Hours. Tim cook will take to the stage to unveil what is expected to be a new iphone. Maybe more. Bill ackman betting on burritos Pershing Square takes a large stake in chipotle shares are up this morning. Under armors push in china. Kevin going on an asian tour with steph curry. Sara eisen is along for the ride. But it is a big day for apple, in just hours from now the Company Holds its much anticipated product event in San Francisco. Is expected to unveil the newest version of its iphone and offer a first look at an apple watch. Waiting for this for a while. You did work on the apple charts last night. Looking at levels it needs to hold. I thought the chart is a classic rollover but theres a woman who nailed carla, shes the mystery to me said that the stock would bottom at 89. If you take a look the stock bottomed at 89. Went back and said this could be the breakout typically because this stock tends to go in patterns of symmetry. Now i am not a chartist. I just look at a chart there. But what it does tell me it does dove tale with the idea nobody thinks anything is going to happen. I am going over the features. I am tempted to upgrade because i take pictures constantly. Constant picture taker. I was taking pictures of the ocean this weekend because it was the great waves and not to be too anecdotal but this camera threatens to be able to have better focus and if you screw up the picture it can fix the picture. Not like adobe photo shop i can get you out and put in the kid stays in the picture. Glad to hear that. But i find some of these things sound incremental but when put altogether the idea that it could be a little more waterproof now happhow many hav phone because of water . I have not. No . I have not. Dont take it to the bathroom with me. My daughter would say to be able to play this and do that. I mean the Little Things you hear about, it does answer the i have the i was watching my ipad pro last night. Narcos. Season two. Little more uneven . Yes. A little more uneven, just as bloody but if you want to see like gore and policemen knocked off for no reason whatsoever, you want much pro, much better screen. This is a pro screen. I dont know. I think often times you dont know like apple traditionally that you need this. You put it together in a package, you might. Maybe you do. Well that is the key question. How many people will be motivated to upgrade when they dont really need to as a result of whatever their plan having as i pointed out many times and do it over again, the change thats taking place amongst the wireless carriers owe only over the last few years the equipment plans changes the approach for consumers because they reach the end of it and then their bill goes down and they may be less motivated to step up. Right. Also the theorists arguing this headphone jack removal is not just to make the phone thinner, but to create an environment in which beats Wireless Headphones become a larger part of the equation. I mean this is that whole i paid 15 yesterday to apple for the Service Treatment that apple is getting smarter about taking advantage of its ecosystem to make a profit. These are incremental. In the end, 65, 70 of this companys earnings are going to be is about the phone. You pointed out many times, first of all the revenue stream for any other company would make ate fortune 100 company or Something Like that. Yes. Which means its 28 billion the smallest fortune 100. When i talk with them about it they said fortune 100, googled fortune 100 and it was like northwestern, some company that came in. Even though 100 with 28. 7. Its going to be 28 billion. No more than that. Maybe a fortune 90. But for them being number one its not doesnt matter because its a huge company. Heres an oman. Its just kind of a etherial but for the first time, i forget to put my watch on this morning. Came to work, i was going to make a uturn what does it say . Maybe i need a new watch. Or dont need the watch at all as ive been saying all along and as our colleague sort of proved im wearing my mine. You are . And if they added gps would that change your life . Yesterday, when i was preparing for fantasy i happened to get an update that the charge is better than i thought. That was something you needed im sure at that very moment and on your wrist as opposed to to your phone . From adam schefter, the man in fantasy. Instead of doing this. Happy birthday espn today. And lets hope the commissioner comes around. Commissioner labor dispute there last night. I think the decline in the market share of the phone is duly noted. Its been hit. Fit bit has come on. One is a very expensive deprice. Its not as though theyre not trying to figure out other things to do. 8 billion in r d. That is a big number. It is a big number. That employs a lot of people figuring things out 8 billion a year. Car. Car. Without a doubt. 20 billion, 30 billion buy sirius satellite and be in 19 million cars tomorrow. They could buy a lot of things we pointed out but theyve chosen not to. Bought beats. Theirs nice. I had to throw out my crop of beats for the record. Why . Oh, the beets. They didnt come up right. I got confused for a second. Actual beets. Do better than avocado. I was lucky enough to pick up a laptop for a kid going back to school and gave me beats for free. 300. Going back to school promotion. Thank you, apple. Geez. Gave those to my daughter. Made her very happy. Yeah. What did you do with the wireless. Wireless beats are around. Wow. Chipotle the other big story, rising in the premarket as you know, ackmans Pershing Square has a 9. 9 stake in the chain says the stock is undervalued and plans to engage in discussions with management trying to recover from the food safety issues. They issued a statement saying we welcome their investment and appreciate the confidence theyve expressed in our brand. The differentiated offering Visionary Leadership and strong growth opportunities. The question is, is this another emotionally charged crusade . I have to tell you, if you go back to delivering alpha which happens to be next week, just so you know, david and i are teaming up to really just deliver a ton of alpha, i mean like mega alpha delta alpha. Dont have a word to describe the alpha. No. Delta kappa psy alpha. To the third power. Indeed. Yes. Indeed. Look at all those people. Who are you doing . Were doing best ideas panel with a bunch of really good ideas this year. And we might for a change. And then were going to team up on some other people too. Really . I dont know. Okay. Yeah, but anyway, last year i interviewed nelson peltz and bill ackman and they talked about refranchising. Ackman wanted to refranchise mcdonalds and then suddenly got involved with burger king. They adopted his model. That is the last thing on earth that clip wants s tchipotle wa. Heres something thats going to work in ackmans favor. The yum incident. Kentucky friday chicken. Taco bell incident a few years ago, 2006, then the tremendously terrible 1993 jack in the box e. Coli, four children dead, more than 150 brain and Kidney Cancer kidney damage and in each case, 12 months later, as you annualized it you saw a turn in the comp stores and had to get in between 12 and 8 months. Annualizing in november incident that wasnt really talked about the cdc until november going to buy 9. 9 million shares you want to get in ahead of that you buy it and announce it probably the first week of september . Were also talking about an activist investor who continues to occupy a great deal of Media Attention but his performance as people know has been suboptimal. Suboptimal. Down 20 last year, down about 14 this year. A good deal though not all responsible was valeant, of course, the large stake that has done so terribly for Pershing Square. This is taking him back, you saw the graphic earlier to his roots in some ways where he had success whether with wendys or mcdonalds early on, even though what he was pushing for mcdonalds didnt happen, the stock ended up going up and burger king where there was significant success sort of takes ackman back to that. He is, of course, on the ropes in some ways given that performance although he has permanent capital. He is not at risk of losing a decent portion of his capital but certainly hes seen some outflows from his overall fund but still a big activist who perhaps commands more attention than he maybe deserves given his performance, guys. And you also got a Management Team on its back. Theyre not going to fight. In fact we saw theyre not fighting, sure, welcome in. And that for refranchising that is for every aspect of what chipotle is doing. It may be incremental but it is being well received and he knew going in there most likely it would be. This Management Team is not in a fighting mode. Also the added complication that Restaurant Industry is in recession on comps. You see dave and busters today guiding lower on comps for the year. Had them on last night. I have to tell you that Conference Call it was like i happened to like to go to dave and busters but that made me feel like im the only one. They talked about macro economic, which is always strange when you think about employment growth in the country. They talked about look, theres a terrible issue here that they dont point blank spell out. A lot cheaper to eat at home. Dave and busters you play the games but they had a litany of things. I cant wait to speak to them tonight because they just i was truly depressed after i listed on to that call. Because theyre talking about cannibalization, this is not party cannibalization where people eat each other, stores nearby, i like to clarify that. That wouldnt be good for them. To serve man cookbook club. Way to lite zone. We love be that. Its a cookbook. Its a cookbook . Its a cookbook. Competitive instruction. Economic pressures related to oil. Im tired of that. But they still do that. Macro economic environment, casual dining slowed relative to the rest of the market. Wow. I mean like lets just stay at home and play games where we try to win a free game. We try to land on the moon. Win a free game. Wow. Bad there. When we come back this morning, under armors ceo kevin plank looking to boost the companys presence in china with the help of super star steph curry. Sara eisen is with them and well have a live report from tie juan. Another look at the premarket. Today could be the 50th day in a row the s p has had not a single 1 drop. More squawk on the street from post nine in a minute. Experience the thrill of the lexus is f sport. Because the ultimate expression of power, is control. This is the pursuit of perfection. Im just a guy who wants to buy that truck. Weand sustainability goals asool one of our top priorities. Mental i definitely rely on pg e to be an energy advisor. Anything from rebates, to how can we be more efficient . Pg e has a number of programs, to help schools save on energy. When i see a program that fits them, then i bring it to them. With the help of pg e weve been able to save a tremendous amount of energy and a tremendous amount of money. Were able to take those savings and invest it right back into the classroom. Together, were building a better california. Under armour has enjoyed huge growth in the u. S. Since kevin plank founded the company but now its looking to grow its brand in china. Sara eisen is live from taiwan this morning with more and has been improving her game, i have no doubt, judging from how much time youve spent with stef. Good morning, sara. Good morning. I did get a few tips, carl. Good to see you. Good evening from taipei investors looking for the next leg of growth are looking here to Southeast Asia. And for this company, that strategy is built around steph curry. Its why under armour ceo kevin plank and a group of his top executives traveled here to asia. This was their second asia tour with curry in the last year and did china, hong kong, and taipei and held clinics on basketball courts where they played with young students. Trying to cultivate this relationship with the next generation of basketball consumers across asia. He took selfies, he did events at stores in under armor where we saw lines go around the block. The fever for the nba here is really something to see and weve seen steph curry merchandise soar 150 in the last season according to fanatics. Still, the International Business for under armour is a tiny fraction of the overall sales and its a tiny fraction of its competitor nikes international and Greater China business. I asked plank to help investors understand what the strategy is when it comes to the china market and how its different when from what he did in the u. S. Listen. You really have to understand and so, you know, our growth in the u. S. Is a really organic process where we began as a company we knew who we were, we were there for the athlete and job and Mission Statement to make the athlete better. As weve evolved and grown you go to different markets and always have that point of view, that personality of who you are. Its our job to bring that and to deliver that to the chinese consumer. But you have to listen, and one thing in a market like klein with as much history as it has, is, you know, you cant think short term, cant think in one or two or three years. You need to think in decades. We need to be thinking about what does it look like and where are we evolving to in 10, 20, 30 years and our ambition is to be the toper end be in china and we think that, you know, our brand has the ability to do that. But we have work to do. It must be a given. You cant just come and take things. You cant just take revenue. You cant just take from the athlete but it has to be a gift to china. Were constantly working on that and, you know, part of what we give we say is included in every under armour product is a super power and a super power that allows a little boy or little girl to feel when they put on our top or bottom or shoe they feel like, you know, i can do anything and thats a very powerful message and one that is, you know, we hope to deliver that type of empowerment and energy to the chinese consumer. And just to underscore the importance of curry to this entire international strategy, guys, check out the top selling basketball shoe styles of 2016 globally. And youll see, common names, nba al stars lebron, kyrie, jordan, curry has made headway with his curry 2 shoe line as number four but the rest of the top five are nike athletes. And that just shows the importance of this athlete sponsor relationship. Why this tour was such a big deal and comes at an inflection point. I sat down with plank and curry together to get more insight behind the scenes as to the design process and what they fight about, what their plans are and their vision for the future and share that in the next hour including thoughts on Colin Kaepernick and Upcoming Season in the next hour of squawk on the street. Back to you. Great stuff, sara. A great live shot in taipei tonight is there. Morning here. Jim, stock still down a bit from 58. Yeah. I actually think the stock is okay here. I think that the under current is related to adidas not nike. I know and i know that phil knight when i spoke to him recently if you back certain players, certain players are worth it. And it made me think, lebron, kyrie, that may be as great as steph curry is, they may not be in the he may not be in the league of people who know how to sell. I mean its strange. Now that. Curry is loved in this country but it was incredible this last quarter. Nike is far better at picking. I know that under armour has had big wins in terms of who they anoint but foot locker went over and the big brands are nike. Theyre not under armour. You need more than steph curry. You need a big panoply because you need to have the foot lockers of the world take all your product. Nike is resurging and adidas is with the stan smiths have come on really, really hard and right now plank is the odd man out and got hurt by Sports Authority but i think that right now, is somehow nike is one of those giants that you can, you know, you can come get near them, but mark parker is maybe the most competitive person and youre looking at kevin plank. Hes competitive. He surely is competitive. But mark parker in his quiet way will not be beaten and phil knight has said, and said to me in this great book, he said to me personally, this is what we know how to do. Is figure out who is the guy to really back and who isnt. And now the undercurrent curry, no. Curry is great. Clorox told me hes great when they did the britta filter. The biggest shoes were not curry. Guess who won the playoffs . I did see that. Yeah. Right . Touche. That was no one thought that was going to happen. Now i do think that steph curry is the future and thats absolutely true. But i just think right now, nike kind of is doing a little better and hes doing better. Love steph curry. Again, but geez. I think we know where youre coming from. Hear more from sara the next hour. Cramers mad dash, count down to the opening bell, another look at the premarket on this wednesday. Were back in a minute. Today i am helping people everywhere do what they do. Better. I work with startups like alpha modus to predict markets five times more accurately. I am helping tv networks use social data to predict what people want to watch. And i worked with marchesa to turn fan feeds into a dress that thinks. Hello, my name is watson. Working together, we can outthink anything. Hello, my name is watson. With dand bold styling to to stay ahead of the curve. The lexus rx, rx hybrid and rx f sport. This is the rx, elevated. This is the pursuit of perfection. Hthis bad boy is a mobile trading desk so that i can take my Trading Platform wherever i go. You know that thinkorswim seamlessly syncs across all your devices, right . Oh, so my custom studies will go with me . Anywhere you want to go the markets hot sync your platform on any device with thinkorswim. Only at Td Ameritrade welcome back to squawk on the street. Six minutes away to trading on this wednesday. Back to the oil patch . Yesterday, in to see brian sullivan, but the dean of the permian, the ceo, of pe near stepping down which is too bad. Hes great. Telling me if you have permian acreage in the Delaware Basin your stock is worth more than people think. Apache says they have secured gas and oi