Skip to main content

tv   Mad Money  CNBC  September 30, 2013 11:00pm-12:01am EDT

11:00 pm
or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a 30-tablet free trial. call me at 1-800-734-cnbc. now we are staring down the double barrel washington shotgun
11:01 pm
of a government shutdown and a debt ceiling crisis. really, how were we down so little? s&p backslide .o67. more importantly, nasdaq declining. given our president was on earlier this evening. talking about the federal workers that will go without pay, how we are entering a high moment for the house of government. let's ponder why we're barely down. nasdaq being down a quarter of a percent after being up 25% for the 84 coming into thisception. that's barely a sell-off at all. first, we have to wonder whether there was something mechanical to happen. i told you endlessly the mutual funts funds like to own the biggest winners. check your statements. they don't well you when they owned their stocks. you got to believe they are clairvoyant even. the hedge funds are below the mark after they bulk up the biggest stocks. this happens.
11:02 pm
they don't like the give up the ground and take it on previous days. i say i saw buyers flying in. flying in, bidding the market. underneath, when it opened up. they supported the stocks, they added a pretty rosy you when you consider the washington dooms day. there is a chance the market has gotten oversold. we were down a lot of days in a row. >> that means the market is being created. money managers are awaiting a retreat. now you got one. those are relative. they are all about the way the market works. something on the eve of our 2,000th show tomorrow that you otherwise might not know about. we pride ourselves in telling you that kind of thing. we pride ourselves and show you how it has driven the stocks up. given that we were down 19%, thanks to the debt ceiling debacle .11, we were down almost double digits before the fiscal cliff. our buyers, are they being foolish? considering we were barely down 3%, the ugliness hasn't started
11:03 pm
yet. my answer to that is, yes, yes. sure it's true that every single time it has paid off to sit through these washington bug bites, that said, what would be much smarter is to sell some stock at the beginning and boy some back in order to augustment your performance. some might say given the fool me one, fool me twice, aspect of the washington fiascos, it's not worth going in and out. you can't do it fast enough. well, i don't know, i say when you consider the twin nature of the obstacles ahead of us. boat the budget shutdown and the debt ceiling, something happening that could hurt the economy is far worse than the previous macdowns, maybe some are concerned we could get a midnight deal. there are talks that you know about. i didn't know, when i heard the president, they could be fretting maybe. some of these people, they will miss an opportunity to boy ahead of a shocker, a surprise, you know what is good for the country and for business?
11:04 pm
i'd come back and say, sure, if it were only one issue, in it were the budget deficit shut down, that would be one thing. there is a second bunch, there is no way a fractious body the house of representatives could get it together. especially given it seems to be the stated gulf, some members of the republican party to default in order to prove a point a. point that our nation's prophecy must end do i think they want it to fall? i think somebody must realize the strategy. i'm not all that worried about missing out, i don't believe one can occur. there is always one breaking, too. more rancor in the beginning. even though my capital trust makes small boys when the market was riddious today. it's got to use the weakness to replace what is sold on previous strength. in other words, the trust has sold so much already. when the fed decided not to rally, this relief rally, it's
11:05 pm
the reason the fed didn't taper is ben bernanke is worried about a looming deposit shutdown and the debt krielig debate on the economy. there is going to be an impact. let talk about the fed and how important the last week was in relation to washington. first the deal, now interest rates have started going back down, we have to ask ourselves, where are we supposed to put our money? gold? hmm, should we put it in real estate now housing has cooled down? doesn't it seem to be the wrong call, given the data suggested and a break in the ever rising home prices? i think you are going to circle back to the bond market equivalent stocks again. that's what i saw. the options are pretty unpalletable. i look at the certificate of deposits. get this, the three-84 cd gives you .5% in return. that's why i suspect my checking account back. five 84, .18%.
11:06 pm
how about kinder morgan, the cd rates. a lot of people thought it was going up the fed tapered off its boys, that could make for an attractive return, utilities they have much more risk tan treasuries. let not forget this time the fight if washington has a different overseas background, in 2011, there was lots of talk about the end of the euro and the potential for spain and italy to default. i remember they talked endlessly how the italian market was huge. the third largest bond market, which is a little insane when you think about i. plus they were hit with the european rates twice. we go back to the fiscal cliff, not only was europe made, there was big trouble in china. we were doleing with disappointing numbers from china. there was talk about how it might be falling off the cliff. this time, though, china didn't
11:07 pm
struggle. sure, we can have numbers. it was a little off. europe is pulling out of its tailspin, too. >> that means the markets responsible for exports are coming back. that's a much better backdrop. hence, why many of the cyclical stocks did well today. they would have been crushed by the last round houses because of worries the capital would drag us down to the level of our trading partners. so here's the bottom line. i think that the market is being complacent in the face of washington, it should be much higher. i can understand that people might be less willing to sell stocks for the cash or because they fear the surprise, they recognize washington has hurt us, not killed us. maybe they recognize things are better off. i say you are welcome to foley that optimism. please unz it outweighs the upside risk for now and a better entry point awaits. wesley in florida. please. >> jim, thank you for taking my call. >> of course. >> again, this is what i want to
11:08 pm
know. i want to know, multibillion dollar companies, stocks $60 a share, all of a sudden it falls down a few years after it falls down to about low 10, below 5, the stacks i'm talking about is plaque berry and amt. is this because of the ceos, the managers or what? >> well, blackberry had a very complicated structure. it was a closed architect cure in a world where people like open architecture. it was very secure. at the same time, you couldn't use it in sync with other devices. others came up with a better mouse trap. intel always had it. so you had competitors that came in with better products. it wrecked them. this is not serial. cheerio would go away. this is tech. tech goes away. go were in louisiana. gordon. >> jim, thank you for taking my call. intend sending in a big boo-yah
11:09 pm
from the bayou. i had a question about the mosaics. the share took a tumble since the breakup in europe. i'm kur russ whether you think this recent downturn is an opportunity for me and other investors? >> no, it doesn't have the yield protection i wanted. i don't like thing a business. i fear there could be a believe it or not an actual cut in the subsidies forring a in this country that cartel has to get back from mosaic. how about simeer in indiana. caller thank you for taking my calls. my question is on the defense the pullback, giving license and also media, they are going from here and whether you think it's a target? >> i don't know if it's a takeover target.
11:10 pm
we hesitate to recommend a takeover basis. this fellow who is running it, don matric. he is very good. that's why i say stop selling zynga. why weren't we down more today? nasdaq was down barely a percent optimism kept it higher. remember, optimism is very good when we're lower. not that good when we're up here. "mad money" will be right back. >> coming up, welcome home. home values are on the rise in 2013. so is online real estate company zillow. its stock more than tripled this year is the boost a bubble or could the latest acquisition take the stock to new heights? cramer's exclusive with the ceo is next. and later, new frontier? it's one of the top energy clients in america. and the company's investing here, a striking black coal. fiejd out which slick stocks could surge from thousands of new drilling points in the heartland.
11:11 pm
plus, let's make a deal from investor activism and apple and netflix to mna activity during big stocks. the head leans are causing this market to move. what's the next big deal on wall street's radar? cramer closes you in ahead. all coming up on "mad money". . don't miss a second of "mad money." follow@jimcramer on twitter. have a question? tweet cramer, hashtag mad tweets. send jim an e-mail to "mad money"@cnbc.com or give us a call at 1-800-743-cnbc. miss something? head to "mad money."cnbc.com. [ male announcer ] this store knows how to handle a saturday crowd.
11:12 pm
♪ [ male announcer ] the parking lot helps by letting us know who's coming. the carts keep everyone on the right track. the power tools introduce themselves. all the bits and bulbs keep themselves stocked. and the doors even handle the checkout so we can work on that thing that's stuck in the thing. [ female announcer ] today, cisco is connecting the internet of everything. so everyone goes home happy. did nana ever give you cheerios when you were a little kid? yeah, she did. were cheerios the same back then? cheerios has pretty much been the same forever. so...when we have cheerios, it's kind of like we are having breakfast with nana... yeah... ♪ yeah. you're so smart.
11:13 pm
11:14 pm
. >> what does that mean with
11:15 pm
zillow in the online information, hub, it helps people from buying, selling, borrowing, remodeling real estate. the company has ko gone public two years ago and it more than doubled it loan requests. they had naysayers along the way. stocks surged from $20 before it became public to highs over 100 during summer. in early august, zillow, the company posted a 30% lost, known cents worse than expected. it was a remarkable 68%. stocks got hit hard in a single session. zillow sprung back to the low 90s on august 19th. once again, though the stock recovered, rebound into 100 in september. more selling off in recent weeks. many worry the coldown in housing caused by the spike in mortgage rates, i never bought that, now it looks like housing is doing better.
11:16 pm
the billionaire investor has been betting heavily on zillow's 9.4% of the country. the bull has been winning the battle, which is why we got to dig doper. spencer is the ceo of zillow. welcome back to "mad money". >> hi, jim. >> first, do you know james backer? >> i have gotten to know him. >> did he boy stock before you met him? >> he has been buying stock. after spending time with management, he bought even more. we are happy to have him. >> so he's a cooperative guy. he's not saying here's how your company should be run? >> wove attracted a lot of interest from australian investors. >> sorry. i don't know anybody yet. >> because there is a company in australia that has a very significant market cap as the online real estate leader in australia. actually about a $4 billion market cap. a country that's a tiny fraction
11:17 pm
of ours. investors say, look, are you the largest real estate in the u.s., certainly over time, you should be able to get a lot bigger. >> your company turns out, have you accelerated vol volume. >> we are a media company. we sell ads, not houses, like the cnbc reports on financial services, so, of course, you're a media company as well. yes with reimpacted somewhat by housing. worry not a brokerage. >> now, it would seem to me that one of the things that's happened to your company is that you are evolving and the street easy deal is one that the rap against you is some markets where your software doesn't work. it works with the mls of new york. are there other place you have to do a street easy place like new york or is new york generous? >> new york is unique. zillow is the largest real estate site in every city in the
11:18 pm
country except new york. >> if you didn't do street easy the conversation would be easy, why doesn't zillow work? >> it works here, it's just called street easy. >> you claim on your website that you have preforeclosure. how do you get preforeclosure? >> we have a million and so if you are behind on your mortgage payment, one is behind, then that information would appear on zillow, to a home buyer, that shadow envent ore is shatd doughy imagery. those preforeclose years become foreclosures. >> we have a relationship with yahoo finance. you have this relationship with yahoo that has basically made it so you are no. 1 by far. how did that come about? >> zillow powered yahoo homes for several years. it's by far the largest real estate site on the web. we are by far the largest. we are a media company. advertisers follow aidience. it's important we have the
11:19 pm
largest audience on the web. >> now, there was a point i felt the real estate brokers were gunning for you. when did it switch to when you became their partner? >> well, we have always been their partner. >> when did they start leaking you? >> i think scale helps. i think for most agents, brokers. mls's and most importantly home sellers realize they want their listing on the biggest real estate site in their community. therefore increasingly every day, the industry has more friend than foe. they market their listings online. >> it's funny there is an app, they are in my face every day regularly saying you are not making any money at all and it's a house of cards. now i know there is a big short position. i got to ask you. what what point do you think the shorts recognize, is this alternatively? at what point could you be worried they could be right about somebody? >> shorts have been wrong all the way with zillow.
11:20 pm
>> because they i you are a building company? what's the miswer perception? >> i think it's a misunderstanding of our total makt. agents spend almost $10 billion a year on advertising. in the mortgage industry, there is 30 billion in and around our category. zillow be do less than 2 million in revenue. we are just getting started. >> fair enough. you have always been very candid with us. i appreciate i.ceo of zillow, letter z, check it out. stay with cramer. coming up, new front fronteer? find out which slick stocks could surge from thousands of new drilling points of the heartland. he's been bringing main street to wall street for years and from "mad money's" 2,000th episode, he's celebrated by hanging the american flag outside the new york stock
11:21 pm
exchange. calling all cramericans in the new yorkyear area, ruin vieted to be a part of history tomorrow. log on to "mad money."cnbc for details on how to join us. >> do you think we can ever get to the point we don't have an institution fail. >> what we want to be comfortable of is a bank does fail, it's not a burden on the taxpayer. >> do you look at battery powered stuff and they is to the future? >> hybrids will be the main stay of our future. >> what is the future for flash? >> the future is memory. it will take over the enterprise data center. >> will you say this worked the way i wanted or not? >> success is for customers to say wow .
11:22 pm
11:23 pm
11:24 pm
. >> after a day where stocks got axed courtesy of a pending government shutdown, unless we get an unlikely washington miracle, it looks like we could be in for a real slack until our leaders make a deal. we know the pattern for those stocks get hit and hit hard. we get a resolution. they bounce back. to stocks less vulnerable. what should you be prepared to boy in the event of washington? well, a debacle. i like the domestic oils. the companies have been finding massive amounts of crude oil in our red hot shale place. no amount of partisan victory will make that disappear. it might drive down the price of oil. that's why we have been taking a virtual tour 32 all the best recent world discoveries in the united states. regular viewers know all about the bakken shale and the permian basin. so tonight i'm going to introduce you to the niabora
11:25 pm
shale. it's mainly in north american colorado. it spreads no wyoming, nebraska and kansas. niobrara. we think of it as a colorado shale. many companies leasing the land. there is a lot of future drilling ahead. the thing is the niobrara shale is spotty. resources banded about three, four years ago. then they gave up on it. wow, we respect the energy, but there was more upside, their acreage was not so high. if they gave up on it, why don't we dismiss it? it turns out this is a very hit or miss play. it's spotty. you heard the same thing from chesapeake energy. some areas are practically bursting with oil. others have very little. so where is the right ailg acreage? the sweet spot is right near
11:26 pm
denver, colorado. in what's known as the denver basin. companies that drill there are seeing some of the highest rates of return after over domestic oil wells, bakken, permian. right now, if ail stays roughly around the current price, that i can generate 100% of return, they can pay back drilling for oil in onier. let start with the industry titans, anadarko. they're across the globe. the company has 350,000 acres where as much as 1.5 billion barrels. they have another 350,000 acres in the remote areas of the shale. at the moment, it is the most active driller in the area. 150 wells a 84. that's a lot, people. in the latest quarter, the production was up in an
11:27 pm
outstanding 25% year over 84, liquids accounting for the volume. best of all, anadarko is the parent of western partners. it helps them get their oil from where they can sell broxton for the best price. how about noble energy? 350,000 acres in the core part of the play. noble is celebrating. the company is doing 50% more wells this 84 than in 2012. what does that tell you? putting up 500,000 wells. helping us. noble's acreage can, do the math, 13.8 billion t. old company has an enterprise value of 20 billion. that's staggering when you consider noble has incredible assets in the mediterranean. how about something closer to pure lay? now, there are a bunch of smaller companies vurdz bdc energy. bdc, ink, which has assets in the rockies t. core of the
11:28 pm
company is the 98,000 acres. pc recently sold more natural gas for $178 million. now, 54% comes from nat gas liquids up from last 84. they come with results of the private wells expected sometime in october. >> that is the only speculation. as this cash flow doesn't cover capital expend chours. you could think the stock. there is another one, bonanza creek energy. since then they have doubled its production and reserves by more than 20% t. company has 30,800 acres in the earlier portion. in the second quarter, they upped their recount to four rigs, built 20 wells. imagine if you expect to see a significant boost in production in the second half, if you are looking for something smaller, this is an old name. bbg, an exploration production
11:29 pm
company focused on the rockies. 40,000 acres. bbg is on the small side. lot lo of people question their acreage. the company plans to build another 60 wells by the end of the 84. see what i mean? hot, hot, whot. beyond those operators, have you companies with acreage, i mentioned white petroleum. that's a bakken play. they are up 88,000 acres. in the past, they didn't have the capital. they sold for $860 million. now they got the cash, which could turn out to be the next platform. last but not least, one we know, corizo oil and goochlts it made us money. they have 28,000 net acres on top of the core eagle per shale and a utica shale kicker. they got two rigs running. they drilled 21 wells for 20 thrown. definitely one to watch. here's the bottom loin. no matter what washington does
11:30 pm
to sabotage our economy, they are locking to go over to anadarko, something closer to a pure play, pec energy, bonanza creek, all which are growing with weeds, because of the bountiful colorado-based shale. >> bh.b-boo-yah, jim, how are you doing? >> really good, how are you? caller i'm doing fantastic, long time listener, first time caller. i'm talking about colorado resources, ticker hk. i want to get your sense of whether or not this is a golden try points. >> the stock has been term. floyd wilson, who has been a miracle man is chairman, president and ceo. i would say stick with him because he's so good but it's been a house of pain and i recognize that. i still believe in floyd wilson. this is one of those companies pure spec. it's not meaning sell.
11:31 pm
it just means as long as you go in and recognize this ain't no anadarko. tony. please. >> caller: yes, cramer, bo yaw. >> what do you got, tony? >> okay. i'm thinking marathon petroleum. mpc. i have been averaging that for a while. what do we do with that? >> yeah, they've got very good acreage in the eagleford. i'm sorry, i'm looking, that itself problem at the other marathon. this is the refiner. and the refiner is not good. worry not recommending any refiners right now because of the end of the glut in cushing. my bad, that's the refineper. all right, we see this pattern, stocks get hurt. they bounce back. washington and the chaos, use it to your advantage, discover the greatness of niobrara. stay with cramer. tomorrow, kick off the trading day with "squawk" on the street. live from post-9 at the nyse.
11:32 pm
>> our companies are not mickey mouse. our companies are doing incredibly well. >> it all starts at 9:00 a.m. eastern. . ♪ ♪ [ male announcer ] more room in economy plus. more comfort, more of what you need. ♪ that's... built around you friendly. ♪
11:33 pm
that's... built around you friendly. over 20 million drivers are insured with geico. so get a free rate quote today. i love it! how much do you love it? animation is hot...and i think it makes geico's 20 million drivers message very compelling, very compelling. this is some really strong stuff! so you turned me into a cartoon...lovely. geico. fifteen minutes could save you fifteen percent or more on car insurance.
11:34 pm
11:35 pm
>> we got a clips of our scoreboard, you may have noticed "mad money" is about to flip over to a pretty big milestone. tomorrow makes 2,000th episode of "mad money". to celebrate, i'll be doing the show in front of the new york stock exchange. i have been bringing you to wall street for years. tomorrow, we are doing it for real, come down, see how we have been putting out these shows for year. head to "mad money" tobacco.com for how to join us. now it is time for the lightning round. i say buy, buy, buy, or sell, sell, sell, then the lightning round is over. are you ready, ski-daddy? we start with ross in illinois. ross! >> caller: cramer, bo yaw from the wendy city. how are you? . >> matt: nice, how are you? >> caller: doing well.
11:36 pm
i got to gave quick shout out to my fiancee avalon and next season's mvp paul george. >> yes, absolutely. thank you. >> but my question is for s sandisk. sndk. >> i lick that. it should be able to trade up. go to susan in california, please. susan. >> caller: hey, jim, hi, i want to tell you how much i value the information you share with us. i love you, man. i own visa. visa is one of my fate stocks. it's a change from paper to plastic. i want to buy it. let's go to ed in florida. ed. >> caller: yes, ed from southwest philly, jim.
11:37 pm
>> wow, good to have youen the show. >> caller: yes, thank you. i watch it all the time. anyway, i'm toying between philip morris for dividend stocks for my ira portfolio. >> yeah, you know, look at, mo, altria has the better dividend. pm has the better growth. pm yields 3.4%. i will bless that. i think that's a good buy here. let's go to dave in wisconsin. dave. >> caller: hey, jim, boo-yah. >> wow, nice. >> caller: a new drug used by dialysis patients that replaces iron in the blood with nearly no side effects. so it will be a cost effective patient. this drug should be a game changer for rmpi. jim, what do you think about rmpi? >> i don't know rmti. it sounds like an interesting story. i think stock, worry in the alone t. stock has had a big
11:38 pm
move. let me do some homework on it. let's go to vick in california. hi, vick. >> caller: a boo-yah to you from california. are you a triple threat. >> well, thank you very much on our 1999th show. how can i help? caller i want to ask about pandora. apple has been pushing iradio hard. >> i can't recommend it, i can't tell you to sell it. let's go to greg in illinois. >> caller: boo-yah, skrim i jim cramer. >> how are you? >> caller: lng. i have been in it since it was $7. >> matt: if that the case, come on. we got a ka-ching, ka-check.
11:39 pm
we like suki. let's not get too grody. don in florida kaurm caller boo-yah, jim. this is down in florida. last week you talked a lot object pharmaceutical strong. my stock is i wsis. >> i like isis. let's go to doug in nebraska. >> caller: i got a quick shout out to the guy i call jim cramer from fremont, nebraska, mr. gilfrey. i wonder your thoughts on 8 x 8. >> it's moved up. it is sizzling. that group is very tough at this point. it's moved up a lot like a lot of the others. i will hold back my approval. let's go to tony in south clone,
11:40 pm
please, tony. >> caller: yes, we'll send you a tiger boo-yah. the stock i have is mtsp. i know they come out with another drug at the end of the year. it's $8 a share. you think i can keep going there? >> i know that we had mr. nader on lost week. he said they've got multiple drugs coming out, which is why we locate it so much. so i will agree with you. don't pin it on one druchlth it has a big product. which is why we have been behind pharmaceuticals. >> that, ladies and gentlemen, is the lightning round! [ male announcer ] at his current pace,
11:41 pm
bob will retire when he's 153, which would be fine if bob were a vampire. but he's not. ♪ he's an architect with two kids and a mortgage. luckily, he found someone who gave him a fresh perspective on his portfolio. and with some planning and effort, hopefully bob can retire at a more appropriate age. it's not rocket science. it's just common sense. from td ameritrade.
11:42 pm
transit fares! as in the 37 billion transit fares we help collect each year. no? oh, right. you're thinking of the 1.6 million daily customer care interactions xerox handles. or the 900 million health insurance claims we process. so, it's no surprise to you that companies depend on today's xerox for services that simplify how work gets done. which is...pretty much what we've always stood for. with xerox, you're ready for real business. what's in your ear? oooo! acheck for more! well, i guess i can double check... my watch! [ male announcer ] it pays to double check, with state farm. did nana ever give you cheerios when you were a little kid?
11:43 pm
yeah, she did. were cheerios the same back then? cheerios has pretty much been the same forever. so...when we have cheerios, it's kind of like we are having breakfast with nana... yeah... ♪ yeah. you're so smart.
11:44 pm
>> more and more now it seems like we are intering the age of the activist. it's not the age of the aquarius or wal-mart for that matter. activists take pressure to take actions to unlock value for shareholders, they're rolling in dough. they're using that money to throw their weight around. this is something we like a great deal because with a few exceptions, what is good for the activist might be good for you. that's why tonight we want to talk to a man who understands
11:45 pm
this stuff better than anyone else i know, the great david faber. my co-host, he's snickering of "squawk" on the street. david, congratulations, it's really big. >> thank you, thank you, it went by quickly. of course, you have been around a lot of it. >> how can you be younger and look better? is it lose weight if 20 years? >> actually, i've maintained. >> during this fabulous evolution in the sense when you started, the bet was not a real beat. you waited until you got the press release. you've changed the boat. you get it. and you get it ahead of print. how did this happen? >> in terms of mortgagers and acquisitions? >> yeah, didn't we get the bulldog edition? >> there has been an evolution in reporting. i would argue in many ways is not great, frankly. these days, are you getting information in bits and poses from so many different places and much of it is not completely
11:46 pm
right. so i'm almost going pack in some ways, and i'll work in the morning on "squawkon the street," when we discuss something, i try to go back to the old model in a way, get it right, don't do anything until you don't know if it means waiting, wait and give people analysis and insight. >> it is true, people are behind the scenes. i will say, david, you have it, you have it. there are other people who don't care anymore, there is no backcheck. >> no. >> it's extraordinary. >> it is, it can be very frustrating. i understand, on the dean of mna, they last about three years now, so i have been doing it forever. it can be frustrating when you know more about a story that your only move is to correct what has been reported previously. >> there is a lot of people that trust you, a lot of insiders trust you, right? >> yes. that one of the benefits of being around as well as the relationship. >> talk about the arc here, there was a time when the idea that carl icahn of 20 years
11:47 pm
could have a deal, could influence a company as big as apple? no. what the heck can happen here. how can a a person take a 1% interest in microsoft? >> jim, i'm glad you are focusing in on that. it is an evolution of great significance. i have lunch with bankers and lawyers all the time. i can't tell you where they are about to visit or have been visiting with the management or board of a large cap company that is at least wants to get filled in, who might be out there that might be interested? an activist. what are the rules of the game? >> what about tell them shut up? what happened? >> it's boards paying closer attention and activists being better at what they do and perhaps some. because we label them all broadly activists, right, a lot have different playbox. there are those that will be in the position for a long period
11:48 pm
of time, will identify the large shareholders who are inactive but who are frustrated and can convince management and the board they're speaking on behalf of them as well. >> we like timkin. we figure there is no way they are the winner, let alone management, timdin is splitting up. how do they not tell them to go sell the stock if they didn't like it? >> yeah, that's a great dpl. relational is one of those investors that will typically take a large position for a long time. but, and do a lot of work. value add is another one, same with microsoft. it is amazing, i got to admit the fact is $2 million of microsoft, are you barely moving the nodal. $2 billion with apple with carl isaurngs are you on the top 10 list. >> he gets a sitdown. >> he gets a sitdown and because there is a sense on the part of the board they are embracing a lot of thought about, from the
11:49 pm
rest of the shareholders, if it were to go, you had to fight a protection fight, you might lose the board seat. >> you broke a story about mcclennan coming back. here is a guy that owned a company, everyone thought was his, chesapeake, he got thrown out, how did that happen? >> because of the side deals, you know mcclennan. it was icahn and southeastern, now, in that case, they owned and enormous amount of stock. so from it was kind of more old fashioned. i don't remember the number. it moifb 20%. it was a big number. it still is in terms of the percentage. that was more along the lines, that was big chesapeake, more along the market caps where we might have expected one to see. a hess, we covered. you get to 4.5%, can you do it. now worry talking 450 billion, how is that possible? >> i don't know if you were
11:50 pm
breaking it, i won believe it. you have done an unbelievable job. have you made a career and a path that no one else has made in our business. are you the best business journal. >> you are way too good only because you have to sit next to me every week? >> imempirical. david faber, congratulations, stay with cramer. .
11:51 pm
11:52 pm
11:53 pm
. >> not all government shutdowns are obviously created equally. look at the 1995-'96 clinton vs. gingrich shutdown. remember there were two shutdowns back then. the first span november 14th and 19th.
11:54 pm
the second ran december 15th to january 6th. in the first shutdown, the dow rallied another 3%. in the second shutdown, it was unchanged. the dow had a remarkable run over the next 84. so you could arc you at least in the '95-'96 class, it had a remarkable draw down. it wasn't like back then. we had a lot of confusion in washington. we didn't bother to think all that much about it. in those days we were earnings sen triccentrics. in january of 1995 it when to 5.5% in 1976. one could arc you rates went down because washington became disciplined about spending. which resulted in lower rates. the rates went down a year later. i'm a little suspicious. i know this sounds -- back then, we really didn't think the way
11:55 pm
we do now. oh, sure, we were embarrassed by our government for certain back then. it didn't change the economic landscape all that much. we were riding the wave of new technologies and jobs were plentiful. what mattered were the actual pieces of paper we traded. paper backed up by actual companies. and we didn't have all these eps' that homogenized everything. when you consider the period we're in now, you recognize it's a hostile dynamic unless they get taken over in something dramatic. everything from banks to health care to defense to oil and gas to auto to retailers. either through legislation because of the feds. it's total emersion. the history teaches us nothing. we are stuck with the current day, which is a government gridlock, sell the futures. pretty much the opposite of what we had back then. the clinton-gingrich sfrakous, a
11:56 pm
political power struggle not a battle to the death. it wasn't existential back then. which is why it's hard to figure out when this will end. stick with cramer. boo-yah, cramerica, "mad money" is quickly approaching our 2,000th show, why not come here every night? to fight for you. to remind you the american dream is alive and well. to celebrate the show, i want to know why you, the sides of cramerica watch, so i ask n2k. why is "mad money" important to you? >> "mad money" teaches me about the fascinating american companies we have in our country. >> boo-yah, cramer, i watch "mad money" to afford body building. >> it changed my life forever. thank you for being here every notice. >> show me. send me a by. use the hashtag mmy2k.
11:57 pm
we might just use it on the air. >> can i get a boo-yah? ready to run your lines? okay, who helps you focus on your recovery? yo, yo, yo. aflac. wow. [ under his breath ] that was horrible. pays you cash when you're sick or hurt? [ japanese accent ] aflac. love it. [ under his breath ] hate it. helps you focus on getting back to normal? [ as a southern belle ] aflac. [ as a cowboy ] aflac. [ sassily ] aflac. uh huh. [ under his breath ] i am so fired. you're on in 5, duck. [ male announcer ] when you're sick or hurt, aflac pays you cash. find out more at aflac.com.
11:58 pm
♪ [ male announcer ] the parking lot helps by letting us know who's coming. the carts keep everyone on the right track. the power tools introduce themselves. all the bits and bulbs keep themselves stocked. and the doors even handle the checkout so we can work on that thing that's stuck in the thing. [ female announcer ] today, cisco is connecting the internet of everything. so everyone goes home happy.
11:59 pm
"i" formation! "i" formation! we have got to get the three-technique block! i'm not angry. i'm not yellin'. nobody's tackling anybody! we got absolutely... i don't think this was such a good idea. i'm on it. if we can't secure the quarterback center exchange... you're doing a great job, coach. well they're coming along better than i anticipated. very pleased. who told you to take a break? [ male announcer ] want to win your own football fantasy? just tell us. then use your visa card for a chance to win it.
12:00 am
. >> we hope to see you tomorrow. i cannot believe we did 2,000 shows. you can be there. we will start around 4:00. you can see how the show is done i'm jim cramer. see you tomorrow. >> besides the president, bernanke is the most powerful man working to fix the economy. and we were surprised by his candor. mr. chairman, i'm gonna start with a question that everyone wants me to ask. when does this end? [stopwatch ticking] >> no one comes in without f.d.i.c. badges. >> could your bank be shut down? that's what's happening to this bank and to banks across the country. it's being done in secret by a group of agents led by the f.d.i.c., who move in after closing time when a bank has failed. [stopwatch ticking] >> it's weird economics when it

240 Views

info Stream Only

Uploaded by TV Archive on