look at apple. how many people said apple was done with and not going to break out again? i don't want to mention tony because it's not fair. >> but you just did. >> did i i'm so sorry. my wife tells me i make those mistake all the time. >> we talk about the individual company performance. we're looking down the earnings list of who is reporting what next week. does any of it matter? >> i saw a survey this morning from global fund managers from bank of america merrill lynch, and 40% of people that actually manage money, not just people with opinions, think that the trade war is now a permanent feature of the landscape, will not be resolved either this year or before the election. that is more than a third of people manager money not hung up on that issue. they might buy more aggressively. in general, that is becoming almost 50% of fund managers. i would bet by the end of the year saying it is the new normal. if we get a resolution, hooray. i'll change my mind. let's focus on what's happening right now in price. i think that's the story. >> you don't think the comments were

abigial: right now it seems apple specific. apple is being loved were not loved by investors.

if you buy an apple product, you get a year free. so really this is something -- you know, they're not going to be able to monetize right away, but it's a way to get users on the platform, a bigger piece of planet apple, and they can monetize that over time. so it's not guaranteed success it's going to take many, many years, but i look forward to it. >> lastly, krish, you've got an outperform rating on apple biggest risk to your thesis? >> i would probably say the biggest risk at this point is kind of like any further slowdown or deterioration on the services side because part of the whole thesis for us is iphones is looking pretty good, services is growing which is impressive i think the services growth is what is driving the multiple higher for the name and i think that needs to be sustained for the stock to keep working. >> brian, i'll put the same question to you since you have a buy rating. >> services are important. i would also say the long-term picture in china. >> okay. >> brian, krish, thanks, guys. we'll see what happens t

how do you see apple tv play into the broader narrative that is the future of apple? where does it fit into their strategy? tom: so, definitely when i think about their -- a huge than, last year, on weaker expected iphone sales in december, what they did is reset the bar. to the company's credit, he has been able to change the narrative and investors are soaking up this narrative and reacting favorably. the company's efforts to diversify away from their overdependence on the smartphone. proprietary content is definitely part of that along with financial services you think of apple payments, but the apple credit card. then all of the things they are doing and health good. so, i look at proprietary content as one leg in a stool. taylor: so sorry to cut you off. this is "bloomberg technology." ♪ from the couldn't be prouders to the wait did we just win-ners. everyone uses their phone differently. that's why xfinity mobile let's you design your own data. now you can share it between lines. mix with unlimited, and switch it up at anytime so you only pay for what you need

apple, is such a player. we have it so gaining, what, 44% year to date. it's standing at $227.37, up just a fraction. larry, tell me right now what you would buy, hey, what you would short, what you would go into, what you would stay away from if there were guarantees, no recession was coming in the next couple of years. >> no guarantees, i have to go to value. we all know that value has suffered its widest under whelming performance in 60 to 70 years. i would go to one of the biggest laggards, the banking sector. my favorite bank, i have been talking about this since 2010, jpmorgan, pe ratio of just below 12, i just think that's a good stock to go, especially if you are saying no recession because to me, that means we are going to have a cyclical recovery and value stocks tend to go and do very well and go past cycle highs when there is a cyclical recovery. liz: guys, great to see you. thank you. let's wish, let's hope we don't see a recession because we know it is extremely important for the job creation to

what is happening with apple? who is buying new apple airpod hitting stores today. what other new gadgets will apple have ready for the holiday season? what is the appetite for apple out there? we'll have that coming up. connell: on top of that, one of new york city's oldest newspapers, "new york times," trashing one of the oldest steakhouses. peter luger. it was a harsh review. among other things, they complain that the sliced tomatoes taifed like 1979. melissa: ooh. connell: we'll be back. ♪. melissa: "fox business alert." apple to report quarterly results in just a moment. let's go to deirdre bolton in the newsroom who will set up what to expect. >> i think the bigger picture we're talking about apple, is will its banking on wearables and services compensate for the fact that the iphone sales are declining? now granted they are still growing in the larger picture of things, but just down from the growth they used to see. you remember the days when they were like 60% of apple sales. that is no longer the case. so right now services represent about 20% of apple's

vendean if we end up with more apples here high quality apples that would mean that there aren't enough b.s. at lake constance. the experiment is designed to see whether hand pollination is more successful than what nature can offer. klein is expecting that the covered trees will yield fewer apples the marshals aren't so sure. maybe one always say if we see one be. part of this experiment to see how the bees are doing but to be honest i think we can get out without the. so is he right time will tell. a much larger experiment is underway in the eifel region of western germany 8 research institutes have joined forces here to investigate what's behind the insect die off . researchers from clay felt who have conducted a number of important studies are also here. one of them is martin saw. 2 years ago he published the results of a long term study of some protected areas in germany which found a 75 percent decline in flying insect biomass over 27 years. the alarming results made headlines around the world. zoraida setting up a number of traps along a line extending from a conventionally farm

when i was at apple, we built a new channel for apple with the apple retail store and it is a great way for apple customers to buy and created a gold standard for buying apple products. we are now shopping on amazon for about 25 years, but all it does is get to the door. what enjoy does is deliver a retail experience in your home. if you order a new iphone from at&t, in the shopping cart, you used to pick shipping and now you pick ready to go, which is another word for enjoy. one of our trained experts will not only bring the product you want to buy, but they will bring a full retail experience into your kitchen, your family room. taylor: how does your business model work? does the consumer pay for it? ron: it is completely free. taylor: how do you make money? ron: retail stores are expensive. with apple, you have to build out the story, you pay rent, hire employees. that cost a lot of money. we now focus on the experiencial part of of the shopping experience. imagine if you could take the experience of the apple store and transfer that into your living room. it would be lower cost to d

you've been a chaser of apple. in ten days, you've raised it a second time, 205, on october 23rd, 225, today, to 250 so they're exceeding your expectations why? >> look, i think the company is executing well and i think you have all noted there is a market rotation towards quality and quality is fortress balance sheets and quality is predictability of earnings and margins and apple exemplifies that so i think a combination of good broad-based execution at apple, kudos to them. as well as market receptivity, for high quality -- you know, high-quality names in general. but in the tech space as well. has lots of real strength in the name >> you've been a doubter, though, at least to some respects because you refused to raise your rating on the stock from a market perform where you had it for many months i'm trying to figure out what more you want, a breakout in the stock, highest revenue ever, accelerating growth from all of the areas other than the iphone. and that's offset some of the weakness in growth and iphone.

tell us, you would say, apple is bad news >> because apple gave a good message yesterday and you're still saying, do you believe the guidance >> listen if you believe theired guidance when they gave -- when they gave that holiday quarter that year then you got screwed that's stock went down 40%. >> how many times peak to trough. >> how many times have they guideden with been low on guidance a lot of times. >> sandbagging. >> they used to sand bag. >> apple is not the aggregate sales number our you're in the playing apple. playing more fortunate revenue mechanics and margin mix. >> the revenue mix iphones go fieer. >> the $15 million services company alone. >> installed base is not growing. >> i'll say it wasn't a bad report it wasn't a bad report and so you may. >> versus low expect aches >> we are going to talk about apple a little bit more later on in the show and why apple may run into some trouble. overseas in the meantime i want to back to broad are markets jp morgan top strategist expects stobs to ramie between now and the next year. global head of macrohead and derivative str

it allows them to add new things like the apple card and apple pay. at this point, it is not seen -- it does not seem any of the services will make a dramatic jump individually, but it is that continuation of the app store that will help apple in the next few years. taylor: angelo, what is the inflection point for you, where services offset the highly-cyclical iphone sales? is it three years from now, five years? angelo: in terms of the top line, i don't think you get there anytime soon. when we start thinking about potentially, let's say, the services profit. you think about the margin profile, 2x of the hardware business. when you start looking at the margin profile of services and actually lump in wearables, the combination of both those businesses, services and wearables, could exceed the rest of their business over the next three to five years in terms of the profits. taylor: and the integration of health care with the watch, wearables, the next key of growth in your opinion? angelo: we think health care is an enormous opportunity for the company

in terms of apple i wouldn't be surprised to see apple north of 250 and that being the high for next couple weeks. >> apple was the name no one thought got back for the old highs here into this print, i think expectations are incredibly high. we started to talk about the tv services being a game changer when when they announced we said not a game changer but at least in the game. and i think we have to be careful about this even though as someone long apple and investor versus a trader we have that conversation all the time too. you can be an investor in apple based upon where i think this multiple is going. but i had to play the rsi, play the positioning right now, play the options market, my guess is i'd be protecting myself. >> as trader what direction duping apple goes in. >> i actually feel like we're probably towards the upper end of the range my own personal take one of the reasons people are enthusiastic that doesn't move the needle for them right now. it's a de minimus things earnings are the times that becomes reality. you actually look at the hard numbers and that's what e

long awaited streaming service apple tv plus apple tv plus officially launching tomorrow. competitor disney plus launching in two weeks time. joining us now, academy award winner producer, brian grazer. brian, how are you doing good afternoon to you. >> i'm great thanks for having me on. >> very well indeed. all the better for sight let's talk about "face-to-face." what's the thesis there? this is how you say in your career you wouldn't be where you are if not for those crucial meetings as opposed to so many interactions are done these days by email or phone calls. >> well, here's the thing. because i produced over 100 movies and television shows, you have to move people. you have to move executives. you have to cause people to engaging a vision. it can be very intangible. even in the case of frost nixon or "beautiful mind" or apollo 13 i got to work with your father and through your father i had dinner with margaret thatcher and andrew lloyd webber, had a very, very stimulating conversation with theprime minister it was very fun. but i'm able to -- your dad was there too.

he has a bi rating on apple. as you analyze the streaming service, do you expect appear to outspend its competitors? tom: so i think apple has the potential to outspend as you pointed out, they have a massive treasure chest. but the way we've been talking at it is the speculation is they're spending $6 billion up from the original expectation of a billion. and for apple that kind of puts premium content spending as more of a senior hobby and not really a job yet for the company. so i do think they have the potential to spend a lot more but so far they haven't really shown that. taylor: and put that $6 billion into perspective. what are some of the other competitors follow spending and apple is really spending $6 billion? tom: so by way of comparison, netflix the market leader is in range. billion-plus it's a significant figure but it's lower than what netflix is spending. and they have the potential to spend a lot more. but so far they haven't shown the pro pen si to do so. taylor: i want to show a chart to our b

and facebook and apple employee post facebook and apple earnings. more on what wall street wants to hear. and a chipmaker reported third-quarter earnings that met top and bottom my expectations, including in-line fourth-quarter revenue forecasts, suggesting the number two maker of computer processors is gaining on rival intel. covers this for us. falling in after hours trading. with the former guidance a little bit light? ian: about $50 million, but nothing to panic about. the stock was up. also, with the forecast, there or thereabouts, we are talking about growth from one year ago, so that is obviously not bad. to workut so much money in the stock, and they did not get any upside. taylor: well, and they have put a lot of money to work. my bloomberg terminal showing it is up about 14% year-to-date. how much of this was expectations really high, and how much was good news from the company we got today? perfect mixture of people getting what they expected. the bad news continues to be this division that sells into microsoft xbox and the sony playstati

but we begin with apple and facebook both up about the same josh lipton is on apple. julia boorstin on facebook we start with you job. >> the a few metric i call ou iphone revenue better than expected at 33.4 billion-dollar. ive nef due 7% a sequential improvement q 23 down 12%. mac revenue a bit lighter than but wearables home and accessories better than expected at 6.5 billion and services revenue up 18%. also better than expected. 12.5 billion the q 1 forecast, mel, apple a.m. guiding between 85.5 and 89.5 the street at 87 billion one of the metric i call out china revenue down 2%. a sequential improvement in q 3. down about 4% before i did have the chance to catch you have with tim cook we talked about trends and themes. one the competition in video streaming. apple tv plus launching friday we now know that hbo max launches at $15. apple tv plus at $5. i asked cook, is that hard and fast is that going to shift the cook telling me you know $5 is where we start but we will see what the future holds. i don't want to lock oh ourselves into one side or the other. we al

apple will launch a no interest iphone payment on the apple card. the ceo believes the apple card is the most successful launch for a credit card in the u.s. ever. tom, we've given you a few minutes to dissect the earnings. what is your key takeaway? takeaways that apple continues to benefit from low expectations as it transitions away from the iphone. you talked about the success of apple card and how they will leverage it to offer free financing for future iphones. if you look at their financial services efforts and look at the upcoming content efforts, and you look at health care, all these things enabling apple to diversify away from the smartphone industry. it's very good news for the shareholders. taylor: what do you need to see from this company to take the stock higher? we talk about it as a stock that's up more than 50% on the year. it reached another record high this week. what else do you need to see from this company? tom: it's an excellent question. what i'm trying to determine is for next year's upgrade cycle on the iphone, what are th

it's been -- while faang has kind of struggled, apple is doing really well and her call around apple tv in particular was much more bullish than the rest of the street. >> well, i think there's so much skepticism here about how much the streaming is going to add to apple's bottom line. but here you have analysts really digging into those numbers. they're making an assumption that they could have one out of every ten apple users subscribing to apple tv. they said, look, it's five bucks a month. it's really insignificant when you look how much apple users spend on the hardware itself and then they say by 2025, there could be a $9 billion revenue business with 136 million subscribers and that's not even their bull case. their bull market case is 175 million subscribers. >> but we don't even know what content is going to be on there yet. >> but we do we have trailers out there that show they are pulling in big names. when you'rlling oprah winfrey and jennifer aniston and reese witherspoon. big names we know. when i've seen the trailers, it looks good to me so, you know, i just think $5 i

apple's saving grace? the apple watch, air pods and services turned out to be the big winners over the iphone, apple's previously unstoppable moneymaker. apple shares right now are up 2%, but they are up 57% year to date. apple's not the only spark we need to beat on earning, lyft a big tech investors with true skin in the game is here. courtney riehm joins us along with benchmark investments managing partner kevin kelly. kevin, what did you make of these numbers? but let's spin it forward, and tim cook made a very interesting point. he didn't say no to the concept of maybe getting the iphone back in the excitement level when it comes to revenues by turning it into sort of a monthly revenue type of thing. >> yeah. it's pretty interesting, because he also wouldn't comment about the iphone returning to growth mode. and as we've seen, services now 20% of their revenues. and so they need to expand that, but it's only got about a 30% margin on it where the iphone back in its heyday used to have gross margins ar

facebook and apple on deck. the latest tech giants reporting quarterly earnings today after the bell. we will find out how much revenue the latest iphone lineup is bringing in. let's get a quick check on these major averages. right now, really deciding to when it comes to major market moves ahead of that fed interest-rate decision. under the hood is a pretty defensive tilt with utilities, real estate, consumer staples. cyclical stocks like energy and financials are on the back foot. the real fireworks could be in about half an hour's time. away from all of this, i have been known, instead of wearing some nice shoes, wearing some nice uggs, but i have never gotten into some crocs, but i'm apparently one of the few. these are their shares up today 15%. this is actually close to an 11-year high for what we can describe as the casual clog maker. they posted record revenue. if that was not enough, they are boosting their full-year sales forecast. i don't know what it is about these shoes. steve madden yesterday also

but we begin with apple and facebook both up about the same josh lipton is on apple. julia boorstin on facebook we start wit

and uk before included in apple tv plus november 1st launch the film drawing arrive which apple assured a highlight to proposals in the new service. this is one of three apple releases in fal followed by indy feature hala ii november and drama, the bank ner december. amazon is release be five films and netflixt0 films, the m er in the key fall season. >> the streamers are doing theatrical releases becauseh thy are h profile title, engaging audiences they have a popab and ity to stand out in the marketing clutter. they'll drive a big audience. >> perhaps the most high profile of the films is netflix's the ar irishman fromtin scorescy. on november 1st, the same day as apple tv plus launching netflix offers the drama in independent theaters before streaming at the d o the month. none of the fil. will stream the same day they launch in theate. netflix theatrical windows are less than a month pch none of the theater chains dmoanding a thh window run the films. apple for now is also doing limited releases. amazon is the outliar doing three traditional releases ts fall including for honey boy.

228 what do you apple right now? the answer is i would be taking profits. i'd go against carter. i'd be going against tim and for some reason after josh spoke, bee kwichd came in my head why is that, tim. >> because agnes morehead was she stole every episode she was in. >> i don't even want to. >> enough for tangants for now read more about apple on the website. cnbc.com life at the market site times square much more "fast money" coming up next >> disney ripping a page out of the mean girls playbook. what the media giant said to netflix that's getting a lot of buzz and later a rocky road ahead, what's next for the transports after they closed out one of their worst weeks of the year? stick with us. more "fast money" right after this the world is built for you. so why isn't it all about you when it comes to your money? so. what's on your mind? we are a 97-year-old firm built for right now. edward jones. it's time for investing to feel individual. ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ >>> from battered to bounceback, the mes

let's head to susan lee who is at apple headquarters in california. a big beat by apple. you have more specifics from your own personal time there with tim cook. >> that's right. so i think the main take away is that it was a strong quarter and also a very strong quarter heading into the holiday season. tim cook says he's very bullish heading into the holiday season. the iphone 11 has been received very well. in fact, he sees the u.s. economy as being very strong. i asked him about the u.s. consumer given that we just got an interest rate cut from the federal reserve and in his view he says he feels very good about the u.s. right now. as for china, which has been the achilles heel so far this year, he says things have improved and trade tensions have gone down. to him, he saw the bottom probably in december and january of last year and he's optimistic that tariffs will be resolved. however, he doesn't know if the december tariffs will be reeled back. we know iphones and ipads may be subject to a 15% hike in tariffs on december 15th. but he says from what he's read so far,

apple ceo mr. cook argued that unlike your peers who run ad based businesses, apple is a company that fundamentally is privacy oriented. do you believe that apple is a privacy oriented business? >> yes, absolutely. we believe privacy is a fundamental human right. >> well, then why has apple allowed google to be the default engine on safari? >> apple has with all products focused on the best consumer experience. when it comes to search we conducted an open competition to see what did we think would be the best for our consumers. and consumers have always gone to google. and so we ultimately selected google but we make a number of options available to them. it's easy to change the default on the iphone to any number of choices including duck duck go and other search engines that perhaps have more privacy protections. >> apple charges app developers a 30% tax on in app purchases in the first year and 15% every year there after. in a statement submitted for the record, spotify argues by charging the 30

apple's hit stores today amazon's echo buds are available next week. but we wanted todd hazelton to come compare them. todd hazelton. >> is he there >> okay. todd guys, can someone tap -- can someone get todd, please you know why he's wearing -- they're noise cancelling todd, get over here, son we want to know which ones you like better. >> couldn't hear you. >> can you hear me now >> i can hear you now. >> yeah. very good. >> noise cancelling. >> the apple noise cancelling famous -- >> these are them. >> characteristic upgrade for them do you like them which ones do you like better? >> i like them a lot i just bought them for myself. $250, though, which is a big upgrade over somebody who just bought -- >> how much are these? >> air pods. i know kate just did 159 but if you go up to 199 if you get the wireless. >> most people are like me, they buy one a week because we lose one a week. >> right that's one of the things people should know about these. the replacements are really expensive like upwards of $189 so if you buy apple care plus, $29, then you

>> i am long apple, not as long as peter, even steven. but i have been long apple on the belief that there is going to be a chase for performance and also there is a pull forward from the trade dispute from the potential tariffs in december, from chinese demand. and i think that's relevant in this quarter now, the question becomes what happens with the march quarter if there was a pull forward of demand from the chinese, if there is going to be inventory stuffing back in the united states, what does that create for a march quarter? that's where looking ahead, i think, the guidance is going to be important and that's where your concern is for apple. i need to alleviate that concern to stay in the stock that's the only issue i have with it. >> it's really a non-event quarter, right it's going to be in quarter. they will talk back the new airpods. >> but moving the stock has amped it up a little bit where they have to deliver something more than just ho hum. >> agreed because they have gotten ahead of themselves everybody is raising numbers

i expect them on apple to look at the app store. we are going to look out 18-24 months, the bark is a lot worse than the bite. kurt: facebook of course is not really, you know, holding back. they are pushing into new industries, including cryptocurrency with libra. do you think any of that might pose challenges for them on the antitrust front? >> ostensibly, you have to think their lawyers have looked at this really closely and talk to the top leadership and said, we are under antitrust scrutiny, we have to do these absolutely as carefully as possible. if lawyers were always right, there never would be any of these cases. i think it is the kind of thing that the ftc, the doj, and states will be looking at as it goes forward. i think particularly on facebook, the acquisition strategy. how did you get so big? buying instagram, buying what's up -- whatsapp. these are key things investigators are looking at. it is going to be a part of what they are looking at. i think dan is right. antitrust has not necessarily shown it has an appetite

how has apple done this? >> look, i think if you look at the stock over the last year, we were at pretty similar levels a year ago. and the iphone cycle was weak and investors reacted pretty negatively to that. i think as investors look forward now, they're more optimistic. the cycle seems to be okay. there is anticipation for a 5 g cycle next year and the services and buybacks program are going well. so you have seen apple effectively round trip on that. and investor enthusiasm is similar to where we were a year ago. >> wouldn't you want to get ahead of some of the positives you just mentioned rather than risk the potential with either a price target bump or rating boost? >> we pretty purposefully revisit our price target. we last set it in july. it's not something we do regularly. we'll revisit that over the course of earnings and see what apple has to say and see where the market goes because the market has gone up a reasonable amount since we last set our price target. look, i think whenever there is opti

of apple. exposed significantly to china. $11.1 billion is what they are pulling and. whether getting into a culture war? -- are they getting into a culture war? >> that was better than expected. the margin, as the pressure comes up the trade war, we have seen the rhetoric died down here. my sense is that apple incrementally will do better there. particularly with the lower-priced iphone. it is still an aspirational brand. that is one of the things that has worked so well for them in china. keep in mind, china is really big on 5g. they are making a big push there. i think when the 5g iphone comes around, we should see sales in china for apple get a nice boost from that. >> we saw this pretty high-speed on the services revenue. 12.5 billion. this has long been one of the stories that people have told. there is a much greater opportunity for apple to harvest its existing user base and get my money out of them. as the starting to kick into gear in a way that a lot of expected? >> i think so. they

taylor: any readthrough from apple to the apple suppliers? can you quantify a boost to the bottom line for apple and some of those suppliers? dan: in our opinion, this is something that, it's probably what i view as a 3% to 4% -- to quantify it -- improvement to what we can see from a cost perspective. to suppliers, that would be a cut of 3% to 4% demand that will not happen. you see that through its suppliers, semis, apple. that is a massive ripple effect which is a major feather in the cap for any techniqu investor. taylor: is it too soon to say apple no longer needs to look at manufacturing outside of china? we talked about them shifting the supply chains to other regions. would you say they are too tentative to firmly stop those moves and keep it in china? soon tohink it is too call any major changes. they are still looking at india, potentially over the long-term. this definitely does change the game, because for apple, you go back six months ago, this was kind of in the red zone in terms of the worries, in terms of china. now that they

fall forhere does 5g apple here? kiranjeet: there is nothing that has been announced by apple but i think we should expect in 2024, when the new range of iphones,, though should most likely be 5g enabled. sophie: sam johnson -- samsung looking to grow its product space in 2020. the note: for samsung, series has been doing better than the previous note 9 series. what is better for samsung, the 8 series from 2019 has been doing quite well, especially against the onslaught from the chinese. the other advantage that samsung has had, the first mover advantage, that they have a 5g phone in the market. i would say it is still limited. there are very few countries that have 5g at this point. that limits the scope of growth for the 5g phones for samsung at this point. , 2020, we should see more launches across the globe. that should help samsung build up its portfolio of smartphones in those countries. 2020, are youg to anticipating a turnaround for samsung? kiranjeet: so far, the demand has been very sluggish for the memory

apple declined to comment on that report. remember tim cook telling reporters that sales of the new iphone 11 series are off to very strong start he did not reveal specific sales figures. apple with these new iphones did emphasize figures that we know consumer care a lot about. speed, battery life, cameras price was a selling point too. the iphone 11 was priced $50 lower at 699 bucks deutsche bank says the growth does look increasingly more reasonableable if this report proves to be true. investors have piled in. apple has soared more than 40% this year. they consider how they expected 5g iphone next year would impact demand in the quarters ahead this increasing chatter and excitement about that device have appetite for the current iphone 11. >> our next guest bought the stock during the recent market turmoil. joining us is dan niles. why did you speak up apple >> i mean, we talked about this in some prior tweets that we had. september 23rd we put something out saying it makes zero sense to us. it was a trade war attack. hong

a lot of portfolios underweight apple. >> apple has been outperforming since early in the year when we saw concerns for china and sales in that region and given the ongoing trade war. we know in september, apple released the new iphone 11 lineup any early indication will be telling for the crucial holiday quarter, which is next quarter that is always the biggest quarter. we have to remember iphones make up half of their revenue now also we'll be looking for any commentary from tim cook about the impact of tariffs. there have been a limited amount the big question is the december 15 tariff that will hit apple. that will have an impact and hit a much wider range of devices. the other thing we talk about is services we are releasing apple tv plus the new streaming service. commentary about how they expect those margins to go forward will be important for analysts. >> picking up on apple share price. on track for its best year since 2009 it begs the question could all of the news to come already be priced in? >> it was interesting. the sentiment was so negative. people have been able to lo

apple plantation is in full bloom. alexander klein has brought a doctoral student with her they're collecting pollen. these are in elster apple trees the 2 biologists planned to pollinate the elster trees by hand. but just gathering the pollen is no easy task they have to collect the pollen when the pods are perfectly right. now they go to the test area to pollinate every single blossom by hand. and it takes the 2 of them 5 hours to pollinate just 5 trees. to pollinate every tree on the plantation by hand it would cost about a $1000000.00 euros a year so one could harvest well this year old. will this be the future of apple farming. you. need to pollinating fruit trees by hand i hope not to heat their competition is just a few metres away in the beehive as if it's almost full hardly an empty spot. the beehive is situated right at the edge of the apple plantation marcos marshall has several of them and he's pleased with the results. of the demoted you see that mason they do a lot in apple plantations if you get out beca

i think it's about time that we stopped thinking of apple isjust time that we stopped thinking of apple is just an time that we stopped thinking of apple isjust an iphone company. it's the strongest foundation for it but without its product lines, i think apple would be half of what it is. the strategy of tim cook to rely less on iphone sales, that seems to be working? it's not about relying less on iphone sales, tim cook realises it's only going to grow so much so then it's about how do you get more revenue out of end users and if you look at it, it's very closely tied to the iphone. it's still very crucial. it's important to keep the momentum going but at the same time, keep growing its other product lines and services. of course, still among many consumers, the company is known as an iphone company. that sector faces a lot of competition, doesn't it? it's remarkable with the iphone11. with its earlier product, the competition was rising much out of iphone because of some of the photography options, with the iphone 11 series, apple has come back in the race and a lot of people are buy

pay 9.99 for apple news or 29.99 a year for cloud, pretty soon, you're paying to apple, a business you might not even realize you're doing >> on october 3rd of 2018, the stock was 233.47 that think of what they've endured since then the absence of the wow product think about being a proxy to the china trade tensions the removal of guidance from their earnings there they are with the 233 in their sights once again in a year that's been pretty who hum for them unless you look under the hood and see the quality >> you almost wonder, sully brings up everybody owns it. do they really how many puked it up when it's going to 140 apple was buying buffett was buying jon added. i added. but i think there's a lot of people saying tang, i misseded it on the way up to 200. i'll wait then they're going to continue to look at the stock and say to your point sh, wow, 19 or 20 times, but is it 19 or 20 items the real problem how much growth do they have >> 5 and 6% earnings growth. if you have that, it's going to -- >> good discussion your point is made didn't need to make it 16 types. pete the biggest

apple said the app was used to ambush police. some u.s. lawmakers criticized apple for the decision, cook telling me we have to make tough decisions. if the app would have been in the u.s. doing the same thing, we would have removed it in the united states as well. as for services, there's a big new one on the way, apple tv plus launches tomorrow would cook consider raising the price of the service cook telling me $5 is a starting point, in his words, we'll see what the future holds. back to you. >> we sure will. thanks. >>> door see versus zuckerberg twitter announces it will ban all political ads on the platform as facebook announced big earnings beat. julia boorstin has more from los angeles. >> reporter: dorsey and zuckerberg facing off. dorsey said he is stopping owl political ads. he started with a dig at political advertising, and defense it is key to free speech he said this isn't about free expression, it is paying for reach and paying to increase reach of political speech has significant ramifications that today's democratic infr

josh lipton has news on another mover and it's apple. >> some news on apple. just now announcing new air pods, scott. these are called airpods pro noise cancellation apple describes as superior immersive sound. available today, available in stores beginning wednesday the price, scott, for airpods pro,s are the best selling headphones in the world. they have become a beloved apple product. they are now taking the magic even further remember, scott, apple does not break out units for airpods but analysts estimate they already sold 50 million and counting investors care because they are part of the faster growing wearables business apple set to report wednesday after the close. >> josh, thank you for that. apple hitting another new high today. price target bumps at jeffries, 285, 260 at bank of america, 275 jpm, 221, a little off size at credit suisse at this point. reiterated their neutral stance on that. wednesday apple new product announcement we were going to talk about this stock irrespective of that everybody owns this stock and it's been on fire, jim. >> i

>> look at the sky works, the inputs into apple. how much they've moved sky works is 24 bucks off the 52-week low. a lot of stocks feed into what apple does. >> sky works got upgraded $95 the price target raised from 80 to your point. >> yep i think you will be seeing similar things out of many of the apple suppliers, scott i think and i've said it over and over again i don't need to beat it up anymore, apple will have a great quarter and going to be about the reoccurring revenue side even though the phones are selling very well. >> if you -- first off do i have to say you're right and i was wrong. >> no. >> you said buy the stock where it was, 219. >> i'm not kidding sometimes we get it wrong. okay i should have bought it below 150. my mistake, however i did hold and still have held shares throughout okay look the stock wants to break to a new high, nothing holding it back except if it gets weaponized in the china despite. all bets are off. >> doesn't get weaponized, it is the marquee name that we think about within the china dispu

i think china is probably the third largest market to sell into apple and sell for apple i think the u.s. is probably around 40 some percent, 42%, europe 24, 25 and china is around 20% that's very important apple revenues. >> how has cook been able to walk that line hooch you have seen it, the journal points it out, we had a ceo come out and tweet out i think president trump is not terrible just something as innocuous as that in this environment cancel that company would be trending on twitter immediately if you associate with the white house, everybody comes out and says down with that product or service. how has tim cook been able to walk that line where people aren't saying, oh, shame on tim cook and throw away your iphone the google pixel. >> that's a really good point hooch more than 97% of political contributions coming from apple employees have been going to democrats. for that matter, most of the u.s. business community, 70% republican for major businesses were not supportive of president trump in 2016 and again now in our surveys most are not voting for his re-election. none

any sense that apple will be targeting original content? any sense what apple will focus on? chris: they are focusing entirely on original content and people will tell you, it is original shows that make the difference if you look at the surge hulu has seen in the last couple of years, but you cannot do it with just that, which is one of the most perplexing things about apple's strategy. with all the cash they have, why don't they buy a library of movies? go people just going to to see this one movie or two shows that they are launching? it is a very confusing strategy for a lot of people here, but we are all watching. taylor: chris, finally, quickly here, very interesting in terms of strategy, t-mobile had been offering customers netflix. verizon has been offering customers disney plus. any sense that apple really does just go it alone, or do they partner with someone? chris: well, they have their deal. basically if you buy an apple product, you will get a year of this new service, and a lot of people think that is really what this is about, linking the hardware to the conte

looking at apple's guidance plus any comments of the possible tariffs that could hit apple products we've seen shares bounce back since it issued that guidance cut. that stock up more than 50% this year part of the reason for that is this growing focus on services investors are highly anticipating the launch of streaming. apple tv launch and that will be a big topic on the call. >> it will be a big topic of conversation going forward >> joining us now, live from his pajamas. cnbc contributor and great guy good to have you on. apple is up 44% and facebook up as well. >> hello, brian. i'm glad to be on this fine morning. in terms of facebook, they can expect a pretty decent quarter in terms of apple, you know and i know that facebook is not. facebook topped out in 2019. you've seen some big peeks since. not the least of which was that move down to i think 125 back in december 2018. i think it sets up ska extraordinarily well into earnings this evening, you are looking at a stock that will blow back to those levels we saw in 2018. in terms of facebook, the set up is really good i want to dis

apple's growth and services business we'll have more on apple later this hour. the stock is up by 2%. we are also watching shares of facebook this morning. facebook shares up after the company reported better than expected results on both top and bottom lines they beat forecast for average revenue peruser. facebook shares up 4% this morning. also shares of generak, maker of back up power generators for homes and businesses up 1.4% this morning after better than expected profit in sales and the company pointing to the rolling power blackouts in california. they say that is that's a key factor that's boosting demand. shares have doubled so far this year >>> the fed cutting rates for a third time this year and chairman j. powell indicating that the central bank would be hitting pause at least for now steve liesman joins us and has all the details. good to see you. >> good morning, becky the fed reserve cut rates and launched into a new phase of policy call it the hold or high bar phase where fed chair j. powell said there is a high bar to cut and a high bar to hike

/china trade war. 20, $25 overhang on apple. you remove that, the stock will go much higher here. >> we're starting to see a little of that today as apple is up almost 2% thanks, guys we'll watch it closely >>> when we come back, expect more volatility in internet stocks that's the latest out of barkleys dow up 415 we're 15 points away from 3k don't go anywhere. it begins with a distinctive approach to managing money. that for over 85 years has focused on keeping confidence up when markets are down. an approach where portfolio managers work well independently. and even better together. who don't just invest, but are personally invested. can i find a proven approach designed to deliver results? with capital group, i can. talk to your advisor or consultant for investment risks and information. >>> welcome back to "squawk alley. sticking with today's rally, the dow up more than 400 points, hovering near session highs. up 437 points. the s&p is up 49 joining us, luke ventures founder, managing partner gene munster and mike santoli g