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tv   Mad Money  CNBC  July 20, 2009 6:00pm-7:00pm EDT

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whatsoever? that things are going from bad to worse? then why is every stock with a smokestack attached to it boring? how can companies that actually make and move things be going higher? if we aren't building anything and the only activity at the office is the issuance of pink slips. it seems like the market is forecasting a boom. an acceleration of economies around the world despite a total lack of good news. when you look at the rallies in freeport and u.s. steel, bhp not to mention the oils and the oil services companies, you have wonder if the market is getting ahead of itself. there is nothing in sight that is any good out there. you have to ask yourself, are we
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jumping the gun with all the bullishness? ask yourself, do we have blinders on? no. this was not some sort of weird -- never mind. use your imagination. of course we're wearing blinders. and i don't think that's a bad thing. this is a moment. and i've seen them before. you have to leap before you look. you have to get ahead of the other guys. you have to start running ahead of them. they won't call you back. is everyone else out of the gate was out of the gate before the race begins. those who wait for the -- to go off before they start running, they'll look like dopes. those who don't blind themselves to the negatives will never get
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out of this. to put it simply, you have to jump the gun with blinders on. you have to get that silly get up. if you don't, you'll miss the moves. since everybody else is jumping the gun. why? because the market loves the look ahead. and the market is saying that it is inconceivable that things will be this bad six months from now. all we need is six months from now really because you know what? that's when you'll be annualizing the depression. yes, we are that close to when the garden depression began. if companies like caterpillar are going to run ahead of the turn, the big portfolio managers will put the blinders on and get into those companies that almost disappeared a year ago because there was no credit. and there were no customers to borrow money to buy goods.
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things were so bad a year ago that they can't help but look better when we see the second half's earnings. and don't look now. when we get through the current amount of earnings and the all-star game it always happens every year. the only thing we'll be thinking about is the second half. i know how hard it must be for you who was depressed about how bad your job is going or worried about your job security. it must be so hard for you to think about buying right now. there should be a big surge in home building. there is only a tiny turn in home building. not a day goes by without terrible headlines about real estate. do you keep reading there is not going to be a back to school season this year. the transports are rocky. meaning we should be using more coal in our power plants and more steel to build bridges.
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in each case, we're about to last the bad quarters when in of course tist occurred. last year, the second half of the year, after september, no activity occurred. and then all these cyclical stocks armed with our stimulus not just the chinese stimulus are going to be up against what's known as incredibly easy compares or comparisons. meanwhile, the share prices reflect an economy that is still in depression mode. this rally is to slow down prices. it's not about forecasting a turn to a boom. it's about recognizing that these kinds of companies typically lost you big money and they haven't this time around. we're seeing the quarterly regard cards. why? because they fired so many people and have become so lean that they can make so much more money with so fewer sales.
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the others who know that if they don't jump the gun -- they will end up paying dramatically higher prices. that's how eaton, the big electronic and precision company is up four points on a so-so quarter today. that's how caterpillar can be up more than 2.5 points. they haven't reported yet. people are fretting about domestic orders. and buyers are here! you know what? i agree with the buyers. you can't wait for the starting pistol to go off. they're going to do better when you consider the stimulus out there. yep, you got to be like this horse. you got to put the blinders on.
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you have to ignore the endless parade of articles about how do we know about the back to school season or the huge layoffs ahead in the small businesses. because of health care reform. as we get closer to annualizing the hard times, we're going to look better and better. even if we just stand still. yes, this action is all about trying to get into the stocks ahead of the improvement. so, sure, we're jumping the gun. sure we're putting on the blinders. but that's because jumping the gun and putting on the blinders is the correct thing to do. the bottom line, the gun jumping move -- is not about the market forecasting the global economic boom. it's about the fact that these companies which are still trading at the depression prices will soon lack a bunch of bad numbers. and be up against compares. the bad news is discounting. the depression is over.
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it's not wrong to jump the gun. but you also have to recognize some of the action is pure animal spirit based on sentiment. and right now if you're in the manufacturing business, we're going to accept your earnings whether they're manufactured or not. scott in michigan, scott! >> man, i'm telling you. i'm all over the wolverines like a cheap suit. we were there. we did a show with them. >> yeah, absolutely. >> we want you back. what's up? >> well, jim, you recently answered my mlp question on the show. it was after the electric cap and trade segment. >> right. >> that got me thinking. >> share it with me. >> could your favorite mlp benefit from cap and trade with
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intense oil recovery and co-2 pipeline. can they get paid to capture the cash rbon dioxide? >> scott, you know what we're going to do? richard kinder wrote a fantastic piece about the need to do just this. we're going to get him on. we're going to get him back again. because i think you got a point. now it is incremental. but they're growing 4% a year. maybe this accelerates the growth rate and gives you one more reason to back up the truck, pull the trigger and buy more kinder morgue an partners. kmp. carrie in florida. carrie! >> fantastic to have you. >> thanks for getting me in the game. >> i'm thrilled that you're in the game. the game got better at dow 6500 and remains a better game. what's up? >> i wanted to know how should we use the ppi and cpi as
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elements of our evaluation of market and how do they move the stocks? >> we have to look at market movers and do not use the cpi because it does not include housing. so it's overstated. it's one of the reasons why deflation is still upon us. we're not ppi, overinflated by oil. we're not going to get caught up in the numbers. they are not helping us. we're going to follow the bond market. as long as interest rates remain low, we're not going to stay focused on ppi or cpi. they are distorted and not -- not at all, i think, in keeping with the true inflation numbers. corey in georgia. corey? >> hello from augusta, georgia. >> that was awesome. you're from a golf town. hey, what's with golf? why do they bump the yankees and mets and there's no baseball,
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it's all golf? has the whole sports section in the world been turned into something that only 58-year-old white guys read? i said it. >> all for sport. i happen to be invested in the most shortest stock on wall street, a group of investors and i have noticed some trading irregularities to put it mildly. so my question is, what can you do as a retail investor if you suspect that a stock that you are invested in is being manipulated? >> boy, is this a great question, corey. i got to tell you, i can't, in my lifetime, describe how many times i feel like i've fallen prey to manipulation. i think all can you really do is write the sec. go on e-mail and try to give evidence of that. it is so hard to prove. but maybe enough people will feel like you do about a given stock that they will open an investigation. but there's not much else you can do.
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i'm sad to say. also tell your broker. tell your broker you feel like there is manipulation. all right. this market is like a horse with blinders on. and sometimes it's okay to jump the gun. because we don't want to miss the move. "mad money" will be right back. coming up, can one packaging company help you preserve some capital? jim krayemer is taking a fresh look at a stock to see if kit earn the "mad money" seal of approval. plus with, the down fall of one electronics giant, who will emerge to take its place? jim goes shopping for a retailer on the rise that could make you some big bucks on the big screen. and later, try to keep up with cramer as he takes your calls rapid fire in a new "lightning rod." all coming up on "mad money."
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tonight we're playing to catch a predator. and in the world of investing, unlike the real world, we love predators. companies that see weakness. and then they pounce. we want to own the stocks of companies that know how to take advantage of vulnerable competitors. so what predator am i talking about tonight? the company is bms. it is a mild mannered packaging company, one that you would never suspect has what it takes to be a true predator. the kind that doesn't get killed by arnold at the end of the
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movie or by the alien in the horrible spinoff slash the sequel. bemis is like the subdued cary grant in "to catch a thief." heck, you probably never even heard of bemis. even though you interact with this product on a daily basis and the stock symbol, bms. that screams buy my stock with its very initials. don't buy immediately. they just announced a gigantic secondary offer. it is selling 7.5 million shares. what an opportunity. and that is why tonight we have focused on bemis. so you can do the home work and get in on what we think is going to be a great piece of merchandise at a big discount to where the stock went out tonight unless you're fool enough to buy it after hours and not participate in the secondary. now don't be fooled by bemis' soft exterior. they get 83% of the sales from
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flexible packaging making the pouches, wrappings and bags used to preserve baked goods, candies, meats and other consumer products. you probably ripped open one of the packages to day. the rest is pressure sensitive packaging and equally wimpy seeming enterprise. bemis makes tamper resistant items, like the kind used for labels in films, the stuff hard to get open, especially if you're an impatient person like i used to be. before i became an ambassador of good will like my buddy. don't be fooled by bemis' nerdy exterior. because this company has the heart of a hunter. that supposed to say love and hate. a true carnivore that knows what to do when it smells blood. it's prey, the debt laiden rio tinto which is struggling under the weight of its debt ever since it overpaid for alcan in
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2007. bemis is now feasting on this heavily indebted mineral company. total real life example of revenge of the in other words. rio tinto may be a mining company. but it has a food packaging business. and that's what bemis' is acquiring. rio tinto, bemis! bemis is paying $1.2 billion for rio tinto's food packaging business. it is really only worth something to bemis. no one wants to be in bemis' business because they dominate it. they make packaging products that can be used in microwaveable cooking which is the kind of cooking i excel at. a business that generated $1 presidents.5 billion in revenues. the acquisition which should
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close before the end of the year should be additive to earnings in 2010. also it makes bemis a more defensive, less cyclical company. the acquisition should increase the sales by nearly 40%. but beyond that, it will make the business more heavily weighted toward food and beverage packaging which should go from 50% of the sales to 70%. that always kept this company back. people feel that it's all of the stuff is too manufacturing oriented. a less cyclical bemis means a bemis that is less vulnerable to the swings of the cycle. they will have more stable, more consistent earnings given a higher price toerngs multiple, the diversified play that belongs in any diversified portfolio. this should work even if the economic situation deteriorates. sure, at the top of the show we said people want to own cyclicals. i like diverse fiction. this is the kind of deal that should deliver multiyear gains for the simple reason that bemis
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is paying much, much less than the business is worth. it got rio tinto in a corner. that company masterly overburden with debt. the main business is mining. it needs to sell off noncorps assets. the packaging business, a total noncore asset is worth way more to bemis. that is why they're committing highway robbery with the low prices its paying. the kind of predatory behavior we can't get enough of on "mad money." what else does it do for bemis? it is dramatically increasing market share. 80% of the business is being acquired in the u.s. and canada. bemis is heavily concentrated. i think ultimately after the layoffs it will be obvious to the company the synergies yield a lot more savings than just 65 million. i think they can beat that. it has a better than expected order on friday. it is driven mostly by cost cutting. the company raised its full year earnings guidance and the acquisition of rio tinto's
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acquisition gives the company the sales growth we really want to see going forward in a growth company, not only is it taking advanta advantage. it is an incredible diffident earns 3.6% at current levels. paid out 90 cents a share. very safe. company expected to generate $2.21 of free cash flow. more than enough to cover the dividend twice over. i'm not expecting dividend hike as bemis said to use the free cash flow to pay down debt. since that only means higher earnings, and that won't -- bemis won't get caught flatfooted, i'm not faulting them. they should lower the debt to capitalization. i think the street will feel more comfortable with the balance sheet. right now only two out of the ten analysts rate it a buy. guys, wake up! i think you're going to be forced to re-evaluate. i think most of them upgrade, sure fire way to send the stock
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higher. here's the bottom line, bemis no longer sleepy. it's now a predator. it's feasting on the debt laiden rio tinto making a brilliant pickoff acquisition that will make its business less cyclical f i'm right, deliver multiyear gains. and best of all, bemis is paying you to wait for the deal. 3.5% yield. if i were you, i'd buy some on the secondary offering. and i'd buy it. if they fall to $24, we would have a notoriously big 4% yield, then i'd buy more. you know what? maybe bms really does stand for buy my stock! after the break, i'll try to make you even more money. coming up with the down fall of one electronics giant, who will emerge to take its place? jim goes shopping for a retailer on the rise that could make you some big bucks on the big screen.
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plus, lightning strikes. jim cramer goes electric taking all your calls in a spine chilling overcharged "lightning round." and later, what's his take on the fate of cit? find out on the outrage of the day all coming up on "mad money." businesses more efficiently,
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opportunity. and i thank george and all of my viewers who are constantly giving me better ideas than i have myself. hgg is a consumer electronics store that also sells home appliances, washers, dryers, refrigerator refrigerators, mattresses. it's a small company. it's the seventh largest consumer electronics chain in the country. i didn't know about it. it's not in my area. it has 111 stores, mostly in the southeast and midwest. i am way too northeast. again why george has it over me. knees a different area. the long-term plan to s. to expand it in my area and everywhere else, 400 locations. so hgg could be a huge regional to national growth story. and when it comes to retail, as i say in the book "real money," that's exactly what we like the most. the companies already been a big winner from the demise of circuit city.
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i know, we usually think of best buy as the way to place circuit city ace end. but h.h.greg is smart. they're honoring circuit city gift cards and warn advertise at the stores. i think it's a pretty smart plan to attract cc's former customers. especially around 12% of circuit city stores are located within five miles of an hhgreg story. and hhgreg's locations typically carry about 60% of the merchandise that circuit city used to sell. but what really piqued my interest in hgg is the fact that it's doing a secondary offering like bemis. and it's expected to price a week. it's one of the reasons why i wanted to do this piece tonight. george gave us the heads up. but this piece of business is about to occur. i think the stock is a buy if you can get in on this discounted merchandise, the secondary offering. so today i want to prepare you for the deal.
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if you can't get in at the print price or less, the print price is the price at which the merchandise will sell, okay, then you might want to stay away from this as being too risky. you want to get in at a good price. remember, it's only a $540 million company. that means it's way too easy to move the stock up the clumsy market orders that i know some people put in after the show. so you got to promise me that if you can't buy shares in the secondary or below the price of the secondary, take a little pass, okay? at least until the stock pulls back. and can you get in for what you would have paid in the secondary or less. hhgreg is the kind we like on the show. why? first of all this is a company that is if funding the growth by selling stock and not taking down debt. that's the new way, okay? that's the healthy way to expand business. we saw too many companies take down debt the old days. gives you an opportunity to get in the stock at a discount. 4.45 million shares. that includes a million share purchase, not an offering, but a purchase from a private equity
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firm. they already own 38 periods of hhgreg's shares. how great is it on a secondary where a major shareholder or insider actually buys -- buys on the secondary? that's a brand new thing. these guys know the company much better than i do. and they're still willing to pick up shares. i like it. they see this as an opportunity to buy stock instead of an opportunity to cash out by selling. you know they could have. it's hugely important. it's a big tell. how about the business itself? hhgreg has a plan to expand by moving into retail locations rather than building new ones. we know there is a ton of them. you've been to the mall. i've been to the mall. we see the places boxed out. it's also benefitting from lower occupancy costs. so on the one hand this electronics store is a play on the weakness in commercial real estate that we read about. it's also a play on the housing bottom. the stabilization of residential real estate. they sell things like
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refrigerators, mattresses, the things that people buy more of as the number of houses being sold increases. remember, we just hear about the velocity of sales. we're not recommending the home builders. for a long time i got the carrie treatment. but now the housing bottom is clear to others except in new york. again, if you're new york sen trick, you know it's not finished. new york does the matter it h.h.greg, it's the southeast and midwest that do. the company is a major danny meyer hospitality quotient. those of you out to citi field with the mets, you know the only thing good out there happens to be the shake shack, danny myers plays. i also blew smoke at the other danny myers place. i think it will take share in the consumer electronics market. a famous restaurant owner postulated the companies which make the customers feel comfortable and at home will outperform those that don't. this is a thesis we tested on the show. believe me, i was just as surprised as anybody else when it turned out that the stocks in
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danny's hospitality index outperformed the rest of the market. hhgreg is a high service model. it fits the thesis. second best consumer satisfaction rating among appliance retailers from jd power in 2008. offers same day delivery on the products. i'd killed for that. come on, you order it and it's there? like you order it and you want to watch the phillies in the world series and it's like game one. come on, you got to get it there. it's employees -- or like that golf thing. how many times do i have to hear about that? anyway, many people worked at the stores for 10 or 20 years. they're commission paid. that means customers get a lot of attention. i guess not in an annoying way like you've got them from some commission employees at other stores. hhgreg trades at 14.2 times next year's earnings. i think you'll get a lower multiple if you get it on the secondary. they have 17.6% long-term growth rate. we don't have many of those. many growth oriented money
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managers will be willing to pay at least 18 times earnings for a stock at 18% growth. so i think it will be a real steal if you wait until that secondary and buy these shares at an even bigger discount than when it went out tonight. here's the bottom line, george from virginia stumped me on hhgreg last week. but i went back. i did my home work over the weekend. and you no he what i found? a company with terrific growth prospect that's doing a very attractive secondary offering. if you like this one, get ready because the secondary should price this week. and that's the way i recommend buying the speculative electronics and appliance retailer. that's also a terrific play on the end to house price depression. let's go to dafney in illinois. >> yes! hi, jim! bellville, i haven't done a show from there yet. what's on your mind? >> hey, a couple weeks ago you were talking about radio shack and maybe being a good play to capitalize off of the digital
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conversion. >> right. that was the trade. i said when the trade didn't work out, we should leave. the stock is down about a half point. go ahead, i'm sorry. >> that's what i was wondering if you're still feeling okay about it or if best buy is stole some of the thunder? >> best buy is better. i really felt the mom has come and gone for that company. i mean honestly, if you want to buy trshgs, i would think about buying -- i know this is a controversial play, i would buy sears. i would buy sears if i want to get in on it rugt now. i think that makes more sense. denise in missouri. denise? >> yes. >> go ahead, denise, hit me. >> hi. this is denise in jeremy, blue springs, missouri. >> from the show me state. go ahead. >> okay. i'm jeremy's mom. he is a new teen investor. and he just wants you to know that he loves apple but he knows they're selling high right now. does sony have anything in the woshgdz right now to compete with apple and the new hd world?
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and is it the right time for him to buy sony? >> i happen to like apple. one of the reasonsy like it, please mr. howard stringer, do not take offense to. this but they've really crushed sony. i don't like to buy a stock that's so far up ahead of the quarter but remember, i think they need to buy one share of apple. that $100 -- jim, april sl too high. i said divide it by ten. just consider it to be $15. i want to thank george in virginia for asking about hhgreg. i did my home work. big secondary coming. on that secondary, buy, buy, buy and stay with cramer. coming up, jim goes fast and furious as he faces a nonstop barrage of calls giving stock after stock their final verdict on "the lightning round." and later, what's his take on the sat of cit? find out on the outrage of the
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day all coming up on "mad money."
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it's time. it's time for the "lightning round." what is that about? rapid fire calls. you say the name of the stock. i tell you whether buy or sell. just to be clear. i do not know the callers or stock questions ahead of time. my staff prepares these on the fly. this sounds means nothing. this is the lightning round. are you ready? steve? it is time for the "lightning round." joe in indiana? joe? >> a big boiler maker. >> back at you. >> thank you, sir. a few months back about $42 of investment and it was brought at a trade and got out of $6. should i still get back in? >> i have mixed eed emotions a
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ford. they're competing against the u.s. government. the government has unlimited firepower, we know. but ford has got a great manager. i know a lot. i'm sure he's terrific at gm. i'm banking with the manager. i will tell people to pull the trigger under $6. how about marvin in maryland. marv? >> yeah. my stock is murphy oil, mur. what about all the new gas and oil fields that have gone under -- under development approximately at least nine. >> it's not just because my friend steve murphy is the same name as murphy oil, i happen to like this company. i want to pull the trigger. i also think excellent article in bloomberg today, bloomberg.com, about how cheap the made for oils are. murphy is not major. but it is dirt cheap. i want to own this thing. i want to own the group. how about sylvia in new jersey. my home state.
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sylvia. >> boo-yah, jim cramer. rut major "mad money" maven of wall street. >> sylvia, you're too kind. i got to tell you, when i hear that, i got a lot to beat this weekend. i'm just thrilled. people say hey, jim, i'm sorry -- you're not bothering me. i'm thrilled that you like the darn show! how i can help you? >> love it. here's my question. bachlster international, bax, they have great earnings. >> absolutely. >> has a big contract for the swine flu vaccine. goes up for a few days and then keeps going down. >> sylvia, we can't look at the near term action. this market likes caterpillar. it likes eaton. it likes union pacific. it likes bhp, it likes iron. it likes steel. it likes cyclicals. it doesn't like health care. but baxter is a great company
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for diversified portfolio. they did blow await numbers. i think there's room, sylvia, for a baxter in your portfolio as long as you have the machinery company or something that makes you diversified and are not all health care. t.j. in wisconsin? t.j.? >> boo-yah! greetings from wisconsin. how you zmog. >> i didn't even know i had a state there. go ahead. what's up? >> i'm a new investor. i bought my first stock last week. i'm looking at the mosaic company. >> i tell you something, i got to tell you, t.j., as a new investor, i would not go into that company's stock. why? because it's extremely volatile. i think if you want to be -- tnh is coming back. that is a fertilizer company. but i think that company is what i called too volatile to own. george in new jersey, again my home state. george! >> jimmy!
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boo-yah. >> what's up? >> hey, george from mountain side village supermarkets. vlga. >> that's my shop rite. hey, shop rite is pretty g i like shop rite. i like the supermarket business. i have a great one down at the shore. it's a dynamite shop rite. you have to do it yourself. i still need the person's help. i'm going to say shop rite is good. buy. buy. buy. by the way, it's better than safeway. and i like it even better than kroger which is a pretty good operator. okay, let's go to jerry in indiana. jerry? >> jim, this is jerry in indiana. big bad boo-yah to you. >> good to have you back on the show. what's up? >> with the apple coming out with earnings tomorrow, do you think they'll pick up china unicom for the stock? >> i think that's the way they're going to sell the iphone in china. i have been buying china unicom
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hand over fist for action alert plus.com. i'm crushing most of the competition. one of the reasons is stocks like chu because that is the best kind of play on the apple iphone. and i think apple will outnumber. even if it gets hit, buy, buy, buy, i want to buy more. that's it. i like apple. i like china unicom. it's over! >> the lightning round is sponsored by td ameritrade. [bell ringing] the way the stock market's been acting lately you may wonder if you've been doing the right thing. is the advice you've been getting helping or hurting? are the fees you're paying really worth it? td ameritrade's fees are fair and straight-forward. their research is independent and unbiased. their investment consultants are knowledgeable and there when you need them. so why not talk to one?
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announcer: call today to schedule a free investment check-up, or visit a td ameritrade branch.
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(announcer) switch to the nation's fastest 3g network and get the at&t laptopconnect card for free. the government decided to draw the line with cit. he guarantees the debt of so many other financials, the jp morgans, bank of americas. didn't extend to cit group. now i have been as big a critic of cit's management as anyone else out there. even going so far as to put jeffrey pete, his awful value destroying ceo on the wall of shame. but i have to tell you -- and
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i'm thrilled sector lent the money, so it didn't have to file bankruptcy this weekend, but i've got to admit to being totally confused about why the government decided that cit had to die when so many other banks, many just as bad, if not worse, have been saved. what did this lender do that the others didn't? why did cit need to be punished more than the others? all right, pete is a terrible ceo, but he wasn't any worse than c. dowd ritter. he's above this guy, in anything. and ken lewis. is he worse? i don't know. it's not like they did any nefarious activities, no black holder actives here. in fact, i've long praised them for having a level of transparency that no other financial offered, including, by the way, much business that was actually very solid and worth a
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great deal of money, a gigantic book of loans that were all current and good. when it comes to disclosure, cit has been a model of good behavior. plus, cit's clients, lots of small and medium-size businesses are some of the main creators of jobs in this country so letting it die could have done real damage to the economy. and in repeating our ability to create new jobs. i've got to tell you, it's a little frightening the government was willing to walk away from the $3.2 million in t.a.r.p. that it invested in cit not that long ago, that's taxpayer money, your money and my money, and we're letting it go down the drain? for what? what bothers me the most is all the fdic had to do was guarantee cit's debt just as its done for so many other lenders, crumby and otherwise, and our money wouldn't have been at risk. the taxpayer wouldn't have spend a cent to save cit beyond those guarantees, which i think would have turned out good, and cost less than the 3 bo$3 boin 2 min
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if they had failed this weekend. and this gets at the real core of the problem. maybe the government's behavior seems so capricious with cit, precisely because its death sentence wasn't a government decision at all. cit put in for guarantees from the fdic back in january. but sheila bair, the fdic chair, sat on the application. she provided no reason for doing so. we're miffed at that, outraged, frankly. basically, bair with this cit drop-dead decision made up her own mind about which companies should live and die, without any explanation for justification whatsoever. it doesn't get anymore capricious than that. i'm flabbergasted with what happened to cit, but i can tell you, i think it stinks. if the government thought the peak, ceo was reckless, just
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replace him. especially since cit's business directly impacted small business. and made them survive or thrive in this awful environment. and that is exactly what president obama's imperative right now for this economy. we need real explanations here. we need sheila bair to come back on the show, no softballs, answer why cit should not have been treated like virtually every other lender. of and instead got the shaft. does bair answer to no one, the president of the united states, whose book of brothers dominated cit's business? madam chair woman, you have a obligation to tell us why this got sixed. we need to know, because it doesn't make a wit of sense, and it makes us worry cit was left to die without an explanation,
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at the whim of a regulator who doesn't have to explain why a million little guys didn't get to help the jpmorgans and goldman sachses got, and they got every taxpayer break in the world. we have been big backers of bair in the past, but this time, something is just not right. and we welcome an explanation that draw a conclusion that smack of caprice, or just plain favoritism. "mad money" is back after the break. d#: 1-800-345-2550 "i'm rethinking everything... tdd#: 1-800-345-2550 including who i trust to look after my money."
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tdd#: 1-800-345-2550 tdd#: 1-800-345-2550 "the dust might be settling... tdd#: 1-800-345-2550 that's great, but i'm not." tdd#: 1-800-345-2550 tdd#: 1-800-345-2550 "i guess i'm just done with doing nothing, you know?" tdd#: 1-800-345-2550 tdd#: 1-800-345-2550 "oh, i'm not thinking about moving my money. tdd#: 1-800-345-2550 i am moving it."
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with the mr. clean magic eraser.
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two stocks tonight, only on secondaries. i like to say there is always a bull market somewhere, and i promise to find it for you here on "mad money." i'm jim cramer. see you tomorrow. please wait for the secondaries. next up on the kudlow report. stocks continue to boom. do you believe the leading indicators of economic recovery? why is president obama still bashing wall street? what will ben bernanke say? "the kudlow report", next. when a major hospital wanted to add on
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to their benefits package at no direct cost to the company, their very first word was... aflac! aflac! find out more at aflacforbusiness.com
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tonight on "the kudlow report," stocks roar on positive leading indicators the recession is ending, but what kind of recovery is on the way? it could be better than we think. and did you know that 81% of earnings reports are beating street estimates by roughly 15%? and why is president obama still bashing wall street? why does he continuously wage war on investors? take a listen to this. >> you had a wall street that took excessive risks, acted irresponsibly, and almost dragged the entire economy into a depression. >> all right. i don't know why you have to hear more of that. but here's another market-mover. what will fed head ben bernanke say tomorrow on capitol hill? what's the state of the mortgage market and consumer credit? we have an exclusive interview with the founder and ceo of lendingtree.com. fasten your seat belts, everybody. we like investments.
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of this is "the kudlow report," and we begin right now. > good evening, everyone, i'm larry kudlow. welcome back to the kudlow report, where we believe free market capitalism is the best path to prosperity. here is my keynote thought for tonight. for stocks in the economy, who do you trust? forward indicators, current indicators, maybe no indicators i don't understand if you say no indicators. but let me put some economics into today's booming stock market. the index of leading indicators rose for the third straight time in june. april and may were revised up. this is the first time in four years of three straight monthly increases, and it's reminiscent of recovery turning points in late 2001 and the summer of 1991. so what's this mean for stocks? well, it means profits can come from more prosperous top-line revenues in

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