Single Best Idea with Tom Keene: Dan Ives & Gene Munster

Tom Keene breaks down the Single Best Idea from the latest edition of Bloomberg Surveillance Radio.

In this episode, we feature conversations with Dan Ives & Gene Munster.

Watch Tom and Paul LIVE every day on YouTube: http://bit.ly/3vTiACF

See omnystudio.com/listener for privacy information.

Episode Transcript

Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news.

Speaker 2 (00:15):
Single best idea and the heart and soul of what
we do is the guests and within the crushing schedule
of the guests, the technology getting in in studio, in
hotel rooms around the world, whatever they gotta want to
come on. And we are so humble that our guests
around different news events really want to come on. To

(00:35):
get Claudia Samon on Jobsday is a big deal. So
what do we do with technology? Back to back? Dan
Ives and Gina Munster with us. Don't forget some man
deep sing at Bloomberg Intelligence among other worthies, But today
was wonderful. Dan Eyes of web Bush Securities, Retail, Los
Mag seven institutional less.

Speaker 3 (00:57):
So Retells stuck with it. Institutional they've hit the exit
and I think they got and they've got scared out.
A lot of the mags haveing a lot attack and
now guess what's gonna happen over the coming weeks. They're
gonna have to double down. And I think that's why
I think the run here that we can see intact
over the next three four weeks, especially as we go

(01:19):
through I think could be massive because it's under own
institutionally because of well is Paul talked about stock being
up nine. In terms of Microsoft, there was a view
that they were gonna miss azure. They absolutely I mean,
this is an Aaron Judge like performance.

Speaker 2 (01:35):
Dan iives, I didn't know Aaron Judge was. I had
to ask Paul who that was. Danives there with webbush
and a better than good performance by Microsoft. And I
should mention Facebook as well. On we go to Apple
and Amazon, Gene Monster join from deep water. And you know,
every once in a while, particularly with the generous length
of time we get to speak to our guests, I

(01:56):
can to ask something more philosophical and to me, the
immense miss stree here, the immense mystery here of Apple
computer is people really don't know what made Tim Cook
Gene Monster on the expert on supply change Timothy Cook.

Speaker 1 (02:16):
There is one hundred percent confidence in Tim Cook's ability
to make the best out of an extremely difficult situation.
But even his magical ability to increase gross margins by
using better manufacturing over the last decade, even that power
is small relative to the forces of what these tariffs

(02:37):
could mean. And I'll just kind of put some briefly
into context is. My sense is that these tariffs when
it comes to Apple, there's still mixed messages coming out
of the White House in terms of how Apple's going
to be impacted by that. My sense is that they're
probably going to shake out somewhere between a ten and
twenty percent tariff, And if that in fact ends up
being the case, even with Cook's masterful to the supply chain,

(03:01):
they're probably going to see some diminishing of gross margins
and it probably goes from call it forty percent forty
one percent. They're probably going to lose a couple percent
on that, call it thirty nine, and so that is
it's a step back. I just want to put some
context when we hear about all this, the forces that
Tim Cook, the levers that he can pull, there are

(03:21):
some limitations to it. And that's why I think that
I just like applaud dan Ives and him standing up
and saying like, we got to get this thing figured out,
and what figured it out means is just some clarity.
And ultimately I think that that clarity is going to
be twenty percent, and it's going to be a little
bit of an impact. Again, doesn't change the long term
trajectory of the business, but it's something that investors are focused.

Speaker 2 (03:44):
Gene Monster there of deep water asset management. On the
Jobs Day tomorrow, really looking forward to the coverage a
wonderful set of worthies to help us with a mystery
of this trade war across the nation. On your commute,
major shout out to Google Alphabet and their Android Auto.

(04:04):
I am brief that they're coming out with all sorts
of new spectacular technology to drive that modern digital experience forward.
On our podcast, We're out on YouTube podcast single best
Idea