plus, what a difference a decade makes, 10 years ago, spacex, virgin galactic and blue origin didn't even exist, with these startups now launching a whole new space race and the fund manager whose ready to help take your portfolio inter galactic with this ufo, now let's check in on the markets as we're seeing dow down is just 41 points or so the s&p 500 lower, and flat by two points, down and the nasdac seeing some small gains, and the 1% as trade tensions are easing, which might give away to a new fight in the middle east, and we're just less than an hour to go to the closing bell. i'm susan li in for liz claman on the final day of the year and the decade, so let's start the "claman countdown." >> "happy new year." >> that's countries around the world ring in the new year, hong kong saw more subdued celebrations as authority canceled the main midnight fireworks display, for the very first time in a decade, citing security concerns as pro- democracy protests have reek ed havoc over the city off the past six months so instead of a symphony of lights taking place they are smaller pyro

the final frontier could in fact be a real money maker morgan stanley started coverage of virgin galactic stock on monday and expects out of this world results for the possibility of state space tourism analyst david jonas wrote to investors a viable space tourism business is what you pay for today but it chance to disrupt the multi-trillion dollar airline industry is what is really likely to drive the upside i'm going to get to that in the sec it following the rating for morgan stanley virgin galactic stock is up 14 percent to over $8.00 but still well below the high of $12.93 not exactly stellar the investment banks said if all goes well the price target for the company would be around $22.00 per share so there's still a lot of room to move virgin galactic expects to launch its 1st space tourist in 2020 and we'll try to increase that to 3000 people a year over the next decade you might note that the comment about disrupting airlines which i get back to during virgin virgin galactic roadshow they laid out a 3 phase plan 2 of which focused on tourism while the 3rd look toward pointed towa

the origin and virgin galactic are hoping to launch the 1st space vacations next year but the concept isn't exactly new in fact dennis tito an american businessman paid $20000000.00 to become the very 1st space tourist back in 2001 pre-paid tickets for a 90 minute suborbital flight with virgin galactic is currently priced at $250000.00 now technologies are continuing to evolve all while the interest to explore the unknown grows with a space $1000000000.00 industry who knows just how high that economy will soar over the next few years in los angeles and sweets are. a fascinating report from natasha there and i found a couple of things interesting number one did you know that after our space capabilities are so much worse after the initial moon landing and they now than they were then it's crazy because we we weren't developing it and more importantly vice president mike pence thinks we're going to put human americans i'm glad there are humans on the moon he seemed very unsure about about his statement or i like that is trying to parse it very carefully like maybe we weren't there origi

> wants to play on tour. >> probably could play pro >>> morgan stanley initiating coverage of virgin galacticving it an overweight rating three times the current value. morgan stanley's analyst, not one of the jonas brothers, saying ver gin galactic stock has biotech type risk/reward up 14% on the initiation they're still off the debut price by 24% this feels to me like a long-term play. >> very much >> it has to be, right >> first of all, adam jonas is not their aerospace and defense analyst. he's the tesla analyst he covers tesla, covers autos for them it gives you an idea of what we're talking about from a framing standpoint the other thing, too, about this is if you take a look at a stock like virgin galactic, one of the big investments he sees is there is no way toy invest in space publicly you go to spce, virgin galactic. >> i looked t eed at the financs this morning the revenue line, zero there's nothing there. when you do the math, at least right now, assuming their only business will be the space trips, okay, they're going to charge $250,000 per passenger. six passengers per flight.

virgin galactic and blue origin will fly passengers to the edge of space charging hundreds of thousandsspacex and boeing will carry americans to orbit from u.s. soil and then with nasa's blessing, start selling rides to private astronauts second, more public, private partnerships art must looks to send them back to the moon with limited resources, nasa will share more risk with companies, spurring spacecraft development to lease services public, private partnerships extend to the military as well as defense department stands up space force to better secure the final frontier third, space busts more companies will find funding, including from vcs and other investors, with hundreds now competing, more will fail, especially in crowded areas of the market like small rockets and small satellites speaking of satellites, one of the first big things on tap coming into 2020 is more strides towards mega constellations. in the month of january alone, spacex hopes to launch three different missions to put more satellites in low orbit. expectations, up to two dozen launches for starlink in 2020, and

first time we've ever had it in virgin galactic. symbol spce.they're buying the january 11th calls i bought those calls i'll probably be in them about two weeks. i asked michael whether or not they have a launch scheduled or something that might just justify this he said there might be something out there. certainly there's a lot of buying in this name. a name that we don't usually see a lot of buying in i'm in it as well. >>> and good drawing on there, by the way >> thank you >> our listeners on the radio missed his drawing of a rocket >> we got out of that in one piece, and there was a significant danger with john that we weren't going to >> that was a fantastic drawing of a rocket. >> thank you >>> the desk is ready to answer your questions on northrup drummond, square, but first to dom. >> let's look at what's going on overall. right now you have some moves with regard to the overall picture. elizabeth warren campaign, she's asking donors to step it up as fundraising in the fourth quarter slowed down. we'll dig into some of the numbers. >>>

it's a little bit late, but i like virgin galactic. i like tesla. i like the stocks that are going to be taking advantage of what's really going to be the ten years of space. you are going to be amazed to see what advances are going to be made with president trump of course talking about the space force, virgin galactic talking about space travel. it's going to become a reality probably in the next ten years and those stocks will do very well. >> let me tell you if you are looking at space, look at ldos. they are working with lockheed martin on hypersonic weaponry. liz: again at a 52-week high. don't we want to wait for some pull-back here? >> what are you going to buy that's not at a 52-week high? utilities? come on. liz: i don't know. it's got a $13 million market cap here. >> i'm going to hit my head right now. liz: we are going to hit the eject button on you guys. great to see you both. have a great day. thank you very much. >>> we've got a crypto clash taking some bite from facebook. with the closing bell ringing in 49 minutes and the dow up 11

your new company virgin galactic just did a direct. you have companies in the pipeline that have to make a decision one versus the other. is the pendulum starting to swing more towards direct listings and will that be the trend of the future? >> it's wonderful to see innovation in the listing process. i took a company public as a cfo in the traditional approach. it's imperfect and i welcomed the idea that there's innovation that we can question some of the assumptions that brought us to where we are. at the end of the day what matters is the quality of the business you build the companies we're involved with, whether it's google or square or mongodb, more than 80% of the market accrued after the ipo. and what really matters is, are they building a good business? that was just a day in the life of the company >> the point bill gurley made about direct listings when he was on the show recently was, look, the underwriters aren't really underwriters anymore. they aren't putting their own money at risk. they're taking extraordinary fees for

. >>> still ahead, from virgin galactic's public debut, it's been a big year for space investors. >>> and as we head to break, here's the next winner in our last chance trade countdown. >> number four, steve grasso sees green in apple's future >> if iphone sales surprise to the upside and there's more of a demand, now you get services along with hardware working at the same time. and that's why the stock can't go high. e mb teealisomthnuerhr cl cing up next on "closing bell." >>> 2019 was a big year for the space race morgan brennan joins us now with a look at what next year could bring. hi, morgan >> hi, contessa. that's right it is poised to be a groundbreaking year for space exploration, for satellites and connectivity, and for investment in the sector, as space closes in on becoming a $1 trillion economy. 2019 was another year of firsts, as spacex started deploying its satellite constellation, blue origin teamed as a prospective prime contractor and virgin galactic became first of the commercial space start-ups to go public 2020 will be the year commercial space emerges from scien

you mentioned spacex, virgin galactic is a public company as well do we feel as though with the successful launch today, we could find more enthusiasm or capital looking to find ways to play the space trade >> absolutely 100% yes you've already seen some pretty marked increases in terms of investor flows in the prime markets, the vc world and commercial space it is worth noting with this crew, it is focused on nasa astronauts nasa has already said as soon as next year, they are going to open it up to private astronauts in the case of spacex, it is upwards of $50,000 to buy a seat >>> on deck, room to run, it has been a special series all week we've talked about global markets. the consumer, technology and today, the emerging markets. investment opportunity for the next decade is coming up but first, we want to say congratulations to "worldwide exchange" producer adam idleberg he's celebrating 20 years at nbc universal and has been on this show since its fndouing in 2005. congratulations and here is to your next 20 years my gums are irritated. i don't have to worry about that, do i? harmful

beyond that, virgin galactic says next year they will their first customers into space. there have been similar which y blue origin has a lot of funding from the creator of amazon. next hink that in the 12 to 18 months you're going too see a real movement because these companies are where they have done years of development, testing, engineering, and now it's the point where either going to work or it's not going to work, but they need to fly. > i never thought i would live to see the day a potential commercial space to el, but thank you bloomberg's justin bachman down.eaking that all coming up, tesla reaching records. we'll discuss its turnaround in 2019 and whether elon musk's lofty goals can be met. next. and if you like bloomberg news check us out on the radio. you can listen to the app, bloomberg.com and in the u.s. on serius xm. this is bloomberg. >> tesla ends the year with shares reaching records, that $420 hing share price that elon musk made a goal. the beginning of the year that tesla stocks slid due to liquidity of the and a delay model wide crossover. invest

start to see a bit of value in the public market in terms of pure space plays whether that's virgin galactic or others >> this has been a monumental decade for commercial space, without a doubt. ten years ago, there was no entrepreneurial opportunity in space to speak of. it was really a handful of defense contractors. but that is no longer the case today. we're tracking hundreds of $500 plus companies that have raised $25 plus billion so we're in the early phases we're seeing the first companies raise venture capital. some of those are going on to be acquired and we've just seen the first ones start to go public. but we're just scratching the surface and on the edge of something really big >> still to come, carnival's stock higher is on the back of earnings, but making headlines for another reason today as two carnival cruise ships collided off the coast of mexico. we'll speak with ceo arnold donald in a cnbc exclusive interview coming up next >>> and as we head to break, here's a check on our data tracker. the final reading of third quarter gdp coming in at 2.1%. that matches estimates and

beyond that, virgin galactic said next year they will be taking their first customers into space.here have been similar plans by blue origin, which has a lot of funding from the creator of amazon. i think that in the next 12 to 18 months, you will see a real movement because these companies are at a point where they have done years of development, testing, engineering. and now it is the point where this is either going to work or not going to work, but they need to fly. taylor: i never thought i would live to see the day of potential commercial space travel, but thank you to bloomberg's justin for breaking that all down. coming up, tesla stopped records this week. we will discuss this turnaround in 2019 and whether ceo elon musk's lofty goals can be met. analyst insight, it is all next. if you like bloomberg news, you caplisten on the bloomberg or in the u.s. on sirius xm. this is bloomberg. ♪ the year withends shares reaching record, nearly touching the $420 million share price that ceo elon musk made a goal. it was the beginning of the year that tesla stocks slid due to the pret

when they take flight next year, this will stock soar into orbit and should we be onboard it is virgin galactic. >> i came around to saying i like tesla the this one is what i call a bridge too far tesla can make a lot of money, i don't know about these guys. and that, ladies and gentlemen, includes the lightning round >> the lightning round is sponsored by td mayor trade. ♪ >> happy holidays. boo-yah! >> ho-ho-ho, merry christmas >> boo-yah from east nashville >> the day after my birthday, i think that is relevant >> they make it easy to watch something like that disney plus i mentioneded. best way to get to yoda. >> cramer, boo you >> we don't get enough cornhuskers. i'm glad you called. >> good show, buddy. good show. turn on my tv and boom, it's got all my favorite shows right there. i wish my trading platform worked like that. well have you tried thinkorswim? this is totally customizable, so you focus only on what you want. okay, it's got screeners and watchlists. and you can even see how your predictions might affect the value of the stocks you're interested in. now this is what i'm talki

. >> reporter: 2019 was another year of firsts as they had prime contractors and virgin galactic wasbe the year commercial space emerges from science circles and policy meetings to become a main street and wall street story first, a new era of human spaceflight. virgin galactic and blue origin will begin flying passengers to the edge of space charging hundreds of thousands in the long awaited add vent of space tourism. >>> boeing will carry americans to orbit from u.s. soil. >> liftoff. >> reporter: and start selling rides to private astronauts. second, more public-private partnerships as they look to send americans back to the moon and with limited resources, nasa will share more risk with companies spurring spacecraft development to lease services. public-private partnerships will extend to the military as well as the defense department stands up the space wars to better secure the final frontier. third, space busts more companies will find funding, including from vcs and other investors. but with hundreds now competing, more will also fail, especially in crowded areas of the marke

astronauts to and from the international space station, and then of course we have virgin galactic announcing the edge of space and i would expect blue origin to begin operations as well, there of course a little more secretive but they are coming along very nicely it seems with their new shepherd spacecraft. ashley: what's your thought on space tourism? does it bring more people and of course they have to be rich in order to afford a ticket, very rich, but is that a good development in your mind? >> i think it is. again, it's not for everyone. you can still, i think, try to go to the international space station for a week or so, i think the price is somewhere in the 70 million range now flying with the russians, and of course virgin galactic i believe their pricing is still around 250,000 for just a few minutes in space, you know, you do get to see the earth and have the weightless experience, but i think that it's good to kind of get people aware of space travel , and the fact that if we do come up with some break throughs in propulsion technology it's possible to bring those launch costs d

virgin galactic holdings. >>> here we go.e heading to court to defend their merger. president trump had already approved this merger earlier this year. come in, deirdre bolton. you've got 38 seconds to explain to me why i should care. deirdre: fabulous. this is an unprecedented case. you can see this federal court behind me. you said it, the doj and ftc already approved this $26 billion merger. normally that's the last step, that's all she wrote. what is different about this situation is that 13 attorneys general plus d.c., led by democratic states like particularly by california and new york, are challenging that today in this court. that's why there is so much buzz about this. i spoke with one analyst from lightshed partners who is saying honestly that these ags want to become the new beat cops on the ftc and doj and are questioning their competence. heavy political overtones. right now, t-mobile and sprint are of course arguing they need this merger to go through so that they can compete against the likes of at & t and ver

many ways it is not science fiction >> how much does it matter now there is a public equity of virgin galactica catalyst for more interest >> absolutely. >> when we use the morgan stanley space team the cross sector efforts that we have with the strategic of backing of morgan stanley. the big markets are communications and transportation and observations. the human exploration part is critical to increase public awareness and public support shortly before neil armstrong died, he was asked are you disappointed of the pace of this space program? he said, "yes, i hope we could have done more." when asked why, when we lost our rival, we lost the public support. that's going to be exciting thing for the capital market of that innovation. >> when you think of trillion dollar deficits and interest spending, making cuts to food supplemental programs, how much of that is a push back on the national security interests and sort of putting a flag instance. the emphasis is duo purpose. the difficulty of putting a man in the moon, bringing them back alive, the secondary implications for compute, internet, s

the other one i would watch is virgin galactic, which marked a milestone this year, becoming the firstew breed of new space economy names to go public still don't have that space tourism business up and running, expected some time in the middle of next year the stock is trading just below $12 a share now where it nr initially priced we saw it plunge a couple of -- up until a couple of weeks ago and steadily moved higher, you're getting some initiations from the likes of morgan stanley. >> i was going to mention in terms of the leadership and the s&p 500, very much kind of by the losers type trade going on people betting on tax law drying up halliburton, walgreens, boots alliance, and 3m another top one. right now it is mopping up some of the stuff that is lost this year betting on january, which often is -- people talk about the january effect not just that stocks tended to go up. it is more about beaten up stocks from the prior year have a revival that includes small caps >> good day for financials in a good run as well for a lot of the banks. looking at some of the names, goldman up

. >> you know what the open secret is i'm sure if we went in a satellite, into virgin galactic, you wouldg it is too expensive to ship. it is -- a lot of that is marcellus. utica. the late aubrey mcclenen would be the largest depository of natural gas coming through pennsylvania, ohio >> over the last -- look at five years, it is -- >> there is an investment for you. >> yeah. >> that could kill any hedge fund. >> it could. any hedge fund stupid enough to own it. >> i think you should say ill advised. >> maybe shorted, maybe sthey were smart. >> okay. >> most hedge fund businesses underperforming the s&p this year, i believe. >> how about -- >> often there are people happy to make it because they outperformed by a couple of percentage points. >> what i find to be unbelievable, a group of people believes energy is cheap, stocks are cheap. you meet the 10 million people at robin hood and ask the people who run robin hood, is anybody buying oil and gas they look at you, like, do you have two heads they don't check off the esg. >> they look at what a low percentage it is of the s&p and think t

here's why let's look at time frame they have an longer time frame first of all, if you look at virgin galactic, it's the only way to purely play any sort of space move overall as far as canopy growth, again, i think sometimes we get a little caught up in the nearer term if you're somebody who's a millennial, i would think that the view is that in their lifetime, that federally, this will be something that is passed so it may make sense you also have to remember, it's inexpensive in terms of price stock. so if people are putting part of what they have to invest, because the rest of their investment portfolio looks very much like a boomer's portfolio so it will have some of your portfolio on things that you think that 10 or 20 years of growth opportunities i actually think that this might not be the worst idea in the world for somebody of that age, which would certainly be different perhaps than a -- so i want to be clear that most of their investments are very much the same of the older generations. but it's okay to put things that you think are going to be worth a lot of money sort of in the f