bell." thanks so much for being with us. i'll see you tomorrow in new york. "fast money" begins right now. in new york city's time square, i'm melissa lee, here's what "fast" following. the one chart watcher sees a market divider. he'll explain why that could be a huge warning sign for stocks. cable unplugged. the media companies have been huge winners, can the momentum continue as more people cut the cord? a top money manager separates the winners from the losers. how hollywood heavy hitters are pushing one money center to record profits. the ceo shares his company's celebrity studded secrets for success. we're tackling all the post game analysis and setting up for dan nathan, guy adami and mike khou. apple wowing the street with the record debt deal aimed at raising capital to fund the

company's plan to return $100 billion to shareholders. here's what blackstone's ceo said about apple's debt deal. >> we have an audio issue there. but he says more companies should look into that because you can borrow at low rates. >> microsoft did it a month -- a week earlier. and these guys are also someone that's considered to have a huge amount of cash. some of it offshore, maybe they don't want to repatriate it but paying a big dividend. the hunt for a yield, the starvation for a yield continues. in fact, it gets worse. why not? >> the question i want to pose to you guys, though, is in terms of this bond, does this mark some sort of a bottom for this stock? back -- the last time apple did a big debt issuance was 1996. and that was at a time when everybody said apple would be left for dead. there's no products coming out. one year later, steve jobs comes back, the stock skyrockets.

>> i think it's a very different story. >> well, obviously, he's not. >> right. sorry. the sentiment turned on a dime here. the stock's up 15% off of those lows prior to earnings. they're doing the financial engineering that investors, big investors wanted to see. so here they're getting paid back here and there's a certain sense of stability. let's remember here, $100 billion, you know, between chair repurchases and dividends over the next three years, that does put some sort of floor in the stock. to me, now at some point very soon, you're going to have to focus on fundamentals again and they're not good. >> i think apple is the story of this market here. i've been bearish, well documented bearish on the market. but what apple's doing is what every other company is doing and you look at what happened today with awful economic news and the market just did not respond to the economy at all. it is ponzi finance in the type of finance where you're just taking out debt to pay back the people you just borrowed money from. but that can go on for a long time. >> and it has gone on again and again and again with these

companies going to the market. >> there's nothing ponzi about that. here's a company whose capital structure is wrong. i think this is a case where these guys needed to come forward and do something. and look, we're out of time. look, they were downgraded today. bringing in a global bond yield at 6%. this is crazy. if it's apple we're talking about 30, 40, 50 basis points over u.s. treasuries. this is something thinvestors wt to pay for. if you're talking about this is one big fed engineered ponzi scheme -- i'm saying people are concerned about the credit worthiness of sovereign governments here. >> what i meant by that was what they're doing is borrowing money from hedge funds on the debt deal and then the hedge funds are then buying back the stock and hedge funds and mutual funds and everybody is buying the stock, it's getting bought back from them and they are getting paid a dividend so they're getting paid back, it's kind of a circular motion, what minski would call a ponzi finance, but

not ponzi scheme. >> at the end of the day -- at the end of the day, what happens with the stock? >> it's in a defined down trend since topping out in september at 703. i think that down trend is still intact. as i said last night, i think a close around or above 450 for a couple of days then puts us in a level where maybe that down trend is broken and maybe it's free to go back towards $500. i think to dan's point, i don't think the company's changed. i think it has the same hurdles it did before, it just dampens the volatility. >> yes. curious what the options market is pricing in for apple at this point. >> yeah, i think sort of to dan's point, this was a stock that actually priced in much more volatility than a company with so little leverage as this one did for quite a long time. that expectation does, interestingly enough, seem to be mitigating a little bit because they're adding a little bit of leverage with a debt deal like this. if everybody is hunting for

yield and the argument is that rates are too low, then companies should obviously be looking at their balance sheet and trying to make sure they're implementing leverage when it makes financial sense and it absolutely does here. the enterprise value, so if you take all of the financial engineering out still about $270 billion. will that innovation justify that? >> let's bring in the senior vice president of credit sales and trading at new edge with more on what this debt could mean for shareholders. let's talk about this issuance. it is actually 2.45%. >> that's right. >> so it's lower? >> well, it's a little bit like '07 in the sense we're on pace right now for $900 billion.

with so much qe. there's a little bit of an invisible bond floor. it bounced off that yield and now up four. so apple's got more growth in intel, so somewhere below us, there's some type of a fixed income bond floor that's forming. >> when anybody mentions '07 it obviously harkens back to what would wind up being some very scary times. are you suggesting that we're sort of set up in a similar way market wise? >> well, in '07, you had really the peak of lower interest rates in the united states right before they finally raised rates in 2008, so you had the same psychology, people didn't feel like they had much in the bank in terms of yield. what's amazing about this year, the amount of companies coming

to the market and locking in those lower returns. i commend apple for doing it. >>. >> in terms of the size of this deal, i heard there's over $40 billion in demand. when you have this kind of extra demand, you don't often upsize an equity deal. i think some people felt like the more demand they had, the more shareholders got back. can you speak at all to at least in terms of where you are hearing from the bankers or from the street in terms of how big this deal could've gotten? and do you think 17 was the right place to stop if, in fact, the demand was a lot higher? >> well, if you think about it in the last -- since greece, spain, italy and all of these investment grade credits have dropped out of the aaa, aa ranks. in the world, the amount of paper on the planet earth that is aa plus or better down 60% from lehman. so companies like apple are coming to the market with this amazing strength. they're dealing from strength, there's not enough high-quality paper out there and they're just completely taking advantage of

it. look at microsoft too. they came last week again with a deal. what's interesting about that, the market had sniffed it out so microsoft issued paper slightly higher yield than they did in november. my point is over the next couple of weeks, maybe this is such a big deal that it maybe is taking a little bit of fire power away from the investment new issue market. >> at this point, larry, does this bond offering mark a bottom in the stock? are we going to look back and say, you know what? we've seen the lows. >> well, technically, as guy's pointed out. i listen to guy all the time on the technicals. it's in a bad spot, had seven different bear market rallies of 10 to 15%. so it's probably going to retest not the lows, but a little bit above it. but i think, you know, the stock in the short-term, it's made a heck of a move. up 15%. i think technically it's got retest coming. but i think net net, the lows are in. >> the lows are in. all right, larry. great to see you. thanks for stopping by.

larry mcdonnell of new edge. >> at 443, 435, you had a significant barrier to it. dan talked about the sentiment how quickly it turned on a dime. but sentiment on the way downturned on a dime. interesting, i follow a lot of people out in eastern europe and russia. one of the richest men in russia these days who is a major player in early facebook who is a guy who has a digital online incubator business, bought $100 million stake in apple. and they think that institutions and the smart money actually may be getting back in. and it's all about momentum, i think, in this name. >> well, i would say the easy money on the sentiment side might have been made. you think about the market share, it's down 6% from 23% last year at this time to 17% and some people suggest it's going to be as low as 12% last quarter. i think you will see a retest of the lows put in last week.

>> got to head to break here. but let's get a check on after hours movers. dream works up more than 7% on a q-1 earnings, blowing past both the top and bottom line estimates and reported earnings per share of 7 cents versus losing 3 cents as the street had expected. and take a look at interactive now trading lower, down more than about 4.5% here. missing on revenues, beat on the bottom line, search and media revenues coming in much lighter than expected. also, take a look at leap wireless. posting a year-on-year decline. whether to pull the plug on cable stocks ahead of earnings. and he's the guy schwarzenegger has gone to for investment advice. what he's telling his celebrity clients right now. first, sell in may, we go behind a possible disparity in the charts. what the charts are telling us about where stocks are going next. much more "fast" straight ahead. (announcer) scottrade knows our clients trade

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welcome back to "fast money," i'm bertha coombs. a rough day for nuance. reporting worse than expected

earnings, down 18% on the day. then this afternoon getting news that carl icahn already with a 9.25% stake has upped that stake buying stock today, his icahn partners master fund buying over 10 1/2 million shares, raising the stake now to 10.7%, putting him just behind pinkas. among the things they've talked about today was that they were authorizing a $500 million share buyback. if they're nervous about carl icahn's stake growing, hopefully bought some of those shares today. >> thank you so much, bertha coombs. are they saying to sell in may and go away? let's check the charts. now, carter, you flagged this a couple weeks ago. your concern that the market was divided. there's a bifurcation going on. >> it goes to the fundamentals at the end of the day. when people are crowding into one area and abandoning another, you get to these spreads where it's not sustainable. but it's the circumstance, the

mindset that gets you there is the reason it ends badly. what i have here is four of the 10 sectors comprised in the s&p, two safe areas, health care and staples juxtaposed against energy and materials. the thought is it will be resolved where people take profits into this and rotate into this group. each is getting more expensive. these are low-growth companies and what's happening, actually, the price moves the denominators not. and these while the price is going down, the denominator's collapsing faster. at a point where both extremes are getting more expensive. >> right. >> and that ends very badly more often than not. >> where does technology fall in this? >> and technology, interestingly is skewed by a few big names. you can put in addition to other parts of the market, utilities could be up here and technology is also getting that kind of spread. the fact that it's a fear-based kind of thing. pension plans, crowding into what they believe is safe and this is the real story. is europe okay? are we okay? and this speaks the technology,

materials, industrials, energy, is china okay? there's a problem with this end of the market and this end's expensive and getting worse. >> taking a look at this chart and seeing these, do you believe that sell in may is, in fact, a thesis for this market this year? >> well, what's interesting is obviously seasonally that's quite good over time, about 100 years worth, also the last four years specifically. but this may is in many ways worse in terms of the bifurcation we've had at any point since the march '09 lows. >> which means what? >> it'll be worse than a normal correction. the last time we had it all reversed, energy materials up at the high in '07 and consumer and financials were down at the low. but typically ends with a strong one succumbing but the weak ones staying weak. >> may being tomorrow. >> that's right. i've got two here. one is on the long side and, of course, one is on the short side. on the long side, i have stanley black & decker, and there's a lot of authority to the 75 level, and the stock has been at that level for the better part of three years.

and to underperform the market like this as the market's gone higher since '11, a series of high or low, high or low. breakouts occur from this kind of set-up and we think it's quite well-positioned to do just that breakout. >> the other one is a pet smart. >> in this case, it's quite the opposite, you're talking about a stock that's been a great, great winner that's up seven fold off the low. it's moved from 10 to about 70. and what you have here from the '09 low is something that has all the hallmarks of a big topping out and rolling over kind of situation. >> brian kelly? >> that's me. >> you've got your bear suit on. >> i do. >> you heard what carter said about the bifurcation and what that may mean in may. >> yeah, well, i hope he's correct. i'm still short. there's a lot of indicators out there that try to capture this phenomenon where you have -- you have, you know, 52-week highs and 52-week lows at ratios of each other. you know, i think the most famous one is the hindenberg

omen. so what it does show is there's confusion about what's going on in the markets and the economy and based on the data and materials being lower, clearly the economy is decelerating. the question is, do people get shaken out of these bond proxy positions which i would say are the health care names. >> tim? >> well, i think if you look at, you know, tomorrow's may day, by the way, which is translated as a distress signal. and most of the markets are going to be closed tomorrow. the fed's coming in here and i think it's going to happen on a day with zero volume in the market. and ultimately i'd ask carter, which are the places more vulnerable to a low-volume move. you know, you've seen a lot of these markets make higher highs on very low volume. i look at the russell. carter, can you speak to that? because that's a little concerning. >> there is no volume. people are not participating. speaking of the russell, here's

a days where you are far above trend, as well. more like some of the extended parts of the market. yet, if you look at the decelerati deceleration, it's getting worse and worse, quote it's getting more and more expensive. these divergences are happening all over the place. you can look at them for the stock market, copper versus the s&p. typically when started creasing and creasing, it's a sign of trouble, of a turn. it's been a great four-year run. this is typically where things happen, start to go wrong. >> all right. carter, thanks for coming by. appreciate it. that's it, pops and drops, big movers of the day. the pop for avon up 4%. >> good things happening here. at least back on the rails, they're not growing, but cutting losses, selling off businesses in ireland. a company that people believe in again and the avon lady is brazilian, argentine. i like the company, we own it. >> pop for deutsche bank.

up 5%. >> a company underperforming the u.s. peers, reported q-1 yesterday, announced a big capital raise, they sold $4 billion worth of stock today to help raise those capital ratios. the stock is capping a two-day 11% run here. i think investors are thinking that capital raise puts them a little above for the next mini crisis here. >> pop here for best buy. up 7%. mike? >> they're divesting themselves from their mobile business in europe. they sold the 50% stake they had for about $775 million u.s. to car phone warehouse. it's good to see them focusing on their problems in the u.s. and they do have problems because, of course, they're looking at about four consecutive years of eps declines and if revenue forecasts there too. so i still think the stock is a little bit of trouble despite the upgrade today. >> pbi was down 15%, beakers. >> e we know that the post office is having problems, how bk did not short this going into earnings, this is a company that sells mail stamp machines.

it's amazing, it sickens me i didn't do it. stay away from this. >> is that mail, m-a-l-e? >> it is. it is. >> drop for jc penney. >> it was like a goat or something. down 4%, guy? >> this morning, i was at pilates, my instructor -- >> pilates, she kicked your, you know what. >> she kicked my rear end. >> speaking of mail, pilates. put that and pilates in the same sentence. >> go on, continue. continue. >> right? >> i don't know there's no reason i could ascertain the movement lower. i think the company's broken, i don't think the stock is. i think you buy jc penney on this dip. >> pop here for tornado week in an effort to whip up enthusiasm for the week of twister themed television, the weather channel subjecting the interns to tropical force gusts and putting the whole thing live online. the network promises to boost a wind for every mention on

twitter, eventually getti intin tornado spins. taking twitter by storm. >> fantastic. >> that's amazing. >> poor interns. >> i don't think that's real. >> question the integrity. >> they don't look like they're blown around enough. >> well, you've got to mention them. >> you've got to mention them. >> i'm going to tweet that out. >> tweet that out tonight. >> i don't think that's real. coming up, time to declare the end of fundamental investing, the unusual project giving one nba student the grand prize in an institutional investor competition. first an earnings page turner. squaring off over facebook's real potential that street fight is straight ahead. [ male announcer ] at charles schwab, we've committed to setting the bar high

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facebook's heading into earnings tomorrow on the upswing. shares rising nearly 7% over just the past five sessions. the stock kicking off, a street fight here. tim is our facebook bull, beaks is the bear, surprise, surprise. you both have a total of 90 seconds to make your case. tim, kick it off. >> i've said the same thing. people are wondering how they're going to monetize this business. first quarter added revenues up 45% and 25% to 30% of that coming from mobile. they're stealing as much market share as any of the big boys people say they can't compete against. today breaks through the 50, this is a stock that the last time broke through the 50 on the upside, we were back in november when the stock moved from 19 to 32 over the course of six or seven weeks. this stock is making a move higher. they are finding new ways to monetize their business. they have other forms of revenue coming online in terms of video. a company that at least at this point has momentum on its side. >> bear, go ahead. knock them down. >> i'm going to go with yogi

bear on this way saying the place is so crowded, no one goes there anymore. the reason why you bought the stock was because you think mark zuckerberg is going to be the next steve jobs. he proved he's not as creative. they have not come out with any new products, anything that would draw new users in there that is really going to generate the type of revenue that they're going to need. so for me, unless they come up with something new, unless all of a sudden facebook's cool again, it's going the way of myspace. >> they're taking the existing product and finding a way to make money. i don't know how you argue with 45% ad revenue growth, but that's something that a lot of the other guys would like to see. >> they'd like to see but then everybody else can take it away. at one point in time, yahoo was growing. look what they were doing over the last five years. google's growing, as well. >> their revenue is slowing down. the wind's at their back. until they stop growing, this is a story that people underestimated.

>> oh. >> dan nathan, get in here, weigh in. >> here's the thing, market actually has very high expectations for this quarter. they're expecting an 8.5% move either way. i think this stock is going to remain range bound because both of those guys made very good points. but i agree with bk, i do not think that they're going to be able to grow revenues and earnings to justify the valuation. and it is such a crowded trade. there's 1.75 trillion shares in this thing. >> what kind of numbers were those? >> i don't know real numbers. >> let him talk. >> hi. >> hi. >> conceptionally, i agree with my friend bk, because i think facebook -- but in terms of trading, i'm with hash tag on this one. >> yeah. >> i think this stock might have mojo post earnings that you would subsequently sell into. but here we are close to 28, i could see this printing 30 tomorrow and then fading that move. so i guess i give it to the hash. >> the hash, yeah. good one. well, we want to know what

everybody out there thinks. >> yes, we do. >> tweet us @cnbcfastmoney, using bull for tim or #bear for beakers. we do want to see how options traders are playing ahead of facebook. >> yeah, it's interesting. actually there's two camps on facebook as there are between tim and b.k. some of the retail flow was a little bullish, saw about two to one volume over puts. but the big institutional players appear to be more skeptical. and one of the bigger trades we saw were prior to the january 25 puts paying about $2. buyers of those things are expecting facebook to be below $23 by next january's expiration, that's a decline of another 15% here. coming up next, a banker to the stars. past clients including frank sinatra and marilyn monroe. where his celebrity customers are investing right now. cable unplugged had to play

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welcome back to "fast money," i'm kayla tausche. we're getting more about this apple bond term sheet. it's a six-part offer, $17 billion. i want to walk you through a couple of the high-level take aways, especially with regard to price. extremely low interest rates as we expected, the three-year fixed is coming in with a coupon of .45%. the five-year fixed, 2.40%, the ten-year actually rather, 2.40%, the 30-year, 3.85% on that bond. all of these are pricing just slightly below par. a very, very tiny discount. they're also two floating rate notes which will float alongside three-month libor and they'll price at par. i want to tell you a few interesting things about this book i'm getting. the final book, $52 billion. multiple times oversubscribed for the $17 billion that apple wanted to issue. i'm also told that the international demand was higher than expected due to the lack of

issuance overseas. the international component of the bookended up being as high as 20%, which i'm told is now outsized. a lot of people were saying goldman had strong relationship ties to apple, deutsche bank and this small syndicate is very interesting to see. but, of course, that international component is huge there. and also interesting to note that there's a floating rate component. i'm told that made this deal an easier sell than investors are higher in tune with the expectations that interest rates will rise throughout this year and so having two bonds in there, a three-year and a five-year, that will float along with interest rates made this a very easy sell. melissa, of course we're going to dig through this as we get more. but that's the high take away. >> thanks for that. b.k., just quickly, under stock. >> you buy the stock if you think interest rates are going up. i think that's interesting people wanted to buy it because the economy's going to get better then. >> sometimes it's tougher to buy the losers and sell the winners.

>> love this game. >> first solar up 72% in april, hitting a fresh 52-week high today. by the way, this is for the month. what do you do? >> i think it's tough for these guys to rationalize the business model beyond the fact that there is definitely demand for solar. but there's a lot of regulatory issues still all the support out of the government was enough to get the stock to pop, a massive short squeeze. i would take the money and run. >> what does that mean? >> i said i would take the money and run. what do i have to say? >> fold 'em. you play the game the right way. you're one of the guys that cheats at monopoly too, jerk. >> where is that coming from? >> i don't know, you must have rubbed him the wrong way. >> take the money and run, fold 'em. >> game stop, up 25% over the past month. mike, what do you say? >> you know, the valuation on this business isn't that bad at about 11.3 times expected earnings for this year. thing is, the stock has had a heck of a run.

i'd probably look to substitute an options trade, i would fold them here. that also reflects a bearish sentiment. >> easy, mel. >> coach, the luxury brand up 17% in april, sell in may and go away. >> here's a stock that's been underperforming, they reported the q-1 better than expected. filling in the gap lower than q4. i think these guys were at ground zero for a slowing global economy. i think you take these recent gains and you get out at the technical resistance level. >> would you take the money and run? >> i fold 'em. >> i folded them. >> take the money and run. >> don't be a bad influence, tim. next up, the gold miners down 24% in april as gold in general took a hit. the miners, a worse hit, beakers, what do you do? >> i haven't traded the gold miners in two years now and i don't plan on doing it now. you can't take the money and run on this one. so you fold because you've lost

money if you -- that's how that works. >> fold. >> next up, phillips 66, getting hit down 14% on april. >> hold 'em. i think -- >> hold 'em. >> the stock topped out around 70, we told you it would go to 66, the selloff has been precipitous this month. people are trying to get out ahead of earnings which are tomorrow morning so in a mere 15 hours from now, we're going to know if we're going to get exalted. i think exultation is in the -- >> we'll see. next straight up here a slew of cable companies are set to report earnings tomorrow. the street will be tuning in to key data like subscriber losses and rising content loss. let's take your position with the portfolio manager of the multimedia fund. great to have you with us. >> great to be here, thanks. >> all of these stocks going into earnings close to or at highs at this point. which one setting up the best? >> well, it's a busy day

tomorrow, comcast, viacom, time warner and cbs, i continue to like comcast. no matter how you choose to consume content, the fastest pipe is owned by the cable company. >> comcast, the parent of this network, we should disclose that right now. in terms of what you're reading in the comcast release, will be the key metrics. >> more of the same. they've outexecuted everybody else in the business over the last year or so, expect continued year-on-year improvement in video subscriber losses, could be a positive quarter. growth in business services. >> so to the extent you can speak about disney which reports next week, what do you think -- where do you come down there? >> he's done a great job. reinvested for growth. with lucas film. i don't know if you'll see the results this quarter. it's a great brand.

>> we've talked about apple and what they've done with their bond this evening. in your space, two questions, one, how does that impact your decision looking at your space? is there anything in your space that could lever up, pay a dividend that would change your mind about buying the stock. part of the secret sauce of why these stocks did so well over the last several years, they've been massive capital returns. generate a lot of cash flow put that back to shareholders in the form of dividends and buy backs. apple's taken a page out of their book. >> we're talking specifically about the companies reporting tomorrow. but more broadly speaking in your space, would you tend to favor more pure content players like a netflix as opposed to comcast which also owns the pipes. >> well, netflix, of course is an aggregator of content. they have gotten into the ownership of business. but, you know, if you think about the spectrum of content ownership, sports owners, madison square garden which owns the knicks, the rangers, they're going to benefit certainly in the near to medium term

leveraging their ownership of those content assets. >> chris, thanks for stopping by. we appreciate it. where do you stand on media? >> well, i have to say i like msg here. we are going into a period where the knicks and rangers are going into a heavy playoff series. they've turned this content into a top line revenue growth, as well. that network is worth gold around here. >> yeah. >> dreamworks. look at dreamworks with a 40% interest. a lot of people getting squeezed right now. a lot of people shooting against it, but the stock has been a great stock to own. i think it'll continue to be a great stock to own. a banker to celebrities tells us how his clients are investing and how you can get in on the action. and meet the nba student who went outside the box and won institutional investor competition. it's as simple as this. at bny mellon, our business is investments. managing them, moving them, making them work.

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welcome back to "fast money," we're live in time square. ever wanted to bank with an a-list movie star or next to your favorite hip hop artist? soon new yorkers will be able to as more and more stars are calling manhattan home. citibank is opening two branches

in the big apple known as a banker to the stars, some of citi national's past clients have included marilyn monroe and frank sinatra. russell, great to have you with us. >> great to be with you, thanks. >> you've been operating in new york for quite some time, it's just these are going to be much more visible presences in the big apple. i'm just curious, are you going after new clients? or just does this reflect the bicoastal sort of living that your current clients have? >> you know, it's both. you're right. we've been in manhattan for over a decade and citi national has a big private and business banking clientele here in manhattan. but we thought we'd stop being a secret and actually open branches. we have 78 of them in the rest of the country and thought the time was right. we want to have more brand identity and more clients and keep growing. >> what sorts of clients are looking specifically at private client? is that your niche and focus? or do you want to be a little bit more broad based. >> city national is a private

bank. we have what we called preferred banking, gateway to private banking, lawyers, advertising executives, accounting firms. tech and entertainment we specialize in. >> i'm just wondering because i think a lot of people want to know how the very wealthy invest their money and how they regard their money in terms of risk tolerance. are there differences in the various cities you operate? because you do have a strong presence in, of course, los angeles and the nashville and atlanta as well. >> right. right. well we have really a national business both in wealth management and to the entertainment industry. and it really varies. i think city national both as a wealth manager and as a bank, it's very personal, it's focused on individual clients. so there's no one-size-fits all, it's very agnostic in terms of what people invest in. sometimes people have $1 million or hundreds of millions of dollars and different risk tolerances and needs.

we offer very diversified, and that's why we have under $40 billion at city national. >> what are you seeing in terms of the overall economy? and what's your sense as to where we're going and if we've hit the inflexion point. >> i don't think we've hit the inflexion point. we're not at stall speed or escape velocity. we're at a 2% growth rate. and i think it's going to take some -- i think some positive change in washington, there's a lot of uncertainty out there, a lot of caution. a lot of people are not seeing a lot of revenue growth. so you're not seeing a lot of confidence, a lot of uncertainty, what's health care going to cost, what's the tax rate going to be? what else are they going to do? what sequester's going to mean. so a lot of businesses, you know. we're growing our loans, but it's mostly from new clients. a lot of people just -- they've got their business stabilized. we do a lot both with small business and medium business and they're saying i want to sit tight, i want to see what happens and see things shake out. i think there's a lot of

positive stuff in the economy ahead when we get a little more clarity and stability out of washington. >> well, you mentioned you are city national's banker to the stars. is there a particular industry where you're seeing the most growth, the most demand for loans, the most deposits being made? is it the movie industry or, you know, a hip-hop artist? >> you know, entertainment's been solid, but i think over the last couple of years, it's been the larger companies, we do a lot with middle-sized companies. and that's where there's kind of like city national, you've got the strength and ability to invest and grow in the future. i think the smaller companies have been more reluctant to take the risk. >> russell, thanks for stopping by. we appreciate your time. russell goldsmith, the ceo of city national bank. let's play our next game here. what would that be? >> we need to know how to play these games? >> good, bad and ugly. pair of bearish calls from dan nathan. first the good in february, dan took the bear side in a street fight, take a listen.

>> i actually see that top line declining, analysts expect it to decline. it is declining. it is not an expensive stock. at ten times earnings. earnings are expected flat for years to come. sales are declining here. it's really hard to make a valuation case here. >> nice call, staples is down about 10% since that street fight. i like how in the sides we use less paper and paper products. >> if there was any street cred a guy could have. >> i'm that guy on the bottom of the e-mail that says think about the environment before you print this. >> oh. >> that stock was up because of merger, who was it office depot? i don't buy stocks on spikes. i thought you'd get this one coming to you. here it is down 10%. >> now on to the bad. few weeks before staples' call, dan in a boeing debate. here's what he said. >> to me, what they have here is

a big pr problem. i'm actually not looking at the type of airplane. and i will be right now. i want to make sure i'm not on a dream liner. they've had five incidents in two weeks. >> ethiopian airlines became the first carrier to resume flights of the dreamliner and the stock has been soaring up 19% since then. i feel like we were fast -- we're calling out tim, as well. because he said -- >> yeah. let's get that done. two birds with one stone, some people are stronger than others. >> this move is completely mental. this stock is up 24% year-to-date in the face of what's going on. >> i'm sorry, guys. we have breaking news on yahoo. let's go back to the breaking news desk at headquarters. >> melissa, we are getting dow jones out with word and we've confirmed it now. yahoo ceo marisa mayers' compensation, that included about $455,000 in salary and about $35 million in stock awards and that stock is worth a

whole lot more since she took every o in july of last year, the stock is up 59%. year-to-date, it's up 24%. melissa? >> thank you very much, bertha coombs. tim seymour, what do you think of yahoo? >> i think it's a nonevent. let's talk about the news which is the imputed valuation. i think there's more upside. the comp here is more than priced into this market and kind of a why bother. >> coming up next, is this the death of fundamental investing? wait until you hear what nba student did to win a competition. by the way, don't forget, i'm on twitter @melissalee. tdd: 1-800-345-2550 schwab bank was built with tdd: 1-800-345-2550 all the value and convenience investors want. tdd: 1-800-345-2550 like no atm fees, worldwide. tdd: 1-800-345-2550 and no nuisance fees. tdd: 1-800-345-2550 plus deposit checks with mobile deposit, tdd: 1-800-345-2550 and manage your cash and investments tdd: 1-800-345-2550 with schwab's mobile app. tdd: 1-800-345-2550 no wonder schwab bank has grown to over 70 billion in assets.

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time for a little "fast money" trade school. the next guest is the winner of the institutional investors first ever all america student analyst competition. he beat out almost 700 students using his own proprietary algorithm. let's welcome dan mcalister at the university of san diego. great to have you with us, and congratulations. >> go, dan. >> thank you, melissa. it's good to be on the show. >> what sorts of inputs did you put into your algorithm? >> so we looked at standard

indicators like moving averages and weight of moving averages. the high, the low, the close of prior week's data and then applied that going forward to the following week. the nature of the competition was that there's no high-speed, high-volume trading. so we had to make decisions a week at a time. >> obviously when you entered the competition, you could have gone the completely fundamental route and done the analysis yourself. but you went the computerized route, why? >> mixture of being a graduate student and working limits your time. in addition, this was a great chance for me to try out this method i hadn't tried before. i decided to go with the algorithmic route with the help of a friend who is at my internship and build this program to try something i'd never tried before. and sort of front load the

decision making process and let it tell us what to invest in. >> sounds like you had to put a lot of time into this. you should be out there hitting bars and surfing. you know, meeting young ladies or something. sounds like you're leading a boring existence. are your folks watching this thing? you've got to get out, man. >> they might be. >> no, they definitely are. >> all right. dan, well, thanks for joining us. congratulations. dan mcalister. >> that's great stuff. great -- very, very impressive. exactly. you tweeted, we traded. let's get to your tweets to our crew today. the first one for mike. will merck suffer the same issue as pfizer on earnings tomorrow? >> it's interesting when you're trying to compare big pharma companies because they don't sell the same products necessarily. but one of the problems that pfizer cited was currency head winds and merck has been trying to expand their presence in japan and accounted for almost 11% of revenues. i do think that you could see

some similar for foreign exchange pressures for them. >> and for guy. can it keep on trucking or do earnings indicate it is stalling out? >> great question. that was a huge miss by cmi today. i think it's indicated stalling out. it's had a tremendous run. i think as tim says you take the money and run on this bad boy. >> nice. >> thank you. >> fold 'em. >> yeah. >> and this one's for beakers, if b.k. were the hash tag bernanke, most people would be wearing kleenex box as shoes. >> that's it. >> i guess so, i could declare that if i was the head of the fed. kleenex shoes for everyone. >> i saw that tweet earlier today now having a twitter stream. >> they were responding to a tweet i said about the fed should sell gold. >> exactly. all right. coming up, we revealed the winner of the street fight. plus your first move tomorrow when we come right back. ♪

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[ static warbles ] [ beeping ] red or blue? ♪ all right. so you've tallied all the votes here. who won? beakers. and his kleenex box shoes. time for the final trade. let's go around the horn.

dan? >> i'm long j & j. >> i would be selling on this run. >> i like the grain play here, dba, there's going to be snow in oklahoma. >> guy? >> dreamworks. >> i'm watching. don't go anywhere. "mad money" starts right now. >> my mission is simple. to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it. "mad money" starts now. hey, i'm cramer! welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to make you a little money. my job is not just to entertain you but to educate you so call me at 1-800-743-cnbc. the darn thing, it just doesn't want to quit. after opening down 70 points in some real weak factory data, this unsinkable market proceeded to rally right back with the dow