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tv   Mad Money  CNBC  February 2, 2015 6:00pm-7:01pm EST

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sappointing. >> green mountain coffee roasters, a lot of negativity the last couple weeks. stabilized at 120. gmcr i think bounces from here. >> i read about the super bowl though. thanks for watching. see you tomorrow at 5:00 for more "fast." "mad money" starts right 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" start now! hey, i'm cramer welcome to "mad money." welcome to cramerica. another people want to make friends, i'm trying to make money. my job is not to entertain you, to teach you. call me. of course tweet me@jim skramer. got to ask this. did we finally break the pattern of more sellers and buyers? did today break the cycle of pain? is the dow climbing 196 points
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after a weak opening. advancing 28.9%? don't we have to ask how we left january's busy pattern behind? we are asking if february is back into soeg and in some cases roared. perhaps there is something good at work like the end of a slow down going forward in the rest of the earnings season before we could understand the possibility of a new pattern. we need to remember what the old one was like t. one that defined the whole month of january. i know it sounds simplistic. last month we had a lot of what we call asymmetrical selling. bye, bye, bye, sell sell sell for instance when the news is bad, the sellers are more powerful than the buyers. when news is good the buyers just aren't paying up like they used to. today finally the market opened down with more disappointment. but it was only able to rally nicely.
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>> that reverses january's hideous almost daily pattern. i have to admit i found that heartening. i say, let's examine what's been happening lately so you are ready if the market can't sustain the old gain. we may be more bullish that january is in the rear view mirror, let's dissect what went wrong last mont. i like to do that on the big up days. the best example is the airlines. now, for the longest time before going into 2015. whenever the price of oil fell there would be an immediate rally up in the airline stocks. it's one of the can't miss correlations of 2015. that's because pretty much like the airline, cheaper jet fuel went to the bottom line. you can raise numbers and raise them some more. then we got these uncertainties spreading like wide fire. first each airline reported earnings. this time around the analyst
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community didn't get to raise numbers as they have over and over again. that's because wall street finally got religion on the group. after being shocked by how long analysts were doing, they last had taken up their estimates in a major way. we didn't get big beats. >> then we get this little spike in oil. what happens? the airlines just get clobbered, despite chan lifts chatter, the market leaders in most of last year and the year before it couldn't rally, they have to get back into rally move for me to be a beaver that january is different from february there is another factor. typically when the company missed the corner you got some building, it started going back up. lately, though you have to consider the case of microsoft which my charitable trust does. did the company do the number?
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yes. did it have hair on the quarter so to speak? was guidance tepid? most definitely. as was the body language on the call. the simple truth is it wasn't that bad a quarter. normally, we would say the stocks have fallen before the call. some anticipated after intel's good quarter in the stock. >> that stock went down. but, you know maybe microsoft wouldn't be that strong. that was the clatter. the reaction however, to microsoft's not that weak quarter, i found it breath taking. the stock had been in free fall. it dropped from 49 to 41 with today's 88 cent gain really not cash microsoft. a 3% yield, break up the company. a lot of new products in the pipe. but it hasn't been able snap back much at all. that's january. we've seen the same pattern play out and another blue chip. american express. it delivered on both the top and bottom line. if it weren't about the one line where december retail sales were slow.
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i think they would have gone higher, not lower. plus the stock retrieved before the quarter. it didn't mat. it wasn't enough and america's best made a beeline down to 80. just a bone chilling fall. where there seems to be a delunl of sellers and no real-- deluge of sellers and no real buysers. they cut the forecast. not the ones that affirm their forecast. i want to know up to the day's buck 44 increase is the real deal for the proverbial dead cat balance. then there is a quarter where it obliterates the estimates. this has happened a ton of times where the buyers seem to forget why they block but the sellers remember why they sold. there is no new data point and this stock seems expensive. i love the quarter from facebook. i told you had terrific akseling a accelerating growth. there was no converts no bears
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twiem bulls, hence, facebook couldn't finish down into cents a day. you know, i think you should own it. i am cognizant it should have gone up today. that was a little january superimposed on february. apple reported one of the greatest blowoffs in american history, but again, i don't see anyone who changed their mind. just more people anxious to take their profits. and go home. if the single best blowout didn't lend itself to a new high rally other than just buy penneys and it didn't finish up there. then what happens to stocks after the garden variety blowouts? most companies can't hold a can'tle, how can they hang in by comparison? then again, apple resumed it march higher today. i will believe it if apple closes above 120 it's 52-week high. stay tuned. how about the breath-taking punishment of stocks that truly missed their quarters. the bees meeted out qualcomm they were extraordinaire.
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sandus was emblemmatic of a pre-announcement. a guide down and a further guide down because of less customer. that how the stock falls from 176. 3d computer company stratus is traiting down after a big profit warning, january or february. after the currency ended up with an outlook called that their safety of which they are always known to safety stocks into question. both procter & gamble and johnson & johnson, reports vanished. these are beloved big cat stock people excellent ceos, yet the momentum disappeared like helium in a balloon. okay. a little rebound today. is it for real? i don't know yet. finally you have these situations good corporate news seems to do nothing. did anyone notice that costco had a $5 special last week. this confidence didn't even happen until today.
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it finally dawned on people t. stock folded $3 bucks, closed a year at its 52-week high. the only stocks seemed to fly were the ones most heavily shorted going into the quarter. like boeing they had a good number and a better conference calm. amazon which reported a number that shocked people more important, bumped gross margins improved. they raised markets for amazon prime. all that happened was a dramatic increase in customers. finally the short squeeze in netflicks sent that stock into the stratosphere. net flicks crushed the sign-up line crushed the bottom lean the shorts. that's the kind of story that had legs in january. which brings me to my real conclusion. after last year's magnificent performance, i think a lot of short sellers are crushed here. they seem to have my friend doug says left the building. here's the bottom line. the market was broken in january. we would open higher suck people in. then get crushed.
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it's almost a daily occurrence. it gave us the opposite one day doesn't make a rally. but the tone seems to have shifted. you have to be heartened by today's snap back performance. as january goes so doesn't go february? at least for the moment. let's go to sheldon in florida, please sheldon. >> hey, thank you for taking my call. i appreciate everything you do for everybody. >> of course. >> my question is cdr refineing, it seemed like a roller coaster. i held on as long as i could. now for no reason it's going back up cvr refining it's where i should have sold it. your thoughts? >> that's would have should have could have. you are too hard on yourself. this stock has come down big. it does have a big yield. a lot of people feel that yield is suspect. to me few want to own an oil company, goen don't go for that yield. you buy an oil service company or maybe look if are you a real
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believer why don't you buy david dempshire's stock? core labs up $5 bucks today after being down ten last week. how about kelly in florida? kelly. >> yes jim, i'm calling from sunny south florida with a big next time i'll hand the ball off to marshawn lynch, boo-yah. >> yeah i think that would be a better call than the obvious. caller thank you for taking my call first and foremost i want to thank you for your kind words of wisdom on king damage tal last month. you saved me and my family money on that call. so i thank you for. that moving forward the reason i'm calling today is last week before the earnings call i took a pretty nice position in ford. it's been doing well so far, so i just wanted to see what your thoughts are on it. i'm looking to hold it longer. >> mark fields i believe he is doing a great job. i think the reaction to the idea that europe could be turning
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because greece has said to rest in europe. hey, look at me man, we're not tolerating this kind of us a territory anymore austerity for ford. could it be happy february? are the buyers finally taking charge over the sellers? buyers come in at the end of the day? we may have got an glimpse of a whole new market. but tread carefully, because the old patterns come back with a vengeance. are they getting too bullish in black gold? don't miss my take on whether we're past the pain in oil. can the company's big bet on the car drive the stock higher? plus a company using smartphones to change the lives of millions managing diabetes. i think you should stick with cramer.
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you or v. i'm talking about the recovery in oil if it hasn't started already. i have to tell you i still think the u camp makes more sense as the b supporters who think oil is starting to turn are starting to gain more and more adherence, especially after we saw another dramatic spike in the price today up a balk-and-a-half and 49 in change. every time oil moves slightly we hear rumbles of a b-shaped rally. oil jumps up in the ''80s, you know that the inability of the large oil stocks to take out the december 15th lows was higher heartens the bull they ignored chefron lows on friday and exxon mobile cut theirs in half today. if oil were done going down wouldn't they increase the
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buybacks maybe the fact that both-of-these companies bought stock all the way down and now get cold feet is indeed a sign of a bottom. i still believe we're in a slow u-shape recovery mode. it will be next year before we talk about oil in the ''80s not to the possibility of massive faults from the minor players. something we will learn about when they report earnings they will each cause a negative ripple. now plus if oil stays down here the cash flow for some of the majors dwindle, may not be able to sustain difference. anyone looking at the dedraggled ensco, the latters have been crushed, knows the rollovers can be severe. then again, we've had so many downwaves, maybe that tells you something, too. a number of people pointed out the dazzling uses up according
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to energy administration, this judgment is contrary to what visa and mastercard said unless you believe we have all tons of pay now cash now, maybe with reckless abandon, you don't have a good case. others talked about the rip count without thinking how many wells had been drilled before the collapse and how they will not be capped as the cost of maintaining an oil well, that's already finished ridiculously low. others have pointed out the expiration budgets are being cut dramatically. if you see one oil company claim its production will go down big in 2015 from the cutback, read the fine print. they will almost all be up. i'm talking about the smaller guys. that's when each oil company will have patches, even at $49 bucks despite in aggregate, if you remember, they fell precipitously down to about 20,000 flat which increases the
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rate of return down here that's playing a role. of course there is the demand side. now you saw the chinese manufacturing pmi over the weekend. it's still decelerating. while the dry great index, it's clear, a collapse of transport. it's a pretty amazing, i have to believe that it has to extend to oil. you wouldn't be a ship and no bulk and edge a lot of oil. don't look to europe for help yet. until the european central bank goes full court and germany cooperates, i don't see much movement there. this dire situation if greece could cause the germans to go easier. meanwhile, the less stable or totally unstable countries like venezuela, libya, iraq iran russia are pumping out oil in record amounts to pay the bills. an elongated u-shape recovery i think is far more likely than a v-shape that gets oil much higher a year from now, either way, let me make something very
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clear. i am a big believer that oil will come back. i am more of a haven'tturist. i, too, am heartened by today's and friday's decisive rally david in kansas. >> hey cramer thank you so much for taking my call thank you for helping us little guys. >> of course. >> caller: first on that scoreboard behind you, what are the red numbers? . second, you recently ponderred whether oil stocks will rebound with a u or a v shape. is this time to build a position in slumberge or halliburton? >> i want you to understand i think it may not be the lowest price you pay. they are fabulous companies that you are buying at a substantial discount to where they were. i am never against doing that both of those are terrific.
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so i am sanctioning buying those. all tow, remember they did have a nice run from last week. okay. okay. there you go. we are in slow recovery u-mode. lighten up it will take some time getting into the real comeback mode. but understand that we do see some green shoots to hoyle. much more "mad money" ahead harmon, the company giving you technology in your car, a major tuneup. can the stock continue to rise in the fast lane? then it's been a rough start in 2015. this has been a loouj huge opportunity or should we stay away from the market? plus the fight against die beat i'm going to show you how it's saving lives. why don't you stick with cramer?
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that's . >> katie said she thought it was about. >> yeah. >> see that's what i said. what do you mean there is nothing under the hood? katie said she thought this was a car. >> yeah. >> it's built using wind like from a wind mill. >> or a fan or a turbine. >> what can you learn from last night's super bowl ads, remember that brian gumbel katie couric
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ad that called your attention too the complexity and nature of new cars. especially after last night it's become clear 2015 is the year of the connected car. we will talk about it in that matters. it explains how the heck a stock can rally 26% last week a week it was a pretty darn ugly for the overall market that's what happened to harmon har, infotainment systems. despite serious currency head winds at a time when so many suppliers with far less weak euro have been stumbling repeatedly specifically last thursday harman international catapulted from 101 to 125 in a single sex. it was actually earnings. it's kept going higher. now it's up to 131 increasing another buck 39 today. whenever we see this staggering straight-up move.
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we kind of ask ourselves how could the market so dramatically mispriced the stock? first of all, let me take a moment harman has been a long-time cramerkramcramer fave. it might not have come as such a surprise although mr. apollo could not talk about the actual quarter going in plus they pulled back aggressively. which maept it was spring loaded to shoot higher if the company managed to beat expectations which is exactly what they did. if you want to understand harman's out performance, you need to know what this company is. for starters, harman is not a traditional auto part supplier. something wall street endlessly fails to realize. you can't get it for what it is. in reality, harman is a technology company that happens to sell into the automobile industry. the company has thousands of patents from sound systems to
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infotainment systems, from media safety solutions and smartphone connectivity. harman is the leading player by far in this market. their products are currently in 25 largest cars and auto makers use their infotainment systems. they are winning awards for the quality of its products. if you paid attention to the ces, electronic consumers show in vegas, you would have known the big team was the connected car. in fact, it may be thing thenology story for 2015. remember the chevy ad before the super bowl it looked like your tv cut out. we turned to our party host par excellence with 81 u one gigantic stare and it wasn't as brand-new costco tv. all right, it wasn't for a fancy
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schmancy cadillac or mercedes benz that's because these in car infotainment systems are going to nearness necessities. like every car has a radio and will have harman's radio on it. guess what this is very much a proprietary business. you might think that will be easy to cope. remember, harman is sitting on thousands of patents. it has the best brand name. in fact about 70% of harman's infotainment business is soft software if you are going to bundle into a single system the software makes it betish than a supplier. they announced two major
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acquisition, including a sieper security one. they are trying to give themselves a bigger edge. it's wideening the gulf between them and everybody else. this entertainment story has become a big deal. it makes high end sound systems, many find themselves under cars and brands you may recognize, jbl, ear buds harman has a professional wheres they make sound systems and lighting controls, puting everything from movie theaters the grammys, the country music awards and yes last night's katy perry's super bowl show which i thought was the best ever what do i know? it's riding a major secular trend. the connected car. it dominates every market where it competes. so when harman has this spectacular quarter like it did last week, maybe we shouldn't be
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surprised? harman delivered a 51 cent of a $1.28 basis. where was that oh with the strong dollar? no, on top of that the company raises four-year earnings forecast for 2015. harman did this in the base of the same year currency head winds and the strong dollar and so many other companies. harman, no whining, just winning. i told you before harman pulled back in large because bears on wall street have drummond up fears that the core entertainment business could be under pressure. the company laid out those fears to rest if one fell swoochlt harman's organic sells grew by a staggering operating percent. increase a seen they are widening the lead by 210 basis point. much lieer than the numbers wall street was anticipating. they benefit from higher products and the overall
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increase in auto production. the bears have worried auto makers would push back on prices and keep up with the ever cheaper competition for smartphones. could it have happened? as i've explained before this is a false dichotomy. harman benefits as more and more cars can connect through your phone, it's their technology doing the connecting. meanwhile, harman's business was on fire. the organic is 31%. i find it hard to believe. it's incredible a monster in they have claire clarify. that their system for restoring sound quality for digitally pressed music. . it's all the music may downstrooen stream over the internet and neil young's revolutionary device. there was one quote the tail of the mechanics of wall street. that's the unwavering negativity of the analysts who cover the stock at morgan stanley. they are permabear, they had the
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rating since march of 2012 since then the stocks rallied 170%. morgan stanley find reasons to dig in their heels. then again the mistaken negativity has given you stock at a discount the short sellers here had to panic and cover or buy back the stock before it ran over them and it's still going higher. still, up here get this. harman trades at 18.5 times next year's earnings. the company has an 18.6% long-term growth rate and that's really the average for the s&p 500. i still think the stock is worth buying at these levels obviously, it went down a bit in the next market wide pullback like i talk about at the top. here's the bottom line. connected cars are the futd and harman international industries is all about the connected car. that how the company managed to report a spectacular quarter last week and it's why i think
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the stock has not finished going higher. you see, there with is too much good here that i do not believe could be contained by its paltry $9 billion market capitalization. ed in california. ed. >> mr. cramer. >> caller: live in california coming to you. >> nice. >> caller: my question is sony i know they have a lot of stuff coming up. cars in the near future. i never trust the mermaid. i always trust your opinion. >> it's had a big run. a lot is because japan has done a lot of stuff to make it. sony is more competitive than it should b. i am not a buyer of sony. i am a buyer of harman. chris in new york. chris. >> with today's snow we'll give you oahu how's that? >> it's so miserable here. this was probably the most depressing morning i have gotten in new york in ages. how can i help? i'm trying to stay positive. go ahead.
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>> okay caller karl i got holding in best buy andrea hoo. i was wondering if you think that's too much alike since they're not identical. they both deal with after best boy got hit last week or last month. >> i think they're diversified enough. best buy has been a conundrum for me. every time i want to get positive i think go and do something wrong. they could be a beneficiary if something happens to radioshack. i don't want to get too negative. harman's music was all about connected cars of the. if you i think there is still room to run. much more "mad money" aahead. will we see more bumps in the road? i'll check the technic also. more than 10 million americans suffer from diabetes. ly talk to a ceo that has an app to make their lives much easier. the lightning round is just ahead. so why don't you stick with
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cramer? cramer? >>
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. >> what exactly is the state of the stockmarket after last week's viciously negative action and then today's positive action. where do the averages go from
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here? these are questions you should always be asking yourself. tonight we're going off the charts to help you try the answer them with the help of dan fits pal patrick. he's the president and founder of stockmarket mentor.com and, yes, my colleague at the paid site of "mad money."com. first let's deal with the health of the stockmarket, something fits pratt trick is concerned about. take a look at this chart. according to fifztz, this is an ugly picture. the multi-year uptrend is now being called into question by what's occurred last month. that's a very big dell. look at the rocket. what is it worth? for starters since september the s&p is making a rare diamond pattern like the real diamonds. and this pattern is very uncommon. unlike real diamonds it's the exact opposite of valuable. what is this dreaded diamond pattern? okay it's what happens when you
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have a divergent set of higher highs and lower lows. the volatility peaks and the highs start to get a bit lower as highs get higher you see this form eight formation, you still have a highly level of volatility happening on high volume the resistance comes down while the floor support rises. now fit patrick keeps turning the s&p 500 could be entering into the final phase of this pattern there is too much resistance and it ends up breaking down and falling at the end of the dime. in sport, fitzpatrick uses this diamond as a sign the s&p 500 may have peaked. it could be ready for a dramatic decline so if the broader stockmarket is about to get slammed and we are back in january mode. remember, these are two
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different modes that's what we're trying to figure out. even though the industrials have been hit pretty hard fit patrick thinks mr. industrials could have a lot more downside. in particular he's worried about long-time cramer fave united rentals. you or i follow you home neighbors. the largest company that rents industrials, utilities, oil companies and various government entities to take a gander at uri's weekly chart fit patrick point out from august 2011 to 2014 united rallies more than 800%. what a remarkable move right? in recent months united rentals boo et the numbers within it reported a week and a half ago the stock it has gotten clobbered. i've said that i think the stock is being punished unfairly because it rent equipment to oil companies, lately anything oil-related is crushed until friday or monday.
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even though production represents 6% of uri sales. it doesn't seem to matter. the taint has cause it to tumble to 83. that's a 30% decline. after that beating, fitzpatrick is extremely concerned of what he sees in these champlts he thinks money managers that own it for years and made a fortune in stock are likely to take profits while they still have them. what is the problem? there is a clear break in the upward trend followed by another lower high and the stocks long-lasting floor of support has been broken. given that uri rallied leading to its recent peak, that suggested that united rent apples has a long way to fall before it find any kind of support even after the pounding the stock has taken. he thinks the next file for support levels is $60 bucks. wow. that's the old resistance right through in october of 2013 plus
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that $60 level represented the stock's recent highs. in short, the weekly chart tells united rent apples can fall 23 or %. that's obviously brutal. now, get this check out the daily start fit patrick point out after the 20-day moving average, okay. that's the blind and blue. this blue line stock measure has been acting as a floor support for united rent also. ever since it broke down below that level in december the 20-day moving average has become a powerful ceiling of resince tans, that's been holding uri down. every time the stock approached that moving average, meanwhile, united rent also is falling below the 50-day and 200 day moving averages. see those? that is indeed a cartist's worst nightmare. fit knocks the stock is
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oversold. it might even test nooint 90. but only fit pratticzpatrick sees it going lower. its pain. my view? oh i don't know i know the chart is hideous t. latest quarter is strong in that relationship is extremely thin i believe they're coming back getting a u pattern of reversing with oil i think this is a case you do buying fought selling. slowly, small increments way down it drops all the way to the $60 level consider that an amazing sale the charge is interpreted by dan fitzpatrick suggesting the broader stock market could be in for tough sledding. i have no problem believing we
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could be in no for a rocky moment. united rent also continues to get vis rayed. i tend to agree. i say it's a buy especially if you get more weak ness like fitz is predicting. the rental opportunity is great. it needs the weaker hands to deploy allowing it to recharge. then i believe eventually resuming it's up ward climb. "mad money" is back after the break.
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a
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a. >> it is time, it is time for the lightning round. we tell you whether to buy, buy, buy, or sell sell is em. when lightning round is over when you hear this play out. ski daddy, are you ready? we start with ken in florida. >> hey, boo-yah, ken. >> caller: alice energy. >> you know what there are so many high quality ones down so much. i really will tell you not to go into that one. there are so many. you don't need to be down in that one atlas energy. let's go to cy in ohio. >> caller: boo-yah, mr. cramer.
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>> boo-yah back. >> caller: hey, pack annualing court of america. >> i like packaging. i like international paper better. not bad beverly in massachusetts. >> hey, jim, i want to thank you for all financial lessons have you given us through your books and shows. >> very kind. thank you caller my stock is illumina. >> i like the stocks. wayne in ohio. >> hey, long-time listener first time caller. i need to find out your outlook on whirlpool. >> we will find out quick. they report on the 4th. here's the thing, we know electrolux had a good quarter. i have to think it's going to be good walter in new jersey. caller scc coppers. >> i'm not a buyer of the
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coppers. it's an illusion. ladies and gentlemen, how about lightening round? >> the lightning round is sponsored by td ameritrade. they're coming. what do i do? you need to catch the 4:10 huh? the equipment tracking system will get you to the loading dock. ♪ there should be a truck leaving now. i got it. now jump off the bridge. what? in 3...2...1... are you kidding me? go. right on time. right now, over 20,000 trains are running reliably. we call that predictable. thrillingly predictable.
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have you heard of the new dialing procedure for for the 415 and 628 area codes? no what is it? starting february 21, 2015 if you have a 415 or 628 number you'll need to dial... 1 plus the area code plus the phone number for all calls. okay, but what if i have a 415 number, and i'm calling a 415 number? you'll still need to dial... 1 plus the area code plus the phone number. so when in doubt, dial it out!
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time to check in with a company that's seen its stock higher i'm talking act dexn dexcon.
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they help people with diabetes tip i. it's speculation back in march of 2011 since then it's given us a 352% gain we most recently spoke with the ceo in august of last yeert. if you are coping track of your blood sugar is important. in the old days you lad to prick your finger they make an extension you can stick on your kin a whole week. the wireless receiver creates a razor blade business model. once you buy dexcom's product, you have to buy a new cloud each week. they share it with care givers can they keep climbing? why don't we check in with the executive chairman of dexcom. mr. grey well come back to "mad money."
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good to see you, sir. have a seat. >> thank you. good to see you. >> last time on you promised we'd see break through things. i didn't think it was this break through. it goes up as much as it did so i whether give you the florida show. this may be the answer for modern medicine certainly for children but only for us all. >> sure i'm seeing i'm wearing a sensor live. i'm report recording to this receiver which is seeing 78. by blue tooth. what we are doing is notification to my iphone and now i'm also watching myself but in addition because of this follower app that we developed and fda-approved. i am watching somebody in san diego. so whether you are around the corner, on another continent, we can remotely monitor you, think of that for parent in particular. >> your child goes to school, old way, new way? >> the old way was hopefully the school would allow somebody to
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look at tear receiver. new way, parents are looking at it while the parents are at work and communicate the school to alert changes in the child's sucrose levels. >> now, this was remarkably fast-tracked by the fda. i don't know people understand. walk through how quickly the fda decided to adopt? >> well, we got an approval for this particular application in 122 days. normally the regular stoocht is 170 days. the fda worked with us in a collaborative way in order to achieve this they recognize the need and worked with the company in order to achieve this in record time. >> no you this device will save some more steps, sent on the sensor issue, right? >> oh, absolutely. so if not approved yet. but this device is the new deployment.
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so heretofore our deployment system was 11 stems. now you move to four steps but one button pushing. so in terms again of administration deployment of the system on the body it's one-handed. it's very simple and by the way, we take a huge amount of costs associated with the old system that this new system. >> now, how long will it take for people who have a type i diabetes or their families to know about this? >> we are trying to get the information along with fda. the fda issued their own press release on the o'profl. we followed with our press release. i think generationally we are in our fourth generation. we will follow our fifth generation sometime in this first quarter. >> that awareness is getting out there. it is unusual for one of our sales reps to walk in an officer and not have that knowledge base and understanding of cgm. we're getting there. is it as fast as i want?
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absolutely no. we're getting will. >> what kind of mod us from another company you sold a business to medtronnic, i saw last week. they have real smart guys. >> med tron sick aer wothy competitor. i hired many of them way back when. we respect them i think they're making a great push. comp ticks makes us all better. >> now i said i got my annual cardiologist, got my exam. he said one day we will have it so that i can see how your heart and blood pressure are doing. i know you are a diabetes guy but isn't this the same technology my watch can be synced and someone can watch it? >> that's in the future. it's not in the long-term future. you are absolutely correct. so if we look at even this down regulation or the fda allowing the software to be administered
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more quickly, so as an apple watch or any of the other utilities, a secondary display like this it's a secondary display, you actually now just have to have the procedures in place, you have to doo validate i. verify it. you don't have to submit it to the fda prior to commercialization. we'll work with anybody, a third party, in order to help them achieve that status as long as they adhere to the validation that is all required. >> a remarkable advice. your confidence was warranted last time. i was concerned. oh, boy, this stock. you said stop worrying. you were right. that's the executive chairman of dexcom. look. this is break through and it can help save people's lives. it can help you make some money if are you a shareholder. stick with cramer.
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. >> all right. all the 3d stocks i do like the hp spin-off but it hasn't happened yet. hey, january, finally over. is february a new pattern? i got to tell you, it's quite heartened. let's watch. it's too early to sound the all clear. there is always a bull market. i promise to find it for you here on "mad money." i'm jim cramer. see you tomorrow.
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>> imagine a store with no signs in the aisles, a store that doesn't bag your purchases, one that never advertises, where you have to pay a fee just to walk in the door. who in the world would shop here? as it turns out, about 3 million fanatically loyal customers every day. it's called costco... >> i love costco. >> i bought ground beef. >> lawn furniture. >> a television. >> i bought my engagement ring here. >> ...a chain of stripped-down warehouses that's become a sensation at home and abroad. >> [ speaking chinese ] >> but its crowning achievement -- convincing you

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