plain vanilla banking to riskier actives the. ke head counts will continue to come down in some areas. and it will continue to become quite simply a lower margin business. the shadow banking sector, private equities and boutiques may benefit. though, overall, the financial crisis of 2008 created many ripple effects. perhaps the biggest, the continued assault on banks, where tight regulation, increasing costs of litigation, rule-making and a general poor view of the institutions from the populous will dictate corporate behavior. in the end, it will be the very first best in class that will have the greatest chance to do well in this new normal but not as well as before and they will have to make major adjustments to thrive under a different landscape. it's truly a new day for financial services. we'll see which banks make the adjustments. that will do it for us.

"fast money" begins right now. have a great night. i'll see you tomorrow. live from the nasdaq market site in new york city's times square, i'm melissa lee. smartphone wars, as apple, google and samsung duke it out. your best bet. the ceo of broadcome with the latest from the consumer electronics show. plus, boeing's nightmare. more bad news for the dreamliner. why you should be buying this dip. and ticking time bomb. is student debt the next big threat? we're taking a look at the potential fallout. but first, let's get straight to our top story, and that is the unofficial kick off to earnings season. alcoa on the rise after posting stronger than expected revenues. the epos coming in in line. aluminum demand growth they are forecasting at 7% and sold it higher than expected average prices, which was a huge benefit here. guy, what do you think --

>> it was fine. i wouldn't say it's fantastic. i wouldn't say it's a disaster. i would say it's a typical alcoa, pretty boring. i don't think klaus said anything that staggering. the stock performance speaks that. you have to remember, if you go back four years, alcoa's been a dead stock, anywhere between eight bucks and 11 bucks over the last four years. meandering here around nine. i don't see any reason to think that's going to change. i understand why it's important. it's the first, but to be honest, that's the only reason why it's important. the only reason i'd be bullish at any cost is i think 65% of analysts on the street are either hold or negative on the name which leads me to believe maybe there's some upside. but that's basically it. >> i'll play the other side of that. four years is the key here in terms of the time frame. in the past four years we probably haven't seen a better global economic environment when it comes to chinese demand. we have a pickup now in housing, in auto sales. maybe it's a different sort of environment for alcoa this time, keith. >> and this is going to be the

back and forth of earnings season. earnings are a lagging indicator. they are going to slow but growth is stabilizing globally and that's a big difference versus slowing. so, with alcoa, i agree with guy. better than bad is the point. we got to get to the financials. that's going to be the front end of earnings season which starts on friday with wells fargo. >> karen? >> alcoa is first. aa. coming up first in the book. other than that, i don't see it as a read through to much. >> harder this time around concerning we've got positive data from the automakers already and boeing is clouded with a whole other myriad of problems of its own. this is not necessarily a read through into the strength of the a a e r aerospace industry. back on december 18th, moody's put alcoa on a negative review with a positive downgrade to junk status. while aluminum prices have picked up by 3.9% per ton, maybe

that's not enough. >> well, i think what you really needed to see was some sort of stabilization. anything that sees some sort of growing or stable growth in china, i think, is obviously an area where you can start to think you might be a buyer here. look, this stock had a lot of bad news priced into it, as well. so, all of that -- all of the news about a potential downgrade on the credit side was baked into the equity price. i think we would be a better buyer of it at these levels. >> in terms of earnings season overall, j.j., which ones are you looking at this week? >> i think wells fargo is the one. it gives us a much truer picture of what's going on in the economy. at one time it was great to look at alcoa, but in terms of what's going on in the economy, those are the three industries that the united states is primarily made up of, sadly, however you feel about it, we're not necessarily a manufacturing economy anymore. so, alcoa has lost a lot of its

importance. i really think you can get a key as to what's going on with what wells fargo says, financials and housing. >> we talk about bio-tech all the time. one of the more interest egg, somewhat bio-tech stocks, monsanto. if you look at that release, they crushed. margins were better than 300 basis points. we talk about the name often. i want to say it printed 100, it probably didn't. within an eyelash of 100 bucks. people have gone against this on valuation, i understand that. i wouldn't say go racing into monsanto tomorrow, but i think this is a name that's been working for awhile. i think i will continue to work. i would love to see it pull back to the mid-90s, but that name should be on your radar. >> $99.99. good for you, guy. let's move on here. another 787 dreamliner grounded today. this time, a fuel lake in boston. it is the second incident in two days for a plane that is crucial to boeing's feature earnings.

can boeing bounce back and should you be buying the dip? joining us now is carter leak. carter, you cake out with a downgrade of the stock, i believe, yesterday? >> i did. >> yeah. so, why not buy the weakness here? so many of your, you know, counterparts at other firms are saying? >> that's been the bull case for quite some time and we just felt it was -- it's a gut feel where, you know, we had an incident where no one really knows the answer of what's going on and we feel it's far more concerning, given it was the electrical components of this airplane. we don't have the answers. sure enough, a few hours later, we had the fuel incident. our thesis is that boeing has really run out of mulligans, if you will, because of the frequency of the incidents. we feel like it's safer to sit and watch this out for a couple of months and make sure they have this under control. >> wings are pretty important,

and for airbus, a cracked wing on the a-380 a year ago that were found on singapore airlines and, you know, airbus came out of that okay. >> oh, i'm not saying -- listen, we've been long-term bums on bu we will continue to be on boeing. but this is a situation where we have experienced, having worked where there are always teething pains. but you know, the market does not like to view anything that has a fire related to it as a teething pain. and so, what concerns us the most is not what the exact issue is. but rather why the 787 systems aren't isolating, you know, to quarantine the problem and, you know, make this just a normal issue that precludes the aircraft from taking off, rather than exacerbating to either an emergency landing or in this case a fire. >> carter, it's karn. let me ask you. do these things happen all the

time that boeing is getting an excessive amount of attention to it or is this different than that and if you are a -- you're in a situation of purchasing, making big order, would you -- would this cause you to have some pause about a boeing purchase? >> good question. yes, they do happen all the time. and that's why this is difficult for boeing, because i am confident that we are going to have another incident with the 787. that's just the way airplanes work. the issue is, you know, do you want to be an owner of the stock in the next 30 days if that incident just happens to be, you know, electrical issue and worse an issue that may involve smoke in the aircraft. so, that's -- but airlines know this and so the airlines, i don't see any issue with recorders, i don't see issues with cancellations. i do see the possibility that current customers from, we've seen it before in the middle east, chinese customers and even indian customers, who really go beyond their contractual rights and balk and taking aircraft.

you normally have to take the aircraft regardless of these problems but that doesn't preclude customers from, you know, playing hard ball with boeing. >> all right, carter, thank you for your time. carter leake with a downgrade on boeing shares. is this, we asked this question here, is this the moment of fear you want to seize in this market and buy boeing? keith? >> i'm looking for any stock that can give me that kind of fear. planes break, they crash, these kinds of issue from a maintenance perspective are what you should expect for people that have never seen the beast before. this is a big stock, it's down 4%. we got an oversold signal. we bought it. >> the volumes were tremendous today, mike, and, you had noticed a reversal in terms of sentiment in the options pits today. >> i think when we first got that story about the fuel leak coming as quickly on the heels of the fire we had the prior day, opgs traders were taking advantage that the prices were low and making bearish bets. but actually right around the

bottom, under mid-day today, we started seeing people tiptoeing into the calls. and it started to ramp up very quickly and we saw big buyers of the february $77.50 calls. and at the end of the day on very heavy options volume. there were more calls traded than puts, actually. >> if you don't want to buy this stock in the face of the fear, there are other ways. >> yeah. and i think it comes in the form of precision cast parts. we mentioned monsanto, a stock that's been a monster, hoping you get a pull back. pcp, we've talked about that name countless times, that you're getting a pull back that you're hoping for in mon. i think this pull back -- i hate to use the word opportunity, but for lack of a better one, opportunity. >> all right, is the real winner of the smartphone warps a company that doesn't even make smartpho smartphones? coming up, how one economy is taking advantage for the battle of your money.

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the iphone is a big seller for us. as are many of the android devices, samsung galaxy s-3 is a big seller. the htc 1-x. and the windows phones, which are new for us, as well, the nokia lumia is doing very well. so, we have three great portfolios for customers. apple, android and now windows 8, which is a fantastic lineup

for our customers. >> that was the ceo of at&t last night on "fast money" talking about smartphone command. today, at&t announced the company had record sales of 10 million handcements in the fourth quarter. let's take on the smartphone wars from the chip makers. joinings now in a cnbc exclusive is scott mcgregor, ceo of bro c broadcom. scott, great to speak with you. >> great, melissa, good to be on the show. >> a lot of people think of you as an apple supplier, but you supply to all sorts of handsets out there. estimate out there that 13% of your rev nuchls in 2011 came from apple with about $4, $5 content in the iphone. and similar rash yoechls in the samsung galaxy. can you comment on that and given us an indication as to whether or not it matters if consumers buy the android or the iphone, from your perspective? >> melissa, broadcom makes the chips in most smartphones.

we've been able to create really competitive chips out there and they are widely used across the industry. we are delighted when people buy smart foens. it's good for us and givens us sales of our chips. >> so, you are basically agnostic at the bottom -- end of the day. >> we have a few favorites but we are mostly agnostic. we've done a good job working with the customers you mentioned, and so, we have pretty good share in both apple and samsung. >> i want to talk about your 5g hardware. there are reports that there was a 5g chip and you struck a deal with apple to use those chips in an iphone. i'm wondering if there's any truth to that. >> well, we let our customers announce their own products so i'm afraid i can't comment on that specific one. but we do see our 5g wifi chips taking off this year. we'll start to see those this quarter and the ramp will accelerate throughout the year. you'll see most of high end

smartphones carrying 5gv wifi. really gives you better performance. less battery usage. pretty much good in all counts. >> i see that your licenses hardware or arty texture from arm holdings. can you speak to that? is that going to be a driver going forward or more of a one off? >> we use arm processors in a variety of our products. good technology. we use a variety of others, as well. today we announced deepening of the relationship with arm and it's going to go into more of our products and today we announced set top box products that will include arm in it, as well. >> i want to go back to 5g hardware. it is inside lg's latest tvs and i'm wondering from your standpoint, is this going to be a game changer for the tv industry? is this going to be a reason for consumers to actually upgrade and buy a new television? >> melissa, at the ces show, there are absolutely beautiful

hvac sets. they're really beautiful. but the interesting question is, how do you get the content on them? and so, we do that both with wifi and we announced some set top box products today that will enable the new ultra hd beautiful tv sets that you're seeing now at ces. >> all right, and apple tv, in your view, is that any sort of a threat or is that going to be a place to get your hardware into? >> well, i can't comment on that specifically, but i think broadcom's done a good job of working with the major players in the industry and i think anything that gets people more excited about video and more excited about using more band width, that's good for broadcom. we do a lot of the plumbing of the internet that driving the bandwidth that provides capability for the devices. >> scott, thank you for your time. >> thank you. >> scott mcgregor. lots to trade here. >> broadcom shouldn't be as volatile of a stock that it is

but here's a stock that made its 52-week high in march of last year and since then it's had some pretty wild fluctuations and valuation is not rich on this stock. and candidly, given where it is trading -- >> sorry -- >> breaking news -- >> we have breaking news. dish net work is buying clearwire for $3.30 a share. clearwire shales, clwr, still halted right now, we are looking for that stock to reopen at some point, as soon as we have the first trade, we'll bring it to you. dish, to acquire clearwire, for $3.30 a share. and just taking a look at clearwire right now, yeah. all right. so -- >> trading over that? >> no. it's halted. it is halted. it's halted. so, we'll get back to that. sorry to interrupt -- >> tie a ribbon. i think initiated with a $40 price target. i'm in the belief, you can take a shot at broadcom here. valuation is interesting. report at the end of the month, so, yeah, i think broadcom is a play here. >> do you think it's very

volatile because it is perceived as an apple supplier? >> yes. and -- no question. it's funny because qualcomm, if you look at the last time qualcomm sold off hard, it sort of mirrored what was going on in apple. people use qualcomm as a approximatproxy to short apple. >> j.j.? >> i agree with guy 100%. the reason i like broadcom, similar to what you say, what i really look, if you look at the ces show right now, considered, again, the most exciting show in terms of electronics, they're announcing a lot of things there. they're trying to expand their business away so that they're not just associated with apple anymore. it is very difficult for them to do. but i think t if they do succeed, if that team can succeed in getting them so they're not just an apple play, that this stock has a lot of good upside and i do think you'll see the volatility start to decrease as this happens. >> all right, let's hit pops and drops, movers you might have missed today. pop here for monsanto.

j.j.? >> all right, guy brought this up earlier. great move earlier today. earnings were triple what they were year over year last year. primarily through a lot of sales to south america and grow iing price -- they can charge more for their herbicide. >> drop for u.s. steel. keith? >> i wouldn't make a big deal out of it. pretty good. >> yum brands, a drop. >> a lot of the chinese news that was positive is becoming negative. if you believe in the broader tape, it's an interesting time now, but my sense is, you're going to get another down day tomorrow. >> drop for jcp. karen? >> jcp is going to be considered the worst of the bunch. i'm short, staying short. >> mike, a drop for bank of america. >> they announced an enormous settlement yesterday with fannie mae, about $3.6 billion of that

in cash and $6 billion in buy backs. the other thing they are announcing today, they are selling the servicing rights on $300 billion in morlgtgages. the stock just looks like it might be a little bit overbought to me. >> and we have a pop here for us. yes, us. today makes another milestone for "fast money." the anniversary of our first broadcast right here. for six years, we have been in our times square home analyzing all the markets, big moves and giving your best trades and we look forward to many, many more years to come. and a special shout you to john malloy who was here from the very start and guy, one of the original traders. >> six years. you know, your four-year anniversary is coming up in march. it's been a great six years, hope weapon get another six. >> time has flown. absolutely. all right, it is one of the longest running hedge fund saga, but now thwill the story take t

turn in the right direction? our positions coming up. and if you are hiing about hitting the buy button, you may want to hear what keith is going to reveal, three big risks in the market that should be on your radar right now. stay tuned. she's still the one for you -

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welcome back to "fast money." we're looking at shares of seagate technology. this is a maker of hard drives. the company is providing some revenue guidance, as well as gross margin guy dense. revenue for the fiscal second quarter ahead of earlier expectations, now seen at $3.6 billion, ahead of the $3.53 expected. gross margins for the quarter are expected to be at the low end of its previous guidance, 27%. earlier it projected gross margins of 27% to 32%. however, the company which has struggled with market share, it's been losing it, says it stabilized during the last quarter. stock getting a pop in the afterhours session. melissa? >> thank you, mary. this is one of the stocks that had been left for dead, thinking it would be the death of the hard drive because of the cloud.

when actually, you need hard drives. >> the stock's actually now performed -- i wouldn't go racing -- i know the stock is up here. i wouldn't go racing into this thing. i would wait because the tape looks a little squishy here. but both seagate and western digital have been interesting performers. >> let's go back to this clearwire story that we brought to you. clearwire shares halted. it has gotten an unsolicited proposal from dish net work for $3.30 a share. mike, you've been looking at the options activity, which has been unusual here? >> it's interesting. this is a stock that's all but left for dead. there was some activity in the two-strike calls today. i think this is kind of interesting for them to step in here. we know that dish, you know, the broadband story, fairly interesting. i think the $3.30 bid looks come peopling. this is a company that hemorrhages cash. if you asked us about this stock about 2 1/2 hours ago, probably wouldn't have had a good thing to say about it.

>> $3.30 is ten cents shy of its 52-week high here, karen. what is your prediction? >> well, i don't know that it's about the hemorrhaging cash, i think it's about the assets and i think that sprint, you have to wonder, is sprint going to come back? i think sprint wouldn't be delighted by that. it's a pretty big deal for them. they already have a pretty indebted balance sheet, so, i think sprint trades down on this, clearwire, obviously, trades up and dish trades up a little on it. >> we are watching sprint shares. i don't know what the volume is like, a little bit light but it is trading lower here as we await the first trade since the announcement of this potential deal on shares of clearwire. but also, you know, into this mix of soft bank and what does it do at this point? >> and you guys, meaning you and david, you do an unbelievable job in this space. i'm with karen, sprint is going to sell. but sprint has been a monster now since the middle of the summer. and my sense is, again, we talked about this before, you've seen fits -- fits and starts in

the stock a number of times and each time, for the last six months or so, if you bought it, if you closed your eyes and bought it, it's been an opportunity. you are in for a similar move now. >> let's move on for now. any updates on this story, we will bring this to you. sears down big today after it was announced that ed lam pert will take over as ceo. sears financial performance has been weak since he engineered the merger between sears and kmart. is there any exit at this point for -- not that he wants to exit, but you own 56% of something and it's kind of hard to even think about that. if you wanted to. >> i don't think he can get out of this. correct me if i'm wrong, but he's stuck in it. the stock's gone from $80 to $40 and still the same asset base. maybe he's got a super secret plan. it wasn't evident to the market today. the stock looked like hell. >> and one of the things i add

to that, if you look at the performance over the last two months, it's been getting beaten up day after day. you look at that chart, everything that's going on in the economy, there is no reason to pick a bottom on this stock at all. not at this point. >> karen? >> i think also you can't be short it because of his owning so much, you can end up being squeezed. i just wonder, the money that's invested in the funds, does that ever have an exit and if so, when and how does that happen? >> or what happens to the other positions that he holds in his portfolio and does he have to liquidate those positions because he can't liquidate the saerms position. >> and is he left to personally owning sears? i don't know how it works. >> the hedge fund business is now taking over very low quality as sets and still not proven that they can do something productive with the assets. again, maybe the smartest man on earth in this case, but maybe not. >> mike, lay us out the options action in sears. >> okay, yeah, it's interesting here. sears, the options activity was not bullish on this news at all. we were actually seeing buyers

of the 39 puts that expire this friday. so, just four days away. they were paying an average of just over 50 cents for those. the stock was trading $40.50, but it actually traded lower throughout the session. but these are bets that the stock is going to trade below $38.50 by friday at the close. >> all right, let's move on here. target putting a bullseye on amazon, announcing it will match the lowellest prices online all year long. so, does it make sense for amazon to strike back with more brick and mortar stores? and guy has an interesting take on what they might do. >> now, i'm going to defend myself -- finerman -- >> that bad, huh? >> she's right to do so. >> loony tunes prediction here? >> you have to throw them out every once in away. when you're talking about a $2 stock where it's become buy their. it's going to zero or somebody buys them. they never mentioned radioshack, but they did mention the brick

and mortar thing. that's been around for a year. maybe they will sell their kindle somewhere. why not look at a radioshack? candidly, they could gobble these guys up very easily. it provides them with the brick and more or the they're looking for. tremendous short interest in the stock for you people playing our home game. and it's just worth a look. now, i'm not saying it's going to happen. i'm not saying amazon's considered it, but the first thing i thought of, radioshack. >> it's $224 million, so, it is a rounding error for an amazon, but still, do you want to -- depends if they have good real estate then. >> the they have those tiny little -- the whole thing is just beyond absurd. >> that's what i thought -- >> two things about amazon. the valuation is ridiculous and, god, if they just owned rad radioshack, that would complete the whole story. that's what's been missing here. guy sees it. >> he wanted -- he's sending

people to the moon, too. he doesn't see a lot of things. >> you got to be out of your mind. why would they -- >> we threw it around this morning, it makes for a good thing in the middle of the show. fiction. i say fiction, too. >> now you say fiction? >> no, i never said fact. i said it's harebrained but i thought of it. but look. radioshack for a trade here is not ridiculous. with the short interest radioshack had, buy their trade. zero or five. >> i love the fact that we have that on tape. it's harebrained and i thought of it. exactly. that's the problem. >> that's what makes the show fun. >> all right. >> it is a trillion dollar ticking time bomb that could be the biggest threat to america's economy. coming up next, breaking down the numbers on student loans and taking stock of just how serious the consequences of this crisis could be. stick with us. [ indistinct shouting ]

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welcome back to "fast." we are live here in times square.

stocks end of the day basically flat but shares of coach topping the rally at 3% and keith, you were a seller here. >> yeah, today there was a rally in the group. there's a difference between the group and the stock. there's a good opportunity into icr, a big retail conference coming up. coach just doesn't have a good setup this year. it has tough comparisons on the top line. it has peak margins, 32% margins, really tough to do, in particular when the competitive set are doing well. if you want to buy something that's cheap there, there's fifth and pacific that owns kate spade. so, there's a lot of ways to get into this sector to edge yourself while you short it coach which i did today. >> that's a good call. we own fifth and pacific. i live it for the kate spade, obviously one of the big drivers there. hopefully this coach move bodes well for them. >> and fifth and pacific was the former -- >> the former liz claiborne, it's what's left. it's lucky, juicy and kate

spade. >> as battles rage over the $16 trillion debt ceiling, another crisis is looming. nearly one fifth u.s. households have student debt, and even wall street's heavy hitters are worried. in a recent presentation, they showed this chart highlighting the surge in delinquent student loans. let's take a deeper dive into this crisis with the ceo of sofi. mike, great to have you with us. >> thanks for having me. >> before we get to your business model, we want to get a handle on what this problem is. you hear about debt and you hear about delynn kwen sips going higher, which they are in the case of student debt. who holds the bag at this point? >> well, student loans are a little bit different than non-conforming mortgages. in this particular circumstance, most of the paper that's out there is guaranteed by the government or issued directly by the government. so, consequently, you don't have

the same exposure to levered financial institutions that you had with the mortgage situation. the government is on the hook. it's not unforeseeable to see the number to be wracked up and that has to come from the taxpayer. so, the government is in a very untenable situation, where they are on the hook for this in a situation where they are already dealing with a shortage in tax revenue and the necessary conditions to cut spending. >> all right. it's not only jeff raising attention to this issue. it has been david rosenberg who actually called this problem a ticking time bomb. in your view, is this a ticking time bomb and if so, when does this thing go off? when do we get signals that there's distress and the government is on the hook? >> sure, and again, it's a different kind of time bomb in the sense that it's not going to effect the levered financial institutions and the broader market. it's an issue of how the government is going to finance this. and the thing about student loans is, both private and

federal loans are nondischargeable in bankruptcy. the government has a phenomenal collection rate but that can take a series of time to realize the dollars. so, what we're looking at is a circumstance that over the next several years, the government could have a $200 billion shortfall to fill. the question is, where are they going to get that revenue from? >> it's karen. let me ask you, so, you have an interesting concept of getting a new lender into the market. but do you think that the government, because of how much exposure they potentially have here already, will pull back and no longer be willing to do student loans? >> i think there's a couple of different outcomes. i think one is, the government will be forced to drive more of a market rate pricing for student loans. the challenge they have right now is, they originate about $90 billion in loans a year. the bulk of which are heavily subsidized to borrowers. and i think that one thing that

could come out of this is a government would be forced to adopt more of a market-based pricing. the other thing is, they could start putting accountability to the schools. one of the big challenges in the space right now is, the schools have no resource to the ability of their students to pay debt. so, they enroll students, students pay tuition, the schools get paid that money. the students graduate and no longer can pay that debt and default, there's no resource or accountability back to the school. i think by putting that into play, that could address some of the problems here. >> mike, thank you for your time. hope to see you back here sometime soon. >> appreciate it. thank you. >> all right, in terms of a problem. i mean, it's a problem for many americans who are facing these huge tuition bills that get bigger and bigger every year. but in terms of the economy, keith, what do you say? >> what do i do with that? what we know is that the government is going to bail everyone out. if there's a big issue, particularly with students, i have a belief that obama is going to find a way to bail that out. if you want to short this -- people have been trying to short

sally mae forever. the rock just keeps coming down and down and down on your head. it's a real tough one to monetize. i can't make money on it. >> i -- can you make money by shorting the for profit education, if, in fact, they have some accountability in the future? that doesn't seem like a crazy thought, that, you know, you sell these degrees, maybe they should be worth something. >> right. maybe should be able to get a job and pay the loan back. >> i know -- >> that's crazy. >> let's just say that were to happen. that's interesting. >> as a parent of two college students right now, i can tell you, maybe one of the things they should do is just cut the crazy increase in spending on some of the universities. that's completely -- >> that's a silly idea. >> one of the things i would say is, start to look at alcohol stocks, really, kids can't afford to go buy as expensive a beer. >> let's hit jane wells with a look at what's coming up next. jane? >> melissa, we're going to talk about the coolest things at ces.

and the hottest thing as the bcs game last night, when we come back after the break. what are you doing?

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from mobile devices to medical marijuana, we've got you covered in the west coast wrap. jane wells joins us now. jane? >> me list is a, ces in vegas, bigger than ever. getting a lot of positive buzz. samsung with a smart tv, where you motion with your remote to sweep through pages, showing what's on now. look, even your hand, what's on later, what's online, get to the apps. samsung has an hd tv that measures nine feet across. no price. and can't agree on what to watch? there's a tv which plays two hd programs on one screen with two sets of headphones separating the audio. melissa, you will never have to argue over what to watch. >> guy, we were talking about 5g tvs -- >> my favorite. >> they are out, as well. i can't get on board with a tv that's bigger than a person. >> that would fit in your place. >> too big. >> you're going to need a man

man cave for that. >> the najarian brothers have one of them. best guy is -- and, you know, we've been on air now six years, for the last two of them, we've warned people against being long best buy and it had another miserable day today. you want to play this stock, here is the way to do it. january 11th, they report holiday sales. hope by some miracle they say something good and the stock rallies and get short into it. how do you like them apples? >> not bad apples. i can't believe avn is not during the sarm week. that's been a tradition. >> the geeks would hang around. a good time for everybody. but -- >> did they move it to the week of the salt conference? >> go on. >> just moved it a week away. maybe because disney folks are here. we talk about toys at ces. we mean it this time. disney is getting good reviews for dream play. an app that lets your tablet or smart phone camera when pointed at a dream play toy activate animated images on screen. it appears like they are

happening in real life. creating this unusual magical experience. the software is coming from patrick soon-shiong. >> that is the richest individual in los angeles, i understand. interesting. >> yes, he is. and he made a run at the dodge earls, he bought magic out of the lakers, he'd like to be involved in aeg, but now he's paired with disney. >> wow. karen, disney krad? >> you know, disney, i like to buy it below $50 but if you can't, it's good to own here. they've just, i mean, it's a collection of world class properties that you can't recreate. >> jane? >> finally, that thing called a football game last night brought disney's espn better ratings than a year ago, maybe because they kept showing a.j. mccarron's girlfriend, former beauty queen katherine webb. this is my favorite part of the game. 73-year-old brent mustburger said things like, what a beautiful woman. whoa! which, she is.

but he sounded pervy saying it. people like me kept watching the lopsided game just to see if must beburger might end his car. espn apologized, saying, brent went too far and understands that. but that left kirk herbstreit off the hook, he was saying things, too. >> was there drool involved? >> here's the difference, melissa. women can talk that way about men. men on tv have to act like they're the dad. they can't -- it's nothing anything wrong, but it's just crazy. >> he is a few years older. >> old guys can't do that. >> that makings it extra pervy. >> let's try right now. >> you want to try? go ahead, i dare you. >> jane wells, totally hot. love jane wells. folks playing at home, get in the tv business. >> you're not old and pervy. you are just -- >> love him. >> of course.

>> all right. jane, thank you. >> all right, now, this is getting gross. >> yes. i'm done. >> yeah, we're done with that, right? >> good-bye. >> thanks, jane. >> you're welcome. >> highest compliment tonight. you're not old and pervy, guy. >> no, i'm not. i'm young and something. >> not pervy. all right, home builders off to a hot start. is there still room to get in? we will held to the twitter sphere next. pizza! [ garth ] olaf's small business earns 2% cash back on every purchase, every day! helium delivery. put it on my spark card! [ pop! ] [ garth ] why settle for less? great businesses deserve great rewards! awesome!!! [ male announcer ] the spark business card from capital one. choose unlimited rewards with 2% cash back or double miles on every purchase, every day!

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guy's favorite song. >> love this. ace of base. you didn't know that i knew that, wise guy. >> i didn't think you knew anything beyond 1975. >> see that? i surprised you. >> anyway. one of the top three risks to the market right now. keith is taking a look at the global macro environment. >> looking at the first one is earnings. second one is oil. and the third one is the japanese yen. but the first one works both ways. earnings could surprise you on the upside and downside. remember, this is the worst quarter since 2006. 74% of companies missed the top line. so, again, watch for that.

number two, on oil, anything $115 to $120, that will slow consumer spending. and third, the least talked about major risk is the japanese yen. you have this guy, taro aso, ripping his country is new one with the country on fire. >> a new -- >> e-mails to you, melissa. >> he imflipped it. >> the man's name is taro aso. >> that's his name. >> when you do this to your countrymen, again, and these central planners have done this routinely, they burn their currency, they look for exports, they get nothing other than bigger problems and that's the risk. >> all right. let's get to seema mody, who has been tracking what's trending on twitter and housing has been. >> no secret we are seeing a recovery in the housing sector. home builders have been moving high e

higher. here's what you may not know when you are tracking the buzz online. toll brotherers is seeing a lot of traders chatting about this stock. bill pointing out that its chart is looking up. and up more than 50% in 2012. j.j., is it time to book profits or can it run higher? >> i think it can. if you think we are in a recovery stage, they tend to play to a higher end. they should be one that recoverers before some of their competitors in the space. i think right here, you can look for it to go at $37.25, which is its 52-week high. >> okay. onto our next housing play that is trending right now. restoration hardware. first, i am lock the stock. market cap could make it a likely takeover target. it's made small correction the last few days, however, the stock has gained more than 30% since its ipo-ed in november. keith? >> i think you buy it but you don't buy it for takeout. for god sakes, they just came back to the public market. this is one of the few companies

that has 20% top line growth that not everybody in their brother owns relative to housing. so, again, a good idea. >> okay. got it. >> all right, seema, thank you so much. seema mody. we should note, by the way, we are still watching shares of clearwire. dish issued a statement, confirmed that it approached clearwire and it looks forward to working with clearwire's special committee. so, we'll keep you posted on that in the afterhours session. we should nose that crest financial was an investor group in clearwire. they bought additional shares and own 8% of the company to block the deal with sprint. they look like the winner so far in the deal is accepted, $3.30 a share. a story we continue to watch. coming up on "mad money," first up, the ceo of regeneron and the ceo of boigen idec. that's coming up on "mad money"

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