meantime don't go anywhere "mad money" with jim cramer 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. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you money. my job isn't just to entertain but to educate and teach you. call me at 1-800-743-cnbc. or of course tweet me @jim cramer. you want leaders? this market is giving you a ton of super high growth leaders. the only problem is that this kind of leadership creates havoc

for just about everyone else. which is why the dow tumbled 105 points today. s&p lost 0.61% and the nasdaq climbed up. first a word about leadership. i learned about this from the television show that got me interested in the wall street to begin with -- "walk street." there was a fun-filled review of the week and the panelists revered, and they'd opine about leadership groups. it's where i first heard cyclicals although lou would say, that sounds like a washing machine, speak english and marty would say that companies with earnings improve when the economy gets better and deteriorate when it gets worse. i try to model myself on lou. at the same time i didn't want the show to be dumbed down too much so i would like to listen to the concepts like the

generals that they talked about all the time. the generals. the stocks that led the market forward and tried to judge whether the leadership was meaningful longer term. some groups make better generals than others if you want to deviate from the military analogy some have real pin action and gave you a spare or a strike far more easily than others. that's what we're looking for. but the leaders that provoke the best pin action those are the transports. if you see planes, trains and trucks doing well at once you know that commerce is humming a lot of business is being done. now that we don't fear the fed ever resecond or at least i don't because there's a lot more to talk about, we welcome any sign of increased commerce. more commerce means more shipping. more passengers means more is spending and higher earnings down the road. so we want the transports to be zooming. unfortunately planes and trains haven't been doing too well lately. the airlines have been up and down, up and down with the advances with the price of jet

fuel drops and then the declines occurring when it goes up. ever since we hit a double bottom in oil, the airlines have stopped climbing. now i'm worried about the number of passengers they're shipping. the railroads are being hurt by the slowing of oil shipments as we we learned from kansas city who announced yesterday. they have to spend more time in purgatory before we find out how beholden they to oil. for that matter, coal. [ buzzer ] oh, which is another major cargo with horrendous fundamentals. the second best possible leaders i call them the banks. why the banks because bank stocks they rally as a function of lending which is positive for the economy. more lending, more growth. sure we can respect when the group moves up because they can invest for a slightly better return than they pay you, however, the real money for a bank is made with increased lending. right now lending is in fits and starts. you need strong lending or you

need to have decent net interest margin or the deposits. interest rates haven't gone up people thought they were. and that's the signal that things are getting better for the banks and we don't have that signal right now. so that's why that group has been tepid. the third best group of generals it's the exthe nothing -- the technology stocks. in tech we have good news and bad news. the good news they're definitively some tech leaders. the bad news is these stocks are uniquely unqualified to lead because they don't inherently have many followers. they're too busy disrupting everybody else. for example, today's five star general was netflix which got a couple of pushes from analysts no doubt because this momentum stock hasn't been done much lately. it just needed a little nudge. i read ail the positiveness, but the sum total of the thesis was that if you think the quarter going to be cut, or that apple will make its own television menagerie, you'll the still want

netflix so it will be the winner of the over the top movement. to me this theory sounds old hat. but it sent the stock up 13 bucks. the issue with netflix is it doesn't inspire any of the stocks to rally. you don't want to own a cable company or broadcast or entertainment business if netflix stock is flying. it's the ultimate zero sum game. it's leading a one-man army. then there's google up $12 today. when google goes higher it means that other companies are going to get decemberimated. it's destroyed so many online media companies that it makes it so you can't profit nearly as much as you used to from the digital ads. it crushed the ad rates entirely. google is threatening to wipe out everything from the yelps and the tripadvisors to the aols and the yahoo!s. just like the recent articles

about the antitrust articles this company can cause other franchises to crumble. so it's them -- >> house of pleasure. >> and enemies -- >> the house of pain. >> how about facebook? in this market facebook has been promoted to the four star general all of a sudden, but it's based on facebook destroying value of a lot of other companies. today we learned they're fashioning us own news service and carrolling important media darling but many institutions have built their rosters via shrewd use of facebook. facebook wants to build a better user experience that's fine if you have an ad supported business, but with a pay wall it could be hurt by this. that's not a general. it's an eviscerater. same goes for facebook's banking initiative or its nfl sports initiative. could facebook be the ecosystem you never have to leave? that's bad for virtually every other media company, period. it's a general without portfolio. finally there's twitter. here's a stock that's been sitting there for ages doing nothing.

kind of a victim of what i call rampant insider selling and a company that seems to be uniquely unable to capitalize on the own ubiquity. think about it, everyone on the web and tv is broadly willing to display that blue bird next to their twitter handle. how in heck can they have all that free advertising and not figure out how to make the most money with it? but i think that could be changing. hence today's $3 run we'll check the chart later on in the show. when they figure it out, it will be one more nail in the coffin of the media business. because even the best of any network would rather tweet than wait to be beaten on a twitter. now, now we know that there are even worst possible leaders than the disruptive technology stocks. don't freak out. i mean, remember in 2008 what led us, the minerals the coal companies and the fertilizers. talk about unsustainable heights. they came crashing down when the

rest of the market crashed with them and when the companies like proctor & gamble are the brigadiers they're leading us into the res is. this market's fast growing market leaders are disruptive companies that leave a trail of wreckage in their wake and take no prisoners when it's amounting to a decent chunk of the s&p 500. no wonder netflix, google, facebook and twitter all charged up the hill and no one followed. why don't we go to ed in california. >> caller: yeah, two things. first of all, congratulations on your ten years. >> thank you. >> caller: i hope you're around another ten years. >> thank you very much. thank you. >> caller: okay. and the stock here that i'm looking at they have been doing gang busters selling chips. they have one chip that will reduce power consumption by 40% on the price watch. that's broad com.

>> yes, a lot of people think it's more in the qualcomm phase more than the ndpi phase. i think they got cable box exposure today. and broad com has a broad array of mobile chips that i think are doing fine. but the stock has had a run. let's be careful there. why don't we go to marty in west virginia, please. marty. >> caller: let's go mountaineer. lean energy. just under $12. and how long does it take to get back to the $20 range? >> well oil needs to go higher needs to go higher now. i'm not comfortable recommending that oil will go higher. i have said that oil will be a slow slog back. i want to thank rbm which is my oil adviser which convinced we won't have a quick return any time soon. karl in florida, karl? >> caller: hey, thank you for taking my call. question what are your thoughts on ebay? >> i was listening to halftime, i was listening to -- unbelievable interview.

all those guys there are pretty bullish in the ebay spinoff. i have to tell you short term i'm bullish. longer term i worry about a facebook coming in and wrecking that eco some. short term okay. long term, no go for me. some leaders have pin action. others don't. and those are the other that lead a bitter trail to the gutter. twitter is spreading the wings in 2015, up more than 43% this year. can the little blue bird keep flying high? i'll give you the off the charts take. and health is up 5% today and not a biotech. and gogo gives you a chance to stay connected when you're on an airplane, we'll get the details from the ceo. stick with cramer. >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets.

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♪ like i told you last night, the social media stocks have become very sexy and right now twitter is leading the way. up three bucks or just over 6% in today's session alone. but can this move be trusted? or should you be wary of this once again high flying social media name that cut everybody's hearts out in the last go round? tonight we're going off the charts to answer that question with tim collins. he's my colleague at real money.com. he's doing a chart a day lately. believe me, this is an important question because twitter's a crucial member of the leadership in one of the strong groups in this incredibly volatile market held up well today. what's collins' view? even after today's incredible rally, he thinks twitter is headed higher long term.

if you get a brief profit taking pull back this week he thinks it's possible that any pull back can come from still higher levels. why? take a look at twitter's daily chart over the last six months. collins points outs that twitter moves in a predictable way. the stock gaps up or down. it consolidates, trading sideways for a while. it gaps up and down, consolidates some more. lately, he says that twitter has been in consolidation mode after gapping up huge in february. you can to see that. look at this. look at these things. this thing is just -- this is a roller coaster. this is pharaoh's fury. it's a fairly tight channel between 45, 50, 45, 50. twitter broke out of the channel rally up to the $50 level, collins said you either want to buy the stock at the bottom of the channel when it's near the floor of support at 45, or here's the way that technicians

think. you buy it after a breakout at 50. because that's going to be the roof comes down and it sends it soaring. today we got that breakout. closing at $51.50. he thinks it can rally dramatically, like it did at the beginning of february. i mean he thinks this is in store again. he still wouldn't be surprised if it dips later in the week as people ring the register after an incredible rally. while the breakout above 50 isn't the only reason he likes the stock, it's gathering all soars of chart -- sorts of chart watchers. they've been waiting. collins like the relative strength index. rsi. this is an important momentum indicator. it's trending higher. and in positive territory which suggests that the latest rally isn't late. it could just be beginning. onton of that, there's -- on top of that there's the divergence

to divergence line. remember it's not coincidence, it's predictive. and right now the indicator looks like it will make a bullish crossover. where the cross line, it's happening there. we're right at the inflection point. it hasn't happened yet. this could be for real. put it all together and this chart is paying the -- painting this positive picture. he thinks it can rally to 55 bucks by the time your kids are out of school for summer vacation which could be tomorrow. it's the longer term weekly chart that collins has really made -- just, you know, i went back and forth with tim the whole day on this. the breakout made me think we should hold out, we just missed it, but he said, no, take a gander at this chart. this reinforces how important the $50 level is for twitter. going back to the ipo, you can see how twitter has formed a very, very wide, very

impressive, wedge formation. [ laughter ] in fact, collins thinks this is a textbook example of a wedge pattern. over time -- twitter is -- one at a time. over time, twitter has posted increasingly lower highs and higher lows which are ascending and descending in the symmetrical fashion. wedge formation like this one has to come to the end and the stock either breaking out to the upside or breaking down. collins sees something that's making him feel bullish about twitter. he said twitter has been making an inverse head and shoulders pattern. not because it looks like a bottle of shampoo, but because it's an upside down person. see?

and then if you run two fingers at once it doesn't work. and this is very important for collins because an inverse head and shoulders formation is the stuff that chart dreams are made of. in this book i say it's the single best pattern. it's the most predictive pattern. now, this isn't a perfect head and shoulders. i what as ridiculously -- it has a ridiculously big head. kind of like chunk from the goonies. that came out before most of you were born. you can't draw two at one time and the shoulders pattern, it is extremely dispositive for what's happened traditionally when we do the segment. how positive? okay. if twitter can start breaking out from the right shoulder by closing above $50 and that's kind of like around here for two consecutive weeks. remember this is a weekly chart and the head at 36, and then the

neckline, $52.50 collins can see it rallying to $56.50 by the end of the year. i know coming one a price target may sound crazy to you, but that's what technicians do. because it tends to work for them. okay? so i would not be surprised at all if twitter can rally 29% from the levels to $66.50 within the next nine months especially since it's broken out above the key $50 level. it needs to hold through friday and twitter will have the ingredients that it needs for the inverse head and shoulders pattern to compete. i need 75 or 100, it's no longer that easy. this is terrific. that's not the only thing that collins likes about twitter. check out the vortex indicator at the top of the chart. it's a tool that we don't talk about very often. it's an oscillator that technicians spotlight when the trend is about to reverse

itself. the vortex indicator is made up of two lines the bullish uptrend line in green and then the red. when the green line is above the ed red one, the bears are filled with dread. when the red line is above the green one it means the bulls aren on the run and the good times could be coming to an end. right now as you can see the vor vortex indicator for twitter is dramatically higher than the red one. this bullish. the bullish happened in late january right before the february breakout to the upside and in the past, collins pointed out as long as it stays positive, twitter's tended to rally which suggests that the stock could have more room to run. so many bullish cues here. let's put it together. collins believes that twitter may have reached a bullish inflection point. in fact he thinks twitter could turn out to be the best stocks to own for 2015. especially if the stock broke up above that crucial $50 level and i said listen let's hold it. he said no, this is the real

deal, jim. he said collins -- collins said only a market wide correction could derail it from reaching the 60s. here's the bottom line here. twitter may have rallied dramatically on no real news today, but the chart is interpreted by tim collins suggests it's still in the early innings. he sees it climbing to $66.50 by the end of the year. i agree with him and i'm hearing major mojo inside twitter. i'm not kidding. i have to tell you what i really hear, i hear that the quarter is finishing strong. we own it in the charitable trust. i think it's an advertising medium medium, they'll get rid of the trolls and i like dick costolo. to a technician it's all systems go. look at these convergence. oh, sorry, only -- yeah. anyway there's much more "mad money" ahead including my

exclusive with gogo. it can make flights safer? i haven't thought about that. and the one thing that some companies have in common it will surprise you. we told you, let's see if the stock -- my exclusive with the ceo. stick with cramer.

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some companies are just driving wall street nuts because they're doing much better than the stock postings are supposed to for example, 3 m was not supposed to report 5 to 6% organic growth and boeing wasn't supposed to be able to sell more planes than it says when it was going to. but they did. they all did. even in this environment where the conventional wisdom is that u.s. companies with major overseas exposure like 3m and honeywell and boeing should be missing the numbers. strong dollar, weak emerging markets, competition, weak currencies. that's not what's happening though. in reality, these three companies are doing fabulous. the ceo of 3m his level of

confidence in the company was extraordinary and he knows they have the product to succeed. many of the products fill basic unmet needs in a bay that no one else is imagining. so many are worried about the businesses slowing in china. something quite evident from the ugly china port. but it sees the people's republic with filthy air and water and decided to do something about it, to make it's business by creating novel filtration systems to allow them to breathe easier. and it's producing now and not in the out years. roughly a third of the products didn't exist five years ago. how about honeywell? well, whether oil is at 40 or 90 or 140, honeywell recognizes the conservation is important. because there's a zillion reasons to consume energy more fshtly. from saving money to saving the

planet which people care about, to obeying the increasingly stringent regulations to save the planet. so they help them get more oil out of the barrel. buildings that use honeywell's heating ventilation, air conditioning systems could assume 40% less electricity and honeywell knows there's no turning back the clock. we aren't putting up inefficient structures than we have to because the oil prices has been cut in half. and boeing is building more planes that are more fuel efficient. despite what the bears are saying there's no sign that the airlines are cutting back on new orders. not a single airline has told boeing, take your planes. let's say everyone is wrong and oil stays down at the levels. the airlines want to spend less on fuel because they all need more planes because the planes are often so overbooked if they have more aircraft they could make more money.

all three companies throw off a huge amount of cash even with the strong dollar and china's growth rate accelerating all three are shareholder friendly with buy backs and all have tremendous balance sheets. yet if you listen to the experts on wall street companies like 3m and honeywell and boeing should be in trouble, but they're not. they're doing quite well. that drives seasoned stock professionals batty. you know what the pros are missing? they aren't factoring in the hard work tactics and strategy of three incredible ceos. if the stock sharpies looked at the intangibles, they would know that the models and negative prognosticators don't hold up to the three tremendous companies. merrill in florida. >> caller: hello, jim. booyah from beautiful orlando, florida. >> very nice. what's happening down there?

>> caller: well, i'm calling you about taser international. i bought it just shy of $28, and it's done not much except go south except or the today. a little bit of a rally. so i'm wondering if you would suggest that i maybe buy some more? >> no, the problem with taser, we often see it ma'am, with stocks, they roar big ahead of the quarter. the quarter comes out as spectacular and people sell it. that's what happened to taser. i think the future for multiple years looks bright. don't sweat it. james? >> caller: how you doing? >> i'm doing well. how about you? >> caller: okay. i'm doing great. first of all, thank you. i have been a watcher for a while. >> thank you. >> caller: i love your program and i have learned a lot and i'm trying to help my niece and my daughter get involved too. finally, i think my niece is catching on. >> that's good news. >> caller: anyway, now i have the pay taxes on all the money i made and that's not fun.

anyway, my question is about lockheed martin. you had recommended it a while back and i see that it's up a little bit today. down a little bit. you know, it's about the same. is it still a buy? >> oh, it's great. look, there's one big disappointment at lockheed martin and that is because marilyn usesome will not come on "mad money." i'm not stocking but you you have to come on because you're my favorite executive. 3m honeywell and boeing three top notch companies are leading them to the high levellers. at terrible news about a tragic plane crash this morning.

could every detail be monitored in real time. we'll talk to the ceo of gogo. and a head hunter for hospitals is up 18% for year. it was sure red hot since the time last time we spoke to the ceo. plus all your calls in the lightning round. stick with cramer. boy: once upon a time, there was a nice house that lived with a family. one day, it started to rain and rain. water got inside and ruined everybody's everythings. the house thought she let the family down. but the family just didn't think a flood could ever happen. the reality is floods do happen. protect what matters. get flood insurance.

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right now we're witnessing a robust yet quiet bull market in the health care staffing space thanks to the affordable care act, they need more doctors and nurses that's very good news for the companies that outsource staffing and recruitment. take a look at amn health care. it's rallied already. giving us a terrific 51% since we last spoke to the ceo. it's the largest health care staffing place in the company and it's a managed service provider or msp. a type of health care cost containment where the hospitals let they -- let them focus on what they do and they can focus

on treating the patients. now they reported a terrific report caused the stock to rally more than 11% in a single session. they have been trading sideways at least until today when they rallied $1.13 or 5%. let's check in with the president and the ceo and hear about how her company is doing. welcome back to "mad money." have a seat. first, happy anniversary. >> well, thank you. likewise to you. on your ten year anniversary. >> what does it mean for 30 years? how do you feel? >> i'm so proud of the organization and how it's evolved over the years. we start as a single service travel nurse company and evolved to be the largest comprehensive health care staffing company. more recently have made the next step to be the leader in workforce solutions that's really been a great move for us and our clients. >> yeah. i mean, you have done some remarkable things. in your conference call you said the market environment

accelerated midyear, since the stronger economy -- pent up demand for underlying clinical labor. the reason i mentioned that right before it happened you came on and you said this was going to happen. how did you know? >> well, we started to see the momentum begin in the second quarter and it really picked up into the second half of the year. in fact, as we started this year, we have continued to see it. our orders in nursing in particular are over double that. >> i saw it was double i thought that was amazing. henderson said that the president of staffing. >> ralph yes. it's not just in nursing. our allied business is up. our physician business is up. in fact as we look at the first quarter we gave guidance that we'll be up over 30% year over year. now there's some effective acquisitions in there but even on the organic basis we're up almost 20% year over year. it's really across all of our businesses. >> well allied staffing approximately 40%. that's a huge part of the business. >> organic business it's 20%, but we see great pickup in the

demand for physical and occupational therapist. >> why is that? >> there's a whole variety of things driving increasing demands for health care. the aging population. we are seeing that momentum. >> you're right. that kicked in. >> newly insured with millions of more patients now having access to paid health care. we're definitely seeing an increase in utilization. >> i'd like to ask people when my bailiwick, what would you like to ask her, and everyone said wait a second, that's a big nursing shortage. how do you find your nurses given the fact that throughout this you seem to have them and nobody else does. >> we have to really compete and work hard to recruit the nurses as well. we're fortunate to build the largest database of nurses in the country. nursing, allied and physician. and so when the demand really heats up, we have probably an advantage of being able to tap into that pool. and our team has done an excellent job of really deploying some innovative

digital marketing tools in order to really recruit those nurses back into the industry. >> all right. how about the vendor management business, january 15. that's something that can be meaningful for the second half of the year. >> yes, all of our workforce solutions are doing extremely well. it's a differentiator for us and we're adding more value for our clients. thingss like vendor management solutions we have two vms solutions that we offer for clients that want to use technology in order to be more efficient in the way they contract for their contingent staff. more recently, we have acquired avan dis, a leading provider to help our clients to better forecast what their staffing needs are going to be. >> now, there's one thing in the time we have remaining that kind of mystified me. kind of zeitgeist. if your footnotes and presentations you talk about doctors -- i don't want to say they don't like their lives but

a crisis in terms of leading their lives. what that about? >> we have seen a shift in how physicians want to deliver patient care. it used to be that many physicians were sole practitioners were part of a practice. you saw the pendulum swing to where they wanted to be plied by hospitals or have their -- employed by hospitals or have their practice applied. it's been very positive for the physicians and that they can focus on what they love to do and what they went to school to do and this is deliver quality patient care. but it's created a new dynamic for the health care organizations and they really now need to be cognizant of how they staff those physicians if they should have a vacancy and vacancy is up. it's up in physician, nursing, all areas. >> you helped them because that's exactly where you come in. >> absolutely. >> wow. what a good business you have. really terrific. need i point out that right after she told you that things were about to get hot in her business the stock jumped 50%. so you should listen. "mad money" is back after the break.

>> announcer: lightning round is sponsored by td ameritrade. >> it is time. it is time for the lightning round. you say the name of the stock.

i don't know the calls or the name of the stock ahead of time. sell sell sell. i tell you whether to buy or sell. when you hear this sound -- [ buzzer ] -- then the lightning round is over. are you ready, skee-daddy? we'll start with brad in california. >> caller: big booyah, jim from california. >> fantastic. >> caller: anyway, my question is on la quinta. doing a second offering tonight. what do you think of this? >> you know what i don't care about the supply. sometimes because supply is the old days begets demand. i like lq here. you know what, i have to tell you when we had the ceo on, i thought he was a delight frankly. that was wayne goldberg. he was a delight. and we even recommended that stock for like 25%. more calls. mike in maryland, mike? >> caller: hey, jim. how about wad ware. >> i like it. i'm doing some work on nice and

fire -- you know i care about the things. let's go to christian in texas. >> caller: booyah from texas. activision. >> activision is good. i think take two when we see the results evolve i wish i had bought it at 25. jason in ohio. >> caller: hey, jim. >> looking at the tribe, i think this is their year. >> caller: how do you think visa will perform after the split? >> better than the tribe. i think it was four for one, you get one, you get four, i'll sell one. it will churn for a while. remember, it doesn't matter as much as charlie sharp's leadership. he's best in leadership. jacob? >> caller: how's it going? >> real good. how about you? >> caller: really good. thank you for taking my call. >> of course. >> caller: i wanted to say you do a tremendous job giving your

stocks synopsis. >> thank you. >> caller: i have been following this stock for a little bit. it popped up on any pharmacy shelves. a lot of new products that have come out, it's acorn. >> yeah icare. everyone is excited about icare because of regeneron. i like this stock. i think it's good. i think it's a decent speculation. bob in california. bob? >> caller: booyah, jim. thank you for everything you do for us. >> thank you. >> caller: i have a question on union pacific. it was down 4% yesterday. on news from kansas city southern. >> well, ksu they had oil and the peso. i think union pacific, 112 you buy some then and then at 108. i like it. that, ladies and gentlemen, is the conclusion of the lightning round. [ buzzer ] >> announcer: the lightning round is sponsored by td ameritrade.

♪ earlier i month i had a chance to walk and talk to the ceo of honeywell. he showed us the in flight wi-fi technology. take a look. >> this is a very ugly looking product. but it's going to allow you to be on a plane and be connected to every place in the world, via satellite. it's 100 times faster than what exists today and it's 50% less expensive. >> so if honeywell can potentially make your inflight wi-fi 100 times faster, half the cost, i think that's big deal for gogo. the number one purveyor of broadband access on airlines. the company is still not expected to turn a prft for a couple of years and it has a

very volatile stock, 38.5% of the float. that's a big number to short sellers, but it's on a roll. let's take a closer look at michael small and learn more. good to see you, sir. please have a seat. i saw the honeywell version and the first thing i thought of, gee, maybe they're cutting gogo out, but it's the opposite. >> right, honeywell is a fabulous company and a long time partner of gogo. they make our equipment today and i expect that to continue. >> so that device that we're talking about is going to make it so that the speeds are much better and gogo will therefore have a more efficient product for people on board? >> correct. that's one of the many products we have in the portfolio. we have our own proprietary solution too. >> one of the things that which talk about the -- we talk about the connectively of things and we talk about the connected car. is gogo the fundment of the

connected plane? >> yeah. as we do that, it will be used for more and more things. we got our start with passenger connectivity, but the connected aircraft is the future. i predict to get more revenue from connecting the plane and the crew than we do from the passenger. >> well, it's tough to -- i don't like to talk about profit after the tragedy today, which is after the aircraft crash. i'm surprised we didn't get any radio transmission. it does seem like the aircraft technology, the black box hasn't changed in all my lifetime. can gogo do something to make it so it's in realtime and the people don't have to hear about pilot's instrument back and forth? >> absolutely. our hearts go out to the families involved but it's an awful situation. yes, the connected aircraft one, these type of situations

they'll be rare because you'll have predictive maintenance. data coming back. two, you can find the root cause of what went wrong a lot quicker. you'll certainly be able to locate the aircraft after the tragedy. so there's tremendous benefits to the connected aircraft. >> given what happened with the malaysian aircraft, why hasn't it happened already? >> well, getting connectivity to the sky is a challenging problem. it's been solved at low band width solutions. you make a phone call, radio communications. with gogo air to ground in the united states that was the first time it was solved on a broadband deployment. we think with what we're deploying now, 2 ku, we have a solution that will work on a global basis. >> we had the via sat gentleman on. i get the persuasive criticism it's not fast enough. if everyone is using it, it crashes. netflix doesn't work on it. i mean, are these real issues and will they be resolved with

the next gen? >> we hear that and we're bringing more with band width to the sky. we're upgrading it and we'll have 2 ku that will start in 2016, a lot more band width to the sky. delta already adopted it an we're talking about the generation after that. it's all about bringing band width to the sky. >> 2 ku, will that enable diagnostics of the plane? >> absolutely. >> really? >> yeah. >> realtime diagnostics? >> realtime ddiagnostics. we collect things about your home thermostat or whatever that g.e. isn't going to know about, their engines in flight honeywell or rockwell isn't going to know about their avionics in flight. they want to know that information. >> gogo will do that. >> we'll do that. >> i know there's a morgan stanley just doesn't seem like to like your stock. it's okay. your stock is up.

but i did talk about the chief accounting officer resigned. should we be concerned? >> not at all. >> just planned -- >> just moving on. >> you mad someone lined up? >> we're actually doing a search. >> okay. doing a search. >> yep. >> and is this one of the situations where the growth opportunity is too great and you can turn a profit right now if you wanted to, but you want to be able -- you know, really kind of get contracts with all the planes before you get profitable? what's the profitability path? >> absolutely. you're seeing it in north america, we're -- we're profitable and we're actually -- we will be free cash flow positive, cash on cash positive in north america. we just saw an opportunity to go global and we did that for two reasons. one, there's more growth. >> right. >> but ultimately this is a global scale business. we need to take care of our airline partners planes where ever they fly around the globe.

>> you have no problem raising money. >> yeah. we have a great deal -- >> cheap debt. all right. well, i understand. it does mystify me why if you're doing so well, there's a short position, let people read into it. it's a competitive market, but you're winning. >>. yeah, we're leading. >> michael small, president and ceo of gogo. stick with cramer. >> tomorrow, kick off the trading day with "squawk on the street." live from post 9 at the nyse. >> um, don't look at me like that. >> this is how you look at me all the time. >> i know. >> all starts at 9:00 a.m. eastern. you've got to make every second count. banking designed for the way you live your life. so you can welcome your family home...

for the first time. chase. so you can.

all right. after the bell some good news. first, merck announcing a $10 billion buy back. that's on top of the previous buy back. don't forget they had some true data. some charitable trust. surprised it wasn't up more in the session. it will go up tomorrow. second, sonic, the restaurant chain reported an excellent number. that stock has been way up. i think it can go still higher provided that gasoline stays down here. these were pieces of good news in a dismal day except for the netflix and the google and the facebook. i promise to find a bull market somewhere. i'm jim cramer. see you tomorrow!

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