highlight three of the stocks beginning with michael kors.dea michael kors holding with $75 price target, stop up 89%. to do you like this call? >> yes. let's talk about michael kors product. it's really a lower cost luxury item. louis vuitton, $1,000, michael kors, maybe $400. i know someone who only buys $700 armes bag. only a few can afford that. michael kors isafter forwardable. >> affordable luxury compared to others. the fact it's up 90% doesn't scare you off. >> evaluation is reasonable and earnings momentum is fine. >> let's move to another one, gap sort of the other side of the deal here. in addition kuwaited with a buy, $41 price target, shares up 70%. a buy on gap. >> hot for me. i'll tell you why. i'm still trying to figure out exactly what gap is. as you know, when left i went to j. crew. they lost their way. they may be starting to get it back. you see that in same-store sales. another thing when you read analysts opinions, a goldman sachs said about this stock one of the tail winds is the cotton crisis will likely go down which

as a result that's why a lower price target on michael kors.bani: not a good sign, but their rose gold watch is one of the hottest items out there. fyi. a little too late. david: we have more on the high-stakes game. steve forbes will be here. could we slip from slow growth to recession? stay tuned for steve forbes. shibani: up next, getting your portfolio ready for the new year. warren financial's chief investment officer shares his plays in the etf world for 2013. ♪ david: time for a quick speed read of some of the day's headlines. m&a activity rising to its highest level in four years this quarter. companies worldwide have announced 692 billion dollars in purchases in just the last three months of this year. blackstone backed sea world entertainment is filing for initial ipo that could raise 100 million dollars. the company intends to trade under the symbol of seas. ford is investing 773 million dollars in new equipment and expansion across six u.s. manufacturing plants in southeast michigan. the latest move is part of its commitment to inve

. >> caller: michael kors. >> there are three michael kors, that incredible ad, boy, see that ad, attractivetractive. there's michael kors fundamentals and everybody has to profit. when everybody has to profit, people are going ca-ching. doug in new jersey. >> jim, how are you doing? >> all right. how about you? >> caller: good, i want to get your take on morgan stanley. >> i've got enough problems. i'm probably too negative. i'm not negative on morgan stanley. it's fine, it's at $16, but i like wells fargo more because wells fargo is levered to the housing market and has done absolutely nothing like morgan stanley and i think has more upside. >> buy, buy, buy! >> plus, warren buffett's approval, which in my world still matters. robert in massachusetts, robert? >> caller: hi, jim, looking at i.t. >> don't look, start buying, man. >> buy, buy, buy! >> that is a really terrific stock. go buy some small and buy more on the way down. jack in oklahoma, jack? >> caller: boo-yah from oklahoma. yahoo, it's got some legal things and i'm curious if i should take profits or hold it. >> i think yahoo ha

liz: i have to tell you that i went into michael kors yesterday. you could not move. that has been quite the performing stock. i think it is at a 52 week high for this relatively new company that recently went public. why not coming down 3%. that tells you anything, you know, this would be a beautiful performance. it looks like no one can do well today. >> michael kors is a hot name. accessories and everything. don't look at the stock price today because everything is so enough today. liz: thank you, nicole. thank you very much. it has been an incredible year on account of the closing bell. we are so glad that you have been a part of it. breaking news, ceos resigning, yes, covering the action in our 1000th show. result back in the last year. >> the countdown begins right now two welcome to 2012. here in omaha, nebraska. at the berkshire hathaway meeting. we are live in san francisco. we are watching greece again. mistakes are being raised and time is running out. >> the greek parliament at an emotional session. detaals going on outside. >> facebook has made its debut

. >> have nell, prada, stella mccartney, michael kors. >> reporter: there's a deejay here to -- to give to the party atmosphere a live band at 2:00. they still have plenty of tickets left, movie tickets and tickets for the zoo. they will be here until 5:00 only at this location on mission street in san francisco, amy hollyfield, abc7 news. >>> the new year is less than 10 hours away for americans on the east coast, 13 for news the bay area. many parts of the world are already enjoying 2013. first up new zealand fireworks began in the city of auckland, horns blew and fireworks exploded as the clock struck midnight. american samoa will be the last place to welcome the new year, three hours after us. >> in australia the annual new year's eve fireworks show was bigger and better than ever. the city bridge delighted the 130,000 spectators with 100,000 different fireworks patterns, 45 people working at 12 computers, launched seven tons of fireworks. >>> we are going to have our own firework show in san francisco along the embarcadero. visibility is not going to be the issue. >> no, you need t

this has been a big debate, michael kors versus coach. dr. najarian, where do you put your money? like kors better than coach at this level. so, i would take kors, and i do see some unusual activity in there. >> really? what sort of strikes? >> the 50 strike. i still think it has a date with 50, that's coach. as far as kors, there's a lot of speculation in this here and i think people could be rewarded for it. i certainly rather be in the options, melissa, than in the stock itself at 50 bucks. >> okay, sima, thank you. >>> when we come right back, how to play the markets newest winners and losers. a round of hold 'em or fold 'em is coming up. >>> and we take a look at gauping stocks and whether they will hit the jackpot in 2013. back right after this. [ indistinct shouting ] ♪ [ indistinct shouting ] [ male announcer ] time and sales data. split-second stats. [ indistinct shouting ] ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ] ...you'll bust your brain box. ♪ all on thinkorswim from td ameritrade. ♪ >>> from mobile devices to medical marijuana, we'

. >> have nell, prada, stella mccartney, michael kors. >> reporter: there's a deejay here to -- to giveo the party atmosphere a live band at 2:00. they still have plenty of tickets left, movie tickets and tickets for the zoo. they will be here until 5:00 only at this location on mission street in san francisco, amy hollyfield, abc7 news. >>> the new year is less than 10 hoursy for americans on the east coast, 13 for news the bay area. many parts of the world are already enjoying 2013. first up new zealand fireworks began in the city of auckland, horns blew and fireworks exploded as the clock struck midnight. american samoa will be the last place to welcome the new year, three hours after us. >> in australia the annual new year's eve fireworks show was bigger and better than ever. the city bridge delighted the 130,000 spectators with 100,000 different fireworks patterns, 45 people working at 12 computers, launched seven tons of fireworks. >>> we are going to have our own firework show in san francisco along the embarcadero. visibility is not going to be the issue. >> no, you need to bund

michelle obama turned to michael kors for the jewel-encrusted gold lame gown.ng that regal look, rob. >> the first lady, and this from the state department reception honoring those kennedy center honorees. of course, that is former first lady and current secretary of state hillary clinton and meryl streep doing what many of us do at a party, taking a quick snap of themselves on an iphone. >> i wonder if they have instagram. >>> next, what's at least the fourth piece of valuable art that turned up at a goodwill store. it's a print called appropriately enough "red nose." bought at goodwill back in may for $12. >> turns out "red nose" was done in 1969 by american artist alexander calder. it was 9,000 bucks. the woman who bought it said she is keeping it at least for now. >>> and now to an awesome look at holiday travel like you have never seen it before. >> this is really cool. check out this time-lapsed video from black friday. it may look like an air raid of sorts but actually, it's every plane arriving in san diego airport in just a five-hour period starting at

that is a michael kors watch.n was the last time you heard of the same store sales being up 45%. lori: that is jaw-dropping. i think wall street sometimes things they cannot keep doing it. if they do keep doing it -- that helps. the businesses grew almost 100% in europe. the stock breaks out at 57. lori: we will take it. charles: relish is on me. i am taking it one step at a time. it is my third job. [talking over each other] charles: i have to make money on the side. did you see the christmas list? lori: let's do stocks based on your wife's christmas list. [ laughter ] charles: you got it. lori: let's check the markets. it has been 15 minutes since we last checked in with lauren. >> fedex shares are doing well today. they are up by just under 3%. if you took out the impact of hurricane sandy that hit in late october, fedex would have reported earnings better than expected. that would be the good news. they are keeping an outlook for the full year and also their expectations for overall u.s. economic growth. what

michael kors watches are popular. sweaters, winter jackets, external factors impacting them. 2013, who do you like and not like going into the new year? >> apparel is the tough category. you have to be picky in apparel. we like hanes brands, and the other is carters, baby clothes. both companies sell products and are less discretionary and benefit from lower cotton costs year over year. carters' last quarter, growth margin up about a thousand basis points, and you'll see that tail wind into the first half of the year. hanes brands has a deleveraging event using the lower cotton costs to pay the debt and go from a highly leveraged company to a regular, sort of under leveraged. ashley: jcp, talking of pennys, 1 that strategy working for them? >> well, jcpenney attempts the everyday low price strategy, didn't work in 2012. what's going for them they have the confidence in the suppliers. the suppliers like carters and hanes that we follow are willing to work with them to invest in shop and shops and create product exclusive to jcpenney. i don't know if that's happening in 2013. i

michael kors was a winner this holiday season. there are definitely some winners out there. jcpenney tried to rebrand itself, is that working? >> the rebranding, it looks better. our studies indicate they may have lost some of their core customers and as a result of this. they are trying, they said they weren't going to do that, so they're trying a lot of different things to get the customer traffic and people back to the stars. ashley: joe feldman, thank you for sticking with us, managing director. thank you so much. chicago mayor rahman manual trying to privatize the midway airport. no success, but this time will be different? jeff flock live at midway airport with this story. jeff: it is funny. some guy wal walked up to me and said what are you doing, what is your story? to the top of the privatization of midway airport. another way for the city to lose money. the city just privatize the parking meters. $1.5 billion deal, 75 years, but the problem is this. they got all the money up front and the city spent all the money already, and now in the parking meters are out of or

. >> i would say michael kors. >> thank you for participating. it is michael kors. by zac posen, a huge personality. and a tremendous designer. >>> we'll be right back with that siren and santa's helpers and a great crowd here on "gma." nature knows all about baking. just mix together a few simple ingredients... and "voila". so for truvia baking blend, we mix sweetness from the stevia leaf with sugar, for a blend that bakes and browns like sugar, with 75% fewer calories per serving. without freshly-made pasta. you could also cut corners by making it without 100% real cheddar cheese. but then...it wouldn't be stouffer's mac & cheese. just one of over 70 satisfying recipes for one from stouffer's. into john stamos. honey! i think i'm getting burned! eat. ♪ tastes pretty good, huh? [ men grunting ] open! [ male announcer ] oikos. possibly the best yogurt in the world. hello? [ sea ] hi! this is the sea calling. when's the last time you visited me? when i went surfing. i love to surf. can you imagine surfing in the middle of me? in the middle of you? oh yes! [ giggles ]

coach, michael kors, not holding up in today's market. david: even the homebuilders could not get a bounce. could it possibly be some profit taking? up tremendously the past three to six months so perhaps that is what is going on. some prices are looking down a bit after having gone up tremendously even the overall trend is good for homebuilding but for every reason stocks are down today. we're getting dangerously close going over the fiscal cliff which means taxes go up for everybody who pays taxes but what else does it mean for you -@and for the economy? the chief of staff on george w. bush council of economic advisors, she thinks we're probably going over because the white house will not stop pushing for higher tax rates, she joins us later this hour. shibani: maybe the texas will be higher in 2013, but prices at the pump will be lower. some good news and some bad news. david: but first we will tell you what drove the market in today's data download. all three major indices closing to the red for the third day in a row. nine of 1 10 s&

deckers, michael kors and ab abercrombie & fitch.erle looked like it was going to test $500 today. had a huge rally in the last hour with the rest of the market. got back to plus on the day. the direction of apple is going to be a major sentiment indicator, not only for the tech tape but for the tape in general. it closed pretty well today. we'll see how tomorrow opens. >> absolutely. chris, what about you? break it down. >> well, tomorrow i'm going to be focused on the vices. the fiscal cliff is weighing heavily and we saw that during the release of the consumer sentiment reading last week. that's why we saw the vices pop above 20 today. for a little white. so, in the resecent past, these have been great buying opportunities. i don't see a decision being made for the his calf cliff, i do see a deal made in 30 to 60 days, proving to be a better bullish indicator for

going to continue to see, particularly in the first half of the year, the demand for products from michael kors do well. second half of the year is a different story and perhaps the turnaround of tiffany's to be the name for the second half. >> meantime, r.j., i think you would agree retail remembers scrambling right now because consumer confidence is plunging. three reports in a row that have been pretty dismal. >> yeah, i would agree. i think we're looking for a bit of a pullback in 2013, not only due to the fiscal cliff issues that will become more aware, especially when we see january paychecks hit, but we've had a great three-year run in consumer discretionaries so we think there's a bit of a pullback in store for 2013. as a result, we like the guys who can bring the lowest cost to the consumers at any given times, names like costco, names like amazon. >> i'm going to play the devil's advocate here for a second because we're always told never doubt the power of the american consumer. is it possible, is it possible that when people see their paychecks going down because of higher taxes next

michael kors is the standout in luxury. remember they went public about a year ago. that's had a great run, up about 60% this year. but that's the standout in retail. can i also point out that some of the big banks are holding up very well today. there's another new high on bank of america. citigroup is at a 52-week high and soj me of the regional bank also on a high as well. >> time for a cough drop. >> sorry. >> bob pisani battling through. we are also on storm watch today. the deadly system that dumped snow and sleet in the country's midsection, releasing tornadoes around the deep south, that's now moving towards the northeast and it is having a major impact on holiday travelers. with hundreds of flights now canceled. weather channel meteorologist david malkoff has the very latest on the storm's path. >> wow, look at that. we are getting 25, 26, 28 mile an hour wind gusts right here on the northern suburbs of indianapolis, indiana, and it is getting worse as the winds start to push and the snow starts to fall down here. let's talk about the airports around the nat

>> we're watching michael kors. hot holiday stock. down shy of 4% on the back of comments of citigroup. analyst oliver chen saying they showed a bit more heavy discounting than originally expected. 30 to 50% off a lot of the models. similar to black friday and that discounting is continuing. we should note that even though stock is down, oliver chen raised a buy trading at 48 bucks. even though he says there's discounting, we see upside, mandy. >>> thank you, kayla. we'll talk about the 2012 predictions. what happens next year. we'll get some guesses on the commodities. >> and have you figured out which major retailer has been a sure thing for nine straight first quarters? that is the mystery chart. that's the stock chart of this name. it is not dropped in a first quarter in nine straight years. there's your chart. tweet your guesses. good luck. everything is riding on this, everything. >>> and also today, the time machine takes us all the way back 80 years to the opening of the iconic radio city music hall. ah, the gold old days. "st

. >> costume jewelry, shoes, michael kors, we love. they are unstoppable.e have some things that are very positive. >> the slowdown that we saw going into -- you yourself saw, what was the cause? >> the hurricane. the fiscal cliff. yes, people know what the fiscal cliff is outside of this arena. and the third is unseasonably warm weather. >> what about newtown? did that -- >> hard for us -- it had to have. i mean -- that's not something that we can monitor but common sense indicates -- retailers are saying that oh, my god, it did impact us. why not? and that wasp just in the northeast. that was across america. >> right. >> it was devastating. put them all together and it was challenge. >> i bet it made a lot of parents rethink material. >> absolutely. one would think. yes. >> now what? even if you see a pickup in sales afterwards everything has been discounted. this is not that good anymore. >> it is not as bad as you think. a lot of the discounts with retailers was planned. they planned it before they even went into the season. and it depends, too. now, th

>> i think the hot item -- go get a michael kors watch. the hot items out there. >> they still have them for sale? >> sunglasses are for sale. some of the coach legacy bags are still out there. and don't forget, you can always buy something at tiffany's. >> dana, happy holidays. >> happy holidays. >> thank you. >> thank you. >> coming up, fueling the new year, oil prices, natural gas exports, and alternative energy sources in 2013. we're going to tell you about what's in the pipeline and how to profit from it. before we head to break here's a look at futures. >>> as 2012 draws to a close cnbc is giving investors what they need to know to make money in the coming year. here is sharon epperson with a look at the energy sector. >> on the road to north american energy independence, the next decade is crucial. and in the new year, the dramatic rise in u.s. oil production will continue its extraordinary climb. at the same time, u.s. petroleum supplies will have a greater reach. in the first quarter of 2013, more of the nation will have additiona

>> first lady michelle obama just about upstaged everyone in the shimmering gold gowndy michael kors.o seriousness now. serious stuff now, i should say. the fighting goes on every day in syria. so far chemical weapons have not been used but today there's a new warning from the united states to the syrian government. we'll tell you about that. ♪ [ female announcer ] holiday cookies are a big job. everything has to be just right. perfection is in the details. ♪ get to holiday fun faster with pillsbury cookie dough. get to holiday fun faster try running four.ning a restaurant is hard, fortunately we've got ink. it gives us 5x the rewards on our internet, phone charges and cable, plus at office supply stores. rewards we put right back into our business. this is the only thing we've ever wanted to do and ink helps us do it. make your mark with ink from chase. ♪ you make me happy [ female announcer ] choose the same brand your mom trusted for you. children's tylenol, the #1 brand of pain and fever relief recommended by pediatricians and used by moms decade after decade. anyone have occasion

michael kors, gap.s the favorite of the retailers as it sees continued positive brand momentum. then there's dollar general falling after disappointing results for the quarter. its gross margin did come in below expectations. delta air lines making big news today. officially buying a 49% stake in virgin atlantic for $360 million. company is in the middle of a news conference in new york right now. our phil lebeau is there live with the latest. phil? >> carl, as we speak, so is richard branson. he is talking via satellite from somewhere in the caribbean. the press conference taking place in new york city. there's richard anderson who has just taken the podium here in new york city. they're going to be announcing not only the outline of the terms of this deal but a little bit of the philosophy behind why delta is buying this stake. let's take a look at the terms of the deal. delta buying 49% stake in virgin atlantic. basically buying the singapore airline stake. that's $360 million is how much it's costin