let's ask sandisk's cofounder, ceo and president. sanjay, you and i go way back, and you and i know this for shoe sure: thattsometimes not being able to fill orders quickly enough is just as bad as not receiving orders at all. are you able to fill the apple orders fast enough? >> liz, we have a diverse -- diversified base of customers, tablet, notebook manufacturers as well as enterprise and data center customers. this is a good position to be in for our business. our demand drivers are vibrantt @andisk is absolutely focused on optimizing its revenue process and free cash flow keeping in mind longer term customer relationships as well [inaudible] so i feel very good about sandisk's position. liz: you feel good about it, but can you, can you get in there? because you're forecasting lower revenue due to supply constraints. that makes some investors a the stock is pulling back by about 3%, buu it's up about 24% year-over-year. you've been a terrific performer. you've gotten a couple of price cuts from analysts today, and i'm just wonder

and here to help is sandisk. the co-founder and ceo of sandisk joins us first on cnbc.anje thanks for joining us. looks like you had a lot of good things to say in the quarter but help also understand what you said about revenue. because there is some capacity constraints. also issues that you would expect to see as you are integrating fusion io. what are the revenues coming in lighter than some had hoped? >> thank you john for having me on the show. third quarter was record revenue with excellent earnings and cash flow. in fact during the quarter we had a half billion dollars of shareholder value return. capital return. and sandisk really did very well and our revenue in the retail side was e impacted somewhat in certain markets such as latin america and russia is well known in terms of macroeconomic effect there is. and -- sandisk is well positioned on the back of strong vibrant demand drivers for flash storage usage in smart phones, tablet, ultrathin notebooks. and i really expect sandisk revenue to continue to do very well as we look at 2014 opportunities. >> you re

j, take your pick, sandisk or amd?sandisk because i love their flash memory and solid state drives but i really like what i'm seeing here. chips are going two different directions. this is programmable chips, not the flash memory chips that sandisk is or the hard drives that amd is. xi link is just screaming. it was up 2.5%, up 5% in after hours. >> shares of netflix tanking following last night's disappointing earnings report which showed subscriber growth slowing. rich greenfield upgraded the stock to a buy earlier this week. listen to what he had to say on monday's "fast money." >> every media company you could basically name, they need to figure out new ways to make money and generate profit. the answer is increasingly licensing content. everybody wants and needs netflix's money. better and better content is making it more attractive from a subscriber standpoint and to the point you want to pay more for it. >> joining us now to defend the call is rich greenfield, media and tech analyst. great to have you with us. o

micron and sandisk. the cycle has been hit hard today which beared no relevance. i think the memory cycle, it is extremely tight and pricing is good. i think micron and are trading at 15 to 20 times. so i think there's a long way for them to expand. now, the second camp is essentially -- >> quickly, we're running out of time. >> the semiconductors which i think we are already pricing in a big dropoff. i would wait until the earning season. and if you look back historically, typically there's massive outperformance. 10 to 30 days after this correction that occurs. these rebound afterwards. >> we've got to leave it there. thanks for coming by. pete and in semis where do you guy? >> i like intel and micron. i thought they got oversold today. i jumped in intel -- >> if what he is saying is right, 10% down on the semiconductors, that's going to go down too. >> i guess but we're on differing sides of that equation. when i see intel getting sold off from where it was to where it is. i'm not sure why a $7 billion company has better vision than intel. >> intel is going to

sandisk also down on the news 3%.icron down 4%. >> have you ever been to the waldorf on park avenue? we went to trip adviser.com and here is three reviews with pictures taken by guests. reviewer number one writes simply disappointed. reviewer number two, not a luxury hotel. reviewer number three, sounds luxury but it's not really. wow. despite those weak review, the hotel being bought today by a chinese insurance company for $2 billion. we want to know what you think. should president obama stay at a chinese owned waldorf? robert frank is at the waldorf. i always thought of it as a luxury hotel, but i guess maybe i'm wrong. >> it's a tough crowd. i just checked. you you can get a room tonight, it will only cost you 2 $249 foa one night stay. but to buy the hotel, just under $2 billion. the most expensive hotel ever sold in the u.s.. shattering all records here. if you look at this deal, what are they get something aside from the iconic hotel, they're also getting a full square block of real estate right in the heart o

milpitas based sandisk founder and another founder received the national medal of technology and invasion-- and innovation. >>> because of demand for better-educated students the state's community colleges soon will be testing a pilot program for bachelor degrees. students won't have to transfer to csu or uc, and they will get a break on tuition. but as abc7 news reporter david louie points out, only specific degree programs will be included. >> the targeted programs include dental hygiene and advanced healthcare such as respiratory therapy. a college in cupertino is hoping to expand their ought motive technology program to include automotive management. under the plan, the state's 112 community colleges will compete for only 15 pilot programs. those chosen will be in areas not duplicated at csu or uc. the benefits are two-fold. students will get a break on tuition. a bachelors degree is expected to cost just over $10,000. that amount doesn't even pay for one year at u.c., and graduates can expect higher pay, especially compared to those with bachelor degrees in liberal arts. >> a communi

sandisk, give you a big upside surprise, and the charts, no! the the charts, they have not stabilized and we had a floral in the dow. and better than nothing, bii know most technicians are not crazy about this market. i care about that. i'm not happy with what's happening overseas and. you look at the papers about vladimir putin hoo he's talking about cutting off western europe's natural gas line, instant recession. do you think he's done with his havoc? you're right. the press underestimates how negative this plays out for our stock market. stay focused on russia. an isis outfit was stopped by a bombing run. that doesn't count as containment. i expect isis and russia to continue to play us and we'll get fears going into the weekend in tomorrow's trading. china, we tend to forget, china is lurking as a negative and didn't see anything good about it it. must do so. when you get some bockes checked and you have no new negative ebola news, the fundamentals can surface and give you good trading news, but i would like to see a preponderance of box c

he mentioned sandisk. >> murph loves micron. >> up 2.6% op date after getting killed last week. i'm positive on the name i mentioned on friday, longer the name, so, you know, i get what the ceo of micro chip said and i understand that he's very well respected but when i look at a stock like micron we've seen their quarter. they've told us what the quarter looks like, what next year looks like and the stock trading at single digit -- 8, 9 times next year's earnings i think there's a lot of value there. >> scott, what i don't understand, when people talk about intel they used to say you don't want to own intel these guys are in a dead space because they're pc exposed. now it's good to be pc exposed. none makes any sense. they've gotten themselves into mobile now. look at server chips and the demand for cloud. it doesn't make sense to me. this is why to your point, when micron got sold off last week with the rest of the chips, intel got sold off last week it did not make sense. it seemed like an overreaction and part of the weakness micro chip talked about was china. >> some of the

google and sandisk will be out today, as well. >>> warren buffett has cut his stake in tesco to under 3%. he previously had close to 4% holding of the troubled u.s. grocer. berkshire hathaway's portfolio recently called the investment a, quote, huge mistake. tesco shares down a fraction today and down significantly over the last 30 days and year-to-date. >>> a dow component was in focus today and that was walmart. walmart cutting its full year sales forecast citing the strong dollar and the u.s. cuts to food stamp program on its lower income customers. the retailer slowing the number of new store openings as it shifts more spending to its joan line operations. shares fell more than 3% wednesday and it fell further in after hours trade down about 1.9% in frankfurt. >> so what should investors do now? more of our special market coverage after the break. act i. scene 3. open port twenty-two-oh-one-seven on the firewall for customer db access. install version two-point-three of db connector and ensure verbose flag is set in case of problems. (clapping sound) isn't the cloud supposed to ma

semi conductors are leading with sandisk, texas instruments and broadcom seeing gains. now, novavax news to begin a phase one clinical trial in december for an ebola drug. the biggest loser on the nasdaq by far today is tesla down around 5% after announcing the leasing policy for the model s allowing buyers to return the car within three months and also reports the automakers' september sales dropping year over year and unconfirmed rumors. >> back to you. >> thank you very much. it's all anecdotal and we were discussing in the commercial break, i've heard two references from people, one on twitter and told me about this how they had to wait in line to buy gasoline over the weekend as prices came down. in one case, fellow bought it for $3.03 and $2.99. seeing gas lines again. >> this is interesting. this is in some cases in california and -- >> northern california. >> so it reminds me of the mortgage re-fi boom. below 4%, everybody re-fi'd and then nobody really scared anymore and i wonder if that's what's going on. >> $3 is a magic number. >> do you think that's what pe

>> sandisk wasn't that good. microchip hurt us. just as -- the new ceo, previous ceo was trying to put some lipstick on the pig. intel wasn't that bad. people don't want to go back and intel reports it had the misfortune reporting during a bad time. watch alcoa. alcoa reported a great quarter. that kicked off earning season and kicked off the big decline. alcoa is sneaking back up. watch the banks. the banks weren't that bad. watch some of the insider buying and takeover names. walgreens and hertz. i think we need to get back out of the complete negative mind set that we were in and accept the knneutral mindset. >> you're not all of of a sudden giddy about the market? >> no, i have to say some things are good and some things are bad but i want to guy weakness. i no longer want to say we're going down big from here. i want to watch oil. every time oil gets near $80 you're going to have to be worried because then you get this kind of over all we're done as a renaissance in this country and i don't think the renaissance is over. that'

think it is a scandal that the ncaa gave most of the privileges back to penn state in light of the sandisk kindle. sandusky of message -- scandal. what kind of message does that send? you do something and they penalize -- you should have to go through and finish that pencil -- penalty. punishment you get a and then maybe we will let you off. that sends a horrible message to college students. and a horrible message to other universities that may engage in inappropriate behavior but then get slack down the line and get rewarded. you know, sandusky, was a sick man. he fooled a lot of people. that is rather sad. out of theirped process in creating penalties for penn state. people were uncomfortable that they stepped out of their process to do that. personally, i think that no matter what they did, penn state would have stepped up and looked that it would never happen again. i don't think anybody needed to tell us. efforts ont those compliance and put those efforts on a stronger ethical background. saying, andncaa is it is really the presidents that make up the ncaa. what they are saying is tha