Inflation, Tariffs, and Dip-Buying 8/7/25

Summary

Halftime Report: Inflation, Tariffs, and Dip-Buying (August 7, 2025)

Host: Jenny Harrington
Guests: Josh Brown, Stephanie Link, Kevin Simpson, Angelica Peebles
Release Date: August 7, 2025
Air Time: Weekdays 12-1 PM ET on CNBC TV

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1. Market Overview

Jenny Harrington opens the episode by highlighting the mixed performance of the stock market. While the S&P 500 is experiencing its best week in a month, the overall market sentiment remains cautious. The Nasdaq shows positive momentum, buoyed by gains in tech giants like Apple, despite broader indices being mostly in the red.

Key Points:

• S&P 500: Up for the week; best performance in a month.
• Nasdaq: Positive, driven by tech stocks like Apple.
• Overall Market: Predominantly negative with concerns over inflation and labor markets.

Notable Quote:

Jenny Harrington [01:02]: "Welcome to the Halftime Report. Today, we’re seeing the S&P going for its best week in a month, but stocks are mostly in the red with Nasdaq holding positive thanks to Apple’s continued gains."

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2. Impact of Inflation and Tariffs

The discussion shifts to inflation expectations and the implementation of reciprocal tariffs. Jennie notes an increase in New York's inflation expectations and growing concerns about the labor market, which may be weighing on certain stocks.

Key Points:

• Inflation Expectations: Rising in New York.
• Labor Market: Increased concerns affecting stock performance.
• Reciprocal Tariffs: Now in effect, introducing additional market volatility.

Notable Quote:

Josh Brown [02:13]: "UBS today says the fundamentals look to keep the market supported despite tariff impacts. Our base case remains that the effective tariff rate will settle around 15%, enough to weigh on growth a little but not derail the economy or the equity rally."

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3. Buying the Dip Strategy

Stephanie Link and Kevin Simpson delve into the strategy of buying the dip, emphasizing its viability despite current market challenges. They argue that as long as earnings growth remains robust, particularly from capital expenditures (CapEx) and infrastructure projects, the strategy holds merit.

Key Points:

• Earnings Growth: High among 8 out of 11 sectors.
• CapEx and Infrastructure: Primary drivers supporting the S&P 500.
• Investor Confidence: Continued dip-buying indicates strong market support.

Notable Quote:

Kevin Simpson [02:13]: "The stock market is not identical to the economy... for the S&P 500, the countervailing force of tariffs isn't strong enough to offset the CapEx story."

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4. Sector and Stock Analysis

4.1. Chipotle and QSR Stocks

Jenny Harrington brings up Chipotle as a prime example of dip-buying. Stephanie Link explains her rationale for increasing her position in Chipotle despite the stock's 29% decline year-to-date, citing strong fundamentals and growth drivers.

Key Points:

• Chipotle: Down 29% YTD; poised for a turnaround with new products and digital initiatives.
• QSR Industry: Mixed performance, but Chipotle stands out as a value pick.
• Growth Drivers: High single-digit unit growth and strong traffic trends.

Notable Quote:

Stephanie Link [04:19]: "Chipotle is going to take a while, maybe into 2026, but they have growth drivers like new products and digital that make buying the dip a compelling long-term strategy."

4.2. Eaton and Rockwell Automation

Jenny Harrington and Kevin Simpson discuss Eaton and Rockwell Automation, highlighting their strong earnings and potential for growth despite recent price declines.

Key Points:

• Rockwell Automation: Core earnings up by 51 cents; stock down 9%.
• Eaton: 55% order growth in datacenter electricals; stock also down.
• Investment Thesis: Both companies have solid earnings and growth prospects, making them attractive dip-buying candidates.

Notable Quote:

Stephanie Link [06:07]: "Rockwell's increasing core earnings by 51 cents is crazy. Eaton's datacenter electricals saw 55% order growth. These fundamentals suggest a strong buy-the-dip opportunity."

4.3. Uber and Alternative Mobility

The conversation turns to Uber, examining its recent stock performance in light of strong earnings but underlying challenges in mobility and autonomous driving.

Key Points:

• Uber's Performance: Stock down despite solid earnings; engaged in a $20 billion buyback.
• Challenges: Expansion of Waymo partnership and competition from autonomous driving technologies.
• Strategic Moves: Buybacks indicate confidence but raise questions about reinvestment strategies.

Notable Quote:

Kevin Simpson [12:57]: "Uber spent the whole day buying back stock, demonstrating confidence through a $20 billion buyback despite a 5% pre-market sell-off."

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5. Investor Behavior: Retail vs. Institutional

The panel discusses the role of retail investors in sustaining the market rally. Stephanie Link suggests that while retail activity may appear to be waning, institutional investors are now increasingly active, chasing opportunities that retail previously dominated.

Key Points:

• Retail Activity: Declining but still supported by $7 trillion in cash on the sidelines.
• Institutional Buyers: Catching up by investing in key sectors like AI and data centers.
• Global Investors: Increased exposure to US stocks due to global economic strength.

Notable Quote:

Stephanie Link [17:31]: "Retail may be taking a pause, but institutional investors are now chasing opportunities, supported by $7 trillion of cash on the sidelines."

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6. Executive Order on 401(k) Plans

A significant portion of the discussion revolves around an impending executive order allowing private assets and crypto assets in 401(k) plans. Kevin Simpson and Angelica Peebles debate the potential benefits and risks associated with this move.

Key Points:

• New Opportunities: Access to private equity and crypto assets for retirement savings.
• Concerns: Higher fees, lack of liquidity, and complexity in selecting suitable investments.
• Recommendations: Limited exposure (5-10%) to alternative assets for diversification without overexposure.

Notable Quotes:

Kevin Simpson [27:50]: "Private markets come with liquidity issues, opacity, and higher fees. It’s a nice to have, not a necessity."

Angelica Peebles [30:57]: "One of my family members passed away with a portfolio loaded with private vehicles, leaving his kids stuck with locked-in assets they can’t access for years."

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7. IPO Activity and Market Sentiment

Mike Santoli provides insights into the IPO landscape, noting a favorable environment compared to previous months. However, he cautions that initial enthusiasm may not sustain long-term growth.

Key Points:

• IPO Performance: Strong first-day performances, but sustainability is uncertain.
• Market Sentiment: Positive but cautious, with a focus on long-term viability.
• Example: Firefly IPO priced at $45, opened at $70.

Notable Quote:

Mike Santoli [44:26]: "IPOs are seeing record highs, but sustaining that momentum requires more than just initial hype."

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8. Best Stocks in the Market

Josh Brown and Kevin Simpson introduce TJX Companies as a new addition to their best stocks list, citing its consistent performance and alignment with current consumer trends toward discount retail.

Key Points:

• TJX Companies: Strong long-term performance, consistent earnings growth.
• Consumer Trends: Increased demand for discounts aligns with TJX’s business model.
• Valuation: Trading at 29 times forward earnings, considered reasonable given growth prospects.

Notable Quote:

Kevin Simpson [35:53]: "TJX is the best of the discount retailers, consistently offering 20-60% off comparable department store prices, aligning perfectly with current consumer needs."

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9. Specific Stock Highlights

9.1. Eli Lilly

Eli Lilly experiences its worst trading day in 25 years due to disappointing results from weight loss pills. Kevin Simpson discusses hedging strategies implemented in response to the stock's decline.

Key Points:

• Earnings: Solid quarterly numbers overshadowed by underperformance in weight loss drug trials.
• Stock Reaction: Decline of approximately 14%.
• Strategy: Implemented hedging through in-the-money call options to manage risk.

Notable Quote:

Kevin Simpson [41:30]: "We hedged out $36 and change of the decline, a lesson in taking some activity and hedging going into earnings."

9.2. Elanco

Conversely, Elanco reports strong earnings, boosting its stock by 16%. Stephanie Link emphasizes the growth potential in the animal health sector.

Key Points:

• Earnings: Beat expectations with an 8% organic growth.
• Stock Performance: Up 16% following positive earnings and guidance.
• Sector Growth: Projected $150 billion investment in animal health and wellness.

Notable Quote:

Stephanie Link [43:05]: "Elanco's strong performance in the companion animal sector positions it well for long-term growth in a $150 billion industry."

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10. Geopolitical Influences

Mike Santoli touches on recent geopolitical events, including President Trump's executive order on college admissions data and a potential meeting with Saudi Crown Prince Mohammed bin Salman. These developments add layers of complexity to market dynamics.

Key Points:

• Executive Order: Aims to eliminate affirmative action in college admissions.
• US-Saudi Relations: Potential agreements on defense and energy sectors.
• Market Impact: Geopolitical stability remains a critical factor for investor confidence.

Notable Quote:

Mike Santoli [34:30]: "Geopolitical events like executive orders and international meetings continue to influence market sentiment and investor behavior."

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11. Conclusion and Final Thoughts

As the episode wraps up, the panel acknowledges the choppy market conditions but remains optimistic about long-term strategies like dip-buying and sector-specific investments. They emphasize the importance of staying informed and adaptable in a volatile environment.

Key Points:

• Market Volatility: Expected to continue with ongoing economic and geopolitical factors.
• Investment Strategies: Focus on fundamentals, dip-buying, and selective sector investments.
• Future Outlook: Preparedness for consolidation and growth in targeted areas.

Notable Quote:

Jenny Harrington [47:24]: "Stay informed, stay adaptable, and focus on the fundamentals to navigate these choppy market waters."

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Final Remarks

The August 7, 2025, episode of Halftime Report provided a comprehensive analysis of current market conditions, emphasizing the resilience of dip-buying strategies amidst inflationary pressures and tariff impacts. The panelists offered insightful perspectives on specific stocks, investor behaviors, and the evolving landscape of retirement investments.

For those seeking to navigate the complexities of today's market, the episode underscores the importance of fundamental analysis, strategic hedging, and staying attuned to both domestic and global economic signals.

Transcript

[Scott Wapner]

What does it mean to live a rich life? It means brave first leaps, tearful goodbyes and everything in between. With over 100 years experience navigating the ups and downs of the market and of life, your Edward Jones financial advisor will be there to help you move ahead with confidence. Because with all you've done to find your rich, we'll do all we can to help you keep enjoying it. Edward Jones, Member, SIPC on WhatsApp, your personal messages stay private between you and whoever you send them to. So things like the passport numbers for.

[Josh Brown]

Your honeymoon stay between you and your fiance.

[Scott Wapner]

And that video call for your grand's.

[Stephanie Link]

80Th stays in the family.

[Scott Wapner]

Even your streaming password stays between you.

[Josh Brown]

And your college roommates, who still ask.

[Scott Wapner]

For it every week in your group chat. Because on WhatsApp, you your personal messages are yours. No one else can see or hear.

[Josh Brown]

Them, not even us. WhatsApp message privately.

[Jenny Harrington]

I'm Scott Wapner, and you're listening to CNBC's Halftime Report, the podcast the most profitable hour of the trading day. We record this live weekdays at 12 Eastern. Listen in. Carl, thanks so much. Welcome to the Halftime Report. I'm Scott Wapner, front and center this hour with the S and P going for its best week in a month. We'll ask the Investor Investment Committee today. Buying the dip in stocks is the best strategy right now. Joining me for the hour today, Josh Brown, Stephanie Link, Jenny Harrington here as well. We will check the markets today. Stocks are mostly in the red. The nasdaq, of course, is positive. Thank you, Apple, which continues to follow through on yesterday's big gain. You did have New York inflation expectations, which were higher. You did have a pickup as well in concerns about the labor market. Maybe that's weighing on some stocks more than others. Reciprocal tariffs are now in effect. Josh Brown, on that note, UBS today says the fundamentals look to keep the market supported despite tariff impacts. Our base case remains that the effective tariff rate will settle at around 15%, enough to weigh in, weigh on growth a little bit and lift inflation. Not enough, though, to derail the economy or the equity rally, you agree?

[Kevin Simpson]

Yeah. And I think the reason why is because the stock market is not identical to the economy. I think the effect of these tariffs will be felt far and wide. They are not completely inconsequential, but but for the purposes of looking at the s and P500, they just really aren't a powerful enough countervailing force to offset what's happening with the CapEx story, which at this point is the entirety of the s and P500 earnings growth story. Lots of companies are growing earnings. Lots of sectors, 8 out of 11 have earnings growth this quarter versus the same quarter last year. But in terms of like the sheer volume of where the earnings growth is expected to come from, we know where it's coming from. It's high end consumers, it's the upper middle class consumer and it's a capex and all of the related infrastructure build out. And so long as that remains intact, it won't be for forever. But right now it is. It's tough to see a situation where the dips don't get bought. And when you look at the way investors are buying dips, putting money right back into the S&P 500, right, right into the triple cues, right into the most speculative stocks in their brokerage accounts. They're not focused on tariffs as being like the driving force behind what they think is going to happen. They're focused much more on the bigger theme that we talked about. I don't know what changes that, but that's where we are today.

[Jenny Harrington]

So speaking of buying dip staff, I mean you are emblematic of that. Whether this is the right strategy or not, you believe it is. You are buying more. You buy more Chipotle. Now I wondered when you were going to do that. I figured you probably would because that's your, that's in your DNA. You look at stocks like that that have come down a bunch, you think it's not justified. You buy more. Yesterday on closing bell, you told me you're buying Eaton and Rockwell. You thought they were punished unfairly.

[Stephanie Link]

Yep.

[Jenny Harrington]

Ridiculous that those stocks traded down on what you thought were pretty good earnings. Take me through the Chipotle one. Since you told our viewers yesterday in the afternoon why Eaton and Rockwell made the list.

[Stephanie Link]

Yeah, and it's not every stock that I'm buying on the dips. It's where I think the fundamentals either short term or long term are misrepresented. Chipotle is going to take a while. I think it's going to be second half of the year story, maybe even into 2026. But after I saw the challenges in same store sales at Shake Shack, Wingstop, Starbucks and others. This is not a Chipotle same store sales problem, only it's a problem. But I think it's going to get resolved because they have growth drivers, they've got new products, they've got technology, they have digital. Most importantly, they talked about June ending on a strong note, which is a good thing with Better traffic trends. They have the products that people want and actually they have a decent pricing strategy as well. And they still have high single digit percentage unit growth. So not cheap at 30 times versus 40 times historical though growing earnings at about 20% and it's down 29% on the year. It's been a horrible pick on my part, I'll admit that. But I was like do I sell it or do I buy it? And I had more conviction in buying it for the longer term with all the reasons I just mentioned. I think you're going to see a return to growth, a return to traffic growth. Same store sales margins are best in breed and they have the products that people want and the valuation has come down to a reasonable level given what they're going to grow going forward.

[Jenny Harrington]

You ever wonder whether the best days are behind this name?

[Stephanie Link]

I don't think so at all.

[Jenny Harrington]

There are just other offerings that people are more in tune with now they like better.

[Stephanie Link]

They're in the top 10 QSR. They only have 3% of the market share in a $400 billion industry. So no, I think there's room for a lot to grow. And again this is not every single stock that falls that I want to buy. This one's probably the hardest actually to be honest with you. And UnitedHealthcare.

[Jenny Harrington]

I think that's why I'm asking.

[Stephanie Link]

Right? That's right. Sometimes buying hard makes a lot of sense because everybody is on one side of the boat and I'm trying to be kind of like in the middle of the boat. I don't necessarily need to be by myself. But I would say the two names, UnitedHealthcare and Chipotle are the two hardest to buy. And the two things I believe to buy for the longer term I think it's the right thing to do in terms of the Rockwell and Eaton we talked about it yesterday but industrial electrification is on fire and I looked at those numbers across the could not believe the reactions now they ran a lot we talked about it. But when you have Rockwell increasing core earnings by 51 cents that is crazy. The stock is down 9%, margins expanded over 200 basis points. Eaton we talked about Datacenter 80% is electricals around the world and that actually saw 55% order growth. That's visibility. So to me I'm picking my spots got but I have a little bit of cash. We did sell something we can talk about if you like but did sell.

[Jenny Harrington]

There in a minute.

[Stephanie Link]

No talk about that but we're going.

[Jenny Harrington]

To get to another Thing you bought more of in a minute because it, it does play into this story. I want to hear from Jenny, though.

[Angelica Peebles]

I was going to say in response to like, has it played out on Uber if my teenage kids are 16 and 18 are anything, you know, representative. No, it hasn't. It's still their favorite. You know, with everything else out there with Cosmic Kava, with sweetgreen, Chipotle still number one for that crowd. So anyway, that's all I had to say.

[Jenny Harrington]

That's all you had to add.

[Kevin Simpson]

So.

[Jenny Harrington]

All right, great. Josh, did you have something?

[Kevin Simpson]

Do you think the sell off in Chipotle is justified but now it's like a lower risk entry because of how much market cap has already been lost? Or do you think like the fundamentals are good and the sell off is not justified?

[Stephanie Link]

I think that they've had a speed bump, but I think the industry has had a speed bump. April and May was really, really challenging for the consumer and sentiment. Remember how doom everyone was? So of course you're not going to go out and buy five different burritos each day, right?

[Kevin Simpson]

I mean, speak for yourself.

[Mike Santoli]

When you said it was in Steph's.

[Angelica Peebles]

Portfolio, I was going to make a joke and it's in Josh, in my belly.

[Kevin Simpson]

You know, I don't, I don't do. Your mic's falling off. I don't, I don't personally do Chipotle, but to your point. Point my kids and all of their friends, that's their go to second nature.

[Angelica Peebles]

Incredible.

[Stephanie Link]

So the RSI is 24. So tell me about that.

[Kevin Simpson]

This is washed out as I mean it's a falling knife. It's the United health of Mexican food.

[Stephanie Link]

Of course I can't have too many of those in a portfolio, but I'll have two or three.

[Kevin Simpson]

What turns it? What turns it? What are they can do or just the consumer as to.

[Jenny Harrington]

Before you answer that question, before you answer the question, and I don't know the answer to this question, can we show a performance Chipotle year to date maybe versus Acava for for example. Because I feel like there might be something to that conversation. But you can answer that question.

[Stephanie Link]

The Stock is down 29%, Scott. It is where the kids are going. They do have the traffic. They have they very easy comparisons by the way in the second half of the year. So that'll help them as well. But they do have product initiatives to drive more growth. They still have. I said that before. High single digit percentage unit growth. Name me one other company that has that kind of growth. In addition to best in breed operating restaurant operating margins. And you add it all up, it's again, it's a falling knife. It doesn't look good.

[Jenny Harrington]

That's okay. It doesn't look good either.

[Stephanie Link]

The whole industry has struggled and I'm trying to find the best in class in the industry. Not saying that Covid isn't. Not saying that Shake Shack isn't. But I think that Chipotle is a value here, especially given that it's down so much, it's washed out and no one's even talking about it, which I kind of like to. I'm going to stay patient with stuff.

[Angelica Peebles]

When you say it's a value here, like, that's the one. That's the one part where you.

[Stephanie Link]

Relative value.

[Kevin Simpson]

And I think, I think 35 times forward. What's the problem?

[Stephanie Link]

At 30 times the forward is 22 times EBITDA. It historically is traded at 29, 30.

[Angelica Peebles]

I know, but I think. I think that historically is where we start to get into trouble here. And if you think about the portfolios that we manage at Gilman Hill, there are a lot of these, like, they have a decent valuation. Decent, absolute decent. Relative. But in this market, all the investor dollars are going to AI. And we have plenty of hard to fight.

[Stephanie Link]

I have plenty of that.

[Angelica Peebles]

I know, I know. But I think then when you see that 35 times, it just becomes insurmountable.

[Stephanie Link]

Well, it's growing 20%.

[Angelica Peebles]

Yeah.

[Stephanie Link]

Even 25%.

[Angelica Peebles]

I was having a couple. Kevin Simpson. What's going on?

[Stephanie Link]

Sorry.

[Angelica Peebles]

It's almost like the argument I was having with Kevin Simpson.

[Jenny Harrington]

You know what happens?

[Angelica Peebles]

I get kicked off this show.

[Kevin Simpson]

Headset.

[Angelica Peebles]

Oh, my God.

[Jenny Harrington]

Yeah, headset.

[Angelica Peebles]

Okay, so I'll spend the rest of the show like this.

[Jenny Harrington]

Okay. Whatever it takes.

[Angelica Peebles]

And Kevin was saying Palantir's earnings were up 39%. I'm like, yeah, 39%, but it's 150 times earnings.

[Stephanie Link]

But this is not 150 times earnings.

[Angelica Peebles]

No, it's 37. But it's 37 for a slower grower.

[Stephanie Link]

30 times for forward estimate.

[Angelica Peebles]

I just think it's still a rich.

[Stephanie Link]

Rate at 40 times everything else.

[Angelica Peebles]

I agree.

[Stephanie Link]

I'm not saying it's absolutely cheap. I'm saying it's relatively.

[Kevin Simpson]

Are you looking at it Versus like a Starbucks? Like a Starbucks? Because I think, like it's a Chipotle has faster growth, but Starbucks similarly has the potential for a turnaround here and the valuation is more reasonable.

[Stephanie Link]

I don't know.

[Kevin Simpson]

I'm not eating either stock. I'm just curious.

[Stephanie Link]

I mean the valuation is like 25 times. You're not getting 20% earnings growth and you still have a turn. Now I'm intrigued by that because you know that I like to do that.

[Jenny Harrington]

The market's intrigued by your argument, obviously. Well, I don't know what day for cmg.

[Stephanie Link]

I don't know. You just got a year from now. I think it'll be.

[Kevin Simpson]

Here's a potential catalyst. Pershing Square comes back, Taco Bell rides again. I don't know. I mean, this stock, we've counted it out before and that's one of the best investments I've ever seen anyone make. When Pershing Square came in during the food safety crisis, I think he had a 5x in the name. Like, I don't know if you have the same potential from, from today's valuation, but we've counted this company out before historically, and it's had some huge comebacks. I wouldn't say it's out of the question.

[Jenny Harrington]

So this, this does raise the issue, the overall issue of stocks that, like an Eaton, for example, as you said, or maybe a Rockwell or others that have had pretty good earnings. Yeah, I'm not saying Chipotle did.

[Stephanie Link]

No, that's why that one's the.

[Jenny Harrington]

Right.

[Stephanie Link]

Yeah, yeah, yeah.

[Jenny Harrington]

But the idea of good earnings, bad price action, that's what led you to say this is absurd. With the Eatons of the world. Does Uber fall in that category? Well, because you bought more of that, right?

[Stephanie Link]

Yeah.

[Jenny Harrington]

And their target goes today to 120 at gold target to 117 UBS. There's obviously a lot of love on this program for that name, but is that one of those stocks too? Good earnings, bad price action.

[Stephanie Link]

It was down 5% in the pre market and I thought that was absurd because I'm looking through the report and all time high in frequencies, profitability, customer count, mobility, delivery. They've got a whole new product set coming. They have a $20 billion buyback and. And the thing was down 5% pre market and then it was down about 3% all day. And so I just added to it as well. It's a verb and it's where they bought it.

[Kevin Simpson]

They bought it. They spent the whole day buying it back. I know the pre market sell is like algorithm. I know, but they don't even care.

[Stephanie Link]

It didn't. Like I thought it was going to be up 5% after I saw the results.

[Kevin Simpson]

And then two reasons why it was.

[Stephanie Link]

Mobility was a little.

[Kevin Simpson]

Two reason, two reasons why it wasn't. I thought the numbers were solid. I think the street really wanted to hear about an expansion of the Waymox partnership into a third city. And Dara didn't have it. He may have it tomorrow. He didn't have it for the earnings call. I think the street is like, okay, Boston's great. Atlanta seems to be going really well, though it's early. Who's next? And they didn't have it.

[Stephanie Link]

And I agree with you, which is why I bought it, because I could, I couldn't believe it was down on such a solid report. And we know all that stuff is coming, Josh. Sorry.

[Angelica Peebles]

No, no. But you know what? I wondered, I wondered if actually the share buyback was interpreted like, as a bad thing just a little bit.

[Kevin Simpson]

I don't think so.

[Jenny Harrington]

I'm not sure how and why, because why aren't they usually, they're.

[Angelica Peebles]

They have that much cash flow. Like, think about the reason we bought it, right? Was because it was going from negative cash to exploding cash flow. 2 billion the first year, 4 billion. Now we're up to 8 billion. What do you want that as a growth investor? What do you want them to do with that cash? You want them to invest? And we know, we know that they're going to have challenges from driverless cars. They're having, going to have challenges from Tesla. And so I really wondered, was there some interpretation of, I'd rather see you use that $20 billion to reinvest and make sure that you are as competitive as you can possibly be? That was just my response.

[Kevin Simpson]

So I'm on the other side of that. I think that would be a huge mistake for Uber to go whole hog into some sort of OEM situation where they're buying cars. And one of the things that, if you read between the lines Dar was talking about. Hold on one sec. The value of autonomous driving is not going to accrue at the car level. The cars are washing machines. Okay? They're microwaves. The private equity companies that are ringing Uber's phone off the hook, they want to own the fleet. And then Uber is going to make its money connecting drivers to those fleets. Fleet management is not going to be a sexy high tech business. It's literally going to be appliances. So I don't, I don't think that that would have been bullish. I think the $20 billion buyback is bullish because I think it demonstrates confidence. We are generating so much cash flow at this point. We can A, do capex, B, do M and A and three return a lot of excess capital to shareholders and One other thing jumped out at me. Jenny, love to Hear your take. 36 million Uber 1 members and here's what you need to know. Uber 1 members, people who are paying a subscription price to Uber every month, like myself, spend three times more and 35% higher retention than regular single service users. And they're also finding that those people are utilizing lots more services on the platform if they can get that number over the next year or 2 to 50 million paying subs. Now we're having a Netflix conversation, right? We're not having a taxi and limousine conversation, right?

[Angelica Peebles]

With I think, okay, so when I said that on 20 billion, I was just saying like, maybe this is why it's trading down, because I couldn't make sense of why it traded down either.

[Kevin Simpson]

It's up 55% year to date. It's simple as that.

[Angelica Peebles]

Maybe, maybe that's all it was. But I wondered if that was missing.

[Jenny Harrington]

Well, what about. So what about the broader idea of buying dips right now? Retail has been a really key component in keeping this rally. As resilient as it's been, retail has been more right than institutional investors in many regards throughout this whole thing. Is that starting to wane? Interesting Information today from J.P. morgan's retail investor radar. Lukewarm retail activity during the market dip. Retail buying only amounted to a modest 1.6 billion on Friday August 1, 1.2 billion on Monday, August 4. That compares to a 3 million average of 1 billion and the March April peak of 4.7 billion. Is retail getting tired? Is retail getting exhausted? Are some of these moves in lower quality, higher beta culty things playing themselves out? Is that something to be concerned might.

[Stephanie Link]

Be tired, but institutional? They're all behind their benchmark marks because they were not buying in April and May. Right. And so now I think they're chasing and it is okay if retail takes a pause. There's still 7 trillion of cash on the sidelines. However, I don't think it's all coming into the market, but that's supportive. Scott, we talked about $1 billion year to date of buybacks that have been announced from companies. A record number last month alone. So you have that as a tailwind as well. And then I think you go back to fundamentals. If the stocks pull back enough, I bet you retail will be right back in there because we have learned that it is all about AI and all about data center and all about cloud and all about power and grid and that sort of. And there's so many ways to play it, but maybe those are A little extended, make it maybe we take our time in August and September, seasonally slow months. But then I think you get, you set up really strongly for 4 is.

[Kevin Simpson]

Money coming in from investors all over the world. Very paradoxically, at the same time, the Global Macro Hedge fund people are talking about this concept of liquidity leaving the United States because of the tariffs. Then we get data from the St. Louis Fed that tells us private investors, so not sovereign wealth funds, not central banks, private investors buying record amounts of US securities and not just T bills, they're buying US Stocks like in huge numbers. I don't think that kind of thing stops on a dime. So not only do you have this bid from the retail investor that does not seem to get satiated and comes in on every dip, whether the institutions do or not. Now you have private investors from all over the world increasing their exposure to US Stocks largely because their economies are doing well and they see this as an opportunity when the market.

[Jenny Harrington]

And because you think, Jenny, that the tariffs, which you know sound bad by headline, aren't as bad as that sounds. I mean, look at the tariff announcement today on the chips, right? First of all, reciprocal tariffs went into, went into place today. You have the president talking about 100% tariffs on chips. Except that's the most important word of the day. If you look at the activity in the chip stocks, the carve outs for the companies that are announcing, the foundries that they've already announced to build their stuff here, why do you think it videos at a record high today? Why is Broadcom up? Why is Micron up? Why is Taiwan semi up? Why is AMD up? Why? Because the market likes to carve outs and so does B of A. As they talk about the impact of tariffs not being as bad less than meets the eye, they say it removes the overhang from a high level. The 100% headline line number seems intimidating. But in practice we expect a much lower impact as major foundries such as Taiwan Semi, Samsung, intel and major other companies have committed to building significant US manufacturing footprints here. Nvidia's target goes to 200 today by Goldman Sachs. That's part of the story. To bark different from bite. Bark different from bite, right, yeah, absolutely.

[Angelica Peebles]

And I think that's why the entire market's up that much. It's why we rallied, you know, straight off of the Liberation Day lows because everyone saw that he was going to back away and that we weren't really going to be stuck with the 30% that we were at as of the end of March. You know, now we're at this 15%. No one believes the 15%. I still think that there's risk, I think there's risk that, that supply chains do get messed up, that some tariffs are high. It hasn't worked its way through the system. I don't know how that works and I works out in the end. And I think when we talk about, you know, how people are feeling about it, our client base, yeah, they're fully invested, we talk about that all the time. But at the same time nobody feels good, you know, so, so people are wary, people are uncomfortable. They're all happy that they've made money, but they don't feel good about the way it's been made.

[Jenny Harrington]

What is, well, their leader, their leader, their leader, you has not felt good about the market. So maybe, maybe that's an egg, maybe that's trickle down feeling badness.

[Angelica Peebles]

Maybe, but maybe it's a chicken and an egg. Maybe that's why our clients come to me because they, they sense that hesitation. Right? I don't know. But there's no, I don't have a sense of a rah rah, this party's flying along. But what I have a sense of begrudging, we're happy to be up. The government's going to support this market. Right. We know they're going to back away from tariffs, but I don't even know.

[Stephanie Link]

What if they don't back away? You get 15% but then you offset it with lower taxes and deregulation.

[Angelica Peebles]

Hold on, not lower tax.

[Stephanie Link]

Well, low taxes at a known. So that can use all their money and free cash flow to invest and build out their business and that leads to better growth. What if, what if tariffs actually work?

[Angelica Peebles]

Right. And that's why you stay fully invested.

[Stephanie Link]

Right.

[Angelica Peebles]

But it's not rah rah.

[Kevin Simpson]

You know, I think there's a dichotomy though between like different investors who are focused on different areas of the market. So I think there is a huge component of 27 year olds, 32 year olds, they're like praying for dips because every one that they've bought over the last 15 years since they were 22, it's been an incredible opportunity and they're in the palantirs of the world and they're in the joby aviations and they're like, they're using their imagination and buying companies where they say to themselves yeah, I don't care if this goes down 50%, I'll be fine because this isn't my, I'm not 70 it's not my whole net. Like I'm still accumulating shares. I see that attitude every bit as much as I see what you're talking about, which is people who are like, all right, I guess it went up. I don't know how it went up, but it went up. I see both, but I think there's a demographic separation between those two mentalities.

[Jenny Harrington]

I mean, Steph paints a picture where you can easily or certainly more easily see why. Stephen, stocks have been at record highs. Now. We've been in a little bit of a doldrum period and there's been an undeniable lull in what's happened. Why? Well, the jobs revisions raise some serious questions. The path of the Fed raises some serious questions. But Steph goes down the list. Deregulation, better growth. Those are legit.

[Angelica Peebles]

They're legit. And I want.

[Jenny Harrington]

Those aren't. What is the doldrum?

[Angelica Peebles]

I want call this a digestion. And I think that's probably the right way to look at it. Like, why have we kind of plateaued at this + 7 to + 9% on the year level?

[Jenny Harrington]

Because we had a massive run off the April low.

[Angelica Peebles]

It's not a doldrum. We're still up 9%, almost 9% on the year. That's not a doldrum, that's just a digestion. And maybe we just consolidate. Maybe we're in the process of consolidating that 23 times and getting to the best case that Steph paints, maybe, I.

[Kevin Simpson]

Hope so, could continue to be bought. MSCI US is up double the S&P 500 this year. What's happening is very much a global phenomenon. And I think it's really important to look at charts. Look at South Korea, look at India, look at Europe, look at the uk, you've got strength. Japan, you've got strength in gigantic markets all over the world. I think, I think it's, it's transcending just our concern about like us jobless claims from last week. I think it's a much bigger phenomenon of people really thinking about the future. A lot of these Capex build outs, various things and wanting to be a part of it.

[Stephanie Link]

You have stimulus all over the place around the world other than in the us so just imagine when we start to stimulate. I think there's better value here.

[Jenny Harrington]

So we're going to, we're going to take a break. We'll come back. There's some game changing activity today for how you can invest in your 401k. You're going to want to hear about it. We'll talk about that next. We'll debate whether it's a good or bad thing. It's an executive order that's going to be signed at the White House by the President and we need to discuss and we'll do it in two.

[Stephanie Link]

As.

[H]

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[Josh Brown]

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[Jenny Harrington]

Welcome back. President Trump expected to sign an executive order today to allow private assets and crypto assets into 401ks. Yes, it's a great opportunity for private equity to have access to these funds for our purposes. I think the bigger conversation for us as to whether this is good or bad for investors. Josh, this is in your wheelhouse. If ever an issue was what do you think about this?

[Kevin Simpson]

I wrote a 3,800 word blog post about this on Monday. So if anyone wants to go to downtown Josh Brown and get my expanded thoughts. But big picture Judge, I like the idea of there being choice. I just question whether or not we all agree it's very hard to pick an active stock mutual fund in advance that's going to outperform. And I think most people would agree that's not easy to do. The amount of dimensions of things that could go wrong with private markets is like 10x. So I would equate picking a public stock mutual fund to playing chess. This is like a 12 sided Rubik's cube. Got liquidity issues, you've got opacity. You can't actually do due diligence on the underlying assets. You really have to rely on the fund sponsor to do that. There are, there are a lot of different reasons why most people don't need this. That being said, if you're dying to have your money, at least a sleeve of it in private equity private credit, there are probably worse ways to do it. You do it in a sleeve of your 401k and the fees aren't egregious. Maybe it works out. My personal opinion is it's a nice to have not a necessary to use the.

[Jenny Harrington]

The individual investor already has access to these products. They haven't had them through their 401k or retirement plans, but they have had access to them.

[Kevin Simpson]

High net worth people, yes, but even.

[Jenny Harrington]

Even lower net worth through platforms like we go out to the CASE conference every year which is a platform that connects the asset managers like the private equity firms to the RIA community. So that Regular Joe.

[Kevin Simpson]

These are for. But these are for million. These are for half a million dollar allocations. Now we're talking about a 401k a person allocating five grand.

[Jenny Harrington]

I understand, but there's a, there's a definite difference between, between the two. Yeah, but this is not the first foray that regular investors have had into the alternative universe. This just ups the ante when you start talking about retirement plans.

[Angelica Peebles]

It does, but also you can buy these through BDCs. You can buy Aries, you can buy Sixth Street Lending, which is what we Own, you can own some of the Gallup funds and you're getting access to private capital, to private credit right through those. Why not go that way, Hercules?

[Kevin Simpson]

Well, in a 401k, people aren't buying individual tickers. That's why the point is it's an $8 trillion honeypot. The 401k market, it's 8 trillion. If private equity can get to 5% percent, they're at zero now. 5%, that's 400. I mean we're talking about $400 billion. And the fees on these funds are substantially higher than the funds that are traditionally used, like life cycle funds or index funds, which are three basis points. Now you're going to have people paying 100 basis points. What are they getting for that? 100 basis points? Well, that they weren't getting from the plain vanilla index. My question is like, you really think that's the route to outperform the S and P?

[Angelica Peebles]

No.

[Stephanie Link]

Diversification tool.

[Kevin Simpson]

Okay.

[Stephanie Link]

Have to maybe allocation like 5%, 10% max in terms of exposure to the, to private credit or private equity or private markets in general, especially given the liquidity. My concern is lack thereof. Lack thereof. Like, like that's what bothers me because I'm not sure private investors or retail investors understand or appreciate these are long tailed assets. You're not getting your money back for a very long time. I know it's 401k, so maybe they're not expecting that. But this is not something like I can just go sell tomorrow.

[Jenny Harrington]

No, but the other side is that the world's evolved. I mean, sure, people are looking for different kinds of assets beyond just stocks.

[Kevin Simpson]

They're not traditional bonds. They're not going to be uncorrelated. So this is unfortunately Cliff, as this calls this volatility laundering. If you've got a portfolio of private company securities, whether they're bonds or stocks, and then you've got public bond, corporate bonds and US stocks and you get into a recession, you're not getting that diversification benefit in real life. What you are getting is a delay between when you find out how much you're down. The private equity funds get to mark their portfolios periodically, whereas public stocks are marked to market every second of every day. But it's not like private equity is going to outperform in a, in a negative environment or substantially outperform in a, in a great environment. There's just sort of like a timing mismatch between when you actually learn what the pricing is.

[Angelica Peebles]

Yeah, just two more things on that too. First of all you said 1% fee fees. That's being generous. That's like maybe at the top line. What you're seeing, we all know higher. It's obvious they're going to create new.

[Kevin Simpson]

Products though for 401ks maybe.

[Angelica Peebles]

But you still know there's so many layers, there's so many hands in the pot. Like if you actually did forensic accounting on that, the fees would be really bad. One other thing that's very important, please. One of my family members just had another family member pass away. It was an 80 plus year old whose portfolio had been loaded up with these private vehicles. Now passes down to the three kids, right? The three kids now all have inherited IRAs. They have all these private vehicles in them. They don't unlock for between four and 12 years. So they can't even access their money. I don't know why someone put an 80 year old into these locked up. Okay, fine, fine. We all do. And that goes back to the fee comment. Right. And how many layers of fees. But I think there's a very pragmatic, very realistic downside to these, which is it's a problem. Like it was easy enough to pass them down to the kids, but now the kids are stuck when they actually need that liquidity.

[Jenny Harrington]

All right, Angelica Peebles has the headlines for us. Hi, Angelica.

[Mike Santoli]

President Trump will sign an executive order requiring colleges to submit admissions data to prove that they are not engaged in affirmative action. That's according to White House Press Secretary Caroline Levitt on X. She didn't provide any details, but the New York Times reports that it will also require the Education Department to revamp the process for collecting data. Meanwhile, President Trump could meet with Saudi Crown Prince Mohammed bin Salman in Washington in November. Bloomberg reporting the crown prince is set to nail down promises that were made during the president's May visit to Saudi Arabia, which included pledges made in the air, defense and energy industries. The White House declined to comment. And in Minnesota, the man charged with killing the state House speaker, Emerita Melissa Hortman and her husband, as well as injuring state Senator John Hoffman and his wife, pleaded not guilty this morning in federal court. Vance Belcher was indicted last month of six counts of murder, stalking and firearms violations. Prosecutors say a trial date hasn't been set. Back to you, Scott.

[Jenny Harrington]

Angelica, thank you. Angelica Peebles. Up next, more committee moves. Stephanie Link just adding to her position in a retail name. We'll tell you what it is. Plus, Josh Brown ready with his best stocks in the market list. Is there a new addition? Stay tuned. And we'll tell you.

[Josh Brown]

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[Kevin Simpson]

Passion opens the door to all possibilities.

[Stephanie Link]

When I feel like anything's possible, I feel kind of gifted. I want to be an astronaut, an artist, an actress, to visit another country.

[Kevin Simpson]

All I need is a backpack and a pair of shoes and I'll find.

[Stephanie Link]

A way I'm able to do anything I set my mind to.

[Angelica Peebles]

I've never felt like more things are.

[Kevin Simpson]

Possible than right now.

[Josh Brown]

In the right shoes, anything's possible. Dsw countless shoes at brag worthy prices. Imagine the possibilities.

[Jenny Harrington]

The latest edition of Josh Brown's best stocks in the market list has a new entrant.

[Kevin Simpson]

It is TJX Companies. This is not a big area of the market for me. I don't really talk about retail very often. This is an incredible long term chart, an incredible long term performer. I know Stephanie has been in this name for a long time and and has been telling us about this company for years and years and years. But I'll make this very simple. You do have consumer trade down right now. They are looking for bargains, they are looking for discounts. TJX is the best of the discount retailers, the most consistent. The average discount range at their stores, whether it's TJ Maxx or Marshalls or home goods is something on the order of 20 to 60% off a comparable for price department store. So they're in the right, they're in the right area of what the consumer is looking for and needs right now. Had a very good earnings report last quarter. They don't report this time until August 20th but they did maintain their full year guidance for comparable sales for profit margins for full year earnings per share last May. I think that guidance remains intact and I think what you're seeing here technically so a very obvious breakout. 135, 136. That was a ceiling back in March. If she can get through I think that becomes the new floor. You've got moving averages turning up and at the end of the day what the market values most this year is momentum and consistency of earnings growth. And this thing has both of those in spades. So if you don't have retail in your portfolio, you're looking for a name that plays on what consumers are after in this day and age. This could be the one.

[Jenny Harrington]

Stephanie Link. You used to be in this name. Right? Way back when.

[Kevin Simpson]

For a long time. Right.

[Jenny Harrington]

Made a lot of money in time. I actually had to do a double check and make sure you still weren't in it because I identified you in part with this name for a long time. Out of the retail space.

[Stephanie Link]

Yeah.

[Jenny Harrington]

What about buying it back?

[Stephanie Link]

It's just a little too expensive for me at 29 times forward. But Josh makes all the relevant points. They are taking market share within the class that it's in. And they're taking share from the department stores, which are in a world of hurt. And they have elevated inventories and they benefit from that. So management team is amazing. Great balance sheet. Like, it's 29 times. It's very hard for me to own it.

[Kevin Simpson]

Same CEO since 2016, Ernie Herman. And they, I mean, they just, they figured out they have like. It's like a Costco to me. It's like a Costco 100%. And I'm jealous of you. I've never owned it. And give us a long term chart and then we've got to go to a break.

[Jenny Harrington]

No, I got one more thing, but we can look at a lot.

[Kevin Simpson]

I want to see, like, I want people to understand you're. You're good.

[Jenny Harrington]

Not great.

[Kevin Simpson]

Like, I'm. Look where I'm discovering this stock.

[Jenny Harrington]

Yeah.

[Kevin Simpson]

You know, so it's not a hidden gem. All right.

[Stephanie Link]

It's not a discount during earnings. It always trades crappy. So you might get a look. Sometimes it's down 5, 6%. So maybe you can get a look.

[Jenny Harrington]

This is the Gap.

[Stephanie Link]

Yes.

[Jenny Harrington]

A hidden gem that has value that you already own and that you just bought more of.

[Stephanie Link]

Yeah, I do. And it's at nine times earnings and it's got a three and a half percent dividend yield. And yes, you're going to hate the chart, Josh, but Richard Dixon is the CEO.

[Kevin Simpson]

Oh, my God.

[Stephanie Link]

And he is executing really well. They have gained market share for nine consecutive quarters at Old Navy and the Gap. And that's because they have new leadership there. And operating margins have expanded the last five quarters. Gross margins are expanding. Inventories are in good check pricing power. I think they're doing a really good job changing the brands and that's key. Athletics, the only one that's not doing well. And everybody in Athleisure is having a hard time, so I don't really worry as much about that. But again, nine times earnings. And by the way, I think they de risk the numbers because they gave us like Tariff worst case scenario last quarter and that's why the stock fell. And you can see the chart.

[Jenny Harrington]

Yeah, well the market's listening to you today. I mean you know the stocks that you snapping up.

[Stephanie Link]

I don't know about that, Scott.

[Angelica Peebles]

The market always listens to stuff.

[Jenny Harrington]

Yes, clearly. Let's be real clearly. All right. Eli Lilly move. Worst day in 25 years. Kevin Simpson owns it. Of course we reached out to him like are you doing anything with this stock today? And he is and he'll tell you what next. Choppy market lately. You see the dow there down 350 points. Nasdaq's given up almost everything. It may actually be on your screens red now it's looked barely green on mine. The market's been really choppy lately. As you know we'll continue to follow it. But 355 down on the Dow. There's the Nasdaq giving everything back. I mean Apple is positive again. Nvidia hits a record high. Some of the chip stocks despite those 100% threatened tariffs are higher. But there are other names that are down reasonably significantly.

[Kevin Simpson]

August, something still in the.

[Jenny Harrington]

Well, it's been a choppy market. It's been a choppy.

[Angelica Peebles]

Can I just say one thing on the choppy market quick on these ugly down days, I'm seeing the dividend stocks start to perform form and it's just really been super bifurcated. So on the big strong days like wild underperformance in dividends today dividend stocks are up.

[Kevin Simpson]

Utilities are up 1.1% as a sector. The best performer on the day.

[Angelica Peebles]

Right.

[Jenny Harrington]

All right, let's talk about Eli Lilly. I said it's having its worst day in some 25 years. Their weight loss pills showed only modest results in a late stage trial. Market obviously did not like that. Kevin Simpson joins us now. We reached out to everybody in our universe who owns this name to see what was going on and you actually are doing something. Tell our viewers what that is, please.

[I]

Yeah, I mean just very briefly, Scott, the numbers were fantastic for the quarter but that wasn't the story or for clip run and the failure to address the expectations for the oral drug have knocked this thing down probably about 14%, 52 week lows. So heading into this yesterday in the Q devo we owned a 1 1/2 million percent position. We thought the numbers would be better than they are today but we were worried about the stock performance. You could see some volatility going into the trade. So yesterday afternoon when the stock was $750, we covered a third of the position. In hindsight, I wish we had done more. But we wrote an in the money call for about a one week expiration. We brought in $38 yesterday at the close. And this morning, obviously with the stock, stock down very substantially, we were able to buy those back and close them out for a $36. So we hedged out $36 and change of the decline. Again, not, not anything to jump up and down about. But I think the lesson here is taking some activity and some hedging going into earnings sometimes is a really good idea.

[Jenny Harrington]

Yeah. Well, especially with the kind of decline you're looking at now, Kev, I got to run because I want to get to some other things. I appreciate you joining me and updating our viewers on your very latest move with Lilly. Again, the worst day in some 25 years. Take a look at Elanco as well. Today, their earnings beat. They raise. Their guide, Stephanie Link owns that name and is pretty happy about it, say the least because that is the almost mirror image or exact opposite, I should say, of what's happening with lilly. It's up 16%. What do you think?

[Stephanie Link]

Yeah, I mean it was a great quarter too, too. They beat by 46 cents in earnings. Organic growth grew 8% versus the 4% expected. Companion animal was up 10%. Livestock was up 6%. They guided higher. They guided innovation growth and all of the products that they have to be higher in terms of contribution for this year. So it was really a great quarter. Stocks a little bit more rich these days at 19 times, but 8 times EBITDA. I still like it. I still like the animal health theme very much for the long term.

[Jenny Harrington]

You got something on that? Oh, you looked at me like you wanted to say something.

[Kevin Simpson]

No. Yeah, of course.

[Stephanie Link]

Do you have an animal?

[Kevin Simpson]

Great job.

[Stephanie Link]

Do you have an animal?

[Kevin Simpson]

Yeah. No. Do you have an animal?

[Angelica Peebles]

I do have an animal.

[Stephanie Link]

Seven out of 10 people in this country have an animal.

[Angelica Peebles]

Correct. And in fact, I've just, my wife.

[Kevin Simpson]

Would say we have an animal, but I am the companion animal in this case.

[Stephanie Link]

We're going to spend $150 billion, 20, 30 on animal health and wellness. So I want to be part of that. Zoetis, Idex and Elanco are the only three that really exist with size.

[Jenny Harrington]

Okay, Santol is next. We're back on the half. Senior markets commentator Mike Santoli is here post 9 for his midday word. Geopolitics trade on the top of the market's mind today.

[J]

Yes, it looks like it, but also just a little bit of a twitchy market within this range. It's been that way for a couple of days. Yesterday there were these weird phantom moves in treasury. So maybe that is just kind of, you know, gappy August air pocket type action. We've been in this range. Right. We spent this entire week within the Thursday, Friday range in The S&P 500 which went from record high, everything's going to be great, 64, 400 plus on Thursday to oh no, Fed's behind the curve. You know, recession risk goes up 6,200 on Friday. That within that we're not really resolving a lot of questions. I don't think software really weak and just the extremity of some of the earnings moves I do think made it a little bit tough for the broader tape to shake things off. And that to me is why we're susceptible to the headline.

[Jenny Harrington]

Take a look at that. That's Firefly.

[J]

Yeah.

[Jenny Harrington]

That is the latest and greatest of the IPO parade and it is a nice gain right out of the open today. It priced at 45, it opened at 70. So Mike, I mean this has been one of those positive trends that people are kind of hanging on and citing as if you want to know what catalysts are for the remainder of the year, it's an environment for capital markets like IPOs and M& A that looks much, much better than it did did a handful of months ago.

[J]

Yes. Although this is a distractible market after day one on these IPOs. Right. I mean some of them have basically gotten all of their demand satisfied on the first day of trade and then they've backed off or you've kind of move on to the next one, you know. So I think you have to be careful. That was just looking in the two months since Circle came public, the average daily move in that stock is 8 plus percent.

[Stephanie Link]

Wow.

[J]

And somebody came out today with a 2 times leveraged ETN connected to Circle. Right. So, you know, I think it's hard to satisfy that kind of energy just with one name that you're going to buy and hold for a while.

[Jenny Harrington]

Yeah, it's a. We'll watch it. Obviously. We'll talk about it again, I'm sure on closing bell when Mike joins us. Thank you. Finals are next. Got a volatile market today. Dow Jones Industrial average has shaved 100 points off the low from when we were just talking a few moments ago ago. Nasdaq's come back, now it's up 50 points. That's a quarter of 1%. So we'll watch it, we'll track it. We'll certainly see what this last hour of trade on Closing Bell has in store. We'll do that with Jeremy Siegel, the professor, of course, in the Wharton School. Nuveen Sarah Malik will join us as well with her best investment ideas. Let's do finals. Jenny Harrington, your first Great numbers flex.

[Angelica Peebles]

LNG up 10% on the year, 12% dividend yield, 13 times earnings.

[Stephanie Link]

Steph Palo Alto on the bad Fortinet news. This is not Fortinet.

[Jenny Harrington]

Ooh, Fortinet's getting hammered today, too. We can show that to Apple.

[Kevin Simpson]

You Josh Yeah, I think it's 200. Looks like the lows are in, so.

[Jenny Harrington]

I'll see you on the Bell. You've been listening to CNBC's Halftime Report, the podcast. You can always catch us live, weekdays at 12 Eastern only on CNBC.

[Scott Wapner]

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[Jenny Harrington]

Conan O' Brien here with an ad about my podcast. Conan O' Brien needs a friend. I've had so many fantastic conversations with people I truly admire. People like Michelle Obama, Bruce Springsteen, Maya Rudolph, Tom Hanks. New episodes are out every Monday and we have a really good time, so subscribe and listen wherever you get your podcasts.