More cash to shairps shareholders. Sears shopping for buyers for its canadian unit. Eddie lampert making more changes to that retail empire and sony, negative results again. More record highs for the s p and dow despite the soft data. Will we see new highs today . Another acquisition for yahoo . Marissa mayer scoops up snap chat rival strategies by a thousand buys blink. Youll miss another one. Whatever that meant. I dont know what i just said. Alibaba liked it. First up, though, macys did report First Quarter earnings of 60 cents a share, Beat Estimates. Retailer says comp sales down 1. 6, hurt by the Winter Weather and macys earnings released Terry Lundgren says sales trends did improve in april when weather started to improve. Announcing a 25 Dividend Increase and boost in the share buyback. The story on m is margin control. Despite the decreasing comp held vndsers to the fire. Got operating margin, 7. 1, looking for 7, gross margin 38. 9. Thats in line. Did they squeeze toomey . I dont know. Squeeze michael kors, i do not want to bet against kors here. Whats clear april may must have been good or else he wouldnt have maintained his guidance. The buyback is for real, not one of the its not a Technology Stock buyback where theyre offering as many shares as theyre trying to buy in. The Company Bought back 15 of shares since 2012. I like the stock very much. The worry the retailers were going to hear are going to see the same comp action without the same margin control. You got kohls. My daughter likes kohls. You bought her a gift card for fathers day . Is that what you said yesterday . Why not. I like the sonoma pant line, slacks. Slacks. Trousers. Not trousers. Slacks. Yes. I think but one of the things thats happened is dav david mentioned a company that is the gift that keeps on giving to the rest of retail that well get to, sears. They continue to lose share. They have clothes. Wherever they have clothes theyre not able to sell them that way. William zen has not been that good. If you heard Eddie Lampert at the companys annual meeting he referenced apple and lean years at apple making a comparison sears will, yes steve jobs apple bottomed out at a certain point and we know what happened from there. So this was lamperts these were his words. Jobs. At the annual meeting which was last week. Apple was a friend of mine, right . You know apple. Senator youre no apple. The lloyd benson wrap. Jobs, he would not probably wasnt a big sears shopper. Maybe he liked craftsman. Good brand. On macys, the stock originally i mean i think began down briefly. The comps turned around. Terry lundgren f you bought a lot of people like to look at the first line of a release, comp stores down. Terry lundgren has defied that every time. Great cfo too. The stock has been down a couple, everyone knew there were stores closed. People thought it would be worse. The whisper for macys was worse than what people posted and therefore macys is higher. As we said or at least we were talking about, two companies known for past dominance making news. Sears is exploring Strategic Alternatives for the 51 stake it has in sears canada. That includes possible sale of the stake or perhaps all of sears canada. Sears has also been trimming its operations in recent months including of course the recent spinoff of lands end. In the meantime sony forecasting an annual loss for a second consecutive year. Company says it will accelerate restructuring moves and accelerate those fast. Sony, of course, not clear what it all means for the stock price, but when you look through the numbers its difficult. Now on Film Entertainment not so bad. Playstation okay, other parts of the biz. Phased out pcs but still taking charges. Televisions. Mobile phones, selling more but a lot of question marks. Yeah. This reminds me there was period zenith brought a case against sony for dumping and sony with was ascendent and zenith before sony ripped them to shreds fell apart. Apple, steve jobs, the legacy of apple, is that they ruined sony. I think thats a great pairing between sony and sears. Sony destroys zo s zonist and a destroys sony. How you transform a business, we had this with Ginni Rometty than ibm, sony is smaller than ibm, turning it around, figuring out where to go and how to go, the current ceo seems to have his hands full. He promised and did not deliver so far this would be a positive year and now its going to be a negative one. Overpromised. Underdelivered. The multiple warnings. They just did it on the first. That was the third in six months. Two weeks later another warning. Also japan, obviously, they seem to have stopped spending a great deal there. Put a tax on retail. The asian spying of sony, sony is a lost brand in this country when you got to costco where a lot of people buy tvs the price is so great, but sony is not the company you buy, you dont buy their brand anymore. You dont. Sony is like our parents brand or my brand. The trintron. Yes. Right after i bought the boom box when i got my first month at goldman yes, and hair too. I went and got a trintron tv, 24 inches. Can you imagine . Thats huge. It had the special something with the color. The pixels. It was great. That was a dominant product. I bet the margins were pretty darn good too. I didnt buy it at sears. No. I buy mostly my kenmore washing machines at sears. Inflation with ppi today, among all goods, prices of televisions have come down more than anything else. You know, this is one of the socalled football items where costco i dont think they make money on tvs. Tvs are now how do you put up a 72 inch tv. Like 50 people who help you. I cant lift a 72 inch. I dont know how people do that. Come in and its done. Yes. Thats the way you like it to be done. On sears we should point out the stock is going to be up. Well keep an eye on it. It appeared to be in the early going. I dont want to prejudge it but it did seem as though it would have a bump up on the sears canada news. Whats left . What is the real transformation here that is now going to take place if theyve talked about the lands end is out. Right. Sears canada possibly. Still got the auto. Right. Which they talked about as potential restructure in canada. And brand. Something. The monetization. Ackman was involved and blocked sears for a long time. Bad will there. Thats right. Wasnt he a big owner of sears itself for some time. I think theres a lot of smart owners historically of sears. Thats right. Fair holm sears. Bruce burk wits. One of the largest positions. Thats another thing. Difficult to short. Between lampert, tisch and fair holm not a lot of stock out there. No. Its tough. I still dont want to own it. I wouldnt recommend it. So many retailers not doing stock isnt doing well and the companies are doing well. To the Broader Market, yesterday during this show when the s p surpassed 1900 for the first time ever. Index at 1897. New closing high. The dow posted a record closing high for a third consecutive session. Nasdaq did finish to the downside. Dow is going tore six straight today. We havent done that since december. And as were at the top of the range people are worried about low volume, highly leveraged names. Do you need those to come back . Yeah. I mean, i dont know. Theres still upside to the s p, nasdaq down yesterday. Rupert sold the last two days where the weakness remains. Theres got to be more news. Trading up on nothing. Not a lot of volume and not a lot of news and the market keeps going higher. The the blue chips go higher. Socalled blue chips, reintroduce that term. We need new data. The data were getting, the inflation data thats horrendous. Interest rates would go up. Interest rates are going down. Yeah. Again, people keep thinking something is lurking. Recession, russia. But how can Interest Rates go down on one of the hottest ppis weve had. Not to mention the suspicions that were seeing wage inflation. Yeah. We know what food inflation is doing in this country. In the uk they reported some unbelievable numbers. Theyre going to raise Interest Rates sooner rather than later. If you had the choice between the tenyear spanish tenyear and the u. S. Tenyear where and where they are right now, where would you go . Its a whole lot less of all evils. You have to own the u. S. Versus the spanish tenyear. The portuguese tenyear. The irish. Why wouldnt you buy ours at 2. 6. The answer is its shortage of high quality paper. No one wants to say that. Everyone says the budget deficit is big. Im going to talk about that with Timothy Geithner tonight at barnes noble. How about that at union square. Did you like that plug i put in . That was well done. Done well, right . Theres a bond shortage. Government is not running the deficit. No one wants to hear that. The deficit hawks are always apparently senate got the word. Because they want to make certain tax breaks permanent on r and d. I saw that. The deficit has come in. Percentage overall. And just actual dollar wise for now. Thats something geithner talks about in the book. I liked the book. I liked the book. You mentioned that. 580 pages. Not a quick read, not a steven king book. Doesnt read like the stand. I never read the stand no. I didnt read it. Under the dome. Remember that was his first one. Dean norris, big fan of the show. Love dean norris. Ive had some i have some with him later on. When we come back, yahoo snaps up a rival of snap chat and Facebook Ceo Mark Zuckerberg gets a new milestone. Happy birthday. A live interview with an investor in alibaba as the chinese ecommerce giant prepares for what could be the biggest tech ipo in history. Again futures are lower this morning. But bouncing back just a touch. A lot more squawk on the street from post nine at the nyse when we return. Yahoo is buying messaging app blink for an undisclosed amount, rival to snap chat and lets users to set their messages to selfdestruct after a period of time. Cnbc and yahoo have a Business Alliance to share and coproduce editorial content. Yesterday guys, the New York Post had a picture of marisa mayor with shopping bags in her hands as the shopping spree continues. This backs up that notion. They are out for her. You think so. I think the long knifes are out for her. People keep waiting and they keep thinking that these acquisitions dont do anything. I like some of the acquisitions. I actually like some of the things that yahoo is doing. Well but i really like alibaba. The tum bler deal unclear if they will be able to advertise, effective vehicle for doing that. Not sure where user growth is at this point at tumbler. That was a billion dollars. He keeps coming on. More importantly, these are a forerunner to what may be larger potential deals and thats the question. Thank you. Because even if its fully taxed the sale of their 9 or 10 , whatever the number is going to be, of the alibaba stake, is going to generate enormous proceeds. We can figure it out. Assume 160 billion or you can do the math. 10 of 180 billion. Taxes. You will have a lot of money coming back to yahoo yelp. What are they going to do with it . Yelp. Are shareholders going to judge some of these deals and say give it to us. Give it to us. Make it like a wasting asset a bond, yahoo bond corp. Give it back. Bonds are popular. We dont want you to spend it. I dont think thats likely but you got to believe theres a lot of focus. They could start doing something now. Alibaba is not that far away. Any deal you did wouldnt close until they got the proceeds from the sale during the ipo, so but how about a transforming acquisition, is that snobl. It is possible. Stoppelman doesnt 8, 9, 10 billion in cash not to mention borrowing capacity, yeah, its possible. Would yelp sell . The stock was selling at 7 billion, not now like 3. 5 billion. Theyre not going to make a hustle. Is he a seller at 6 billion. Hes an opportunist, worldwide rollout of yelp. I think he thinks its going to be one of the Largest Companies in the universe, yellow pages for the world. It would be hostile. Well, one executive whos not afraid of transformational deals, mark zuckerberg, turns 30 years old today, created the social Media Company facebook a decade ago. Now a global juggernaut, 1. 2 billion users worldwide. Shares up 56 since the ipo which unbelievably nearly two years ago. At 30 worth 30 billion. The guy look, great entrepreneur. You have to salute him. Think thats wrong . Hes made it happen. I dont know how. From 20 to 30, look at what hes been able to accomplish. Im not going the rap where the workers should own facebook. The companies all have these kind of weird structures where youre really benefiting him. Dual class structure, he can do whatever he wants and you cant you can have an activist yell and scream but nothing you can do to take over the board. Sheryl sandberg comes out positive in the geithner book. Really . Yeah. High level exec, feels like shes going to do something political and a big seller of the stock. Donating proceeds to charity. Whats not to like about that . Lot of women love that book. I point out. I have not read the book in terms of leadership. A lot of men love it. Shes is another beacon. I love this company. Youre just full of love. I came in with a happy attitude. So much love in you. Went out with kevin and his wife last night, bar san miguel, one of our great assets at cnbc, came out with a beautiful night, happy feel. Exo steshlal noncrisis. Tequila will do that to you. Mecall. I dont drink te keel la. Had to cut back the after cacdo. We didnt give lime last night. His wife marina im sorry i dont mean this is bad. Her granola every bit as good as judys. Cut back on limes. Thought you were sticking with the limes. Serving the customer. Not for me but the customers get the limes. Okay. I dont need to take the limes. I did no bussing for the record. When we come back, cramer as mad dash. Well count down to the opening bell. Take one more look at premarket here with futures down just a touch. Squawk on the street continues in a moment. Predicting the future is a pretty difficult thing to do. But, manufacturing in the United States means advanced technology. We learned that Technology Allows us to be craft oriented. No ones losing their job. Theres no beer robot that has suddenly chased them out. The technology is actually creating new jobs. Siemens designed and built the right tools and resources to get the job done. We got about eight minutes before the opening bell. A hump day my friends. It is. Lets start with take two. The bureau of misinformation is active again this morning saying take two missed. Ive gone over that quarter. Hardly a miss. 8 in cash, monetizing their different assets. You have to be careful. People who bet against Strauss Zell Nick its been a bad bet and will be today. Those who think taketwo is past its prime because of gta, forget about it. They are rolling out franchise after franchise, augmenting it using technology. You want to buy, not sell it. You do . Y yes, you do. Im adamant about that. Not Electronic Arts where it was bad to great, its just consistently good. What else . Fossil, not doing a great job. Poor execution. Its the u. S. That has done badly. Europe is doing well. They do highlight the google wearables but not enough to move the needle. They call out kors, the jewelry line of kors, doing well. Remains a heavily shorted name. Steve mandell from long pine filed on kors. Korz can go higher based on the fossil call. Fossil said theyre seeing competition from kors. Their kors line, they sell a kors line and this is not the beer, this is the jewelry and handbag business. That was not going well . Thats business is doing well for fossil. Few things its doing well. The one things in the u. S. Which is very bad is that kors is loved by the customers. Its like a highlight. Theyre looking for a highlight. Any positive take away by kors not fossil. A highlight of a team that keeps losing. Okay. Its like that. I got it straight. Like the phillies. Like a highlight. Like this big. How about my mets erupting. Erupting offensive. Juggernaut. And the rangers. Love the rangers. All right. Were going to talk stocks. Were not espn. Come on. 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