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tv   Mad Money  CNBC  January 16, 2015 6:00pm-7:01pm EST

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if you're long stocks you can sell covered calls and if you're not you can sell call spreads like the trade we did in facebook. >> looks like our time has expired. thanks for watching. for more options action check out our website and also options website. see you back here next friday 5:30. "mad money" starts now. my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now. >> hey, i'm cramer. welcome to "mad money." welcome i'm trying to make you money and educate and teach and coach. call me. of course tweet me at jim cramer. at last after a series of real droppings, we saw what it takes for the market to rally, higher oil prices and best consumer
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confidence number in 11 years. that's how the market rebounded. climbing 191 points s&p vaulting 1.34% and nasdaq 1.39%. yep, you needed to see oil stabilize. buy buy buy. and see the consumer final recognize that gasoline is not going back to $4 and change any time soon. to encourage buyers to take advantage of the incredible bargains that this seemingly endless sell-off has created. it doesn't hurt that for a day we didn't get earnings disappoints, a bunch of regional banks last managed to not stink up the joint with their awful numbers. and the oil service giant made us feel it's not the end of the world for its clients. we know the market is only as good as the last company has spoken and that's why the game plan for next week is more important than ever the brief res pit or the start of
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something real that we certainly deserve. let's start with monday. it's martin luther king day. markets are closed monday but rest of the world rages on. i think we're going to have significant numbers come out. on the surface, we shouldn't or at least would not like to care about a couple of eurozone statistics. we got them though. we have current account status and construction output from the eurozone. these days stuff like that is going to matter. we've got to focus on it. that's because we're waiting to see some sign, any sign that the lower oil prices and weaker euro are starting to impact the european economy in a positive way. perhaps these numbers will give us an inkling. it could be a win-win. if the numbers show any pulse, we'll begin to get less worried about the earnings of u.s. companies that do business over there will get a little more -- and if there's no pulse -- then perhaps the european central bank which meets thursday will
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do something bold enough to impress the market. right now we feel they we underwhelm us taking our markets with them. that could happen because we are linked whether we like it or not. i have become an american firster here at least when it comes to stocks. i'm much less concerned than everyone else you listen to. i do care though about some chinese economic data including industrial production and retail sales and gross domestic product. we've seen no gains whatsoever from the oil import oil country that is china. maybe we see positive change in the numbers that come out monday maybe that's why the mineral resources stocks rallied today. tuesday we're back in earnings mode. and i think we're going to be on rocky turf. right now we're basking in the halo of the oil worldwide. that caused a wave of bullishness on all things oil.
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on actual halliburton reports and they have a response to the weaker u.s. market than slob was willing to talk about. our market they said was not great. but the rest of the world is still drilling. we could see a reversal because halliburton is domestic sen trik. we hear from two totally problematic stocks. the first is netflix. and all i can say, it better be good. it caught not one but two important upgrades this week. it has a lot of hot money in it and i don't like my stocks to have hot money in them. the upgrades keyed on two things, the new show lineup better call saul and internet signups which better be robust. all this week the high flyers and cold stocks were taken to the wood shed. some rallied back today but that group has been among the most troubled of all stocks in 2015.
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if netflix is strong you'll see money cycle back to all of the cold stocks with lofty -- i should call them violations, valueation valuations. this can have an overpowering influence on that entire cohort. we get reports from ibm, it's a real dog. remember that show? we need to hear that finally they have an upside surprise would that be something? or a meaningful restructuring that could bring out value. if not ibm will head down to 125 in the straight line. i think a lot of people will request whether warren buffett's loyalty is going to remain. wednesday we here from a key dow component, that's united health. they are an hmo, if unh has growth in the age of obama care
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you'll see a boost in all things health care related. i don't believe how important this report is going to be and how little people focus on united health. we also get results from another united, united rentals, uri, it's big equipment, rent it and capital goods and crushed by the decline in oil because it happens to have an oil service arm. almost like if they close it the stock would go back to 120. if united rentals says you're way too negative you might see an eruption in the upside in all things machinery. one that i care about, general dynamics, the defense stocks were the strongest group in the market going into 2015 even stronger than health care. the company talked about how other countries are arming themselves and not relying on the united states as a protector, that's the big secular growth theme. why i want you to own general dynamics ahead of the quarter.
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many of the higher minded people won't be pay attention on thursday. they'll be hanging on central bank president's every single word. i can't control what he does. i do understand him but i can't tell you which stocks should be bought in a marketwide decline or more accurate one it disappoints. you might want to buy union pacific if it gets hit after it reports on thursday morning. people are worried about dragi, there's no railroad to europe. i don't know if you've seen that no train station that goes from philadelphia to london. this is a domestic company but it's been crushed in addition to many other -- it's been crushed because people think it's too linked to oil. come on. ships a lot of frack and sand. i think it has a good story to tell. if it gets hammered on thursday this uniquely america first stock might be a place to buy. starbucks reports thursday and people in knee jerk fashion sell the stock.
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i say why not way for the selling and pounce. in the meantime i want to hear who will replace troy alsted as the fabulous executive goes on leave for personal reasons. he'll be missed. finally verizon on thursday yields 4.7% i think it's strong and dividend is safe. you'll be able to get a terrific bond market he quifl lent stock at the very cheap price. don't worry, they'll do well. maybe get a 5% yield. i want you to take that. finally we have two key stocks to give us an excellent overview honeywell, hon and general electric. i'm itching for you to buy honeywell because ceo and neighbor dan cody has been about as bankable as any executive i follow, which is buy he'swhy he's in get rich carefully. it may not have a good risk reward going into the quarter and we might have to wait to
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hear results. they'll give us a good read on oil and nonresidential construction. general electric, more problematic. they changed business mix, steering towards energy and away from finance. we don't mind that move out of finance. i mean they still got some but that's been a grave yard for many. for oil and energy infrastructure, all i can say is ouchy, i would have said ouch but they did go up today. two other thoughts we haven't big initial public offerings i want to talk about. next week it's called box, i looked at it a lot. i think it will be a home run. box. i don't know if you can get any shares in the deal but it will trade instantly to premium and perhaps this market has gotten so tough that you can beg your broker for a couple hundred shares. take it. i don't know what day it's going to come. if markets were open monday, we would be buzzing about big news after the close.
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pepsico announced that bill johnson and adviser will be joining the board. remember, we may not -- but he was on the board of heinz after a big dispute. this could solve the dispute between pelts and pepsico. who wins? you do if you're a shareholder. we have to deal with europe again next week and it will color everything that happens. if you embrace my america first campaign at least for stocks then you might be able to snare real bargains. chris in maryland. >> caller: boo ya from maryland. >> bank of america, in 2009 i acquired shares when the stock plummeted fort financial crisis. i've just recently seen the stock go all the way up in the fourth quarter in 2014 to $18 a
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share. they had not so good news on their quarterly report that just came out. would now be the time to buy back into bank of america for the -- >> i have to tell you, my travel trust sold bank of america a point and a half ago and we do not want to buy it back. we think there's other situations that have a little more upside and dividend. and certainly have a little more momentum. but they tend to be regional banks. sun trust, travel trust owns that or you can buy another financial that i think doesn't have the kind of risk of bank of america. that's a mastercard or visa. let's go to ivan in illinois. >> caller: hi jim, i enjoy your show. >> thank you. >> caller: can you please tell me why delta stock appear to be so undervalued relative to other airlines in the industry especially when you compare earnings per share and so forth? >> i think a lot of people feel
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because of the combination with u.s. air, american offers more leverage and upside. people feel like i want to be in southwest, the most consistent. delta hasn't done anything that makes people excited other than just do a good job as an airline. the other two are viewed as having catalysts or having a sleep at night kind of rap at southwest air. delta is caught in between. that's why. when we hear them next week let's make up you're own minds. dale in mississippi. >> caller: booyah jim, i'm calling about walgreens. my sympathy for your father. >> thank you for your kind words, i miss pop every day. walgreens is good. i like the combination, i think this is going to be an international power house. does that mean it's going to be right there and be a power house? i think it's going to take time. but you own this one for the
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long haul. don't worry about switzerland or france just worry about profits, it's going to have them. don't forget america first. embrace that campaign and you might get good bargains until we have to deal with europe again next week. one of the top plays in treating rare genetic diseases and it's rallied a monster 200% last year. can ptc therapeutics keep it going. i have the ceo. biotech, the next generation continues with a look at a potential block buster on its hands. plus can nelson pelts and company put pop into pepsico with an adviser who's been added to the board? i promise you this you will not want to miss my take and you should stick with cramer! >> don't miss a second of "mad money." follow at jim cramer on twitter. have a question? tweet cramer #madtweets. send jim an e-mail to madmoney
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all week we've been highlighting the hottest stocks out there. tonight we're taking a closer look at one of the ten best performing biotech names of 2014 called ptc therapeutics which rallied 205% and i think there could be more upside. they are an orphan drug developer. like that company that i told he we love nps which is being acquired for a monster premium. they develop small molecule therapies, a way of fixing rare genetic disorders especially those caused by nonsense mutations in dna. dmd, ultimately fatal orphan condition. the u.s. launch could come next year pending fda approval. other bioteches raising to
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develop for this illness. but ptc is alone in specificing a certain subgroup 15 to 20% of the population who are a particular genetic mutation. it could be worth a billion dollars in sales. being studied by cystic fib rose sis and nps in phase two. a spinal muscular at trophy treatment, they are developing that with roche. that's moving into phase one. that's talking about mice. ptc may have run up dramatically but also in the sweet spot of what's been working in biotech. let's take a closer look with the chief financial officer with ptc and find out more about the company and the prospects. welcome to "mad money." good to see you. >> night to meet you. >> when i was going through -- my first thing when i read this wait a second dmd, we know
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indication cystic fi rose sis, you are working on subsets where no one is treating these conditions. tell us about the dmb and window of what's so important if they get your drug. >> for all of these rare diseases, different mutations ultimately lead to the loss of protein. . it's also true if cf and nps. >> if 10% or 5% of the people have that disease? >> it's between 10 and 15%. we estimate around 13% and cf around 10%. nps, 60 to 80% of the patients. >> how do people know if they have that mutation? >> they have to go and get identified and sequence their dna to confirm it is a mutation -- >> could we do that five years ago? >> it's getting faster and cheaper to do it for the
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patients. >> one of the things i notice was and this is sad stuff -- everything you treat is very sad there's one if you get to people who are between 5 and 6 years old you might be able to save their lives. later on you can't. >> you want to treat the boys -- >> it's boys right? >> yeah it's predominantly boys because it's an x linked genetic disorder and lies on the x chromosome. >> if they don't have it -- i was trying to figure out all of the research could be worth $1 billion. if they -- they have to be treated for many years and then ultimately they do die. a health care -- health maintenance organization would have to pay millions over time to take care of these people unless these people are identified and take your drug. >> this is a muscle wasting disorder. we're trying to stabilize the boys and keep the healthy muscle healthy so it isn't so easily damaged. you want to take the boys as young as possible and this will
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be a chronic therapy. >> how about cystic fibrosis you have a specific subset? >> this is a mutation that is different and distinct from the mutations that vertex is working on. it's the most severe form of cystic fibrosis. >> how did you stumble on this whole rna technology? it's very different from companies that say we're going to go cure cystic fibrosis. >> we have a different and unique approach to rna biology and rare diseases unlike the enzyme replacement therapies making the protein in the lab and infusing it. our approach is to enable the patients to produce their own protein using a small molecule approach. >> you're approved -- this is not something pie in the sky, happening right now. >> last year was a monumental year for us. the european authorities approved our drug first ever in this disease for the under lying
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cause. >> given that, that means you'll have revenues and it would see if eu likes it what we've seen it's rare that the eu likes something that the fda doesn't. >> right, we've already begun shipping to patients in europe and a lot of countries outside europe that recognize the european approval. in the u.s. we've got the largest study ever to be done in dmd, well under way. will read out at the end of this year. >> people look into it they'll see it's really only still talking about a handful of people in europe. the numbers are not big. >> it is a unique -- it's about 2500 potential patients -- >> right now your enrolling just a handful have found it so far. >> we've got -- we're early in the launch. how many right now. >> we just launched in germany last month. we started shipping into france into spain earlier towards the end of last year. >> okay i want people to know this is early but you do -- you are going to have revenues from this product and there's a bright future for it. >> european launches are slower
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than the u.s. but they do gain momentum. >> people know why it's up so much because this is rare and it's the only thing for these people. the cfo of ptc therapeutics if you want to know more about it don't buy the stock until you've read the presentation "mad money" is back after the break. coming up -- the crushing decline in black gold has been crude to the players in the energy patch. but, could we be about to find the sweet spot in what's been april very slippery situation? don't miss cramer's take.
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looks like we found a happy medium level with oil for the moment. what's a happy medium? it's where oil stops going down for a while and let's the whole market catch its breath. right now the stock market fears financial collapse more than it welcomes consumer strength. while there's a lot of hoopla about the spike in the swiss frank and what it means for financial system i can tell you evening though some speculators, including regular retail investors who were hurt i don't think it rises to the occasion of a financial catastrophe, it's serious if you owe money to a swiss bank and deadly if you're shorting the frank. otherwise it's an unsetly event
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but not on the scale of greece or myriad land mine that you step on the moment you go to europe. oil, i can't be glib about the quick, quick price that oil has been going to. we're on the verge of many bankruptcies in the oil patch. and they could be very disruptive to the high yield bond market where companies go to get financing, not just oil companies. i've been around long enough to know that does matter. this high yield matter will go down if we get hit with a slew of oil related bankruptcies and the reverb races will not be contained to the oil patch. yesterday the housing stocks were hurt simply because stuart miller, the terrific ceo said there were weakness in the housing market in houston. that's related to oil. we know that oil has been a very good generator of jobs he is especially high wage jobs and with the people let go there will be repercussions. the best thing they are going
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for, not lower rates or cheap gasoline but better employment numbers. when the eia came out this morning and said there will be enough of a shoutdown in production at lower prices shortly that oil could find equilibrium, it was important to the stock market, so bullish. the judgment of this influential organization gave pause to those endlessly bailing or shorting oil. it came at a time when wall street is starting to get really negative, maybe some would say with a too negative both the oil companies and more importantly the price of crude. finally this week we're seeing analysts report oil is going to 30. i heard that a bunch of times. it cuts left and right that i told you had to happen before we find a bottom. they often can signal that a bottom in oil might be within reach. i still don't like the group in terms of the stocks but that's not the issue i'm talking about. solvency is the issue. if oil can stop its decline that many -- that many of the larger
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hobled energy companies, they can sell shares and maybe sell oil in the futures market and bring in cash. allowing them to avert bankruptcy and not cause a rash of layoffs that could distort the rosy employment picture. the consumer just recognizing right now after multiple trips to the gas station the $2 gasoline might be here to stay. consumer does not need $1 gas to feel good. 2 bucks will do just fine it gives $1,000 worth of additional disposable income to everyone of the households that can be spent elsewhere and will at retail and enough to make consumer sentiment surge to an 11-year high. we're in the sweet spot where everybody can win, or at least not lose as badly as we thought. that's what matters for the big picture and why we could rally nicely on long lost stability in the oil market. how about we go to jim in
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connecticut. >> caller: booyah jim, i love your show. >> thank you partner. >> caller: two questions, i have a pretty good sized position and i'm wondering with the scandals and the plunge in oil prices do i double down here? >> no no you don't, it's too low. really i mean i always know and write in all my books, $7 stock, you can lose $7. you will regret selling at $7 because you could sell higher. an iron company from brazil feel like we get a couple more bucks. take the risk. take the risk. kevin in colorado. kevin. >> caller: jim! hey, denver broncos we choked in the playoffs two years in a row. >> i'll come back and say congratulations to sean fox, he's a great man and jack del
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rio. >>. >> caller: absolutely. given the drop in oil prices and all saving money at the pump does this translate to anything really positive for a company like nike given the global foot dts print. >> i was thinking along the same lines and then we had a big drowngrade in foot locker. you buy nike because it's a technological leader and i also like kevin plank's company, underarmor. don't get too bullish because it's a china play at this point and western europe play not just an american play. how about we go to stan in florida. stan? >> caller: jimbo, greetings from sunny florida. >> beautiful. >> caller: i'm a long term listening, read your books, action alert subscriber and thank you for all of the help. >> you're quite welcome. >> caller: my stock is in the oil patch and i'm getting
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nervous about it what's happening to oil and over in europe. my instinct is to sell half of it and bri buy it back on a dip. >> i think the pipe lines are better than you think. i was going over with my writing colleagues we noticed the pipelines bottomed a little while ago, the worst ones. i think enbridge is one of the best. if oil goes to 30, all bets are off but right now i think it's a keeper. have we finally found a happy medium level with oil? we're in a spot where it matters and there's a vt more "mad" ahead with a spek that could make for a block buster drug. i'll reveal it when my series biotech the next generation continues. i'll fill you in on the deets and you'll get my take and a look back at the week that was and very special friday edition, where everybody gets tired, i amp it up lightning round.
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stay with cramer. can't say thank you enough. you have made my life special by being apart of it. (everyone) cheers! glad you made it buddy. thanks for inviting me. thanks again my friends. for everything for all your help. through all life's milestones our trusted advisors are with you every step of the way. congratulations! thanks for helping me plan for my retirement. you should come celebrate with us. i'd be honored. plan for your goals with advisors you know and trust. so you can celebrate today and feel
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confident about tomorrow. chase. so you can.
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why am i so focused on the biotech, these biotech companies have no real economic sensitivity whatsoever. they are not involved with a swiss frank. not involved with japanese deflation. they are immunized against the forces that slam the averages. these are businesses if you do the homework and follow what's happening at the individual companies, you may be surprised by disappointing clinical trial results or shocking decision from the fda but not blind sided by the european central bank. rylp a $1.15 billion biotech, specifically getting closer to
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the finish line with a treatment for hyper calemia, high poe tas yum in plain english. as the best drug was approved in 1958, the fda is expected to make the decision by late october. and early this month we learned it doesn't plan to convene and advisory committee meeting on the drug and that's really bullish. the question now, how big is the market? targets patients with heart failure and kidney disease, a population of millions which could make this a block buster drug. new drug launch could be -- a year behind them in the development cycle, a lot of upside potential major disk. let's dig deeper to learn more about the company and where it's heading. welcome to "mad money." >> it's a delight to be on the show. >> first sir, nothing since 1958. i mean that's got to be one of
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the most unmet needs out there. >> it is a very significant unmet need. to the point you made before about the size of the population, there are between 14 million and 15 million people with clinically significant chronic kidney disease and of those patients 20% or upward of 3 million patients will suffer from moderate to severe and this is an important medical condition to treat. they are at significantly increased risk of cardiac aridge mia and cardiac death. >> one of the things i thought though -- do people know that they have it? >> they actually don't typically know. it's largely asasymptomatic which makes it that much more frightening, i think. physicians will typically know because they are measuring patients' blood counts on a regular basis whenever patients
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are seen. so a physician will usually know that a parent has an elevated potassium. but to your point, there haven't been new treatment options in like 62 years and the old option that exists is really not a good one and not well tolerated and hasn't shown to be effective in clinical trials or subjected to the kind of scrutiny that a new product like ours would be. it's really important to have new treatment options for these patients and treatment options that are well toll rated enough that they can be given on a daily basis. after all, chronic kidney disease is a chronic disease. >> chronic disease, chronic treatment, take your polymer in powder form each week? >> you would take it daily. patients took it twice daily. it's a powder you mix with a very small volume of water. and then you swallow it. and the way it works, as it goes
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through the digestive tract it binds to poe tas yum, it's taking excess potassium and removing it from the body. potassium is a very important electrolooit for cardiac function and human life. the issue is that your body needs to control potassium within a relatively narrow range. we all take in far more than we need in our diets and normal healthy folks, you just exkreet the excess through your kidneys. but as the name would suggest, chronic kidney disease patients have a compromised kidney function and therefore a compromised ability to xreet poe tas yum and they are in need of something they can take on a daily basis that removes the potassium and keeps them in the normal range where they are not at that elevated risk. that's exactly what our product does. >> now, what i took it as very bullish that the fda did not ask
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for -- convene an advisory meeting that means they want to get something for these people if your drug works, faster than typically that i've seen. >> well my experience working with the fda has been a very constructive and productive one. it's probably not good to try to read into everything they do but we're certainly encouraged by the fact that they decided at least for now that they don't need to convene a panel. i think the way the product works and what it does is pretty straight forward. and i think our team put together a very quality submission. and also we conducted rigorous clinical trials to demonstrate both that the product is effective in removing potassium but also that what we saw was a tollerability profile suggesting it could be used on a chronic daily basis. all of those things i think,
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are important and i think the fda decision for now not to hold a panel is encouraging. >> one last quick question. i grew up in a house where i heard too much salt was bad or get a heart attack or high blood pressure. is it possible your drug is much big are than we think? america eats too much sugar and too much salt. could yourses be the answer for those of us addicted to salt and desire it all the time even though we know it's bad for us? >> many of these patients are sodium restricted so they can't take a lot of salt. that's why we designed our product to exchange calcium for potassium rather than sodium. we're not introducing any new sodium in patients but it's going to be important that they continue to limit the amount of sodium that they take in their diet particularly those patients with chronic kidney disease and patients with heart conditions. >> this just makes a ton of
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sense to me and i totally understand why your stock has been strong. if there's nothing since 1958 and it's a life saver, it's the right thing to do. thank you so much, sir. >> my pleasure thank you. >> understand these are all week i'm showing you things unmet needs out there, companies working on those unmet needs. when they strike gold you win and they save lives too, which is far more important. stick with cramer.
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lightning round is sponsored by -- >> it is time. it is time for the lightning round! are you ready? let's start with the lightning round, joe in connecticut. joe. >> caller: hi, cramer how are you? >> yo yo how you been? >> caller: i'm doing well first time caller. i want to ask you a quick question. i was reading about this energy company it's called cvr
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refining. >> it has a 15% yield which i call a red flag. i'm going to say don't buy, don't buy because something is wrong there. might be the one that can maintain it but i don't trust it. i'm going to harish in missouri. >> caller: thank you for taking my call. >> you're quite welcome. >> caller: and i have a question about ibm, should i hold or sell? >> no if anything i want you to buy it they are making a comeback, that's exactly when you want to buy bank stock and india is going to be the lone growth situation in 2015 besides the united states. congratulate that government for doing everything right. vincent in new york. >> caller: how are you? >> i'm real good. how about you? >> caller: not bad. the stock i'm calling about is ziopharm on koelg. >> i know the company. however, it has already happened so to speak. the good news is out.
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therefore i'm not going to endorse buying. curt in michigan. >> caller: jimmy, this is curt from michigan, first time caller long time viewer. want to say i love your energy. >> thank you. >> caller: i'm a few years younger but if i had half your energy, i would be a happy man. my stock is beckers, i sold it a few days ago in mid-90s. >> well a lot of people think there's something wrong with deckers because the stock acts badly. i look at it on a multiyear basis, an amazing man runs it with fantastic work and i was getting new orthotices from will at the running store and said they are blowing out the door. yes, it's cold and they could have good news and i like it but more importantly you're buying the brain of mashtrtinez, the greatest foot person of the generation. buy more and buy more if it goes
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down. sally in new jersey. sally. >> caller: hi, jim, how are you? i love your show. i'm calling about avon. >> i don't have anything to say about avon they are not calling. while you're kind enough to call the show i'm not going to say buy avon. let's go to tim in california. tim! >> caller: my stock is wiping the floor with nonbelievers impressed with the schedule 13, want to see what you think. >> we like denny's, we've been recommending the stock, i may celebrate with a grand slam this weekend and that ladies and gentlemen is the conclusion of the lightning round! >> lightning round is sponsored by td ameritrade. >> monster. let me give you in a monster way
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the bottom line. if you order stocks since i recommended and play with $1,000, if you miss i think it's the kind of stock you want to buy. like we had today, hopefully the whole market gets slammed -- that will give you a nice entry point. somehow, somehow i don't know, this market has morphed from a loveable dog, i asked for a puppy and got this when matt lauer asked for a puppy look what he got. into a cat. we've got cats. lots of cats. you might get scratched or bitten in the process. they barked and they got happy and slept. it's kind of like a cat using a litter box. ew. this feline market is no different.
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stick with cramer!
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♪ looks like one of the longest running dramas on wall street is coming to a close and concluding with a happy ending for all, including you if you own the stock. i'm talking about tonightance announcement that bill johnson, the former ceo of heinz will join the board of pepsico.
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he is not just the retired ceo of a great american company but a close adviser to try it run by nelson peltz. one of my 21 bankable ceos from get rich carefully about the possibility of joining with breaking the company into a fast growing snack food company and slower machine of a bench company. this addition kills two birds with one stone. pepsico gets the wisdom of a packaged goods executive and bury the hatchet from what was becoming a protracted fight that was distracting everybody. bill is an old friend of the show and did a fabulous show at heinz, better growth and selling the company for a huge profit. what you might not know he reluctantly accepted peltz to the board, he was disgruntled edd
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shareholder who wanted more growth in the company. he took a tour to his alma mater and i asked whether peltz was helpful at all once he joined the board. i found his answer very eye opening. >> you've had shareholders who make noise, does it help or hurt your job? >> i think it's both. i think it helped and it shined a light on undervalued stock. he's become an energetic and supportive director -- >> nelson pellz. >> it works both ways if you embrace them and help them help you and they recognize mutual respect, it can work for you. >> and that's what i think is going to happen when johnson joins the board of pepsico. i have watched this pepsico tousle from afar. it's the best performing large capitalization consumer products company i follow and peltz made
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fortunes. in fact, peltz is the only activist i could find if you bought a stock after it was announced he was involved as a change agent, you still made money and still beat the market. i was hoping there could be a way that was not conflicted. peltz is on the board of a snack rival but get input about the direction pepsico should take. i've always believed he would do whatever is right for shareholders even if she felt splitting the company would bring up more value. i think it is the perfect compromise. gets to hear really grade ideas from johnson who will share some of peltz's views and improved board to work harder to bring out value. it's a win-win. i congratulate the participants for doing what's right for the shareholders who should always win for this great american company. what makes it an suv is what you can get into it.
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♪ [container door closing] what makes it an nx is what you can get out of it. ♪ introducing the first-ever lexus nx turbo and hybrid. once you go beyond utility there's no going back.
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once again, people got a little fooled the swiss frank goes up and people panic. must you never ever forget this. what did it have to do with the price of bristol miers. we are america firsters and if you listen to me you have good basis for brand-new stocks. we have been stewing a lot of speculative work. i want you to understand the biotech bioteches, do your homework first. i'm jim cramer and i'll see you next time!
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>> it's crunch time at frito-lay. the push for the 4th of july holiday. in the next week, the crew will make about three million pounds of doritos... fritos... and the all-american classic... >> this right here is a perfect potato chip. >> they'll run 12 production lines, 24/7, then bag, pack, and ship out to the grocery shelves. it's a race to the picnic table... >> it's going to be a tough 4th of july.

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