Mcdonalds. Both moving lower in the premarket with another chipotle. Another blowout quarter. Apple beats on the top and bottom line. More ipads sold, fewer i pads. We have dow components. Its not just an earnings story. Futures rising with chinese Economic Data and reports of stimulus measures in europe moving markets overnight. Cocacola did report Third Quarter operating earnings 53 cents a share, in line with estimates. Soda volumes did come in flat. Coke sees currency head winds affecting fullyear profits, announcing a costcutting program and achieving 3 billion in annual savings by 2019. The dollar, a sevenpoint head wind in q4. Thats the high end of expectations. North american down a quarter. Down 1 . Sparkling down net Single Digits and still down low Single Digits europe, latin america. A little bit better. Its a ghastly quarter. When people tell me there is a big mac row challenge to soft drink, i get uncomfortable. Why . You are not supposed to stop drinking soda. Soda is like medicine, i thought. You drink it regardless. Macroenvironment. Then execution. Im tired of hearing about bad execution. The halo of this company has to be ripped off. Enough. There should be no halo here. This is not a wellrun company. Soda flat, still up two. I want pepsico. Look at pepsico. 12 yeartodate growth. Pepsico guided up twice. You say its not a wellrun company, that is a significant charge. I know it is. I dont make it lightly. I keep thinking that i just am tired of excuses, david. I think you have to tire of excuses. Its a difficult period for sugary drinks. Then come up with something else. The two things theyve done right, Green Mountain coffee and monster. Just go buy the rest of it. Give me something to hang my hat on cocacola. Im delivering a knockout blow ko to the symbol. Making the big acquisitions, what are they doing . Green mountain coffee and monster beverage are fabulous companies. Theyve given themselves an opportunity to buy them in the future. They lock them up for all intents and purposes. You were about to say a day after ibm, its a buffet story . Im saying the halo, i like wells. They put up a good quarter. Ibm is a huge disappointment. The rebellion on the Conference Call. This cocacola quarter. Yes, we are going to refranchise. Yes, we are going to do this, we are going to streamline. You know what . Ive got a lot of Companies Hitting the ball out of the park that are not, these stocks are not doing well. Other than Warren Buffett, why do i have to think this is any different from General Mills which has better growth . Why is this any different from kellogg . Ill take kimberlyclark if i want a little bit of growth. An interesting note on buffet, he does act as shark repellant to activist investors. Nelson is the one to go after. In this day and age, it doesnt matter how big you are. An activist will still get in there with a big dollar number and still shake things up. Think microsoft. So many examples we can give you. When buffet is in there it gives all the other activists pause. If they had given themselves those raises, they would have to be on the wall of shame. You did have David Winters talk about compensation. We reached out to them this morning. We taken a hard look at our progress, our strategies are on the right track. What makes you think that . Scope and pace of our actions must increase. There is an endless series of Urgency Press releases and there is no urgency. Language that sounds like mcdonalds this morning. They came in well below street forecast. Reporting a Third Quarter profit of 1. 09 a share. Revenues were amiss. September, total comps down 3. 8 including down 4. 1 in the United States in september. Ceo don thompson said by all measures our performance fell short of our expectations. There is no good number anywhere for the quarter or for september. Down 9. 9 . This is so bad, its good. This is like the chinese economy. This is so bad. This is so horrible. My Charitable Trust is buying this stock. This was, without a doubt unlike cocacola which is we did great but we didnt do great or ibm, we did horrible, but really didnt do horrible. This is a call, we are horrible. We are miserable. We dont know what we are doing. I like that because there is no way there will not be wholesale change after this quarter. What does wholesale change mean . They are talking about a new concept, a new restaurant concept, the experiment of the future. They ought to buy magala. Listen to me. I always listen to you. Benchmark. Benchmark bad quarter. Benchmark bad quarter. No way this company can stay the way it is. There is going to be a big shakeup at this company. They have to change the way does that mean the board of directors say see you later . Its a dardenlike situation. Dardenlike situation for an activist comes in and throw on it the entire board . I beg to differ. Yes. I think an activist comes in and says, listen. Ackman was in there years ago. Its a horrendous release. Maybe on the call they say it was horrendous. Still yields 3. 7 . Thats why i like it. Its a treasury equivalent where unli unlike the treasury jack lew will not be out. There will be no starboard coming in taking jack lew out. This is a tenyear treasury where theres going to be changes. There will be changes. And sea of up side. They still have a good balance sheet. Theyve done nothing. Great balance sheet. They mentioned specifically having to close restaurants in russia. Obviously, the pate scare in china. Higher effective tax rate. They are not able to explain this quarter . Chipotle corner the analysts didnt like. They are selling itself. People are looking at mcdonalds saying i cant go in there because im a healthy individual. But mcdonalds has to mcdonalds cannot stay like this. Cocacola is going to stay exactly like this. Cocacola, three months from now what we are going to hear is change is going to be rapid now. Change is going to come. Theyve got like a sam cook approach to it. Mcdonalds, im having a party. They are going to have wholesale change right now. Wholesale change . Boards are more willing to make changes. I do, but i also think youre asking a lot of we are going to get a lot. Of Iconic Companies with Significant Shareholder in two cases is the same guy. If he doesnt turn, its hard to imagine the board is going to turn. This is where nelson pelts who turned around wendys. Terrific. Made a lot of money and do what he did with wendys. Wendys. They have a 90 million market value. David, Hedge Fund Kings are not intimidated by size. No, they are not. That is true. They dont play by the rules. Thats why boards are bringing in investment banks to advise them on anything an activist might come with full decks of what an activist might say about you. These guys are not playing with a full deck. Nelson pelts sells pepsico. Fantastic job. He says, don, let me give you a hand. Youre an ad for nelson pelts this morning. I think he could make a difference. Before we run out of time, lets get to apple, exceeding street forecast with fiscal Fourth Quarter results. Revenue up 12. 39. 3 million iphones sold in the period did beat estimates. Overshadowing decline in ipad sales. Issuing an upbeat outlook in the holiday season. Today we launched in 32 countries including china and our new iphones will be shipping in 69 countries and territories by the end of this month, making this our fastest and most successful iphone launch ever. Best year for mack. Revenues for itunes and software is more than revenue of the fortune 500. And the buyback is more than the size of the fortune 500. It was 22 of all Technology Earnings is apple . Did you see average selling price for the iphone . Its up to 750. Call cocacola and ask them, is that a macroenvironment challenge . People want to spend 750 for something of value, but they wont spend for cocacola because that is overpriced . 750 iphone, but diet coke . I cant afford it. This is the writ large issue of our economy. Speaking of pay, apple pay, how important is it . You go on the chipotle call. What do they ask . Are you in apple pay . The pressure to be in apple pay begins right here. On a chipotle call. It will be a slow build, but it wont be an insignificant business, many people believe it will hold real traction. I dont know when we start to pay close attention to it. Amex, sending email, use apple pay. This is valhalla. I had down 13. This was a flea and im flicking it. 70 of everything is the iphone. A little cannibalization. Donner party situation. There is always going to be nitpicking. Analysts cant just sit there and say this was a really good call. Really good quarter. Own the stock. They have to justify their existence. You will admit they are still having to figure out their replacement cycle on tablets . They said we are still learning this. Yes. I think i pay is something, the pressure is on. When you what i saw on chipotle, people dont like the chipotle call. We are only same store sales are up. Thats all you should care about. Hey, they are going to get through this. What i feel strongly about, is the pressure from analysts in the food industry, in restaurants to take out ipad. Mcdonalds, i saw that they are playing for chicken mcnuggets with the i pay. There is hope for mcdonalds. People are still buying the chicken mcnuggets. There is so much more to get through. How concerned should we be when it comes to the state of the Global Economy . Later, well talk tech pioneers and the digital revolution with Walter Isaacson whose new book is titled the innovators. We havent gotten to verizon, travelers, utx, and a lot more squawk on the street. China gdp with the slowest growth in six years. Watch is on to see if chinese central bankers will see targeted easing measures to boost growth in the Fourth Quarter. Along with the reuters story that says the ecb is considering buying Corporate Bonds on the soakedry market. Futures ramped dramatically on that. They came out around 540. Suddenly futures were flat then up 10. Something is stirring in china. The baltic drive trade index i get every morning about now was up 117 last night. Back to 1,090, a comfortable level. Copper up 4 cents. Back over 3. Something is stirring in china. Im not sure what it is. Its coming around. What does this put to eli the idea of this global macroslowdown theme . Should we be rethinking it . Auto sales there are not that great. I know that the story is they are going to start dumping more steal because they dont have that. Domestic consumption could be up. I like the Texas Instruments call. China is not as bad as we think. I think the peoples republic may have a little game. We always have people remind us that these figures are notoriously unreliable in terms of the government figures. Youve got to look at Different Things to get a wholesale picture of where the economy really is. Its not easy. We are going to hear from caterpillar tomorrow. They may give us a sense how horrible china is. Baltic drive freight is coming back. Thats been in a major funk. Well get cramers mad dash. Take one last look at the premarket. The all new, head turning cadillac ats coupe. Its irresistible. Its monday. A brand new start. Your chance to rise and shine. With centurylink as your trusted technology partner, you can do just that. With our visionary cloud infrastructure, Global Broadband network and Custom Communications solutions, your business is more reliable secure agile. And with responsive, dedicated support, we help you shine every day of the week. Centurylink your link to whats next. Came to see if i was manipulated i have no choice in this she needed me to talk so blame it on the night time for the mad dash. Dance, dance magician. I almost grabbed you and started twirling around there. Lockheed martin. When i see a release that says the corporation expects net sales will decline, i think theyve got a 4 yield where this stock is going. This was disappointing. Talking about the buyback was not going to be aggressive. This was not a good quarter. Maybe we should put away the sequester and start spending more on defense. People are in this stock because we think how come, dont we have to rearm . This was a troubling ke ining q a very good company. I feel like ive heard you say that a lot this morning other than apple. I wasnt grumpy when i woke up. I had a good workout. You dont see grumpy to me. Arm holding started out bad. That was week. I hear a penny miss. This is one i normally would sell it. Kind of liked verizon. I like the ads. Ads are good. Addition of subscribers. Right. The margin came in a bit less than people expected, 49. 50 versus 50. 7, the expectation in ebitda margins. They are doing differently than at t or sprint, for example, which have equipment installment plans that. Has the effect of giving you a bigger boost in your ebitda. It could also potentially bring on bad debts in the future. Youre subsidizing peoples equipments at a much higher level. It can jack up your revenues ebitda. At t in effect is repricing its base of subscribers in this way with so many people taking those plans. Verizon is on a different route. I havent been on the call to hear if there were any explanations why they didnt quite hit that margin number. As you say, on ads, handsets because they give you handsets and tablets, all good. The margin numbers is contributing to this 1 decline so far. Whats amazing to me, the competition is hard here. Yet, there is delivery. Remember, the government did want competition, youve got competition. They are putting up good numbers. Made sense to buy wearless . Without a doubt. Especially given the cost of capital. The lowest cost of capital. They should make the verizon cfo, he would be a good treasury secretary. We have one. Im just saying the next administrator. I thought you were going to go to a ceo of one of these companies. No. I wish the government would have the savvy to issue bonds right now the way verizon did. Too many cook issued bonds. They hit the low. Apple hit the low. Do you think they are lucky . That was luck. Better lucky than good, my friends. Better to be lucky and good. Opening bell coming up. Weve got so many more earnings we havent gotten to. Location. Location. shouting location. Heres the location that matters the most. Here. Or here. Or here. Its wherever this is. To get customers to come here and stay here, youre going to need an app that connects to all your systems. So they can bank, shop, do what they need to do, and you gotta do it fast. Before the competition does. Its tough out here; you better be on the right cloud. Today theres a new way to work. And its made with ibm. You are watching squawk on the street. Opening bell in a few minutes. Suddenly great managers come back. This was a fantastic quarter. Reminded me of honeywell. Honeywell put up good numbers. This stock, i think, can go higher because the stock has been on a oneway ticket from 116 down to 99. No matter what they did, it seemed like they were doing it wrong. They put in fantastic numbers. They have big china exposure. Something could be good in china. Everyone its not the gdp number. I get the coal numbers, electric numbers from joy global. Those are more reliable than any number put out. Harleydavidson did beat by a dime at 59 cents. Shipping fewer bikes. Stock is down 16 this year. Project rushmore looks like its doing well. Theyve got polaris. A lot of people are saying how can this be . There is not a lot of discretionary income. Im continually shocked by the amount of money people are willing to spend in this country. Have the right product . Great motorcycle will be bought. Chipotle. Remember last quarter, we had walter on. I think they need to do it. They have to start saying what chipotle did. The whole thing of the Conference Call which i loved but analysts didnt. The reason we have these comp numbers because people trust us. Whole foods have to say we have the seal of approval when you come to our store. Lets get the opening bell. A look at the s p. At the big board Ark Investments celebrating the debut of its etf and at the nasdaq Communication Services provider r. R. Donnelley and sons celebrating its 116year anniversary. Go back and watch when the ceo is on mad money. That is a different company. Thats a buy. Off to a nice start here. What is going on with inversions we are seeing a lot percolating right here . Abbvie paying a breakup fee to shire. Arbeggedon. Thats good. There are a lot of hedge funds who got mauled in this thing. Abbvie saying they are going to buy stock. What are they going to use, repatriate cash . I dont think so. That was some what critical. We still dont know what happened there. We dont know the whole story. Astrazeneca. Shire is a good company. Though have a lot of good products. Medtronic had been concerned given what happened with abbvie shire. They put out their latest proxy this morning. They are sending it with red lines and showing everybody where there is complete commitment to the deal. Theyve been saying, we are fine. In this proxy, the disclosure surrounding the board of directors vote and when they took all should give comfort to investors this is going a very different direction. There was worry that would be next. They are not making that. No. You said hand holding, not harm holding. Delta, southwest, as we looks like what worked well this year. Celgene, biogen. This is the doctors without border. They know how to do it. You are seeing the military getting in it. I think that is very important. Its only been a week since the latest new case. Amazing what you can do. 317 Million People so far have not contracted ebola. I find that number comforting. Indeed. Its not the mass panic. Carnival is on the list. Yeah. The airlines. They seemed like layup shorts. A lot of people are saying delta reported a good quarter. Fuel costs are down a lot. People will be traveling again. Thats the short of caving, recognizing they made this call that perhaps this weekend many people are going to come down with ebola. Anybody near the late mr. Duncan had to have contracted it, and it must be a