President Trump was taken aback when Treasury chief Steven Mnuchin said the U.S. asked China's trade delegation to reschedule a farm tour.Politicsread more
As China marks the 70th anniversary of its founding on Oct. 1, CNBC takes a look at the rise of the Asian giant through the years — and projections of where it's headed.China Economyread more
The tax cut came as Indian Prime Minister Narendra Modi's government attempts to spur the country's slowing economy.Asia Economyread more
Lawmakers in Congress on Monday pressed for full disclosure of a whistleblower's complaint about President Donald Trump as Democratic calls for impeachment intensified over...Politicsread more
Stocks have been grinding sideways, but technical analysts say once they breakout, the move to the upside could be powerful.Market Insiderread more
The brewer also issued an additional 189,354,000 shares. Budweiser APAC's IPO is now expected to raise about US$5 billion.China Marketsread more
Rising home prices and conservative borrowing have today's homeowners sitting on a record amount of potential cash. Today's mortgage holders saw their home equity increase by...Real Estateread more
Shareholders are accusing Tesla of improperly valuing the SolarCity deal, providing flawed analysis and misleading investors.Technologyread more
The FAA says each country's regulator will decide when the Boeing 737 Max can return to the skies as the grounding of Boeing's best seller, edges toward its eighth month.Airlinesread more
U.S. Treasury Secretary Steven Mnuchin said Monday that the two country's negotiators had made some progress in easing their trade tensions in last week's deputy-level...World Politicsread more
Stocks were barely changed. American Express gained, but Netflix was a notable laggard.Marketsread more
GrubHub will continue investing in its long-term strategy and differentiate itself in the crowded online food ordering space even as its stock faces pressure, CEO Matt Maloney told CNBC.
Cramer noted that Wall Street is "short-sighted" and typically frowns upon news that a company will make investments because investors are less inclined to buy into the long-term view.
GrubHub's stock is down about 9 percent in 2019 and off more than 50 percent from its all-time high in September.
"It's the cost of being public," Maloney said, shrugging off those concerns.
With a $6.4 billion market cap, the company is working to defend its position against other delivery services like Uber Eats, Square's Caviar, DoorDash, and Postmates. Grubhub has responded to increased competition with marketing campaigns and technology updates, which has cut into margins, Cramer said.
"The market now is 10 times what I thought it was 5 years ago" when GrubHub went public, Maloney said. "And it's because the American public has just adopted digital ordering as their preferred way to engage with their local restaurants."
Maloney said he is focused on making money as a marketplace that "sells demand generation," a marketing operation which creates interest in a product. Grubhub's primary product is to sell access to consumers, rather than being a logistics company, he added.
Grubhub partners with restaurants, who subsidize part of the transaction fee, Maloney said. That gives them access to customer data. He said it keeps prices cheaper on the platform. That includes the $200 million partnership with Yum Brands, the parent of Taco Bell, KFC, and Pizza Hut, nearly a year ago.
"As a tight partnership, we're able to execute on technology and growth for [Yum] in a way that nobody else in the industry is doing it right now," Maloney said.
Grubhub also serves customers ordering for pick up and catering. The company acquired Tapingo, a platform that focuses on pick-up orders, last September for $150 million to gain more access to the college student market, Maloney said.
"The gross margins on the logistics are not fabulous. The gross margins on the demand generation are fabulous, which is why I differentiate between a logistics company and a demand gen company," he said. "That's the profitable side. Everyone else in my industry is a logistics company, which has razor thin margins."
Even as the labor market remains tight, Maloney said the gig economy is still expanding, which Grubhub benefits from.
"We're seeing a lot of people want to be delivery drivers because the flexibility they get from being an independent contractor," he said.