headwinds for the s&p 500. >> mongodb will be important and guidance in light of what we saw with salesforce down so heavy in "overtime." i mean, they are trading at the low end of the range for the year. around late 2020 levels. >> delaware, too, after hp's comments on aics. that's for us. "fast money" starts now. this is "fast money." here's what's on tap tonight. hiding in plain sights. investors popping bottles and toasting the nvidia surge. we will break down where this market goes in the high interest rate world. and shares of netflix up 20% for the month while the competition is crumbling. can you binge on "bridgerton"? and. teen fashion. a delicious year for an

old-school pc maker. tim, karen, dan, guy, we will get to the growing fear factor of rising rates and the impact on the markets in a minute. a massive drop in shares of salesforce. the software giant plunging on a revenue miss. the earnings call getting underway. steve is here to take us inside the numbers. >> an ugly move mere largely due to the whiff on the second quarter guidance. $9.2 billion to $9.5 billion in revenue for the quarter. street was looking for $9.37 billion. and the eps front the street was looking for 2.40. mixed rumtsd. missed expectations on revenue but a healthy beat on earnings per share. so what's going on here? well, the ceo has been talking a lot about a.i. but not showing any direct sales there. he said in the earnings release,

quote, as the world's number one a.i. crm we are incredibly well positioned to help companies realize the promise of a.i. over the next decade, end quote. clearly investors hoped for more detail than that. the call is just kicking off now. we will listen if he gives more concrete detail how they will generate sales from a.i. i will have more as we get it. and catch him speaking with jim cramer on "mad money" at 6:00 p.m. >> thank you. so what's going on here? looked like the guide lower wasn't a huge guide lower for stock that hasn't done that well the past three months. what's the story here? >> i am not sure. we play the game. if you told me what the quarter would be, market reaction, muted at best. down 18%? >> yeah. >> that's dramatic. on top of the sell-off since march. technically, and i remember talking about this in march and april this year, you have double tops from november of 2021. i think that scared some people.

obviously, karen said it, maybe they are looking for little bit more on the guide. clearly. but the guide wasn't disastrous. i actually think you are trying to figure out where you buy the stock. this 220 level-ish is a 50% retrace. of the low we saw, 100 something dollars in late 2022 in the recent high. you get a big volume day tomorrow. 220 should be huge for in my opinion. >> a.i.-fueled market. do you want to be in a saas company that sells on subscription basis who says that a.i., the value will be delivered the next decade, not the next ten months, the next decade, ten years? >> we have been talking about it, the underperformance notable. expensive names trading down 20% plus on the year. again we have been using it term kind of a.i. adjacent. there are lots of ways generative a.i. will help the business models, make them more

product, more streamlined for the customers but not right now. we are not hearing by a big spend by a lot of these companies either. i find it curious. snowflake, adobe, workday, we talked about that, had a disastrous quarter a week before last. i think you continue to see a bifurcation among tech. it leads to a concentration, picks and shovels, whatever you want, but in the semi space $3 trillion in market cap, there is greater danger to the broader tech sector if something disappoints. we are talking about a revenue miss that's less than 1%. we are talking about a guide that is, you know, meant to be 11% eps growth that is maybe 9%. so down 18% after being down 15% already from the recent highs, that doesn't make a lot ever since. >> the multiple compression in software is notable especially through the first three-quarter of the semis rise just one step behind. and certainly there is a software component to this.

again what we talk about at some point it will be great for apple. when you think about crm, the data cloud is something that's on the come. you don't know where they will be. they have been talking about and that was just referenced. so certainly a trail blazer in cloud computing environment and that's what's been the story. also just integrated. new businesses that they have taken on. i don't think it's terribly cheap even though sort of cheap relative over the years. this move is shocking to me. the guide was eh. the quarter was fine. >> it takes it from what i always imagined this is too rich. it's not really anymore, right? you're saying, i mean, this multiple isn't crazy, yet to comes down tomorrow more, you know, be lowered tomorrow. think we will see that thing we normally see which is analysts getting nervous and cutting. and so then we will maybe have lowered price targets and that sort of leads to that downward

spiral. so far this doesn't look as terrible as the reaction. very curious, obviously, to hear the call. so much context in the call we may not know yet. >> right now given the guide, take the lower end of the guide with this price, talking about 20 times next year's numbers, which it's not ridiculous given i still think the earnings growth they have. i am not some defender of salesforce and again technically with the double tops did not look great. at a certain point you look for places to buy, not sell. i think that's what you are up against tomorrow. >> in technology there is also bifurcation where you want to be has to be the picks and shovels, the places where there is an immediate benefit to a.i. spend and all the hyperscalers are doing it, jpmorgan, et cetera. >> yes, i think so. one of the questions sort of the looming out there, that's where everyone wants to be. remind me, what is the return? and nvidia tried to address that in talking about $5 for every $1 that you spend. but that's -- we don't know that

for sure yet. i think in the short term, yes, i think that phenomenon seems to be gaining steam. >> but i wonder as you are pointing out, there are winners and losers, and the losers seem to be the ones that are not getting the marginal dollar of enterprise spend. in the client spend, this is the message for the next quarter, the client spend on cloud and partner surveys and broker research you can see they have been trying to gauge this going into the numbers, i don't think anybody had this weakness out there. but it tells you that the margin of dollars allocated elsewhere. we heard how much is being allocated to a.i. not a surprise. >> christmas sharrm shares down. now to the surge in rates over the last seven days and the blinding effect that nvidia had over most investors. while the tech giant surged nearly 25% over that same period, yields have quietly moved higher, two. the two-year from 5%.

the ten-year above 4.6. these moves putting a hurt on a number of sectors outside of technology, utilities dropping 4%, transports down close to 5%, kbe, bank etf 6%. this is something you flagged and are concerned about. >> so the extent semis led and that's enough to take the broader market higher three or four or six or seven or eight or nine days, transports down 7%, eight sessions, industrials down 3.5 in four sessions, energy down five in five sessions. different places you can look at it. as said the bright light from nvidia and semiconductors has masked what has been weakness in the broader market. the broader market weakness began when you started to see that uptick in rates from 430, 431-ish on the ten-year 460 notable the move in japan. the higher move in the ten-year in japan is something that i

think pressured upward on u.s. rates. i would say that that up trend in the long end is something that's well established and it's certainly established year to date. there has been a tum of tests of it coming back in. right now we are in an uptrend and even though there is volatility within that trend, guy talks about it, dan talks about it, treasury markets more volatility than they should be, but out trend is higher. >> yeah. i thought you were going to me. >> like you keep kinda coming back to japan and what's going on there and sooner or later there might be a knock on effect with rates, do they sell u.s. treasurys and the like. from a technical standpoint if you look at that uptrend in place from that 425 level, it looks like it could get up to 5%. if we get to 5%, the last time we were there the s&p was at 4,200 and i think it's a very different place? we get there in the next couple of months than if we were back in september and again i think some of the reasons why it was

at 5% in september were kind of technical. right now it feels like things are lining up against treasurys if you will and that means higher rates. >> jamie dimon today said you all out there act as if you have never seen -- you probably have never seen five or six percent on the ten-year yield but it has happened before. >> that's the average rate over the last -- >> exactly. but our memories collectively maybe not here on this desk tend to be short. >> it's, you know, you get used to zero interest rates for 15 or so years, the market gets complacent. he is 100% right. he is doing a lot of talking these days. good for him. i like what he says. tim talked about it. ten-year yields in japan of north of 1.05 their currency is weakening as well. it makes sense to me. shouldn't be happening. dollar/yen 157.5. bank of japan intervened tries trying to strengthen their

currency. it's right back headed to 160. you tell me. it looks like a currency crisis to me. nobody wants to say it. when you are talking about i think the third largest economy in the world and larger holder of our bonds is problematic. >> i am one of those people that feel the rates, markets, credit markets really are not where you need to be focused but the equity markets are not paying attention. and when you get data like we just got from goldman's prime brokerage unit that essentially we have never been in a greater position towards the mag 7 stocks, record exposure, folks. and it's one data point from one prime broker. one of the bigger ones. it tells you that it's been easy to hide out in the names. now, they have been defensive during difficult times in the market for three years. so it may continue to be. about you it could also be masking where there really is a broader dynamic that people need to pay attention to. they are defensive in a higher

rate environment. these are companies that more cash than god, don't have interest rate sensitivity and they are in the middle of secular trends. maybe you put your eyes or ears closed, whatever you do, i don't know, karen doesn't,k i looked at her, but she doesn't. anyway, that's something that also combines with this news on rates, some parts. market don't care. >> when does rubber hit the road? what we have seen data point after data starting from nvidia's earns is the spend is going to a.i. the spend is going the picks and shovels. that part of the market keeps going in the hyperscalers, keeps on going higher. so who cares about higher rates at this point because they are -- 4.6% really isn't that high. >> well, i think there is other parts of the market, right, actually most of the market is not them. they certainly have a huge outweighting. what's the effect on banks? different banks different effects. jpmorgan to the extent their book is short duration, which it

is, good for them but to the extent that deposits look for higher places to go, that's not so great for an interest margin. where it really starts to hurt is refinancing. and we talk a lot about commercial real estate in the last few weeks. i don't think of these money center banks having huge commercial real estate, but that is why, obviously, why the regional banks aren't doing as well. >> i will say this about nvidia, for instance. talking about picks and shovels. next year, fiscal 2026, didn't go up that much. consensus at 30% eps growth, 31% sales great. where the margin gain has been this year, where they have the sort of pricing power and i think like i ex fraplated that a little bit, when you think about microsoft, you think about google, and you think about amazon, i mean, there is massive customer concentration right now and they are competing with each other for all intents and purposes. like with nvidia, they are trying to build their own high

ngpu. some point the rubber is going hit the road and you will see a decel. in late 2021, okay, when some our most favorite stocks were on the precipice of selling off 75% nvidia, tesla, netflix, meta. all down 75% from the highs in '21 to the lows into 2022. salesforce got cut in half. i go could on and on. amazon got cut in half. so the idea it's just so concentrated now and couldn't happen again seems silly. what did we talk about? rates. jamie dimon said what is it like if we have 5 or 6% rates? the last time that the fed signaled they would raise rates and they weren't signaling 5%, how many hikes? we were thinking 3% oral someth or something like that. i think we have reached a silly place here as far as just enthusiasm about what is, obviously, a huge, huge secular shift. guy mentioned this. there is cyclicality that comes

into play. when things go lower, there is no price that makes it look like a great level to buy. not on valuation, anything like that. that's my little warning. but, whatever. >> if you put dpif -- put the pieces together here tonight. that is a potential slowdown in the a.i. spend in the out years and then couple that with where rates are now. if they are here or higher, that really puts a dent into the companies and sectors that need to refinance, commercial real estate or corporate debt holders. you were talking about walgreens and how they are leveraged up the wazoo. it's an issue now as we can see in the stock. >> 3.9 times. karen thinks it's higher. it's a company if anything the talk is they are thinking about selling off boots. that's not necessarily out there. that's what the analyst community is talking about and what they could do. higher for longer for sure. at some point this creates problems for companies that have

debt burdens. i drop it back in the snapchat of the market. this is this is a market eight days ago was at all time highs. and this is what we do on the show, talk about the day's action but try to drop it into the perspective of short, medium and long term. i think the long term probably nothing i am worried about in terms of doom and gloom. you have a dynamic where higher rates haven't exerted their toll. we know that there has been a sequencing for the economy based on a post-covid environment, post-fed hike environment. move slower. a big payroll number next friday. that could be bad news being bad news. if you see jobs fall out, it might be the first blush for the market to get sited that rates come down temporarily. >> i want to push back on dan if for no other reason to push back on dan. in the 2020 time, rates were

zero, right? that's a very different place from where we are now where rates have either plateaued, maybe they move a little bit higher -- >> the expectation -- >> maybe -- >> sorry. isn't it the expectation where they are going to go? tim mentioned the lags once you get to that level. and you understand what i mean? we didn't know how high they were going to go. we are in the same place but haven't felt the negative effects of high rates in the -- >> i don't think that's true. >> really? >> the real estate market of course they have felt, right? the housing situation -- >> seems pretty contained, doesn't it, like, you know, a tidy little regional banking crisis and moved on. >> there we go. >> exciting. >> major -- >> you know what i mean? leak, so, listen, i am not calling for a doom and gloom. think back to late 2021 and back to a order sell-off in the stock market in 2022 that saw the most

loved names lose three-quarter% of their value. >> that's doom and gloom, by the way. >> i understand. >> but the stock market didn't crash. we lived through crashes where we have seen the stock market get cut in half and then we have seen our most loved names lose 75%. what i'm saying the next time around if there is a -- >> there will be a neck time, right. but the economy is still in decent shame. people are still employed. >> no, i'm gonna say we don't need to call for 7 #% decline from close to record highs. people don't want to see 10%, 15% decline. >> people are buying nvidia here. >> right. >> my question so this desk do you think nvidia going to be a $4 trillion market cap before it's a $2 trillion market cap? do you think -- >> before two. >> i take that bet right now. >> does it -- >> a three? no, up three right now. >> oh, four -- >> basically -- >> 5:18 p.m. in 33 seconds. >> put that in the books.

>> understand what i'm saying? >> $2 trillion -- >> a lot of our viewers and i know this because we talk to retail investors, they never sell. they never sell. >> that's a support for -- first of all a 10% move in the market will not have retail selling and we have seen that. that's a correction that passive investing -- and i think you'd be dumb to be trading in and out of the market. they acknowledge -- most people acknowledge their advisors acknowledge we are not smart enough to time the in and out. if we believe the long term story, we continue to stay in the market. we acknowledge, even in '22 when some of these stocks, not all of them, you're right, the names you mentioned dead on, no question that the market levels weren't that bad. but there was an -- there was destruction. think about airlines, banks, there were so many parts of the economy. when gm goes up 75% from october of '22 to a week ago, i am not doing cartwheels because the stock's done nothing now. it's just gotten back to a level

it needed to go. i think that's where you could make an argument for a lot of the market. outside the sanctity of the m 7, at times this fed crisis has been something and people moved on. >> quickly, understanding the economy is different but the transports did not verify any of the move in the s&p without question. those rolling over. the russell still through the lens of the iwm has not been able to get through that 208 level. investors binging on netflix shares continue to climb. what is behind the surge? we will discuss. u and h dragging on the do you as they way in on medicaid. why that could be a liability when "fast money" returns. yot two times your weight. it's in your nature to stand strong. supplement your bones with high-absorption magnesium. nature's bounty. it's in your nature.

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money." shares of netflix sitting near three-year highs, up 20% this month. the winner of the moment through streaming wars is outperforming the competition this year. with hits like the ashley madison documentary, which is among tim's favorites, coming sports events and reality singing competition is it game over for everyone else? julia boorstin, what do you think is behind the surge here? >> we did have two very bullish analysts note in the past two days mark mahaney reiterating

the out perform on the stocks and estimates and boosting his price target to netflix to 700 in the wake of research they have done. there are a couple of factors behind his bullishness as well as the bullishness of a morgan stanley note reiterating its out perform. one thing key for the stocks gains over the past six months is the fact that the crackdown on password sharing is really working. people are willing to pay for more dependents outside their home to let them watch netflix and it doesn't seem to be driving the kind of churn that some people were concerned about. a couple other key things, the ad business, though new, seems to be working. and people seem eager to have that add-supported version, less expensive and moving into sports. something they said they would never do, but it seems to be getting a positive reception. >> do you think the bundling of various streaming services will that help those smaller players fight against netflix so to speak? >> i think so.

i think sort of the bundle is the new tv, right? and i think in so many ways netflix is already sort of a bundle. netflix has a little bit of something for everyone. they have movies. they have license content. they new originals, reality tv, et cetera. they don't have sports, they another moving into that. they don't have live news still. they don't have live news. maybe we are protected a little bit there, melissa. i think netflix is because it is so large its own sort of bundle and i think other players are trying to create their own bundle to compete. disney by folding in disney plus along with espn plus and mueller i hulu is part of that. so the bigger the webetter whent comes to streaming and minimize subscribers churning out when their favorite show is over. thank you. those bundles sound like cable. >> very similar. >> cable packages that we all -- i had. >> amazing how it reverts. seemingly goes on every three to

five years, cycles -- talk about the stock real quick. i mean, you are up against the november 2021 levels. i think it's somewhere between 690 and seven hupd. a beeline there. the question, will it get there and fail? will it be a better entry point? yes, it's been a dramatic run. we have been talking about the potential to go back to the levels but i think once it gets there it's going to run out of a little steam and that's probably into the axle foley beverly hills beginning of july, belief it or not, coming out on netflix. >> really? you think there will be a banana in a tailpipe? >> excuse me? who told you that. >> i how would i know that? >> to me within 4, a 5% of the all-time super crazy high is shocking. there was a very good interview this weekend, i don't know if you read it, about netflix and just, i mean, as julia talked

about, the, you know, password-sharing is working, ads working. a couple of things that are really working, international content. that is so much cheaper. we know that the subscribers are less valuable. maybe the value proposition, you know, the cost are less and revenue is less and having one. all that's great. it's all great. their a.i. seem to be spectacular. they know what you might want to watch. at level i think i have to sell some upside calls. too high. >> the interview you referenced was the ceo, "new york times," great interview, kinda laid out, like, their vision going forward and talked about some of the things they would never die on certain hills, never die on the, you know, the -- and then always thinking about streaming and now, you know, again they said they would never do advertising but they did that. when you think about the opportunity they have with live and the opportunity they have to bundle you think about that subscriber base, again the stock was down like 10% after it reported and guided last quarter because of that volatility in

the subscriber growth. i don't think they figured out just yet. i see a future where this company is going to own a bunch of live stuff and be a one-stop shop for a lot of things. >> 40 million now, who would have thought that? so back to kind of cable tv all over again. we are even paying for this stuff. advertisement is along with streaming. a lot more "fast money" to come. here's what's coming up next. >> premium pain. shares of u and h dragging the dow lower as the company updates investors on medicaid business. the warning that could put liability in this strayed next. a retail revolution. dick's, chewy, abercrombie surging after reporting results. will consumers put the clothes back on the rack as rates continue to rise? we'll debate. "fast money" from times square. we're back right after this.

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conference at unh could be squeezed for a quote multiquarter cycle as states pay more to cover health care costs for medicaid recipients. other stocks under pressure today, closing in the red across the board. to scales like time and time again, we are hearing sort of the same thing. pressure on the medicaid business again and again and again and stock continues to go lower. >> disturbance. >> i didn't know what that meant. it's not something that's great. we have seen this a couple of times. remember when the reimbursement ratio came out, stocks got hit across the board and within a couple of weeks they were sort of back to higher than that. this stock isn't expensive here. carter think it is god-like. i think medical loss ratio, that's the thing, everyone looks at. we will have to wait. i think it's july 15th they report. so we won't have clarify for a little while. i think the longer term say 202 # to '26 estimates are intact. but the reason you paid more for

the company in the past, in other words, there was a multiple of, you know, 35, 37, 40 times because they were growing almost 30%. and that was worthwhile. the stock from a chart perspective, you have actually -- you are down 8% year to date, which is kinda unheard of halfway through the year for a stock like this. the down trend is probably, you know, proof needs to be to-upside not downside. >> saying the total growth may in fact be challenged more like through '27, a much longer timeframe to think about in terms of challenged growth. >> when you think you have visibility you pay up for it. then you get penalized for it. 450, if we do a longer-term chart you will see. we have been in the 450, 550-ish range quite some time. that's the lower end of the band and feels like it wants to trade to. >> disney, scott walker has the details. >> thanks so much. the news is that i am told from

a source that nelson is out of disney stock completely. he sold all of his stock at close to $120 a share. i think if we look at disney now, it's about $100 almost even. interesting news. we're reporting this new now. but it will be reflected when the next release of those happens. and as all of you know, he has a long history in the name. i don't think anybody forgets when he ended his first proxy fight live on cnbc last year and then he waged another one. he recently lost that vote with some 31% of the vote instead of the time he could be back if bob iger failed to keep his promises. he made about $1 billion in the investment. so it was a good investment for the firm though, obviously, frustrating given the results of the proxy fight in which he was

seeking a seat on the board. you also note that disney's been tlg through a transition of sorts. it plans to turn a profit in the streaming business later on in the year. they have had layoffs as they look to get leaner. also had questions about espn's future and there is that so-called skinny bundle that disney plans to launch later this year. the big issue, of course, is the issue of "succession." that is still of course on the table. so peltz may be gone. but that critical issue remains unresolved. we will have to follow this story and see where it goes from here. he is out completely. selling all of his disney stock at close to $120 a share according to a source. >> scott, thank you. disney shares in the after hours session down by a percent now. he is out. there is no worry about massive selling. he made $1 billion. he may be frustrated but that's a pretty nice profit.

i'd live with some frustration if i made $1 billion, even if you take out how much to cost to wage that proxy battle. probably still made a pretty penny. >> the question is did he see something you're not in terms of the upside? he has been as close to the action as anyone. or were there enough agitation for change? the reality the last quarter i think, and we talked about it that day, the market's reaction i think was disproportionate to what went on. remember dtc was profitable during that period. i think it's an opportunity. >> timing is interesting. good for him. obviously, right? think about the -- the stock was at 118 for maybe a week prior to earnings. so the first question i asked would be, was just a price point you had in your mind or something you saw ahead of earnings that had you pull the ripcord effectively at the highest we have seen for the last, i don't know, almost two and a half years, right? two years, yeah. >> it's interesting. he did it again a t the same

price. got out at exactly the same price. i remember though that they had that huge earnings. they announced that in february. that would be last earnings release before the vote. >> right. >> i should have realized then. okay. so at some point after that he knows he loses. if i were he, that would be the trigger. this is what i wanted the company to do. that's not going to happen. to me that would be the trigger. around 120, okay, good for him. i don't know if he will be back for a third time here. coming up, a massive move in retail. dick's sporting goods, chewy, abercrombie soaring. will rising rates put a stitch in the trade? former best buy ceo hubert li says they can keep rocking. back in two. meets bold new thinking. to help you see untapped possibilities and relentlessly work with you

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a trifecta of retail names surging today after earnings, beats, optimistic outlooks. chewy soaring 27%, abercrombie 24%, up 5 # 3% the past year and dick's sporting goods jumping 16% ahead of another set of

retail earnings tomorrow including best buy. hubert joly ran best buy from 2012 to 2020. now is a senior lecturer at harvard. thanks for joining us. >> of course. >> we have had so many debates on "fast money" about the health of the consumer. we have different data points. seems that the consumer is under stress on the lower end and maybe slowing down on the higher end. what do you think? >> i agree with you. i think the higher end consumer is still doing great. the fa kt that the stock market is up is of course helping. the lower income consumer where it's a bit more wobbly. it's contrasted. the economy is continuing to create jobs. inflation is down. wages are going up faster than inflation and the confidence level even though it's a bit down still remains high. but on the other hand, you know, the fact that inflation is high, interest rates are high, unemployment, even though still below 4% is eking up a little bit higher. so i think it's uneven. but the results you have just

reported today show one thing, which is within the consumer space there is a place for winners and for losers. the discrepancy across players is just extraordinary. it's very encouraging to see great companies with a unique positioning and great execution, you know, do well. >> mr. joly, thank you for being on. this is karen. i want to expand on that point a little bit. we talk about a monolith, but for great merchants the customer is there. who are the great merchants out there? >> well, of course, i am biased, at board of ralph lauren. their next grade chapter strategy, their stock up 50%, right, roughly since the beginning of the year. so this shows how great, you know, a company with great purpose to inspire the dream of a better life, you know, can really thrive with great

execution across the different touchpoints. i really admire what dick's sporting goods and, you know, is doing. abercrombie being back is just very encouraging. now, of course you have to look also -- you know, there are some retailers that will be affected by, you know, cyclical trends. so the home improvement guys are suffering a bit more. you know, target. it was interesting to watch the contrast between walmart and target. every time the lower income consumer is suffering, you know, you tend to gravitate towards walmart and walmart had great results and target was a bit softer. but that doesn't change the long-term trends. if you are a great company with a unique positioning -- and also one of the things i learned when i was at best buy, companies that take great care of their front liners. during covid we remembered how important front liners were.

it's important we never forget this. companies that invest in pay and benefits, you know, better scheduling, a better environment where front liners can flourish and unleash that magic that we unleash at best buy, that can create great results. the call out to leaders is, you know, the sea level may be rising but what you do from the positioning standpoint and for your front liners is so, so critical of course. >> it appears that if you are in the middle in the retail space, you're lost. so if you're not on either side of the spectrum, it's difficult to be an operator. i mejs that. i am not looking to play stock market in terms of target. but target finds themselves smack in that middle. how do you get out of that? go down to where potential buyers are or go the other end of the spectrum? >> yeah, i agree. there is bifurcation. but the middle income customers are a fine customer.

under brian cormel, target has done well. i wouldn't put too much into that last quarter there. great retailer. they have shown they have multiple engines of growth. again i think it's do you have a unique reason for being? would the world miss you if you did not exist? i think target has rebuilt a unique positioning. so i wouldn't right them down. >> thanks for joining us. when you talk about dick's, i would have thought years ago the world wouldn't have missed if they went away and if this was an hbs case study what about what they are doing? there is nothing extraordinary to me. it's an omni-channel experience. they certainly have a vertical product line, a loyalty program. if you look at the numbers today, there was expansion. >> yeah, i know. i am not that close to that company. i just admire their leadership. but if you -- specialty retailing can be a very good

positioning. at best buy we benefitted from being the last consumer electronics retailer left standing. dick's has built a unique strength. there is ways, you know, in any specialty category where customers of course need the great assortments, but they want to try and see the products and you have, you know, front line employees who can be there to help. a great multi channel experience, you know, you produce great results. but maybe i should giver lauren a call and ask her to right a case study on our journey so far at the company. maybe i'll do that. >> let us know. we'd be interested. great to speak with you. we hope to see you again soon. >> thank you very much. coming up, more earnings on deck tomorrow. traders are piling into dell after the tech stock's huge run this year. how they are positioning ahead t rorne.t "fast money's" back in two. mone"

dell bucking the broader market jumping to an all high an bank of america reiterated the buy rating ahead of tom's earnings.

the stock is up more than 40% this month. traders are betting there is more room to go. mike has the action. hey, mike. >> yeah, so we saw more than 2.3 times the average daily options volume. the options market is inimplying 10% by the end of the week and the bulls are outpacing the bears. we saw calls outpacing puts two to one. and ones that caught my eye the july 180 calls. we saw almost 4,000 of those trading. buyers of those calls are betting stock could be above 192 by july pexpiration. they are betting the news will be good and the rally continues. >> remarkable when you think about that im plofd move, tern.5% last quarter, gapped up, 31%, didn't see a down tick and it's kinda been off to the races. implied move, if you cut it in half, that's the call premium or put premium, right, yourisking if you want a risk for a move lower or higher. that looks pretty cheap to

meerchlts yeah, karen, you own dell? >> i do. this last run this week has been mind boggling. i am long going into tomorrow. i will be sad if it trades down. i am nervous. >> this has so much big beat here. got to come up with a big beat. >> mike, thank you. coming up, the energy deal everyone is talking about. conocophillips scooping up marathon oil as the oil sector consolidation continues. details out of the $17 billion deal. more "fast mon" teyinwo. massive added a 25th hour to the day, businesses are wondering "what should we do with it?" bacon and eggs 25/7. you're darn right. solar stocks are up 20% with the additional hour in the day. [ clocks ticking ] i'm ruined. with the extra hour i'm thinking companywide power nap. let's put it to a vote. [ all snoring ] this is going to wreak havoc on overtime approvals. anything can change the world of work. from hr to payroll, adp designs forward-thinking solutions

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conocophillips planning to buy boyle in an all stock deal, giving conoco two million barrels of product a day. so, obviously, conoco is the sea in guy's clam. >> it was conoco and chevron. >> it is conoco. i did think it was chevron. >> let's focus on your clam. >> no, no, no. >> chevron. >> chevron, yeah. i like to focus on your clam.

>> thank you. you should. here is the -- this is the way i look at this. first of all, a dramatic move to 98. unfortunately, it stalled. number two, and broader, this again just speaks to the underlying strength of the industry and the sector and the fact that these are well run companies. balance sheets and stock performance that do deals like this, this sector is in play. if there was ever a rotation out of technology, which will happen, the money will find its way into energy, you stay with the trade, i think. >> mizuho asks an interesting question. does it make conoco better or just bigger? but maybe at this point in the cycle these giants just need to be bigger. they need to keep up with production. they want to by assets that are proven. >> there is a race by drillers to buy more oil and gas wells. $150 billion of deals done by their competitors. conoco was shedding assets for a long time. i thought they were more efficient and led some of the

divestiture in the leaner, meaner structure in the industry. gett getting assets in the permian base season what a lot of folks want to do. >> looking now, do you wish it was chevron? >> there is nothing about guy's clam that acovet. it's the right call. >> up next, final trades. s cirks what you hope for whencirks life tosses lemons your way. cirkul is your frosted treat with a sweet kick of confidence. cirkul is the effortless energy that gets you in the zone. cirkul, available at walmart and drinkcirkul.com.

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the close. cautious. >> guy? >> i think tim actually is lying. i think he does covet my clam. who wouldn't? >> this show can't end soon enough. 14 seconds. >> break out, i look forward to see you on the show tomorrow. >> we lleewi s you all tomorrow my mission is simple to make you money. i'm here to level the playing field for all investors. there's always something somewhere and i promise to help you find it. mad money starts now. hey, i'm cramer. welcome to mad money. woman to cramer. tweet me, jim cramer. we are witnessing, but i can regard only as a newfound skepticism of cramer. people are suddenly treating nvidia like