>> dan. >> yes, crude's acted very poorly. i think you can press the xle. 40% of that is chevron and exxon. >> guy? >> so great having you, leslie picker. >> thank you. >> i know the audience feels the same way. look at ford. can't get much worse at these levels. >> fun times with your best friends here onat these levels looking forward. >> fun times with your best friends here on fast money. thank you for watching mad money. my mission is simple, to make you money. i'm here to level the playing he field for all investors. i promise to help you find it. mad money starts now. >> hey, i'm cramer. welcome to cramerica. i'm just trying to make a little money. job is not just entertainment but to teach you. maybe we are looking at retail all the

wrong. consumers fool, consumers are hard-pressed. it's just a big pile of manure. the consumer doesn't get sick and well within the span of a quarter and as we ponder what the fed is going to talk about friday in jackson hole, the avenue is hanging up 56 points as we advance. we have to start rethinking the great debate about the state of the consumer, as it is at the heart of what the market will need to get the rate cuts that we have to have to go much higher. first, let's set the stage. as everyone knows, the fed needs to start cutting interest rates before the economy deteriorates to the point where they need to scramble the jets to save the day, but they can't move it the economy is doing fine. we are always trying to extrapolate from individual retailers and taken together, they seem to be saying that the consumer is fickle and perhaps in some cases, tapped out.

tonight, i am contending that she is not fickle, not at all. people are shopping and they are shopping were the great retail ceos are doing fabulous things like ron. doug mcmillan. early herman. -- ernie herman. brian cornell. >> doug mcmillan has pulled off an amazing multi-year earning out of walmart, $135 billion off-price, with 5001 scores. and brian cornell runs the return to growth changes. target saw stock surgeon 11% today. the consumer isn't frugal or tightfisted or sad or happy. people are simply shopping were they want to go and not shopping the other places, which is where the great merchants drive them because

they are what matters. chains that say consumers are strapped may just be getting not enough traffic because they aren't good enough to make the cut. why didn't we think of this? let's take them one by one so you understand why i am so sure of this paul told they represent pretty much the entire successful consumer cohort of a country. may we remember that these are services, not goods. let's start with cornell. cornell delivered twice that. you analyze same-store sales by looking at how much of gain is traffic. how much are changes in price? you don't want that. target said their gain was entirely from traffic which is excellent because price increases will distort our thinking and they are also inflationary. traffic tells you a great deal about the consumer, pricing tells you almost nothing. targets house of brand, cloud island for baby central,

threshold, room essentials, bright room for the home category. each of these do about $1 billion in sales and cat and jack alone is $2 billion. is the consumer rational enough to spend so much on target rands? you bet she is. she knows a bargain. she's a customer of target. and the numbers show that she is shopping more than she has in ages, so much because they have perfected order online and a cup in store, but these brands are unique to target and that's why it happens. it's unique. unique, and because they are made for target they can cut out the middleman and come up with excellent designs in fabrics and save you money. cornell knows what he's doing. most merchants may not. plus he has rolled back rices on 5000 items? which was definitely a driver of traffic because the consumer knows that's what's happening. how about this fellow, ernie

herman? tjx. honestly, he doesn't do roadshows or television interviews, he's incredibly low- key to what he has developed is nothing short of monumental. a monumental enter price for bargains. sales, profitability, earnings- per-share this morning. once again, seeing same-store sales growth which came from traffic and not price which is what you would expect from the biggest off-price retailer in the country. i may not know herman but i know that he's graded his job. look at that stock jumping 6% to an all-time high. thank you, mister herman. walmart's doug mcmillan doesn't like to talk about the quarter but by rolling back 7200 prices, 7200 prices in the store, people are going to take those. they are going to head to walmart and find incredibly low prices, 2020 prices. sometimes 2019.

i got to tell you, it is just dazzling. it's dazzling. + before you dismiss that out of hand i want you to take a look. don't take a snob. you will be shocked to see big knockoffs of big-ticket apparel. the prices of house brand of food are through the floor. it's the benefit of scale. but to see that a consumer is strapping as she stops at walmart? it's insulting to everyone. walmart is a great american institution but macy loves it. my daughters and i love going there. cosco? that's like no other. this is the second biggest retailer in the country and views its job is a gigantic buying group of owners with pretty much everything. you get amazing prices including some. including the cameras i told you about the other day and the gold bullion that people are so crazy for. you can't find everything, but we you can find is going to be

cheaper than you get it anywhere else. this store has done the most to rollback prices for this nation and does so via kirkland signature the house brand. for any nationally branded product that won't lower prices, under the kirkland label, they get prices down because the kirkland label is better than most of the branded stuff. costco, target, and walmart are at the heart of the move to lower prices in this country. the government cannot do better than these companies are doing. you can reach some conclusions. he just are not the ones of today. when i asked target to point out what they are doing better, it really came down to our country's incredibly robust job market. people with jobs are people who spend. the more people with jobs, the more likely it is that target can beat its targets. the others are in the same boat as well. i think cornell is right.

as he says, consumers have shown remarkable resilience in the face of local challenges over the last several years and remain resilient today. they are resilient because they have jobs. you don't hear this enough. historically we still have a very strong labor market even if the unemployment rate is ticking higher. therefore my conclusion is simple. can we please stop drawing a new conclusion every day about the consumer with each passing earnings report? no two retailers are alike. the ones that rollback prices, target costco and walmart have had terrific sales. tjx of course stand for low price because they are buying clothing at merchandise. when you get the consumer what she wants which is rollback prices, she is healthy and stays healthy as long as she has a job. if you know the employment number you will know what retail sales will look like. it's just that individual retailers are all over the place in terms of performance. we like everything that we've reported. we would like it all to be consequential but apparently that's not the case, so let's stop it.

it's great to know that you can buy stocks like costco, walmart, tjx and target because they offer you the best values. maybe for our purposes, that is all that matters. [ music ] >> craig in missouri? >> boo ya. thank you for taking my call. a longtime fan, listening to you in the early 2000's on your radio show, and you explain the difference between a limit and a market order to me. i've been buying on limit ever since then. >> you've never been picked off, that's what i want. people who buy on market get picked off all the time. thank you. >> thank you so much, it is often. i made some money on the japan carry trade, actually. >> good for you. >> thank you so much. >> indeed. got a price of 138 a share. am i too low right now or do i need to adjust?

>> i think-- its been up a straight line this week but i think you can buy more amt because lisa sue made that great acquisition and because her stuff, i got to tell you, accelerated computing is terrific and for ai and generative ai, it is terrific. purchase more a and d as we been doing for the club. listen, guys. it's driving me crazy. not everything that you hear is consequential. there's a lot of data points that don't mean anything. sometimes companies just have their consumers backs and that's where they go and the economy is fine, and that's all that matters. more mad money tonight. does the healthcare sector stand out in this slow down? i will tell you where i stand when i check up on a name. and speaking of healthier, i am under the rady are-- under the radar, telling you that my research reveals a buyout. plus, fresh off the company's

report, i know that many people care about snowflake so stay with cramer. >> don't miss a second of mad money. follow @jimcramer on x. hashtag him #madmentions, or give us a call at one 807 43 cnbc. miss something? had to www.cnbc.com. it's changed his quality of life. leo's number 2's are really getting better. better poo, better you! that's a good boy, leo! [ music ] >> before umgc, i was a pretty good teacher, but i needed my students to see that someone like them can make it and actually graduate, and do things better. that's why i decided to go to umgc.

the skills they taught me are skills i wouldn't have learned anywhere else. in my role now as vice principal, i want my students to succeed. i wouldn't be here right now if it wasn't for umgc. you become a part of that family, and it's a family that will support you for the rest of your life.

z's baking the house special. that will support you for arisa's styling a new look. and steve's filling his biggest order ever. with the first ever comcast business 5-year price lock guarantee, these business owners get five years of value on gig speed internet and advanced security, all from the company with 99.9% network reliability. so now they can focus on doing what they do best for the next five years. that's a lot of bread. you got this. the comcast business 5-year price lock guarantee. switch today for a limited tim.

last night, i highlighted support from expert market historian larry williams where he explained that the market is likely headed for a rough couple of months. that certainly jives with my theory that wall street has

become a lot less forgiving of companies that dropped the ball. most importantly, the economy is slowing down and we are in no man's land until the fed starts cutting interest rates to compensate. in moments like this you need to fall back on powerful long- term themes that require knowing how things are going in the economy.'s things like healthcare utilization. peoples put off so many nonurgent procedures during the pandemic that they are still playing catch-up with the healthcare system. at the same time my generation is rapidly aging. i'm still pretty spry but you hear about baby boomers hurting themselves playing pickleball. just today i heard my first acl pickle injury story. now, there are some critically sensitive parts of the sector like the healthcare insurers, drug companies, but the hospitals are the biggest winners from the spike in healthcare utilization and they are much less heavy-handed than big pharma which brings me to

the best. hca healthcare, the nashville based company with 88 hospitals across 20 states and over 300 urgent care centers, freestanding surgery centers, 23 and is copy centers and tons of outpatient centers. hca has become a juggernaut. one of the best performing of the year. some of it comes to the post go the catch of dynamic. the hospital struggled with higher costs especially from personnel because that obviously makes the job much harder. plus, people were not coming in for profitable surgeries because they didn't want to catch covid. stands to reason, but last year the pandemic was in the rearview mirror and people started coming in for more healthcare. hca put up revenue quotes while earnings jumped 7.6% although it took a while for investors to catch on. the stock finally found its footing and says it has been nothing short of a rocketship. it's up 74% from the lower last

october including a 39% gain year to date. it is the fifth has performing -- best-performing healthcare stock, the gold standard of its kind. let me lay it out for you. this is the best run hospital chain with exposure to the strongest areas of the country and throws off a ton of free cash flow. why not on the best hospital chain? and yes, it is the best. hca footprint stretches across the sunbelt and is some of the fastest-growing parts of the country. miami, florida, san antonio, denver, colorado. number two in dallas and houston and have great exposure to more midsize markets across the region. all of these aging baby boomers are retiring in the sunbelt so inevitably that means even more business for hca. second, their scale and earnings power allow the company to reinvest heavily in its healthcare record.

that's how they've paid for their big network of nonhospital locations, urgent care centers, imaging centers, outpatient surgery centers. the footprint helps keep customers within the network which in turn allows them to keep closer tabs on patients. driving better outcomes, and better outcomes translates into rising market share and of course, more money. they go from 24% in 2012 and 24% a couple of years ago and that may sound like a slow crawl to you but for the hospital business they are taking shares at a rapid pace. people are spending more and more on health care simply because the technology keeps getting better. things that are untreatable a decade ago are now manageable in many cases. we know that hca in particular is doing well because a month ago they shot the lights out when they reported. much better than expected year- over-year, 57 sent earnings off

of 493 basis. they had 27% earnings. aca raises for your forecast pretty substantially. boosted by $1.75 billion at the midpoint and hiked earnings guidance by a dollar 75-- by $1.75 per share better? now they are looking to earn more this year. same facility, equivalent admissions rose 5.2% the same facility revenue per in equivalent increased by 4.4% which translated to facility revenue growth of 10%. that's the same sales we talk about for retailers or restaurants. hospitals have been doing a lot more business in the actual brick and mortar that they are working in. 100 basis points of margin improving year-over-year, is there anything wrong with this

story? and labor costs come down dramatically. it's the fight against inflation and the healthcare segment so even though stott came in hot going into the quarter, it's been able to keep rallying. even for this incredible run over the past 10 or so months, hca trades at just 17 times the midpoint of this earnings forecast. that's a little more expensive than a historic multiple but again, the s&p 500 is currently selling for well over a. i think hca has more room to run because it is an incredibly well-run business. stocks at an all-time high, i don't want to ignore the potential risks. some things could derail the story. maybe people finish catching up on deferred healthcare procedures. but it hasn't happened. maybe the democrats have a big win sweeping the white house senate and the house and decide to target the hospital chains in order to tamp down on health

care costs. normally they go after big pharma and the insurers but it doesn't mean the hospitals are off-limits. they are within the healthcare industry and there's been a concerted effort to focus on preventative care. the outfits are thrilled to pay for anything preventative because it keeps you out of the hospital down the line. but hca is the least vulnerable because they've been diversifying nonhospital facilities for years. at the end of the day it's a good thing that people get healthier but obviously that's not so good for shareholders. still, it's very long-term and one you will be able to see coming if it starts to become a problem. so here's the bottom line. caregivers within the healthcare space have become some of the best performers in the market and i would argue the single best option here is hca healthcare after i did the work on this. stocks had a huge run, maybe wait for a pullback is what i'm thinking. then again, even the way it's been trading you may want to

put them on right here right now because i'm not sure it's going to come in any time soon. and by the way you have every right to ask me where i have been on this one because i know the answer. i've been asleep at the wheel. mad money is back after the break.

>> earning a degree doesn't have to mean starting from scratch. at university of maryland global campus, it means building your next success on the foundation of life experience. umgc values the successes you've already achieved. that's why you can earn up to 90 credits from prior learning and life and job experience toward our bachelor's degree programs. no application fee if you apply by august 29 at umgc.edu.

whenever you call and ask about a company that i don't know, you know what i do. i promise to do some homework and come back to you with a real answer. now that back to school season is right around the corner, it's time to catch up on summer reading. back on august 12, gary in texas wanted to know about haro -- harrow inc like hca but in the pharmaceutical business. originally known as infamous pharmaceuticals they got their start working with compounding pharmacy suppliers to identify unmet needs. as generic as it gets. they had some success with an eye care product and decide to focus on actually developing drugs for the industry. the use eye surgery procedures like cadillac-- cataract

removal, sarcoma, allergy and infectious diseases and are focusing on eye surgery and dry eye disease which is interesting because i surgeons made it all sorts of drugs for procedures whether we are talking about dilating your pupils or preventing. it affects an amazing 39 million people in roughly half of those cases are of the moderate to severe variety. they've also got some investments in smaller drug companies. they have had a spectacular run, up 250% year to date. that's amazing. maybe that's because they reported a stunning quarter which cause a-- which caused socks to jump in a single day and it has not looked back since. what was so special about that quarter? let's hear the press release. the second quarter of 2024 marked a financial operational turning point with revenues

surging 46% compared to the same quarter last year and 42% over the previous quarter. let's try these impressive code numbers. first, in may of last year, harrow launched an anesthetic to numb the surface of the eyeball before surgery. apparently they can't get enough of it because orders were up 90% versus the previous quarter. accelerated growth after signing 10 additional supply groups with strategic retina accounts in the quarter and signed a seven more supply deals since the end of june. the largest and highest volume retina practice group in the country. second, they have a drug that is both an inflammation treatment and also helps doctors see what is going on in your eyes during certain key procedures. it has a long history and the drug has been on the fda shortage list for the last five years with no inventories available in america for the last two years. last year, harrow purchased

the rights from novartis and while they still have the pass a few more tests, management expects a restarted maybe that's the big reason why it's up. on the dry eye side, harrow launched some eyedrops and they are selling like crazy. according to pharmacy partners, total prescriptions were up an astounding 212% for the first quarter. users love these drops and they should keep growing rapidly he says, i don't know. sure sounds like it. put it all together and is projecting revenue in the second half will be dramatically higher especially they can successfully relaunch their drug. projecting greater than $180 million for sales and says it's really a question of greater than $100 million that they will do. after reaching what they see as a turning point, both financially and operationally,

it had the potential to reach annual revenues of $500 million by 2027 and after the latest quarter i can't say that the enthusiasm is unwarranted. that is what sent harrow stock into the stratosphere but is it still worth purchasing at these levels? i'm going to be wary of anything that's up that much unless it's parabolic but the sales speak for themselves. the company is technically not profitable even though analysts believe they will turn a profit next year. plus it's even a positive meaning we can make meaningful value comparisons with the other publicly traded eyecare companies. with management focused on the goal of $500 million by 2027 of revenue i'm going to do something i shouldn't typically-- well i should say that, but i am actually going to use 2027 projections to try to value this stock. it is so far in advance but we are going to try it. currently the analyst analysis consensus, harrow can generate $279 million in earnings for interest tax in 2027 giving

the company's current enterprise value standing at $1.45 billion, that means it has an enterprise multiple of 5.5 using the 2027 methods. we are trying to come up with an apples to oranges comparison here and that's the enterprise value which is the sum of the market cap and net debt divided by eva:. in 2027 members,-- stands at nine. so the 2027 projections are correct and as those estimates become more convincing, multiples should rise to get more in line with peers. i can see this. some investors could argue because the growth rate is expected to be so much higher than others, it actually deserves to trade at a premium to those companies. i would not go that far because people are willing to pay up for more established companies. plus i am still not sure how much we should trust the

revenue target for 2027. everything goes right, harrow will be a big winner but who knows if they can deliver. in the end i am not quite ready to give a full throated endorsement especially considering how little i knew about it when the person first told me about it. we know why people are excited for this one and we know what harrow needs to do to send stock higher but i don't know enough about the eyecare space to endorse targets as gospel. i do know this is a fairly competitive space and i can't tell of their products are differentiated enough to stave off competition. that's why i would love to have them on the show and learn more. open invitation. bottom line, i am always on the lookout for all of these sorts of undercover stories so i have to think ary one of our smart viewers for putting harrow on the radar. i keep following the company. i will look at progress going forward but for now i am just not ready to chase the stock based on some long-term assumptions that are more

guesses than estimates at this point. i would love for management to come on the show and prove me wrong. bill in massachusetts? >> thanks for taking my call. >> of course bill, how are you today? >> fantastic. i just wanted to say one thing. you are an incredible teacher. i've learned so much through you and the club, all you guys are just incredible. >> thank you. we all worked hard and the real pay that we get is that call, what you just said. that's the pay that we get. that's how i feel that this is worth doing, what you just said and i really think you. >> jim, i am in my mid-60s and this money means so much to me, you just don't know. you have no idea. when club stocks came in, i went crazy. i purchased and video and others

and what i tried to figure out is how stocks, as they come in, i always thought stocks as they went up and that was a big mistake. >> we do have a philosophy. i know that we've got a lot of questions but you are talking about the fundament and that's why i want to stop you and say thank you for this. i want people to understand we are trying to teach people how to check emotions. how to be clinical. how to understand why a stock could go higher. i was not taught this, i had to teach myself and now i am determined to teach it to others and will teach it wherever i have to go, so thank you, bill, and thank you from our team because that's what this is about. let's go to work. >> yeah, so i was positive on chubb and i'm interested in picking up some. what do you think?

>> i like to play with an open hand. i've been very torn because i felt if rates were cut, maybe chubb could not make as much money but they are by far the best and i would not recommend any other insurer on the show other than chubb. thank you for the kind comments. it's been a tough day and you just made my day better. fair enough. thanks enough-- thanks again to gary in texas. i'm not ready to chase:but it's one worth walking watching. i have more ahead. have they built a winning formula? i am giving my take on whether it is sitting on a strong foundation or a gold mine. plus rapidfire lightning round, so stay with cramer. tamra, izzy and emma... they respond to emails with phone-calls... and they don't "circle back"

they're already there. they wear business sneakers and pad their keyboards with something that makes their clickety- clacking... clickety-clackier. but no one loves logistics as much as they do. you need tamra, izzy and emma. they need a retirement plan. work with principal so we can help you with a retirement and benefits plan that's right for your team. let our expertise round out yours. ♪♪ did you know that 96% of customers recommend the hartford? boy that's higher than most movie ratings.

and those who switched to the aarp auto insurance program from the hartford? they saved hundreds. for the savings, benefits and best in class claims experience you deserve. make the switch today. to get your free quote call or click today. the buck's got your back. shopify's point of sale system helps you sell at every stage of your business. with fast and secure payment. card readers you can rely on. and one place to manage it all. whatever the stage, businesses that grow grow with shopify.

six months ago enterprise stocks went way out of style and among the hardest hit is snowflake which helps companies store organize and analyze data. stock was down from the highs in february as of today's close. after-hours trading, frankly another quarter couldn't excite potential buyers. we know that this group has struggled this year and at the same time the data management space where snowflake competes has become more competitive. i acknowledge the problems the company faces and have been cut in half from the highs in february. let's go straight to the source with the ceo of snowflake who had a better read on the quarter. welcome back to mad money. >> excited to be here. >> i got to tell you, i think

it's important to point out that you actually had a very solid quarter. a lot of better-than-expected congratulations of the analysts and big non-gap operating margins and earnings per share. i wanted you to give some people some context of what you are doing right before we go into what's controversial. >> we highlight-- had a solid quarter, jim. on the remaining performance obligations which is a measure of how much customers are investing in there's future then up to $5.2 billion, 48% year on year. we release more products in the first half of the year then the second half of the year. they been used by more than 2500 customers, so strong movement across the board and we also raise guidance for the year substantially. i feel good about what we got done and what's coming up. >> do you think it's possible that people are focused on what we consider to be some margin

erosion? you had 10% non-gap a-- non- gaap margins last year and has come down pretty substantially and maybe people are saying wait a second. if margins are coming down there must be too much competition in this space. >> i don't think it's that. we are investing in our future and it is engineering or sales to sell the project more, obviously investments and things like gpu's, but all of these are going to create a better future for us in terms of driving more top line growth and that's the thing to focus on . i focus on delivering amazing amounts of revenue and obviously thoughtful and how we go about doing this. the first thing that i want to get done is substantial product option and growth. >> you think this consumption model works in this environment may be better than ever given the fact that a lot of enterprise says are seeing a lot of competition? >> it works really well because

it is valuable line. we've worked very hard with customers to make sure that they only bring on cases that have clear business values. even with ai we don't ask for blanket investments. and by having this mindset of always focusing on customer value, it almost becomes a trailing indicator off of what is going on and we can be confident about the coming quarters which is why we raised our guidance for the year, because we see the model is aligned with what creates value for customers. >> i might see that there are still people who feel the may cyber attack that occurred, the security breach may have hurt your company, but it's pretty clear that it seems like it wasn't your fault. >> that's right. it was absolutely not our fault and only customers that had the accounts breached were customers that had user ids or passwords with things like

multifactor indications but then had them stolen for unauthorized access. the thing we tell our customers constantly is to make sure that they have multifactor authentication turned on and having things like network policies which register who can come into the snowflake security pyramid are also turned on. by the way, close to 10 years since 2016, i've also told you these headlines, and that's what they are, have not really affected core business with existing customers. they obviously talk about security a lot because we want them to be safe, but of course snowflake platform is incredibly strong and secure. >> i have a questions that are typical for you to ask because you are not the company i'm going to mention. you can say well you can asked-- the press is focused on this kind of dogfight. maybe that is what's dogging

your stock. >> competition is a good thing for your customers, it gives us motivation to create better product and an amazing notebook that will be generally available to all of our customers shortly, and competition makes us move faster. the strength of snowflake is in the core product of making technology simple and not more complex. we are very, very confident that this is the formula for long-term success, not a lot of quickly doing things that barely work with each other and we will focus on core strength and working with customers to develop new values. >> you have a couple of new products and maybe one or two core-- analysts seem to think and are very excited about the new products. >> i am very excited about

cortex analysts. it's a dream of everyone working in analytics for a long time and gives business users access to data without relying on analysts and various kinds of dashboards to get the data. but we do with the snowflake way. we make it easy to use and also make it reliable meaning that a business unit or-- user can rely on us to make positions. you get 50% reliability off the shelf, so that's our secret sauce and there is lots more along the way. those are the kinds of products that very much epitomize what everything is about. >> we went over all the tough questions and i thought you answered them well. sometimes you get the momentum that needs to be broken by the fact that you are doing so well in business but maybe think--

people think the stock is so expensive. but i'm glad you game-- i'm glad you came on the show. i want to thank you, the ceo of snowflake. read the conference call. you will think that everybody loved it. good to see you.

meet kandi technologies, where innovative, eco friendly design meets exceptional performance. our diverse portfolio includes utvs, go carts, golf carts and e-bikes. explore electric investment opportunities. kandi technologies.

it is time for the lightning round. of course i've had [ inaudible ] and the

lightning round is over. are you ready? let's start with gary. >> hey jim. love your show and all the hard work you do for all of the investors out there. my question is about new york mortgage-- >> this is one of those companies were you don't know what paper they really own. i have been betrayed by many of these companies over time and they have not worked for me so i always tell people don't buy. let's go to johnny in georgia please. johnny. >> hello mister cramer how are you doing? >> i'm doing well johnny, how about you? >> doing fine. thank you for taking my call. first i would like to thank you and your staff for what you do giving us-- decisions, you are my horse man. i'm calling because i've been a big holder for a while and i

was wondering should i stay on board? >> i got to tell you i think it's them-- its zim's time. i see you hold on to zim because it's zim's time. >> let's go to jake. >> leaving decisions with professionals. i know, right? with cgt incoming, can i hit up pgt? >> i tell you, it's a dice roll. i can't find out a lot about it. i have to be more certain about a company before i can opine it on this show. now i'm going to go to paul in new jersey. >> great day to be alive. nano nuclear energy. requirements for the energy

need for ai, will those fill those requirements? >> this is a company that doesn't make money and i'm reluctant to do that. i know that we all want to play nuclear energy as a way to get cheaper power for the data centers. i am not going to recommend nano as the way to do it. let's go to brandon in illinois please. >> thanks for having me. >> what's up? >> i want to talk to you and ask you a question about a fiber and telecommunications holding company. it raised 6% for the week and 323% for the month. that is lumen technology. >> this is a parabolic move. it would have been great to be in networking and cloud solutions. it was easy to see for some. i was blind to it, and the trade is done. >> scott in indiana. >> a new club member here, first time in long time listener. >> thank you very much.

i know you have it in your charitable trust but how do you feel about ibm? >> i think ibm is doing a great job. he's just remarkable, doing so much good. i would hold onto it or purchase. and that ladies and gentlemen is the conclusion of the lightning round. >> the lightning round is sponsored by charles schwab. coming up. take it to the house? the homebuilder in a neighborhood of their own. more next. ameritrade is now part of schwab. bringing you an elevated experience, tailor-made for trader minds. ♪♪ go deeper with thinkorswim: our award-wining trading platforms ♪♪ unlock support from the schwab trade desk— our team of passionate traders who live and breathe trading. ♪♪ and sharpen your skills with an immersive online education crafted just for traders. ♪♪ all so you can trade brilliantly. ♪♪

looks like another clinic was put on this quarter. the earnings, the sales, the margins, they are all fabulous. it if you want to know what is outstanding, it's the discipline that high-end homeowners are showing.

he made up his mind that the best use of his capital was to buy back stock. why? because the marketplace constantly undervalued toll land. so i figure what the heck? the stock is at a standard value. companies should buy back every share they can get. and i think that more than extraordinary good sales will allow stock on sales. toll brothers last year had the same message. since the start of our third quarter we've repurchased 246 million of common stock bringing the year to date repurchases to $427 million at an average price of approximately $119 per share. the stock just closed today at $141. nice by. today toll has repurchased roughly 3% of share count and do you know they brought back nearly half of the company? not only that, they are satisfied with the scale of purchase is still.

erase it from $500 million-$600 million. maybe that doesn't sound impressive to you but it's amazing if you know the history of the homebuilders. in the old days they seemed addicted to building homes and management couldn't stop. they seemed anxious to build as many homes as possible to save demand. you may think that's the core business so of course they should build lots of homes but actually the business is making money. often that means maybe building fewer homes and buying back more stock. toll brothers understands that and would rather double down on their own land by buying back stock on wall street then building homes on it. and they have been dead right. the stock is a horse in large part because there's just not a lot of homes for sale and not a lot of shares for sale either. they are not immune to the housing issues of our time, when people who got extremely low rate mortgages simply refused to sell ecause they then have to purchase a house with a much more expensive

mortgage. given that housing prices are 2019, financing is a real issue unless you are very very rich you don't have to buy a home. but toll caters to the very rich. how else can 29% of customers pay in cash while 20% still put down 31% average of a down payment? remember when they put no money down? it's a testament to their domination that they can say that they have the new jersey. south carolina, atlanta, boise and all of california. we see the versatility of buying back stock versus buying homes because toll wants 50% of homes to be spent. the federal reserve wishes homebuilders would flood the home with specs which would bring the price of housing down but why would homebuilders want cheaper housing? they would rather build fewer homes, really good homes then sell them at full price. they are the embodiment of the

successful homebuilder at the end of the day. build high-quality products to please buyers, purchase low- priced stock to please shareholders. it's a very winning formula. i just wish more of their competitors adopted it. i like to say, i promise i will find it just for you on mad money. i am jim cramer, see you tomorrow. that's egg-cruciating. [excruciating] you can ride it to and from the train station. "i want to be the next scrub daddy." stop the madness. there's more madness! uh-oh. what are you sales? 20 bucks a month. 20 bucks a month? oh! big merchants are going to love this. that's crazy. you are going to get crushed. ♪♪ first into the tank is a business that hopes to be a popular holiday tradition. [ laughs ] ♪♪