where the shipping of dry ice requires special precautions. it's not just logistics and transportation players that are thinking, but pharmacies are investing as well. >> we have manufacturers that have been able to supply the locations that we are designated for dry ice and the intent of that is not only to help protect the team members where the dry ice is going to be stored, which is in the pharmacy area, but then in addition to that, the rest of the store. >> walgreens says almost 1,000 locations equipped with dry ice or locations to store the pfizer vaccine at that ultra cool temperature. deirdre. >> seema, thanks for that. >>> social media back in the spotlight during the vaccine push several companies employed different strategies to combat misinformation on the vaccine. j

honeywell for 20 years. put up the industrials i don't remember when honey wales with 26 times forward earnings caterpillar, the big upgrade today, that's an absurd territory too, ingersoll rand and norfolk southern, you going to get big industrials that trade in the 20s very often. this is a sign of optimism, sign of optimism on the reopening want more signs of optimism? it is all over the place this etf flow in december, i follow the flows carefully, good way, instead of looking at prices, look at the flows. people have to come in and track creation of the new shares people get enthusiastic, the demand goes up they have to go in, create new shares, buy the underlying stocks, great popularity contest. guess what they're buying. "titanic" inflows. record inflows in the last couple of months whatare they buying? not big cap, not megacap, they're buying small caps, emerging markets, large cap value, and even investment grade bonds. this is the reopening story, right there. you want -- put it all together. i do

in boxing, shipping and delivering the vaccine are wearing co2 detectors, one of which is made by honeywell. >> we're protecting workers throughout the supply chain, including those involved with vaccine packaging, shipping and storage. we're working with key transportation and logistics companies as well as vaccine manufacturers. >> reporter: honeywell says it's seen a 60% increase in shipments of its detectors in the past month and has been working to expand production to ensure there's enough supply. the industrial giant is also conducting tests with some airlines, where the shipping of dry ice requires special precautions. it's not just those transporting the vaccine. walgreens says it's investing in similar devices. >> with those co2 monitors, we have manufacturers who have been able to supply the locations that we are designated for dry ice, and the intent of that is not only to help protect the team members where the dry ice is going to be stored, which is in the pharmacy area, but then, in addition to that, the rest of the store. >> reporter: and demand is high. we spoke with a smal

and honeywell in the commercial aircraft arena and how do you close there's been a lot of speculation that maybe this move was some of this move in especially in the aerospace industry has been to stop beijing from actually developing basically a competitor in the aerospace field to the likes of boeing and airbus in europe do you see any of that there as they are trying to get a commercial jetliner out of the china. well i think my prior point the fact that co mack has been excluded from the final list whereas the. aviation corporation has been left on the list suggests the pressure from u.s. suppliers to come back may have had some influence and of taking that one off so i'm sure boeing you know would be delighted if there was no chinese commercial competitor to cross fleet in the coming decade but you know frankly that's not nearly as important as excluding chinese military developments particularly because much high technology goes into chinese military aircraft and equipment design and now quotes we've talked about this quite a bit and you mentioned it in your 1st answer there tha

ago. 98 max orders this month they are starting to turn around and look at suppliers of max, ge, honeywell, our friends down in kansas, all of those stocks have had an uptick next week commercial service resumgs in t resumes in the u.s. with the max. >> will you be on that flight? >> i will. >> maybe we will hear from you >> i will land in new york and say it felt like any other flight >> probably. >> they make a lot of claims about these planes, but the ceo of alaska air is happy about the deal >> more important is that boeing got the flash. good for tim and good for pointing out spirit hei aerosystems when we said that spr will do well boeing has done well and spr has done extraordinarily well. sometimes you have to look downstream as well i look forward to phil getting on that plane in new york. hopefully he comes on the show and it will be fun >> it will be fun. james? >> the outlook hinges on the vaccine success. right now it's too soon to be optimistic because we don't know what the efficacy of the vaccine will be healthwise and boeing has to regain trust mode there is deep cuts to a

jillian: debra garcia and owner of harlem public, the honeywell and lauren lynch.your time. a lot of people feeling your pain. jeffrey, i know you were at this event. tell us what it was like to be there surrounded by all the people sharing in that same pain is you wanting to get your message heard. >> in addition to owning the restaurant i am president of the latina restaurant bar and lounge association which put this together. this is a difficult time for everyone in the industry. as governor cuomo said, only one.4% of the infection rate. in westchester, have been open at 50%. why can we not, in new york city, restaurants like mine were closed, very unfortunate, in new york city. >> 4500 new york city restaurants have shut down due to the pandemic, a staggering number, only expected to rise. what do you need to survive? >> at this point the biggest thing that will save the restaurant industry across the entire country would be the restaurant relief act which we are asking for on the federal level. many don't have the money to bail out restaurants and it is not a

that's right boeing, which is actually most of it, then you got goldman sachs, disney and honeywell.s been a pretty narrow run recently for many of the mega caps. you may not care if you own the dow etf, but still 4 of the 30 names accounting for all the gains of the past three weeks. >>> time for your real morning rbi. and the most random but interesting thing has to do with some other pretty amazing stuff that just happened in the stock market the nasdaq 100 actually fell wednesday. shocking i know because as you no doubt know, that index had been higher ten sessions in a row coming into yesterday. that's right, a ten day win streak, remarkable or is it because we've now actually had ten plus day streaks a few times over the past decade according to instanet. listeni longest winning streak was 14. we had 13 in 2010, two in 2009 and 2017 who cares, why are you bringing up all these numbers because get this, the nasdaq 100 was created all the way back in 1992 and do you know how many ten day win streaks there were in that index from 1992 to 2009? any guesses? zero that's right the go

i've been covering these industrials for 20 years i don't remember the last time honeywell traded at 26 times forward 2021 estimates it hasn't been 20 years, i don't think. caterpillar, maybe a few months ago it was a little higher, but not in many years have you seen multiples, industrials trade at multiples in the mid 20s ingersol-rand, norfolk southern, these are pricey numbers overall. so this is a sign to me of a little bit of exuberance the bulls say oh, bob, we're going to have an amazing reopening next year, yes, this exuberance and that's what it is. that's what these p/e ratios are. they're indications of exuberance really. but when you get record stock prices combined with record etf influence, december's record etf inflows, they're throwing money at parts of the stock market, huge margin debt levels, historic high, high investor optimism and sentiment levels, well, you know, the market better reflect -- is reflecting a big, big turnout, kelly, in 2021 but i'm wondering if -- are we entering some kind of new paradigm overall that the reopening's going to be so titanic that

we are 2%, 3%, 4% off the highs we have seen for most of the stocks we talked about honeywell, 26 timesiearnings the market is pricey and stretched, not giving a lot back here in terms of the big themes for 2020, it is very, very simple. boy, did everybody want to own thematic technology etfs anything solar stocks, online retail stocks, lithium and battery components, esports, cloud computing, anything, massive amounts of creations for the etfs around this space, that's the way they want to own, they want to own the stocks in themes, in groups and through etfs, that was the big story finally we should know with all the exuberance, the laggards that were out there, the destruction and i know mike was talking about this earlier, the destruction of the oil stocks like occidental and exxon this year, oil stocks are now essentially 2% of the s&p 500. it was double digits even less than ten years ago and the destruction in the travel and leisure industry. airlines, cruise lines, mall operators you see like simon property group, they recovered a little bit in the fourth quarter, you can see it

currently seeing but some of our favorite names are really in areas that have ae aerospace exposure honeywellre very high quality company through no fault of their own and a third of their business is driven by aerospace and that is significantly impacted and the company is still cash flow positive they're inquisitive and have a strong balance sheet and we think that aerospace business will come back when air travel resums and we think double-digit upside from that name. >> you also like boeing in terms of aerospace exposure. do you expect we'll get back to the premax levels in the 300s? >> we still think, you know, we think the easy money has been made and boeing here from the bottom where all it took is a shift in sentiment to really get the stock going. but since then we have seen positive news with the backlog with recent orders from alaska and ryan air now you could argue about the profitability of those orders but they're still going in the right direction. we still think double-digit upside from the stock and then the stock here that recognized that a lot of that easy money has already