press on a short side. to be sure though looking at trades like home depot t smart thing to do when you get a completely different story is out. >> our time has expired. go to pgss action at optionaction.cnbc.com, see you tomorrow at 5:30, have a great night. my mission is simple to make you money, i'm here to level the playing field for all investors, there's always a way to find it. "mad money" starts now. >> hey, i'm cramer, welcome to mad money, i'm trying to save you money. my job, not just to entertain you, but to educate and teach. so call me. at 1-800-743-cnbc and tweet me @jimcramer. >> a lot of things going wacky, the dow fell 61 points, the nasdaq dropped .53%.

what's causing the turmoil? a lot of it is behind-the-scenes action in the bond market. something i've always told you can be a real problem for equities. now let's jump in with our game plan to figure out what's happening with the market. typically i start with monday. i'm going 0 get to that first you need to know, next week we've got a fed meeting on wednesday. and today people put on a lot of bets that the fed is going to signal rightly or wrongly, i don't know. that the easy money is about to end. we've had the considerable amount of time, that's a term of art, that we knew they were going to wait for before they started raising rates. i've told you there's going to be an air pocket in the stock market. when they do and i've wanted you it to be ready for it last week's game plan i mentioned i thought strong retail sales number could stir the fed and cause rates to rise. we got the strong retail sales number and interest rates spiked in anticipation of the fed changing its policy wednesday. now as i've said repeatedly on

the show and books, we have to respect the bond market because when it takes violent action, it could leave tremendous damage in its wake. today's action seemed a bit ominous. as interest rates moved up dramatically. and the yield on the 10-year treasury went up to 2.6%. historically it's not that high. but we know from the spring of 2013, that the velocity of the move is what freaks people out and causes them to sell stocks like they did back then. i san jose get rich carefully, these days if you don't know about the impact of the colossal fixed-income asset class as it's called, you're investing imprudently and taking far more risk than you realize. i think rates shouldn't be moving up that fast. we have sewed commodities going down. there's not much inflation. weak housing and higher rates won't make that better. we've had stronger employment figures, but not lately and not so strong that the fed should be slamming on the brakes or signaling it will. europe is on the brink of

recession, we might need moren inny to fight a war against isil. these are terrible for the u.s. economy. let's throw in the real start of the affordable care act corporate pain. that's why i still believe that our economy and the global economy aren't yet ready for dramatically higher interest rates. hence while we saw big decline today in so many stocks, that can't beat their all-important estimates, if higher rates they have a process, they say, let me think. rates are going higher, maybe inflation is picking up. or maybe business is getting too hot. these investors take their cue from bonds and their playbook says they're supposed to sell and sell and sell. their economically insensitive stocks. the companies that grow the same regardless of how the economy is doing. the food and drug stocks, as soon as the economy looks like it's getting a head of steam. they're selling all day.

fingerprints everywhere selling these kinds of stocks. then there's the third group of sellers i know. there are a ton of sellers out there. these people who have been hiding in the stocks of higher-yielding companies. the ones we call in this show, bond market equivalents. they're thinking, who needs these higher-yielding stocks with so much risk when we finally might be able to buy the real deal? some high-yielding bonds. now we've seen this happen time and again. every time interest rates make a sudden move up like we're getting now. so the master limited partnerships, the utilities and the real estate investment trusts, they got crushed today. we had a fourth group of sellers, those who see the deflationary action in commodities, because of the belief that the rest of the world is falling down. they're judging this on the declines in the prices of iron ore, copper and most importantly, oil. this bearish cohort is dumping all of these stocks. especially the most high-flying

oil and gas independents in all of the drillers. at least there's another side to this trade. cheaper oil caused the transportation stocks to have a mild rally. someone out there had a rational thought recognizing tame inflation is good, not bad. final tli there are the sellers that i personally fear the most, the ones i've been warning you about endlessly in the last few weeks, i'm talking about the sellers -- who are raising cash to get in on the monster deal that is the alibaba ipo. as soon as i heard today the deal was over-subscribed, meaning there are too many buyers interested in at this level, i knew we might have a tough one on deck. i knew we could tank. because boy, that deal is going to sop up a lot of dollars. dollars that aren't in the coffers of the mutual funds, the alibaba deal is going to be huge, perhaps the largest ipo ever. that means fund managers will need to do selling in order to

raise money to get a piece of it. we saw selling all day, especially if a stock, any stock with growth characteristics that are less attractive than a alibabas. now i'm going to talk about alibaba all next week, everybody else is, too, from what i'm hearing the people steering the deal, the guys running it, book runners, they don't want to gouge the buyers, they want to give awe good deal so on monday, you got to fight for some shares. i don't know if you can get any, but you need to try. i'll tell if you this thing gets overheated by later in the week. right now the terms sound so sweet and they'll stay that way unless alibaba gets valued in excess of $200 million. that's where the bell gets run in the size of facebook. $200 billion. will there ever be more selling ahead to buy the shares of this chinese stock. i've jumped from wednesday to friday. how about the rst of the week?

monday we'll be hearing about apple preorders for the new iphone. i think they'll be terrific and the stock is not done rallying. it went up again today. i bet yahoo keeps climbing like it did today. this is a stock i pushed because it owns such a huge stake in alibaba. when it sells some next week, yahoo will have enough cash to reinevent itself. it means the whole enterprise away from the stakes yahoo has in it is being valued zero. tuesday, we hear from adobe, the software company that's expanding to the cloud. i suspect even if it's real good, the hedge funds and mutual funds will still sell it to pay for, you guessed it, alibaba. besides the fed on wednesday we're going to get a worldwide economic check when fedex reports. i think we'll hear about the speed in the united states, but the vast slowdown in the rest of the world. thursday, we get earnings from rite aid, i think, i hear this sound every time someone

mentions the name rite aid. i know, it's been a dog. i'm urging patience. rite aid has had a huge turn-around. rad in the stock has tripled. i say don't panic. we'll also get results of con-agra. this company is the poster child for the tough times in the food aisle. i would love to hear about divestitures and the need to buy more natural and organic. i suspect we'll get another difficult quarter. which will bring people back to buying. cramer faves, white wave foods and haynes celestial. the anti con-agras. so funds can capture the red-hot alibaba deal. i'm not crazy about the set-up going into next week. i've been dreading for ages what might happen if alibaba siphoned off money at the same time the bond market became competitive to stocks with decent yields, i think we're in for turmoil next

week. get some alibabo or simply have cash ready while fixed-income and alibaba-related selling riles our markets. >> signed several deals this year, including one with coke, 10% stake in grand mountain. and additional 16%. also recently, took to incorporate certain coca-cola. >> green mountain, it will to be able to raise capital for alibaba. your chance will be to buy green mountain, keurig, on friday. after all the money has been raised to buy alibaba. >> jay in new mexico, take four taking my call. i've been watching your show for a long time. i can't thank you enough.

for your emails and book. please tell me what you think about when my shares have been going down every day i'm very concerned. should i hold or sell. >> okay, here's what i think has been happening with wynn. i'm looking for my people's republic of china mao sayings book. that's the 50 cent book. here's the deal, what i'm worried about with, i'm worried about an overall selloff in all the growth names. i think it's going to thit this one, too. >> hit this one, too. i hate that, but it's probably going to happen. why? alibaba. sayings of chairman mao, alibaba goes higher, what a visionary. we're in for turmoil it may not be a bad idea to have some cash to get alibaba or cash ready for when bond selling takes over. could kroger's rise be the kiss of death for whole foods? or is there enough room in the ring for both grocery players.

and i got a potential break-up play that could help you fall craze in love with your portfolio. and ulta salon delivered a finely manicured quarter. smoke show to see if its beauty could be long-lasting, or if it's just cosmetic.

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now what's best about 48 months interest-free financing at mattress discounters? it's 28 years in dog financing. ♪ mattress discounters . in this market companies that take action are the ones that are making money for all the shareholders. mergers, break-ups -- shrink to grow. whatever it takes to unlock value. that's why tonight i want to you take a closer look at a stock i've never talked about on the show, called vistian eon -- it s

climate control force cars and trucks. two days ago bloomberg news reported that visteon's board of directors is considering splitting up their climate control and electronics businesses, a story that caused the stock to surge 4% to an all-time high. the stock has dropped back. it was down almost $2 today to $106.38. well, we saw how bad the market was. so it took everything down with it. now, you know how i feel about break-ups and spin-offs? some of our biggest games have been from recommending break-up plays. showing you how they work and why they work in case you're confused about the concept. that's part of the reason why i'm totally behind visteon breaking up. and i won't be at all surprised if the board embraces this plan that they're supposed to be currently considering. because visteon has always said that all options are on the table and in the past they've moved decisively and

aggressively to boost shareholder value, if you look at the chart you'll know this is the company doing the right thing. if this company basically auto parts conglomerate breaks itself up, then this stock still deserves to go higher than it already has. so tonight i want to explain first why i believe the board will and shortly should embrace this break-up strategy and they're already discussing and second why i think visteon could be a raging buy here, even though it is only a few points off the all-time high. first of all, visteon has a long history of taking aggressive action at the corporate level. they've made a number of big acquisitions and divestitures over the years and visteon is the product of a spin-off, as the company was spun out by ford in mid 2000. visteon has been trying to narrow focus for sometime. they've sold their lighting business, interiors business. as well as their joint ventures stake in yang-fend visteon. it made the company closer to a pure play on auto electronics and climate control systems and made acquisitions that bolster

the core businesses, buying johnson controls' electronics division and cooper standards thermal emissions segment. these are plain old industrial terms. this is a really, really good car parts company. in short, visteon's management is showing they're not afraid to take dramatic action, if the actions will reward shareholders. we the board will ultimately prove willing to break up the company, splitting into a krimt control business and an electronics business that will be downright exciting. right now visteon someone of those stocks that's worth less than the sum of its parts in the current market. don't panic, it's better than okay. the reason? because visteon's electronics division is a fast-growing powerhouse. that deserves to trade at a higher price to earnings multiple than what it's currently getting. this fantastic business is buried within a larger company, no one is focused on it if the electronics segment were to become a stand-alone company i think it would be coveted by

most growth money managers. what's terrific about the business? within the auto parts industry, electronics is going to be a growth business for years to come. you know how hard it is, how complicated it is under the hood. when you're talking about companies like visteon that make electronics for what we call the cockpit of the car. that's because the cockpit electronics content per vehicle should grow dramatically in the next several years. thanks to increased demand for automobile info tanment systems and driverless systems. cars are getting smarter. we talked about this with harman, the info tanment side and mobile eye, which i've liked since its ipo from inception on the driver assistance side. mobile eye finally coming down a lot of those stocks. remember as i said at the top of the show, are getting sold because people want to have money for alibaba. as you troo i to cram more neerts into a given car, you'll need more electronic to make it work. this should be a terrific business for years to come.

especially with the country building 17.5 million autos. second, not only is visteon's electronics division operating in a strong area with, the brilliant acquisition of johnson controls' electronics system. they've become one of the world's three largest suppliers for cockpit electronics. visteon is real-scale and when the ought or parts business, your margins expand. what you have after the sales, after you spend all the money to get the sales. it allows you to make money and money managers like that look at the electrical business of lear, it's gained greater scale in recent years and now supports some terrific margins. what a blow-out quarter that company just reported. if visteon were to break itself up, i think the electronics business would receive a much higher valuation than it's currently getting. one simple part of a larger company. now how about the climate control side of things?

even though electronics is what makes visteon really exciting, the company's climate control division is still pretty solid. this part of the business is gaining market share and has some long-term secular growth leverage. what is boosting the climate control business? first we're seeing increased penetration of in-car air conditioning and fast-growing and increasingly wealthy emerging market economies. which by the way are located in the warmer parts of the globe. as these countries become wealthier, more people will be buying cars with climate control systems. we take them for granted here. believe me in the emerging market, it's a big deal to have a car with air conditioning. the rise of electronic vehicles has created more demand for cooling products because the batteries need to be kept cool. and stop-start hybrid technology which is become increasingly popular require as whole additional heating, ventilation and air conditioning system because when the engine is stopped, you can't use it to power the car's climate control. meanwhile, europe is moving toward carbon dioxide-based refrigeration in cars. something that could provide

serious upside for visteon. one of the few auto parts makers that's made substantial investments in this particular technology. let's do the numbers. because that's what you're interested in. how much would visteon be worth if the company breaks itself up? how high could it go? let's go through the sum of the parts analysis here. first, visteon owns 70% of all visteon climate control. which is a publicly-traded company, traded in korea. that means we have an exact value for the business. and visteon's stake is worth $3.9 billion. we're $95 per share. visteon trades at $106, this one division is worth almost the whole company. there's visteon's core electronics business, we value this fast-growing segment at a slight premium to its peers which i think is conservative because it might deserve a big premium. you get a business that's worth $45 per share. throw in the recently acquired johnson controls electronics business, which will be part of visteon's electronics division and deserves therefore, the same

valuation, you get another $17 per share. let's add it up. but you also have to subtract $25 for visteon's net debt and underfunded pension plan. you've got a company that could be worth $132, very conservative valuation. 23% premium to where the stock is trading. i think could you go there rapidly if the board decides to split up the company. they're not going to do it, i wish they would. i'm reaching this valuation, without much pick-up in sales around the world. here's the bottom line -- this company you never heard of, visteon, visteon is a business where the whole is currently worth less than the sum of the parts. each division would do so much better as a stand-alone entity. time after time we've seen this kind of situation, you've emailed to me and said why don't you give me these ahead of time. here you are, the answer is always to break up the business. in visteon's case that could wo create a fast-growing auto

electronics business and a solid auto climate control business. as long as the board is contemplating a break-up, i think it's worth holding on to the stock until they reach a decision, hopefully the right decision. dave in massachusetts, dave? >> caller: boo-ya to the meister of wall street. >> what's happening? tough day today. >> caller: you've been spot-on lately though, jim. a couple months ago, gsat, you kind of recommended it. it really hasn't gone anywhere yet. should i still be behind it? >> yeah, i have. i did it as a spec, a little $3 number and it's completely flat-lined, it has done nothing. but it's mobile voice and data communications, so for $3.85, you got a chit in a fast-growing game. i like to have a speculative stock on my sheets this is a good one. we're going to john in michigan. john? >> caller: george in new york. hello, jim. >> how are you?

>> excellent. i long-time fan, i love your opinion on honda. >> you know what? i'm not crazy about honda. i think worldwide the auto stocks are undervalued, there was a caller this week that said they've moved too much. my travel trust owns gm, gm has been without a doubt -- the house of pain. is one of the reasons why it's so tough to run a charitable trust publicly. i would prefer you to be in gm at $32.33, it's just too darn cheap. that's my one. all right. hey, visteon -- really, two is better than one. give us two companies. right now the company's whole is worth less than the sum of its parts. let's do some splitting up. as long as the board is contemplating a break-up, which i think would unlock value, hold on to vc, if it goes down, you got to buy it much more "mad money" ahead with new instant delivery and apple pay. and the long lines at whole foods may be getting shorter. is it time to add this

beaten-down supermarket to your cart? and ulta salon powered higher on a blow-out quarter. is it too late to get in or time to let your hair down? i'm taking your tweets tweets, @jimcramer on twitter.

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whole foods versus kroger? or is the world big enough for both of them? i think there is room enough for both. and while whole foods has certainly stumbled of late and kroger has been absolutely the most red-hot player in the group -- i'm beginning to wonder if we might be nearing the end of underperformance from the best natural and organic retailer in this nation. first to more about kroger -- it's a magnificent performer. once again this week talking about accelerating same-store sales and astounding 4.8%, i was only looking for 4%. exciting integration of vital cost in online vitamin company and harris teeter a recently purchased supermarket chain. the former gave kroger eh commerce tools and the latter is classive expansion that allows for what i call the krogerization of the north carolina operation. plus kroeg certificate selling at a discount to the average stock in the s&p 500 despite excellent execution, strong

private label operation and a healthy embrace of natural and organic foods. it did hit a 52-week high this week and closed less than $1 from that high ground. it's already up 31% for the year. so you've missed a lot of the gain. whole foods, on the other hand, has experienced a slowdown from high single-digit same-store sales growth down to three and change numbers. it feels like i've been fretting about this stock forever. because despite aggressive growth, whole foods hasn't been able to make as much money as it used to or attract as many customers as it did because of the accelerated expansion of so many competitors in the space. including trader joe's, fresh market, sprouts, all which have been killing each other to take share and the rest of the grocery store industry, whether it be kroger, or costco or target or walmart. they're all over the natural and organic category, as each player recognizes, this is the only tunnel-digit grower in their

food i'lls. and it's no longer a fad or craze, it's the real thing. kroger made it clear on the conference call yesterday that people are increasingly liking stores that have everything in them. not just organic and natural foods. and cited it as a reason for its excellent numbers, i felt by implication, no names called, was saying that a pure play store like whole foods no longer as attractive to people as one that has natural organic foods, as well as everything else you might want to get at a big supermarket. why consider buying whole foods? well first, it's a stock that has been hammered. it is down a staggers 34% for the year. and even though it's been a great long-term performer, that's some serious multiple compression. of course, whole foods could merely be the next coach, wow that is a term that you never want to hear. a company that catered to

high-end consumers and was ultimately eviscerated by rapidly growing competitors like michael kors and kate spade. the price earnings multiple for whole foods is still too high given the low single-digit same-store sales growth. it's a math proportion, do you want to pay 22 times earnings for whole foods like you seem to be doing now, if they make the estimates, when you can buy kroger for 14 times earnings, yes below the s&p 500 multiple. even though kroger is growing a full percentage point faster than whole foods and has become the most consistent performer in the industry. while some would say whole foods has been far less consistent. the best trade for the year has been to own kroger and be short whole foods. but what if our analysis here is too static about whole foods? maybe it's too negative. what if recently announced initiatives could move the needle for great chain. whole foods is an early adapter for apple's new pay system.

you have to believe that the whole foods will have more iphone users in their store. plus i don't know about you, but anything that can cut down the lines at my whole foods, by speeding up the check-out is something that i know i welcome, i bet do you, too. whole foods is rolling out its affinity plan, which could be exciting for a company that's fallen way behind that department, even though it has a lot of love from commerce. it's happened by its own admission. co-ceo walter robb confirmed there's an exciting initiative that will be linked to the iphone for whole foods affinity program. in an interview with me this morning. third whole foods is now using the customer-friendly instacard for pick-up and delivery orders, something that costs extra, which could be daunting for kroger customers, they have it. but i think it would be considered a bargain for whole foodies. whole foods is beginning its

first national ad campaign to distinguish dwish how whole foods is different than the other guys. i haven't seen the campaign yet, but i bet it's going to be similar to the kind of soft campaign we've seen from chipotle. where you were reminded in a subtle way that you can only trust whole foods for the real natural and organic goods. i think that campaign has probably, the chipotle campaign has been one of the most successful campaigns of all time. you know what? you know who is smart enough to replicate that plan? the guys at whole foods. and two-buck chuck? look out. trader joe's is going to get a run for its money for its wine money. when whole foods adds premium wines for nonpremium prices, something that robb discussed in detail this morning. why month buy it right here, right now? because for moment it looks like whole foods has perhaps really lost some of its first mover edge versus the competition.

if you can get the same suite of fresh products at the other guys, why would you pay what are perceived as the higher prices at whole foods. even though whole foods has kept prices more reasonable than the popular perception. we know that because it isn't making the kind of money per basket, a term of art that it used to. they don't make as much money on things they sell. however, if whole foods can get the spirit back and show its name still means the good housekeeping seal of approval for what's available in the category it sells, i think it can woo back customers. advertising costs, money, we know it will cost money and it could hit the bottom line. this stock trades on same-store sales, it's difficult for me to believe it won't see some sort of acceleration, versus the easy comparisons that are developing after this quarter that will move the stock higher for certain. they advertise more, more people come, the stock gsz higher. several headwinds, the food inflation for natural and

organics is amazing. 40% increase in organic wheat, annie's said. and despite the declines in regular commodity foodstuffs we haven't seen since 2010, kroger said the fresh produce aisles have been rocked by key increases. it's a key portion of the business at whole foods, bad news. and we know from the guacpocalypse. whole foods is competitive. lots of people wrote off the $38 stock when it traded down to $5 in 2009. i remember those bad days. i sense people writing it off again. wrong idea. it's got a ton of cash, virtually no debt, massive flexibility in terms of what it could do with its capital structure. perhaps a buy-back that makes a real dent in its share account. ultimately while it might be too early to buy until after the company reports in early november, the idea that whole food is a loser stock with loser

management, when it's the most forward-thinking company in the industry and affinity program for more aggressive delivery, that seems dead wrong. the comparisons won't be good until after this quarter. but right now whole food has the fewest buys on its stock i can ever recall. i think the risk/reward is getting much better, not worse. a few points down? perhaps and then many up. let me give you the bottom line. it's time to start kicking the tires on whole foods ahead of what could be the company's worst quarter in november. go shop there to refresh yourself as i did last week. real turn-around could be coming in the not too distant future. much more m"mad money" ahead. including a pay on the auto market in the people's republic of china. then ulta salon reported a beautiful quarter. that was more than just skin deep. but after this gorgeous move, is there still room to rally? plus bring it home cramer, a

lightning round you won't want to miss. ok, if you're up there, i could use some help. smart sarah. seeking guidance. just like with your investments. that sets you apart. it does? it does. you're type e*. and seeking another perspective is what type e*s do. oh, and your next handhold... is there. you don't have to go it alone. e*trade gives you the support and guidance to make informed decisions. are you type e*?

check it out. ulta's back. ulta might be bigger than ever.

after several changes of management and several years of being stall, the company seemed to have hit a wall. ulta just reported the kind of quarter that gets the bulls going and infuriates the short sellers. last night's quarter, it was perfect in almost every way. the beauty supply retailer which had been a favorite target of short sellers for aims simply because no one could believe the growth that it was putting up could be sustained, managed to post total sales growth of 22%, along with a 34% increase in earnings. that is dazzling, dazzling enough to justify the stock's 18% run today on a down day. and it's new multiple of 26 times earnings. ulta delivered an amazing 9.6% same-store sales growth among the best in all retail. they gave an underperforming forward same-store sales forecast of 5 to 7%, i think they can over-deliver on. remember how we like under-promise, over-deliver. overhead expenses lower than

expected. an omni channel strategy that seems to blunt amazon's entry into the category. you have a plan for consisted measured expansion and best of all, upcoming analyst meeting, a catalyst in october that the stock can run right into. as i'm sure the ceo has something up her sleeve that will dazzle us. even more than what we heard last night. ulta is one of those companies that that's been a truly amazing performer for years, four years ago the stock traded at $20. by the fall of 2013, the stock had roared, i mean just roared all the way up to $130 and change right in this area. late winter. on an increasingly, it was early winter. right here, right here. this was one of those runs. that took my breath away. i talk about every day. but $130. it was increasingly frenzied, why? because people analysts kept

raising projections and somehow i thought it seemed pie in the sky. ulta, ulta, ulta aggressive expansion, aggressive expansion. you kept hearing that. that's what the bulls like. they managed to pull it off. it seemed like the perfect growth stock. then dylan late of u.s. cellular and mcdonald's, came in as ceo last december. it was breathtaking, she dramatically lowered expectations, on what is now an infamous testimony 5th, 2013 earnings call. where for the first time we heard words like the need to increase our promotions? to fend off competitors? and combat weak traffic? issues that often confounded other retailers, but never the amazing short-selling defining ulta this was extraordinary. suddenly the curtain was pulled back on ulta and awe we saw was another retailer being

eviscerated by amazon. yeah. even as selling perfume which seemed to be a natural fit for an old-fashioned bricks and mortar -- i mean aren't you -- aren't you supposed to smell it first? maybe not. no matter, the stock almost immediately tanked from $125, to $90, didn't bottom until it hit $80 a month later. after a decent quarter the stock trotted up to 104, before retreating to the mid 80s during the high growth, the spring swoon. a good june quarter comes up slightly, gotten the stock back from 85-97 in a single day. it couldn't maintain and since then it's been just treading water until today when the news of ulta's action sell rating same-store sales and line numbers broke last night. the stock rallied 10% in after-hours trading. >> it was a terrific buy in

after hours trading last night. if the past is prolong, ulta won't be able to realize the gains. like ulta, in order to raise money for the alibaba ipo. if this stock does pull back, it will be your chance to buy. i think you need to be in this one ahead of the october 15th analyst meeting where dylan will flesh out our five-year plan for world fragrance domination. dylan is one of the least promotional ceos out there shes had this kind of new sheriff in town approach when she came in last year. a kind of no more growth simply for the sake of wall street hedge funds attitude. a brett of fresh air. she's reset expectations at the same time things have gotten le promotional. she's got the ulta mojo magic back and the growth mutual funds will fall in love with the stock again. ulta was lost, now it's been found. i think you can keep running

into the october analyst meeting even after the gigantic gain. i expect it to pull back next week because of forced sales to raise alibaba money. that's your chance to buy. "mad money" is back after a break.

it is time, it is time for the lightning round. lightning round is over, are you ready? lightning round. dan in ohio, dan? >> caller: cleveland, ohio. >> man, are you -- >> josh gordon -- boo ya, okay. >> caller: my stock is csx. >> i like it but i think union pacific is better. let's go to jim in pennsylvania, jim? >> caller: cramer, want to know what you think about ppl? >> i'm worried about 4.5% yield, probably goes to 5% but be careful, buy on the way down slowly. mike in north carolina? >> caller: boo ya, jim.

>> what's up? >> caller: my stock is ssl, carnival cruise line, i'm freaking out all the puts being bought br earnings. >> i don't think it's going to be a great quarter. the only thing to like about the stock is everybody hates it, they all like royal and norwegian, they're getting their butt kicked. let's go to doug in missouri. doug? >> caller: the gaming sector is down. i like to invest in the best stock in the sector with some upside what about las vegas sands? >> las vegas sands, wynn, these are growth stocks, going to get sold in order to buy alibaba, we're not going to recommend them until next friday. let's go to mark in colorado, mark? >> caller: mark in castle rock, colorado. listen i've been looking at t-mobile forever, with dish network sitting on $30 billion, of spectrum, is it not a marriage made in heaven? >> i like it, i like it. i tlik because leisure is a good manager, ceo always welcome to the show, big fan by the way, i

think the stock should be bought and i think lester will do a good job. ed in texas, ed? >> caller: big happy friday boo ya to you. my question is on sony. >> they're trying to devalue the yen. so sony does well. but i have another stock i think i like that's better, it's called apple, in at 101. and that, ladies and gentlemen is the conclusion of the lightning round. >> the lightning round, is sponsored by td ameritrade. i'm talking on the one hand about mcdonald's, and the other hand chipotle. the consumer is wise to unhealthy old ways of eating. now it wants what's good for her. not known for its enticing atmosphere or strong staffing, either.

you can help me put my hand bags on. you're too busy? come on! you know -- >> i'm sorry. i'm sorry. what are you doing? >> ready. boo ya from the hoosier state. >> i'm loving that except for of course the eagles play the colts next week. >> jim? >> yeah, matt, you got me, what's going on? >> i'm calling about spirit airlines? i'm wondering if you ever fly the airline, i've got an upcoming flight and i'm wondering if you're concerned at all about the customer experience. >> i flew some plane in czech, when i was in the czech republic, i said do you guys have any food, any drink, anything? they said, what are you kidding me, it's the czech republic.

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before we can get to your tweets, on july 31st, kingsbury in massachusetts, what kind of name is that? asked me about ring central. rng. i said i would get back to him. it's a software service company focused on communications.

now ring central became public a little less than year ago, $13 a share. spiked 40% on its first day. after the rally up to $23 the past march, the stock has been crushed. now it's at $13 and change, almost all the way back down to the ipo price. some decline is because all the software stocks got slammed in the spring and some from inevitable follow-on offerings, got eviscerated in so many recent ipos, but that's not the only issue here. with ring central i'm worried that the large cable and telecom service providers could get more competitive in the market. to me ring central i'm calling it too speculative. not worth the risk. next up on august 19th. eric in texas called me about auto home. athm. established itself in china, china's leading online marketing platform. differentiated content, unrivalled user engagement. number one auto website in the people's republic it makes it a total juggernaut, serving a

gigantic consumer base. growing by leaps and bounds. now this can be a very choppy stock. down 20% in the last three weeks, at this levels i think you're getting an attractive entry point and i'm willing to give this stock my blessing for speculation, why don't we wait until thursday when all the money sold to get alibaba might have been cleared up. now your tweets and facebook posts. we got, we got to get to some of these tweets because you've been sending me them and i have been negligent of the let's take a question from @sufferthewake. he tweets, 3m continues to innovate. can they go high nert market? the stock has held up well. i believe at a certain point people will worry about the strong dollar. i think you buy more 3-m on the way down. it's a winner. now another tweet, wants to know thoughts on national oil well varco.

oil service stocks are coming down. of the high-quality ones, nov is probably my favorite, they make the equipment for drilling. here's the problem, if oil breaches $90 a share, national well of arko goes to the 70s. let's wait for that and stick with cramer.

try to get some alibaba. there's always a bull market somewhere, i promise to try to somewhere, i promise to try to find it for y >> narrator: in this episode of "american greed"... a near-perfect insider-trading scheme... ...stealing merger secrets, and turning them into millions... >> if you play it right and you're careful about covering your tracks, you have access to some of the most important deals on wall street, and that's a gold mine. >> narrator: ...until it was all caught on tape... ...in stunning detail. shocking revelations of greed that stun even wall street. >> they allegedly stole some $32 million worth of inside information.