Unveil, of course, the iphone 15 hoping to give the company somewhat lagging sales a boost. And the ufc, wwe, tko holdings will begin trading and well speak with the groups ceo, ariel maemanuel. It does post a revenue miss and issued Sales Guidance slightly below consensus. They have twice the amount booked at the end of the previous quarter. Jim, set to be the biggest gap down on earnings in a couple of year. Yeah, look, i would be a buyer especially if it was 113. I have a small position. The real issue is not what people are talking about. Its the acquisition they made, 28 billion. They dont like it because they already guided down for it. The mentions were how we would have done better if it werent for serner. Revenue recognition to go another way that will be a lot less, lets say its going to a subscription much harder to understand. Thats what people were thrown off by last night. It is not about the slowing cloud even though people said it was. David, sometimes you get situations where you have brokers that push a stock right before it reports aggressively and the stock goes up 6, 7 and people are disappointed no matter what is said but serner was a surprise. Jim, you know, if you can explain it, please do so. The license is transitioner from cer serner from the cloud model. People didnt understand that but it was not a great quarter for them. I did not think it was a good acquisition. I dont remember you being well, actually i dont remember one way or the other whether you were particularly positive on the deal or not when it was announced back in 2021. Never. Epic is so much stronger than them when you go to your health care provider. Almost always epic. Sernor has always been a sloppy number two challenged a couple time by activists. I like what oracle really is, transitioning in the cloud. I didnt like the health care. David, that may have been done before we realized how big a. I. Is. December 21, focus on what a. I. Can be and now its huge and kind of like sernor is an afterthought. No capacity challenge, capex at the higher end of the range so you dont think 10 is justified based on the news. Well, i just think that if you have half of that was tacked on at the last minute which should have been by brokers who were doing the same thing as theyre doing to adobe, recommending, inexpensive, look, its got a lower multiple, Cloud Infrastructure was 64 . I do not think its that bad and larry ellison, frank told me yesterday from snowflake, is getting incredibly involved. Im a big believer in ellison. It wouldnt matter as much, carl, we see this all the time. If research guys got behind it, huge gigantic quarter and not sustainable. As we saw, by the way, with broadcom. Same thing happened with that. Right before it reported, people bulled it then a lot got hurt. I think the transition is interesting but what was more interesting last night was what slootman told you how well embrace a. I. Lets take a listen. Were going to take to this like a fish to water and copilots and as u quick which to us as search has been in our lives very, very quickly. Hes been waiting his whole life for a moment like this. This was an amazing interview because hes the toughest guy in the world, from erasmus in holland. He never goes all in on anything. I interviewed him many times. I never heard anything this was like a different slootman. This was not the guy ive ever seen come on and excited and thinking this is the greatest part of his life because of a. I. Hes businesstobusiness and said the chatgpt thats just a parlor game. What hes talking about, and, david, i think we have done we got to spend more time on this business to business and enterprise helper that helps Auto Insurance, that helps banks, that helps medical records, these are things that are very boring and all the stuff that frank likes, things that are not exciting but, boy, are they ever working. Potentially great ads to productivity and their products, i guess, jim, well start to see what introduced towards the end of this year, next year, middle of next year. Exactly. You know, a lot of companies are debating from what ive heard, how much do we expose of our a. I. Of what were working on . So much is being done internally by company, not just to produce products for others to use, but internally by the institutions themselves and by the corporations themselves and many are debating how much do i show my hand and how much dont i . Will i get credit in the marketplace or will i get dinged for being too promotional . In that regard. Yeah, what you get is progressive is the you see them, the Auto Insurance company. Theyre able to price insurance instantly where it should be. Remember, this is something that frank discussed i think again people at home have to understand. Its about, david, picking up a couple of bases points millions of times whether youre a bank, whether rout to insurer, whether youre financing autos, thats another big business, where insurance for flood areas, these are things these are cases where you have to be so right that nobody is smart enough as a machine and boring but for a guy like slootman who can say, listen, you can make say, 10 million a week, just by doing nothing except give you go us a little money. Its a great use case, david, it really is. How about ellisons comments about the people are i guess not the people who are going to rewrite the base. Its not armies of programmers rewriting this. Its i think ellison was ellison made it sound, you go to one of our data centers, theres nobody there. You make a mistake with a. I. , you press a button, the mistake is changed everywhere. Larry is chasing out a vision of productivity that was similar to what jeff lawson from twilio traced out. You get ten times the productivity, ten times the gain for onetenth the cost. Thats pretty much what ellison is saying. Go to our data centers, theres nobody there and therefore can be no mistakes. Very futuristic vision. I hope theres a job for people because, boy, when hes done you dont need people. To your point is that, you can hire a programmer who may not be the best because they can use chatgpt to fill in an awful lot of blanks in terms of writing code that will take them to that level and obviously you dont have to pay quite as much. Thats Something Else when it comes to productivity that certainly is worth keaching an eye on. Frank slootman said you dont have to be that literate. Can you imagine when he says it like that, what that means is the age of when we have to hire people from nowhere about stanford, its over. All right. Im not even sure what that is going to look like but, yeah, it may be. It would be great. Great for the rest of us who didnt go to science not Computer Science majors at stanford. Everybody else does well. Everybody. Well, everybody except those youre paying 2 million right out of college. Come on. This is what larry is tracing out, carl, that i love is hes just saying that you can this is what slootman said too, you dont have to be a genius to work in the computer portion of the company anymore. Right. You can just be a worker bee now. Yeah, thats what hes saying. Write code and it fills in the most. Thats what he said. Thats exactly what he said. When i interviewed massa, he talked about its going to be like and comment rome, everybody will sit around getting fanned. Yes. Eating grapes. Guy, markets are on track for a lower open. Dow is in the midst of a three session win streak along with backtoback gains for s p and nasdaq as investors await cpi tomorrow and in the meantime, kicking around some comments from bank ceos, dimon of jpmorgan weighing in on the strength of the consumer and economy warning not to overlook the risks. This is what he said yesterday at this conference in new york. I just think people are making a mistake to look at realtime numbers and not look at the future and the future has quantity tative tightening. Weve been spending money like drunken sailors around the world. The war in ukraine are still going on. Those are big bucks and the state of consumer is strong today meaning youll have a booming years to date is wrong. Wage is up, Balance Sheet is clean. Everybody is working but yeah, why does he keep doing that . Jim, why is he so insistent hes Debbie Downer every time. He is and has to pick on some regulator nobody knows. Jamie said something to me, he says it could go to 6 and i think he should stick to those kinds of things but you got the rate trajectory correctly and not do so much complaining. David, remember when he used to be is he a complainer about is he just a complainer in general . No. Hes a decent alum. Why doesnt he get more excited generous and kind of him to do that. Why . Whats the problem . Listen im saying he seems like hes unhappy all the time. He could be right. Hes not unhappy. Hes just trying to take everybodys expectations down a little bit. Its kind of like what i do on this show sometimes with you. Yeah. Then i get blamed, of course. Who am i going to blame . Its my fault. Youre jamie dimonlike. Carl, they went to the same college. It might be a tufts thing. Well, at the same time pretty constructive comments out of wells talking about the consumer and moynihan, consumer still has two to three times more cash than before covid especially at the low end. Carl, i know you keep an eye on b of as credit card research. Expect soft retail sales for august, keep calm and carry on, not a hurricane story. That has to be about hurricane hilary, as well reminiscent of comments from dimon sometime back, a return to trendlike spending. Guys, i also wanted to quickly end on sort of the broader market. Today is an investor day for brookfield corporation. One of the largest alternative Asset Managers in the world, 850 billion in assets. We cover the Public Markets, but the private markets as we pointed out many times are ascendant and bruce flat certainly made that clear in a conversation we had. Take a listen. I think you need to just step back and think about two big trends happening. First is private markets and the second one is just the growth of capital in the world and the compounding of wealth. Sovereign funds institutional wealth funds are getting bigger and bigger and need things to put that into, and more and more private capital is where they want their money to be, so all the alternative products that we offer them offer because they dont have liquidity, they get a better return but more importantly, i think its theres less distraction in the private markets. What does that mean . Just every day when youre quoting the bond markets are up, the equity markets are down and all those things are happening out there, if youre an investor, its just a distraction. So were a distraction. Thanks, bruce. But well be following the company regardless later today later this morning they have an important investor day, targets such as 2 trillion, jim, they expect to manage in assets, 2 trillion within the next five years. Theyre everywhere. They, by the way, this is just so much theyre like prometheus, you know what i mean . Theyre like lifting the world. Theyre doing infrastructure but theyre doing real estate. Renewables. Yeah, and, david, this is a great score for you because ive always tried to figure out who is brookfield . Theyve got to be the biggest 2 trillion that nobody knows. Theyre not 2 trillion yet but deserve more attention and seem to want more as well. Good. And, yeah, you know, the alternative Asset Managers are enormous and getting bigger, sort of the big four if you want to call it that. Banks a little jealous of them. Yeah. Very jealous. Guys, when we come back well talk apple. Could a new iphone 15 revive a sales slowdown . Something that might drive a mini cycle if people upgrade. The plea market and b of a fund manager survey. Cvs, the uaw, visa, rtanmox d re when we return. Been married for 39 years. Ve about three or four years ago, i wasnt feeling as if i was as sharp as i used to be. I wanted to try something that was overthecounter. I saw the prevagen commercials. After a short amount of time taking prevagen, i started noticing a difference that im remembering this, im remembering that. I stopped taking prevagen and i found myself slacking back so i jumped right back on it. I feel as if its brought me back to the good ol days. Prevagen. At stores everywhere without a prescription. Good night hey corporate types. Would you stop calling each other rock stars . Youre a rock star. You are a rock star. No more calling coworkers rock stars. Look, its great that you use workday to transform your business. But it still doesnt make you a rock star. So unless you work with an actual rock star. Hi, im ozwald. Hello ozwald. Pam, you are a rock i wasnt going to say it. Wow, you get to watch all your favorite stuff. Its to die for. And its all right here. Streaming was never this easy, you know. This is the way. You really went all out didnt you . Um, its called commitment. Could you turn down the volume . Here, you can try. Get way more into what your into when you stream on the xfinity 10g network. Apples Product Launch set to get underway in less than four hours expected to debut a new iphone 15 lineup along with new versions of the watch. Apple looking to revive sales after three consecutive quarterly revenue declines, jim, a lot of chatter about asps going up 100 bucks at the high end. Look, i think the phone companies are where im going to look to to see where they push this phone, particularly verizon who had a decent quarter and at t, i felt maybe their Balance Sheet could support big giveaways. I also feel, this is i dont know about you guys, but i know its anecdotal but everybodys battery drains so much these days, you feel like its draining much quicker, i got to 15 and im getting the 15 because i cant take the fact that at the end of the day i have no battery life, no matter what. I think its just spin and im not alone. No, youre not. Its the old battery, i think that does motivate a lot of upgrades. By the way, not just the phones but of laptops as well. Totally. I got one thats constantly needing youre getting the same thing i am. The more you speak, the more realize what happened to my battery . It rabb down it runs down too often. I got to get the next generation so im ready. I think it was webbush yesterday that said a quarter of the installed base has not upgraded in four years and the question is whether or not this is a true offset to the china concerns of what was that, last week . I think it definitely oh, what was that . The lines still are long. I find preposterous, if you look at the pie chart, now its less than 50 for the actual handset. But the revenue stream as a percentage of the regular recurring revenue stream is a percentage of the companys operations is 26 . I think its about to cross to 30. The Service Revenue stream is what im watching. You have to look out three, four years and not the static seven quarters of no growth. Not the way to look at it. We will weigh watch it. Not constructive for the stock. Not a reason to buy. When we come back this morning well get cramers mad dash count to the opening bell and one more look at futures with that bell coming up in 9 1 2 minutes. Dont go anywhere. About what ai will do for business. Introducing watsonx a platform designed to multiply output by tailoring ai to your needs. When you watsonx your business, you can build ai to help coders code faster, Customer Service respond quicker, and hr handle repetitive tasks in less time. Lets create ai that transforms business with watsonx. Ibm. Lets create. Every day, businesses everywhere are asking is it possible . With comcast business. It is. Is it possible to use predictive monitoring to address operations issues . We can help with that. Can we provide health care virtually anywhere . We can help with that, too. Is it possible to survey foot traffic across all of our locations . Yeah absolutely. With the advanced connectivity and intelligence of global secure networking from comcast business. Its not just possible. Its happening. The next 48 hours are intense. Thursday, ppi, retail sales, ecb and the expiration of the uaw contract, so buckle up. In the meantime, the opening bell coming up in seven minutes. Announcer the opening bell is brought to you by nuveen, a leader in income, alternatives and responsible investing. All right, lets get to it. A crosscountry mad dash as were counting down the opening bell. Want to talk adobe. Yeah, a little analogy of what happened this morning with oracle. Two brokers upgraded and it was up 55 going into the quarter. Never great. I think by the way, still again adobe, two guys just today price target bumps, significant price target bumps, well, here we go. Their report on thursday, the stock is now up 67 for the year and which is at 550 was three weeks ago at 550. These are the setups. There wont be any wiggle room at all. If adobe doesnt hit it down the middle it will be called a ball and people will sell. If you dont own it by now you might want to wait. It went down last time after a great quarter. It could happen again. So for now just steer clear. I feel like if you remember the last quarter we talked about it, it opened afterhours up about 0 then by the next day it was down 40 from where it went at 6 00 p. M. I just want to toss people theres too much froth when people raise their price targets two days before. You got to just wait now. Maybe you miss it. But adobe has been a great performer, up 67 . Thats a nice run. Dont feel like you can just come in and say, wow, i just discovered this Great Company called adobe. Not far from its 52week highs and obviously a great rebound from what had been a significantly bad year for the stock last year. They have the best a. I. Software. They have the best makes small to mediumsize businesses make your website look exactly like the big guys. Firefly, i have used it and stunned at how great it is to become more creative because of what adobe gives you. Okay. Fair enough. Yeah, thats good. Were good. Yeah, we got a few more minutes to the opening bell. Jim, the price the target hikes on adobe fit with this fund manager survey out of b of a where were overweight u. S. Equities for the first time in 17 months. Theres so much money around and you got to find a place to put the money. Stocks have been a bit ignored. A lot of bond issuance but rates have gone up. I feel like theres this kind of move to say, all right, lets go back to equities. We have so much money lets guy stock and i feel the same way when i listen to the strategist, carl. Theyre like, all right, i guess things arent so bad. We lack enthusiasm for what theyre doing and its extraordinary. Got to buy a million shares of aadobe, its fine. There is no enthusiasm. More specifically its about u. S. Em in the survey loses 25 points, mostly on china where zero respondents see stronger growth out of china. We have these