most, in part because of that big move in disney, but the nasdaq finished the day slightly higher in terms of what's on tap tomorrow, university of michigan consumer sentiment that's going to do it for us here at "overtime. "fast money" begins right now. right now on "fast," the regional rout. more trouble for pacwest and the potential partnership between regionals and blackstone what the latest headlines could mean for the markets. plus, google glory alphabet adding $115 billion to its market cap in two days has the company behind bard taken the lead in the a.i. race? and later, tesla gets its ceo back twitter gets its -- tet sla, too bonus for one of them. we're diving into all those trades i'm melissa lee. this is "fast money. live at the nasdaq market site in the heart of times square we start off with the latest

developments on the debt ceiling. the meeting between principles scheduled for tomorrow has been postponed. let's get to kayla for all the details. >> melissa, that news coming late this afternoon after the market closed that the principles had all agreed to postpone the meeting for sometime early next week, according to a white house official it's expected to take place before the president departs for asia on wednesday. and it comes after top staff, including the white house head of legislative affairs, who you are looking at here on the capitol staircase, met with congressional staff for more than two hours today on capitol hill to try to hammer out exactly where some middle ground might be on spending cuts, and permitting reform, to reach a potential deal to avert a default at the end of this month. a source familiar with the matter says that the postponement should not be read as a negative development, but instead should be read as a positive, that staff will continue working again tomorrow, they'll continue these conversations through the weekend, and that it just simply

wasn't the right time for principles to get back into the room until there's more of a formative agreement that can be discussed. so, that is the read on the postponement here, but of course, melissa, it comes with less than three weeks before that june 1st date at which the treasury department says is the earliest that the u.s. could be unable to pay its bills. we will see what negotiators can come up with in the coming days and whether it's enough to stave that off melissa? >> kayla, thank you. kayla tausche. we were chatting in the green room and i immediately said it looked like a negative but you said maybe it's a positive >> yeah, and i was hesitant to disagree with you, because as we know, there's not much upside in doing that and the information you have is absolutely incredible with that said -- with that said, i was somewhat hopeful that, listen, i think what's been priced in, as you look at the short-term treasuries, what's priced in that these people are going to continue to bed a ats. what i was saying is that perhaps they are going to go back and come forth with

something a bit more meaningful and finding a resolution >> interesting i thought the same thing the ice breaker thought, that it was actually on the margins of -- and i'm one to always look -- >> i guess i'm just a debbie downer >> you're not. you're not that is the logical thing. but let me throw this in again, we're not a political show here, but if you watch some of the commentary out of former president trump last night, they talked about the debt ceiling and i'm paraphrasing now, i wan to be careful, he said, you know what, default, why not, let's see what happens maybe it won't be as bad as everyone seems to think. and that could resonate with some of the fringe groups that are going to push back on mccarthy and seep. so -- today's events, i think, were a positive, but some of the things i heard last night, not so much. >> yeah, and i just think about it in terms of what's priced in. you mentioned the treasury market and we've seen yields come down a bit, because i think that is one place that people think is a safe haven i know that seems kind of maybe counter intuitive, if you think

we were to default but when i think about the stock market and the vix that is very near 52-week lows, it doesn't seem like there's anything priced into the equity market. we see the s&p 500 that looks flatlined in and around this 4130 level and i say, okay, if there was something that was incrementally positive that maybe came out and gave us a sense that it wasn't going to go to the brink, where does the s&p go? you know what i mean does it gap up 1%, 2%? is it 3% do we get above the february highs and do you sell them there? if you look under the hood of what's going on in the equity markets, it's still the concentration of the big names, and with microsoft rocketing up, apple rocking up, we are still in this really tight range so, i think if there was any incr incrementally positive news, i'm not sure that sets the stage for a sustainable rally. >> my pop would just be that -- >> it gets sold. >> remember what happened around 2011, the last debt ceiling, the s&p 500 lost 16% in a span of

ten trading days, julie. i mean, as dan mentioned, we're just not priced for that, when it comes to the vix. >> not at all. it sort of feels like when you talk to investors about what's going on in washington, it's sort of they're watching a little league game they don't take it super seriously. and i think it has really critical implications. i don't think it's buy their in terms of the long-term implications further driving it out diminishes how people view the friends of the ugs d.s. dollar i think that has ripple implications. a report from the ft says blackstone is in talks to partner with regional banks to help with loan originations. for more on what that could look like, we're joined by david conrad, banking analyst at kbw thank you for being with us. i wanted to ask you about what the fdic came out with in terms of the fees that will be charged toen banks to cover the insuran

fund, and i would imagine the large banks, not much of an impact, but there's probably a middle ground that would see an actual impact on earnings. >> yeah, i think it's pretty management we just kind of did the math recently, you know, actually my coverage, i think, is paying about 75% of the total fees, but it looks to be around 4% each of the next, in '24 and 2025. we kind of estimated it would be 3%, so, relative to our expectations, it was pretty close and pretty manageable. >> i wanted to ask you what your thoughts were also when it comes to where we are in this crisis it feels like it's stabilizing, according -- if you take the word of a lot of officials out there, you know, it's contained, but if you take a look at how the regional banks are trading, it is not. when you look at what pacwest said just a few days ago, on may 4th, said the bank has not

experienced any out of the ordinary deposit flows then today, it says deposits declined by 9.5% a matter of a few days here. and that's how quickly the situation can change so, how do you sort of assess where we are right now, david? >> well, couple things here, i mean, unfortunately, social media has had a big influence on some of the deposit flows here and that kind of happened, p pacwest, the sell of assets, all that really created another kind of contagion in the stock, with the stock down, you know, at a $4 handle, things are very fluid there. but i think today was really, really important in the sense that western alliance was actually flat for the day. and those two stocks have really moved in tandem with kind of this contagion, and the fact that western alliance came out and said, actually, our deposits are growing, and that stock was

flat, while pacwest was down 25%, to me, that tells me we're kind of getting a little bit more firm footing in the group >> david, from -- it seems to me that this is a stock thing it's not -- it doesn't seem systemic in so much that it's going to derail the economy, it's not a leverage thing. but if credit is more difficult to attain for small and medium-sized businesses, whose life blood are these small and regional banks, that's going to have a huge effect on the economy at some point. it's not tomorrow, but it's in the weeks and the months to come, i would think, because as these banks sort of fall by the wayside, and listen, i don't think we're near being over, the bigger banks will get the deposits, the bigger banks don't necessarily have all that interest in services these things, and it's going to be more expensive for people to do business thoughts on that >> no, i think that's right. you know, i think -- kind of a segue into the black stoen article, looking at -- we did a report that said banks around $80 billion to $200 billion are

in no man's land they have most of the new regulations hitting them when you think about the higher capital standards that are facing some of these banks, the increase liquidity coverage, we do think there is going to be somewhat of a credit crunch. we have taken out buy-backs and loan growth across the majority of the super regional banks. >> so, which banks could you see black stoen wanting to partner with what kind of bank? ultimately, it's going to be black stoen to the rescue here for some of them >> well, listen, i mean, the shadow banking and the alt managers have been around for awhile they have seen extraordinary growth and private credit. it's not a zero sum game they've actually worked together with the banks, and i think with these increase capital and liquidity, you know, banks have to readjust their capital allocation, so, i think it's going to be more and more difficult. historically, the insurance companies have bought a lot of

commercial real estate that's a tougher proposition right now. where i think there could be an opportunity is on the consumer side we've seen a lot of super regional banks, you know, fifth third, regions, citizen's financial, are starting to shed the auto book with -- given the risk adjust to returns, and so, i think they're looking to unwind some auto they're also growing point of sale finance home improvement businesses, but that growth is so rapid, it's really challenging for them to portfolio it all i would look to some of those classes, you know, being partially moved with black stoen and into the insurance business. they also have accounting issues at those businesses. the cecil accounting makes it very hard to grow those businesses up front. tying that together with goldman's announcement they might look for a sale for green sky, all that kind of fits together to those home improvement loans. >> yeah, taking a longer term look at this whole thing, david, do you think one of the lasting impacts of this all, this credit

crunch that is on us, that's about to come and get tighter, is this move into pry vault -- private credit becoming even bigger, and so, that will take on more of the race income the system as opposed to the banks doing it >> i think that's right. and i think that makes us feel better about the banks in terms of their credit quality near term but that is a systemic risk in itself, and i don't think banks will be immune, if there is a downturn in the pry vault shadow banking market, in terms of credit i think it will all be kind of tied together a little bit but the direct exposure for banks is -- we're pretty modest. the shadow banking market has about 85% of the leverage lending market there, so, that's an idea of kind of the risk that's off the bank's balance sheet. >> david, thank you so much for joining us appreciate it. david konrad julia beal, how do you feel about that seems like the risk is just out there, just not on the bank's

balance sheet, it's somewhere else in the economy. >> the biggest problem is, we have absolutely no visibility into it. it's really hard to have any kind of depth what 11 years of 0% interest rates are. my, you know, my gut says, you can't have a sugar rush like that and not expect there to be a real tummy ache. and i'm really concerned, because i don't think it just gets isolated to the shadowen banks, the hedge funds, that have been, you know, not just doing these credit limits, but putting leverage on top of them, but they have risk with the banks. so, i don't think it gets isolated, and so that's a real concern, is what the contagion looks like when some of that commercial real estate really starts to come due >> yeah, this makes a lot of sense for black stoen's point of view it allows them to kind of source incremental fee revenue. they've had a bit of a tough time they've had a bit of a struggle when it comes to their commercial real estate portfolio. but keep in mind, they are the largest institutional player on the residential single family

rental space for them to reinject capital into a regional banking situation that has come under pressure and also affect some of the assets they hold, i think makes a lot of sense, particularly when they're going to be able to pick up increments along the way. >> julie just used the term visibility when you think about it, it's not just the regionals well talked about the regionals that have seen their equity decline 90% and basically go to zero, but there are other ones that act really poorly usb, $44 billion market cap that's down 44%, just in the last, you know, few months or so and then i think about what this means, we have a slowing economy, i think that's very clear, i think all the credit issues that we're talking about are only going to slow that further, when you think about increased regulation, that's happening. we heard jamie dimon speaking to that today just doesn't seem like a great place where there's a lot of visibility in and around any of these very financialized companies. so, to me, i still don't think they look compelling and a lot of them just act really poorly for no good reason and not just the regionals

if you look at wells fargo, if you look at bank america, you look at schaub and i know that's not a money center bank, but they are trading near the lows and they don't feel like they're about to get resolved, and they are not supposed to be at the eye of this storm, either. >> how about jpmorgan? >> well, that -- they're going to win to this without question. you're seeing it whether they acknowledge it or not. i mean, this is a great -- >> does that mean the stock -- >> no, i don't necessarily think. and dan mentioned -- bank of america is a quarter of a tral dollar company, which is within ear shot of its 52-week low, but multiyear low. that's telling you something, as well so, to think this is over, just hat in hand, say, you know what, we're through it, we're not throw it the stocks are telling a story. speaking of shares of jpmorgan, they are breaking even on the year. our next guest says the good times may not last let's go off the charts.

chris, what are you looking at >> well, i think the big question that we're dealing with is, can you have a directional market stock when the banks are simply not on the playing field here at all? and we keep hearing that, well, the deposits will go to the big banks, the big banks will be okay, but the big bank charts aren't particularly good if you look at the broader seconder to, asset managers are weak, invest banks are weak, brokers are weak so, this is getting worse, not better, in some respects let's start with thejpmorgan and the question we have is, is it naive to think that jpmorgan can get through this entire crisis unscathed it's been bouncing between this, the 130 to 140 level for the better part of the last month or two. it's flat upfor the year i'm reminded, in 2008, jpmorgan was the last bank chart to break. >> it actually was up on the year through about october and

it went last, so, they tend to get to the best ones last. i think it's naive to think that jpmorgan gets through this unscathed, when all of its friends, as dan and guy say, and i agree, are on or near their 52-week lows let's go look at bank of america, sitting right on this 27 level it actually made new relative price lows versus the s&p today, so, there's been no relative improvement there. th 26, 27 zone is major support i don't think we want to see what happens underneath that you go to some of the brokers, morgan stanley and goldman sachs are right on their lows here, as well goldman down something like 8%, 9% this year so, i think the picture is more than just regional banks week. and when i see goldman soft, when i see bank of america soft and lastly here, i'll show you blackrock and the asset management space, and the reason we pay so much attention to black roc, of every stock in the s&p 500, it has the highest

correlation to the s&p itself. black roc should look like the index, it is the index it's a top three holder in 99% of u.s. listed names, it should look like the index. it doesn't here. right back on the lows here, so -- i think there's something else going on. we did some work today, looking the last 100 years, right? we have seven months after the october s&p low. banks right now are down 20 over that seven-month stretch the first time in 100 years being seven months off the low where the bank stocks are actually down. so, i think you have to be careful here >> chris, thank you for your work always appreciate it a quick question, do you think that there's anywhere within the financial services complex where one can find relative safety or outperformance or would you just avoid that sector altogether? >> i mean, i think that's a hard question you know, something that we always preach in our work is, you want to have the wind at your back, you wasn't to be swimming downstream. i just think it's too hard to

pick the one or two or three names in the sector that might work here. i guess you could say stuff like insurance brokers are one of the better parts of the group. even just insurance at large is deteriorating here look at the life insurers, net has broken, prudential has broken, as well. so, what i think is framed as an issue with just community or regional banks, i think misses the point that the entire sector seems infected with whatever disease is out there >> so, chris, going back to that black roc s&p chart, is it safe to assume that it looks like the s&p will go lower then >> that would be our bet i don't know if it's from here or if it's from higher level, but i'm not convinced that we're through all of the drama here. i don't know if we have to go back to the october lows, what was it, 3500, but there does seem to be stress under the

surface. i just don't think the index is telling the whole story here you have s&p roughly at the year to date highs, nasdaq roughly at the year to date highs the number of stocks making new highs is abysmal under the surface, this is a very different market than i think the indexes lead on. >> yeah. chris, thank you good to see you. chris verrone. >> thank you >> dan >> well, i like chris's work, too, and i think he really kind of lays it out i think there are a handful of stocks that are in a bubble. i don't mean -- this a.i. thing, it's a moment in time. we've been in this business for a long time. we can remember these sorts of periods. i can't remember it when it's been concentrated in so many big names and that's what it's doing to the indexes right now, okay you just said this in the leadup to the show, google just gained $100 billion in two trading days for no good reason you could have said in january, when it lost 150 billion it shouldn't have lost it, either, but right now, that's all sort of working together and the piling in the big names, on a

day like today, when under the surface, energy is bad, material is bad, russell 2,000 small caps are bad. they are really masking a really poor behavior that's probably more reflective of what's going on in the economy than what's going on in ten stocks, megacap tech stocks in a bubble right now. coming up, disney losing its magic sending ripples throughout the industry the earnings hangover that had investors letting it go. first, a new chief tweeter elon musk teasing a new ceo for the social media company what the changes will mean for twitter and for tesla. don't go anywhere. "fast money" is back in two. go. go brain. no, not that one. go this one. go optimizing data. go efficiency. go results. emerson's plantweb digital ecosystem is the brain for smarter, safer and more sustainable performance.

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welcome back to "fast money. elon musk has found a new ceo for twitter. he tweeted just about an hour ago that she would start in about six weeks. and that he would transition to the role of executive chairman and chief technology officer shares of tesla jumping on this news that shares hope that musk will turn his attention back to the ev maker guy, should we be happy? >> in the short-term, i think yes, because i think the negative case for tesla is he's taken his eye off the ball, twitter's been too much. he's not focused enough on tesla. the strong has traded in kind,

so -- the knee jesrk reaction makes sense. who is the person coming in for twitter? i have people tweeting marissa meyer, i don't necessarily know if it matters. the twitter problems seem to be pretty substantial -- >> if twitter were a publicly traded company, we would care. unless you think the person is incompetent, in which case, elon musk would be sucked back into twitter, and then you again lose the ceo of tesla >> look at you look at you. >> do you have any hot takes on who she might be >> not really. sheryl's not taking that job first of all, that person's a puppet that person is not a real ceo. remember, he wholly owns this company and he's on the hook for, you know, probably still $12 billion in debt for it, so, that person is going to be doing exactly what he wants to be doing. and i do think the knee-jerk reaction in tesla makes some sense. it's a huge overhang that he's spending his nights on a cot in the twitter headquarters and trying to retool something that,

you know, frankly is over, it's done, twitter is dead. put a fork in it >> julie >> i mean, you know, i think it's interesting, if you think about twitter overall, right, it's not just that it has to work, it's got major debt payments they are connected to tesla's stock. the value of twitter is actually connected to the value of tesla stock, so, if twitter starts to really flail as it has or if it continues to flail as it has, it actually has an impact for tesla sh shareholders because he's going to have to sell more of his stock to make the debt payment so, i think -- i totally agree this is going to be a puppet, but i just think that it's naive to think, oh, it's all clear, he's going to be focusing on tesla and we have nothing to worry about. he's still focused on tesla. he changes is price, like, every other day. he's definitely still working out there. >> yeah, i think on the surface, right, i think a lot of times tesla, particularly when you see news, it's like a headline

driven, i think dan mentioned a mania type of driven, or profit type of driven you called it a cult, if i remember, on perhaps -- >> no, i -- >> hold on -- you are mischaracterizing what i've said i say that about elon, not twitter. >> the share reacts after things that are not necessarily material to the company. i think elon has been involved when it comes to tesla again, apologies dan i think the headline gives a bit of a lift, because of perception is that he's now spending the time that i would argue that he already was spending the guy is laser focused on what he's doing but i think this gives some reprieve to the pressure that's been on the stock. coming up, disney drag shares dropping as its streaming choices irk investors. more on the slump next. plus, google gains sharing staying strong as investors pile in more after yesterday's big developer's conference the massive market cap jump, straight ahead you're watching "fast money," live from the nasdaq market site in times square.

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welcome back to "fast money. stocks closingmixed. the dow dropping 220 points. the s&p posting a small loss but the nasdaq eked out a small gain china tech, some of the biggest day's winners. alibaba gaining nearly 6%. disney, though, extending its postearnings decline today, dropping nearly 9%, logs its worst day since last november. shares of warner brothers discovery and paramount taking a

hit, while comcast and netflix finishing ahead. julie? >> much of the commentary is around the subscriber growth not really being there, but if you look at other operating metrics, their free cash flow, they are in good shape. as an investor, i love hearing discussion about returning to profitability. everybody is realizing that the economics of streaming are rough, and they're particularly rough for disney, to the extent that they can find synergies with hulu, i think that's a positive for them, and it's helped them decide if they're going to maintain that stake in that >> not a great quarter, that goes without saying. >> and last quarter, we talked about when the stock went from 103 to 122ish in the -- we said, you can't cost-cut your way to prosperity, and the stock was probably too high at that point. that proved to be correct. tom rogers, stud, by the way, talked about similar at the time now, it's at interesting levels.

here's the problem analysts still are offsides in terms of their price target. the average price target out there is about 128 or so that's got to come down, almost by definition. so, as that starts to get racheted down, maybe take a look at the stock, but to me it's still a bit of a value trap here >> the way the stocks moved today in the space, does that tell you a story that, you know, disney, warner brothers, paramount, they are the ones that are going to be durn under duress -- >> i think you can broaden it out beyond just the xhemedia companies. if you heard what paypal had to say, very largely, discretionary and what they were seeing, those were all three 10%-ish postearnings drops on disappointments. we talk about earnings season all the time and it's fascinating, because you get this tremendous insight all at once from a dispararate amount of companies but if you make it into a bit of a mosaic here, it's telling you something at the end of this

earnings season that was being -- was really being discounted i don't think we're coming out of this in a better place than we were three weeks ago. >> yeah, honestly, i was a bit surprised by the price action with disney. i was talking to guy about this earlier, i said, what did we think bob iger was going to get in there and do? we knew he was going to cut costs, we knew there was going to be a pullback in terms of marketing spin, we knew he wasn't going to pursue disney plus growth at all costs, so, for me, this is a bit of a right sizing now, i'm with you, guy, there's an argument to be had that because you're not seeing that same growth in streaming that it probably shouldn't be trading at the multiple that it's trading at to me, that's really the crux of the argument but to be surprised that there's been all this pull-back in terms of spin, to me, was not surprising at all. coming up, alphabet still shining on the back of its developer's conference yesterday. more on google's a.i. game plan when "fast money" returns. get your trades to go with

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welcome back to "fast money. shares of alphabet well in the green for a second day, jumping another 4% after yesterday's 4% gain google yesterday announced new a.i. integrations with its search and cloud products that could give the company an edge against microsoft. alphabet adding $115 billion in market cap in just the past two days is this a bubble, dan? or is this just what should have happened all along >> i think it's a near-term bubble i think there's very few sort of investment things right now in megacap tech when you think about the full forward and the adoption of trends that had been bubbling up before the pandemic. all of a sudden, there's this new shiny thing now. when you think about the back and fort that we've seen really between mikecrosoft and google it's an enterprise company pitted against a company that serves consumers that means there can be multiple winners. it doesn't have to be right here right now. let's see how the companies integrate these products, and

become more useful to their clients and therefore are able to be more accretive to their earnings >> you would think of this as a bubble if we had accorded some value to a.i., from a.i., into the model earlier? if we think google has been working on a.i. for many years and we had not put that into the valuation, and the valuation is catching up now, then it's not necessarily a bubble does it bother you that all of this new valuation has come right away >> here's the thing. google's multiple really hasn't even expanded. google said six years ago they were an a.i.-first company analyst analysts, investors believe that it's imbedded into their long-term growth of this economy. with microsoft, why it took a lot of investors offguard, they've had this transition to this more sassy sort of model, and now all of a sudden, there's this hope that they may be able to gain meaningful share and integrate it into productivity

tools -- i think that is something not worth betting on right here let's see how that plays out >> you take copious notes, melissa. you have reams of notebooks -- >> yeah. >> and you pay attention, which is the cheapest thing you can do but we have actually said on the show, and you pointed this out awhile ago, they have been working on this for a long time and the trough in the stock came around the time they had that emergency meeting around all this that actually wound up being a huge opportunity 120 is a level we continue to come back to that was where we basically fell off a cliff from in august of last year, i'll say again, that's where the stock is headed and now it's within $3.50 of that >> yeah, i do buy into the argument that there's a bit of froth here, but i'm -- i'm a bit hesitant to use the word bubble because only to me, that states that there's a lack of value in the underlying asset i don't believe that's the case here i think it's two-fold. i think that, yes, much like the cloud was two years ago, a.i. is now a buzz word that leads to

people piling into a stock i think that is a rational exuberance defined what i think is here, google, meta, a few of the others, still give you this perceived margin of safety. it's a two-pronged approach why you are seeing stocks climb higher it's the flight to safety, coupled with this kind of buzz word, if you will. >> so, this is interesting, right, julie because it's frothy, or bubbly, whatever word you want to use, but also safety, which doesn't seem like normally, in a normal world, the two should meet, right? they should be completely different asset classes. >> you know, i think the thing, too, to keep in mind is, like, not all tech is created equal. they're not all as durable i would think, you know, people view apple as being extremely durable and the problem i have, that's a consumer product company, it's not necessarily just a tech company. and so i think each of these has to be viewed independently if you think about google particularly, the biggest problem and the biggest threat

to google's business is actually regulatory for them. just the level of market share they have in their beautiful search business. and so, if you look at the language for which they have been talking about a.i., within obvious their pillars is, you know, we're going to use this really responsibly and safely, and so, for me as an investor, i think a.i. has a lot of opportunity in front of it i don't think that the 3d printer, i don't think this is crypto, i think this is actual meaningful value here, but i think -- it takes a lot of scale to make a.i. work, and so, i think it makes sense the rally makes sense. >> well, options traders have betting alphabet has more upside mike khouw has the action. >> it's not too often that tesla gets displaced as the busiest single stock option, when you combine the voting and nonvoting share classes for alphabet, they managed to hit the number one slot today, both of those two share classes trading over three times their average daily options volume and interestingly enough, when you exclude the options that expire tomorrow, the level that

both are looking for is the 120 level that guy was just talking about in google, that's the voting shares, it was the may 120s that were busiest, traded for 98 cents both may and june in both of the two share classes, where the 120 strike both in may and june were the busiest. >> all right, mike, thank you. mike khouw for more options action, be sure to tune into the full show, tomorrow, 5:30 p.m. eastern. coming up, two fin tech stocks headed in opposite directions. and throughout may, cnbc is celebrating asian american and pacific islander heritage. here's the host of the so money podcast. >> what i would love for people to learn and take away from my own journey as an iranian american is that when you stay financially curious, that's when you can actually start to build wealth it is the ultimate foundation for getting answers and leading you down the paths that are well aligned with your goals.

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welcomo "fast money. two fin tech names going in two different directions today robin had hood jumping more than 6% after earnings last night meanwhile, coin bbase dropping amid backlash over the company referring to pepe the frog as a hate symbol. dan, you said last week that you would buy robinhood, you would you rathered robinhood over coinbase >> you talk about something league tlike, this an own goal that does something to cause that reaction on social media, and the people trading on coinbase and robinhood, they are in tune to memes i look at the results that robin hood just posted, they made more money on net interest. that's not a bad thing they have a subscription product called gold where they do daily sweeps that interest rate is 4.6% they had $8 billion come in as

deposits for that sort of thing. this is a company that's guiding to gap profitability at some point, they said -- i think this looks really interesting i think the crypto thing is just upside if it ever comes back, and if they can restore this brand a little bit, too, but to me, i think this company might be crossing the rube con last thing, $8.5 billion market cap, $6.7 billion in cash. >> who is this rubicon i don't understand dan con o coin or hood i'll play your reindeer game hood we played the game -- guy, what are you watching next week -- >> you said hood >> you said, did you see "fast money" last night, because dan said the same thing. i said, no, when i'm not only, i don't watch, for the same reasons dan just it rated. they are making more money, losing less money. they are profitable by this time next year. >> i'll give you a third choice. hood, coin, or none of the

above? >> oh. >> oh. ah -- i'm going to go with none of the above >> i knew you would. >> i'm going to go with none of the above. and i think you make really compelling arguments you look at the cash, hood comes out ahead there. i think the overarching macro environment is a bit challenging and i don't really want to be at this point of the risk curve going forward. all right, coming up, cnbc's disruptor 50 list is out and we're talking with the number two company on the list, the co-ceo of a fin tech firm. the details when "fast money" returns. ♪ the biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. it still does. what can you do with spy? ♪

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welcome back we are highlighting this year's d disruptor 50 companies we have the ceo of brex. they loffer a platform to manage everything from expenses and travel costs to venture debt let's bring in julia boorstin with the brex co-ceo great to have you with us. it's a disruptor list, so, i have to ask you, what exactly

are you disrupting list here with this platform >> thank you so much for having me so, we starteddy disrupting corporate cards, and then we launched our business accounts so, travel and expenses. think about replacing your amex and your bank in one platform. >> wow i know that on cnbc, you know, during the banking crisis, you've come on, you said you were a beneficiary, you got at lot of deposits, and i'm wonder what you're seeing now, if that has slowed down or if you continue to see those deposits go to you? >> we continue to see in-flow in deposits, but the major change we're seeing is customers not wanting to have one bank account, but three or more and so, we are in a position to win what we call operational spin, so, not only we're managing their corporate card spend, travel spend, exsppense

spend. >> enrique, i think it's so interesting to see how much you grew in the wake of silicon valley bank's failure. and i'm wondering if seeing the fact that you picked up so many of those accounts, you expect to add more services to really fill the void and fill the role that svb played so much in silicon valley to that startup community. >> yeah, we -- we definitely want to add more things around spend management svb did a lot around the private bank and lending and other banking services, but we're pretty focused on what we call the operational banking. paying your bills, running payroll, kind of more day-to-day activities, versus a mortgage or private bank or other treasury activities >> how does the banking crisis change the trajectory of your growth, if at all? does it create a better environment for you to grow? does it pull forward some of your growth? how does it impact you >> it's still unclear if it's going to be net negative or positive for us.

yes, we do have some benefit from the crisis, but you know, svb was very important for the ecosystem. but we have been finding it easier to acquire net new customers today than we were before for our global spend platform >> one thing i'm curious about, just looking at your growth in the wake of all those concerns about svb, and the banking system as sort of more generally, what do you see as the industry that you're disrupting are you competing with the fin techs, with the established banking behemoths? who should be looking out for you, coming after them >> yeah, i would say that most commonly we're disrupting concurrent amex. we rarely compete, you know, with other bannbanks. a lot of our customers have a brex account, or maybe a jpmorgan or a wells fargo account in addition to us. think of us, we're paying your bills, running your credit cards, doing your expenses, but you can hold a lot of your money where you feel more comfortable

with >> enrique, congratulations on landing number two on this list. >> thank you so much for having me >> and thank you, julia, for this interview, as well as the disruptor 50 list. what a franchise this. what do you make of this -- you follow a lot of fin tech >> it's funny. a great question you asked, who are you disrupting and right now, it seems that a few years ago when companies like this could do no wrong, and this is a great company, it's two-pronged. it's, you know, they're going after the incumbents, but there's a lot of these other bigger fin techs that have been more established, and so -- and there's like he just mentioned, amention it's really interesting, all this competition leads to better innovation and going to be better for customers in general. >> in terms of the markets here, it's interesting, fin tech used to be the hottest thing in terms of valuation sort of working against them and then you have the traditional payment companies that are doing quite well, a visa -- >> the other day, paypal, remember, it was down, i said, just buy it. i bought some at 68, i bought a

little more at 6 4, my average s 66 it's a cheap stock right now, but it's really out of favor, and some of the ones, you want to pay up for, rather than the value traps. >> pay up for -- what would you pay up for >> i think -- in the fin tech space, listen, i -- i think paypal is one that i like. as it pertains to this company here, i like they don't have the balance sheet risk talking about a shadow banking situation, market share had been leeched away from the trad traditional banking industry and what defaults and credit erosion might mean for the overall economic backdrop, particularly the regional banking situation, i think a company like this that's able to kind of process payments or run your corporate spend for you, but doesn't have the balance sheet risk is something that's probably going to be attractive in an environment now where you've seen vcs pull back so much, because of the carnage that's happened over the last 12 months this is something that sets up

well >> what's old is new look at the move that visa's had. all-time high in the summer of 2021 very quietly, nobody's talking about it, but as it turns out, i mean, the greatest fin tech company maybe in history are names like visa and mastercard, ironically enough. >> yeah eah. julie? >> yeah, i totally agree you can quietly make a ton of money in that business but i think brex is interesting, because if you think about who they're trying to displace, concur, i mean, we use concur, it is some of the worst software i've seen and i love having a weak competitor like that to be taking over. the question really is, how much corporate spend is going to happen if we're in the downturn? >>ea e untapped possibilities and relentlessly work with you to make them real. ♪

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time for the final trade julie? >> you know, i like factset, with the vix as low as it is, i want durable earnings. >> well, julie, nice segue, speaking of the vix being as low as it is, vix call spreads >> dan nathan? >> i like factset, i like vix. >> you like everything >> and i like the ltl breaking out. >> guy >> i think tom cruise is

watching tonight -- >> hi, tom >> see, yeah, now you say hi to him. look at netflix. disney's loss is netflix's gain. >> thank you for watching "fast money. don't go anywhere. "mad money" with jim cramer starts right now my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. my job is not just to entertainment but to educate and teach you. call me at 1-800-743-cnbc or tweet me @jimcramer. it's mighty hard to keep your bat on you