you'll hear from howard schultz in just a couple minutes. >>> and sorry, larry.ing president obama to nominate janet yellin, not larry summers, as the next chairman of the federal reserve. we'll tell what you this means and walk through the implications for markets. >>> want to take a quick look at the s&p 500 heat map. obviously a lot of red, very narrow breadth in terms of gainers. one stock that's bucking the trend, amazon in the green despite posting the surprising loss, of course, as we looked at operating margins around 0.5%. amazon managing to hang on. again, discussion, kelly, about the long term. it's a cash flow story for now. if they eventually do trim back on spending, their margins will literally explode. >> this is what people have been saying about this company for 10, 15 years, and what's so interesting is amazon has done so well despite the fact they keep spending, they keep investing, and they never actually pull back. >> no, it's true. you're talking about investing in refrigerated warehouses all around the country, in video now, in original co

. >> howard schultz calling it the best across the board performance. that's howard schultza. with 55 cents earnings per share wab the street was looking for 53. 3.74 billion. again the street looking for 3.7. that's up 13% from aier ago. same store sales up globally. a point up better than the street expected. it raised guidance for fourth quarter now saying it should have 59 to 60 cents a share. street is looking for 57. full year eps should be 223, about a nickel better than what the street wanted. back to you. >> thank you, jane. >>> howard schultz will be with me breaking down numbers. he will be with me tomorrow on squawk on the street. join us for howard schultz, chairman and ceo of starbucks. 9:15 a.m. be there. we are back with our market guest. heather, let me get your take on what we have been seeing on descent beats in terms of earnings. although revenue is still an issue. >> you're right. so revenue misses continues from the data we just heard now. and it would be nice to see some broader market participation and earnings side other than just the financials. corpo

howard schultz, the ceo has created a strategy just like a flywheel because it stores energy, then emitst at a level that exceeded the original power source. it includes 19,000 stores and global footprint growing by 500 units a year plus a rapidly expanding consumer business, coupled with the best in class social capabilities and a non-stop pipeline of innovation. and the energy that a flywheel produces gave starbucks the best same-store sales growth of any company i follow, with an 8% and a stunning 9% in the americas and asia pacific. allows the company to report much better numbers than it should, including numbers that seem metaphysically impossible. starbucks has made itself into the stock equivalent of a perpetual motion machine, which is why we have to examine this quarter because it contains everything you want a company to deliver. yes. this has now become the new gold standard for a new three-month period, one that seems impossible to top. one thing that schultz admitted, he was stunned to deliver the top number, but that it would be irresponsible. his words, he said the number

the encore edition of cramer's recent conversation with macy's jerry lundgren, starbucks' howard schultzan mulally, our investment in america power panel. >> i cannot believe you're here on the set of "mad money." a tremendous, tremendous thrill. all three of you have seen great adversity both in your companies and lives and you talk about it. you talk about not taking the government's money, you talk about having to come back 2008 and how your business was strained. one point it was strained but you had the amazon challenge. what do you tell people, young people, not to give up? how do you beat advisory? >> first of all, we are all align on this and i know without asking howard and alan you first realize it's not only you. you've got to surround yourself with a great team of people who are prepared to dig in and listen to the customer and be responsive. i start with the team always. >> i think that's perfect. i would add one thing, surround yourself with people who have like-mined values. and for a young person, go work for a company whose values are compatible with your own. >> i wish

howard schultz says it was the global coffee chain's best performance on record. joining us now to talk more about the numbers is r.j r.j. hovotni from morning star. these numbers are certainly something to crow about, the street likes what they're seeing. how about you? >> wasn't much more you could ask for from the numbers last night. comps are great, showed a lot of great trafficking, especially at a time when a lot of competers were barely eeking out any kind of traffic gains and trafb lofi losses. >> what do they do better than anybody else seems to be able to do right now? >> i think it really comes down to execution. at the store level. that's where the -- clearly the highlight of the quarter was. the 7% gain in traffic on a global basis. comes down to new product innovations, revamped food platform, better use of digital and social media technology than anybody else out there. just drive a lot of people to the restaurants right now. has one of best brands out there. i think as they start to ramp up the expansion on some of the newer brands, evolution fresh

howard schultz of starbucks with $29 million in compensation. out the top 10. the report there was mentioned in a number of publications including the new york times recently. rounding out the top 10. you are a retail shoe store owner. tell us about that. >> basically a family run business. the government is trying to stop small and medium-sized businesses by taxing the crud out of us. >> what is the challenge that family-run businesses use a faces? you say faces? >> the new health care bill is a monster. for company my size. just in that regulation is going on right now. >> how many locations do you have there been clearwater? >> 5 locations. mentioned the health care law that was passed in 2010. the news this afternoon about that and the implementation of the health care. here's a tweet from mark ller.e mark knoller. the obama administration delaying until 2015 after the 2014 midterm elections for a limitation. -- we wanted to hear next from another leader. we have one more call in here before we hear from our next ceo. go ahead. working 15 years in corporate

do you remember what ceo howard schultz said to me not that long ago? years ago, the same people who probably hated the stock at $8, perhaps love it today at $65. the point of that is, we had to believe in our brand, in our purpose and our business model. >> well, look, i love this. i still think it's worth buying and it tells you the consumer is doing just fine. as much as i like starbucks. it's an expensive cup of joe. bottom line, the quick serve restaurant chains are not getting pounded because of the consumers feeling stretched. the companies that executed did well. i think panera hit a bump in the road and it's worth buying along with chipotle, starbucks, dominos and dunkin brands. let's go to jude in new jersey. >> caller: jim, how are you? >> real good, partner, how are are you? >> caller: quick question for you, do you think that mondelez is a good investment right now? >> no, i prefer pepsico, i am not going to tell you to sell it. i think pepsi co is better. let's go to farhan in california. >> caller: a big booyah to you and grand slam booya

howard schultz owns around 18 million shares of starbucks.t means he made more than $94 million today. why not me? meanwhile, losing money today, anyone who owns some death. it folded plans to get in nevada gaming license. online gambling has been considered a potential savior, but the shift in strategy clearly upset investors. at along with poor earnings sent stock 14% lower today. and chopping off the head in a theater near you. the tv movie that created the mega storm on twitter is coming to the big screen. it will be shown at 200 theaters next friday. ticket costs, $12.50 per. creators reportedly wanted to let make it cult favorite. all right. the u.s. fracking boom has looked unstoppable, but an antitrust probe by the justice department has the whole industry stopping in its tracks. some of the biggest companies o being targeted. they are scrambling to figure out why. is it enough to puttthe brakes on the u.s. energy boom? with me now, david carson from the heritage foundation. it is always a pleasure have you, and i have to tell you, i

howard schultz will be on "squawk box," an interview with him at 9:00 a.m.tern. >>> back to europe, swiss banking giant ubs reached an $885 million settlement with u.s. regulators. this is after the lender was accused of misselling mortgage-backed securities to fannie mae and freddie mac during the housing bubble. ubs will have to pay approximately $450 million to fannie mae and $470 million to freddie mac to settle the case. ubs said it reached an agreement in principle and denied any wrongdoing. >>> something of a dilemma for the church of england. just one day after the archbishop said he'll drive payday lenders out of business, it is revealed that the church itself has a 1 million pound indirect investment in one of the main players wonga. the church's pension fund holes an investment in excel partners that is also one of wonga's biggest investors. so we have been asking, should payday lenders be driven out of business and made legal? payday lending should be banned immediately, a tweet. another viewer also tweeted from rick, yes, if they're violating us

ask me what makes a perfect quarter and i'll tell you to look at the amazing quarter that howard schultz. don't move. the lightning round is next. we're cracking down on medicare fraud. the healthcare law gives us powerful tools to fight it... to investigate it... ...prosecute it... and stop criminals. our senior medicare patrol volunteers... are teaching seniors across the country... ...to stop, spot, and report fraud. you can help. guard your medicare card. don't give out your card number over the phone. call to report any suspected fraud. we're cracking down on medicare fraud. let's make medicare stronger for all of us. >>> it is time. and then the lightning round is over. are are you ready? sunny in illinois. sunny. sunny. what was it? >> what would you do for us investors here? what do you think about aes corporation? >> you tillty, no. i'm going to own aep. tim in california. tim. >> i was wondering about smith & wesson. >> no. if i'm going to own guns, i'm going to own cabela. curtis in ohio. curtis. >> boo-yah, jim. >> boo-yah. >> what happened to roundees and what's your read op

. >> howard schultz will be on the squawk. posted notes, scotch tape 3m. they selling? >> they reiterated their guidance, but here's what you need to know. this is a classic buyback story. they said they'll be buying back 3 million to $4 million worth of stock. the important thing about this is they're saying they haven't done the acquisitions, they're not doing as many acquisitions. this is somewhat of an acquisitions story. you just want to look at that. >> i want an income statement story. let's go to dunkin brands. >> the big story is they'll be opening up in southern california. >> going after winchell's. does that still exist? >> i don't know. will they have bolder coffee in southern california? they beat on the earnings but potentially low-quality earnings. the stock is not doing that well today. it's off a little bit on a beat, so there is a little bit of concern there. >> stealth turn around, no one has been looking at this. this is a company given up for dead. it shows it has more than a heartbeat now. new products coming out, including -- what is it, a polyme

liz: hey, as long as howard schultz is the founder is back as ceo, mark, this is a real win for the company since he took the reins once again. david and i remember during the financial crisis, this was an $8 stock. look at it now, $68. they were closing 600 u.s. stores. now they have reopened most of them. they're just, really running on all cylinders are they not. >> yeah, absolutely. this is one of the best companies that's out there, one of the best brand in the entire world and they're going to continue to experience good revenue growth for i would say the next decade or so. they're not going to see 20%, 30% growth year-over-year anymore but low to mid-teens, 10 to 13% as they just said would still be very solid growth. think it's a good play for at least the next decade. david: let's go back to dennis kneale for a second. he is pouring through the numbers coming out on amazon. one thing really shouted out at you. what is it, dennis? >> if you look at this company has amazing cash flow going on. the problem not enough of it is turn into operatings earnings and less of it to free cash f

howard schultz of starbucks with $29 million in compensation. rounding out the top 10. mentioned there was in a number of publications including the new york times recently. rounding out the top 10. you are a retail shoe store owner. tell us about that. >> basically a family run business. the government is trying to stop small and medium-sized businesses by taxing the crud out of us. thatat is the challenge family-run businesses use a faces? >> -- you say faces? >> the new health care bill is a monster. for company my size. just in that regulation is going on right now. >> how many locations do you>> 5 locations. >> thanks for calling in. he mentioned the health care law that was passed in 2010. the newshiafrnoon about that and the implementation of the health care. here's a tweet from mark knoller. to delayoing implementation. that is from mark knoller. the obama administration delaying until 2015 after the 2014 midterm elections for a limitation. to euronext from -- we wanted to hear next from another leader. we have one more call in here before we hear from our next

. >> right here sh, david, the st got hit, and then it jumped up, and as howard schultz talked on theonference call of no saturation, and china doing great, and the stock literally shoots up 10 straight points after market, and you know somethi something, i understand that people could say, why doesn't it rest? it is a rest move and no more than that, and meantime, we are getting the positive comments from the staple on yum, and that stock is trading higher, so it is not all bad for restaurants, but a lot of the holdouts. >> and larger issue of keeping an eye on the consumers and the gasoline is weakening, and the refinancing and the taps being closed may be more important. >> you are right, because the re-fis were quite bad. >> and cash in the pocket. >> and if you push yum, you know, you are pushing kentucky fried chicken over in china as a stock, and david novak and i have been a friend of the ceo, but this is a call that says that the consumer is not doing that well. >> well, that is an important point to the overall market and the market is going to be trading in 4:00, and let's

howard schultz, we spoke to him he came up with a quart that made you think. >> 9% comps. >> beautiful. >> but that's not the rule for corporate america. nobody's talking about 9% comps or 9% rise in revenues at all. >> no. but you think about it. facebook doing well. >> yes. >> very visible companies. mcdonald's did not do well. what i'm saying it's hit or miss. when you miss, it's really tough. home builders, i don't know, home builders are just -- they were growth stocks. now they're value stocks? you can't go that fast. you need a couple of quarters before you go growth to value. >> you were on twitter early, very early, and you gave a list of your favorite specs, speculative plays. >> yes. >> radian. >> still working. one of the things that i find -- >> it's amazing how it works. i get it, nature got it. >> aquan. >> it's an easy way. terrific. the airlines are bifurcated, southwest was not good. us airways lost in the shuffle. fabulous quarter. genworth, they are like the insurance companies that keep coming back. i was with someone this weekend talking about cdos worth pennies o

and we kick ourselves everyday, because it is one more leg in what is a multi-leg stool that howard schultz has put together. remarkable company. >> mocha and foam. that combination alone. >> and the pomegranate lemonade, and if they are rolling out great food products, don't get in the way of the juggernaut. >> and watch the kitchen complexity, because it has come to bite them in the back. >> yes, i should have asked him about, that kitchen complexity. >> and what stocks should we be watching ahead of the open? cramer has that with the "mad dash." futures are weak, but we will speak to dudley and auto sales are strong. we will be back in a moment. is that we get to create our future. you get to take ownership of the choices you make. the person you become. i've been around long enough to recognize the people who are out there owning it. the ones getting involved and staying engaged. they're not sitting by as their life unfolds. and they're not afraid to question the path they're on. because the one question they never want to ask is "how did i end up here?" i started schwab for those peopl