>> she makes a good point it topped out at these same thefls since 2013. i think it blows through. >> i'm melissa lee, see you back here tomorrow. meantime, don't go anywhere, "mad money" with jim cramer starts right now. .

. .

.

this is anti-snob stuff. the rich types don't use it. but priceline is the google of all things travel and all things eating too.

i still want priceline to buy yelp, another stock. but the reiteration of priceline is beating, it keeps beating the numbers. almost every time a report it gets hammered how many times have i told you to buy it when it gets hammered? you have to. make no mistake about it. it's both a travel play and the online reservation system for all the frugal shoppers out there. it explains the gain over the ten years since google's become public. there's one stock i'm hammering you not to trade, just to own. that stock is apple. up 4485% in the period since google became public. i say just own it. because wall street plays this quarterly parlor game i despise. each time acting as if it's going to live or die by some 90-day period. the analysts upgrade, downgrade on iphone count.

apple's overall performance shows how ludicrous that kind of notion is. that's not how you judge apple. no matter it's happening again. now that the stock is back to the old 700, the apple watchers make a cottage industry. the precise numbers, i look at it differently. i can't wait until the iphone 6 and the wearables come out. i will buy both immediately. you probably will too. so i want to own the stock. you probably should too. okay, there was a rough patch after steve jobs passed but can we now stipulate that it's much more shareholder friendly with the cash than the old apple ever was? and tim cook should be congratulated for listening to his co-owners and also innovating, executing fabulously. the last 3,000 presplit points they belong to cook. this stock deserves to be higher still. it's way cheaper than the average stock in the s&p 500? don't worry, apple will give you

a dip. but will you take it? good question. now i have to skip around a little because i have to hit the biotech beaters. because there's a bunch of them. alexia pharma up, and then regeneral ron, celgene and gilead bringing up the rear and can you believe the numbers? imagine how much money you made if you bought $1,000 worth of this? we caught some of the run on alex yon. i owe you on that one. but regeneron? its ceo was the first ceo i ever had on "mad money." the first person ever to come on this show. the stock was at $5. i pounded the darn table. you've got to own regeneron. closed today at $341.50. i have never wavered once during

that 336-point run. it's pretty much all to itself, it's developing an anti-cholesterol agent that might be taken in conjunction for millions of people around the world. and in part because sanofi and shareholder is snapping them up left and right every day. this pulls back all the time. each one of the pull backs have been viable. regeneron is one of the big four horseman along with the multiple sclerosis franchise. what can i say about the latter two that i haven't said to you already? celgene, revlomid has been successful against cancers. and as well the work it is doing to combat different forms of arthritis. it's still cheap when valued on what i endlessly tell you are the out years, meaning a couple of years from now. nowhere cheap is the endlessly

galloping gilead, which despite going down has jumped by 13% and could have much higher before -- versus the humdrum pharmaceutical companies that's because gilead has a reliable cure for hepatitis c. what people wouldn't people play including insurance companies for a cure for that dreaded disease? there competitors at work, but the fda doesn't speed up the lab work for me too products. do we netflix tonight? maybe we watch tv. that's the question in my household. how about yours? i mean, tens of millions of people subscribe to the service. of course like all the other stocks up 1,000% or more, netflix has been doubted the whole way. even as this rally hit 2078%. it's indispensable. i can't believe that another company hasn't bought it yet. what fools those other mortal companies be. now there are a couple of surprises on this list. the first is a stock that's done

poorly. it's hard to spot. intuitive surgical. struck gold with the da vinci surgical machine. the stock has increased more than 1028% but it's too late for this guy. the others western digital. wdc. i used to have a 4.9% position in this company when i ran the hedge fund. darn it. i like many others used the storm play to back up the cell phone pictures. almost flagged in hedge fund conferences as overvalued especially now that it's is up 1304% but the average stock sells for 18 times earnings. this gem is is 12 times. the more pictures you take the more you need it. you need plenty. finally, no coincidence, salesforce.com. a gainer, just reported tonight its ceo one of the most bankable men i know as i write in "get rich carefully" delivered another excellent quarter. most tech companies i deal with

were blind sided by the cloud. salesforce invented it it's a buy. 12 stocks have beaten the performance of good morningal since the ipo. what do they have in common? amazing growth. i think they were as visible as it gets, including analyst flogging by me on "mad money." i say let's stop dissing the market, but perhaps you need to own a winner and i just gave you a list that contains a whole roster of them. let's go to alan in florida. alan? >> caller: jim, in eagles to the super bowl, booyah to you. >> i'll take an eagles over steelers booyah. you know, preseason. go ahead. what's up? >> caller: hey, i'm looking at mobile, because they have the leading driving technology that will save lives. the big car manufacturers are already installing this stuff. e line says they have a better automobile better than google. and the obama administration seems to be on board with this. should i get in the driver's seat --

>> well, look, someone in twitter said, jim, why do you hate mobilize? i happen to like them. they're good, yeah. i think it's okay to buy. i'm with you. i think it's excellent. it's just another really good israeli kind of technology company that i want to get behind. hi, hater, stock dissing the market. you have a list of stocks outperforming even google. it's all about growth. and don't miss my exclusive with ceo marc benioff. and plus, behind the boom. my search for the best ways to invest in the american energy revolution continues. by looking at sand. but this is no day at the beach. stick with cramer. >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets. send jim an e-mail to madmoney@cnbc.com or give us a

call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. i make a lot of purchases for my business.

and i get a lot in return with ink plus from chase. like 50,000 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. travel, gift cards, even cash back. and my rewards points won't expire. so you can make owning a business even more rewarding. ink from chase. so you can.

. is it finally time for salesforce.com to resume its long march higher? they have been trading sideways in the mid 50s for months after a hideous decline during the spring when investors fled from all things related to it. short term, the stock is flat for the year, down 20%. opportunity. here's the thing, nothing has changed at the underlying company. it's all about what's in style on the wall street fashion show. salesforce.com just reported and the company gave you a one cent earnings beat off the 12 cent basis, up 38% year over year. acceleration. it edged out wall street's expectations so let's check in with marc benioff the chairman and bankable ceo of salesforce.com to hear more about the quarter. welcome back to "mad money."

>> hey, jim. thanks so much for having me on today. i really appreciate it. >> all right, marc, let's cut right to it. when you have this guide up it means there are certain parts of the businesses that are on fire. my sources are saying that what is really coming on is exact target this quarter. that you're doing some new work in marketing that's kind of taken the next step up. what are you doing with marketing that's an inexact target doing this? >> well, number one, it is -- it was an awesome quarter. you saw, jim, we have got -- i think what you -- we've got accelerated revenue growth. accelerated to 38% from the year ago. now, more than $1.3 billion for the quarter, that was just amazing. and jim, we have now crossed that $5 billion revenue run rate as well. i don't think there's ever been a software company that has grown at 38% at a $5 billion run rate before. that's why salesforce.com is so excited today. >> i double-checked that and

there isn't. today you're the tenth fastest -- best company in terms of performance after google became public. you're right about the growth. now, in this quarter, you have got some very big partnerships. what does it mean when you have a partnership with microsoft? it was ballyhooed. doesn't bring money to the bottom line? >> well, first, you're absolutely right. we celebrate in june the tenth anniversary as a public company. we have delivered more than a 1700% return to our investors over the last decade. we have been thrilled to be a public company and we're actually thrilled with that result. the answer to your question about exact target, it was an incredible quarter for exact target and we saw our ability to sell that product and have success with the marketing cloud which is what exact target has become. something we have never seen before and we have seen incredible companies become successful with exact target. let me link that to your microsoft question.

the number one question of exact target is microsoft. who has built a great new product that they have called office 365 on top of our salesforce marketing cloud. and that is -- that brought us closer with microsoft than ever before. we're using more sequel server. they're using more salesforce.com inside microsoft. it was natural for us to form an alliance and we have seen incredible reception from all of our customers looking at this amazing integration that we have between office and salesforce. >> now, how about the phillips deal? another partnership that you're highlighting. >> oh, phillips, you know, i was -- you know, jim, number one, i spent more than a month of the quarter living in europe and just had a great time over there. really working hard on our france business, our german business. our u.k. business, all which you can see the european numbers are just, you know, beyond

expectation, jim. and then, yes, we had incredible announcement with phillips where we're becoming their standard health platform. they're becoming a software company and building applications using salesforce as the platform to do that. and we also saw incredible announcements in the quarter while i was in europe with other great organizations like roche who showed how the next generation hardware and clinical equipment is being built on top of the salesforce platform as well as louis vuitton. you will see more than 10,000 louis vuitton sales rep with the new client telling app. we talked about home depot using that. you have seen that at community home depot.com and in the stores and with their employees and now louis vuitton which is the other side of the spectrum in retail, you know, is implementing the same technology. we couldn't be more excited about that.

>> all right. a lot of people are telling me that the work that you guys are doing right now in social media, linking twitter, facebook, able to help retailers, all the other companies what is being said about them is attracting -- is attracting business to marketing cloud. >> well, jim, that's absolutely 100% right. i'll tell you, it's never been more important for retailers and all businesses honestly to connect with their customers in a whole new way. and certainly that's what drove safeway to do a huge deal with us this quarter. you know, now you know we're dealing with safeway, we're implementing our salesforce one platform which is salesforce running on mobile phones, salesforce running on social media. and helping them to connect with their customers in store, online and incredible new capabilities. >> the stock is unchanged for the year. does it matter in terms of stock compensation that if your stock say doesn't go up this year, does that impact how you can

hire people? impact you getting the people that you want versus google, facebook, which are very competitive to other places to get jobs. >> jim, we have the absolute best management team in software. you can ask anybody that. we have created that by yes, having world class compensation, both cash and equity based. by creating the best darn software company in the industry. you may have seen just yesterday "forbes" magazine awarded us the most innovative company in the world. for the fourth year in a row. and "fortune" magazine recently awarded us best place to work. number seven in the world. not number one, but working for number one on that. but i'll tell you that's what attracts people to work at salesforce. it's a great company and we have a huge long term view and, you know, as you know, we have been public for ten years now. and you know we have seen that stock go up and down over the

last ten years but we're looking for the next ten years and where do we want to be ten years in now? i can't do quarterly -- quarterly reactions. i have to deal with the long term and i think for the long term we're doing pretty darn good. >> well, yes. clearly, the tenth anniversary in being one of the top ten companies in terms of performance you're doing that. marc benioff, ceo of sales force.com, thank you. >> i hope to see you at dream force october 14 to 16, the world's biggest technology concert is coming and we have bruno mars this year. so don't miss it, jim. >> thank you, marc. thank you. thank you, bruno mars. after the break i'll try to make you even more money. coming up, stay in touch. it's the company powering the taps, tolls and transactions you complete every day and a screwup on wall street could be presenting an opportunity to buy into the technology. cramer reveals the name, just ahead.

where the reward was that what if tnew car smelledit card and the freedom of the open road? a card that gave you that "i'm 16 and just got my first car" feeling. presenting the buypower card from capital one.

redeem earnings toward part or even all of a new chevrolet, buick, gmc or cadillac - with no limits. so every time you use it, you're not just shopping for goods. you're shopping for something great. learn more at buypowercard.com doesn't it seem like you find the things everywhere? i have got to the show my good looking mug on this i.d. card every day to get to work. but apparently not everybody is on board. you see, on monday, an analyst

at goldman sachs came out with what i regard as a striking condemnation of nxp semiconductors, which makes both high performance chips and standard semiconductor components like these i.d. cards. and in response, nxpi stock got slammed. of course, goldman sachs is down as much as 5% intraday. off 2%. >> the house of pain. >> i think this downgrade where goldman cut the stock's rating from neutral to outright sell sell sell was a huge mistake and tonight i want to explain why. pashtd of the -- part of the issue is that goldman analyst i won't name him because i'm a gentleman. he has a serious credibility gap when it comes to the semiconductors in general. and xp specifically. although his sell sell sell on intel has been down right ridiculous too. he first downgraded nxp from buy

to neutral this past january when it was trading from the 40s. if you listen to this goldman sachs analyst you know what happened? you missed a huge gain. now he's doubling down on his negativity and i think this could be a terrific buying opportunity, in a stock that rarely gives you this kind of pull back -- thank you to goldman. first you need to understand why this downgrade is why and why the semiconductors deserve to be bought, not sold. this goldman analyst makes three terms and i think all five arguments fundamentally misrepresent this company. maybe when you hear his critique you should play some jeopardy, dumb research for 100 anyone. please put your answer in the form of a question. first of all, he wonders and i quote, why does the market appear to be ignoring the fact that nxpi has a low margin and low growth commodity standard

products business when arguing for a peer group for the stock? he thinks we should pay less for nxp earnings because it has a low quality semiconductors business. if the semiconductors only had this commodity business and nothing else, then the negative analyst probably would be dead right. but in reality, the company's commodities standard division only accounts for 23% of the sales and has been a shrinking piece of the pie for years. the vast majority of nxp sales come from the high performance business, it makes chips that are proprietary. and it's a cash cow for the rest of the company. this kind of cow. how about the downgrade second objection, why does the market not discount nxpi's multiple to reflect the growing percentage of portable and commuting revenue like for the peer group? this question is actually easy to answer. first of all, nxp semiconductors trades at next year's earnings

estimate and needless to say a wholesale discount to the s&p 500 average stock. second, this goldman analyst he doesn't like the computing mobile businesses. but again, this is a pretty darn small part of the pie at nxp. just 12% of the sales should come from portables and commuting and most of that comes from a broad array of customers. that's very different from the nxi peers. if you look at eva go technologies they get 15 to 20% of their sales just from apple. another 10% from samsung. how about maxim integrated, samsung accounts for 24 to 30% of the business. nxp semiconductors doesn't have the level of concentration. nxp is a mosaic of customers which is part of why i think the stock deserves a higher valuation. not a lower one. it's diversified.

the third bearish argument why does the stock market strip out expense when it includes expense for most of the peers? simple. because nxp semi can issue stock but doesn't expand the float. the company still has 13.5 million shares left on the repurchase authorization. that altogether represents nearly 10% of the share count. a gigantic appetite for the own stock. don't see that in the tech stocks. why does the market argue for a peer group despite the margins being lower than the peer group? okay, they have a gross margin of 50% and operating margin of 26%. which is not bad at all. but the reason it doesn't deserve to be traded at a discount to the industry is because of its incredibly rapid long term growth rate of 23%. that makes the stock inexpensive at these levels.

the final objection, why doesn't the market draw an analogy between nxp and what happened to other analog companies that pursued apple hand set business in an attempt to drive outside growth? okay. attempting to drive outside growth by being affiliated with apple, let's think about this. the guy is talking about the fact that nxp's communications technology is expected to be part of the iphone 6. i actually like that. this allows for short distance contact list communication between devices. for example, smartphones that can exchange information with a tap or a wave or waving your phone at the register in order to pay for things. do you know that nxp invented near field communication, which is why they control 50% of the market and why it would be logical for apple to use their technology. oh, but the goldman analyst is implying that apple is a fickle mistress. buy buy buy, sell sell sell. so we should therefore be his taptd to pay up for any growth

apple driven. if you look at those who have gotten in bed with apple, you find they trade to a premium at nxp. maxim ander is us trade, and the worst is happens is that they get some apple business. they'll be valued much more highly if they get that big piece of business. in short, this guy is negative. and he's wrong. but i do appreciate the fact he phrased each point as a question. if only for the entertainment value. the truth is nxp semi is riding the near field communications business. you have to look into that. and then the company is a huge player on the secured element market. a secured element is a chip that keeps all of your information encrypted so that only you can access it. and one of the fastest growing segments here are the emv chips, that's the standard that you're going to have to get to know. that you may have seen embedded

on the front of your credit cards. they're a huge help in terms of fraud prevention. china, the government mandates that all credit cards have them in china. but here in the united states, this the technology it's just starting to ramp up. i got that from people who work at visa and mastercard. and nxp semi controls the market for this chips. they have the best technology. oh, let me add this. nxp is the number one player when it comes to making chips for automobile audio. and infotainment systems. you know how much we like harmon for the very business. by the way, harmon is continuing to go higher. plus with international rectifier, a similar if smaller semiconductor company catching a takeover bid yesterday from infineon, goldman went from sell to hold. yeah, he had a sell on a -- that got a 47 premium yesterday. i think it makes sense to view them as a takeover target.

in case some of the big boys want to break into the markets, well, of course here's a little icing on the take. the company is based on the tax haven of switzerland. another potential inversion candidate. here's the bottom line. i think goldman sachs was dead wrong to downgrade nxp semiconductors on monday but their mistake is your opportunity. as you now have the chance to buy a high quality stock at a discount. how about stock gifts for 500? delores in texas. >> caller: jim, a lone star state booyah to you. >> i like that. how can i help? >> caller: i'm calling about rf microdevices. is that a buy, a sell or a -- >> no, after they put that combination together, they became my second favorite after skyward solution. you have a winner. i wouldn't have said that before the merger but that's a real winner. why don't we go to steve in florida. steve? >> caller: hi, jim. thanks for taking my call.

calling from central floridament my question is for micron. m.u. there's been a number of bullish reports surrounding the stock lately. do you think it still has room to run? >> i have to see what samsung really is going to do in terms of additions of chips but you know what after listening to meg whitman this morning the pc business is in growth mode. i think you're fine with micron. i like intel more, but micron is good. the bears were wrong to downgrade the nxp stock, but take advantage. your opportunity. much more "mad money" ahead. the american oil and gas revolution is the real deal. i have a domestic player up more than 170% this year. then find out why riding a $17 billion check to the feds actually made bank of america's stock soar today and if it can

continue to run. and it turns out the phone in your pocket can -- let's find out when i take your calls in the lightning round. you know what i love america? fine barbecue, good times and zero heart burn. and that's why i take prilosec otc each morning for my frequent heart burn because it gives me zero heart burn. prilosec otc the number one dr. recomended frequent heart burn medicine for nine straight years. you can beat zero herat burn prilosec otc one pill each morning 24hrs, zero heart burn

your studied day and night for her driver's test. secretly inside, you hoped she wouldn't pass. the thought of your baby girl driving around all by herself was...

you just weren't ready. but she did pass. 'cause she's your baby girl. and now you're proud. a bundle of nerves proud. but proud. get a discount when you add a newly-licensed teen to your liberty mutual insurance policy. call to learn about our whole range of life event discounts. newlywed discount. new college graduate and retiree discounts. you could even get a discount when you add a car. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance.

all week we have been taking a peek behind america's oil and gas boom. fueled by new technology that's allowed for explosive growth in all of the unconventional shale places. i'll tell you, this is where the action is people. that's why tonight i want to introduce you to one that i think is so exciting. it's emerge energy. emes. a master limited partnership with a 4.6% yield. one of the hottest stocks in the oil patch. it became public at $17 last may of last year and then it's rallied more than 600% to $120 today. how has emerge energy been so strong? what possible business could produce that performance? one word, sand. that's right. they mines, processes and distributes plain old sand. it's a key ingredient in the fracking process. and fracking huge quantities of water blast open the rock which

unlocks previously hard to reach oil. in order to pump it out, you need a substance to keep it open. there are more effective materials like ceramics, but they're also a heck of a lot pore expensive which is why a company has been losing business as some of the biggest clients switched to sand. hence why the stock of carbon ceramics have been higher. emerge is the leading producer of northern white silica. on top of that they have a fuel business where they have two storage facilities and the company distributes refined motor fuels, although sand is driving it here. the results were incredibly strong. and they plan to double its sand capacity. can the stock keep roaring? let's look with rick shearer, the ceo of emerge energy services to find out where h his -- more about his company. welcome to "mad money." >> hey, great to be with you again, and thanks for highlighting emerge energy.

>> this was the -- i happen to have been on the conference call of the oil company that said, listen, we're switching to sand and it kind of took me breath away because the guys at carbo have done really well. but it seems in your presentations that sand is a better bargain for those that want to get their drilling costs down. >> yes. now, that's right. we have got resin coated sand as materials that are used and ceramics as you noted, jim. but by far and away 90% of the market is made up of natural frac sand as the best product. on the ceramic side, the economics dictate a lot of the decisions being made because the costs for the ceramics are 700 to $800 actually, a ton. resin coated sands are typically 400 to $500 a ton and typical average price fob the plant

anyway of natural sand is in the 60 to $65 a ton range. economics is clearly an issue. and also, more and more performance people are looking to the high performance northern white sand like emerge energy has as a very good material that can be used very broadly and most of the drilling that's going on right now. >> rick, one of the things that i think is worrisome for some investors, a piece entitled from bank of america, new capacity nearly sold out. in orders if everything is nearly sold out, how are you going to beat earnings year after year? >> well, i think you're right. we have added two new plants actually, jim, by the first of the -- first quarter of 2015 we're going to bring on double the current capacity, 5 million more tons will be the leading frac sand supplier in the first quarter. and as you noted, we targeted 80 to 85% of that capacity to put under long term contracts.

we have achieved that. actually ahead of schedule. as a result of that, we just announced that we're looking to open up yet another mine and another plant to grow our business further to keep up with this demand. and one of our strengths at emerge energy is to react more quickly than many others to the demands of the marketplace. so we need to keep that curve going and keep up with this strong demand. >> is it a factor that you have 4500 rail cars and you need many many more rail cars to deliver the sand? >> yes, we do. if there's a pinch point in this whole supply chain, jim, it is the rail car issue. it's very difficult to get more rail cars. we more than doubled the number of rail cars since the end of last year. and frankly, as we build out these two new plants by spring of next year, we're going to need to go from 4600 rail cars

to 8,000. and when we put in this next plant that is on the table right now, we'll be over 10,000 rail cars. there's a shortage out there as you noted. and we're working very hard to get our contracts in place and pressing our customers to put more and more of their rail cars in our system. so that's a challenge. it's one we're managing and managing well, but it's on everybody's list right now of high priorities. >> well, you have done a remarkable job for shareholders. it's been maybe the greatest performer that's become public in the last year. continues to do so. rick shearer, ceo of emerge energy services. thank you for coming on the show. >> thanks a lot, jim. great to be here. >> great yield, great growth. you know what, that's what we're all looking for. "mad money" is back after the break. don't just visit new york.

visit tripadvisor new york. with millions of reviews, tripadvisor makes any destination better.

>> announcer: lightning round is sponsored by td ameritrade. [ bell ringing ] >> it is time. it is time for the lightning round. you say the name of the stock. i don't know the calls or the name of the stock ahead of time. i tell you whether to buy or sell. when you hear this sound -- [ buzzer ] -- then the lightning round is over. are you ready, skee-daddy? time for the lightning round.

we'll start with lilian in new jersey. >> caller: hi, jim cramer. my question -- i know you have -- building materials companies like home depot and recently you had the ceo of tripoint on "mad money." my question is, what do you think about the home builder toll brother? wait for the earnings until the september 3rd? >> i think the toll is going -- congratulations by the way. home depot will do a great thing. the thing about toll brothers, the banks today told me that things going higher. i think that the people are wrong. i think you buy toll brothers here. why? because it's cheap and everything else is moving in this market. i need to go to tyler in massachusetts. >> caller: hey, a big old boston booyah. patriots go all the way this year. >> tom brady has a good camp and kenbrell thompkins is a good eighth round pick. >> caller: i want to know your thoughts about yelp. >> i don't care where it's come from, i only care where it's

going. higher. i want to struggle to stay independent. for a lock on the yellow pages. a remarkable company. brad in south carolina. brad? >> caller: yes, sir, i have a -- i have to ask you a question on chevron corporation. newly invested in this. >> i did not like chevron's last quarterment i don't think it will go anywhere versus royal dutch a much better company right now. i used to like chevron but it's royal dutch's time. grant from virginia. >> caller: booyah from virginia tech. -- solid long term company. >> which one? >> caller: staples. >> no to staples. said the other day that pet smart was getting amazoned but pet smart is just okay. the one things that are standing out right now are companies like ross stores. beautiful quarter this evening. that's to the sweet spot. steve in pennsylvania. >> caller: jim, how you doing? thanks so much for taking the call.

you have the best personality in the business. >> oh, man, you're too nice. thank you. >> caller: my question, you made a call about three months ago, canadian pacific. 155, it's up to 200 now. my question is it's got a p.e. now of almost 38. do i stay the course? >> i have two words for you. not done. let me be specific, not done. i'm going to -- it's a twofer because i'm in a generous and jovial mood. i'm giving you union pacific to go with canadian pacific and that, ladies and gentlemen, is the conclusion of the lightning round. >> announcer: 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. wherever you are with the mobile trader app so i can reach ally bank 24/7, but there are24/7branches? it's just i'm a little reluctant to try new things. what's wrong with trying new things? feel that in your muscles? yeah... i do... try a new way to bank, where no branches equals great rates.

how the heck can a company write a $17 billion check to the government and still have its stock go higher? that's a legitimate question considering that bank of america's stock is soaring now that the company's paid the department of justice its bounty. of which more than $9 billion is cash from the barrel head. enough to wipe out a quarter's worth of earnings along with any reserves. the answer is simple. we're now about to estimate what bank of america can earn. we're now able to put a number out there that can be reached. we are in the realm of what is called normalized earnings power. what does that mean? see, as long as the litigation hung over bank of america's head it was impossible to figure out

what the company could earn. there was so many lawsuits by so many government entities, so many charges. so many billions of dollars in legal fees, all on top of the $60 billion that had already been shelled out for past crimes that you simply are guessing about what the pane could actually earn the eps. this decision to pay took the earnings estimates out of the guess work category and into the pencil and paper world of how much of the net interest margin, fees and investment banking could fall to the bottom line if everything goes right. not to the lawyers, not to the government, but to you the shareholders. i think the answer is $2 per share in 2016. maybe even earlier if rates were to spike to 3% on the benchmark ten year. that makes the price to earnings multiple the cheapest in the banking group. or you could argue maybe the cheapest in the entire s&p 500. that's because i think bank of america is an earnings machine,

which has been hobbled forever by the sins of the fathers. remember this bank spent $4 billion buying country wide which is the single worst acquisition in the history of business. think of how much time the top dogs at the bank had to spend on the matters. just think of the horrendous misallocation, the drain that this litigation produced thanks to the settlement that's all behind bank of america. now, let me say that i think the justice department truly held bank of america out to dry here. there's no rhyme or reason for the $17 billion figure. other than it was bigger than what jpmorgan paid, given that the -- it gave better headlines. money comes out of the pockets of you the shareholders. people who did nothing wrong. no criminal prosecutions, no person walks. or anybody else for that matter. when i heard the man who so ably ran wells fargo talk about this miscarriage of justice, my blood boiled. dick said that the government extorted the money from shareholders who did nothing

wrong. i agree with dick. i think this was a witch-hunt plain and simple. i was never a big fan of what the banks did in the recession. a lot of bad actors. they were the biggest participants in the proximate cause of the whole darn thing. but the fact that this is grand standing is fanciful. if they wanted to change behavior, they'd be putting people in jail. i hope this sad chapter of justice gone wrong is now behind bank of america. the company is more than paid its dues. its stock is now free to roar higher as it did today. but the fact that the bankers who did this are still free and not even on the run, that's the real outrage here. that's the travesty that should never be forgot. stick with cramer. ♪

[ male announcer ] during the cadillac summer's best event, lease this 2014 ats for around $299 a month. hurry in -- this exceptional offer ends soon. ♪

hurry in -- this exceptional offer ends soon. i make a lot of purchases foand i get ass. lot in return with ink plus from chase. like 50,000 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.

travel, gift cards, even cash back. and my rewards points won't expire. so you can make owning a business even more rewarding. ink from chase. so you can. funny thing happened this morning on "squawk on the street" when meg whitman came on the set for hewlett-packard, it was down a dollar. by the time she finished talking it had the biggest percentage gain on the s&p? she told a compelling story on pcs and there's cash. i can tell you if you think of the gross domestic product of

the world is getting better and you want a tech stock, hewlett-packard is going to work its way even higher. like i say, there's a bull market somewhere. i promise to find it for you here on "mad money." >> narrator: in this episode of "american greed"... one man's bold scheme to get rich quick. >> the opportunity was there for them to make easy money. >> narrator: albert talton puts a modern twist on one of the nation's oldest crimes -- making counterfeit money. >> this one was different because it was just a computer and several printers that were utilized to print this large amount of counterfeit. >> narrator: talton circulates more than $7 million in phony cash around the globe... >> he was almost proud of what he'd done -- his perverted version of the american dream. >> narrator: ...and launches the u.s. secret service into the largest manhunt of its kind.