The individual investor how to spot the next winning ipo and theres a couple of in the pipeline. We have that study four. Tyler is out but kayla is my partner. Were watching the markets. Close to hitting all time highs. The dow 15,913. About 20 minutes from the intradition day high. The nasdaq closing in on 4000 yet again, 27 points away. We have two reports on ways to play this still rising market. We have dominic chu looking at r growth but first lets go to dividend stocks. Two sectors that offer the highe jefest yields, health car consumer standpointlings. Yellens testimony confirming low rates are here to stay. Historically speaking in a low rate environment high yielding stocks do perform. Consumer stams and hearth stocks are up double digits this year analysts say some of the stocks in these sectors are trading at an attractive evaluation. Look at pharma. We looked at some of those names. Pfizer is trading at a discount to its peers and in the consumers staple space altria and walmart fits the house. And btig what will work this year will work for the rest of the year. That has been the high yielding dividend playing stocks. Youre looking at growth. All those things seem good but lets say right now Growth Stocks have been on a tear. I spoke to a person who manages the Growth Stocks. Why . Take a look at the 2009 loss to today. The performance of the Large Cap Value stocks is up 203 . The large cap Growth Stocks only up 196 . What we could see a bit of a catch up trade where growth starts to catch up to value. That could be a good seen. Ed says take a look at this. From a evaluation standpoint its a compelling story. Large cap stocks are 3 above their long term valuations. Large cap value stocks are 25 above their historical valuation stocks. These stocks are very well priced. Maybe not so much in the future. That means growth is trading at a bit of a discount compared to those value stocks. I get the idea that these value stocks could be doing better but still growth has been powering those things. All those momentum stocks helping nasdaq for sure. Two ideas there. Well have to see what the market does. All right. Thanks so much, guys. Our rising tide, growth paying stores dividend, defensive stocks, two corner of the market still on the rise. If you want to nowhere mad money man jim cramer stands on stocks going the weekend. No problem. Heres what he thinks. The fed is only going to take its foot off the gas pedal and slam on the brakes if coerce doing better. You have this strange situation where if you think stocks are a bubble waiting to be popped . But you have to think it will pop because of something good. Even as i never frown on anyone taking a profit. Nothing wrong with being along for the ride. Im not against growth. I love growth. Supply side growth we had in the 80s and 90s. But what could go wrong in the short run much better faster growth which i might welcome but the fed would stop its easing. Of course two very different takes. One definitive from jim cramer and larry kudlow saying heres one thing to watch for that could pop our bubble. So, guys, obviously two very desperate news. Kenny well start with you. You have to be along for the ride only because of the fed not necessarily because Everything Else is so wonderful. When you look at the broader Macro Economy people are very much concerned. Theres still the nervousness over jobs and what people are feeling about their own situation. But, yes, we said it all along the fed has been in and out for four years. Janet yellen made it clear yesterday she isnt going anywhere. Thats key. Now were back to everybody being afraid of missing more upside than being killed on the down side. Simple fact we talked about this earlier shorts have not worked at all. Long short funds are not doing very well. Yellen is out of way and given her a little bit carte blanche, other than a huge upside from Economic News i dont see that coming that larry mentioned. Trader mentality in both discussion and what bob just said the fact of the matter is the stock market as a whole has been inflated and held up by the fed. Can question is has the fed done the job sufficient to backstop the economy and continue while professional traders like can you identify, low ive been in this business 30 years, you look for a correction but you have that reticent of a market that climbed the way it has. Cramer is in the popular camp that says the fed will stop easing once the economy is better and that will give rise to the stock market even further. What if fed policy driven for five years time actually suspect as effective as we want it to be. Can we the treasurey market did not work effectively. Their own fed studies pointed out it didnt work. That being said, the fed missed its opportunity to taper the first time. Been forced to back track. Fact of the matter thats going to happen and Rising Interest Rates are an indication of something good. It is indicating of something good but yet i still think that the market is well ahead where the economy is. If and when the fed starts to taper thats when you start to get the market to react fairly if you look at forward earnings and stock market isnt forward looking grouping, theres no indication, according to janet yellen yesterday were not in a bubble. 15 times forward earnings is were at. 4 Earnings Growth this year. 10 expectation for next year. We know that will come down. The market is not overvalued. Thats one of the best friends the market has. The other is high level of skepticism everyone has. Plenty of people dont like this. Dont have money in the market. Luckily for everyone on wall street as my aunt mary says not todays problem. Pushing new records. Happy friday everyone. Thanks guys for being with us. Over to you. Stocks marched to record highs. Different story for commodities with crude oil on pace for its longest weekly losing streak in 15 years. Crude on track for its sixth straight declines. Prices down 9 . A little bit of a bounce to the upside to 93. 91 on web tech intermediate. S p pushing towards the 1800 mark. The dow eyeing 16,000 and the nasdaq is getting dlo es00. Which stocks are the top investors buying and selling. Were doing some whale watching with a beautiful backdrop. Very soothing. Its great. Our virtual aquarium. Large fish whale tank. Heres what we wanted to do. The what else oles out there. Warren buffett our first big whale. Hes got a massive bet. Hes accumulated 40 million shares of exxonmobil, so yes thats a whale of a trade. A couple of notable trades on the other side of things hes selling another energy name. Conoco phillips reducing his share. And glaxosmithkline reducing his share there by 1 million. There are whale trades in terms of the companies involved. Check out whats happening with apple. This is a big story. First of all, we got karl icahn. Meanwhile, leon cooperman he didnt have a huge stake but he sold off whatever remaining stake he had in apple. Got nothing threat. Thats going the big deal. One more one i want to focus on at least a little bit is yahoo because youve got dan loeb recusing his shares in yahoo and then Chase Coleman take an 8 million share. Some big names, big trades in names we all know about thats whats huge about this particular season. Thanks. Up next the president s handling of the obama care crisis. Did he unfairly dump it on the Insurance Companies . Is he leading the correct way . Is he contrite enough . Well have some famous ceo apologies next. And how did kentucky get it right and the feds get it so wrong . The governor of kentucky is here in two minutes time. Senator howard baker said it best in the watergate hearings back in 1973 asking quote, what did the president know and when deknow it. Same question is float around the country these days as americans want to know what president obama knew regarding problems with healthercare. Gov. Today we got a little bit more clarity on that and here to tell us about that is don. What i got here is a memo released by one of the top house committees looking into this whole mess with healthercare. Gov. They uncovered a memo from henry chao who was responsible. On july 16th he said to one of his subordinates i need to feel more confident they are not going to crash the plane at takeoff regardless of the price. The president was press ad little bit on issues about what he knew and when he knew it but obviously with this now being revealed hell have a lot more questions on his plate. Indeed. Thank you very much. Well a rare mea culpa from president obama and what other big mistakesceos saying they were sorry. President obama, the ceo of the federal government has lots of Companies Among heads of states, major firms and iconic brands that have stumbled and recovered in recent years. Our short greatest hits list netflix in won the made a big mistake when it raised its price of mail ordering streaming and bundle. Shaved close 240 off the stock prays. They unbundled the service and rebounded. Back in 2010, toyota after recalling millions of cars due to acceleration problems that caused accidents and deaths the president of the company took personal responsibility, apologizing before the u. S. Congress for his companys failures. 2004, citigroup in the words of then president was quote kicked out of the Private Banking business. Senior executives took responsibility but did what was called at the time the bow seen around the world. I would like to fully apologize to our customers and the public for the problems that have occurred in our businesses in japan and for any concern or inconvenience this has caused. Finally hard to believe its been 28 years since the debut of new coke launched with much fanfare in the spring of 1985 as a beverage smoother, rounder, bolder, more like a fine wine. But overwhelmingly rejected by the public. Coke survived and remains an iconic brand. And a pretty good stock these days as well. Sue, back over to you. Hampton, thank you very much. The federal Health Exchange site is having some major problems. Kentucky is having a very successful roll out with its exchanges. Joining us on the phone is kentuckys governor. Nice to have you here, governor. Welcome. Thank you, sue. Lets talk a little bit about what kentucky did right first of all and what you think the federal government did so very wrong and the white house did so very wrong . Well, sue, we started as early as you could getting the planning grants. We got our vendors on board. We sat down with all of the folks in government that work with these programs, medicaid, public health. And we went 24 hours a day, seven days a week to set up this website. We tested it extensively. We did it very simply. We didnt put a lot of bells and whistles on it. We knew our audience. I think the crucial decision when you look back on it was that we allowed people to get on our website and browse and get all of the information they needed, put in all of their numbers, find out what they qualified for, whether that was medicaid, whether that was premium subsidies before they ever had to open up an account and i think on the federal level they created that road block because everybody had to open an account before they could do anything else. Right. Are you surprised with the intense amount of problems that the federal program is having . Well, im disappointed like everybody is. But, you know, the president is doing what i have to do if im governor and something goes wrong. He takes responsibility for it and steps up and gets it fixed. They will get this fixed. It will slow down the number of people that you get into the program. But its going to work. Look whats happening in kentucky where the program is working. Its almost 50,000 people. Governor stay with us for one moment. We have breaking news from bob pisani. We just want to let you know the chicago mercantile exchange, the cme has confirmed they were the victim of what they are calling a cyber intrusion back in july. Now there is no evidence that trades over at the cme were adversely impacted nor clearing impacted. But they were forced to change customer credentials, impacted by the incident. They noted that this is a subject of an ongoing federal criminal investigation and they are cooperating with law enforcement. So as of now it doesnt look like trades were affected but there was some kind of intrusion. Sue this happened before. The nasdaq had an intrusion a while ago. Did it not affect their Trading Systems but they too had intrusion. This is a high level priority now with the federal authorities. Well get some more on that as soon as we get any information. Terrific. We look forward to it. Were back now with the governor of kentucky. Governor, even though your Health Exchanges are working very, very well and youre one of the Success Stories certainly of the states out there, as we understand it a number of people have also lost their private insurance policies at this point. What should the federal government do, what should the white house do to try to either reinstate that or fix it . I think what the president , the action they took yesterday is appropriate. Were going to be able to accommodate what the president wants us to do. Were going to allow our insurers in the state if they so choose to have those kinds of policies for one more year, its obviously a business decision that each insurer will have to make. But in the long run, its not going to affect what were doing. It may slow down for a few people who might end up in the exchange earlier, but in the end every kentuckyian is going to have Affordable Health care and thats something weve been needing for years and years. I know you were defending the president moments ago saying hell get this fixed but are you worried about the longer term ramifications for your party especially for those who are up for reelection. Do you think this has hurt your party . I dont really think that come november of next year this is going to be a defining issue and whether somebody votes for somebody or against somebody. Look, 97 of the people in this country arent even affected by this. And so, you know, you got a very small number who are actually affected by this. I honestly think the overriding issue next november is going dysfunction in washington and people are disgusted with that on both sides of the aisle and i think they will stipulate and try to do something about it. Do you think it makes this particular situation, those do you think perhaps it emboldens the Republican Party and when we go to deal with those very important budgetary issues once again that perhaps there will be less negotiation than there was the last time because the recognizes feel emboldened by this problem with health care. First of all, i think that the critics of health care are seizing on all of this to try to divert the publics attention from what they know the public is really concerned about and thats the dysfunction in washington. If they are dumb enough to go back and be even more industry dent than they were before and shut down government again, they could lock themselves out of governance for a long time to come. Very good point and interesting point, governor. Thank you so much for spending time with us on the phone. We appreciate it. Thanks for having me. Kayla, down to you. Well send it over to domenick. This company partnered with cocacola and ford is part nearing with cocacola to make seat cushions from renewable materials. Cocacola ford recycling technology. One big eco system. Back to you. Its turning into a blockbuster year for ipos. How internet stocks are on a role. But Julie Boorstin is telling us how to spot the next favorite. Zulu making a nasdaq debut with a 75 pop. Why shoppers are shopping at the zulu ipo. I have spent a lot of money there. New way to help you determine whats going next big ipo and what to invest in it. Thats coming up in two minutes. [ male announcer ] what if a Small Company became big business overnight . Like, really big. Then expanded . Or their new product tanked . Or not . What if they embrace new technology instead . Imagine a companys future with the future of trading. Company profile. A Research Tool on thinkorswim. From td ameritrade. Welcome back to power lunch. 2013 is turning into a red hot year for ipo. 200 companies have gone public here in the u. S. Making at any time best year since 2007. One area on the roll, internet stocks. They keep on coming. Were tracking those over at nasdaq and Julie Boorstin talking about how to spot that next winning ipo. We have a big internet stock ipo today that made its nasdaq debut. Zulily. Investors are happy with it. Lets look at the stats of this ipo. It priced at 22 above the original range. Raised about 250 million and just take a look at this first day pop. Up more than 75 on its debut. So why love for zulily. If you take a look at the companys financials unlike some other internet ipos weve seen this Company Makes money. Ekeed the profit out for the first nine months of the year. Sales are bigger than twitter with a smaller user base. Take a look at its investor backing. Howard schultz and andreessen horowitz. These guise were execs so they have been through this game before. One thing people say is working against the company that other seattle e Commerce Company we all know, amazon. A lot of people say amazon is making a much bigger focus on fashion and retail scene. More competition there. But today zulily is taking off. Overall this is one of those ipos everyone is watching very closely. First to see how the overall ipo window was going. Weve had a rush of ipos. Can it keep going. Second to see what other retail and e commerce ipos could be ahead. A lot of people are talking about others on the horizon. If this continues to trade well perhaps we see those ipos coming next. Back to you. Everyone is watching to see if the skids have been greased from twitter. Julia, for every zulily theres a shag that opened down. How do you spot the next winning ipo . The next big ipos are likely to be companies that raised a ton of funding and need to start repaying their investors. Investors should keep an eye on palantir which raised half a billion. Theres a Company Called deem that raised over 440. Theres pinterest and square and followed by box. A new study from Silicon Valley finds investors are