Johnson & Johnson shares fall following earnings

>> WELCOME BACK. WANT TO TAKE A QUICK LOOK AT SOME MARKET MOVERS TODAY, STARTING WITH JOHNSON AND JOHNSON WHICH REPORTED A SOLID QUARTER. BUT OVERSHADOWING THOSE RESULTS WAS WEAKNESS IN ITS MEDTECH BUSINESS. THE SHARES ARE DOWN 6% ON PACE FOR THEIR WORST DAY IN MORE THAN A YEAR. I MEAN, WHO WAS OUR BUDDY? WHO WAS JARED HOLTZ? I DON'T KNOW IF YOU SAW HIS NOTE ABOUT THIS TODAY. I DON'T WANT TO SAY HE WAS FREAKING OUT, BUT BUT THERE ARE SOME IN THE COMMUNITY WHO ARE PRETTY UPSET AND SURPRISED BY, I DON'T KNOW THAT THIS THIS SORT OF SET OF ANNOUNCEMENTS FROM J AND J TODAY. ARE YOU ARE YOU BOTHERED BY IT? >> WELL, I THINK THE WEAKNESS WE COULD HAVE SEEN BECAUSE STRYKER HAS ALREADY TALKED ABOUT IT. YOU'VE SEEN IT FROM A COUPLE OTHER MED TECH COMPANIES. SO BOSTON SCIENTIFIC HAD IT. YOU KNOW, I THE OVERHANG HERE IS ALSO THAT THEY'RE GOING TO SELL THEIR ORTHOPEDICS DIVISION. AND MAYBE INVESTORS ARE NOW SAYING, ARE YOU GOING TO GET THE PRICE THAT WE BAKED IN ALREADY? >> HOW DID WE GET HERE? WE HAD THE J AND J CEO ON NOT LONG AGO. IT WAS THE. THEY WERE OFF TO. THEY WERE HAVING A GREAT YEAR. >> AND THEIR GUIDANCE IS HIGHER THAN WHAT THEY SAID AT THE BEGINNING OF THE YEAR. IT'S JUST THE MED TECH DIVISION WITHIN. THERE IS, HEY, IS THIS A SHORT TERM THING? AND WHAT THEY'RE SAYING IS WE'VE GOT ISSUES IN THE MIDDLE EAST OIL PRICES. IT'S INTERNATIONAL. CHINA HASN'T HELPED. BUT THE PHARMA DIVISION IS DOING REALLY WELL. AND THE STOCK HAS HAD A GREAT RUN. IT'S STILL UP 18% FOR THE YEAR. SO I THINK IT GOT BAKED IN ITS 22 TIMES EARNINGS. IT USED TO BE TRADING AT 1516. THAT'S WHEN WE GOT INTERESTED. I THINK IT'S STILL A GREAT COMPANY. IT'S A TRIPLE A BALANCE SHEET. AND ALL THESE COMPANIES HAVE TO WORK THROUGH THEIR MED TECH ISSUES RIGHT NOW BECAUSE THE DEMAND HAS SLOWED DOWN, BECAUSE CONSUMERS ARE POSTPONING A LOT OF THE THINGS THEY WANT TO DO, WHETHER IT COMES, YOU KNOW, FOR ANY TYPE OF WHAT I WOULD CALL NOT NECESSARY MEDICAL. >> AND J AND J AND I WANT, YOU KNOW, I REFERENCED GRANDMOTHERS EARLIER. I WANT TO GIVE EQUAL TIME. THIS IS NOT YOUR GRANDFATHER'S COMPANY, RIGHT? J AND J HAS SPUN OFF LIKE HALF THEIR BUSINESS. >> THEY SPUN OFF KENVUE, THEY. >> SPUN KELLANOVA AND ALL THIS OTHER STUFF. SO WHAT IS J&J THEN? WHAT DO YOU WHAT DO YOU LIKE? WHAT DO YOU. >> LIKE ABOUT PHARMA COMPANY, MEDTECH COMPANY AND SPINNING OFF THEIR ORTHO, THE PHARMA COMPANY THEY'VE PUT A LOT OF RESOURCES INTO MEDTECH IS SLOWING DOWN. SO INVESTORS ARE DISAPPOINTED IN THAT. >> IS MEDTECH SLOWING BECAUSE OF CONSUMERS BEING PRESSED OR IS IT SLOWING BECAUSE OF GLP ONE WHICH WAS. >> WELL I THEIR SLOWDOWN WAS MAINLY ASIA, EUROPE AND CHINA. THIS IS WHERE THEY'RE SAYING BECAUSE YOU >> WITH THE. >> WHAT'S GOING ON IN THE MIDDLE EAST. PEOPLE ARE JUST DON'T HAVE THE RESOURCES OR THE MONEY TO KIND OF GO DO THAT. >> WELL, YOU'D THINK THAT WOULD BE SUCH A SHORT TERM ISSUE. THAT'S NOT, YOU KNOW, FUNDAMENTAL TO. >> WELL, THEY STILL RAISE THEIR GUIDANCE FOR THE YEAR. SO SO IT IS ONE OF THOSE THINGS WHERE THE MARKET'S NOT GIVING THEM THE BENEFIT OF THE DOUBT. AND THE QUESTION IS GOING TO BE EXECUTION. AND KIND OF HOW DO YOU CHANGE THAT AROUND. ALL RIGHT. LET'S SWITCH GEARS HERE. TALK ABOUT. GENERAL MOTORS CEO MARY BARRA WAS ON WITH JIM AND MAD MONEY LAST NIGHT TALKING ABOUT GM'S CAR PORTFOLIO. >> WE CONTINUE TO GROW MIDSIZE SUVS. SO WE HAVE A VERY STRONG PORTFOLIO ACROSS THE BOARD. THAT I THINK IS WHAT IS GIVING THE STRENGTH THAT GENERAL MOTORS HAS AND HOW WE'VE BEEN ABLE TO. WITH ALL THE TWISTS AND TURNS YOU'VE TALKED ABOUT, WHETHER IT'S TARIFF, WHETHER IT'S OIL PRICES, WHETHER IT'S INTEREST RATES, THE STRENGTH OF THE PRODUCT IS WHAT'S FUELING OUR BUSINESS. >> YOU SOLD GM, WHAT, TWO YEARS AGO? YOU WENT ON HALFTIME, YOU CALLED IT A HORRIBLE INVESTMENT. BUT THE STOCK HAS DONE WELL SINCE THEN. DO YOU THINK ABOUT RE GETTING BACK INTO IT? NOPE NOPE. THERE YOU GO. WE MADE A MISTAKE. OUR THESIS AT THAT POINT WAS CONSUMER WAS NOT GOING TO BE AS STRONG. CONSUMER IS STILL STRONG AND BUYING THE CARS. BUT I THINK THE CONSUMER IS MORE INTO EXPERIENCES. AND I THINK THEY'VE DONE A GREAT JOB TO THEIR CREDIT. SO, YOU KNOW, SOMETIMES YOU HAVE TO SAY, HEY, I WAS I WAS WRONG. >> ARE THEY BUYING BACK A LOT OF THE FLOAT? IF I'M NOT MISTAKEN, I THOUGHT WE HAD SOMEONE COME ON NOT TOO LONG AGO WHO WAS BUYING GENERAL MOTORS, IN PART BECAUSE THEY'RE DOING THE APPLE HOTEL. YEAH. TO BUY BACK A LOT. >> OF SHARES. AND THEY'VE BEEN ABLE TO MANAGE THROUGH THE TARIFFS. THEY'RE BUYING BACK THEIR SHARES. THEY'VE BEEN GOOD CASH FLOW. BUT YOU ALWAYS HAVE THE ISSUE ALSO WITH THE AUTOS AS TO AT SOME POINT THE STAKEHOLDERS ARE THE UNIONS. AND THEY'RE GOING TO WANT MORE OF IT. AND IF YOU SEE A SLOWDOWN AND IF OIL STAYS THE WAY THEY. AND BRIAN, IF OIL GOES UP 25 BUCKS FROM NOW, YOU KNOW, CAR SALES ARE GOING TO START COMING DOWN. AND, YOU KNOW, THIS IS THESE ARE HARD COMPANIES BECAUSE THEY DON'T HAVE RECURRING REVENUE. >> 76% IN TWO YEARS. AND YOU'RE LIKE LAMENTING IT. YEAH. >> BUT IT WAS. >> A $61 STOCK FIVE YEARS AGO. SO I DON'T KNOW IF YOU MADE A MISTAKE. MAYBE YOU JUST SOLD TOO EARLY. >> WELL, I THINK IT WAS KIND OF IN A BAND, RIGHT? >> IT WAS IT WENT UP AND THEN IT WENT DOWN. >> WENT BACK UP. SAME THING WITH THE AIRLINES, RIGHT? SO THERE'S CERTAIN SECTORS WHERE YOU JUST KIND OF HAVE TO SAY, HEY, HOW DO I KIND OF GET THE BEST IN BREED OVER THERE? AND, AND I THINK THERE'S, YOU KNOW, AGAIN, THEY'VE DONE REALLY WELL. I'M NOT KNOCKING THEM. SHE'S DONE A PHENOMENAL JOB, BUT THERE'S A LOT OF COMPETITION. >> MARY LITERALLY GREW UP IN THE AUTO INDUSTRY. SHE WENT TO KETTERING UNIVERSITY. SHE LITERALLY HER DAD WORKED FOR GM. SHE WENT TO WAS BASICALLY GENERAL MOTORS UNIVERSITY. YEAH. IT'S HER WHOLE LIFE. AND YOU KNOW WHAT THEY'RE SAYING RIGHT NOW? AT LEAST WE'RE NOT STELLANTIS BECAUSE THE