>> chip or sip? >> it's a drinking game tonight, right? whenever you curse when you're emcee. >> i don't curse. i don't -- eight years. >> not what i heard. i'm melissa lee, see you back here tomorrow at 5:00 for more . my mission is simple, to make you money. i'm here to level the playing field for all investors. there is always a bull market somewhere and i promise to help you find it. "mad money" starts now! hey, i'm cramer him welcome to "mad money" him welcome to cramerica. other people want to make friends, i want to make you some money. my job is not just to entertain you and teach you. call me or tweet me @jim cramer. in four decades of investing, rarely a day a care about an

event tomorrow, ali baba. while today's market gained 109 points, nasdaq jumping 6.8% t. real story is tomorrow it can be projectilesed at $68 a share tonight a. very good price for those able to get stock on the deal a. very good one, indeed. to you, for days now, i have been hearing about how bad ali baba's ipo could be for the stockmarket. i hear that it's overvalued. sell, sell, sell! >> that it's too high. >> sell, sell, sell! >> that it has omake ownership. >> sell, sell, sell! >> of course it's a sign of a on the. >> sell, sell, sell. >> the house of pain! >> so i thought i'd adjust these negatives head on tonight and say if you hate baseball, if you hate twitter, linkedin, google, j. d.com because you think

they're ridiculously expensive at the height of absurdity. you should love, not hate, but love ali baba. even ali baba opens at $8 a share. could still be a -- buy, buy, buy! it may be a buy even a couple points north of that, given it would given advisors who got in on the deal a bended average. that's how they think. because i thought the stock might be priced as high as 70. the fact that there was no last minute bump-up in price is a huge win for the buyers. how did i come to what some people think is a silicon collusion this stock is as cheap as all get out? okay. let me explain why you should stop worrying and learn to love ali baba. the first objection, of course, valuation. oh, wouldn't it be ridiculously expensive at $80 bucks? >> no. in you stack it up you'd find at

$80 a share it's cheap. mabry dicklously cheap, given the growth rate and profitability. i think the company can earn $2.50 a share. that's well within reason, so at $80 bucks where i think the stock could trade. it could have a price multiple of 32. that's cheap. i expect it to generate 30% quote for the next few years. remember, ali baba is no joke.com, it's immensely profitable. at $80, it would be much cheaper than face book, it has higher cost margins. the rest of the repairs up. forget about it. amazon sells 169 times earnings, 5% mar jivenlt people thrilled to own twitter. let me see, faster growth. yes, 66 performance. it sells at 138 times federal government year's earnings. tesla's got 56% growth, 2.2% mar

jens. jd.com 48% growth. miniscule margins 572 rhimes times earnings. linkedin similar, gross mar jens less than a fifth of ali baba's. it trade at 76 times earnings. baidu can give it a run for its earnings. 43% margins, which is one of the reasons i like that stock so much. google, itself, it's very cheap. it trades at 19 times extra earnings. it is growing at 30% gross margins. few manage money and you own any of these stocks, any of the ones you mentioned with the chepgs e exception of baidu, you probably want to sell those stocks. ali baba is a bargain comparison. the own wereship structure, it's convoluted. it's opaque with many hidden owners, we know ali baba's major owns 8% of the company.

yahoo has 22%. the rest, actually not all that clear. does it really matter? they obviously offskinned the game. third objection. corporate governance. ali baba las a very big board, 30 odd souls, many of whom are chinese communists. it controls every branch of the government. to which i say so what? we've toll lated with that baidu jd.com deals? how about this one? just because it's bigger. it makes no sense to me. he only owns about 8% of it. so what. have you ever looked at companies with two classes of stock? who do you think controls those? the public class? for that logic, you might as well sell google or i have a.com or cvs. i'll take may chances with jack mah's control.

i keep referring to, it's just too darn big. this is a recurrent theme. i don't get it at all. what does it matter how big the market cap is? as i explained before, ali baba will be cheap on an earnings basis versus every other dividend stock in this country. that's on a fundamental basis, not the market capitalization. ali baba has a funky relationship with ali pay, which gives jack ma serious advantage he owns ali pay and shares 37% of the profits with ali baba an 37% of the ecommerce comes from ali pay. it's a rick. so we don't want someone owning a method of payment that could hurt ali baba. wait a second, why doesn't ma unload much more than 12 million shares in the deal like he could. if he intended to take a bigger chunk, why doesn't he dump mo much more? why does he quadruple the amount he sells?

he isn't. a lot more deciders will be able sell stock on the deal tan usual. they won't be locked up until later the journal, "wall street journal" says $8 billion might be free to trade. who cares? the $608 pricing, this thing is tight as a dump, as a drum with $68 pricing. there is no stock around. if anything, we want more supplies. eighth objection the ipo marks the top, the top of the mark. so you got to sell it along with everything else. hey, isn't it 2000 all over again? the beginning of the biggest tech crash in history? wait a sec. there were 300 companies that came public that western profitable and disappeared. ali baba is extremely profitable. these two tiers are night and day. if they didn't trade then as i did, they could ail to understand the difference. ecommerce has to slow. right now, ali baba can be a house of card.

oh, please, less than china is on the internet. you have the brick and mortar operations, the national enemies are a fraction of what they are. chosen is dramatically under scored. we have overscored. there is no omni channel there. it's the longest and best of the traded internet companies. the chinese economy is slowing. what a miserable time of bringing this deal. actually, chosen's export is low t. retail economy is, if anything, growing faster. much faster tan the rest of the world. if you go on the site, which no one has done a. few of you have like i have, i have used it. you would know ali baba is an international company. you are basically able access workers to buy or build things anywhere in the world. i just can't hate this deal. i'm sorry. you heard the hundreds of institutions and have been furiously selling other stocks to raise capital so they can buy the one. i hear there are over 100 institutions that want a billion

dollars in stock. that was before the road show was complete. they aren't sellers. they're buyersf they're not flippers. they're owners. they can't get as nearly as they want in the ipo. i'm blessing pay as high as 80 bucks a share for ali baba. hey, a few bucks more. at that price it's among the cheapest in the best of the internet place. guess what, you don't like it? you don't have to buy i. gordon in oregon, please, gordon. >> hello, jim, i'm a big fan of yours going back to 8g years ago. my question is seadrill. my issue is we have negative free cash flow. we got increasing debt that increased 38% just below 13. however, morgan stanley just put an overweight on it. my question is, is management prudent capital aloindicators to the long run or is management

playing money carlo with my retirement money? in there let me give you the address of that stock. seadrill, ensco, unfortunately my charitable trust owns and rick, transocean, you can't own them yet. they haven't bottomed. one day they will. ensco just reiterated the dividend. maur ice in new york. >> caller: hi, jim, boo-yah. we want to thank you for everything that you do for us little guys at home. without you, we'd all be lost. >> thank you. >> caller: i know we had, we liked rbs. >> yes. >> now that citizens financial has its ipo next week, what do you think about that? >> people want to own these banks. they want regional banks. i think that thing is going to be, i'm not going to say red hot. i think it will be a strong deal. you actually want to be in it. i think that bank is starting to rally and it's good.

all right. open sesame. the biggest tech offering is coming tomorrow. you know what, i am blessing it if you can get it as high as $80 a share. you know what, i'm throwing in a few dollars more. on "mad money" tonight, you know darden, their stocks are going cold. is it worth taking a bite or eating elsewhere. forget about passwords. i got the play. plus sears and rite aid. the house of pain! >> the house of pain. >> just got serious beat downs. i think one is worth owning, not the other. i'll reveal next. stwik cramer. stick with cramer. they're custom made trains.

you can't get any better than that. siemens trains are not your grandparent's technology. they're something that's gonna change the cities we live in today. i find it so fascinating how many people ride this and go to work every single day. i'm one of the lucky guys. i get to play with trains. people say, "wow, we still build that in the united states?" and we say, "yeah, we do!"

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. >> how could they have screwed

up so badly? is it terminal or can there be a comeback? those are the questions i'm asking ability sears and rite aid down 5.8% and 18.5% respectively. i have to tell you, while both deserve the punishment meted out. rite aid screwed up royally. roughly two years ago, rait aid made a missteps i fine breath taking. they totally got their pharmacy wrong. they incorrectly several times botched the scheduled drugs going generic to the point they had to guide down 10% from the previous guide down. i think it calls in question the running side of the business. there are a lot of new wrinkles in the drug store business. it's not leak they couldn't be forecasted. today i call up a december 29th news, it was entitled.

jeneric drug prices spike. pbm rates don't keep up. national community pharmacy association study finds. in this article the ceo of the trade organization says pharmacy acquisition costs for more and more drugs arrive in breath taking fashion. the article continues, meanwhile, reimbursement from pharmacy managers is not keeping up, leaving pharmacists out in the cold. it includes a bunch of drugs. the fact that 86 percent of pharmacists surveyed saw the exact problems that rite aid talked about today. 86% and rite aid didn't see it? that is just terrible execution. now we know rite aid got a new chief financial officer in july. that supermarket chain has been a disaster right out of the chute. missing numbers repeatedly, cutting a hefty dividend not long ago after it became public. there is inexcusable. however, there is a silver

lining. there is some good news. it's that rite aid's term, which is what we have been focused on roughly a year ago with the company's remodelled stores doing so much better than the old ones, it's continues. i am not willing to write off rite aid. it pushes out further than i like. the company has to get its pharmaceutical act together now. maybe they just turned into zombies. i don't believe it. i think the turn is on. but not in the pharmacy side. i don't feel the same way about the sears holdings, however. after its disastrous quarter. there is a well reason to fwhoet this morning by credit suisse analyst thinking about the end when it comes so sears. he actually references that family song by the doors. he has laid out a sorry where sears is worthless as a cheney. if the bulls say there is value in the real estate. he thinks the whole company

should be leg which dated. it's losing about $10 in share each and every year at rite aid, surely, that's not the case. i want to stick with rad as panful as it is. i know it's painful for many of you. after reading the credit suisse about sears, it seems like the late great jim morrison is right. this is the end, my only friend, the end. pete in new york. pete. >> caller: hey, jim. it's all about 67 skechers. they lost about 10% yesterday. it was an overreaction. they were blah numbers. the consensus is 90 cents. a little high in my view. i'm a believer, so stay an keep my shares until the quarter. >> pete, there was a lot of rumors around the last few weeks of data were not good. i would find that somewhat surprising. i know when you have a stock a total bottle rovenlth you know i

leak these guys. i had them on the show the stock is up 81%. it's subject to hiccuples. i agree with you. i think it was viable. >> let's go to matt in california, matt. >> jim, your staff is terrific. >> yes, they r. thank you. >> caller: does the stock of disney sit into the 80 to 120 category, if so, when? >> geeze, we are talking about you remember my old books. iulesed to say a stock that goes to 90 goes to 120. dis-disney i think is stalled here why now? i keep telling my co-portfolio manager, will this stock please come down so we can boy it. when that happens, it typically doesn't come down. alex if new jersey. please. >> boo-yah, jim. >> boo-yah from new jersey. >> how are you? >> good. good. jim, you recommended duncan donuts before.

it's kind of in nowhere lands right now. >> yeah. >> in the past you said you were interested if companies that have same store sales increases and they don't. are you still in favor of duncan donuts? >> actually. i was talking to a group of people that think the old chairmans club is the street. they said we have to follow you everywhere. some have backed away from duncan. i said one quarter when it was weather, i understand. the second quarter when there was no weather, it was still disappointing, i didn't like. so i have gone all in starbucks. i am not here padding the table at all on sudden can donuts. all right. sure. they screwed up. sometimes some stocks deserve another chance as panful as it is to stick with rite aid, i think long term it's still worth it. sears on the other hand looks like jim morrison was right and

this could be the end. much more "mad money" ahead, including an american shale energy player involved in 800,000 wells across the country. i'll find out if it's cheap oils giving you a chance to boy at a discount. it could be about to get a makeover, the stock behind olittle garden barely simmered this year. but is it time to load up? oh, i'm not talking about the bread sticks. stick with cramer. coming unl, bank job, pulls in a business more than a billion in cash last year. the only catch? it's totally illegal. the atm skimming criminals are generating dollars from stealing your data. tonight, cramer reveals a stock with technology stopping criminals in their tracks. just ahead.

in a market where the averages keep making all time highs. as the global economy appears to be slowing. you want to mostically oriented companies stocks have been hammered of late also have a potential for pa major comeback. tonight i'm breaking 23450er78. i will tell you about one of the most controversial stories out there. darden, dri, they have more than 2100 locations under a number of

brands like olive garden, longhorn steakhouse, capital grill and two months ago red lobster. if recent years it's been a consistent under performer, year-to-date the stock has been slapped silly. you know what? i think it might have gone a lot lower if it were not for darden's bountiful dividend. here's the good news. a major activist smart guy took notice of darden's missteps, accumulating a 9% stake over the past year. they have been hectoring the stockmarket to get its act together t. long time ceo clarence otis is stepping down. he took over darden in 2004 and in the early years he did a pretty darn good job. but there is what have you done for me lately business. and in recent years, well, he's made a lot of mistakes, building

out casual denying brands, preferences moved towards chipotle but failtology turn around both olive garden, and red lobster, he ended up selling for $2.1 billion this year. these are among the reasons why darden beat s&p 1,500 over 3% in the past five years. now how do we know that otis' replacement will be an improvement? in part, it's because there are some terrific candidates out there. mostly, darden's next ceo will do a better job because tear pay will depend upon it. thanks, to starboard, darden's board decided to re-aileen managements incentive compensation with same store sales growth. by far the most important metric in the industry rather than overall sales growth, which was the method they had been using before. if your pay depends on same

store sales, that means you have to focus on getting people to come to your existing restaurants and spend more money there. if you are being compensated based on total sales, you can keep putting up locations, under the new plan, 30% of the company saegs demands on same store sales growth. at the same, darden has a three-year performance plan. it's a longer-term compensation that's half determined by the pre-cash flow and the relative performance versus the market. again, that's a major overhaul, i like this. it's important because incentives do matter. a ceo whose compensation demands on hitting the right metrics will do a better job to pay a fortune no matter what. if this shakeup at the top is the only thing happening, i wouldn't be recommending darden here. the truth is, not only is the board of directors finally got its act together, things are starting to go right for darden in a way that makes me believe a turn around could soon be at

arnd hand. first of all, there is the price of gasoline, you know it's all important for their business. high gas practices, prices, act as a tax on the consumer. so people have less disposable income an they're less likely to go out to eat when the cost of driving to the restaurant is so ens pensive. given the price at the pump is at its lowest levels, falling 9%, i think that will gave big boost to darden's business, it amounts to one of the few companies that have bren out that relationship and made it very clear lower gasoline is better sales for olive garden. however, even lower gasoline prices wouldn't be enough to make me recommend this stock if darden didn't have a turn around plan. with the sale of red lobster, olive garden has become the heart and soul of this business. it has not been doing well, hencewise it's a tussle. regardless of which side wince, a company's october 10th

meeting, i believe olive garden will improve. they are totally focused on turning this business around and, yes, i do believe olive garden once a popular favorite of mine can be turned around. there is lar remold eling effort if place, it's in the early stages, i think you can have a monster impact. the company plans to remodel 350 olive garden locations, by the end of their 2017 fiscal year. it takes a little while to date three stores have been remodelled. the results of these locations have been downright remarkable. on average, these remodelled stores of olittle garden have seen a decline in all other olive garden locations. the company plans to remodel 75 additional restaurants this year. if those locations can produce better numbers, which i bet they will. i think that can be enough to start convincing investors olive

garden, us the, darden can be turned around all toke as more and more renovated stores become a part of the system, i expect the overall a same store sales to become a boost. if you wait to see these numbers, it could be too late, which is why i'm recommending it now in its infancy. on monday, we saw them upbraid this initiative than we have been getting. in fact, it was a rare double upgrade. they went from under perform or sell straight past neutral to outperform. i bet this could be the first of many upgrades over this year. you want to bet on stocks before they happen. darden is expected to earn $2.24. that seems like barely enough to cover the $2.20 shear in dividend and payments. the company also has 550 undrawn on the credit facility. you can always buy back less

shares, re-alocate that money to dividend. i'm not worried. here's the bottom lean. with new leadership coming in, lower gasoline prices and a massive remodel initiative, i think darden is poised for a comeback. the risk is that i'm early on this call. i'd rather take earlier tan later. especially since darden is paying that 4.4 percent yield to wait for the turn. the top maker of atms is spinning out serious gains this year. can it continue to be a cash machine or is it time to withdraw from the stock? i'm sitting down with the ceo. a surplus in crude is crushing oil and gas. i'm dealing with the domestic drawup more than 50% this year your calls are coming up on the lightening round. stick with cramer. .

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june and unveiling a major multi-84 turn around strategy, roughly ten months ago. diebold seems to have gotten its act together since the surgeon around plan was announced. they've focused a string of quarters. there is still some naysayers. best of all, people ba i to wait. it used to be 4. the stock went up. take a closer look with the president and ceo of doibold, hear more about how it's doing and where it is headed. this is a pleasure. i always wanted to talk to mr. diebold. have a seat, please. atms have been around for 45 years. i'm punching the numbers, i hope the guy behind me, maybe there some security. it sound like you have for the first time in 45 years re-invented the atms. can you tell us about it? >> we have been the first company to combine the mobile phone, you can prestage it.

you go there, twine swoo up the atm. >> no more of the bomb, bomb, boom, people look behind me figure out what i do. >> no more pens. it's fast, secure. it enables a smaller footprint for the atm, especially for retailers and new branch weres that will be built on smaller footprints is benefit official ever. >> my new apple iphone will have it? download it? >> we have vendor independent. we can do it with apple, qr codes. you can be ffl. >> where are the banks? their balance sheets are better, are they toured spend the money on technology that will make it so we want to use our phone? >> the banks have to solve a tricky equation, which is how do i preserve proximity while

taking down costs, the only way to do that is through machines, it's a branch transformation. that's where we come in an help them in their quest to a new business model. >> this is a consulting side of the business. you don't bring you in for the hardware. you can be a company that reinvents their space for them. is it turn key or do you advise them? in there 57% of our revenue is services and software. we do the whole value chain, design, build, operate. we consult them we manage it for them. we run the largest in branch network in the nation. we have '0222,000 atms under management alone. >> the most candid slide outward conclubs, crawling walk, run, co admit you were crawling or couldn't crawl is to say that

you have had, other guys have had head start or gone ahead of you. where are you in the crawl, white house, run now? >> worry in the crawl, we said we will save $150 million of our costs, reinvest 75 million in the business. 75 net savings to the bottom lean. we have harvested the low hanging fruits. our service mar jens went up in the last quarter. we are reengineering the company and the back office. we are investing heavily into services and sales and most importantly investing heavily in innovation and r&d. >> now, overseas, where are they? i know you got a big double digit quote overseas, do they have a big entrench and are ready to do? you can be the original now they

all have to upgrade. they're going to next products and sales in the u.k. think about india, for instance, they approached us and said, listen, we want to bring more financial service to the world population. what happened to the power supply in we think the world's greenest atm can recharge on a solar panel. the way you can use modern technology effectively in the middle of nowhere in india. >> that would be a big break. >> i have to take advantage of your background. i think it may not be as big as many will make it. larry ellison is stepping down. my ujsing, i'm somewhat close to the company, a lot of those heavy lifting can be done by

mark and this is not a shock. >> he is an incredible guy, amazing level of energy, attention to detail. he is great with customers. under his leadership, we met or beat expectations 26 years in a row at hewlett packard. >> larry ellisson has been doing different things, it's been mark as you know, he's been in charge, basically. >> you cannot do anything but be on top of the numbers. >> i totally agree with that. the president of diebold, this is an exciting story. few tech companies yield free and have a growth past of which it is accelerating. "mad money" is back after the break.

tigers, both of you. tigers? don't be modest. i see how you've been investing. setting long term goals. diversifying. dip! you got our attention. we did? of course. you're type e* well, i have been researching retirement strategies. well that's what type e*s do. welcome home. taking control of your retirement? e*trade gives you the tools and resources to get it right.

are you type e*? you can't get any thbetter than that. trains. siemens trains are not your grandparent's technology. they're something that's gonna change the cities we live in today. i find it so fascinating how many people ride this and go to work every single day. i'm one of the lucky guys. i get to play with trains. people say, "wow, we still build that in the united states?" and we say, "yeah, we do!" . >> it is time, it is time for the lightning round. we tell you whether you to buy, buy, buy, sell, sell, sell, when you hear this sound the lightning round is over. are you ready, ski daddy?

cramer will start with bob in new york. >> caller: hi, jim. i read where you said don't just look at the articles you write in twitter him so i went back to your 2000 claims all american, it looks like they've done well in all times of economic environments. is that going to continue? >> this is a great company. i understand, i got to tell you, i would encourage you to buy it right here with a 4.35% yield. let's go to barbara in massachusetts. caller hi, jim a big baba buia from beautiful cape cod. >> i love cape cod. how can i help? >> i appreciate the master strategies in your program, especially last week when you compared football to the stockmarket. >> thank you. >> caller: i love d it. should move, buy or sell wells

fargo, ininc.? >> wells is the leader. karl in new york. >> caller: yes, boo-yah, jim from the apple. i want to get back to the basics slip. get rich looking to our $33 buy-in. two quarters in the black need your thoughts on potash. >> i like the yeel, matt, my friend and i agree there is a bottom put in, in the ag stocks. tom in in nevada. >> caller: heying jim. it's great to know your voice and foe you are there with us. my question has to do with fmc. i bought in march, ante'd up, feeling like a poker game here.

they have that nova they purchased and the dron if credit rating they got. >> i know. >> caller: they're sitting on in this alkaline chemical. >> i think dupont is a better buy even up here. wes in kentucky. >> caller: hey, jim, thank you for taking my call. >> oofk, wes. water up? >> caller: i'd like to get your opinion on a.o. smith. >> they're in the doldrums, electric motor water systems. i'm not a fan a buyer or selling. lou in texas. lou. >> caller: boo-yah, jim. boo-yah. >> yeah. >> caller: water going on, man? >> not much. how about you? >> caller: i feel good. a quick toss in here. el pollo. >> we like that. we said we made our money and

now we're going to greener pastures. diane inning the. >> caller: hello, jim, thanks for taking my call. >> of course. >> caller: i'm a 71-year-old new to the stock market. i watch you every day. my stockmarket is kalamp, should i hold? >> cut it. i didn't like it. brett in indiana. >> caller: yes. >> matt: you're up. >> caller: hi, jim this is brett with a big boo-yah, ho, ho, ho, from santa claus, indiana. curious what you think about my wife's favorite companies, going through a lot of expansion lately dsw. >> dsw, deal.com is a part of the street.com. i say that dsw is i think a natural to be acquired or private equity if they don't get the stock higher. john in new jersey.

>> caller: jim, isn't fantasy football the best? >> i love it. okay. water up? >> caller: micron, should i sell? >> i didn't have a good feeling. steve sing $129 bid, congratulations all the shareholders who stuck with us an concur. nice job. that, ladies and gentlemen, is the conclusion of the lightning round. >> it's sponsored by. the the. the /* td ameritrade. .

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. >> we all know it. the price of crude is geting slammed lately, dragging all the stocks in the oil patch down with it. i think this is creating real bargains when it comes to the stocks of companies tapped into the north american oil and renaissance. that's because these stocks are about more than the price of oil. they're about incredible production growth, all the stuff that goes with it. all over the country. which brings me to bas, basic energy services. it has well surfacing, fluid services and a bit of contract drill. they survive in a business dominated by the titan, slumberge and halliburton.

the company also gets 43% from texas which you know is one of the hottest places in the united states. the stock has pounded lately, more than 20% from its high, probably because it's traded down along with all the lower oil and gas prices we talk about, in part because they got slammed after the latest quarter in july. even though the company beat the headline numbers, they talk about the over competitive bidding and some analysts view the revenue guidance as a bit disappointing. has bas been punished if you have being that it's tied in one of the longest themes out there. let's talk to the president and ceo. welcome back to "mad money." do you think the analysts when they come out of the meeting they're looking to say the stock is up 50%, hey, this wasn't perfect? your business is not a business that i find as a biotech will be better or a drug company there

is a little of ups and downs with it. >> am analysts. ed us to be bullish on our revenue guidance, it was up sequentially. we guided up four to 6% in the third quarter because we felt comfortable with those numbers. so maybe they wanted to see a little more than we came out with. i still think we came out with good numbers because there are as you mentioned some of our secths are still very competitive. >> right. is there any slacking of the competition or is this head-to-head? >> it's head-to-head in the well servicing and good service business. what happened there, some of our competitors out of the dry gas office showed up in these earlier plays. we all got crowded into the same space t. overcapacity everyone thought existed in the traffic business wasn't really there. so we had a better under. >> dawn: and therefore moois pricing we have been able gain in the traffic business. >> let's step back. our viewers at home are not

looking at every second say at the scoop results of continentalry sources, a little better. are we drilling more and will we be for many years to come? because it turns out there is a lot more oil than we shot? >> i think so. i think the advent of long lateral horizontal drilling, the new traffic techniques that the industry is employing right now are going to help this industry with unbelievable amount of supply for a long time. >> well, okay. let's say we go to the permian. right now you have a significant presence in, 40%, a little bit more. if i were to go there. are you drilling wells where people always felt that unless oil went up a great deal, it wouldn't drill? the reason i say that, now a lot of people aren't concerned if the oil goes to the '80s, a lot of that drill will stop. >> there is probably higher stuff that could slow down if oil was to get into say the 70s. i think that most of our

customers are droil drilling their current projects with price decks in the mid-80s i think the rock they're finding and the crude they're finding right now, we've kind of always known it was there. we just had a hard time getting it out. it was tight. but these like i say, these new traffic techniques, these drilling techniques have allowed us to harvest that hydrocarbon, therefore, making those wells economical. >> the tougher to get it out. isn't that better for basic? scombl the service costs can be higher. pe exeffect long horizontals over time to be larger than say on a vertical well. we do participate in the horizontal market completely with every facet of our business. it's good for us. there is a lot of vertical work being done. >> you dominate that business? >> we do. we have a lost assets that service the vertical work. we also participate heavily in the horizontal. >> energy self sufficiency for our continent.

not our country. in our lifetime? >> i think so. >> you do? >> i think we are just on the cusp of finding some massive reserves. it's still left in both canada and the u.s. and probably in mexico when they get everything figured out. >> well, that's very big. that's why we think the bake along with whole group. it sells off every single time. we them bem people, get back in. that's rolf patterson, taking in brazil like a lot of other stocks. when it goes down to 91, 92, everyone panics. that's when you buy. stay with cramer. (vo) rush hour around here

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. >> all right him some big things here. after the close, larry elissson steps to executive chairman and that promotes mark hurd and mark hurd runs the company day-to-day. the quarter was okay, though, not fabulous. they need to be bigger than the cloud s.a.p. had minute ago news. the fact it was trading over there that, i think people say

mark hurd will get this product, from s&p i don't think they will. tomorrow morning, jack ma with me hosts then, the big under me hosts then, the big under lender of all time >> narrator: in this episode of "american greed"... it's one of the biggest cases of insider trading in history, and it's all caught on tape. raj rajaratnam had it all -- a wildly successful hedge fund, billions in the bank, and the respect of wall street. >> raj was a competitor first. he wanted to win. he wanted to win every day. >> narrator: but behind closed doors, rajaratnam was gaming the system -- to the tune of $75 million. >> inside trading became his business model. >> narrator: and each time rajaratnam's phone is ringing, the feds are listening. and ultimately, it's his own voice that will seal