google machine. >> what does he play, the via lynn? >> it's been great here at salt. i'm melissa lee. that does it for us. catch 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 money. my job is not just to entertain but coach and teach. me call at 1-800-743-cnbc or tweet me at jim cramer. that's what people seem to want me to say. maybe we have to go lower. the averages sure put on that

vicious show today. dow down more than that at one point. s&p dropping 1%. and nasdaq dropping. why don't you say it's all over. why don't we just say too dangerous for me? i'll tell you why. in my world, there is no it. there's no it. we're not trading it. we're not investing in it. there may be fewer good stocks for now meaning that we have more stocks prone to weakness but the idea that we're finished, caput, that sort of thinking doesn't work for me. it shouldn't work for you. in a moment where the stock market is deemed dangerous by a terrific hedge fund manager, let me explain why that's too simplistic to hold up under any close scrutiny and why i'm a huge fan of him and his work. more on that later. i still prefer dealing with and trying to evaluate the

appendages of individual companies. viewers understand i turned violently for a good portion of the market for some time. namely the momentum stocks grounded in the potential for continued high sales. i don't care for these stocks because why they're more doubtable than the straw made houses of the dreaded year 2000, today's high crop of flyers are made of wood and not brick. and the fabled story of the three little pigs with the have lan reconfigured, i believe the big bad bear can still huff and puff and throe blow these wood houses down. but what about houses made of brick? meaning inexpensive stocks with solid dividends or growth companies with terrific catalyst or merger acquisitions or break up opportunities. i think when you're inside those as many of you are now, sure, it's frightening to hear the

howling of the bear and feel his heart breath as he attempts to knockdown the stocks. many people will try to make a break for it in the usual style they teach you at bear somethch. something i took while i was in alaska. you don't need to outrun the bear. you just need to outrun your fellow sellers. it could continue tomorrow even how long we have been going higher. i'm not choosing the homily of the three little pigs. bulls make money, bears make money, and pigs, slaughtered. it's natural to be tagged with the pig appolation. it's the thesis he propounds if you bother to read through what he said. at the risk of trying to explain why we even have to contend with the bear, let's go over the reasons we're huddled in the brick house to begin with. first, can we stipulate this

market has gone up a ton? i even trotted out the nursery rhyme off the charts a few days ago. but i have been addiment that it's a much better watch word. doesn't rhyme well. sell overvalued stocks in may and go away. i don't think it's too late to sell the momentum plays. many of which were bouncing at the end of the day and will probably go up tomorrow. it will stop but it will stop when the companies start merging, insiders start buying and the selling evaporates. none of these have happened yet. it will. it's not just the fact that the market has gotten so high that it's entirely logical for the people to be ringing the register all over the place. we also have the real frightened gender bond market that's much bigger than the stock market. that's the bond market which i keep talking about nightly now. >> the house of pain. >> we have disturbing inflation numbers yesterday that should have sent bonds lower and interest rates higher.

it didn't happen. i said that's something you can get a square peg fitting into a round hole. people indeed are getting hired again. sorry i like that. now that process of hiring almost always accelerated hiring almost always causes interest rates to rise. but today it was met with more decline in rates. that's a size 15 foot fitting into a size 9 pair of jordans. not supposed to happen. people freak out and sell stocks on that like they have sold in lock step as they spin scenarios that can explain this anomaly. it's a benign scenario that rates are going down because of a shortage of high quality bonds. if you have ever traded as i have you can buy spanish bonds as the bond of the united states. pick up the phone. money can go from country to country so freely it's like bonds without borders. but you have to ask yourself why

would you buy a spainish or italian bond with the same yield as a u.s. bond knowing that the full faith and credit of those countries isn't anywhere near as good as the united states. again, to simplify it because i need you to understand bonds and people are turned off by them constantly. i don't care. i have to get you to understand this. why would you buy a k-mart suit when you can buy one at neiman-marcus or nordstrom for for the same price? who would do such thing? certainly not european corporations or rich people for that matter. my explanation can still only be part of the reason because this move is so unprecedented. so we default to the demand side where we have evidence. first walmart where something like 100 million people shop. reported disappointing earnings today. throw in the bond mix and jcpenney a good money and a

spectacular number from nordstrom do question walmart's execution and there's much less demand for mortgage money. maybe it stays that way although i always say it takes two to n tango. now let's go back to the three little pigs anlage. it makes too much sense to leave it hanging there. why do i think that a brick house kind of stock will keep you from getting crushed by the housing related weakness? housing is only 10% of the economy. last time i interviewed former secretary treasurer who talked about the break down in sub prime lending. perhaps because we're so scarred by that debacle we're now ascribing more worry to housing as it deserves. i say even if that's the case, the bottom line is that if you own stocks with good dividends, excellent balance sheets and

inexpensive evaluations that i trace out nightly here on mad money, accept the roaring of the bear. don't try to outrun it. sit tight knowing you have cash and are going o to get blown around a bit and still come out safe on the other side. jack in california. jack. >> hey, jim. thanks for all the great advice you give us and help us. question came to mind the other day when i saw the merger wean hillshire or the pinnacle foods and i know that you're a big fan of white wave foods. >> yeah. >> greg ingles went over there to run it and he's fabulous. what about dean? is dean totally not attractive here? i know milk prices, wholesale milk thing is killing them. >> jack, dean -- milk is a commodity a lot like milk. there's nothing proprietary about it. i don't want to own dean foods. i hi that you have a situation where you have a company not

like dean foods and white wave. they tried to get down below 30 today and i said buy buy buy. >> caller: booyah from charlotte, north carolina. >> love charlotte. >> caller: given the ipo what is a good point for zoe's kitchen with unique concept. >> i'm watching grub hub and zoe's kitchen and chipotle all the time and i say that zoe's kitchen is a phenomenon. you can own it for now but it feels a little too much like pot belly and noodles and company so don't count on me to be in there with you. you have to grin and bear the bears. you might get blown around a bit but i'll help you get out safe from the other side. canada is not just the birth place of bieber. it may be home to the best stock

you've ever heard of. plus a billionaire hedge fund manag manager's call for caution. mad money is back after the break. >> coming up, from blush to bleach, if you want to clean nup this market, you need the right formula to meet the red arrows. a unique mix of cosmetics and cleaning supplies that can help your portfolio stay in the right shade. don't miss a second of "mad money." follow @jimcramer on twitter. have a question, tweet cramer, #madtweets. send jim an e-mail t tto madmoney@ to madmoney@cnbc.com or give us a call. miss something? head to madmoney.cnbc.com. we needed 30 new hires for our call center.

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>> in a wake of a day like this one where the whole market got slammed, i think this is a terrific moment to search for bargain basement stocks that actually represent real value. for example, we know the oil patch has been on fire lately

but what if i told you there was an integrated oil company with a stock that dramatically lagged the rest of the industry even though it has incredible assets and i believe enormous upside. talk about why i never mention it on the show. the symbol is charlie, victor, eddie. canadian integrated oil in 2009 when canada spun off it's oil assets in order to become a pure play on natural gas. not that smart of a decision but worked out for everybody. we spent a lot of time on this show highlighting the big american oil lines and the rebirth of the basin. but there's another gigantic source of crude oil in north america and that's the canadian oil sands with some of the best assets in the region. it yields 3.4% right here. yet over the past 12 months it's been a total dog. stocks down 5% year over year.

toronto stock exchange energy index, the benchmark which captures the performance of the canadian oil and gas has captured 5% over the period. it is generating greater returns on capital than it's competitors with lower cost but right now the stock is trading in line with the others despite it's superior numbers. what has held this one back. why should we now play catch up? for starters, 2013 was a stuff start for these guys. company tried to make a move on oil in canada and that proved to be a disappointment. more importantly, they have two places and one foster creek had serious operational issues last year. to understand the problems you need to understand the process of getting oil out of oil sands. they use high pressure steam to help pump out heavy crude. the oil they were producing

wasn't flowing as smoothly as anticipated. they had an abundance of steam being wasted. this lead to a series of disappointing numbers. however, they're drilling more wells to get this under control. the company is execute on this plan and get it's foster creek project working properly but the market is taking a wait and see approach which is why the stock has been such a bow wow. at this point though i think the down side will be totally baked into the stock if it just falls back to the 25 and change with a 23.8% yield. that's the magic trampoline given the interest rate competition. on the other hand, if they can deliver on its promised improvements, the upside could be fantastic. i know what many of you are thinking. you're thinking, cramer, why would we want to buy a canadian oil company when it's abundantly clear when the pipeline to bring the crew down from canada is dead as long as president obama

is in the white house? isn't that a huge blow to all the canadian players that want to pipe their oil to the gulf coast? in truth, the possibility of permanent delay does mean actually next to nothing to them. even as the consensus seems to say it's a killer. they have more than enough ways to send their oil where ever they want to. they have been using the railroads to bring it's oil to the coast where it can be exp t exported overseas and they have greater pipeline capacity than other producers and much more is coming soon. and we've seen a ton of other pipelines being built. they're not going to let our government derail their most important industry. now for the negatives. they hold 50% operating interest in two major oil sands prospects. the foster creek and christina lake with conoco owning the other half of both. good company, conoco. great stock since the quarter. despite the problems at foster

creek these projects have some of the best metrics with industry leading steam to oil ratios with oil sands you use steam to help pump out the heavy crude and they ramped up faster than the average oil sands. they believe it can grow production at foster creek and christina lake pipe 14% annually. we're seeing some of that but for these big dog companies that's extraordinary. that's extraordinary up in canada. on top of that they're moving to new areas as well. they have an oil sands project expected to be by 2017. they're waiting on approval for telephone lake. grand rapids project could be as much as 180,000 barrels although this won't be online until 2017. it has a conventional portfolio. natural gas, light, medium, and heavy crude but these prospects represent the real growth opportunity here and they're

staggering. one thing about heavy oil is that it's price tends to be volatile. that's why i like they hold 50% in heavy oil refineries in texas. because when the price of heavy crude comes down it's the refiners that benefit. it's a natural hedge against any weakness and of course for some reason if they can't get the stock to move higher, management can always spin off the refining marketing side of the business and become more of a pure play on exploration production. all in all, i don't think they're getting enough credit for its assets. i know there's the big foster creek project last year. the company is back on track on that. they're above the 100 to 110,000 barrel a day forecast. and if you didn't own it for the debacle what do you care about they have one. they used to trade at substantial premium to the other oils. now it's just in line in part because of the keystone and in part because of the operational issues i mentioned.

i think the issues are behind them. they deserve to go back to a premium. i could see this $28 stock trading in the mid 30s by the end of the year. 20% gain and after that i don't think $40 is farfetched. let me give you the bottom line here, they're not going to be stopped because we refuse to build the pipeline and i believe it's the best way to play this group. company has perfect assets, turning around and best of all it's paying you a 3.4% yield. that could serve as a nice cushion in this low interest rate environment. david in illinois. >> caller: jim, first time all,er. i love the show. >> thank you. >> caller: i'm calling about hk. it's been up quite a bit. do you think they'll sell the company soon. >> i recommended a stock that looked so bad. i think the stock is going to hold in. i think there's too much debt but i thinks back from the dead.

how about we leave it that way. digging for gold, look no further than up north. new stock we're talking about. canadian, damaged by the pipeline of keystone, no. terrific upside. paying you to wait. still to come, are you a bleach or a blush investor? don't use one without the other -- well, anyway, not knowing the difference could cost you. stick around. i'll help you figure it out. "mad money" is back after the break. you, my friend are a master of diversification.

who would have thought three cheese lasagna would go with chocolate cake and ceviche? the same guy who thought that small caps and bond funds would go with a merging markets. it's a masterpiece. thanks. clearly you are type e. you made it phil. welcome home. now what's our strategy with the fondue? diversifying your portfolio? e*trade gives you the tools and resources to get it right.

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after a really hideous day where the average got crushed, a nutdy day where interest rates plummeted even though we saw the best jobs number in seven years and got more confirmation that inflation is heating up. i think we need to ask ourselves whether sexy has gone out of style in the stock market for good. in other words do investors favor boring put you to sleep stocks over anything with the slightest amount of excitement?

forget the softwares that's a disservice to your portfolio stocks or any other high flyers. they held up better than most in the on slot rallying them to the bell. we're not talking about the difference to stocks with sex appeal or stocks like taking a double dose of ambien. i mean something a lot more simple. let's do an easy comparison we all understand. take the soft goods companies. it's synonymous with safety. if particular i want you to consider estee lauder. make up, perfume, skin care and hair care products versus color rex. the slow growing cats and dogs company that makes everything from clorox bleach and cleaning products to personal care products, hidden valley dressing and charcoal. while clorox missed numbers on the top and bottom line,

estee lauder blew away the estimates. yet they are each down a little less than 5 and 3% respectively for the year. granted they jump 3 points from 72 to 75 the day it reported but pulled back since then. it's fallen back where it was before that great color. clorox in the other hand dropped less than a dollar after it's bad miss. it's been trading sideways ever since. what exactly is happening here? shouldn't stocks of companies that perform better than the stocks that miss numbers especially in the same sector? allow me to explain. i think there's a good case to be made for buying both stocks. that's not the point here. the fact that they're not dramatically outperforming clorox is one more example of how this market prefers secure, dependable value stocks with good dividends over sexy growth names. clorox may not deliver stellar numbers but has a 3.3% yield which is becoming more

attractive as interest rates continue to plummet. who wants to own 10 year treasuries. even the 30-year-old gives you a 3.3% same as clorox. but the term for clorox pay out is a good deal higher than a 30 year treasury. they have a lot going for it but only has a 1.1% yield which means nobody is going to treat this stock like a bond alternative. let's go through the positives, though. this illustrates something very important about this market. right now they're forecasting long-term organic growth of 6 to 8%. that's so much better than clorox and some of the highest organic growth in this whole consumer package goods industry. the period company gets the vast bulk of its business from skin care and make up. those are very strong categories. it's growing like a weed worldwide. brands like estee lauder, bobbi brown, this m.a.c. which is just

on fire and also have brands like michael kors what a company that company is going to have. department stores love this company because this perfumes and cosmetics are a huge profit driver for the business. they make a fortune on this stuff. it's not a mass market operator. they serve higher rate customers, especially in the market where the company caters to the rising middle class. it's an aspirational brand. make no mistake, this is very much an international growth story. they get less than 40% of the sales from the u.s. at the moment, emerging markets represent 13% of their sales. china could be the second largest market and unlike so many other companies that have seen a slow down in china, they're doing just fine in the people's republic. they know half the population would rise up in anger if they tried to limit access to fancy make up. plus, estee lauder boosts margin

and finding working class efficiencies and of course making better use of its balance sheet so it's no wonder that when the company reported on may 2nd, they earned 64 cents a share. i couldn't believe it. that's 10 cents better than higher than expected revenues. 11.3% year over year. that's not the earnings that some people think can be manufactured by buying that stock. i think this is terrific international growth story in the safe personal care space. i like the stock down here at 72. i can't believe it's almost back to where it was before that unbelievable quarter. but now let's contrast it with clorox. here we have a companies organic sales growth that's decelerating. down. down to 1.4% in the latest quarter and weakest result in three years and they said the weakness could be expected to continue in 2015. meanwhile clorox noted in a number of other categories it's

too high versus the cheap knockoff labels of stocks we like so much and 90% are either number one or two number in the category where is they compete. those are slow growth product categories. this company gets 80% of its sales from the u.s. you can think of it as domestic security play although they're a low growth company. most of the international exposure comes from venezuela and argentina. they have to rank among the two worst economies in the western hemisphere right now. it's a nightmare that causes endless earnings down for all the company there is. clorox has the one thing this market values above all else. a hefty and reliable dividend. how do we know? we know it's the liability. company just boosted it's pay out by 4% a couple of days ago. so it's got a 3.3% yield. one of the highest in the group and while some of their business lines may be struggling, people

always buy blaech and laundry detergent and the company actually would have beaten wall street's estimates if it were not for that hideous venezuelan deval y dev devaluation. they laid out a road to 2020 saying they can produce 3 to 5% sales growth like health and wellness and sustain blt. that's been quite disappointing to a disciplined operator. you know him from being on many shows. at the end of the day, though, clorox has been hanging in there because it's the kind of secured dividends stock that lets you sleep at night. plus with it's 11 billion market cap, companies small enough to catch a take over bid from anybody that wants to buy iconic household american brands and like i told you over and over again the fever has been caught in this country. here's the bottom line. if you're comfortable with risk you can own the sexy well run

estee lauder right here. it's bargain and a discount. if you feel like this is a moment to preserve capital, stick with clorox and it's dividend which more than compensates for sub par sales and earnings performance. joe in new york, joe. >> hey, jim, how are you doing tonight? >> oh, joe, how about you? >> i'll doing just fine. hey, with global alcohol consumption on the rise, would you prefer constellation brands -- >> no, look, it was up nicely today. you know i like brown-forman. you have taken a gun to my head. this consolations brands, remarkable quarter. holy cow this company is on fire. it's doing great things. all three of those stocks i like, though. all three, different risk profiles. time to bring sexy back. estee lauder and clorox. different company, same sector. if you're comfortable with risk,

but if you believe it's time to hunker down, stick with clorox. billionaire hedge fund manager says it's not the time to be long or overlong. my take. "mad money" will be right back. >> coming up, diabetes. more than 300 million worldwide are inflicted and companies like dexcom are helping it. the stock lost more than a third of its value. is now the time to buy back in. i make a lot of purchases for my business. and i get a lot in return with ink plus from chase like 60,000 bonus points when i spent $5,000 in the first 3 months after i opened my account. and i earn 5 times the rewards on internet, phone services and at office supply stores. with ink plus i can choose how to redeem my points.

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>> even though we know companies like this have been hammered of late. dexcom is a maker of glucose monitoring systems for patients suffering of diabetes. it allows people to do that without needing to constantly trick their finger. they make a sensor you can stick on your skin for seven days and it transmits your blood sugar info to a wireless receiver. they have a remote application i can't wait to see. it's got turbo charge revenue growth. up 68% last quarter but doesn't have earnings because it's

investing it's cash in growing the business. that's the sort of stock that's going out of style on wall street. i recommended them in 2011. it's been going from 49 to 31 but that's that rotation i keep talking about. out of high growth and deval you. find out more about the company and it's prospects. welcome to mad money. >> thank you, sir. have a seat. >> thank you very much. >> you come in and you just say look, we are developing an entirely new category seeking to disrupt an entire industry. can you show us what you have going? >> sure. >> the first product is called the g-4. it's currently on the market. this is a hand held receiver. it allows patients to wire leslles lessly receive their information. they have trends and alarm systems that alert them well in advance of running into either too low or too high glucose.

next product up is called the share s. it's a cradle. it charges. it also has radio chips. it communicates to the cloud. >> okay. >> we then communicate that to an app that i have on an iphone. >> okay. >> i punch the app. i actually following the president of the company who is out in san diego. so what he is experiencing right now, this is real time information. so his current glucose level is 93. you can see the trend. i've got alarm systems on here. should he go too high or too low i'll be able to be notified both with vibration as well as with alerts. you think about a child -- >> i was going to say, how about a child in fifth grade. how about someone in second grade? they don't know themselves how to monitor. >> or even a spouse traveling around the world. we can have constant remote monitoring with this app. >> so, tell me where this -- i know you know this category better than anyone. you have been in it for a long

time. what will we be doing 10 years ago, five years ago and 2 years ago. >> ten years ago you're taking a device and sticking your finger and putting a drop of blood on a strip and sticking it in a meter and waiting 30 seconds for a number. no alarm systems, no trending, no speed, no direction. five years ago, pretty much the same thing. most of the technology was early stage. two years ago, at least we're moving into the receiver world in which we have that technology. now we're taking all of that, this convergence of health care and putting it into the cloud and making things easier for patients to use. more a part of what they do every day. taking some of the mystery out of diabetes. >> fda on board. insurance companies on board. >> yeah, 98% of our current installed base have some form of third party bear. these are all class three medical devices. we have to go through the

clinical trials and submit those to receive fda approval. >> you have been in the business a long time and helped sell a company to medtronics is your principle competitor. where are you in terms of your competitive position versus the company that you sold your company to. >> sure, well, in terms of accuracy and that's what sensors are measured by. so the latest data which is independent peer reviewed has us 50% more accurate than the latest version of their sensor. come next month at the american diabetes association we'll show more data which indicates we have moved the bar up even higher when we release that data alt the annual scientific session. >> a lot of us worked at one time or another in our careers and some people devoted to the juvenile diabetes research foundation which does favor your work. >> the proof is in the pudding

in that they use our product. we received a award this weekend by jdrf acknowledging not only me but our company. that's the individuals that have to live with it and deal with it make the choice and they choose us. right now, the exchange which is not for profit, information aggregate has us at 58% share of the u.s. market. >> coming from where you were. >> in the pediatric market 63% share. it's a big boom for us. >> i know because of this rotation there's a problem here for the stock which is that you're spending all of this money to win. >> right. >> you are hiring sales people because you have superior product. if you wanted to show more profitability i imagine you can do that but you want to beat the other guy and you have the product that everybody should have. so the expenses that you have, which are higher than a lot of the analysts mentioned, have to be a little bit higher right now.

that's the way it is if you're going to win, right? >> our long-term mission is to replace finger sticks. you have to spend money to do that. we issued our stock grants on an annual basis. they hit in march. you know what we were trading at in march. we're going to carry $9 million worth of noncash equity expense throughout the remainder of the year. we said we would be cash flow positive for the full year. we were last year. we look to be gap positive in 2015 as we continue to grow. we have said we will grow 35 or 40% every year. last year we grew 57%. >> right. >> we have a great first quarter and we look at the rest of the year in a very positive fashion. we will grow into whatever we need to. i remind you back when you said 2011 what we were trading at, you mentioned even a year ago. >> the great home runs our

viewers have had. so i think it's important to understand that context and just to tell you, the pendulum swings back. in the category dexcom has the highest. lightning round is next. [ female announcer ] the sun powers life. ♪ and now it powers our latest innovation. ♪ introducing the world's only solar-powered home energy system, which can cut your heating and cooling bills in half. call now to get

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it is time. it is time for the lightning round. hear this sound and then the lightning round is over. are you ready? time for the lightning round. let's start with suri in ohio. >> caller: hey, jim. booyah from ohio. come visit us sometime. >> i'd love to. it's on my agenda. what's happening. >> caller: okay so i have two kw questions for you. i own stifel financial, sf should i hold? >> i'm not crazy about the financials. i think the sector is a bad sector. my charitable trust has some and they're not the place to be with rates where they are. drew in michigan, drew. >> caller: hey, jim.

from lansing, michigan. >> go spartans. >> caller: some analysts like it and some don't. what's your take. >> they visit the factory for a lot of activity. i was very skeptical about this one and they did raise a lot of money. so it's going to be around for awhile. this is one you buy at 3 and sell at 5. let's go to frank in new york. >> caller: hey, jim, thank you for taking my call. >> of course. >> caller: okay, i wanted to know, maybe your opinion on -- >> my opinion doesn't matter because the analysts love this thing so much. every time it goes down they press the buy button. they'll be all over it tomorrow and recommending it again. richard in ohio, richard. >> caller: yeah, hi. >> you're up. >> caller: okay. a few years ago in the spring of, i think it was around march

or april, you recommended brocade and i bought it. i can't find the buy slip. but i think it was around $5 a share. hast the first i heard you recommend it. >> yeah. look. here's the problem with brocade it's a second rate company but the stock can rally. it trades with scisco but it's speck and there's a lot of competition in the business. i wouldn't mind. let's go to ed in florida. ed. >> caller: good evening, jim. this is ed from south florida. the cruise capital of america. booyah. >> i like that. what's up. >> caller: you have been for over 22 years. love your book get rich. hey, your opinion on cruise

stocks, specifically carnival. >> i like carnival. they had some operational problems they're back. i'm not minimizing operational problems people but i do like the cruise business and carnival. al in massachusetts, al. >> caller: booyah. >> booyah. you're on. >> caller: thanks, i'm into a stock jp morgan chase which has not been very good to me over the past ten years and i was thinking about exchanging it for bank of montreal. >> i think you have horses. the canadian banks are a horse of a different color. i think it's excellent. let's go the liam in new jersey. liam. >> caller: cramer. what's going on. >> i'm watching nordstrom trade up. we made the trade. we bought it. we didn't recommend it. sell it. all i can tell you is it was a

really good trade and maybe we can start it over again but i don't feel like the instinct is to do it right now at this point and that ladies and gentlemen is the conclusion of the lightning round. >> the lightning round is sponsored by td ameritrade. ♪ ♪ ♪ [ tires screech ] chewley's finds itself in a sticky situation today after recalling its new gum. [ male announcer ] stick it to the market before you get stuck. get the most extensive charting wherever you are with the mobile trader app from td ameritrade.

guru following never been one of my favorite ways to make money. i don't like it because you and i don't have access to the guru. you have no idea if he'll change

his or her mind but somehow we have gotten laser focused these days. it's a blessing and a curse. investors are in a tizzy over comments made yesterday. on this newly nervous position about the stock market. i think it's newly. what do i know? i quote, i'm not saying go short. just don't be too long. these comments coming from a man we know had been bullish when others were being negative sent chills down others spines. why not? he earned $3.5 billion last year at the $20 billion hedge fund. if you're buying stock here you have to take into account that it's nervous time. he wants to see more activity from the european central bank get business going on the continent. i think we're okay he says but there's times to make money and there's times not to lose money. he continues this is probably a time you're supposed to think about preserving your money if you're 120% invested it's

probably too much. you can still be long but you probably should have some cash. it sounds rational to me. i have known him a long time. he's wicked smart and mindful of risk. he's also an all in guy when everyone else is running away. he figured in the new book "stress test" that few believe the system would be shortened and he took gigantic positions in the banks. one of the greatest calls i've ever heard about. so we know he's canny in timing these moments and also a great guy. but here 's my problem. i don't have a direct line into his every day thinking. i recognize that he's not saying this is the moment to buy. but what if we paul three, four, maybe 5% after he made these comments? how about if we're not 120% long and we're only looking to get in the market or weakness because we have cash already? how about if we aren't trading

the s&p and individual stocks are getting forced down for stuff they shouldn't be forced down for? i don't know. all we know this is a nervous time. i don't know if he'll do it or not. i mentioned this lack of a second call to let you know when thing versus changed because i keep thinking about another billionaire hedge fund guru's call saying that green mountain coffee roasters was oi company on its last leg. it made the curing back in october 2011. it was right at the time. talk about nervous time. i never told you the company was basically a house of cards. the stock proceeded to shed it's value from the 90s all the way down to 16. but in the last couple of years green mountain has come back. stock doubling from 58 to 114 today. why? coca-cola bought 16% of this house of cards. coca-cola had real value. perhaps coca-cola had many more

divisions. that's why -- that's what i fear happens if you blindly follow gurus. you might have sold a shorter stock because another billionaire hedge fund manager says he doesn't like it even if the negative view is trumped by events. could his view be trumped by events? could it become a moment to try to make money again? he owes us no duty to do so. so he's too good to ignore. don't stop looking for value. believe me, he's still looking for value and what happened ifs the market gets hammered more and he changes his mind and gets ultra long. i don't want to be betting against him when he does. stick with cramer.

two companies that have done nothing of late reported really good numbers. first scisco. u.s. growth was quite extraordinary. and then after the be bell nordstrom reported. we sat down with the president of nordstrom not long ago in seattle and he said it is time. it sure is time.

they also have that terrific, terrific close out business that everybody loves. i like to say there's always a bull market somewhere. i promise to try to find it just for you right here on "mad mo >> tonight on the profit... i go inside worldwide trailers, a custom trailer manufacturer in tampa, florida. and so is this essentially a commercial kitchen? >> yep. >> that's your serving area. >> co-owners struggle to work together after their nasty breakup. >> you're a pathological liar, is the way i look at it. >> i can't work with you. >> i have my work cut out for me. for me, it's all about business. >> none of it would've-- should've been anything except for business. >> i need to put the controls in place... my name isn't going on this if it looks like this. there's no way. >> we do track our money. >> but no, you don't track your money. and make sure these bitter rivals can work together. >> yeah, you got that right! >> my name is marcus lemonis, and i fix failing businesses. i don't know how you run your business this way. i make tough decisions. i can tell you for damn sure, you're replaceable.