>> bhp, get long. >> dan. >> not try to pick tops among puts. >> h & r 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 friend, i'm just trying to make you money. my job is not just to coach, teach, but entertain. call me at 800-743-cnbc or if you want to, tweet m me @jimcramer. all-time highs always represent a great moment for reflection. we managed to hit them again

today -- dow climbing 20 points and nasdaq declining .33%. all-time highs require some soul-searching. because by definition the market's gotten more expensive than it was with all-time highses. considering that my whole career i've tried to buy low and sell high. it's hard to get excited now after a huge run. in the very old days we used to actually celebrate these milestone, can you imagine? ♪ ♪ i get that. our viewers are wall street -- for people who own stocks and don't get against them, given that our core mission is to try to help you make money, a new high can mean there are more ways to make money, that many people are winning and that people who chose to be in the market are better than those who chose not to, but this distinctly what have you done lately for me kind of work which means we need to assess the

risks and those risks increase the higher we go. we also have to assess the rewards because there's no sense leaving the party if we'll end up stuck with certificates of deposit which only earn a fraction of what you can get an average dividend-yielding stock. why don't we start with the positives. first, higher prices and better economic conditions have given business people more confidence. that emboldens them to do good things for shareholders, things like the desire to do deals or take over companies that are a good premium. david faber said something today that totally made me want to redouble my e norts to you to find good value, namely that he's never heard of investment bankers being as busy as they are right now doing blockbuster deals that we don't know about yet. what a tease. my partner is tantalizing us. you have to understand how cautious david is about these judgements. for two years i've been begging him to say yeah, two years they're flowing and he said i've

been too bullish and it's happening and happening with abandon. just yesterday they gobbled up cramer fife pinnacle foods. and it could be a $50 billion deal. we've gotten offers for pfizer, seeking to buy also ran astra zefrng qaa, and a hedge fund teaming up with cereal acquirer valiant to snap up allergan. david thinks these can be merely a prelude. i think there are many more deals coming in the food, drug, cosmetic, and telecommunications and oil industries. maybe beverages. i'm reluctant to recommend that you sell anything in those categories because of the surge of takeover activity even as i recognize the stocks like kellogg or clorox seem frankly overvalued. i think t-mobile and sprint tie the knot by the end of the month. i checked off a half dozen large independent oils because i suspect the deals in the oil patch and i know these things tend to leak out and people buy calls and they shouldn't, but

they do. second positive. there are still whole segments of the market that are still lagging or still cheap. i millmed the big industrials even after the runses. the bank, they're ridiculously cheap if we're about to get any improvement in the economy. same goes for the retailers and they've been held down. the autos, the major all-buying tech companies like microsoft, intel, oracle and hewlett-packard are trading at price to earnings multiples that are well, well, well below the historical norms. only the utilities in the real estate investment trusts are versus long-term benchmarks and they're functioning as bondses here and after the big interest rate declines i think they make sense otherwise they would be where the bubble was. the airlines, i know i've been recommending them for two years now, but you know what? even after these, you know they're incredibly cheap. you know that my favorite, american sells at six times next year's earnings estimates. that's wrong. the rest of the transport seem expensive and any pickup in the

economy from improving weather justifies the rally hence what you've seen in ups. plus, let's remember that we've seen dividend boosts galore which raises the bar for the asset classes and an executive is unhappy with his stock or her stock can can always break out the company and bring up value. that's become an every-week occurrence, too, hasn't it? why bother to take anything off the table? why fret? all right. let's look at the other side of the ledger. come on, all-time highs, we're not going to give you the case. that would be lacking in rigor. first negative, we still have two markets. there's the part of the market i just mentioned that's reasonably valued on earnings per share basis and the hideous nose bleed valuations on sales and the cyber security stocks and the software is the service stocks and the printing stocks and the hydrogen fuel cell stocks and the biotechs and the medical record plays and the e-commerce concerns. they've all come down hard from

their highs and they're trying to bounce, but we're now in a market where there's only one way to value stocks and the earnings per share and i think that that's the case, these stocks can bounce and their valuations simply aren't underpinned by anything other than bullish analysts who just re-recommend them endlessly any time they had the most feeble bounce. why are these analysts such broken records. what's the deal? highly paid guys must be good guys, right? >> i don't know. here's the deal. i think because there are so many stalled ipos waiting in the winds that unless the existing leaders go higher, nobody get paid, come on, this is about getting paid and many of these are about to get the stocks up in a frenzy to get the market to thaw and deals to flow again no matter how awful the merchandise might be. the investment bankers are counting on the analysts to get behind this junk. they're leaning on them. trust me, it's junk. i found it worrisome today that

two different firms said salesforce.com had a terrific quarter. bad sign or how about splunk. splunk shed 8% of its val for no reason whatsoever. it's still searching in a cave without a candle. still one high-flying insider and we have that later, shows me we're not yet on firm ground. the vicious way i am attacked on jim cramer on twitter. enough, frankly. the formerly hot stocks and i say it's been troubling. they attack me and every little bounce brings out people that tell me i'm going to be dead wrong. they have yet to be shaken out and they're the cheerleaders. guys, come on, man. there's more to life than attacking me. i don't mind, it's kind of fin, actually. i let my daughter look at them. we decided everything is fine over in russia and ukraine.

i mean, what happened? did someone say there would be no sanks? is putin satisfied? is he happy? is he happy to pre-sochi levels? do you think these levels will last if that happens? no way. what else? i can't be silent about the housing numbers. the mortgage originations are terrible. today we learned that retail sales are anything, but stellar. food inflation soared and gasoline hasn't come down leaving less for the consumer to spend and if the economy is so strong why haven't interest rates gone higher especially if russia is back burned. finally the speculators are still speculating. you say listen, i have a hot one for you. i like travelers. hey, lily. she's got a good chart. no! people want 3d systems. they want plug power, marijuana stock. any marijuana stock, tesla, netflix, amazon. you mention those and say good things about them you're a genius. that still hasn't changed. sure, it's terrific that the ipo market and the individual investors is great news and as long as i see rejoicing and

high-fives when they blip up a couple ever points and where in amazon rallies a couple and more cheering when someone declares tesla undervalued and i, let me give you the bottom line here. we have reasons to hold them and we have reasons to fold them. we have increasing greed and poor combo. the risk reward for the lower valued stocks and break up or be acquired makes up part of the market even more compelling today, even as i reiterate that the highfliers value anything, but earnings remain a source of funds and not a source of opportunities. how about john in florida? john? >> jim, i just received the proxy from weatherford. they're moving their headquarters from switzerland to ireland. this morning i saw the president doing a commercial on cnbc for xerox. when are they going to pay attention and start to earn some money instead of do all this engineering that they're trying

to do. i've been to switzerland and ireland. i like ireland a lot more. it's probable not relevant. i think they change the tax headquarters and the main thing you need to know is that weatherford has gotten its act together. i constantly talk about the oil service companies and i can't believe that weatherford finally got their act together. whether they hide in switzerland they're doing better than they used to be and it does matter. you have to be when to hold them and when to hold them. right now we have both sets of cards and the part of the market that's set on earnings hold on, and the one with the sky-high valuati valuations, still ahead, the bulls have been charging on wall street and i have a dirty little secret lurking in the charts. youio don't want to miss this. is amazon now a prime opportunity? or has it finally m its match?" mad money" will be right back. >> don't miss a second of "mad money," follow @jimcramer on twitter. have a question? tweet cramer.

#madtweets. send jim an email to madmoney@cnbc.com or give us a cal call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com.

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for weeks now i've been constantly hammering home the point that money has been flowing out of the once-loved momentum stocks in the nasdaq and then pouring back into the kind of big cap value stocks that you find in the s&p 500. i've been talking about this since march. if you believe this is the year 2000 come again, then that means the s&p 500 should be higher, not lower, i believe this. of course, i think the 2,000 scenario is way too bearish. the bubble has popped in tech for heaven's sake, but this market very much seems to favor value which has well presented the s&p 500 over momentum which makes up a preponderance of the nasdaq. however, it's always possible these trends could change which is why tonight we're going off the charts with the help of carly garner, a terrific technician, and author of the trader's first book on

commodities as well as being my colleague at realmoney.tom to see what the technicals have to say about the nasdaq 100 which contains the largest non-financial companies that trade on the nasdaq versus the s&p 500. lately, the nasdaq 100, wow! i think they've killed it, right? while the s&p has managed to steadily climb hire hitting a brand new high today, but here's the thing, when garner looks at the chars she doesn't necessarily believe these two averages can keep moving in opposite directions. she's at odds with my view. check out this daily chart going back to october which shows the nasdaq 100 in red and the s&p in blue. the volatile boom and bust nature of the nas means it can be used as a leading indicator for less volatile like the s&p. her reasoning? she says overactive selling in the nasdaq has a trend enzi to drag down the s&p and the exuberance can pull the s&p higher eventually. for example, when the nasdaq 500 outperformed the s&p back in february that led to a terrific rally in the s&p over the next

couple of months. s&p, blue, nasdaq, red. nasdaq soars and the s&p soars. of course, with the decline back in april the selling in the nasdaq 100 was a lot more severe, all right? look the at that, right some than in the s&p 500. i've told you my reasons for why that was the case. the tech and biotech stocks failed to dominate the mdx and had fallen out of favor as the mark was glutted with new supply, but based on our experience with the charts, garner believes that the excessive weakness in the mdx versus the s&p could be a real red flag for the broader market's medium-term health because she sees how the s&p will follow its more volatile comrade lower. in the short term she thinks both indices will keep bouncing from here at least until when they slam into technical resistance levels that can get more selling when they're not cleared. when you hear the pain in the index is lower that it will establish the largest companies in the nasdaq and not the newly

public companies that have been dropping like flies. let's get into more detail as we take a look at the weekly chart. garner believes that the weakness here could actually for the moment be over. why? take a look at the slow oscillator down at the very bottom. this is a tactical indicator used to measure whether security is overbought or oversold or perhaps somewhere in between and what garner points out is the decline in the mdx has driven it into oversold territory, so just imagine this is a band, right? it's all of the way down at the end of the band there. maybe the index has come down too far, too fast and historically has been due for eight rebounds, look. makes sense. we've seen that before, so why should they do the same thing. they think the nasdaq 100 could rally, she could see the index rallying to 3,742 and its resistance and that's pretty

high and that's above where it is now and she thinks it's possible the index can climb up to the next resistance level at 3,813 if we get a short squeeze. that would represent a 5.5% move from here. that's much more bullish than i am, frankly. just not there. however, after this bounce, garner's longer term forecast for the nasdaq 100 is more grim. the moving average convergence divergence line or the mac-d and an important momentum indicator is looking very ugly in her point of view. recent bears cross over where the black line crosses below the red one and that's almost always been bad and as the mdx has stabilized and the mac d has continued to decline and all which suggested garner that the path of least resistance for this index is lower. in short, she believes that the nasdaq 100 could test these resistance levels i just mentioned after a move, but if it fails to break out after either one it might turn the tide and cause the brutal selling to resume and if that happens the real support is down

at 3,120. nearly 500 points below its current levels and i think that's much more bearish than i am. take a gander at the weekly chart. even though the s&p has been trading well lately that doesn't mean it it will keep trading well. >> in fact, she thinks the s&p could become really ugly. why? remember when we talked about which shows if if something is overbought or oversold. right now while the mdx is oversought the s&p is hovering at overbought level which is is often a sign that the index has come up too far, too fast and may be right for a sell-off. the mac d looks like it could be starting to roll over here, you don't want that, okay? that would be a bad sign as the indicators are a solid track record of predicting where the security is headed. the s&p 500 is its recent strength might mean there isn't all that much upside left. the index has been trading the same upward channel for a year

now and at the moment the it forms a ceiling resistance at 1930. that's 1.7% higher than where the index is right now. you really don't have much upside and garner believes the chances of the s&p breaking above the 1930 level are pretty slim. if this ceiling of resistance holds then garner sees the s&p pulling back. if they drop the floor of support below 1850, then she thinks it's possible the index could found to the lower end of the trading channel in the mid to 1700s. oh, man. i don't see that either, but, of course, if they both break out above the respective resistance levels and they can can keep on running. however, she has one less reason to be skeptical and bullish here. and going against all of the stuff i speak about and she's talking about selling in may phenomena. so get this. i'm always bashing the sell in may phenomena, poetry is a foolish nursery run and it was dead wrong to sell in may of last year. don't forget that. they've realized the seasonal

performance and this is an average. what she found is the best time to be long stocks is november through april. so you have to go all of the way out here, right? whereas from may to october, all right, the seasonal pattern has been for the s&p to be weaker and you have to come in right here when you get back to school. bottom line, i still don't think the sell in may and go away line, i don't think it's a good enough reason to dump good stocks. there are always stocks that should go and we're not index fund traders in cramerica. it should make you more cautious about the nasdaq 500 and the s&p 500. frankly, given the speedy run to record highs, you know what? you know why i did this? there's nothing wrong with a little caution and think, never forget nobody ever got hurt taking a profit. after the break i'll try to make you even more money. coming up, get ready to rumble. tonight on "mad money," it's east versus west. the highly anticipated alibaba

ipo takes on the king of online retail amazon. the stakes are high and cramer's not pulling any punches. and later, one of a kind, there's been more than 100 ipos so far in 2014, but there's only one that has earned cramer's seal of approval. think you know which it is? stay tuned to find out. all coming up on "mad money."

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>> this has not been a good year for amazon.com. with the stock falling more than 100 points -- ♪ from its january highs down to 304 where it now resides, that's a nasty 25% decline. >> no! >> and while it pains me -- >> the house of pain! >> to say it, i think the rest of 2014 may not be so hot for amazon either. do not get me wrong. i believe amazon is an amazing company, true visionary at the hem in the form of founder and ceo jeff bezos. i am a proud amazon prime member, i have not one, but two kindles, and we trade stocks. within a few months something very worrisome might happen to the stock of amazon.

i'm talking about -- ♪ >> -- the upcoming ipo of alibaba! the largest e-commerce company in china perhaps the world. what makes alibaba as dangerous to amazon as i think? let me explain, it's the undisputed king of online retail, amazon's been the obvious best of breed choice, right? from the perspective of a portfolio manager picking stocks, there's really been no serious competition whatsoever to amazon, but with alibaba coming public, all of that is about to change. alibaba's planning to sell as much as $20 billion worth of stock on the nyse. we don't know when, but it would be the largest ipo in history if it comes like that and once these shares hit the market, the portfolio managers who own e-commerce stocks will be faced with perhaps a choice for them. they can stick with amazon or they can swap interest alibaba,

they don't know. if they choose the latter then the selling pressure can hurt the shareholders. knowing how portfolio managers think, i still run my charitable trust and it is highly unlikely that they would own both. it's kind of not in their charter. so tonight i want to show you which way these managers will jump and i think a great many of them will pick alibaba over their best friend amazon. why is that in when you consider the metrics that fund managers care about, alibaba is much more attractive than amazon, plain and simple. the growth guys will be all over it and they might use amazon as a source of funds to buy alibaba. let me explain my reasoning. alibaba is often called the amazon of china, but frankly, that's a gross understatement. first of all, alibaba is more dominant than amazon in the united states and it's 70% of all online trance kzas and they're done through alibaba's websites. second, alibaba has a different and i would say superior

business model than amazon. it is the cheapest and most convenient retailer around and wiping the floor with the competitors both online and off, but alibaba is not actually a retailer, it's a retail platform. the company connects merge ants through consumers to its websites which is for big brands and baobao which is the chinese ebay. how does alibaba make money? they take a small commission on each sale. they sell advertisements to the retailers who use their platform and because alibaba sites are closed to external search engines and that means the only way to advertise something you see on alibaba's platform is through alibaba opinion now that you understand alibaba's business, let's look at the numbers to do the comparative a malsis, amazon versus alibaba that portfolio managers will be faced with once it comes public. first of all, you have to look at the size of the tam. what's tam? wall street speak for total

addressable market. no question it beats amazon. frankly, it's not even to this -- go for the machine gun. alibaba is gigantic. it's like amazon and ebay on steroids. last year $248 billion worth of merchandise was sold on their websites, 30% more than amazon and earning bay combined. the company with 231 million active buyers in 2013 and still has a tremendous amount of room to grow. why? because china has 570 million internet users and china is bigger than the united states and it only represents 42% of the public. they're creating more and more customers for alibaba. i still think amazon has a ton of room to grow. as people do more and more shopping online, it's con yent, fun, cheap. second, who has the better multi-year growth path. where is he getting this stuff? it's all from here and i have a

layout of how to do these things. amazon got terrific growth. last year revenues increased to 74 billion, but alibaba has monster growth. we're talking godzilla, like and even if amazon teams up with larvae, i don't see them stopping alibaba any time soon. revenues up 62% last year and that number accelerated to 66% in the fourth quarter and accelerated revenue growth or arg! alibaba's mobile business is exploding and they made up 70% of the revenues and these are the kind of numbers that growth managers salivate over. longer term, the company will benefit from the rapidly expanding chinese e-commerce market and at the end of the day the future of alibaba rests on category number three. their ability to go international. we already know amazon can expand overseas and the company currently gets half of its sales from overseasis and think the

worldwide opportunity is enormous. they mentioned that three times, by the way on the call. it's beginning to expand outside of china, but i think we have to ask ourselves whose business model is better positioned to scale and that's another wall street term meaning blow it all out globally. we know amazon itself has had a hard time breaking into china which is logistics and breaking into packages and ail banna has mastered china. it's sort of a chinese paypal designed to prevent scams by keeping money into escrow. if alibaba can master china i think it would be easier for them to do business in less-developed area. plus if it doesn't have physical inventory, it should be inherently easier for them to scale up overseas and they spent much of the proceeds from the ipo in going global. amazon has proven itself internationally and maybe we call it a tie and the tie is going to the amazon runner there. finally, who has better margins

and much better profits. alibaba has a 60% operating margin. wow! this just comes down to the different business models. it is prime air le a low-cost retailer and that's a low-margin business especially when you compare it to an online marketplace like alibaba that makes the inventory that makes money in selling ads. i like that business, i hate inventory. it's growing at a 60% plus clip and it has a 50% operating margin and it's a dream come true company and it has an incredibly light business model and amazon on the other hand has very good growth and low margins and the profitability is ongdzal. it's fashionable these days to ask does the company have the moat around it? alibaba has the wall plus the moat. let me clear, i'm not saying to jum all over the alibaba, and i heard it could be valued to $250

billion. a lot of distance between those. lettay not forget that china could be a super volatile place to do business, and a super difficult place to invest. i'm not saying amazon is becoming obsolete. best way to play alibaba is alibaba, but the bottom line is when alibaba becomes public in a few months the numbers are so hot that growth managers who like or hold amazon they'll love alibaba. i don't think they'll want to own both. when push comes to shove, i think they'll sell amazon and buy, buy, buy alibaba which will make it for rockier times for the darling of the momentum crowd. can we go to chris in new york? chris? >> chris from wisconsin, new york. my question to you is regarding echostar, symbol sats, sold four or five bucks in the last four trading days and will this go to the milky way or come back to

earth with the huge p-e? >> you're fine in echostar. i would tell you to sell out because it gets a bid tomorrow. i have to tell you, this industry is so hot. that industry is what i call sizzling. i wouldn't sell it. i'd own it. let's go to ed in texas, please. >> ed? >> boo-yah, houston. >> what's going on, partner? i value your valuable insight and i wanted to ask you about zynga. it's it hit the worldwide google platform and there's a new ceo don patrick at microsoft, now working alongside the chairman. "barron's" recently wrote positive about zynga. i would like to have your thoughts. >> i like it. i said listen, it's time to buy zynga. i caught a point. it's now pulled back. i like zynga. you're from houston.

i would not put this in the j.j. watt category, like dot, dot, good. more of a lightweight, and it's a 210 pound defensive end. you should not sell zynga. you have to own it it. >> coming out with an alibaba ipo, will come at the expense of amazon. i expect money managers to sell, sell, sell, and buy, buy, buy alibaba speaking of ipos, you know there are a hundred or so in 2014? so far i only like one. find out which one on "mad money" after the break. we're moving our company to new york state.

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>> in a market where most newly public companies have seen stocks obliterated, let's cut right to the chase over the last couple of months it's always great to take a fresh face at an ipo. i'm talking about trinet group,

tint, allows small medium-sized businesses to get much better pricing for their employee health benefit plans. you can focus running your darn business rather than dealing with complex and regulatory issues that you know nothing about, but they go hand in hand with being an employer these day days. trinet came public and i told you to buy it. it it soared 19% and trading at $19.10 and, but crucial, crucial, the stock kept climb being rallying to their 23 as of today. i think because trinet has real business and real profits and recorded the the best quarter right out of the gate and 22 times this year's earnings and 20% long-term growth rate. so let's check in with an old friend, bernie goldfield, the president and ceo of trinet to find out about the company and its prospects. welcome to "mad money". >> good to see you.

>> have a seat. >> you heard my intro, one of the reasons i liked your stock and disliked every ipo for 2014 is your company is predicated upon profits. it's not a revenue-based story. >> we have a great business. we have growth and profits which is not common today. >> no. >> and the fact is that small businesses need help and we provide that help for them. >> this is the affordable care act which is impossible for most small businesses to win their way through, right? >> absolutely. people who start businesses are passionate about curing cancer, cleaning the waters and building great companies. they're not passionate about finding medical insurance. they're not passionate about figuring out the legal and regulatory part of their business and we took that off their plate and they can build great businesses. >> i had to worry about human resources and at that point i was into throwing things and not focused on people. you can't run your business the way i did in the '80s and '90s. if you're running a hedge fund, you need to call your company. >> no question about it, it

turns out that the regulatory environment has changed dramatically since the '80s and that's the big difference. it's the reporting requirements and the affordable care act is interesting, but it's the reporting around the affordable care act that causes a lot of problems and if you have people in multiple states the product goes up exponentially. you attracted 50 new hedge funds as well as private equities and that's one of the verticals that you've done well in. >> yes. we are vertically focused and that's one of our differentiators and our sales force and our products are focused on very specific industry. so if we go into a hedge fund it's a very different discussion than going into a great retail or technology company. >> that's one of the reasons why someone who is thinking about buying your stock doesn't have to fear paychex is a great company. >> there are competitors out there and we welcome the competitors. there are 50 million people that

go to work like your hedge fund and like light manufacturing and they need help. so other companies doing this are very horizontally focus said. we're vertically focus said both in our products and in on you are channel. >> you want to outsource your hr business. >> right. >> what does that person doing hr now, does that person switch to you? do you get rid of that person? >> oh, no. there are a lot of things people can do. they can focus great hiring. they can focus on the culture because you and i both know if you'll build annen during company it takes a lot of people over a very long period of time so we support the inhouse hr function. we provide the backbone. we provide the benefits and we provide the compliance and we provide all of the reports and inhouse hr in many cases, particularly as they grow are very successful in hiring great people, building the culture and building the company. >> now i thought i saw in your q and a that you moved in some other verticals. you announced the launch of

trinet travel, cloud-based booki booking. are you competing? >> we are always adding functionality to keep our clients happy. this is about building up the infrastructure so they do less and we do more. as you know, you can't stand still. >> no. >> so we have trinet expense, trinet travel and they are all products that support our core, bundled hr solution. >> okay. one last one. you say payroll came from large, regional retail chains. >> yes. it's happening. >> absolutely. one of the wonderful clients who i'm visiting tomorrow baked by melissa here in new york. >> absolutely. great stuff. >> great cupcakes. so clients like those are growing. retail, hospitality is growing. we see it across the board. my belief is small business will continue to drive the growth in the u.s. >> i am so proud. i'm glad i got behind your company and i told everyone to flip every single ipo except for yours and that's because you're

doing a great job. >> oh, thank you. >> that's burton goldfield, he's the president and ceo of trinet. look at this deal. this is the way deals used to be and don't move. lightning round is next. thank you. [ female announcer ] there's a gap out there.

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but if healthcare changes, if it becomes simpler... if frustration and paperwork decrease... if grandparents get to live at home instead of in a home... the gap begins to close. so let's simplify things. let's close the gap between people and care.

it is time -- it is time for the lightning round on cramer's mad money. rapid-fire calls -- [ indiscernible ] >> we play until you hear this sound. are you ready, skee-daddy? glen in texas. glen? >> hi, jim. >> thanks for taking my call. >> saw warren buffett were buying suncor a while back and it's under $30 and now it's almost 40. i want to know what your thoughts are. >> i don't like it as much as anadarko, papc. that's a better buy. let's go to tom in florida. tom? >> boo-yah. >> what's shaking? >> i bought some krispy kreme a couple of weeks ago. what are your thoughts on its potential future?

>> i'm lukewarm. they've got to deliver. i don't think kkd has delivered yet. they have to get back to the growth mode. we need to see another quarter. i need to go to david in arkansas. david? >> jim, you have the best show on tv, my man. >> really? thank you. >> yes, sir, you do. a few months back five or six months ago you said there was a stock worth a look. it's a nordic american tanker, nat. i took the position in the stock. i've liked it for the last four or five months. they've cleaned up their balance sheet. good dividend. i would like to add to my position. what do you think? >> they declared the dividend yields and i heard herb bjorn has been true to his mantra buying every ship that's for sale. i have to say i need some upside and i don't want just a dividend. i'm just okay and i'm not great. just because they've got to get some upside. they just keep spending. let's go to frank in california, please.

frank? >> jim, a big b-b-b-boo-yah from southern california. >> good to have you. >> do you like skx as much as i do? >> it's the momentum shoe. what can i say? it's the momentum shoe. i'm not going to fight the momentum shoe and notice underarmour, and nobody likes them and over time you will like underarmour more than you like your stock, skepers. i need to go to david in michigan. >> thanks for your great books and, that for all your wisdom. >> thank you. i have an ira. i'm retired and i'm looking at -- i wanted to know what you thought about kkr. >> i think they're moneymakers. i think that the golden recommendation is right and i want to own this stock myself. can i go to will albert in florida, please? albert. >> boo-yah, jimmy. i've been watching your show for the last ten years. >> not bad. longevity. >> bank of america, hold or sell? i have a big position in it. >> all right. my charitable trust owns bank of

america. this is very tough because i thought the bank was making a comeback, but i'm introducing tim geithner and doing a chat with him at barnes & noble wednesday night. i think that bank of america, they're just -- it's too big to manage. what else can i say? and that, ladies and gentlemen, is the conclusion of the lightning round! the lightning round is sponsored by td ameritrade. it told him what was happening on the trading floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ so the magic shell went back to being a...shell. get live squawks right in your trading platform with thinkorswim from td ameritrade. [ dog barks ] ♪

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>> when you're picking stocks you need to know where the real demand is and where it's not, but trying to figure out supply and demand isn't always that easy. sometimes stocks rally on a short squeeze and sometimes analysts push up a stock to a level that's unsustainable. a wave can propel stocks higher and you can't be sure if you're looking at real demand or the path of least resistance. that's why i like to rely on stock offerings as a way to get real price discovery, meaning they show you whether the stock is up for roll or nothing to the move at all and based entirely on hype and low volume. today we got not one, but two deals that tell us everything we need to know about what's real and what's not. the secondary offering is from kofrniq resources and they couldn't be more different than if they planned it that way.

it's a $13 billion oil company with the stock up 22% for the year because it's been one of the primary movers in texas. when it reported yesterday, it was puming 100,000 barrels of oil per day and 67% of that being crude oil and that's a new record. plus the company raises production forecast for 20% and told us there are so many drilling opportunities that it wants to exploit the balance sheet and tall of the increases will fall got bottom line which is why in a totally logical move concho commenced it raise money for the drilling budget. the deal priced this morning at 129, that was where it was yesterday and down five bucks from the week before. the stock had softened correctly. there was so much demand at the $129 level that the syndicate desk upsided the deal to 6.5

million shares and within six monos of the open concho ral fred 121 to 131 and everybody did well. contrast that with another offering. this time from examworks group which offers support services for health insurance companies. they provide panels of doctors to help perform peer reviews and bill reviews and medicare compliance. exam works is one of dozens of companies in the health care support services sector. as a once red hot part of the market that has since cooled along with so many other high-momentum co-horts, exam workses has real good revenue growth, solid earnings for tax depreciation and it is losing money on a reported basis and that's the paradigm of a former market darling that's become the bane of many a portfolio manager's existence and exam priced at $3.1 million shares at 33.90, down from 35.30 the night before. unlike the oil company concho

which sold the stock to raise money for the company, this deal mainly raised money for shareholders. these sellers, included the ceo james price and wesley campbell, all of whom pared their stocks down 40%. it broke the prim price rapidly dropping more than two bucks from the $33.90 pricing and closing down $4 or 11.3%. one company plans to double production by 2016 and needs the capital to grow. another company is simply allowing insiders to dump shares all at once. your only conclusion? the oil patch has real growth that everybody craveses. the health care record sector as they say in the old trading desk, sold to you. stick with cramer. the numbers are impressive. over 400,000 new private sector jobs... making new york state number two in the nation in new private sector job creation... with 10 regional development strategies to fit your business needs. and now it's even better

because they've introduced startup new york... with the state creating dozens of tax-free zones where businesses pay no taxes for ten years. become the next business to discover the new new york. [ male announcer ] see if your business qualifies. i'm spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast? go to ziprecruiter.com and post your job to over 30 of the web's leading job boards with a single click; then simply select the best candidates from one easy to review list.

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>> a little programming note, cramerica. i'm one-on-one with former treasury secretary tim geithner tomorrow. cnbc.com right after the show. where is it going to happen? at the barnes & noble at union square in new york. we'll get insight into his new book stress test, reflections on financial crises and get a look at what went down leading up to the pivotal time in our country.

i'm telling you, you will not want to miss this and do a free association, too, maybe even a lightning round. there's always a bull market somewhere and i promise to find >> tonight, on the profit, key west key lime pie company, a pie company nationally recognized for their award-winning desserts, run by a temperamental owner... who micromanages his selfless employees. >> i call bull[bleep] to that. is there anybody that does anything competent down in the florida keys? >> with resources stretched thin at multiple locations... >> you want me to order it even though there may or may not be enough money to pay for it? >> don't worry about that. >> u.s. key lime pie company has failed to make a profit on $1.4 million in sales. if i can't get this owner to focus on his core business of pies... if we don't make, we don't sell it--end of discussion. this business will crumble. >> i really don't want to filmed during this. i really don't. >> my name is marcus lemonis, and i fix failing businesses.