Giants of silicon valley. 10 trillion in market cap. Adam lashinsky, from fortune, both fox news contributors. Along with former investment banker carol roth and tech expert lance ulanoff. Thank you so much for joining us. Scott, first to you, which of these stocks will move the market, move the most after the bell. Given where we are during the pandemic and kind of where the consumer is i think it is an amazon story and not because amazon is retail and tech with Amazon Web Services youre getting a little bit of both. Youre getting a little bit of tech with amazon and certainly get the retail exposure. Amazon in some cases, david, by some estimates is pushing a hundo billion of revenue. That incredible for reporting services. That is a big tech titan. A big retail titan. That is why it holds so much water. David adam, call me oldfashioned i look at apple of the four stocks, because sometimes they low ball numbers before the earnings come out and investors are surprised when they do. Frequently they do it and made it into an art form. I think iphone is premium product. I dont agree with stock. Amazon is outlyer because they benefit so much from what is going on now. I think the one to watch is google. It is the truest reflection of the Macro Economy in the United States and Global Economy well see out of the four today. David carol, you have issues of facebook, whether or not that boycot that happened in july will affect its numbers. Google has issues of its own in terms of censoring or charges of censoring. Those will be interesting once. The regulatory issues for both of them and the big boycott virtue signal. The big question does that show up meaningfully particularly for facebook and their numbers this quarter or something that blows by and i think if it does show up the mean any for earnings this quarter i think it become as drag on the stock for a buying opportunity because those are the type of virtue signaling events that dont seem to have a lot of tails on them. David lance, there is always questions about what apple has up its sleeve in terms of new product design, et cetera. Anything to look for . Look, they dont signal what theyre going to do during this call. They will promise a great slate of products. We definitely heard rumors of product launches in august, september, and october with everything from new airpods to new tablets and macs, including macs run on their own silicon. The big one is the iphone 12, that is supposed to happen in september. We have this bizarre environment of the pandemic. Right now he dont have a clear impact how that impacting their earnings and in six months. David scott, amazon is beating the pants off of walmart. At first it would looked like it was a horse race. Clearly retail Sales Numbers, Amazon RetailSales Numbers have gone through the roof. Because of the pandemic they are spending a lot of their money. A 4 billiondollar spend by jeff bezos on pandemic supplies. Making sure that their workers dont get sick. That is the funny thing about amazon, david, you have to take into consideration as you look at their earnings. They play with the market, play with wall street when it comes with profits. They dont really care. Back in the day when amazon was much smaller. They had trouble making profits. Now they can turn a profit any quarter they want. Sometimes they spend, sometimes they spend less. Adam, i miss you, covid kept us apart so long i have to disagree back with you. I miss sim so much. When we look what amazon has done besides the retail. Look at the advertising. Look at Amazon Web Services. Theyre getting into health care. Amazon, guys, will almost be forgotten as a Retail Company in five years. Because they will be into health care, because the aws division will be so big. You have to focus so see their reach what theyre doing as far as business overall. David go ahead, adam. I was starting to agree with you scott. Maybe it is a matter what the focus is. All i was saying was if you want to understand is happening in the Global Economy theyre not the most Interesting Company although i take your point, aws, web Services Business is reflective of the general economy more than their Retail Success but i totally agree but the street doesnt particularly care quarter to quarter amazon is spending. The street cares how much amazon is growing. If i can jump into the aws piece, one thing everyone will be looking for what the growth number is. When you look eight days ago, when microsoft reported their azure business had deceleration in revenue. The question is amazon seeing same deceleration in revenue on aws. What does that mean. Spot on. Spot son. David melissa. Melissa lance, that is exactly i was glowing to ask as the next question, microsofts azure went from 61 growth to 350 growth, imagining 50 growth was somehow a disappointment is hard to see but it was. I know for amazon in the web Service Decision theyre looking for maybe 33 . You think that sounds about right . What would be considered good and would be considered a disappointment for aws inside of amazon . I guess that sounds about right. The thing is aws serves so many different businesses, right . To me it is actually a reflection of the larger economy, the Global Economy because it is how Many Companies can hop on to the services to try to grow. If we see deceleration, that is a reflection what is happening to the small, mead jump size and even Large Businesses that rely so heavily on amazons server business. I wouldnt say, think, what happens to amazons retail is also a reflex what is happening with peoples pocketbooks. The money they have in hands. Even though they had to state at home, they had to shop there, if they cant shop anymore it means deceleration happening too. David i understand. Lance, i have to cut you off for a second because we have facebook earnings. Lauren what are the details . Lauren here we go, revenue much better than expected, guys. 18. 69 billion in the quarter. A solid beat when it comes to revenue. Also there is an increase in engagement. Wait until you hear these numbers. Monthly active users, 2. 7 billion, more than expected. Daily active users, also more than expected, 1. 79 billion. So facebook, right now, putting in these solid numbers. Stock is up 4 right here in the afterhours trading. Back to you guys. David lance, what about those numbers . What is really interesting to me. I was think about this before we started, even with the stop profit for hate campaign the fact of the matter is, facebooks engagement numbers were going up because were all stuck at home, and how do we connect with people . Were connecting to them digitally. Yes, people frustrated with the ad campaigns, political campaigns that showed up, fake news, maybe the hate speech but what they really were using facebook for was to stay connected. So that is what facebook will try. That is what im sure theyre going to talk about. People are still engaging with the product. Obviously the stop hate, profit for hate did not really hurt them at all. Melissa yeah. Looking at more of the data here, so that daily active users for the quarter, 1. 79 billion for june. That is an increase of 12 yearoveryear. Scott what do you think about that . It is good. Lance, great point about staying connected. Look, we got so spread apart in covid i even thought about going on facebook connecting with people. I tell you what is interesting, that is a big statement. Heres the thing though, guys, a lot of ad boycotters are not exactly happy to see some numbers such a rise as they went into the ad boycotting that is july, north part of the quarter going to be reporter until we get into october, look at fact we had testimony yesterday. I thought zuckerberg did okay. There is ad boycott looming depending to change things enough to see if the boycotters come back. Melissa hang on, i want to be speak directly to that. Facebook said first three weeks of july, year over year after growth right was approximatelily in line with q2, yearoveryear ad growth rate. Theyre saying first few weeks of july they didnt see a drop off. Who is that . Adam . What do you think about that. Let me react to. That i wrote this a couple weeks ago people can boycott facebook but the ads perform like nobody elses. Most of these marketers are fairly crave ben this some will say we hate the hate speech on facebook but they will go ahead and advertise on facebook as long as it works for them especially when cutting back their marketing spend elsewhere. I think the other thing with those great numbers is instagram. Instagram is on fire. It is in the zeitgeist of behavior. Im guessing that is where a lot of this growth is going to be. Melissa it is. No doubt. Amazon reporting Second Quarter results. Lets go to lauren simonetti. She has the numbers. Lauren lauren i had to check this a few times. Wait until you see the eps number. Expectation was 1. 46. Came in 1. 30 a share. Revenue also better than expected, 88. 91 billion in the quarter. So yes, there are a lot of eyes and scrutiny on amazon for the way they treat their Third Party Sellers. Way they treat customer data. They have proven especially during covid they are needed. You saw that with a major beat on earnings and also on revenue of 88. 9 billion in the past three months. Melissa so, lauren, that is apples to apples . That is the real number . Lauren yes. Checked it several times. 10. 30 . Lauren looking for 1. 36. Came in at 10 30. Melissa holy cow, what do you think. All me. I dead all the ordering. Right, im ordering stuff on prime that still was, is, remains the best deal on the planet by the way. We talked about that before. When you make 88 billion in a quarter you can make 10 a shear plus in profit. That is pretty easy. That is like Everything Else were seeing. Tech stocks so far look pretty strong. They have a lot of engagement. Throw the ball back to adam a little bit. He is right. There are a lot of things going on on line despite ad boycotting, with stuff like instagram, engagement in retail with amazon where these companies are printing money, making profit hand over fist. With the conditions going outside our doors here that is probably not going to change. David bring in carol for a second here. Carol, i mentioned that 4 billion that bezos spent on coronavirus expense. That is just a counting error when youre making 10 billion as an, as profit, you can afford to do that. I cant think of anybody that has that melissa 10 a share. 88. 91 billion. David i cant think of anybody with that kind of reserve. It is amazing but it was a baked in expectation. Positioned well for the future but i want to put this into perspective. We got a personal consumption number down 34. 6 today. So that means despite the fact that everybody was spending so much less, all of those extra dollars went to amazon and it demonstrates the have and havenots in this economy. Because all the money would have fon to Small Businesses has now gone to amazon. Yes. David good point. Great for amazon but not necessarily great for our a broader economy. Melissa there are those Third Party Sellers on there. Go ahead. Right. I was going to say. I dont think we can say all of the Small Businesses were nudged out. So many of them are on amazon. Third party seller business is massive on amazon. And the fact of the matter is over the last few months people have not been able to go out and actual shop at some of these businesses if there were entire bunch lenses all over the world, turned into one lens pointed at amazon because we had no other choice. None of these numbers really surprise me. Again it is an extraordinary time and amazon could not have been better positioned to sort of take it all in. David, this melissa those are big targets. Go ahead. What i was saying earlier, what this just validates for me and to carols point exactly was that there is two different ways to analyze this. One is amazon, fantastic. The second is, what does it say about everybody else . Terrible. And so you know, the Third Party Sales on amazon, that is a big number for amazon but is not big relative to what isnt happening in the rest of the economy. That is the important takeaway unless youre a amazon shareholder which is a takeaway. David not just the small competitors that might be getting beaten up. Well have to look at their numbers as well but, scott, i mentioned before in the race between walmarts Online Services and amazon, amazon won hands down. Walmart, im wondering how much theyre worried about amazon right now. You know what is funny about that, david the world i know were in a pandemic. Weve seen the numbers as carol pointed out to gdp the world is big enough for a few companies. Some yes, will get left behind. Frankly left behind in every recession, jobs are destroyed, capital taken away. Walmart online, sales are accelerating. Companies like costco are doing okay. There are other places existing outside of amazon. Eastern nike, some of these other companies are Still Holding on to the global brandscape. So to me there is a lot of other choices out there and amazon i think as jeff bezos pointed out in his intro yesterday and his testimony, amazon is winning because they deliver. I mean that as kind of a pun. They do what is right by the customers and customers are very happy with them. That is why they keep shopping there. Melissa so far away from it, hang on, hang on. Before we get too far away from i want to point out the numbers we were talking about there. Saying 88. 91 billion in revenue. The estimate for the Third Party Sellers had been 16. 89 billion. 16 as a portion of that 88 when youre looking what is the sizes of the Third Party Sellers inside. Also amazon saying they provided one time thank you bonuses totaling 500 million to all front line employees and partners. Carol, that is a big focus is those amazon workers. We heard so much how hard they were working what kind of dangerous positions they were put in. That is one of their liabilities in the sense that they need a lot of people, trying to bring in a lot of robotics, theyre always hiring but then their workers are trying to unionize and push back. Talk to me about all of that . You will not hate from me on amazon because i think they are doing the right things. They certainly set us all up for having an easier pandemic life, to tie what youre talking about to what scott was talking about, walmart and other companies should thank their lucky stars amazon has been pushing them to modernize their supply chains because otherwise they would have been completely out of the position in the pandemic. None of us would have gotten anything. The fact they have done all the right steps made all of our lives and david competition is good. Competition is good. It is. David thats one thing. But i have to ask one question to lance about aws the Cloud Computing and the Advertising Services amazon has been getting into more and more, how much of an effect is that having on the overall numbers . Numbers look good on aws side. It looks like decent growth. I didnt get to go deep into it. It certainly seems to be doing well. So, you know, as far as i can tell the outlook right now is good. I was going to bring up one other thing about amazon though, just trying to imagine, the pandemic if there was no amazon . Because we talk a lot about how, winners and losers. If there was no amazon, like, what exactly would we have done . What would have happened to the economy . Melissa i would have spent spea lot less money. At the risk much being a contrarian, when i was a very little boy the Department Store in chicago, Marshall Fields delivered anything you wanted them to deliver directly to your door. Im not minimizing what amazon has done. I have just think its a little silly to say we wouldnt get Home Deliveries if it werent for the blessed amazon. David we should count our lucky stars. Melissa i had no idea adam was that old . I am wellpreserved. Melissa okay. Lets go to lauren simonetti. Right now looks like we have the Second Quarter numbers out of alphabet. Parent company of google. Lauren guys, another massive beat. Earnings per share, 10. 13 versus estimate of 8. 21. Big beat on revenue too, 38. 3 billion in the quarter compared to 37. 37 billion. So, again, one of the big tech giants, now three of them so far have hit it out of the park, beating on the top and bottom line. Shares of alphabet however are only up slightly right here in the afterhours. David unbelievable. There was a big question, go ahead, adam. You wanted to chime in. We should mention by the way, adam is, adam has a google spouse. I do put that out there. I have no insight as a result into what we just heard. So look it, its great. Heres my hunch. Is that the u. S. Economy at least definitely was improving during the quarter. So the very interesting thing will be as with facebook, to hear what Google Alphabet says about what theyre seeing in the Current Quarter and what their forecast is if theyre willing to make one. That is what i would find interesting as a tell on the economy. I think this is a big turn around for them. They were sort of guiding to advertising revenues going down. So if that has shifted, that is certainly a good look, but i again imagine we have bifurcation and tale of two economies. Perhaps youre getting some Bigger Companies reenergizing their spends but not necessarily the little guys. I think that digging into that information is going to give us the Important Information where we can see across the board or just bifurcated. Melissa let me provide a little bit on that. Quarterly google advertising revenue, 29. 876 million versus 32. 492 million. So a l